Consumer behavior changes force businesses to rewrite rules of the game: exec

Vietnam is enjoying a golden moment as consumer behaviors change, said Le Tri Thong, vice chairman of Phu Nhuan Jewelry JSC (PNJ), the country's leading jewelry producer.

"While the 1970s-80s generations tightened their belts to accumulate assets for security, today’s Millennials and Gen Z are willing to spend boldly on experiences and the intangible values a product delivers," Thong told the “Lifestyle Economy – A New Growth Driver for Ho Chi Minh City” forum last Friday.

“In the past, we bought things for their functions. Today, young people don’t shop for durability - they shop to step onto a ‘stage’. That stage might be an office elevator, a coffee shop, or Facebook, TikTok, where they are the main character,” added Thong, who is also chairman of the Ho Chi Minh City Young Business Association (YBA).

This shift forces businesses to rewrite the rules of the game, he said, noting competition is no longer about who can make products cheaper, but who can tell better stories.

“We used to export raw cacao beans at low prices. Now, Vietnam has ‘national’ chocolate brands selling at global luxury levels. That’s because we stopped selling raw materials and started selling culture - selling the ‘vibe’ of the land where they are grown.”

According to Thong, Vietnamese businesses now possess the “geographical advantage” of strong production capabilities and design thinking comparable to global standards.

Clear evidence can be seen in the transformation of major ecosystems: Techcombank and Masterise Homes organizing high-profile art concerts that elevate finance and real estate into lifestyle experiences; or FMCG detergent brands shifting from the old “cleans better” message to storytelling centered on “planting trees and protecting the environment.” he added.

Assoc. Prof. Dr. Dinh tien Minh from the University of Economics Ho Chi Minh City (UEH), describes this as a shift from buying products to buying “identity.”

“Today’s consumers purchase goods to construct a coherent personal image, just as Apple sells creativity and Biti’s sells dynamism. They are even willing to boycott brands that contradict the ethical values and sustainable lifestyles they pursue,” he said at the forum.