BY LOCALS, FOR LOCALS
6/2018
#iAMHCMC
#iAMHCMC
By Locals, For Locals
SHOPPING FEATURES 4. Vietnam’s Big Trends in Shopping 6. Leather de Luxe 8. Saigon’s Top 10 Hidden Markets 10. The Extended Lifeline of Print Publishing in Vietnam
11. Key Opinion Leaders: Influencing Retail Decisions in Vietnam
14. “Mac Qua!”: Why We Bargain in Vietnam
16. Moto Repair Price Guide 18. Saigon’s Secret Organic Food Suppliers 20. Amazon Makes First Inroads To Vietnam 22. Spotify Comes to VN, Still in the Red 23. Travellers: VN Lacks an Essential Souvenir
24. Purchasing with Purpose: Sustainable
Readers, Let’s cut to the chase: “wow” is a word I said a lot reading this new round of stories for the shopping edition. Check this out: revenue from print books in Vietnam was VND5.9 trillion in 2017, which is an increase from VND4.92 trillion in 2014. It may only feel like books are on the wane, but Sivaraj Pragasm found otherwise in his reporting for this edition. This is not only an issue about shopping and shopping-adjacent issues, but also an edition where we take you out to some of Saigon’s noteworthy retail spots, like District 1 leather retailer JR Rostaing, a fashion brand that has its roots in 18th century France. That piece comes to us courtesy of our Senior Writer Molly Headley-Benkaci. Or how about J.K. Hobson’s adventure seeking out Saigon’s hidden markets? Hobson went out to find where one might purchase treasured acquisitions at Chinatown’s lantern market and the city’s unofficial pet market in District 5. Elsewhere in this edition, we’ve discovered that airfare is due to rise in July thanks to our Hanoi writer Tran Thi Minh Hieu. We also discovered that some Saigon businesses are spending over three times the price of a regular straw in favour of reusable ones. Troi oi! The #NoPlasticStrawChallenge is no cheap trick. These are well-reported, solid stories that I’m proud to offer you in this month’s #iAMHCMC. Enjoy.
Shopping and Other Ways to Be A Good Person
HEALTH FEATURE
Jesús López-Gómez Content Manager
27. Study: Air Filters Provide Enormous Benefits
BUSINESS FEATURE 28. The Rise of Cryptocurrency
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ENVIRONMENT FEATURE 30. #NoPlasticStrawChallenge: Another Case of Greenwashing?
SOCIETY FEATURE 31. Uber Out 32. The Gender Gap In Vietnam is Narrower
CEO Patrick Gaveau Executive Assistant Thao Dao Finance / Admin Celine Huynh Production Manager Son Nguyen Accountant Minh Huynh Account Manager Florian Le Guen
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Than You Might Think
TRAVEL FEATURE 34. Price Watch: Airfare on the Rise
Sr. Writer / Editor Molly Headley-Benkaci Writers Tran Thi Minh Hieu J.K. Hobson Sivaraj Pragasm Jon Aspin Traffic Coordinator Huong Pham Front Cover Øyvind Sveen Design Manager Hera Nguyen
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This Month in #iAMHCMC
“The most important thing [about a loud engine] is ... it may cost you a lot of money.” Mechanic Duong Brooks on why you shouldn’t ignore a noisy motorbike
“We believe that moving and logistics companies must evolve just as the consumers and clients we serve have evolved. What was important 20 years ago was profit. That thinking is now redundant. What we must now consider at each turn today is profit, people, planet.”
“Some people buy a bag just for the brand—they’ll buy a plastic bag if it’s made by a prestigious brand. But now more and more people are looking for a high-end bag that looks beautiful and lasts.”
Less than one week after Amazon announced the partnership, Chinese billionaire Jack Ma’s e-commerce giant Alibaba increased its investment in Lazada, one of the largest e-commerce platforms in Southeast Asia.
Karine Rostaing, customer liaison for JR Rostaing commenting on the market for luxury leather goods
#iAMHCMC writer Tran Thi Minh Hieu on Amazon’s much-anticipated entrance into Vietnam’s e-commerce market
“I just walk away. They will run after me and tap on my shoulder and I’ll go back and get what I want.” Olia Raphaeleva, a young artist from Moscow living in Hanoi, talking about her bargaining techniques
#iAMHCMC writer Sivaraj Pragasm explaining the future of printed books in Vietnam
Annie Hansen, founder of Evolve Mobility moving company, on why sustainability in business matters
Spotify described Vietnam as a ‘mobilefirst nation’ that has a large appetite for content consumed by the small screen. Writer and editor Jesús López-Gómez reporting Spotify’s Vietnam debut
The average adult in the world reads four books a year, a drop from six books in a 2012 survey.
“Out of two equal candidates for a job— one male, one female—who would be more likely to be hired? Almost all of the female respondents surprised the audience by saying it would be the woman.” Ho Ngoc Anh, marketing manager for British Business Group Vietnam, reflecting on a forum about gender balance in the workplace
“Many people know how to do tattoos, but don’t know how to do art.” Tattoo artist Quoc “Seven” Nguyen on why Spade Art Tattoo Studio is called a “studio” rather than a “tattoo parlour” 3
VIETNAM'S BIG TRENDS 66% 80%
of Vietnamese consumers want all-natural foods.
Brand not quality, price, or anything else—was the most important factor influencing purchasing decisions, according to 80 percent of Vietnamese respondents.
82%
PAY ONLINE
E
SAV
24/7
50%
48%
of Vietnamese consumers will have discretionary income this year.
4 | iamhcmc.com/gazette
TR NU
52%
of Vietnamese wish to be rich.
HY ALT E HE LIF ITION
US$100 BILLION
By 2025, consumer spending will be racing toward the US$100 billion mark in Vietnam.
74%
of Vietnamese shoppers read nutritional labels carefully.
In 2016, 82 percent of customers reported planning their grocery store purchases in advance, an eight percent increase from the year prior. The rural population in Vietnam has declined for the first time.
IN SHOPPING Indonesia was the second largest retail market in Southeast Asia in 2018, but now it’s Vietnam.
67%
51%
Internet usage this year was reported at 67 percent nationally.
Nearly 51 percent of all of Vietnam's digital users shopped online in 2017. That number will grow to 58 percent by 2020.
US$217 BILLION Consumer spending will increase US$217 billion in the 10 years leading to 2020.
18%
The number of new private businesses has grown by 18 percent annually.
68%
Smartphone usage is at 68 percent across the nation. Almost 90 percent of city dwellers own a mobile device.
Vietnam’s middle class is slated to grow by 88 percent between 2010 and 2020.
URBAN DENSITY
in Ho Chi Minh City is higher than Tokyo now.
15%
of online shoppers paid digitally in 2016.
$500
The number of households earning over $500 per month more than doubled in 2017
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#iAMHCMC
SHOPPING FEATURE
by Molly Headley-Benkaci
JR Rostaing
origin of the leather. These exclusive touches lift the bag to status symbol level.
Bespoke Everything in the store can be customised and tailor made. A sunglasses case might set you back VND1 million, while a custom bag depends entirely on the type of leather and the details. The only limit is your imagination and of course your budget. 100 Vo Thi Sau, D1
Cincinati / Ne-Yuh: Vietnamese Brands for International Tastes The Brand Story
Leather de Luxe Sidestep Dong Khoi and put down that Burberry bag—whether it’s the real deal or a knockoff. There’s a new trend in Vietnamese leather accessories and it doesn’t involve paying an outrageous mark-up for a designer name or settling on a copy that will fall apart before you even get it home. These savvy brands based in HCMC are seeking to change the image of Vietnam-made leather accessories by focusing on the attention to detail and one of a kind customisation that was previously only seen in European luxury houses.
JR Rostaing: The French Savoir Faire in Vietnam The Brand Story Maison Rostaing, a family-run leather manufacturer, set up shop in France back in 1789. But the company’s story in Vietnam began more recently when heir to the business Jacques Rostaing decided to bring his family’s knowledge, what the French call savoir faire, to HCMC by founding a tannery in 1994. Since then, the tannery has treated and crafted top of the line leather products for many elite French fashion brands. In September 2017, the company decided to launch their own product line called JR Rostaing. 6 | iamhcmc.com/gazette
Walk into the JR Rostaing boutique and you’ll be met with rows of perfectly crafted handbags and accessories. The leather ranges from the opulent—ostrich, stingray, snake and crocodile skins—to the eco-conscious, leather that is tanned using only tree bark and no chemicals. Karine Rostaing, customer liaison, has been in Vietnam for 24 years. She interviewed with #iAMHCMC in French about how the market for luxury products has changed.
Some people buy a bag just for the brand—they’ll buy a plastic bag if it’s made by a prestigious brand, Rostaing said.
The doorway that leads into the Cincinati and Ne-Yuh boutique in D1 feels like a secret passage into a vintage leather-working studio. Walk inside and the narrow storefront opens up into a bright shop where customers are met with an array of meticulously arranged handbags and accessories. From the M.O.O.N. bag, which is crafted into a zen circle to a mini bag called the Saigon Chic clutch, which could have been inspired by the iconic woven bags from Italian luxury house Bottega Veneta, each piece showcases the beauty of the leather. As a child Huyen Nguyen, the brand’s founder and designer, had a prized possession: a backpack. At this time, backpacks were still scarce in Vietnam and Nguyen knew how special it was. With her line of meticulouslydesigned leather goods, Nguyen has brought to life that feeling of owning something rare.
