Vietnam Athletic Footwear Market Outlook to 2028

Vietnam Athletic Footwear Market Overview

• The Vietnam Athletic Footwear Market is valued at USD 1.5 billion, based on a five-year historical analysis. Key growth drivers include increased urbanization, rising disposable incomes, and heightened health consciousness among the Vietnamese population. Additionally, the surge in e-commerce, government support for local manufacturing, and the influence of global athletic brands have significantly driven consumer demand for sports footwear across the country.

• Ho Chi Minh City and Hanoi dominate the Vietnam athletic footwear market due to their large population bases, robust retail networks, and high per capita income levels. These cities exhibit higher demand for premium footwear, spurred by a strong youth population interested in fitness and athletic activities, combined with widespread access to international and local brands through both physical stores and e-commerce platforms.
• Vietnam's participation in trade agreements like the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) has reduced import tariffs on footwear, facilitating easier market entry for foreign brands and affecting domestic competition. The Vietnamese government has implemented programs to encourage sports participation, such as the National Strategy on Physical Training and Sports Development. These initiatives have led to increased public engagement in sports, subsequently boosting the demand for athletic footwear.

Vietnam Athletic Footwear Market Segmentation

• By Product Type: The Vietnam Athletic Footwear Market is segmented by product type into Running Shoes, Training and Gym Shoes, Sports Shoes, and Walking Shoes. Among these, Running Shoes hold a dominant market share due to the growing interest in running as a popular fitness activity. The promotion of marathon events and the visibility of running as a form of exercise have encouraged consumer investment in high-quality running footwear.

• By Distribution Channel: In terms of distribution channels, the market is divided into Online and Offline channels, which include retail stores, specialty stores, and supermarkets. Offline channels dominate this segment, as consumers prefer trying on footwear before purchase, valuing in-store experiences and brand engagements that come with offline shopping. However, online channels are gaining traction due to the convenience, discounts, and variety they offer.

Vietnam Athletic Footwear Market Competitive Landscape

The Vietnam Athletic Footwear Market is primarily dominated by global brands such as Nike and Adidas, along with strong local players who are gaining traction through competitive pricing and local relevance. The competitive landscape indicates a blend of premium brands targeting high-income groups and local brands catering to budget-conscious consumers, with innovation in sustainable footwear gaining momentum.

Vietnam Athletic Footwear Market Analysis

Growth Drivers

• Rising Health Consciousness: Vietnams increasing focus on public health is evident from the governments recent budget allocation for healthcare, which reached VND 234 trillion in 2024, reflecting the growing prioritization of wellness. This has indirectly boosted the demand for athletic footwear as more citizens engage in fitness activities. Data from the World Bank indicates that around 27% of the Vietnamese population is now actively involved in sports or regular physical activities. With urban youth increasingly prioritizing fitness, the athletic footwear market is expected to see continued demand from this demographic segment.
• Increasing Disposable Income: As of 2024, Vietnams GDP per capita stands at USD 4,140, showing substantial growth over the past five years (World Bank). This increase in disposable income is making high-quality athletic footwear more accessible to a broader demographic. A report by the Ministry of Planning and Investment reveals that 75% of urban Vietnamese households now consider branded athletic footwear a necessity, with spending on fitness-related goods growing 15% annually, a significant indicator of rising consumer purchasing power.
• Expansion of Organized Retail: Vietnams organized retail sector has been expanding, with the number of large retail establishments rising by 8% in the last year alone (General Statistics Office of Vietnam). This growth has facilitated better accessibility to global athletic footwear brands across urban centers. Organized retail, which constitutes 24% of Vietnams retail sector, is expected to continue expanding, with the government emphasizing modern trade infrastructure in its economic policy. This rise in modern retail formats enables consumers to access a wider range of athletic footwear, thus driving the market.

Market Challenges

• Counterfeit Product Proliferation: Vietnams athletic footwear market faces significant challenges from counterfeit goods, with nearly 30% of footwear in circulation reported as fake in a recent survey by the Ministry of Industry and Trade. This has led to a loss in revenue for genuine brands. Counterfeit production remains prevalent due to loopholes in the local regulatory framework, impacting both consumer trust and the growth of established brands. This problem continues to hinder the markets potential as local and international companies struggle to compete with counterfeit sellers.
• Fluctuating Raw Material Prices: The Vietnamese footwear industry is heavily reliant on imported materials, especially rubber and synthetic fibers. The Ministry of Finance reported in 2023 that rubber prices had risen by 12%, driven by supply chain disruptions and inflation. This price volatility affects production costs, and companies often struggle to absorb or pass on these increased costs to consumers, especially in a price-sensitive market like Vietnam. Fluctuations in raw material costs directly affect profitability in the athletic footwear sector.

Vietnam Athletic Footwear Market Future Outlook

The Vietnam Athletic Footwear Market is poised for significant growth driven by increasing health awareness, a young populations inclination toward athleisure, and the expansion of both local and global brands. Factors such as advancements in sustainable footwear, government support for local brands, and the influence of global fashion trends are expected to fuel the market. The rise of online retail channels and technological innovation in athletic footwear will likely further shape the markets trajectory.

Market Opportunities

• E-commerce Growth and Online Distribution Channels: E-commerce in Vietnam has been rapidly expanding, with sales expected to reach USD 20 billion in 2024, as reported by the Vietnam E-commerce and Digital Economy Agency. Athletic footwear brands are increasingly capitalizing on this growth by establishing digital storefronts, thus reaching a broader audience beyond urban centers. As internet penetration continues to rise, the online channel offers substantial growth opportunities for both local and international athletic footwear brands targeting tech-savvy consumers.
• Innovation in Eco-Friendly Materials: With the Ministry of Natural Resources and Environment emphasizing sustainable development, Vietnamese consumers are increasingly interested in eco-friendly products. In 2023, the ministry reported that over 40% of consumers in urban areas preferred eco-friendly products, which has prompted brands to adopt sustainable materials in footwear production. This shift aligns with global trends and offers a significant opportunity for growth, as brands that invest in sustainable materials can tap into this expanding eco-conscious consumer base.