Vietnam Consumer Durable Loan Market By Type (Smart Phone, Washing Machine, Refrigerator, Air Conditioner, Others (Laptop, Television, etc.)), By Tenure (Less than 1 Year, 1 Year to 3 Years, More Than 3 Years), By Region, Competition, Forecast & Opportunities, 2028
Published Date: February - 2025 | Publisher: MIR | No of Pages: 320 | Industry: BFSI | Format: Report available in PDF / Excel Format
View Details Buy Now 2890 Download Sample Ask for Discount Request CustomizationVietnam Consumer Durable Loan Market By Type (Smart Phone, Washing Machine, Refrigerator, Air Conditioner, Others (Laptop, Television, etc.)), By Tenure (Less than 1 Year, 1 Year to 3 Years, More Than 3 Years), By Region, Competition, Forecast & Opportunities, 2028
Vietnam consumer durable loan market is expected to project robust growth during the forecast period on account of increasing demand for technologically upgraded consumer durable products, attractive marketing strategies, rising demand from middle class segment of the country, increasing internet penetration and increasing digitalization.
During the forecast period in Vietnam, the steadily growing economy, rising consumer demand with no or minimal interest rates are the elements that create the ideal conditions for customers to take loan. Consumer durable loans (CDL) and personal loans/cash loans (PL) have consistently performed better than the others key product offerings through the pandemic. Widespread lockdown orders increased demand for consumer durables that could be used for remote working and studying in addition to the rising need for cash during economic uncertainty. This led to an increase in consumer durable loans.
The Ministry of Industry and Trade estimates that household appliance purchases account for 9% of all private spending. The ministry anticipates that a significant portion of young people will result in a significant increase in the purchase of household appliances because it believes that consumers aged 18 to 45 account for 57 to 60% of total market spending. Furthermore, popular Vietnamese brand names have replaced hand-made and basic household appliances in rural markets. A market study found that in the first quarter of 2017, shopping growth in rural areas increased by 12.4% compared to only 6.5% in urban areas.
Increasing Partnerships to Support the Market Growth
And with the growing opportunities, various loan offering companies had significant tie-ups with the electronics providers to keep a significant pace within the market. For instance, Consumer Durables Loan (CDL), was launched by FE CREDIT in 2013. It is defined as an innovative unsecured loan which is provided to the customers for the purchase of digital devices and household appliances such as mobile phones, laptops, washing machines, refrigerators, air conditioners, televisions, microwaves, etc., in partnership with well-known brands such as Samsung and Oppo. Thus, with growing partnership between loan providers and the electronic companies, the Vietnam Consumer durable loan market is expected to grow at a fast rate.
Booming Digitalization Will Boost the Market Growth
The use of quick, user-friendly apps that facilitate financing is helping to improve the customer experience on digital channels as a result of new technologies. Big data and digitalization also provide a deeper understanding of consumer needs, which enhances the services being provided. For instance, Home Credit's push for various digital transformational initiatives that has picked up speed recently. The company has utilized the power of an advanced data analytics and AI system, to provide and support virtual credit cards, online BNPL, a redesigned mobile app, QR code payments, and a 24-hour virtual assistant. Thus, all these factors are expected to play an important role in fueling the growth of Vietnam Consumer durable loan market.
Rising Demand of Imported Consumer durable loan will Fuel the Market Growth
The income of Vietnamese people is rising quickly. The World Bank estimates that Vietnam's GDP per capita increased by more than two times between 2010 and 2020, reaching USD 2,786. Income growth is also accompanied by an increase in consumer demand. Notably, there will be about 13 million members of Vietnam's middle class by 2020. This class has contemporary shopping habits and a high demand for imported high-quality goods from developed nations such as the US, Japan, Europe, and Germany. In addition, Vietnamese consumer behaviour is changing considerably as the Vietnamese consumers used to base their purchases of goods and services on fair prices, but now the emphasis has shifted from price to product quality and its origin. Thus, demand of loans for the imported durable goods will have huge impact on Vietnam Consumer durable loan market.
Market Segmentation
The Vietnam Consumer durable loan market is segmented on the basis of type, tenure period, region, and competitional landscape. On the basis of type, the market is further fragmented into smart phone, washing machine, refrigerator, air conditioner, others (laptop, television, etc.)). Based on tenure, the market is segmented into less than 1 year, 1 year to 3 years, more than 3 years. On the basis of region, the market is divided into North, South, and Central.
Company Profiles
VP Bank Finance Company Limited (FE CREDIT), Home Credit Vietnam Finance Company Limited, HD SAISON Finance Company Limited, JACCS International Vietnam Finance Co., Ltd, Mirae Asset Finance Company, Vietnam Technological and Commercial Joint Stock Bank (TECHCOMBANK), Military Commercial Joint Stock Bank (MB Bank), Tien Phong Commercial Joint Stock Bank (TPBank) are also actively entering the market in recent years and further strengthening the market growth.
|
Attribute |
Details |
|
Base
Year |
2022 |
|
Historical
Years |
2018–2021 |
|
Estimated
Year |
2023E |
|
Forecast
Period |
2024F –2028F |
|
Quantitative
Units |
Revenue
in USD Million and CAGR for 2018-2022 and 2023E- 2028F |
|
Report
Coverage |
Revenue
forecast, company share, competitive landscape, growth factors, and trends |
|
Segments
Covered |
Type Tenure
Period Company |
|
Regional Scope |
North Vietnam,
South Vietnam, and Central Vietnam |
|
Key Companies Profiled |
VPBank
Finance Company Limited (FE CREDIT), Home Credit Vietnam Finance Company
Limited, HD SAISON Finance Company Limited, JACCS International Vietnam
Finance Co., Ltd., Mirae Asset Finance Company, Vietnam Technological and
Commercial Joint Stock Bank (TECHCOMBANK), Military Commercial Joint Stock
Bank (MB Bank), Tien Phong Commercial Joint Stock Bank (TPBank). |
|
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Scope |
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regional & segment scope. |
|
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and Purchase Options |
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Delivery
Format |
PDF and Excel through Email (We can also provide the editable
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