Other brands use leather that is not a good quality and then they spray paint it so that the leather looks perfect. But now more people are looking for a high-end bag that looks beautiful and lasts.
The Leather The animal skins used to make the products primarily come from Europe and are then transported to Vietnam where they are treated in the tannery. Every haute couture bag is lined with a one-of-a-kind French silk scarf and all crocodile skin handbags have an embossed serial number inside the bag, which is the international governmental customs method for proving the
Ne-Yuh
SHOPPING FEATURE
by Molly Headley-Benkaci
Nguyen began her family-run business in 2008, when she opened her first factory manufacturing leather bags. Every piece is entirely handmade by artisans. Cincinati was the first brand to be created and initially focused on a more masculine aesthetic. Ne-Yuh launched in 2014 and embraces femininity and innovative shapes. Nguyen’s companies have risen to the top of Vietnam-made leather goods because of their ability to engage both domestic and international markets—50 percent of the business’ products are exported—as well as being an ambassador for the fashion and lifestyle of a new generation of Vietnamese businesses.
The Leather Some brands use leather composite, which involves taking leather fibres and gluing them together then coating the sheet of leather with varnish. In contrast, Nguyen’s factory uses only whole leather from India or Italy, which has a softer texture and also ages beautifully.
Bespoke “We are proud to say that all products are made in Vietnam”, Ngon Huynh, export sales director said. “There are very talented artisans here. That’s why all the foreign customers come in.” “However, the Vietnamese market is different. The Vietnamese people like things that are from abroad. You have to market things differently to them if you’re a Vietnamese brand.” One of the ways that Cincinati and Ne-Yuh do that is through customisation. In their D1 boutique,
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there is a “Build a Bag” workshop. Clients can make an appointment with the store and come in to choose their leather, accessories and style. Initials can be added anywhere on the bag. One new concept is the his & her bags. A couple can select matching styles and then personalise the pieces with each other’s initials. 60-62 Mac Thi Buoi, D1
Desino: Youthful Elegance The Brand Story Ten years ago Huy Nguyen, general manager of Desino, had an idea. A technical engineer with a flair for fashion, Nguyen had a taste for quality, yet he had a hard time finding what he wanted. “Either the product was right but the price was too high or the price was right but the quality was low”, Nguyen said. Instead of waiting around for the market to change, Nguyen found a leather producer that was willing to create products to serve his vision, and Desino was thus born.
The Leather Using the overstock of the leather created for top luxury brands, Desino is able to make bags out of the highest quality leather but at a reasonable price. The products range from candy-coloured tote bags to buttery beige leather satchels. “We are not aiming to be the artisanal brand.” “We are aiming for excellent quality with a more
Desino
commercial purpose”, Nguyen said. “People who want to buy something for daily use can come to us. People who want identity come to us. We can add on all the personal touches.”
Bespoke People can use a classic bag as a base and then add whatever details they desire. An in-house artist can custom paint any product to the client’s specifications. According to Nguyen, Desino’s clients go wild for a cross-body bag that can be customised with painted graffiti-like slogans, beaded skulls, birds or anything they can dream up. “Right now luxury is all about identity”, Nguyen said. “Everyone can have the same quality. Everyone can choose to say ‘the more expensive the better’. But we give them something that they can create.” 10 Nguyen Thiep, D1
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SHOPPING FEATURE
J.K. Hobson
Saigon’s Top 10 Hidden Markets Saigon brims with energy, much of which comes from its abundance of commerce, especially the local markets. Some of them, like Ben Thanh, Tan Dinh and Binh Tay markets, are famous tourist attractions that seem to stimulate every sense at once. There are a myriad of specialised markets in Saigon that eschew the touristtrapping nature and are a deep part of local life. Much of Saigon is hidden under its rich layers. These hidden markets are rare gems.
Lantern/Decorations Market Hai Thuong Lan Ong Street in Chinatown is the go-to spot for anyone interested in purchasing decorations and especially lanterns. It is especially frequented by locals looking for decorations during the Tet festival. You’ll find artificial peach and apricot blossoms, models of red carp, gold coins, and red envelopes for handing out the traditional “lucky money”. Tasty snacks like sticky rice cake are abundant on the street. In the month leading up to the mid-autumn festival a variety of traditional lamps are available for the holiday of the harvest. Crossroads of Hai Thuong Lan Ong Street and Luong Nhu Hoc, District 5 8 | iamhcmc.com/gazette
Chinese Medicine Market
the air as visitors peruse the aisles. It’s the place to go to procure the ingredients necessary for the time-honoured tradition of medicine.
The Chinese Medicine Market in Cho Lon (Chinatown) is home to over 180 Chinese medicine stores and clinics. Located on Hai Thuong Lan Ong street and the bordering streets of Luong Nhu Hoc, Phan Huy Chu and Trieu Quang Phuc, the area boasts the biggest collection of traditional Chinese medicine in the south of Vietnam. The smell of herbs permeates
Hai Thuong Lan Ong street and the bordering streets of Luong Nhu Hoc, Phan Huy Chu, Trieu Quang Phuc, District 5
Motorbike Accessories Market With over 8 million motorbikes and counting, Saigon is the motorbike capital of the world, so it stands to reason that it would have a dedicated market for motorbike accessories. It’s on Nguyen Chi Thanh street in District 5. Hundreds of stores peddle wholesale and retail parts for Honda, Suzuki, Yamaha and Piaggio motorbikes, ranging from original expensive parts to cheap Chinese knock-offs. Nguyen Chi Thanh and Nguyen Tieu La streets, District 5
Thuan Kieu Bird Market One of the most colourful markets is the lively Thuan Kieu Bird Market, a well-hidden gem at the
SHOPPING FEATURE
J.K. Hobson
crossroads of Thuan Kieu, Hong Bang and Chau Van Liem streets in District 5 and nestled under an old tamarind tree. Opening at 6 a.m. and closing at 6 p.m., hundreds of bird cages and birds of many colours, sizes and breeds are displayed. Even more plentiful than the birds are the stockpiles of insects like locusts, crickets, centipedes, grasshoppers, ticks and termites sold as avian cuisine. Be sure to check the collection of scorpions, snakes and other uncommon creepy-crawlies. Crossroads of Thuan Kieu, Hong Bang, and Chau Van Liem streets in District 5
Le Hong Phong Pet Market Le Hong Phong street is the proverbial place to “see a man about a dog”. It is home to a strip of pet stores. Moved from District 1 to District 10 in 2000, locals refer to it as the Pet Market, and it is is known as the primary place where pets (mostly dogs and cats) of numerous sizes and breeds can be purchased, some of them for thousands of US dollars each. On a more unfortunate note, this is one of the first places that people who are in search of their stolen pets come to in hopes of being reunited with their furry friends. Between Ly Thai To and Hung Vuong streets on Le Hong Phong, District 10
Second-Hand Items The somewhat poetically-named Market of Unused Things (Ve Chai) in Binh Thanh is
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the closest thing to a never-ending garage sale. Ve Chai refers to articles that no longer have use. Established in the late aughts, it features used knick-knacks such as watches, Zippo lighters and jewellery. You might even be able to find some vintage vinyl treasures. Cao Minh Cafe, 255/47Bis No Trang Long Street, Binh Thanh District
Trang Tu Fruit Market If you’re looking for affordable fruits and veggies, go to the produce market on Trang Tu street in District 5. Next to the Cho Lon coach station, sellers bring delectable delights directly from the Mekong Delta and other farmlands in Vietnam. Fruits like mangosteen, tamarind, sapote, soursop, dragon fruit and rambutan can be found here. You can peruse and purchase produce without even having to get off your motorbike. Corner of Trang Tu and Phu Huu streets, District 5
Ho Thi Ky Flower Market Ho Thi Ky Flower Market is the premier wholesale flower market in Saigon. It is a mere 500 metres, but along its kiosks, everything necessary to create ornate floral arrangements can be purchased. The array of flowers make it one of Saigon’s most beautiful (and exquisitelysmelling) markets.
Near Hem 52 Ho Thi Ky between Ho Thi Ky and Tran Binh Trong
Electronics Market Ly Nam De, Tan Phuoc, Vinh Vien, Ly Thuong Kiet Street in District 10 are where you’ll find the largest conglomeration of electronics shops in Ho Chi Minh City, including items that may be seen as outdated to some but are very well-priced. It features an abundance of smartphones, laptops, adapters, headphones and other electronic accessories, displayed on plastic sheets spread out across the pavement. Ly Nam De, Tan Phuoc, Vinh Vien, Ly Thuong Kiet Streets, District 10
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by Sivaraj Pragasm
SHOPPING FEATURE
The Extended Lifeline of Print Publishing in Vietnam
investment to developing applications that will enable users to read publications online or through a device. This indifference from the Vietnamese publishing industry towards e-books is probably the thread that’s keeping printed books on the shelf.
A Dying Habit
While printed books are on a steady decline around the world, sales in Vietnam seem to be improving. What’s the reason for this phenomenon and will it last? Many of us grew up enjoying the experience of buying a brand new book from a physical bookstore. However, as technology bulldozed its way into our lives, along came e-commerce and online bookstores like Amazon, where you can buy your favourite novels without even leaving your home. Therein signalled the death knell of physical bookstores around the world with major chains such as Borders shutting up shop as well as smaller book boutiques being run out of business.
