Green consumption reshapes lifestyles, fuels business competitiveness in Vietnam

At a large supermarket in Nhieu Loc Ward, Ho Chi Minh City, Nguyen Thuy Linh, 25, paused in front of shelves stocked with milk and ready-to-eat products.

After weighing her options, she chose a milk brand that uses paper straws instead of plastic, despite its slightly higher price.

Linh said repeated floods in central Vietnam, along with media analysis linking extreme weather to climate change, had left her unsettled.

Images of homes destroyed by abnormal flooding prompted her to reconsider her role as a consumer.

Where convenience and price once guided her choices, she now pays closer attention to whether packaging is environmentally friendly.

From awareness to everyday habits

Linh’s experience reflects a broader shift.

More consumers, particularly young people and urban residents, are recognizing the need to change daily habits to reduce environmental impact.

Across supermarkets, convenience stores and shopping centers, young shoppers increasingly bring reusable bags, avoid excessive plastic packaging and opt for single-material packaging that is easier to collect and recycle.

Studies by Nielsen in 2020 and McKinsey in 2021 show that Gen Z consumers now factor recyclable packaging, corporate social responsibility, and environmental impact into purchasing decisions, alongside product quality.

Domestic surveys point to the same trend.

A 2024 poll by the High-Quality Vietnamese Goods Business Association found that 55 percent of consumers choose green products based on sustainable production and environmental friendliness, while 59 percent plan to increase their use of such products.

Spending behavior is also changing.

Many consumers are willing to pay more for environmentally friendly products, most commonly accepting a premium of 5–10 percent over conventional alternatives, signaling that sustainability values are increasingly shaping market decisions.

A representative of Packaging Recycling Organization Vietnam (PRO Vietnam) noted that young consumers today are more responsible in their purchasing choices.

Beyond functionality, they care about the story, values and transparency behind packaging, with green choices reflecting both environmental awareness and personal identity.

Businesses adapt as green demand grows

Rising demand has prompted major consumer brands such as Nestle, Coca-Cola, La Vie, and TH True Milk to accelerate packaging innovation.

Companies are increasing the share of recycled plastic, redesigning packaging to improve recyclability, and adopting more environmentally friendly materials.

Pressure to go green, however, does not come solely from consumers.

Vietnam’s National Strategy on Green Growth for the 2021–30 period seeks to promote sustainable consumption, reduce environmental and social impacts, and support the country’s net-zero target by 2050.

At the same time, extended producer responsibility regulations in Vietnam are forcing businesses to make deeper, more structural changes across their product design and packaging.

Beyond domestic rules, international standards have become a critical filter, requiring companies to transition faster if they want to maintain export capacity and remain part of global supply chains.

Regulation as opportunity, not just pressure

PRO Vietnam notes that stricter regulations can also create opportunities.

By meeting international standards, businesses can enhance competitiveness while building credible green brand images among domestic consumers.

Green transformation, the alliance stresses, is not merely a responsibility but a pathway for Vietnamese companies to secure their position in the global value chain.

Operating on a principle of co-creating value, PRO Vietnam supports member companies in fulfilling recycling obligations and regulatory compliance while optimizing costs through the alliance’s scale.

From 2022 to 2024, cooperation among stakeholders enabled the collection and recycling of more than 81,000 metric tons of packaging, a result difficult for individual companies to achieve alone.

Beyond recycling volumes, the alliance helps develop Vietnam’s sustainable packaging ecosystem by supporting market-appropriate recycling models, contributing to policy discussions and serving as a representative voice for the packaging recycling community.

As green consumption becomes embedded in everyday lifestyles, businesses that lead the sustainable transition are likely to benefit first, gaining not only stronger brand credibility but also more durable competitive advantages over the long term.