Why Global Luxury is Investing in Vietnam.

French luxury house Chloé recently opened its first boutique in Vietnam, marking the brand's latest expansion in Southeast Asia. While the opening adds another market to Chloé's regional network, it raises a more interesting question: What makes Vietnam commercially viable for global luxury brands today?

Vietnam is still a relatively small luxury market compared with China, Japan or South Korea. Rather, it is the steady emergence of an affluent consumer base, supported by three decades of export-led industrialisation and private sector growth.

With a population of more than 100 million, Vietnam has maintained one of Asia's strongest economic growth trajectories over the past decade. The country's manufacturing boom has created a new generation of wealth- business owners, exporters, industrial suppliers, property developers and senior professionals whose purchasing power is increasingly shaping premium consumption. At the same time, Vietnam's middle class is projected to exceed 50 million people by 2030, while the number of high-net-worth individuals is expected to continue growing steadily over the coming decade.

For luxury brands, this does not translate into hundreds of stores. It translates into a commercially attractive niche. A single flagship boutique, supported by experienced local distributors such as Duy Anh Fashion And Cosmetic (DAFC), allows brands to serve a concentrated base of affluent domestic consumers alongside international visitors without making large-scale retail investments.

This helps explain Chloé's decision. The Parisian fashion house, part of the Swiss luxury group Richemont, already has an established presence across Japan, China, South Korea, Singapore, Thailand and Hong Kong. Vietnam represents the next logical step in deepening its Southeast Asian footprint— because it is becoming a more mature and accessible one.

The implications extend beyond fashion. As wealth creation continues, opportunities are emerging across Swiss watches, jewellery, beauty, hospitality and other premium consumer categories. For international luxury companies, Vietnam is unlikely to become a market that transforms regional revenues on its own. Instead, it is becoming an important complementary market within a broader Asian portfolio—one that reflects the country's growing economic sophistication and expanding base of affluent consumers.