The Vietnamese Paradox However, a global issue might not necessarily be a Vietnamese issue. According to waka. vn, the largest online book library available in Vietnam, the number of published printed books numbered 67,000 copies in 2017, the highest on record since the last peak of 65,000 in 2015. Of these published books, 93 percent were released in Vietnamese, with English books only making up 4 percent of the total figures. A majority of these were children’s books and literature for adults. 10 | iamhcmc.com/gazette
News of the decline in printed books sales and the death of bookstores in other developed countries might seem like a strange phenomenon to the Vietnamese. The sales figures of printed books in Vietnam show a different trend: sales are up. The total revenue of printed books in 2017 was an estimated VND5.9 trillion, much higher than 2014’s VND4.92 trillion.
Resistance to Change One reason for the phenomenon is that while e-books are becoming increasingly popular around the world and are showing huge potential for development in recent years, only 137 publications out of the nearly 26,000 released in Vietnam in 2017 became digital publications, according to statistics by the Department of Publishing, Printing and Issuing under the Ministry of Information and Communications. The number of published e-books have actually been on a steady decline with an estimated 635 releases in 2017, a huge drop from 2,774 in 2015. Arguably, this is due to Vietnam’s publishing houses not giving enough attention and
So while printed books still remain a part of life in Vietnam, the habit of taking time to savour what is read is slowly starting to fade with many opting to read content from their smartphones and tablets. Instead of reading books, many people prefer spending their time on social networks, with an estimated 36.75 million Vietnamese users in 2017. Some people are also turning to online games and films during their free time.
According to a survey conducted by Pew Research Centre in 2016, the average adult in the world reads four books a year, a drop from six books in the 2012 survey. According to Nhan Dan Online, the average Vietnamese reads 1.2 books a year, way below the global average which leads to a puzzling paradox who’s buying all these paper books? Unfortunately, statistics have thus far given us no clues.
An Inevitable End? Maybe the only reason books haven’t gone extinct in Vietnam is due to publishers still being skeptical of digital alternatives. However, times change and mindsets too, and it may only be a matter of time before the global trend reaches Vietnam and paper books start to disappear. In the meantime, it is still not too late to visit a bookstore in Vietnam and enjoy turning the paper pages of a novel, if anything, to reminisce and to keep a part of what may soon be history.
SHOPPING FEATURE
by Sivaraj Pragasm
#iAMHCMC
Key Opinion Leaders:
Influencing Retail Decisions in Vietnam The rise of retail decisions being influenced by online opinion leaders in Vietnam is a sign of brands learning to target a more informed and educated consumer base. How effective is it? The term “influencer marketing” is a common marketing buzzword used globally by brands and advertising agencies to target specific groups of consumers by involving an individual or personality with a strong social media presence to create branded and unbranded content.
Influencers—also generally referred to as Key Opinion Leaders (KOLs)— are seen as both ambassadors for a particular brand and a representation of the typical consumer with an opinion that goes far and wide, thereby being able to influence consumer choices. By helping to build awareness and sales among a target demographic—usually the tech-savvy and those who spend more time online than in
front of the television—influencer marketing is on its way to becoming more popular than traditional marketing tactics relying on print and television ads.
The Country’s Influencers in Various Industries So who are the notable influencers in Vietnam today? According to Influence Asia Council, Vietnamese influencers are listed in various categories. Well-known beauty KOLs include: Changmakeup, Chloe Nguyen, Trinh Pham and Quynh Anh Shyn. Decao, Chau Bui and Kelbin Lei are sought after for their opinions on fashion. And for food, Helen Le, Kiyoshi Jiro, Ninh Tito and Esheep Kitchen top the charts in terms of followers and social media reach. Other content categories where these figures are active include health, lifestyle and parenting. YouTube personalities such as An Nguy, Pho Dac Biet, JVEvermind and HuyMe Productions
are also constantly engaged by brands to incorporate branded and unbranded content into their channels.
Becoming an Influencer Celebrity endorsements on television commercials are still a common marketing tool for brands. However, these commercials are mostly staged and the personality in question may or may not actually be using these products.
This is part of what gives the opinions of KOLs a stronger edge. They typically have active Instagram and Facebook accounts specialising in a particular topic, and they start to gain recognition as an opinion leader when they are seen actually using the products. Beauty bloggers for example, often start off by highlighting products which they feel are best for their skin and by applying them in front of a camera. They then post reviews about the 11
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SHOPPING FEATURE
product. This format gives consumers a chance to see the products in action, with a credible review by someone who actually used it. Sometimes the road to becoming an influencer can appear by chance. For example, when popular YouTube content—like video game commentary by bloggers like PewdiePie, or even videos of new products getting unboxed by tech geeks—receive high viewer numbers the content creator can be transformed into an influencer.
Almost Everyone Online Follows One In Vietnam, influencer marketing has reached new heights with global brands such as Samsung getting into the fray. Samsung recently launched their Galaxy S9 phone with a campaign featuring YouTube personalities creating content using the phone’s camera and highlighting its enhanced slow motion feature.
More than 60 percent of internet users of all age groups in Vietnam have interacted with an influencer by either liking or sharing their content, according to consumer research firm DI Marketing. 12 | iamhcmc.com/gazette
Nearly half of internet users have gone one step further and commented directly on the content. Most internet users in the country rely on Facebook or YouTube to follow influencers. According to a 2016 survey by DI Marketing, 84 percent of respondents follow an influencer on Facebook, 61 percent on YouTube and 59 percent rely on online news sites. The wide reach of these influencers is the main reason why marketers in the country are resorting to social networks as a key marketing channel.
Three Modes of Engagement There are three styles that define the way influencers and brands interact. The first is that of mutual benefit. Influencers and brands can share a symbiotic relationship by giving influencers the freedom to post content the way they always do, while incorporating the brand’s message. This was achieved by Samsung Vietnam, with the Samsung Insider Circle, a community made up of invited influencers with tailor-made content for the brand. This allows influencers to post Samsung-related content on their own channels without veering away from their usual content and still get paid for it.
by Sivaraj Pragasm
One example would be the social media campaign for the new Galaxy S9 phone where KOLs such as beauty blogger Chloe Nguyen released videos of her usual makeup routines that were shot on the phone, using its “super slo-mo” function and uploaded on her Facebook and Instagram accounts. Although the actual video was unbranded, the captions that accompanied the videos, including the hashtags #samsung_vietnam and #WithGalaxyS9 were more than enough for audiences to know what camera the videos were shot on. The second style is reeling in the KOLs by designing events tailored to the influencer’s needs.
Influencer marketing is still a very new trend and many brands view influencers as a media channel, instead of a creative in their own right. Le Meridien Saigon solved this by offering a six-month-long campaign that invited influencers to give workshops and be a part of the hotel’s coterie of luminaries. The third style is to provide a real experience. The current practice among beauty brands is to provide a sample of their product to an
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influencer to showcase and review, which usually yields a positive response by the influencer. For the launch of beauty brand Kiehl’s’ Calendula line for example, they created a creative concept titled “Peace, Love and Calendula” and sent out physical invites to influencers for an event at Takashimaya Saigon. At the event, beauty bloggers were invited to the Kiehl’s counter to get exclusive access to the products, and the chance to meet their fans while at it. This turned what could have just been a digital campaign, into an interactive, offline experience where products could be seen and touched and the audience could see the product applied in real time on their favourite personality, instead of just through a cold photograph or video on their newsfeed.
If You’re Big, It Pays As the relationship between brand and influencer continues to evolve, with more integrated brand messaging platforms thanks to digital marketing agencies and influencer platforms innovating ways to reach bigger audiences, being an influencer might just be a legitimate career path for those seeking to establish themselves as a credible source of
information, while enjoying the spotlight and the many benefits that come with it. “Me, too - All my worldly goods are going to me!”
YouTube pays the most, according to Forbes. Those with 7 million followers earned US$300,000 for sponsored Specialists in Wills + Estate Planning content. On Facebook and Instagram, for Expats in Vietnam the influencers reported earnings Tel: +84 28 3520 7745 www.profwills.com roughly half that.
Your Will?
Influencer platforms such as Hiip, the largest in Vietnam, has a database of over 2,000 influencers with a clientele that includes international brands such as Heineken and Unilever. There are also dedicated media production companies such as Yeah1 Network that specialise in working together with influencers to create video content for them in partnership with brands.
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Ultimately, it is up to the influencer to determine if they want to be a credible source of information for their followers, or turn into a media channel themselves by becoming the bridge between brand and consumer, or in an ideal situation, striking the right balance between both. This can only be done by being particular with the campaigns they choose to get themselves into and not be bogged down by posting content they don’t believe in. 13
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by Tran Thi Minh Hieu
SHOPPING FEATURE
Bao nhieu mot ki cam? How much is a kilogram of oranges?
VND40,000 mot ki 1 kilogram of oranges is VND40,000
Cam ngot khong? Are these oranges even sweet?
Mac qua! VND30,000 duoc khong? So expensive! How about VND30,000
Duoc! OK! That’s fine
Ngot lam! They’re very sweet.
“Mac Qua!”:
Why We Bargain in Vietnam Bargaining has been a part of Vietnamese culture for as long as markets exist. It is a good chance to interact personally with local people, so don’t be shy and embrace the experience. Bargaining might seem like a strange custom to first time visitors to Vietnam. Most of us are used to the fixed price system in supermarkets and malls, so it may be perplexing to walk into Ben Thanh Market, one of the oldest and largest markets in Saigon, and bargain your way down to half the initial price to get a simple souvenir. There’s a history behind that.
