Why Asian handbags are winning Gen Z’s heart

For years, the European handbag epitomized the “it girl” moment. However, the global rise of luxury burnout has eroded contentment with traditional status symbols, shifting the landscape. This change has fueled the ascent of new options, notably South Korean brands, while labels across Southeast Asia are gaining popularity in their home markets. Once affordable staple labels, including Kate Spade and Coach, are now resurging by successfully tapping into Gen Z’s desire for individuality and cultural relevance, effectively rebuilding their connection with a new generation of consumers. This trend is also empowering smaller brands that offer high-quality products and a keen understanding of the modern consumer. According to a recent Bluebell’s report, 64% of Southeast Asian respondents are actively seeking affordable alternatives. Demand extends beyond dupes — 83% of those surveyed expressed significant interest in purchasing from Asian brands. From K-dramas to closets: Seoul’s bag boom Therese Reyes, a lead editor at London-based market research firm Canvas8, attributes the dominance of Asian brands in several Southeast Asian markets to a confluence of factors, including economic upheavals, geopolitical and trade tensions, and financial market volatility. “With an unstable economy, many are looking for alternatives for their designer purchases. If they can get the same, if not better quality design at a local designer for a lower price, why not? So, even though they’re looking to save, they’re also not willing to compromise too much on their experience.” Despite the current economic pressures impacting luxury sales, some brands have cultivated a distinct identity that fosters deep consumer trust, she adds. The Bluebell report also indicates a 3 percentage point decline in both consumer confidence and spending intent across Southeast Asia. “The same can be said for consumers all over the region,” Reyes says. “There have always been more affordable local brands, but the reason more people support them now is because these brands have stepped up and made a name for themselves as well. They’re no longer just alternatives.” The success of South Korean bags in Southeast Asia is largely driven by their popularization through K-pop idols and social media. Rising visibility In Southeast Asia, South Korean brands, such as Osoi have quickly captured the attention of style mavens. Worn by celebrities from Selena Gomez to K-pop idols like Red Velvet’s Wendy and NewJeans’ Hyein, the brand has become a sought-after name. Founded in 2016 by Kang Heejin, Osoi is known for its “quiet luxury” handbags, which forgo obvious logos and feature modern twists like distinctive magnetic closures. The brand’s presence is cemented in multibrand boutiques, including Masari in Jakarta and major department stores such as Bangkok’s Central Chidlom, solidifying its status as a symbol of the “cool girl” aesthetic. Similarly, the brand Monorow offers a homage to the minimalist ethos of The Row by the Olsen twins, but at a significantly more accessible price point. Indeed, while the popularity of South Korean bags has been fueled by placements with K-pop idols and in hit television dramas, a recent study reveals their recent growth is driven by how customers perceive the brands themselves. By 2025, industry revenue is projected to reach $1.5 billion, following a period of growth that saw the sector peak at $2.6 billion in 2023, up from $1.7 billion in 2014. Sales growth on W Concept, a leading platform for South Korean designers, was notable in the first half of the year. Singapore contributed 31% of this expansion, while the bag category alone saw a 35% increase. On its global platform, W Concept Global, which hosts approximately 230 brands including Marge Sherwood and Osoi, sales doubled compared to the previous year. Identity building A study on the impact of Korean celebrities on brand perceptions among Malaysian youth found that consumers are more drawn to brands endorsed by South Korean celebrities who “embody the values and lifestyles they admire or aspire to emulate.” It stresses that they’re not passive recipients of endorsements. “This shows that it’s not necessarily the celebrity that’s effective, but a brand’s ability to create an ‘identity’ shoppers relate and aspire to,” Reyes says. Fendi Beau, a Jakarta-based fashion analyst, echoed this reasoning, noting that a growing number of brands are now successfully crafting identities that shoppers both relate and aspire to. He also points to South Korean labels and other Asian brands, such as China’s Grotto, which offers Phoebe Philo-esque designs that resonate deeply with the youthful adherents of “quiet luxury.” “South Korean brands benefit from a clear aesthetic and widespread cultural familiarity,” Beau adds. “For Indonesian labels, effective marketing and strategic partnerships are crucial to achieving similar recognition and consumer trust.” He adds that Southeast Asian brands, particularly Indonesian handbag labels, are gaining popularity by offering competitive pricing and diverse designs compared to other niche Asian brands. To better compete with South Korean labels, however, these local brands require greater funding and marketing support. “South Korean brands benefit from a clear aesthetic and widespread cultural familiarity, which gives them a distinct advantage,” he says. “For other local brands, including those from Indonesia, the critical need is stronger marketing support, as many still operate independently.” “Today’s market is saturated with handbags; so a brand must offer something distinct to remain a top consumer preference,” Beau adds. This aligns with the Bluebell report finding that 86% of Southeast Asian consumers prioritize quality over design. Local labels step into the spotlight Ivan Tiono, founder of Rounn, says the perception of local brands has shifted dramatically from a decade ago, when they were often seen as second class. Today, most of his clientele is based in Jakarta, a trend that highlights the city’s leading role in domestic fashion. To attract younger consumers, the brand has collaborated with eclectic fashion influencer Alessandro Georgie. “The market has grown significantly more aware of local brands over the past two years, with Jakarta being particularly open-minded in its style choices, and 80% of our sales coming from Jakarta,” Tiono says, describing the local handbag market. More surprisingly, Indonesian brands are also gaining recognition in neighboring markets, including Malaysia and Singapore. “I see strong potential in Malaysia, as some customers have visited our store and purchased multiple items at once,” he says, noting the growing popularity of non-European brands across neighboring countries. Beyond Rounn, another Indonesian label, Vone World, offers leather bags embracing the “quiet luxury” aesthetic, drawing inspiration from houses, such as Hermès. The brand has also partnered with influencers such as Filipina socialite and fashion mogul Heart Evangelista. Like other niche brands, Vone World is focused on creating designs that are enduring, trend-aware, and distinctly original, striving to be more than just another dupe. “We do not market Rounn as a dupe brand. Our target audience consists of people who want to support local products and seek good quality. We are constantly working to upgrade our quality,” he says. This preference for niche brands is prevalent across Southeast Asia, where 78% of consumers express a preference for them. These shoppers believe Asian brands are more innovative, with 81% agreeing that these labels understand market needs better than others. “According to a study, 74% of Vietnamese Gen Zers prefer local fashion brands over foreign ones. Of course, there will always be a market for international luxury brands, but tastes are changing. According to an upcoming Canvas8 report, more affluent shoppers in China now favour discreet luxury with cultural and emotional value over logo-driven displays,” Reyes says. While the market may fluctuate, one thing remains clear. Style and identity continue to shape consumer choices. Asian brands are no longer part of the dupe culture but have become a distinct and growing segment. From Seoul and Tokyo to Jakarta, shoppers are defining what true luxury means for them. Luxury is not about logos but about craftsmanship, authenticity, and aspiration. However, European bags are certainly not going anywhere.

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Why Asian handbags are winning Gen Z’s heart