Consumer Foodservice in Vietnam

Euromonitor International's Consumer Foodservice in Vietnam report examine stand-alone restaurants and eating establishments in which the consumer can freely choose to eat. The report looks at market trends by sector (cafes/bars, full-service restaurants, fast food, home delivery and street stalls). It profiles the leading companies in the market and analyses factors influencing eating out patterns. Forecasts illustrate how the market is set to change.

Buy online to access strategic market analysis and an interactive statistical database of foodservice value market size, company and brand shares and number of outlets and transactions.

Tables: 141  |  Publication date: Oct 2008
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GBP1190.00

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  • Get insight into trends in market performance
  • Pinpoint growth sectors and identify factors driving change
  • Identify market and brand leaders and understand the competitive environment

Product coverage

Consumer foodservice by chained/independent; Consumer foodservice by location; Consumer foodservice by type; Consumer foodservice by type and chained/independent

Executive summary

Sales grow thanks to strong demand

In 2007, unexpectedly high inflation caused prices to grow sharply, but this failed to constrain overall demand for consumer foodservice. Vietnamese consumers visited foodservice outlets more often to socialise with one another, discuss business matters with colleagues, or simply to save time. In addition, the large and widening income gap enabled foodservice operators to use income as a criterion in determining their target consumer groups. Many people earned higher incomes, so despite higher prices, the number of consumers going to high-end restaurants continued to grow. For low-income earners, street stalls/kiosks and cheap restaurants were good value-for-money choices.

Urbanisation and modernisation support foodservice expansion

In 2007, the rate of urbanisation was rapid thanks to the large number of construction and city planning projects all over Vietnam. Many new office buildings and living quarters were built. Around many of these buildings and living spaces, there were once rice fields or waste land. Hence, when people started to work or live in these new buildings, there was considerable demand for foodservice outlets. The most popular new outlets are cafés/bars and independent full-service restaurants. In addition to urbanisation, modernisation of many living quarters prompted foodservice outlets to improve their store designs and services. Fast food, a concept that came to Vietnam much later than some of the others, was perceived as a modern concept, and saw further development in 2007.

Multinationals to expand

After a long period striving for success in Vietnam, multinationals such as KFC and Lotteria have started to turn a profit. These chains penetrated Vietnam at the end of the 1990s and are known by many local consumers. In addition to fast food, coffee chains such as Gloria Jean’s and street stalls/kiosks chain Goethe Café Doner Kebab began to expand further in 2007. Independent Western and Asian restaurants also saw rapid growth in 2007. Although domestic players continued to dominate foodservice in Vietnam, instead of increasing outlet numbers, they focused more on improving the quality of products and services so as to compete with multinationals. Competition between domestic players and multinationals became particularly intense in 2007.

Chained outlets see faster growth

Chained outlets saw faster growth in 2007 thanks to consumers adopting the chain concept and operators gaining better knowledge of how to develop chains. Consumers started to gain trust in chains following problems with food quality issues at other foodservice formats earlier in the review period. Food sold at chains is perceived as being of better quality. Another reason for the growth of chains was the improvement in legislation and regulation relating to franchising. Operators enjoyed peace of mind when the legislation and regulations were improved and therefore felt more confident undertaking the franchising process. As a result, both domestic and foreign chains saw faster growth in 2007.

Further development over the forecast period

During the forecast period, consumer foodservice is expected to see further development on different levels. The number of outlets should continue to grow due to demand in new urbanised areas. Tougher competition will cause most foodservice outlets to develop their menus, so as to offer new items to customers. Services are expected to be more diversified and professional. Furthermore, advertising and promotional campaigns should be launched more often. Further development will be witnessed not only in major cities such as Hanoi, Ho Chi Minh City, Da Nang, Hai Phong, and Can Tho, but also in the areas around these cities.

Table of contents

CONSUMER FOODSERVICE IN VIETNAM : MARKET INSIGHT

EXECUTIVE SUMMARY

Sales grow thanks to strong demand

Urbanisation and modernisation support foodservice expansion

Multinationals to expand

Chained outlets see faster growth

Further development over the forecast period

KEY TRENDS AND DEVELOPMENTS

Eating out becomes more common

Urbanisation brings more space for different outlets

Westernisation livens up the market

Independent outlets adopt specific themes to compete with chains

Income gap is becoming larger

MARKET DATA

Table 1 Units, Transactions and Value Sales in Consumer Foodservice: 2002-2007

Table 2 Units, Transactions and Value Sales in Consumer Foodservice: % Growth 2002-2007

Table 3 Consumer Foodservice by Independent Vs Chained Outlets: Units/Outlets 2007

Table 4 Consumer Foodservice by Eat in Vs Takeaway 2007

Table 5 Consumer Foodservice by Food Vs Drinks Split 2007

Table 6 Sales in Consumer Foodservice by Location 2002-2007

Table 7 Leading Chained Consumer Foodservice Brands by Number of Units 2007

Table 8 Chained Consumer Foodservice Company Shares 2003-2007

Table 9 Chained Consumer Foodservice Brand Shares 2004-2007

Table 10 Forecast Units, Transactions and Value Sales in Consumer Foodservice: 2007-2012

Table 11 Forecast Units, Transactions and Value Sales in Consumer Foodservice: % Growth 2007-2012

DEFINITIONS

Summary 1 Research Sources

LOCAL COMPANY PROFILES - VIETNAM

NAM AN GROUP - CONSUMER FOODSERVICE - VIETNAM

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Nam An Group: Key Facts

Summary 3 Nam An Group: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 4 Nam An Group: Competitive Position 2007

TRUNG NGUYEN COFFEE CO LTD - CONSUMER FOODSERVICE - VIETNAM

STRATEGIC DIRECTION

KEY FACTS

Summary 5 Trung Nguyen Coffee Co Ltd: Key Facts

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 6 Trung Nguyen Coffee Co Ltd: Competitive Position 2007

