Its fashion items seem to be as expensive as other international brands (expect $70 for a decent dress). Vietnam: Luxury's Next Goldmine? | BoF - The Business of Fashion A 22.7% drop in sales has seen the Italian fashion house's valuation dip from $17.6 billion in 2020 to $15.5 billion in 2021. Top 10 famous and high-quality Local Brands for young people in Vietnam Through her brand, Jo wants to make life simpler for people and reduce waste in the fashion industry. So if the size of the local luxury market is not the issue, then what is preventing some brands from investing more in Vietnam? Fashion and Luxury Consulting | Bain & Company Apart from clothing, Metiseko also produces accessories and homeware products tailored for a refine palette. Address:6 Thi Sach, Ben Nghe Ward, District 1, HCMC, Viet Nam, Social Media License Number 530/GP-BTTTT, signed on 07/11/2022, issued of the Ministry of Information and Communications, Content Management Responsibility byPhan Nguyen Lap. Vietnam; At the heart of our company is a global online community, where millions of people and thousands of political, cultural and commercial organizations engage in a continuous conversation about their beliefs, behaviours and brands. KIDSWEAR. But, according to estate agent Knight Franks 2021 wealth report, Vietnam already has more wealthy people able to afford luxury goods than Malaysia. Voting Rules. Meanwhile, the country has a relatively young population, with a median age of 32.5 years. A 2016 KnowtheChain ranking of the top 20 fashion brands' efforts to eradicate forced labour had similar findings. Tran believes global luxury brands in Vietnam are disadvantaged by not yet having access to professional staff training platforms. At the same time, DAFC, which runs over 60 luxury brands, including Cartier and Rolex, announced its sales in Vietnam were up by 35 percent in 2020. According to some local industry leaders, the Italian companys decision to prioritise Vietnam will herald greater investment from other brands in the months and years ahead. This Japanese brand is fixated on providing a wide range of quality socks that are both durable and comfortable. Prada Maria Prada's very own Italian fashion house - Prada - has been a gold mine of wealthy class trends for both celebrities and anonymous elites. Several luxury brands want to enter or expand their presence in Vietnam since its retail market is growing, while rentals are low compared to other Asian locations such as Singapore and Hong Kong. Fashion. Luxury brands such as Louis Vuitton, Chanel and Herms dominate the BrandZ TM Top 50 Most Valuable French Brands 2019 ranking, demonstrating the powerful position of traditional fashion houses within the country's corporate landscape.. Known to sell quality fabrics and outfits with subtle details, Nosbyn is a good place to shop for wardrobe staples t-shirts, midi dresses, collared stops, neat skirts. In addition, Tom is taking other steps to reduce his own brands environmental impact. Mytheresa - Luxury Fashion & Designer Shopping in the US Now, I apply those skills to my designs so others can appreciate them too, says Hoang Tu. Although Vietnamese fashion is still its nascent stage, it is slowly and surely making its mark on the world. And its a good idea to source 100% linen fabric from markets. You should raise your budget from 350$ to approximately $650. Venus Tran, editor-in-chief of Harper's Bazaar Vietnam and chairwoman of Sunflower Media, notes that luxury purchases in Hanoi have been somewhat more commonplace in the past, while Ho Chi Minh. The degree to which Vietnam is underserved by global luxury brands is hard to estimate but the gap that exists in an adjacent high-end sector, the premium smartphone market, is revealing. Tran Thi Hoai Anh, GlobalLinks founder and president, said the new store will occupy the Pham Ngoc Thach Street frontage of Diamond Plaza, adding to her portfolio of multi-brand luxury boutiques, Runway and RRR, which have several locations in both Hanoi and Ho Chi Minh City. Instagram influencer marketing has been proven to bring success to brands entering Vietnam. Apart from manufacturing the worlds big label clothes, Vietnam is also beginning to emerge as a fashion hub in its own right with homegrown designers helming the movement. The luxury designer is well-known for its sustainable swimsuits made from pre and post-consumer waste. Luxury Vietnamese consumers use Instagram to . The Perfect Balance: How Luxury Brands Can Maintain - Forbes And in their local factory, they pay fair wages to their employees and maintain safe, sanitary working conditions. 