Around two-thirds of the small and medium-sized enterprises (SMEs) surveyed in Vietnam reported increased revenue after adopting digital payments, according to results announced by digital payment company Visa.

The firm surveyed 350 SMEs, focusing mainly on micro-SMEs and those led by women in Vietnam, to assess the influence of digital payments on their revenue, business management, and societal impact from September to October 2023.

The results revealed that 62 percent of women-led SMEs and micro-businesses logged increased revenue after adopting digital payments.

Considering that women constitute over half of Asia's population, the Asia-Pacific economy, including the Vietnamese market, could gain an additional $89 billion annually if women were able to maximize their economic potential, Visa said in a press release on Wednesday.

SMEs play a vital role in Vietnam's economic growth, constituting 96 percent of all businesses and employing 47 percent of the labor force.

The study found that with the adoption of digital payments, managing businesses has become easier for 73 percent of the SMEs surveyed in Vietnam.

Almost three-quarters of the respondents have adopted digital payments, while 42 percent accept card payments.

The primary factors influencing these decisions include ease of management, impact on sales, and the security afforded by bank transfers.

Furthermore, two-thirds of the SMEs involved in the survey collaborate with more than one payment provider.

Of the businesses embracing digital payments, those accepting cards experienced the most substantial turnover increases (79 percent), in contrast to those not accepting cards (46 percent).

Digital payments facilitate rapid transfers and cashless transactions, enhancing the overall commerce experience.

“My business has grown since I introduced digital payment methods,” said Nguyen Minh Tram, CEO and founder at Sorella Beauty & Spa.

“I appreciate the convenience, speed, and the ability to easily track payment records.

“It provides my customers with a convenient cashless payment option too.

“I hope to expand my business beyond Vietnam so enabling cross-border payments will help me grow my customer base.”

The Visa Foundation has pledged $100 million over five years to accelerate access for underrepresented and women-led SMEs in APEC economies, including Vietnam, Indonesia, the Philippines, Mexico, and Peru.

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