If you still think low prices and big brand names are the keys to attracting young customers, it might be time to change your thinking. Gen Z consumption trends are going against traditional patterns, with young people preferring local products over mass-produced items.

This isn't just a temporary trend – it's a deep shift in how they see product value.

Understanding the new generation's shopping psychology helps create better sales strategies

Understanding the new generation's shopping psychology helps create better sales strategies

How Young People Are Changing the Market

Vietnamese Gen Z doesn't just care about product quality – they consider value factors before buying. Gen Z consumption trends show they evaluate everything from product and service quality, brand values, how businesses treat employees, environmental initiatives, to sustainability in business operations (according to research on marketing strategies with Vietnamese Gen Z).

According to the American Egg Board, Gen Z consumption trends mainly focus on three factors: social media, convenience, and health. They care about sustainable and environmentally friendly products, driving a sustainable market forward.

Young people are creating major changes in today's consumer market.

Young people are creating major changes in today's consumer market.

Seeking Authenticity

Gen Z has a special ability to spot fake content. AMT Lab research shows this generation can easily recognize when content is "staged" and prefers real experiences (according to AMT Lab research).

Local products often have clear stories about their origins, handmade processes, and the people behind them. Gen Z consumption trends are shifting from flashy advertising to real experiences – how artisans make pottery in Bat Trang, the silk weaving process in Van Phuc, or stories about Kim Son bamboo village.

Environmental Awareness

According to the Millennials - Gen Z 2024 survey, 64% of Gen Z and 63% of Millennials are willing to spend more on environmentally friendly products (according to Deloitte survey). This reflects how Gen Z consumption trends care not just about quality but also about products' impact on the environment and society.

Global research by the World Economic Forum shows that 3/4 of Gen Z prefer buying sustainable products over famous brands (according to WEF). Local products often use local materials, reducing carbon footprint from transportation.

Finding Meaning in Shopping

Unlike previous generations who saw shopping as a way to show success, Gen Z consumption trends view buying as a way to express personal values. PDI research shows 91% of Gen Z wants to buy from sustainable companies (according to PDI Technologies).

Buying a traditional brocade ao dai isn't just owning clothing – it's supporting traditional crafts and helping preserve ethnic culture. Buying Bat Trang ceramics isn't just for home decoration – it's honoring 700-year-old handcrafted skills.

Changes in awareness and shopping behavior are creating new trends.

Changes in awareness and shopping behavior are creating new trends.

Vietnamese Local Products Are "Hot" with Young People

Traditional Crafts Are Being "Revived"

Vietnamese craft villages are experiencing a renaissance thanks to young people's interest. Vietnam has many traditional craft villages preserved through generations and existing for centuries, with products known both domestically and internationally. This revival fits Gen Z consumption trends seeking local cultural values (according to Vietnam Discovery).

The preservation and development of traditional craft villages depends greatly on young people, who can refresh product images and bring them closer to consumers (according to Vietnam Plus). Many young artisans are combining traditional techniques with modern design, creating products that have Vietnamese soul yet fit contemporary aesthetics.

Beyond buying finished products, Gen Z also likes experiencing handcraft processes. Young people are often amazed by handmade souvenirs like hand-woven mats – one of many handcraft experiences turned into tourism products within cultural heritage festivals.

Creative and working spaces are attracting special attention.

Creative and working spaces are attracting special attention.

Secrets to Selling Local Products to Young Customers

Tell Stories Instead of Selling Products

Instead of just listing features, tell about product origins. Who made it? What materials were used? What cultural meaning does it have? The more authentic the story, the more attractive it is to Gen Z consumption trends.

Example: "This ceramic bowl was made by artisan Nguyen Van Nam in Bat Trang, using local clay and traditional 1000°C firing technique. Each bowl is unique because they're all hand-painted."

Prove Sustainability

Be transparent about environmentally friendly production processes. Vietnamese handcraft products often use natural materials like seagrass, water hyacinth, bamboo, and rattan, turning them into exquisite handcrafted works (according to Artera Home). These materials are not only sustainable but also deeply connected to Vietnamese cultural heritage.

Quality and aesthetics are always the most important factors.

Quality and aesthetics are always the most important factors.

Create Experience Opportunities

Combine sales with workshops, craft village tours, or behind-the-scenes videos. Gen Z likes participating in the process, not just buying finished products.

Use Social Media Effectively

TikTok has risen to become a prominent platform with continuously increasing importance, reaching 11% in Q2/2024, while recording impressive growth with penetration rates hitting a record 68% in Vietnam (according to Decision Lab). Create authentic content that's not overly "marketing." Short videos about handcraft processes and artisans sharing experiences usually attract more than traditional advertising.

Ensure Quality and Fair Pricing

While prioritizing meaning, Gen Z is still very picky about quality. Opeepl Youth Pulse research shows 56% of EU Gen Z consider 'higher cost of sustainable products' the biggest barrier (according to Opeepl). Balance quality, price, and value delivered.

The balance between multiple factors will determine business success.

The balance between multiple factors will determine business success.

Mistakes to Avoid

Greenwashing - Faking Sustainability

Gen Z is very sharp at detecting brands that are "faking it." Don't just slap on "eco-friendly" labels without specific proof. Transparency and authenticity matter more than flashy marketing.

Focusing Too Much on Low Prices

First Insight research shows 73% of Gen Z is willing to pay higher prices for sustainable products (according to First Insight). Instead of competing on price, compete on story and meaning.

Ignoring Convenience Factors

While liking handcrafted products, Gen Z still needs shopping convenience. Ensure online channels, fast delivery, and good customer service.

Common mistakes in marketing strategy can cause opposite effects.

The Future of Local Product Markets

This trend isn't a temporary fever. According to Nielsen, by 2025, Vietnam's Gen Z will make up about 25% of the national workforce, equivalent to about 15 million people (according to TNEX). Meanwhile, Vietnam's handicraft market is expected to grow 8.1% annually until 2033 (according to IMARC Group), presenting a great opportunity for sellers.

Success in selling local products to Gen Z isn't simply about having good products – it requires understanding the psychology and values they seek. They don't just buy products; they buy stories, meanings, and lifestyles that products represent.

Smart sellers will know how to connect local products with values that young people treasure: authenticity, sustainability, and social meaning. Understanding Gen Z consumption trends is the key to success in the new consumer market.

CHUS - Connecting Quality Vietnamese Brands