1: 1: Porsche: Germany: $33,713M: $34,326M: AAA: AAA-2: 3: Louis Vuitton: France: $23,426M: $14,858M: AAA: AAA-3: 2 . Top 10 Famous Fashion Brands In Vietnam - Top List Vietnam already accounts for the third-largest ASEAN wine consumer market. For the woman looking for something different, elegant, timeless, theres only Gia Studios. The agreement, which took effect in August 2020, saw Vietnam reduce import tax by 65 percent for goods from the EU, with the remainder being removed over a 10-year period. 2022 . Tom positions his sturdy tote bag, made of linen and canvas, as an alternative to leather bags. Sales have plummeted, leading to forecasts for a precipitous decline in 2020 revenue and massive uncertainty about the ability of many brands to rebound. Readers may write tovietnam@dezshira.comfor more support on doing business in Vietnam. 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Fashion should be expressive. The brand boasts clothing with elegance, poise, finesse for women and continues to expand its top-notch customer profile, from celebrities to influential social icons in Vietnam. Among the top Vietnamese designers today, Nguyen Cong Tri is perhaps the most recognized name. Lam was a runner-up in Vietnam Project Runway in 2013 and became Elle Designer of the Year in 2014 for his first label LAM GIA KHANG. All rights reserved. Lindas Insights: I like the central idea of encouraging people to be different. However, according to Lourey, the bigger picture for foreign brands is that recent changes in Vietnams Law on Investment 2020 have led to an improved business environment with greater certainty. BMW leads the premium import CBU market with the 3-Series representing sizeable sales volume. Globally, e-commerce is facing a recession, but Vietnam appears well placed to weather the storm. It is about the experience, beyond just expensive products. After receiving his degree from Parsons School of Design, Tom knew that he wanted to establish his own Vietnamese fashion brand with bold designs and with sustainable practices. Lindas Insights: I like Rusteas use of natural fabrics since theyre better for the environment than synthetic ones. The European UnionVietnam Free Trade Agreement (EVFTA) should help stimulate more brands to do just that. "Contemporary brands perform exceptionally well for us each season and sales from brands such as Ganni, Isabel Marant, Rixo, Nanushka, Alexachung and See by Chlo are collectively up by 272 per . He opened his eponymous brand in 2014 to showcase ready-to-wear collections inspired by images of elegant, chic downtown girls. As Vietnamese fashion for women continues to take great strides into the high-end international market, weve put together a list of seven designers. Pursuitist is luxury redefined. A young, educated, and urban population is the backbone of consumption. Operating in a Complex Business Environment. Switch to the app for an even smoother experience, Sign up for promotions, tailored new arrivals, stock updates and more straight to your inbox. Top 15 Most Popular Luxury Brands Online - Luxe Digital The majority of the luxury segment in retail is consolidated under a few conglomerates. I did that many times with my brand!, Location: Nosbyn @ 77 Mac Thi Buoi, District 1, HCMC, Vietnam. . Farfetch Viet Nam - Designer Luxury Fashion for Men & Women It is set to rise sharply by more than 59 percent by 2026 from 72,135 individuals last year. In fact, the designer has embraced ethical fashion ideals since his undergraduate years after realizing that the fashion industry is one of the biggest contributors to pollution in the world. After graduating from Parsons School of Design in New York, Tom Tran took a leap of faith and returned to Vietnam to start his own label. Vietnam rises as new luxury hub - VnExpress International But basic pieces never fail usthey are long-lasting. Sported by the biggest celebrities, Gucci is an enticing brand for those who like to take some fashion risks. Luxury Fashion - Vietnam | Statista Market Forecast CONG TRI is a subsequent luxury label in Vietnam which is established by Nguyen Cong Tri - the most Vietnamese famous fashion designer. Although not strictly a fashion brand, Coco Dressing Room deserves a shout out for being one of the most innovative and outspoken fashion platforms in Vietnam. While there is extreme income inequality in the country, Vietnam has seen the growth of the middle class in the last few years [which is an increasingly important consumer cohort for luxury goods here], said GlobalLinks Tran. Born and raised in Danang with eight siblings, Cong Tri attended Ho Chi Minh City University of Architecture, Faculty of Industrial Fine Arts and graduated in 2001. Kids. Fashion Ecommerce Trends + Stats 2023 - Shopify Plus In Vietnam, [affluent] people couldnt travel outside the country and had nothing to do with their money, so they kept on