The Old System
to bargain, and the buyer, having a general idea of what it should cost or a benchmark in mind, would adjust their offer accordingly. The conversation would and still does go on for as long as one has the patience for it. Some sellers are more firm than others about their pricing strategy, and steadfast buyers can simply walk away when they don’t get the price they want. Sometimes this will make the seller think twice–—they’d rather make a sale for a lesser price than let a competitor get the sale.
Ask the Locals Before the introduction of the price tag, the only way to learn the price of an item was to ask the seller. It was entirely up to the seller to say whatever price they wanted as an invitation 14 | iamhcmc.com/gazette
If you want to learn how to bargain properly and effectively, ask an older Vietnamese person.
Bargaining creates an opportunity for personal interaction, as opposed to a more convenient yet more impersonal purchase at a supermarket. This is why Vietnamese people from older generations still enjoy bargaining as a part of their life. “You can haggle at almost every local store. It’s a common practice”, said Tran Van, a pensioner in his sixties. “For example, when I want to buy a chair I look up the price on the Internet, and then I go to a nearby store and they name a higher price. I’ll haggle until they give me a reasonable price.” “Even when there is a price tag on the clothes, I still ask for a lower price to see if they give in”, Le Phuong, a middle-aged housewife added. Meanwhile, younger people who’ve grown up
SHOPPING FEATURE
by Tran Thi Minh Hieu
#iAMHCMC
with fixed prices already commonplace in many stores are more hesitant to bargain. A group of office girls in their twenties who spoke to #iAMHCMC for this piece said they usually bargain only when going to the market. They feel that haggling in other places is uncomfortable and unwelcome, and they’d rather leave the store in peace. For these women saving face is more important than saving a few thousand dong.
Live Like a Local Olia Raphaeleva, a young artist from Moscow said she has developed a rough idea of how things are priced after two years living in Vietnam. And with a basic command of Vietnamese phrases—“Bao nhieu?” (“How much”) and “Mac qua!” (“Too expensive!”)—Raphaeleva has become familiar with the process. “If the price is not fixed, I can talk about price”, Raphaeleva said. “As soon as I speak some
Vietnamese in a friendly way, and show that I’m interested in buying it, only the price makes me hesitate. They will give me a lower price.” When asked what she’d do if the seller refuses to give in, Raphaeleva replied, “I just walk away. They will run after me and tap on my shoulder and I’ll go back and get what I want.” Raphaeleva lives in a Hanoi neighborhood unfrequented by tourists. She has a few favorite stores that she often goes to for clothes, groceries and art supplies, and she usually gets a discount from the owner for being a friendly loyal customer.
She said people tend to assume foreigners are rich, so they are surprised to learn that she also needs to save money and haggle to buy reasonably priced stuff. But since she lives among local people and gets acquainted with them, they start treating her more like a special friend than a foreigner.
It seems that no matter where you come from, you can learn new skills and appreciate different customs, and bargaining is one of those. It is part of life in Vietnam, so don’t be shy and embrace the experience.
A Super Brief History Of Ben Thanh Market Ben Thanh Market was first created as an informal gathering of street vendors near Ben Nghe River, now called Saigon River. The name Ben Thanh came from the location of the market between a river port (“ben”) and Saigon’s ancient citadel (“thanh”), Gia Dinh, which was destroyed by the occupying French in a military struggle that preceded the establishment of the French colony Cochinchina. After the French colonial powers demolished the Gia Dinh citadel in 1859, they formally established Ben Thanh Market, and moved it to the current building in 1912.
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#iAMHCMC
SHOPPING FEATURE
by Jesús López-Gómez
Moto Repair Price Guide Change Brakes Thay bo thang
Clutch Replacement Tay con
Tire Inner Tube Ruot xe
Gear Oil Change Thay nhot hop so
Alternator Service Motor de New Tire Lop moi
Battery Binh
Gear Box Service Sua hop so
Change Oil Thay nhot
SERVICE
PRICE
Battery service
VND250k - VND300k
Clutch service or replacement
VND300 - VND1m
New front tire
VND150k - VND350k
New rear tire
VND180k - VND250k
Tire inner tube
VND60k - 100k
Gearbox service or replacement
VND350k - VND1m
Gearbox oil change
VND25k - 50k
Alternator service or replacement
VND180k - VND250k
Oil change
VND100k - VND125k
Brake service or replacement
VND50k - VND 150k
Like many, your motorbike maintenance strategy may be “drive it until it makes a funny sound or is non-operational.” Instead, we suggest scheduling regular mechanic visits according to a maintenance schedule. We talked to local mechanics to get a sense of how much you should pay for these common repairs. Just by the law of averages, if you’re reading this and living in Vietnam, you are likely one of the country’s millions of motorbike owners. 16 | iamhcmc.com/gazette
If you’re a foreigner, this might be the first two-wheeled, motor-powered transport you’ve ever owned. As such, your approach
Rear Tire Vo sau
to maintanence may be to just drive it around until you hear the bike make a weird sound or perhaps expell smoke. While that’s not the best way to learn about the needs of your bike, a change in sound can be an important first signal that your bike needs attention from a professional, mechanic Duong Brooks said. “It might be a bad engine. If the sound is really loud, it might be a piston”, he hypothesised. “Or you’re losing oil more quickly than normally.” Brooks, the co-owner of Binh Thanh district motorbike garage DC Motorbikes, said excess or abnormal noise from a bike might mean a variety of things, most of them bad. “The most important thing is… it may cost you a lot of money”, he said. To avoid a costly and unplanned visit to the mechanic, Brooks said motorbike owners should hew to a schedule of routine mechanic visits to get basic repairs done. And while you can’t avoid driving in the rain, you should take care of your bike if you plan on braving a downpour in a
SHOPPING FEATURE
by Jesús López-Gómez
#iAMHCMC
What do you do in that situation? If you’ve been in town for any more than a few weeks, you’ve likely see two motorbikes riding in tandem, with one pushing from behind with the driver’s foot on the other’s passenger foot pegs. One option is to summon a Grab to do the same for you. But where do you go? What garage should you select? Thankfully, the high saturation of motorbikes means a sua xe, or “bike repair shop”, is never far away. Ask for directions. If you’re in the city, you likely have your pick of garages. Great, but how do you tell the good ones from the bad ones? poncho on two wheels. Drive slow as the tires and road will have a thin layer of water between them reducing the grip of the rubber. Also, avoid flooded roads. If rising waters from the road enter your exhaust, you may have a pricey repair on your hands.
wheels or someone with limited Vietnamese, you’re more than likely going to avoid the mechanic until absolutely forced to go. Maybe your bike just inexplicably shut off in an unfamiliar part of town.
Undeterred? Depending on how much water got into your bike and how badly it was damaged, the repair for this issue may go as high as VND2 million. All things considered, let’s be frank: if you’re an inexperienced motorist, a first-timer on two
Motorbikes are complex, but this issue need not be. Brooks said look for the telltale sign of many customers. A busy garage with plenty of bikes and business may be a safer bet than one with less business.
SERVICE
FREQUENCY
Oil change
Every 1,000 km
Brakes
Every 6 months
Gear oil change
Every 2,000 km
Battery
Every year
Saigon South Campus 1 - 8 to 18 yrs Saigon South Campus 2 - 2 to 7 yrs located in KDC Trung Son, Binh Chanh
Recognised as “an outstanding school” by British Government inspectors, The ABC International School delivers a globally valued UK curriculum for students aged 2–18 years, based on best professional practice. Facebook: ABC International School, Ho Chi Minh City, Official Email: office@theabcis.com Tel: (84.28.) 5431 1833
www.theabcis.com
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SHOPPING FEATURE
by Molly Headley-Benkaci
Saigon’s Secret
Organic Food Suppliers The search for truly organic food in Vietnam has always been a bit difficult. Ines Quoico, owner of The Organik Shop and Organik Da Lat Farm, previously told #iAMHCMC that not only are there no certifications issued for organic farms in Vietnam, but the ordeal of getting certified through the European Union, a similar US food safety body or another certifying organisation involves finding land that is not infected with dioxin, then flying in auditors to test the soil, the water, the fertilisers, and to perform countless other trials. Yet, without these certifications the word “organic” holds no weight. What’s more organic farms are complicated and costly to run as a result. Yet, these challenges don’t change the fact that there is a demand for safe, well-made food in Vietnam. When people read another news story about a food scandal such as battery acid allegedly being used to darken coffee, or formaldehyde extending the shelf life of noodles, they turn towards labels they feel like they can trust and organic fits that bill. A report in Viet Nam News estimates that organic food revenues have reached VND3 trillion. 18 | iamhcmc.com/gazette
So where can you go to find products with that little green organic label? Most supermarket chains carry at least a small selection of organic fruits and veggies from Da Lat at this point but the big players in the organic food scene are mainly in well-heeled D2. Nam An Market (21 Thao Dien, D2/303 Nguyen Van Troi Tan Binh D) and The Organik Shop (8 Thao Dien, D2) are the places to go for the biggest selection but Annam Gourmet (41A Thao Dien D2/16-18 Hai Ba Trung, Saigon Center, 65 Le Loi, D1) and BlackMarket (18 Tran Ngoc Dien, D2) also feature a nice choice of organic offerings amongst their international imports. D7 and D1 have similar stores. But where do you go if you’re interested in smaller businesses, specialty products, or food delivery? Read on.
