Young Generation Z is transforming personal finance practices in Vietnam

In the ever-evolving landscape of e-commerce, Visa and Mastercard have recently introduced innovative payment solutions in Vietnam, aiming to offer convenience, security, and efficiency in online transactions.

The introduction of Visa's Click to Pay solution comes at a time when the 'Gen Z Decoded' study by Visa, released on September 5, highlights that this generation prioritizes personal fulfillment, and these traits are reshaping everyday payments, security, and experiences. With approximately a third of Vietnam's workforce consisting of Gen Z, numbering over 19 million people aged 14-27, it's clear that this demographic plays a significant role in the country's digital transformation.

One of the key findings of the study is that young consumers want payment experiences that are effortless, fast, simple, and secure. With one in four worried about scams, trust has become a central feature of the payment experience. Visa is addressing these concerns by partnering with the Cashless Day campaign in Ho Chi Minh City, reinforcing its commitment to Vietnam's digital transformation.

Young consumers in Vietnam are frequent online shoppers, often purchasing from small sellers or secondhand platforms, and discovering products through social content. To cater to this trend, Visa has also introduced VIB PayFlex, an innovative financial feature using Visa Flexible Credential (VFC) technology for flexible payments and smarter financial control.

Mastercard introduced its Click to Pay solution in Vietnam back in June 2021, offering increased convenience, security, and efficiency for e-commerce transactions. Safeguards are extending to where young people spend their time, reducing scam exposure without adding friction.

Dung Dang, country manager for Visa Vietnam and Laos, stated that digital and financial inclusion are vital to Vietnam's next phase of growth, and Gen Z is setting the pace. Many young consumers are working towards financial targets, and financial independence is a top ambition for one in three of them.

The surveys for both Visa's and Mastercard's studies included over 560 Gen Z respondents across 14 markets, providing valuable insights into the preferences and behaviours of this influential demographic. As Vietnam continues to embrace digital payments, these solutions are expected to play a crucial role in shaping the future of e-commerce in the country.