Vietnam Home Improvement Market Size, Share & Report | 2034

Vietnam Home Improvement Market Outlook

According to the report by Expert Market Research (EMR), the Vietnam home improvement market size reached a value of USD 3.07 billion in 2024. Driven by the country’s growing urbanization, increasing disposable incomes, and a rising interest in home aesthetics and functionality, the market is expected to grow at a compound annual growth rate (CAGR) of 3.4% from 2025 to 2034, reaching a value of USD 4.17 billion by 2034.

Home improvement in Vietnam is a rapidly evolving sector, encompassing a broad range of activities, including renovation, remodeling, and the installation of new features in residential properties. With a robust real estate market, rising middle-class affluence, and increasing consumer awareness about quality living, the demand for home improvement products and services has seen a steady increase. The market is fueled by a growing trend toward home modernization, energy efficiency, and smart living solutions, which are expected to sustain the market’s growth for the next decade.

Key Drivers of Market Growth

Several key factors are driving the Vietnam home improvement market. One of the primary drivers is the country’s expanding middle class. With the steady rise in income levels, more consumers are spending on improving their living spaces, focusing on both the aesthetic appeal and the functionality of their homes. This demographic shift is encouraging greater investments in furniture, home appliances, flooring, and other renovation products.

Another crucial factor is the rapid urbanization occurring across Vietnam, particularly in major cities like Hanoi, Ho Chi Minh City, and Da Nang. As more people move into urban centers, there is a significant demand for housing that meets modern lifestyle expectations. Urban dwellers are increasingly looking to personalize their living spaces, whether through cosmetic upgrades or more extensive remodeling projects. This demand is further amplified by the growing trend of homeownership among younger generations, who are investing in their properties to create long-term value.

The rising interest in sustainability and energy efficiency is another critical driver of growth in the Vietnam home improvement market. With global concerns over climate change and environmental impact, Vietnamese consumers are becoming more conscious of the energy consumption of their homes. As a result, there is a marked shift towards energy-efficient appliances, eco-friendly construction materials, and smart home technologies that help reduce energy use and enhance comfort.

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Shifting Consumer Preferences

Consumer preferences in the Vietnam home improvement market are shifting, particularly as younger generations become more involved in homeownership and renovation projects. Millennials and Gen Z, who are tech-savvy and increasingly involved in DIY culture, are prioritizing the functionality, aesthetics, and environmental impact of their living spaces. They are also more willing to invest in smart home devices, energy-efficient appliances, and home automation systems.

One of the key areas of interest is the growing demand for modern and minimalist design elements in residential spaces. Consumers are opting for sleek, contemporary designs that emphasize clean lines, open spaces, and multifunctional furniture. This preference for simplicity has led to increased sales of modular furniture, space-saving appliances, and stylish home décor products that cater to both form and function.

The surge in popularity of home renovation and interior design has also led to an increase in demand for professional services. Consumers are increasingly turning to architects, designers, and contractors to help them execute their home improvement ideas, especially in urban centers where space optimization and design excellence are essential. This shift towards professional services is expected to drive the growth of the home improvement services segment in the Vietnamese market.

Technological Innovations and Smart Homes

Technological advancements in home improvement products are another significant driver of Vietnam home improvement market growth. One of the most notable trends is the rise of smart homes, which integrate various technologies to enhance the convenience, security, and energy efficiency of residential properties. The adoption of smart home devices, such as smart thermostats, lighting systems, security cameras, and voice-controlled assistants, is gaining traction in the Vietnamese market. Consumers are increasingly drawn to products that allow them to control their home environment remotely and make their living spaces more connected and intuitive.

Smart home technologies are not only appealing for their convenience but also for their energy-saving capabilities. Energy-efficient solutions, such as smart lighting and temperature control systems, are particularly attractive to environmentally conscious consumers who wish to reduce their carbon footprint. This demand for energy-efficient and sustainable home improvement products is likely to continue driving innovation and investment in the sector.

Additionally, there is a growing trend towards automation and digital tools in the home improvement industry. The use of augmented reality (AR) and virtual reality (VR) technologies is transforming how consumers plan and visualize their home renovation projects. By using AR/VR tools, customers can now visualize design concepts, experiment with layouts, and see the impact of different materials and colors before making purchasing decisions. This technology is revolutionizing the home improvement shopping experience, enabling more informed and confident consumer choices.

Home Improvement Services Market

In addition to the growing demand for home improvement products, the services segment of the Vietnam home improvement market  is also witnessing significant expansion. The increasing complexity of home renovation projects, combined with the desire for high-quality outcomes, has driven consumers to seek professional services. From design and planning to installation and construction, many homeowners are opting to hire experts who can provide comprehensive and tailored solutions.

The demand for home improvement services is being driven by several factors. Firstly, consumers are seeking customized and high-end solutions for their homes, which often require specialized knowledge and expertise. Secondly, busy lifestyles and lack of time are pushing many homeowners to hire professionals for tasks that they may have previously undertaken themselves. This trend is creating opportunities for contractors, designers, and other service providers to capture a growing share of the market.

Furthermore, the rise of online platforms offering home improvement services is helping to streamline the process for consumers. These platforms allow homeowners to connect with service providers, compare quotes, and read reviews, making it easier to find the right professionals for specific needs. This shift towards digital platforms is expected to continue growing, as consumers increasingly rely on technology to simplify the process of home improvement.

Vietnam Home Improvement Market Segmentation

The market can be divided based on area, project, and application.

Market Breakup by Area

• Rural
• Urban

Market Breakup by Project

• DIY
• DIFM

Market Breakup by Application

• Kitchen Renovation and Additions
• Bath Renovation and Additions
• Exterior Replacements
• Interior Replacements
• System Upgrades
• Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Vietnam home improvement market. Some of the major players explored in the report by Expert Market Research are as follows:

• Kohler Co.
• 3M Co.
• Anderson Corp.
• DuPont de Nemours, Inc.
• Truong Thanh Furniture Corporation
• TTDECOR
• Kaze Vietnam Co., Ltd,
• Others

Challenges in the Market

Despite the growth potential, the Vietnam home improvement market faces several challenges. One of the main obstacles is the high cost of materials and services, which can be prohibitive for some consumers. While the expanding middle class is boosting demand, there is still a significant portion of the population that cannot afford high-end home improvement solutions. As a result, affordable alternatives are in high demand, particularly in rural areas where home improvement is often limited to basic renovations.

Moreover, the home improvement market is also constrained by a lack of skilled labor. While the demand for professional services is growing, there is a shortage of skilled workers who can meet the high expectations of consumers. This shortage could potentially hinder the growth of the services segment, especially as the complexity of home renovation projects increases.

Finally, supply chain disruptions and fluctuations in material costs may also affect the market. The increasing prices of raw materials, such as wood, steel, and other construction supplies, could impact the affordability of home improvement products and services.