Farm to Doorstep Looking for a food delivery service that is a bit more health conscious than Domino’s Pizza? Vuon Rau can deliver boxes of fresh fruits and vegetables right to your door. The organic products are clearly marked across the top with
a green banner. The website is in Vietnamese, use Google Translate to navigate. vuonrau.com Chopp delivery is a grocery delivery service that consolidates all of your market shopping into one easy to use website and app. A quick search of the word “organic” pops up 274 products, from imported baby food to fruits and vegetables from Naman, The Organik shop or numerous other locations. chopp.vn
Vegan Snacks La Holista is more than just a place to grab healthy food. It’s a one-stop shop for a full body recharge. La Holista focuses on health coaching and meal plans for corporations and schools as well as cooking classes and healthy shopping tours. But most importantly they’ve got great snack options, such as organic cashews, quinoa salad and kombucha. Products can be ordered on their website and delivered to your door in HCMC. laholista.com
SHOPPING FEATURE
by Molly Headley-Benkaci
#iAMHCMC
Where to Get Your Greens Green Around the Corner, a light-filled café tucked into the hems of Thao Dien, can be hard to find but it’s worth the search. Not only can you curb your midday hunger pangs with hearty vegan salads and nut-based cheeses, you can also buy their products to take away. This is the place to go if you want to do your part in reducing plastic waste—here, you can pick up a set of reusable glass, stainless steel or bamboo drinking straws. 23 Street 61, D2 The Organik House in District 1 serves healthy vegetarian fair with an international flare. Their juices are organic but that’s not all: this is one of the few places in town that you can buy truly organic wine. 7F Nguyen Thị Minh Khai, D1
Sustainable Farming & Accountability Les Vergers du Mekong does not list their products as organic, however, the company does provide information on how the fruits and vegetables used in their products are being farmed and whether it is sustainable. Les Vergers du Mekong prides itself on its traceability, meaning the consumer can follow the path of where the fruit was grown, what was added to it and how it was transformed into
the product you hold in your hand. Ethicallysourced, juices, jams, Fair Trade honey, coffee and tea are available. vergersmekong.com.vn Food vendor Maifarmi has a Facebook shop filled with photos of bright leafy greens and branches drooping under the weight of the ripe avocados on their farm. As with Les Vergers du Mekong, Maifarmi does not tout their organic certification but they are part of the farm to doorstep movement that is just beginning to get a foothold in Vietnam and are worth mentioning. You can order by contacting the growers on Facebook and they will deliver
directly to your home. facebook.com/pg/maifarmi.vn
If All Else Fails… Grow your grub yourself. Saigon’s climate is perfect for balcony or windowsill gardening. Interested but don’t know where to start? Gagaco is a shop for amateur greenskeepers to get all the gear—wooden planters, water systems and seeds—as well as to gain knowledge. Gagaco offers free gardening advice to anyone who asks. So 2, Street 53, D2
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#iAMHCMC
SHOPPING FEATURE
by Tran Thi Minh Hieu
Amazon Makes First Inroads To Vietnam Amazon announced its plan to engage Vietnamese online businesses after its successful launch in Singapore, while Alibaba doubled its investment in the Southeast Asian market. Amazon is on its way to set foot in the emerging e-commerce market of Vietnam, while facing fierce competition from its Asian rivals.
In March, Amazon confirmed its cooperation with Vietnam E-Commerce Association (VECOM), an NGO and industry group composed of 172 member businesses. Amazon’s remarks centered around their interest in helping Vietnamese small and medium businesses export their products through its global online platform. According to Business Insider, the partnership with VECOM may be the first step towards Amazon gaining an understanding of Vietnamese consumers before launching its full marketplace, as it did in Singapore, the first Southeast Asian country Amazon stepped into in July 2017. Gijae Seong, head of Amazon Global Selling in Singapore, appeared in March at the Vietnam Online Business Forum 2018 to discuss with local businesses how to use Amazon to sell globally. Amazon and VECOM’s cooperation was welcomed by Vietnamese businesses and consumers alike. VECOM’s president considered the support for exporting Vietnamese products globally a positive development. Meanwhile, consumers were enthusiastic about the prospect of being able to use Amazon to buy international products in the near future.
Alibaba to Respond Less than one week after Amazon announced the partnership, Chinese billionaire Jack Ma’s e-commerce giant Alibaba increased 20 | iamhcmc.com/gazette
its investment in Lazada, one of the largest e-commerce platforms in Southeast Asia. Alibaba spent US$1 billion to buy 51 percent of shares in Lazada in April 2016, and another US$1 billion in 2017 to increase its total shares to 83 percent.
The most recent investment, a whopping US$2 billion, was announced on March 18 along with the decision to name Lucy Peng, one of Alibaba’s founders, as Lazada’s executive in chief. According to VnEconomy, after two years of operation Lazada has become the top e-commerce website in Vietnam by revenues in 2014, taking up 36.1 percent of the country’s e-commerce market.
Competition and Growth Vietnam’s e-commerce market is one of the fastest growing in the world. According to market research firm Kantar Worldpanel, Vietnam’s e-commerce revenue increased 23 percent to US$5 billion in 2016,
accounting for three percent of total retail revenue. The country’s e-commerce annual revenue is forecasted to reach US$10 billion by 2020, accounting for five percent of total retail revenue. Other than Alibaba, China’s tech and investment giant Tencent also has a lot of interests in the Vietnamese market. Financial Times reported that Tencent holds a 39.8 percent stake in Singapore-based company Sea, an enterprise that creates e-commerce platforms and services. One of Sea’s assets is online retailer Shopee, Lazada’s biggest competitor in Southeast Asia. Foody.vn, a restaurant review, booking and food delivery services platform, is also owned by Sea. In addition, Tencent is a shareholder of Chinese e-commerce company JD.com and Vietnamese tech firm VNG, a group which invested heavily in local e-commerce site Tiki.vn in January.
As Tiki.vn’s CEO Tran Ngoc Thai Son told an audience at a conference in Ho Chi Minh City in December 2017, the appearance of international e-commerce giants is proof that the Vietnamese market has a lot of potential for growth.
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SHOPPING FEATURE
by Jesús López-Gómez
Spotify Comes to VN, Still in the Red
When US-headquartered music streaming giant Spotify entered Vietnam in March and brought its 35 million songs to the Vietnamese market, the move took place after a series of serious deliberations. In response to written questions, the company reflects that there were not only practical considerations in launching its service here, like making sure the interface had a Vietnamese language option, but the company also had to make sure it was in line with prevailing intellectual property and e-commerce law. Not to mention getting the rights to songs from top Vietnamese musicians. The company highlighted V-Pop Khong, The, Thieu, Tuyet Pham Bolero, Ca Phe Quan Quen and #phuot. Spotify’s remarks were given without personal attribution. In its remarks, the company described Vietnam as a “mobile-first nation” that has a large appetite for content consumed by the small screen. The company also stated an interest in helping smaller, lesser known artists break into a larger audience for the streaming service’s users. 22 | iamhcmc.com/gazette
Mixed Results In its remarks, the company would not disclose how many users it specifically had in Vietnam. During an earnings call earlier this month, the company told investors it had 75 million paying subscribers and 99 million users using the free version of the program. That’s well ahead of Apple Music, which in March told investors that it had 38 million users on its service, which was launched in 2015. Since the start of 2018, Spotify has added four million paying subscribers and nine million users on its free streaming service.
million, Spotify told investors in its May earnings call. It also cited that revenue losses were nearly four times those in the same quarter last year. Spotify told investors it expects to lose $395 million during 2018.
New Features, New Market To woo new users to its service, Spotify recently introduced new services, like the ability for its free users to pick from a broader catalogue of music and a “data saver” option that aims to keep the program’s data usage light.
Growth though it may be, the streaming service seems to be struggling to find an effective revenue strategy, a problem that carries more weight since the service began offering company shares to investors on the New York Stock Exchange in April.
Spotify also recently introduced integration with Instagram, which will allow users to post song selections to the photo sharing app.
At the time it decided to debut on the US stock exchange, the buying public gave the company a total valuation of $26.6 billion. But in the first quarter of 2018, the company lost US$49
In prepared remarks, Spotify told #iAMHCMC that its interest in Vietnam hewed to its interest in building economies around the world and providing direct benefit to local recording artists.
With Vietnam, the service is now available in over 60 countries.
by Jesús López-Gómez
SHOPPING FEATURE
#iAMHCMC
Travellers: VN Lacks an
Essential Souvenir On a muggy afternoon, Vladimir Egoshin—a Russian national living in Indonesia who just arrived in Vietnam that morning—passively eyed the wares that were facing him at Ben Thanh Market. Asked if he would be purchasing any souvenirs apart from the non la he was already wearing, the only Vietnamese memento seemingly de rigueur for tourists, he shrugged noncommittally. “I don’t know”, Egoshin said, laughing. “Everywhere I just buy a bottle”, he said, signalling the beer he was swilling streetside, “and just, you know, have a look.” As tourism grows, travellers’ spending has failed to follow suit. In 2017, Ho Chi Minh City hosted 6.4 million tourists in 2017, according to the municipal tourism department. The 23 percent increase in tourism that year delivered a mere 12.6 percent increase in tourist spending in the same time period. The problem has been attibuted to the lack of an iconic, Vietnamspecific souvenir.
