1. Vietnam’s computer market before Covid-19 happens.

2. Brief general about Covid-19 situation in VN

Strict lockdowns during 2021 in Vietnam and a switch to online studying across all
school levels drove higher demand for mid-priced laptops and tablets which in turn led to
a temporary shortage of these products as retailers struggled to keep up with demand. The
reason for the supply shortage was in part because of an insufficient supply of
components such as microchips, plus factories in China were unable to ship out products
that easily due to freight issues.

Figure 1: Cellphone S department.

Mr. Nguyen Lac Huy, Communications Manager of CellphoneS store chain,

admitted: From August 23, all travel in Ho Chi Minh City is strictly controlled,
so it will be difficult for students to access products for this learning purpose.
Currently, Cellphone S in Hanoi is still trying to deliver goods through carriers.
In Ho Chi Minh City, the number of laptop orders has increased, customers are
willing to pay high prices but it is still difficult to meet due to the
implementation of Directive 16, social distancing.”
Currently, Cellphone S and other companies focus on keeping the selling price
unchanged and ensuring supply even though the world demand is also
increasing and the import clearance in Vietnam is also very difficult.
 From the beginning of 2021 up to now, some laptop models of Asus, Dell, HP
have been in short supply. Besides the high demand from customers, the supply
is also difficult. The shortage in the supply of components and materials for
manufacturing has had a great impact on the laptop production process. The
outbreak of Covid-19 caused many difficulties in the transportation and supply
chain of goods, leading to a shortage of supply.
3. Impact of Covid-19 on the demand for the computer market in Viet Nam
3.1 Vietnam demand laptop gets pandemic push
Laptop sales, which began to bloom at the beginning of 2020 following the
COVID-19 outbreak, remain strong as studying and working from home continue.
Nguyen The Kha, senior director of mobility groups, FPT shop, said the growth the
last year was 20-30 percent for retailers.
“The high-end laptop segment alone achieved 60 percent growth” he said:

Figure 2: Revenue of PCs market in Vietnam from 2014 to 2027( in US dollars)

Many parents said while they were previously content with having one laptop at
home to share with their children or let the latter use smartphone, they have now
had to buy one for their children’s classes.
Realising the prospects in store, big players like Dell, Asus and HP are all
launching new product in many market, including Vietnam.
According to Dell technologies, Asia is a market a huge demand for gaming
laptops, especially in China, the Republic of Korea and Japan, where e-sport is
highly developed. Vietnam is a promising market rapidly growing demand, and so
the latest products are launched in the country.

Figure 3: Market share laptop in Vietnam

.
More and more companies are involves in the product of gaming laptops, and so
customers have many options in terms of prices, with those costing from 16
million VND to 25 million VND ( 700-1,080 USD) selling best.
Many retailers said certain brands are likely to be unavailable often since demand
for them is rising and supply is being hampered by COVID-19. Some said stocks
are down 20-30 percent, and they are struggling to replenish them.
But despite the surging demand, prices of laptops have remained relatively stable,
and many retailers are even offering discounts and free installation of programmes.
3.2 Rapidly growth in multiple segments.
A representative of FPT Shop said that during this time of separation, the demand
for working from home coincided with the preparation of the new school year and
online learning, so the total number of laptops sold increased by 30% compared
to the previous month and nearly 100% increase compared to last year. In which,
laptops in the price segment of 20 million or more had the strongest increase of
70% compared to the previous month and an increase of about 200% over the
same period last year.
 Figure 4; Illustrative images.

Regarding the price segment of less than 12 million VND, FPT Shop advocates to
diversify products in this segment because it is suitable for students. However, the
schedule of goods to Vietnam depends on computer manufacturers and currently
lacks production materials and accessories in these segments. All laptops in this
segment, if any, are imported by FPT Shop because of the high demand.
In addition, laptop models under 12 million segment are accounting for about 3%
of the total sales of laptops in August and are decreasing compared to July because
the quantity of goods in this segment is in short supply. total sales increased by
nearly 50% compared to July.
3.3 Market trends
Regarding the upcoming trend of laptop consumption, Mr. Hoang Van Dung,
director of the laptop industry at FPT Shop, said: The most popular laptop models
this year are the ones for gaming to serve entertainment needs and thin laptops.
Light about less than 1.3kg easy to move.
 Figure 5: Illustrative image.

Mr. Dung cited, if customers buy machines for gaming and graphics purposes, they
will find gaming laptops with powerful configuration and design to optimize usage
needs; or if customers do not have the need to play games and graphics but just
need machines that are easy to move and work well, they will find thin and light
laptops at about 20 million VND. These are beautiful, small, compact, well-
configured machines that can meet the needs of office work.