Every culture has its own approach and manners regarding food consumption, well-illustrated by empirical data. In other article, we have presented macro socioeconomic patterns of the F&B sector in Vietnam. This time, we will deliver an in-depth report on the facts and trends underlying this growing economy.
All the data of this article come from the Decision Lab’s Out-of-Home, Food & Drink Consumption Trends Vietnam Report for Quarter 2, 2016.
In Quarter 2 of 2016, 340 million visits to F&B outlets were recorded. Not surprisingly considering the median age of the population, most of the visits account for the young people between 15 and 35. Regarding the consumption categories, main three segments were quick service (36%), fast casual (35%), followed by street food (11%). Looking at the geography, consumers in Ha Noi spend much more per a visit to F&B outlets than counterparts in Da Nang and Ho Chi Minh City.
Furthermore, there are many different reasons for dining out. However, the half of the consumers go out to eat because of practicality and convenience. It is followed by another 45% of consumers who go to restaurants for an indulgence or treat. Interestingly, only 5% of consumers have cited health reasons. Accordingly, it is evident that the healthy eating trend is in its initial stage in Vietnam. Moreover, diners prefer much more fish and meat than vegetable dishes.
When it comes to beverages, the favourite drink of choice is beer, followed by juices, coffee, and soft drinks. Nevertheless, the more careful analysis has revealed a gendered drink consumption patterns. While men, in general, opt for beer, women clearly prefer smoothies and juices.
In terms of concepts, Asian restaurant such as Vietnamese, Thai, Japanese, and Korean clearly dominate the market with the share of 53%.
On the other hand, only 7% of restaurants are Western – American, French, Italian, etc. Yet, remarkably, it is 2.5 times more expensive to eat out in the Western concept than in the Asian one. Furthermore, it was surprising to note that delivery can be twice as expensive as dine-in in both kinds of concepts. Considering the factors behind one’s decision to choose a specific restaurant, the most important ones are location, convenience, and cleanliness, but not the quality and taste of food.
The main out-of-home consumption occasion is breakfast. To illustrate, 75% of respondents have reported that they eat in the same breakfast outlet 3 to 7 times a week. The similar data has been obtained about lunch. On the contrary, the demand is much smaller for dinner.
In general, respondents believe that Asian concepts have better taste, whereas the western ones offer better atmosphere, service, and cleanliness.
Remarkably, the popularity of Western food such as burgers and pizzas and Korean pop culture has led to so-called ‘Cheesemania.’ Cheese has become a local flavour and ingredient, add even to Asian street food.
According to the data, Vietnamese F&B consumption patterns are fairly unique. Hence, foreign brands planning to enter the market must be well aware of the local context and conditions. For these reasons, DCA Holding International closely cooperates with clients who wish to enter Vietnam. If you are interested in our services, get in touch with us today.