When Tuoi Tre reported on the phenomenon in March, the city’s tourism officials rued the lack of major shopping destinations but also cited the 2.6 day-long stay that the average tourist spends in Ho Chi Minh City. That’s about how many days Joost van den Elsakker was staying in Ho Chi Minh City when he spoke to #iAMHCMC. Outside of the “Tintin” comic painting he wanted to buy
for his dad, he said most of his purchases had just been food and drink. A traveller who’s come to Vietnam after visiting Thailand—a country that he noted aligns itself strongly with elephant imagery as a sort of de facto brand on its souvenirs—he said nothing in Saigon had yet enticed him as something he needed to remember his short visit.
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#iAMHCMC
by Molly Headley-Benkaci
SHOPPING FEATURE
Purchasing with Purpose: Sustainable Shopping and Other Ways to Be A Good Person Metiseko
mulberry silk from Vietnam. They are dyed with low impact environmental dyes. Sadly, according to Oceane Bataillon, Marketing & Sales Manager for Metiseko, “We are facing a disappearance of silk producers in Vietnam.” She said that as these producers disappear so do their crafts that have been passed down through generations, such as hand-screen printing and dyeing techniques. Chinese suppliers are providing cheaper and lower quality silk, or “fake silk” and this is hurting some Vietnamese suppliers who strive to create a quality product.
International brands are suddenly touting their commitment to conservation and fair labour practices. Marketing companies are pasting words such as “ethical” and “sustainable” across their product packaging. But how do we sort through all the claims and get honest info on where to shop in HCMC to make a positive impact on the environment and local population? Here are a few companies where you can feel good dropping some cash. These firms have jumped ahead of the curve by aligning their values with the ethical crusade.
From Organic Fabrics to Community Outreach Metiseko’s website features photos of models clad in lush silk dresses posed alongside villagers from the mountainous minority regions of Vietnam. Other companies might use this contrast as just imagery in a simple marketing campaign but not Metiseko. 24 | iamhcmc.com/gazette
Ethical work conditions are a central part of Metiseko’s brand philosophy. Employees are paid higher wages than the minimum authorised by the government.
The current minimum wage for a non-state owned company in HCMC is VND3,980,000 per month (US$175). Though according to reporting in 2017 by VnExpress, there are still issues with the minimum wage structure, most notably the fact that “the wage level is is not enough to live on.” Metiseko employees work reasonable hours and are provided with health insurance and holidays. Language courses in French, English, Chinese and Vietnamese are open to all employees for their career development. Clothing that is unsold in the stores is donated to minority villages around Hoi An. The fabrics used are either 100 percent organic cotton sourced from India, or 100 percent
The market price for fake silk is very low and Metiseko prices may seem high in contrast but, according to a 2015 Nielsen report, younger generations are willing to pay more for goods that are created with a conscience. Both Millennials surveyed and Generation Z respondents (15-20 years old) said that they are more likely to buy from companies committed to “positive social and economic impact”. Marketing geared towards sales and discounts
Blueberry Night
by Molly Headley-Benkaci
SHOPPING FEATURE
Recycling for the Future
for the consumer didn’t even make it into the top five reasons to buy from a company.
“For those willing to spend more, the findings show that personal values are more important than personal benefits, such as cost or convenience.”
Other notable ecologically-minded companies are Zago Furniture and Rostaing Tannery. Zago Furniture has an FSC (Forest Stewardship Council) Certification for eco-friendly products. FSC is an international NGO that sets the environmental and social standards for responsibly managed forests.
Blueberry Night is another brand with ethical values. Their signature vintage cotton and linen fabrics are used for bedding, pillows, handbags and even yoga mat carriers. Ariane Desaedeleer, co-owner of the brand talked about how she and her partner Virginie Nocquet run an “inclusive business” that directly benefits low-income communities by working with an NGO called FFSC (Friends for Street Children). The company raises money that contributes to a school that FFSC runs for migrant workers’ children unable to attend school. “I worked for a decade in China where I’ve witnessed first hand the deplorable working conditions of women in factories. Here in Saigon, we work closely with our workshop located at the top floor of a bright, wellventilated building and where workers work at their own pace and can have as many breaks as they wish”, Desaedeleer said. Blueberry Night products are in the “middlehigh” price range in the Vietnamese market. “The slightly higher price tag is simply the result of fair wages paid to our seamstresses and of the high quality raw materials that are used.”
Artisanal Does Not Always Mean Fair Trade The word “artisan” connotes a skilled trade, especially one that involves making things by hand. The word “skilled” may give the impression that the worker will be paid well for their abilities. However, “artisan” has become a favorite term for marketing. The workers creating the “artisanal” products can still be underpaid, overworked, and subject to unsafe conditions. Jacques Blanchard, the owner of My Way Deco, a luxury lacquerware company in
#iAMHCMC
My Way Deco
Vietnam, spoke to us about why respecting artisans matters.
“There are fewer and fewer artisans in Vietnam”, Blanchard said. “Vietnam will lose this beautiful tradition because the demand for it is weakening. Real lacquer is expensive. Cheap lacquer is just painting.” For the degree of work that he and his clients expect, Blanchard said he needs the best artists for the job, and to do their detailed work those artists expect more than the bare minimum per month. The high level of skill of these artisans means that if they aren’t paid properly they won’t stay. Blanchard designs the pieces but he says he owes much of his success to the experienced hands of his workers. For example, for a recent creation for client Petrossian Caviar hundreds of beads were hand rolled out of yarn, wrapped in paper, lacquered an inky black and then glued individually onto a box. This is the kind of detail that Blanchard said is impossible to recreate with a machine. Above My Way Deco’s main showroom in District 2 there is a workshop where the artisans work together. It is a light-filled room with soft music playing in the background. They work from 9 a.m. to 5 p.m. and have weekends off. Perhaps the strongest testament to the working conditions at My Way Deco is the fact that most of Blanchard’s team has been with him for 15 to 18 years.
Rostaing Tannery, mentioned in the article “Leather de Luxe”on page 6, was the first in Vietnam to introduce renewable energy in the form of solar panels. Water used in the process is collected through rain harvesting and treating wastewater. Rostaing Tannery was also awarded the Ecologic Innovation Golden Award in Paris in 2011 for their chemical free tanning method.
Now, How Do You Get Your Ethical Purchases Home? Evolve Mobility, owned and managed by Hoa Vu, is a moving logistics and warehousing company in Vietnam with a eye towards innovation. Annie Hansen, founder of Evolve Mobility, said that “The global packaging industry is a major contributor to the waste problem that the planet faces. Moving companies are notoriously traditional and generally do not proactively seek [sustainable] solutions… ” Evolve Mobility has incorporated a reduce, reuse, recycle policy and all of their boxes and paper materials are made in Vietnam from 100 percent recycled materials. Next on their radar is finding an alternative to bubble and plastic wrap, for which they are in the early stages of product development. The company also seeks to create the best environment for their workers. One way Evolve does this is by giving end-of-year bonuses to supervisors and the staff rather than shareholders.
“We believe that moving and logistics companies must evolve just as the consumers and clients we serve have evolved”, Hansen said. “What was important 20 years ago was profit. That thinking is now redundant. What we must now consider at each turn today is profit, people, planet.” 25
#iAMHCMC
REAL ESTATE FEATURE
by J.K. Hobson
In our 10 years of work at City Pass Guide, we’ve collected a wealth of critical information on Vietnam. From the best places to eat to a list of key phrases in Vietnamese, we’ve compiled comprehensive guides, maps and a website for visiting, living and thriving in Vietnam. On our decennial, we’re glowing with pride at the work behind us and excited about continuing to serve you—our valued readers and partners—in the future. 26 | iamhcmc.com/gazette
HEALTH FEATURE
by J.K. Hobson
#iAMHCMC
Residents of Vietnam are seeking to combat the health risks caused by poor air quality by investing in air filters for their homes. The US Consulate monitors the Air Quality Index (AQI) on an hourly basis, and recent air pollution levels have been alarming. The AQI is measured in ranges from 0 to 500, with 0 being the optimal level and anything from 100 to 300 classified as unhealthy, especially for sensitive groups such as children, the chronically ill and the elderly.
Levels above 300 are deemed hazardous for the entire population. In late April and early May, HCMC saw AQI levels reaching as high as 200.
How Do Air Filters Work? Air filters range greatly in the ways in which they work, their prices, and quality. Namni Goel, a professor at the University of Pennsylvania told Time Magazine that “Ionisers generate negative air ions, which attract dust and allergens and other positively charged airborne particles and basically lock them in.” However, a drawback of ionisers is that they produce ozone. Although ozone exists naturally in our atmosphere, it does so at low levels of concentration. At higher levels it can cause respiratory damage. High Efficiency Particulate Air (HEPA) filters are rising in popularity due to their ability to trap up to 99.9 percent of particles from the air. Rufus Edwards, an Associate Professor of Public Health at the University of California, Irvine
Study: Air Filters
Provide “Enormous” Benefits says that in large spaces “the amount of air in a room far exceeds the amount of air they are able to clean.”A Finnish study found that installing these filters into the heating, ventilation and air conditioning (HVAC) systems reduced exposure to particulates by up to 27 percent, which Edwards described as “enormous”. The downside to the HEPA filters is that they are costly. The benefits of having a HEPA system are clear, especially for families with small children, people with allergies, asthma, or those who are susceptible to cardiovascular disease. Overall, they can be of immense value to anyone who values their health.
Where to Shop Two top brands to check out are Coway, a highly rated Korean brand that is available at coway.com.vn, nguyenkim.com or lazada.vn. Prices range from just under VND6 million to VND12.5 million. IQ Air, a Swiss company established in 1963, sells high performance air purifiers that filter out the finest pollution particles called PM2.5. No prices are listed on the brand’s website, iqair.com. Expect to pay between VND2 million and VND20 million for a quality air filter.