spending greatly on luxury goods. Knowing her target audience, Coco Dressing Room runs pop-ups in cool, hip places across Ho Chi Minh City like Lusine and Le Cafe Des Stagiaires. Fashion is valued as the biggest luxury segment, followed by leather goods, cosmetics and fragrances. CONG TRI is the go to brand for any stylish woman, and has been worn by many Vietnamese A-list celebrities. Luxury Apparel Market Share & Share Report, 2025 - Grand View Research Top Marketing Strategies for Luxury Brands in Vietnam Interestingly, most of the biggest luxury brands come mainly from several countries around the world. The finely crafted Italian pieces produced by this top designer are renowned for their high-quality and stylish designs. The company's smartphone, Vsmart, which was launched in 2018, quickly grew to become one of the top five brands in Vietnam. The number of ultra-high-net-worth individualsin Vietnam with a worth of at least US$30 million is also forecast to increase by 26 percent to more than1,500by2026; such growth is equivalent to that in Hong Kong and Taiwan, according to an annual report by UK property consultancy Knight Frank. The Porsche Center Saigon opened last year in Ho Chi Minh Citys District 7 and regards Vietnam as one of its fastest-growing markets in the Asia Pacific. Heres this weeks Vietnam News in Brief. I incorporate minor trendy details, like stripe variations, while retaining the everyday wearability of the clothes. Morgan Truong founder of Profile Man. Customers can shop at CONG TRIs three locations at the centre of Saigon, where off-the-rack options are available, or pieces can be custom made with 10 days lead time. Tom is a young Vietnamese designer to watch. SHOP MEN. Luxury Apparels Market Competitor Analysis Some key players operating in the global luxury apparel market are Prada S.p.A., LVMH Mot Hennessy Louis Vuitton, Herms International S.A., Capri Holdings Limited, and Kering. Her garments are a perfect balance of clean cuts, luxury fabrics, and bold patterns. When international brands map out their Southeast Asia expansion strategies, Singapore and Thailand are usually top priorities followed by Malaysia and Indonesia. 10 Best Popular Luxury Fashion Brands Made In USA | Panaprium It stands as a model for sustainability in the industry. Brands that understand how to build long-term relationships with their customers will also learn how to serve them better in the future when they reach peak earning potential. For both the luxury and non-luxury fashion sectors, Vietnam saw tremendous growth in e-commerce channels over the course of the pandemic, with Shopee, Lazada and Tiki as leading players. Vietnam's growing luxury market, one of the most dynamic worldwide Vietnam's personal luxury goods market is complemented by hospitality offerings like the Dolce Hanoi Golden Lake Hotel, which markets itself as the world's first gold-plated luxury hotel. Globetrotting Clients Want Greater Choice. The above data points offer a wealth of growth opportunities for fashion and apparel retailersdespite the huge shifts in consumer behavior, global trade, and "normal" day-to-day lives for millions around the world. I see it as upcyclingusing leftover fabrics to make new designs., Location: 26 Ly Tu Truong 31D, District 1, Ho Chi Minh City. Styles from Metisekos new organic cotton collection. 1. What makes a popular luxury fashion brand? | Vogue Business Luxury fashion brands sell upscale, sought-after and expensive clothing, shoes and accessories. 2021 . Learn more about Vietnamese fashion with our article about sustainable clothing, or if youre more into shopping, check out a related piece about Millennial Fashion Stores In HCMC. Ive spent years traveling to various traditional fine-craft villages all over Vietnam to learn their techniques. The brand counts three boutiques in Ho Chi Minh City, including a flagship store at Hotel Continental. The top scoring luxury brand was PVH with 57 out of 100. And the cost for this could be 7200$ or more. Women Men Kids. The TimTay collection, on the other hand, takes a different approach. In her ten years in Vietnam, French-Vietnamese designer Linda Mai Phung has founded her own fashion label and worked on the Uber rebranding allowing her to gain a deep understanding of the industry here. Market research firm Nielsen forecasts that it will climb to 95 million by 2030. Luxury's Hidden Indian Supply Chain - The New - The New York Times Visit their shop in Saigon! The 28 Most Exclusive Luxury Brands for Upscale Clothing for 2023 The regions $89 billion fashion industry is set for unprecedented change in the upcoming years thanks to a mix of factors, from shifting consumer behaviours to new government investment policies, according to BoF Insights