Distributors of luxury brands in Vietnam, including Louis Vuitton, Chanel, Dior, and Hermes, reported profits of VND 3.8 trillion (USD 156.57 million) in 2022, marking a remarkable 270% increase compared to the previous year. Recent reports also indicate that the combined revenues of 12 companies distributing 34 luxury brands surged by 67% to reach VND 25 trillion (USD 1 billion). Other notable brands within this grouping include Rolex, Calvin Klein, Charles & Keith, and Zara.
Among these distributors, Tam Son emerged as the top performer. The company boasts the largest portfolio of top-tier brands in Vietnam, including Hermes, Kenzo, Boss, Patek Philippe, and Vacheron Constantin.
Notably, certain brands like H&M, Gucci, Louis Vuitton, Chanel, Dior, and Adidas have established direct legal entities for product distribution in Vietnam.
Vietnam registered a strong in the number of ultra-rich individuals in Vietnam between 2017 and 2022, with 1,059 people now possessing a net worth exceeding USD 30 million. This surge in wealth, combined with Vietnam’s young demographic—characterized by an average age of 32—drives a strong demand for luxury products.
According to Germany-based Statista, Vietnam’s luxury market was valued at over USD 957 million in 2023 and is projected to grow by more than 3% annually until 2028. The economic downturn in China has prompted luxury brands to diversify their operations beyond one country, highlighting the importance of exploring new markets like Vietnam.
(Source: VnExpress)