Vietnam jewelry market was valued at USD 1.20 billion in 2023, expected to reach USD 1.51 billion in 2031, with a CAGR of 2.90% for the forecast period between 2024 and 2031. The booming jewelry market in Vietnam in the last few years resulted from increased urbanization and changing consumer preferences. Owing to its cultural importance and as an investment, gold jewelry is quite popular in the country.
The diversity of consumers is accommodated by a combination of traditional manufacturing methods and modern designs in the market which has local brands and foreign firms. For instance, in May 2024, Danish jewelry manufacturer and retailer, Pandora A/S, held the groundbreaking ceremony for its new USD 150 million crafting plant, in Binh Duong province, Vietnam. The new plant will be able to create up to 60 million jewelry items annually, exclusively employing recycled gold and silver and running entirely on renewable energy. It will help Pandora A/S to continue to develop in the long run and increase the company’s crafting capacity by about 50%.
In addition, more product varieties are accessible through online shopping sites, though brick-and-mortar stores still hold relevance. In April 2024, Tierra Joint Stock Company opened its latest store at Saigon Centre. The firm declared presents up to USD 3,956 to customers to mark the launch of its new location.
Customers from the younger cohort group are inclined towards trendy and designer products, thus leading to the dictates of fashion trends and innovations in the sector.
Moreover, government policies that promote gold trading and the expansion of retail networks boost the positive outlook of the market. Furthermore, despite the challenges presented by fluctuating gold prices and economic uncertainties, the Vietnam jewelry market seems to set for steady growth backed by a strong domestic demand and an expanding middle class.
Technological Advancements to Spur Market Growth
Advancements in technology played a vital role in growing the Vietnam jewelry market by improving production efficiency, design innovation, and enhancing consumer involvement. The use of advanced manufacturing methods such as 3D printing and computer-aided design (CAD) provides for accurate and detailed designs that appeal to contemporary buyers. Furthermore, integration of digital technologies such as augmented reality (AR) and virtual reality (VR) functions in retail offers a uniform and engaging shopping experience to customers.
Moreover, cloud computing enables jewelers to handle vast quantities of data such as customer preferences, stock levels, and sales trends so that they can make decisions based on facts and improve their supply chains. For instance, in September 2023, PHU NHUAN JEWELRY JOINT STOCK COMPANY (PNJ) improved its business processes using a cloud computing strategy, expanding system capacity while maintaining the best possible cost structure, boosting labor efficiency and revenue, improving customer satisfaction, and creating new business opportunities. The organization reduced wastage of thousands of hours of internal operations and enhanced sales productivity by about 200% by dynamically raising system capacity by up to 500% with the best cost planning.
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Innovative technology has been helpful in making consumers’ experiences better and helped in making business operations easier for jewelers, resulting in growth and modernization of the Vietnam jewelry market.
Favorable Government Policies Catalyze Market Expansion
In shaping the Vietnam jewelry market, government policies are key agents of change that facilitate stability and growth. Vietnamese government ensures that gold trading is standardized and makes it necessary to guarantee the quality and authenticity of these items. These criteria enhance the assurance and trust of consumers, which is significant for market growth.
Moreover, initiatives aimed at enhancing tourism have positively affected the sales of jewelry as foreign tourists play an important role in it. Over 4.6 million foreign visitors arrived in Vietnam in the first quarter of 2024, which was 3.2% more than the pre-pandemic 2019 number and 72% year-over-year.
Additionally, in April 2024, the Vietnam Gold Traders Association proposed a trial program permitting three companies to import approximately 1.5 tons of gold annually in an effort to progressively break the monopoly in the country’s gold market. If the proposal gets a nod, PHU NHUAN JEWELRY JOINT STOCK COMPANY, DOJI GOLD, SILVER, GEMSTONE GROUP JOINT STOCK COMPANY, and SAIGON JEWELRY AND GEMSTONE COMPANY LIMITED would be permitted to import 500 kg of gold annually, which is approximately USD 30 million.
Such favorable initiatives offer strong structure for development, creativity, and durability in the Vietnam jewelry market.
Women Segment to Dominate the Market
Women dominate the Vietnam jewelry market share largely due to cultural, social, and economic factors. Vietnam has always associated jewelry with riches, position and custom, hence women wear it for beautification and gift-giving purposes. Working women take pride in spending on luxury items such as jewelry.
One of the most dominating factors driving the growth of the segment is the desire for personal expression. Women are actively looking for exquisite and personalized pieces of jewelry that truly reflect them. It compels the jewelers to come up with ways to diversify their products by introducing modern designs alongside traditional ones. For instance, in September 2023, the new wedding jewelry collection from PHU NHUAN JEWELRY JOINT STOCK COMPANY and PNJ Trầu Cau (betel and areca) was launched, combining modern designs with traditional values. The range, available in 24-carat gold and diamond, includes the image of a betel quid expertly folded into an attractive shape known as a phoenix wing betel quid, meeting the needs of a variety of clients for both conventional and modern wedding jewelry.
To enhance the shopping experience of women and response to the dominance, retailers implement specific marketing strategies and come up with exclusive collections. In general, this segment has been significant for the growth of the jewelry market in Vietnam as it affects the trends and changes taking place in the industry.
Future Market Scenario (2024 – 2031F)
1. As an effect of the growing public awareness about the environmental impacts and social responsibility, there is an increased demand for jewelry that is sourced sustainably and made ethically. As a result, companies ought to emphasize supply chains that are transparent and practices that are environmentally sound to please conscious consumers.
2. Several innovative and custom-made products are expected to be introduced into the market. In particular, young consumers will focus more on personalized jewelry which reflects their personalities.
3. As Vietnam will be drawing more foreign visitors, this will give the shopkeepers a chance to aim at them directly, thus increasing their revenues through pieces that are meaningful and one of a kind.
Report Scope
“Vietnam Jewelry Market Assessment, Opportunities and Forecast, 2017-2031F”, is a comprehensive report by Markets and Data, providing in-depth analysis and qualitative and quantitative assessment of the current state of Vietnam jewelry market, industry dynamics, and challenges. The report includes market size, segmental shares, growth trends, opportunities, and forecast between 2024 and 2031. Additionally, the report profiles the leading players in the industry mentioning their respective market share, business model, competitive intelligence, etc.
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