Pathways to Higher Education Our students have options
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by Sivaraj Pragasm
BUSINESS FEATURE
The Rise of Cryptocurrency in Vietnam
Cryptocurrency is the hot new trend in finance this decade. However in Vietnam, there are still stumbling blocks that need to be addressed before it becomes a global cryptocurrency hub. As information technology has taken over and replaced traditional brick-and-mortar establishments with mobile phone apps, it was only a matter of time before this evolution started to creep into commodities and more recently, the way we handle money. About a decade ago, a new form of online technology, called blockchain technology, which increases security and offers a more streamlined approach to transactions, started to gain traction and it didn’t take long before an entirely new alternative to money was born—cryptocurrency. In 2009, cryptocurrency arrived in Vietnam and the likes of BitCoin, Ethereum, Litecoin and Ripple started to appear as a viable alternative to cold hard cash. People who were searching for ways to transfer and receive money from overseas bank accounts without the hassle and exorbitant fees were initially the most prevalent users. At present, there are currently about a million cryptocurrency users in Vietnam with thousands of 28 | iamhcmc.com/gazette
US Dollars in transactions everyday, according to an article from VietnamNews in September 2017. However, there are a few stumbling blocks with regards to cryptocurrency in Vietnam, most notably, its regulations. The State Bank of Vietnam officially banned the use of cryptocurrency as a form of payment at the beginning of this year. However, there might be some hope as Prime Minister Nguyen Xuan Phuc has ordered relevant agencies, namely the Ministry of Finance and Ministry of Information & Communications, to look into the possibility of drafting legal framework for cryptocurrency and digital assets, which is expected to be submitted August 20. This could give cryptocurrency the push it needs to be accepted as a mainstream form of payment. Another stumbling block for cryptocurrency in Vietnam, according to figures by research firm Nielsen, in report titled “Mobile Money”
which was published in October 2016, is the unwillingness of mobile device owners in Vietnam to resort to mobile banking activities. 53 percent of people surveyed highlighted the barriers they face, such as hard to understand terminology, user interface and a lack of confidence in information security. The rest noted either that they prefer physical banking or that they don’t use the service at all. Another apprehension for locals is that these cryptocurrency channels do not have any Vietnamese language support. Most of the interfaces are in English, which makes it harder for users with limited English. However, this has not stopped Vietnam from consistently ranking among the top three countries in the world in number of logins to global BitCoin exchanges such as Poloniex and Bittrex. While cryptocurrency is largely used as an investment tool in Vietnam, its use as a means of payment will only increase once the obstacles are cleared. In due time, it won’t be surprising to see Vietnam established as one of the world’s most active cryptocurrency transaction hubs.
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District 1 Tattoo Studio
Makes Indispensible Art Before you take a seat in the chair to get inked at Spade Art Tattoo Studio, before you meet with the artists to draft your one-of-a-kind image, you’ll have to answer to an important first question: why? “I think tattoo is not fashion”, Quoc “Seven” Nguyen said alluding to the seriousness of putting a permanent image on a person’s body. Whether it’s fashionable, whether the image is in vogue or not, is irrelevant, the 36-year-old tattoo artist contends. Nguyen argued that the most important part of tattoo work is understanding the customer, and what purpose the tattoo serves for them.
“We want to know why you want this tattoo”, the studio’s customer liaison Dean Parker said. It’s a time-intensive and, frankly, less profitable strategy than a typical tattoo process, which usually involves little more than walking in with an image on paper and walking out with it somewhere on your body.
His more than 10 years creating advertising work included stints at a number of highly-visible firms such as Cheil Worldwide, Dentsu, Y&R, J. Walter Thompson where he was comic artist, visualizer, designer, and then art director.
This, Nguyen said, is among the reasons his business is called a “studio” rather than a “tattoo parlour”.
Despite his being a capable commercial artist, Nguyen said it was creatively defeating to see his body of work become trash after it outlived its usefulness.
Done with Finesse, Not Speed Spade Art Tattoo Studio’s collaborative, clientcentred tattoo drafting approach is a contrast to the high-metabolism, attention-light way that people typically consume creative work. Marketing and commercial communications teams produce images tailored to an ad campaign that will be seen for as long the message is relevant before it becomes junk. A former commercial artist, it’s a system Nguyen knows very well. Before becoming a tattoo artist, Nguyen spent his days working in a sector known for devouring creative people: advertising.
Inspired by the serious tattoo scene he saw in Thailand five years ago, Nguyen decided to leave the advertising profession and strike out on his own as a tattoo artist. Four years ago, he founded Spade Art Tattoo Shop in downtown District 1. Almost as if in response to the advertising world’s large scale, commodified production and reproduction of single, standard images, Nguyen has trained his staff to work with clients to produce one-of-kind work. The tattoo you get at Spade Art Tattoo Studio will be an individualised, image unique to your body. Nguyen and his staff have produced hundreds tattoos in this manner so far.
In the Chair Spade Art Tattoo Studio overlooks shady Le Anh Xuan Street. Newly-inked clients at Spade Art Tattoo Studio can sit on the studio’s balcony and get some fresh air while they cool down from their ink session. Clients who’ve reviewed the tattoo studio on Facebook find the ambience comfortable and even laud the music selection. The staff is described as friendly, knowledgeable, gentle when needle comes to skin and—most importantly—good. The reviews praise not just the Vietnamese artist’s ability to communicate in English, but their genuine interest in understanding what the tattoo means for the client and designing one-of-a-kind, and deeply personal work.
1st Floor, 41 Le Anh Xuan, D1, HCMC (84) 947 777 891 spadeartstudio@gmail.com http://spadeart.tattoo/ Find us on Instagram and Facebook.
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#iAMHCMC
by Jon Aspin
ENVIRONMENT FEATURE
#NoPlasticStrawChallenge: Another Case of Greenwashing?
Fiona Li is another expat making alternatives available. She imports metal straws from China to supply the local food and beverage industry. At the moment, any order of more than 50 pieces will cost around 30,000VND per straw, while a bag of 500 locally produced plastic straws can cost as little as 7,000VND. Li agrees that this is still a barrier to entry for locally owned businesses especially, something she says she is working on with several factories. “I am doing this because I realized that this was something I could contribute”, she said. “Big companies will only react once they see a benefit for them, so I think [of] this as a step towards that.”
The Long Game As Vietnam comes to terms with being one of the world’s worst plastic polluters, #iAMHCMC asks the question: Are campaigns like the #NoPlasticStrawChallenge an example of the public being environmentally hoodwinked? No. At least, that’s the opinion of long-term Australian expat Mark Bowyer, owner of The Old Compass Cafe in District 1, a venue that has taken up the challenge since opening. “This movement is in its infancy”, he told #iAMHCMC, “but the seriousness of the plastic crisis is urgent. Anything that draws attention to the problem is good [but] the campaign shouldn’t limit itself to straws.”
Acting locally In HCMC, the #NoPlasticStrawChallenge has been taken up by several groups. Local NGO ChangeVN is one, well known for its work on a “Save the Rhino” campaign last year. In 2018 it has been joined by a new organisation 30 | iamhcmc.com/gazette
called Zero Waste Saigon. On April 22, Earth Day, the latter addressed a gathering at the US Consulate, where it promoted its environmental message. As part of that address, it talked up locallysupplied, eco-friendly straw alternatives, which you can order in bulk via its website as well as a system of “zero waste medals”, which it will distribute to businesses who make a commitment to waste reduction practices. In exchange, these businesses will be promoted to the Zero Waste Saigon community, a growing collection of environmentally concerned residents.
The “But” So, with social media commenters already asking the question and promotion of straw alternatives at fever pitch, is it fair to label the #NoPlasticStrawChallenge an example of “greenwashing”, the practice of spending more time promoting the perception of being green than actually being green in order to gain commercial advantage?
Julia Mesner Burdge, co-founder of Zero Waste Saigon, is unfazed by any criticism. At the time of writing, the group had just announced a rule change to its Facebook page. Julia’s husband Michael, the other half of Zero Waste Saigon, posted a video explaining that they would now only approve posts about products for sale once a week, “to stop people feeling like they are being sold to all the time,” Michael says in the video, and “to help the culture of the group.” “Communication is key”, Julia had told #iAMHCMC earlier, “and I’m focusing on those who will listen.”
“I’m not here to tell anyone what to do,” she continued. “The more we grow our effort, the more people will listen and be ready to act. It’s little, it is baby steps, but something is happening, I can see it.” Reach out to Zero Waste Saigon at facebook. com/zerowastesaigon. ChangeVN will launch its 21-Day No Plastic Challenge in mid-June. Find out more at its website, changevn.org.
SOCIETY FEATURE
by City Pass Guide
#iAMHCMC
Uber Out We asked commuters about life after the departure of the ride-hailing app. With Uber’s Southeast Asian operations sold to Singapore-based rival Grab in March we wanted to find out how people were coping.
Nguyen Manh Cuong, 42 I think it’s an opportunity for a new local player, I would support a Vietnamese app. But my company has registered an account with Grab and I think they are a fair company.
So we asked...
Have you noticed any changes since Uber left?
Jimmy Hourin, 27 Grab’s prices have gone way up since the buyout, especially on Grab cars.
Michel Bertsch, 49 Yes. Grab prices are triple what they used to be sometimes, especially in heavy rain. Plus, I’m not sure if I can have a company account with Grab, and VATO are cash only.
