Vietnam can expect the affluent middle class to double to 33 million people by 2020. This means about one third of the country will be defined as middle class in just a handful of years.
When you walk down the city streets of Vietnam, you’ll notice a new a relatively new trend: conscious consumption. More and more individuals are showcasing their social status through the use of designer clothes, handbags and even vehicle choice. This applies to their homes as well, where Vietnamese have become more conscious about the style and abundance of their furnishings.
This change in Vietnam’s economic state is linked to the low operating costs, which attracts manufacturing companies to the country. These factories produce related business supply stores, thus creating more jobs and a stronger financial sector.
Boston Consulting Group says the average income per person will rise from $1,400 USD in 2014 to $3,400 USD by 2020. With the large growth in Vietnam’s middle class, we can expect to see more Vietnamese families dining out on the weekends, taking trips during holiday and even battling with traffic jams due to more vehicle purchases being made.
Image Source: Paula Bronstein/Getty Images AsiaPac