new report. The company also launched Southeast Asias second Porsche Studio in Hanoi last year, with the CEO of Porsche Asia Pacific attributing the capitals vibrant young population to the presence of the store while mentioning that Vietnam also has the youngest demographic among the companys markets. Oh the lifestyle of the rich and the famous! Over the past 10 years, we've completed close to 800 projects with fashion brands, apparel, luxury, and department store retailers across six continents. "The Vietnam market is at an ideal time for the entry of global luxury brands." Nosbyn is also one of the few Vietnamese casual clothes fashion brands to be stocked in the US in San Francisco and Los Angeles. In 2020, Vietnam overtook Thailand as the Southeast Asian country with the highest ownership of iPhones by proportion of population. The countrys import of watches increased by 28.2 percent annually from 2016-to 2020. Vietnam's Luxury Market Is Heating Up Gucci and Tiffany are among the brands investing in the Southeast Asian market. Several luxury brands want to enter or expand their presence in Vietnam since its retail market is growing, while rentals are low compared to other Asian locations such as Singapore and Hong Kong. Before you go out and about for a day of shopping, do check out our food guides for places to eat in Vietnam! The rise in CAGR is attributable to this market's demand and growth, returning to pre-pandemic levels once the pandemic is over. Rustea founder Jo Lams philosophy is to use 100% natural fabrics. While respecting the traditional feminine style of the ao dai, Thuy transforms them into ethereal things of beauty. Two years later, in 2015, Khang was also named in the top 30 most successful people under 30 in Forbes Vietnam. Having graduated from the Academy of Art University, San Francisco, Tran Phuong My came back to Ho Chi Minh City to open her own custom label, Phuong My, in 2013. Subscribe to receive weekly Vietnam Briefing news updates, According to Metisekos website, it is their unique textiles that makes them stand out from the crowd, We draw from inspiring Vietnamese landscapes and folk traditions to create original fabric designs that capture the essence of this enchanting country. Examples of popular luxury fashion brands include Louis Vuitton, Burberry, Hermes, Salvatore Ferragamo, Gucci and Prada. This potent combination means that we cannot wait to see what else they come up with. Now SAIGON A brand is so familiar that you can see it everywhere on the streets of Saigon. Beware Moi Dien is not for the fainthearted customer. Gautier described the market as still having a challenging bottleneck for international brands. As of April 2020, Viet Tien was the leading fashion store chain with 467 . Smart retailers have the potential to benefit from the burgeoning consumer class in Vietnam. Knight Frank estimates that the number of people with a net worth of $1-30 million will balloon by 32 percent to over 25,800 by 2025. Lining the famous Dong Khoi street, of course one will find the grand old fashion houses like Louis Vuitton. For Vietnam, the textile and garment industry is one of its key industries, and Vietnam is amongst the top textile producing and apparel exporters in the world. After being here for ten years Ive heard so many people say they believed international brands would not last [long but its] not true, said Loic Gautier, founder and CEO of Leflair, Vietnams e-commerce platform dedicated to luxury goods. The company manufactures products like processed milk, curd, ice cream, and mayonnaise. The advantage for Vietnamese designers is that they can offer customised pieces tailored specially for Vietnamese customers, while most international ready-to-wear luxury brands cant, said Trang Le, founder and CEO of Vietnam International Fashion Week (VNIW). Specialising in Ao Dai (the traditional dress of Vietnam), the brand manages to transcend expectations. So we hitched a ride out to District 9 to hear her thoughts on five local brands pursuing sustainable fashion goals in Vietnam. Unsubscribe anytime at the bottom of our emails. Underdeveloped corporate legislation is one of the reasons for the hesitation among foreign companies that wish to enter the country. The new generation of Vietnamese fashion pioneers are bold, cosmopolitan, and very often aware of the impact that fashion has on the environment. TimTay is designed for people of all ages who share a love for comfort and the environment. Ethical Designer Clothing | Ethical Consumer If you persist in peering beyond this veneer, taking a tour deeper into the alleyways of the city, you will find boutiques to fit your budget, focussed on unique looks and style, from the street fashion popular with the cool Vietnamese