Software Testing Outsourcing to Vietnam: Benefits and How to Choose

Software Testing Outsourcing to Vietnam is becoming increasingly popular for many businesses. Why are so many companies looking to Vietnam for software testing outsourcing? In this article, we will explore the outstanding benefits and important factors for choosing a software testing partner in Vietnam.

Why Outsource Software Testing to Vietnam?

Cost-effectiveness of Outsourcing to Vietnam

One of the top reasons why businesses choose Software Testing Outsourcing to Vietnam is the cost factor. Vietnam is famous for providing software testing services at a significantly lower cost than many other countries in the region and the world. Vietnam is not only a popular destination for nearshore software outsourcing but also excels in providing top-tier software testing services.

According to a report from Statista, labor costs in Vietnam are usually only about 30-50% compared to Mexico and China. This helps businesses save budgets while still ensuring service quality. In particular, the cost of software testing in Vietnam is usually only 400 USD/month, much lower than in other destinations such as India or China.

High-quality technical talent

Not only is it cost-effective, but Vietnam also has a high-quality workforce in the IT field. Universities and research institutes in Vietnam continuously provide talented software engineers knowledgeable about the latest technology. 

According to a report by the DEPOCEN Working Paper Series, each year about 34,000 and 42,000 students are graduating from IT-related fields, creating an abundant and high-quality workforce. This contributes to improving the quality of Vietnamese software testing quality assurance services and making Vietnam an ideal destination for functional testing outsourcing in Vietnam.

Strategic location and time zone advantages

Vietnam’s geographical location also offers a great advantage for outsourcing. Vietnam is located in a convenient time zone, allowing businesses in Europe, the US, and Asia to easily coordinate work with testing teams in Vietnam. The small working time difference helps optimize workflow, improve efficiency, and minimize response time. This is especially important for automated testing services in Vietnam, helping to ensure that projects are implemented efficiently and on schedule.

Outsourcing software development for startups, especially in the early stages, can greatly benefit from the cost-efficiency and expertise offered by Vietnamese companies.

Vietnam's Software Testing Industry

Growth of IT and software services in Vietnam

The information technology and software services industry in Vietnam is growing strongly. This is home to many reputable software testing outsourcing companies, known for their expertise and reliability. In recent years, Vietnam has witnessed an explosion in the number of businesses operating in this field. 

According to data from the Department of Information Technology and Communications Industry, in 2023, the export earnings from software and IT services by Vietnamese companies were around 9 billion USD, which constitutes 6.3% of the total industry revenue of 142 billion USD. 

This is a testament to the strong development and great potential of the software testing industry in Vietnam, clearly reflected in Vietnam's software testing industry trends.

Key cities for software testing services

Major cities such as Hanoi, Ho Chi Minh City, and Da Nang are leading technology hubs, home to many companies providing software testing services. In these cities, businesses can easily find suitable partners, from small-scale companies to large corporations, ensuring that their testing needs are fully met. This center is also where the Vietnamese software testing talent pool gathers, providing quality human resources for software testing services.

Companies seeking alternatives to nearshore software development outsourcing often choose Vietnam for its competitive pricing and skilled workforce.

How to Choose the Right Outsourcing Partner in Vietnam 

Criteria for selecting a software testing provider

When choosing a Software Testing Outsourcing to Vietnam partner, businesses need to consider several important criteria such as reputation, experience, and the ability to provide services on demand. In particular, it is necessary to carefully check the projects that the partner has previously implemented to evaluate their capacity and ability to meet their needs. Choosing the right partner will help businesses take advantage of the benefits of outsourcing software testing to Vietnam in the most optimal way.

Vietnamese testing companies excel in various testing services, including Regression Software Testing, ensuring that any new code changes do not adversely affect existing functionalities.

Due diligence and vendor assessments

The partner evaluation process should be done carefully, including reviewing the financials, project management capabilities, and quality of human resources. Businesses should request financial reports, evaluations from previous customers, and even small tests before signing a formal contract. This is an important step to ensure that businesses choose the right Vietnam outsourcing software testing companies that match their needs and standards.

Long-term partnership considerations

Building a long-term partnership is also an important factor when outsourcing software testing. The right partner should not only provide quality services but also can cooperate long-term, and understand the goals and corporate culture to ensure sustainable development of both parties. Businesses should consider factors such as flexibility, service scalability, and long-term commitment when choosing a partner.

Cost Comparison: Vietnam vs. Other Testing Outsourcing Destinations

Comparing costs between Vietnam and other outsourcing destinations such as India, China, and Eastern Europe is a necessary step for businesses to make the right decision.

• India: Although India is a large and long-standing market for IT services, outsourcing costs here are rising due to competition and inflation. On average, the cost of hiring a software testing engineer in India is around 60,000 USD/year.
• China: Costs in China are similar to India, but language and cultural factors can be barriers for many foreign businesses. Software testing costs in China are usually around 45,000 USD/year.
• Eastern Europe: Eastern Europe, especially countries such as Poland and Ukraine, are emerging as new destinations for software testing outsourcing services. However, costs here are often higher than in Vietnam, ranging from 25,000 -35,000 USD /year.

Meanwhile, in Vietnam, the cost of outsourcing software testing services is usually only 6,000 - 10,000 USD/year, bringing a great competitive advantage in terms of cost for international businesses. This is especially important when businesses need to find cost-effective software testing in Vietnam while still ensuring quality.

Key Considerations Before Outsourcing Software Testing To Vietnam

Before deciding to outsource software testing services to Vietnam, businesses need to consider some important factors such as:

Corporate culture

Corporate culture is an important factor that affects effective cooperation between parties. Vietnam has its own unique cultural characteristics of work and communication, and understanding these characteristics will help businesses easily coordinate work and build sustainable partnerships.

• Teamwork: In the working environment in Vietnam, teamwork spirit is very important. Businesses should prepare to work together effectively, share information and coordinate closely with the testing team to achieve common goals.
• Flexibility: While Vietnamese partners are often flexible and adaptable, having clear plans and processes in place will help maintain progress and quality of work.

Opting for an outsourced development team from Vietnam can ensure that both development and testing are handled efficiently, with a focus on quality and timely delivery.

Communication Skills

Although English proficiency in Vietnam is improving, it is still important to choose a partner with good communication skills. Ensuring that your testing team has good language skills, uses modern communication tools such as video calls and emails, and has a clear project management system will help reduce misunderstandings and improve work efficiency.

Information Security

Information security is an important factor when outsourcing. Businesses need to verify their partners' security policies and ensure they have the necessary security certifications such as ISO 27001, and strict data control measures. There should also be a clear incident response plan to handle security-related issues.

In conclusion, with outstanding advantages in cost, human resource quality, and geographical location, Software Testing Outsourcing to Vietnam is a reasonable choice for businesses that want to optimize costs and improve software testing efficiency. However, choosing the right partner and carefully considering outsourcing is essential to ensure project success.