Thue Thomasen, 34 More recently I’ve noticed improved availability of Grab drivers, but personally I’m looking forward to seeing Vinasun and Mai Linh take the chance to adapt and move ahead of the curve. If they don’t, I am not sure they will stay in business.
Olivia Hearn, 29 I thought it might affect availability and speed, but it’s been just as good as normal, but I don’t like that the drivers ring you when you book with Grab!
Will Knight, 40 I’ve already switched to using the Vinasun app. It’s actually quite user-friendly. After all the online feedback about Grab I never even considered switching to them. 31
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SOCIETY FEATURE
by Molly Headley-Benkaci
Renaissance Riverside Hotel Saigon Designed by KAZE
The Gender Gap
In Vietnam is Narrower Than You Might Think 2017 was a year of revolution for women across the world. Massive women’s marches were organised in international cities to bring light to the injustices that still face the female gender today. Social media has kept the flame burning by creating popular hashtags including #HeforShe, a tag for male feminists and the #MeToo hashtag where women are talking about sexual harassment and assault in the workplace. #Toasoansach, meaning “clean newsroom,” is the hashtag specific to Vietnam that was created in response to harassment and abuse of female Vietnamese news media employees.
In Vietnam, as in other countries, subjects about women’s roles in society and whether there is gender equality in the workplace are trending. For good reason. Women are a force to be reckoned with in business. A surprising report by Grant-Thorton Vietnam, which was presented on March 18 at the event “Women in Business Strive for Excellence”, put on by the British Business Group Vietnam (BBGV), revealed that Vietnam offers women much more egality in the workforce than other neighbouring Asian countries. Ho Ngoc Anh, events and marketing manager for BBGV, was 32 | iamhcmc.com/gazette
part of the team that organised the event. The panel included some of the top female leaders in Vietnam. Ho said that one of the most interesting topics discussed was about the current gender balance in the workplace. Out of two equal candidates for a job—one male, one female—who would be more likely to be hired? Almost all of the female respondents surprised the audience by saying it would be the woman.
75 percent of businesses in Vietnam have at least one woman in a senior management role and 25 percent are CEOs, these numbers are some of the highest in Southeast Asia. Ho feels that there is still work to be done to make sure that women are getting paid equally for their work but the current climate is largely positive.
A Delicate Balance
“We’ve become more open to opportunities for the ladies in the community”, Ho said. Moreover, a survey in the report asked male and female employees in companies in Malaysia, Singapore and Vietnam whether their companies had made progress in the last one to three years in terms of gender diversity. Respondents reported that 87 percent of men and 84 percent of women in Vietnam said their firms had become more inclusive compared to 54 percent or less of women in Singapore and Malaysia. From a jack hammer-wielding female emerging from a pit in a construction zone to women holding top roles in the government, such as Dang Thi Ngoc Thinh, who is currently serving as Vice President of Vietnam, women are present in every sector and at every level of business.
Esther Lam is the co-owner and designer of Esther Lam Lingerie. The creations showcased on Lam’s website feature female models in ethereal lace held up by structured boning, the lingerie’s underwire skeleton. Lingerie is a distinctly female-oriented business but it is also one in which gender roles can be a topic of discussion, simply because women’s undergarments are fetishised and are said to be made for the male taste. But Lam said she created her line out of “the desire for all girls to pamper their skin.” It is a brand for women created by women, and therein lies the strength. When asked what challenges women face as
by Molly Headley-Benkaci
Lingerie by Esther Lam Lingerie
SOCIETY FEATURE
when an Asian woman appears unanticipated, Zeuthen said the surprise can be powerful. This unpredictability is part of the approach that Zeuthen has used to rise up in a typically androcentric profession: architecture and design. Zeuthen came to Vietnam 16 years ago for a job as a furniture designer. Eight years later she began her own interior design and architecture business, KAZE. Since then Zeuthen has turned KAZE into a top design firm in Vietnam. Given the size and visibility of projects—from the Vinpearl Ha Thinh and Marriott Resort and Spa Hoi An to offices and private residences—, you’ve likely seen Zeuthen’s work before.
business owners in Vietnam, Lam responded that “A woman has more roles to finish than just business ones. She has to learn how to harmonise with all roles in her life, or quit almost all to fulfil her dream.”
A Woman’s Place In the Home Is Building It
Zeuthen said that she owes a certain amount of her success to Vietnam itself. It is one of the few countries in Asia where women consistently hold the same jobs as men. Zeuthen opined that male and female roles interchange easily, more so than in other Asian countries, and perhaps that is because of Vietnamese history.
Fong-Chan Paw Zeuthen, Owner of KAZE
Fong-Chan Paw Zeuthen’s design work is as complicated as she is—both strong and approachable, modern and nostalgic, Scandinavian and Asian. Zeuthen was born in Thailand and was then adopted by Danish parents; a translation error during the adoption made her name have a Chinese edge to it. When asked whether she had ever considered changing her name, Zeuthen laughed. “No”, she said. She said she likes to walk into a room and not be what people expect her to be. Sometimes when she meets with major real estate developers, she’ll come into a meeting, the only woman surrounded by 20 men. She knows that often they’re expecting to meet with a Chinese man or even a white Dane but
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The bravery of women in Vietnam has been well-documented because of famous female fighters and revolutionaries in Vietnam’s past. However, the modern boardroom is a different beast and both the women on the BBGV panel and Zeuthen mentioned that today the number one thing holding women back in business is their confidence.
“Women in business in Vietnam, and everywhere else in the world, need self-confidence to build up trust. Women need to start asking for what they want”, Zeuthen said. For example, Zeuthen said that men come to talk to her about salary and they walk in expecting a high number but they’ll negotiate. Whereas women “are not ready to fight for it. If they don’t get the salary they want from the beginning they walk away rather than fighting.”
Gender Equality, a Work in Progress In many ways Vietnam is ahead of the curve in terms of gender equality in the workplace. One clear example is in the area of paid maternity leave. Female workers in Vietnam are able to claim up to six months of full-pay leave through the national insurance system. The father is allowed five days paternity leave. A typical allowance from other countries may be just 12 weeks or less of unpaid leave. “[Vietnam] is the most generous [country] for paid maternity leave in the region, and even in the world”, VN Express wrote in their 2017 coverage on the issue. Vietnam, like most places in the world, is still a work-in-progress regarding women’s rights. However, women are out there, at the top, already moving the conversation forward.
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TRAVEL FEATURE
by Tran Thi Minh Hieu
Price Watch:
Airfare on the Rise Airfares have been on the rise due to increased ground service fees. Vietnam Airlines charges more for children, while Vietjet Air increases fees to change flight details. Airfares have been on the rise since last year when the Ministry of Transportation enacted a four-phase plan to increase ground service fees, starting from 1 October 2017. In the third and most recent phase of the plan, from 1 April to 30 June 2018, domestic flyers departing from international airports (known as A-class airports), such as Hanoi’s Noi Bai, Da Nang, HCMC’s Tan Son Nhat, Can Tho, Phu Quoc and Hue’s Phu Bai, will have to pay an extra VND5,000 per passenger in airport service fees. The fee has increased from VND80,000 to VND85,000 per passenger, and is expected to rise even further to VND100,000 from 1 July 2018. For international flights, only three recently upgraded A-class airports, Cat Bi in Hai Phong, Da Nang, and Vinh in Nghe An, announced an increase in the airport service fee. The new fee is US$20 per passenger at Da Nang airport, and US$14 at Cat Bi and Vinh airports. In major domestic airports (B-class airports) and regional domestic airports (C-class airports), 34 | iamhcmc.com/gazette
service fees remain the same at VND75,000 and VND60,000, respectively. From 1 July, the B-class domestic airport service fees will increase to VND80,000. The security screening service fees will also increase from about VND13,500 to VND18,000 for domestic flight passengers, and from US$1.50 to US$2, or VND34,000 to VND45,500, for international flight passengers.
Rising Costs, Rising Airfares Since ground service fees are collected from passengers by airlines on behalf of airports when flight tickets are sold, these increases in airport service and security screening service fees appear as airfare rises. Although the changes seem minor, they significantly affect operation costs per flight. For example, a domestic flight from an A-class airport with 200 passengers will cost an extra VND1 million for the airport service fee and around the same amount for the security screening service fee. Airlines are responding to the rising costs by increasing airfares and service charges in different ways. Most notably, Vietnam Airlines decided to increase airfares for children aged two to 12
from 75 percent to 90 percent of adult airfares. Airfares for infants younger than two years old remain unchanged at 10 percent of adult airfares.
An Increase for Everyone On average, there is an increase of VND50,000 in airfares for all Vietnam Airlines domestic flights. At the time of publication, a flight from Hanoi to Ho Chi Minh City with the price of VND2,250,000 was priced at VND2,300,000 at checkout. Jetstar announced no changes in airfares, while Vietjet Air will increase fees for seat choices, name and journey changes. Specifically, Vietjet Air passengers wishing to select their seats during online check-in for international flights will now pay VND50,000 to choose a normal seat, VND90,000 for a front row seat (rows 1 to 5), and VND150,000 to select a special seat with extra leg room near the emergency exits (rows 12 and 14). Changes to a passenger’s name after ticket confirmation will now cost VND450,000 instead of VND320,000 for domestic flights, and changes to flight date and journey will cost VND340,000 instead of VND320,000. For international flights, the fees increase to VND800,000 from VND630,000 for all of the above changes.
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