young people to refined chic collections appropriate for office wear or evening looks. The ability to have all of the foreign ownership, without the explicit need for a Vietnamese national as a director, is one of Vietnams significant selling points., As the market continues to evolve, he explained, moving investors away from the traditional joint venture structures that were often required [by local regulators] to a much more competitive and practical approach, foreign brands are growing more confident and comfortable with Vietnam as an investment destination., 2022 The Business of Fashion. "In French, 'metis' or 'metissage' is used to describe something that is a combination of two different cultures," Erwan Perzo explains. In 2010, Vietnam has imported $5.7 billion of luxury goods, increased of 14.2% from 2009 (Ministry of Industry and Trade) Vietnam is following India and China in becoming a new booming market for luxuries. 2023 Vietnam Is Awesome. Founded in 1921, Gucci is one of the most recognizable fashion brands in the world. In this collection, co-founders Hoang Anh and Hoang Tu highlight traditional Vietnamese craftsmanship. our latest doing business publications, and access to our Asia archives. For the more exclusive Gia Studios, for a period of time, Lam carried out a by-appointment-only concept at the Park Hyatt hotel, and now his flagship store is opened in the heart of Saigon. Luxury brands remain gung-ho about Vietnam despite pandemic All rights reserved. A Tom Ford heavy twill blazer will set you back $2,380, while a velvet dress typically comes with a $5,350 price tag. GlobalLink-owned multi-brand luxury boutique Runway has several branches across Ho Chi Minh City and Hanoi, Vietnam. DAFCs parent company, Imex Pan Pacific Group (IPPG), led by husband-and-wife duo Johnathan Hanh Nguyen and Le Hong Thuy Tien, also signed a business cooperation agreement with the local unit of South Korean luxury retail group Lotte Duty Free in the same year to open a chain of downtown duty-free stores in Hanoi and Da Nang. Sign up for your complimentary subscription to our weekly newsletter here. Imagine stopping by Tiffany and Co. on your way to lunch to pick out that perfect piece of luxurious jewelry and then spending the . 4. and Prada) came behind the high-street retailers. GlobalLink, another big luxury distributor in the country which operated mono-brand boutiques for luxury labels such as Balenciaga, Celine, Givenchy, Saint Laurent and Loewe, plans to open a 700 square metre duplex store later this year in Ho Chi Minh City, housing a variety of brands, including Off-White, Ambush and Amiri. Photographs can invoke the same feelings of aspiration we experience when driving a luxury vehicle, wearing designer clothing, or experiencing something new. Vietnam's Luxury Market: An Appetite for High-End Products The luxury industry in Vietnam is still underserved and underestimated despite the countrys growing demographic of high income and the countrys distinct favor of luxury brands. This passion was behind her founding of The Factory Contemporary Arts Centre in Ho Chi Minh City, in 2016. Here are 60 Best Luxury Fashion Blogs you should follow in 2023. Johnathan Hanh Nguyen and Le Hong Thuy Tien, BoF Insights | How Middle East Consumers Shop Fashion, Explained, The Gatekeepers to Nigerias Fashion Market, Fashion in the Middle East: Optimism and Transformation, The BoF Podcast | Conflict, Climate and Todays Global Hunger Crisis. Local fashion e-commerce start-up Coolmate, which recently completed a $1.1 million fundraising round, said its revenue last year was up 3.5 times compared to the year before, reaching $6 million. Though some brands continue to underestimate the market, others are investing in retail outlets where clients are often underserved. Country . In the second annual BrandZ France ranking, released today by WPP and Kantar which tracks and anticipates the evolving environment for the country's . Bottega Veneta It has become a norm to see models, celebrities, and. The 43 Top Japanese Clothing Brands for Cool Clothes (2023) Not only are eco-friendly fabrics like ultra-soft denim tencel used, but the brand also embraces factory conditions that respect their workers. BMW which used to assemble CKD in Vietnam stopped and changed their CBU importer in 2008. Tiffany & Co and Montblanc, and Christian Louboutin have also begun to open their first stores in Hanoi and Ho Chi Minh City. The Moi Dien Ba Gang tote bag launched in March is a prime example of Toms dedication to provide sustainable solutions to problems in the fashion sphere. As Gautier pointed out, the interest of the brand and the interest of its distributor who might carry many brands in a portfolio may at some point diverge.