VIET THAI INTERNATIONAL JOINT STOCK CO - CONSUMER FOODSERVICE - VIETNAM

STRATEGIC DIRECTION

KEY FACTS

Summary 7 Viet Thai International Joint Stock Co: Key Facts

Summary 8 Viet Thai International Joint Stock Co: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 9 Viet Thai International Joint Stock Co: Competitive Position 2007

VIETLIFESTYLE JSC CO - CONSUMER FOODSERVICE - VIETNAM

STRATEGIC DIRECTION

KEY FACTS

Summary 10 Vietlifestyle JSC Co: Key Facts

Summary 11 Vietlifestyle JSC Co: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 12 Vietlifestyle JSC Co: Competitive Position 2007

VIETNAM LOTTERIA CO LTD - CONSUMER FOODSERVICE - VIETNAM

STRATEGIC DIRECTION

KEY FACTS

Summary 13 Vietnam Lotteria Co Ltd: Key Facts

Summary 14 Vietnam Lotteria Co Ltd: Operational Indicators

COMPANY BACKGROUND

COMPETITIVE POSITIONING

Summary 15 Vietnam Lotteria Co Ltd: Competitive Position 2007

CONSUMER FOODSERVICE BY LOCATION IN VIETNAM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 12 Consumer Foodservice Sales by Location: Units/Outlets 2002-2007

Table 13 Consumer Foodservice Sales by Location: Transactions 2002-2007

Table 14 Consumer Foodservice Sales by Location: Foodservice Value 2002-2007

Table 15 Consumer Foodservice Sales by Location: % Volume Growth 2002-2007

Table 16 Consumer Foodservice Sales by Location: % Transaction Growth 2002-2007

Table 17 Consumer Foodservice Sales by Location: % Foodservice Value Growth 2002-2007

Table 18 Consumer Foodservice Sales through Standalone: Units/Outlets 2002-2007

Table 19 Consumer Foodservice Sales through Standalone: Transactions 2002-2007

Table 20 Consumer Foodservice Sales through Standalone: Foodservice Value 2002-2007

Table 21 Consumer Foodservice Sales through Standalone: % Volume Growth 2002-2007

Table 22 Consumer Foodservice Sales through Standalone: % Transaction Growth 2002-2007

Table 23 Consumer Foodservice Sales through Standalone: % Foodservice Value Growth 2002-2007

Table 24 Consumer Foodservice Sales through Retail: Units/Outlets 2002-2007

Table 25 Consumer Foodservice Sales through Retail: Transactions 2002-2007

Table 26 Consumer Foodservice Sales through Retail: Foodservice Value 2002-2007

Table 27 Consumer Foodservice Sales through Retail: % Volume Growth 2002-2007

Table 28 Consumer Foodservice Sales through Retail: % Transaction Growth 2002-2007

Table 29 Consumer Foodservice Sales through Retail: % Foodservice Value Growth 2002-2007

Table 30 Consumer Foodservice Sales through Lodging: Units/Outlets 2002-2007

Table 31 Consumer Foodservice Sales through Lodging: Transactions 2002-2007

Table 32 Consumer Foodservice Sales through Lodging: Foodservice Value 2002-2007

Table 33 Consumer Foodservice Sales through Lodging: % Volume Growth 2002-2007

Table 34 Consumer Foodservice Sales through Lodging: % Transaction Growth 2002-2007

Table 35 Consumer Foodservice Sales through Lodging: % Foodservice Value Growth 2002-2007

Table 36 Consumer Foodservice Sales through Travel: Units/Outlets 2002-2007

Table 37 Consumer Foodservice Sales through Travel: Transactions 2002-2007

Table 38 Consumer Foodservice Sales through Travel: Foodservice Value 2002-2007

Table 39 Consumer Foodservice Sales through Travel: % Volume Growth 2002-2007

Table 40 Consumer Foodservice Sales through Travel: % Transaction Growth 2002-2007

Table 41 Consumer Foodservice Sales through Travel: % Foodservice Value Growth 2002-2007

Table 42 Forecast Consumer Foodservice Sales by Location: Units/Outlets 2007-2012

Table 43 Forecast Consumer Foodservice Sales by Location: Transactions 2007-2012

Table 44 Forecast Consumer Foodservice Sales by Location: Foodservice Value 2007-2012

Table 45 Forecast Consumer Foodservice Sales by Location: % Volume Growth 2007-2012

Table 46 Forecast Consumer Foodservice Sales by Location: % Transaction Growth 2007-2012

Table 47 Forecast Consumer Foodservice Sales by Location: % Foodservice Value Growth 2007-2012

Table 48 Forecast Consumer Foodservice Sales through Standalone: Units/Outlets 2007-2012

Table 49 Forecast Consumer Foodservice Sales through Standalone: Transactions 2007-2012

Table 50 Forecast Consumer Foodservice Sales through Standalone: Foodservice Value 2007-2012

Table 51 Forecast Consumer Foodservice Sales through Standalone: % Volume Growth 2007-2012

Table 52 Forecast Consumer Foodservice Sales through Standalone: % Transaction Growth 2007-2012

Table 53 Forecast Consumer Foodservice Sales through Standalone: % Foodservice Value Growth 2007-2012

Table 54 Forecast Consumer Foodservice Sales through Retail: Units/Outlets 2007-2012

Table 55 Forecast Consumer Foodservice Sales through Retail: Transactions 2007-2012

Table 56 Forecast Consumer Foodservice Sales through Retail: Foodservice Value 2007-2012

Table 57 Forecast Consumer Foodservice Sales through Retail: % Volume Growth 2007-2012

Table 58 Forecast Consumer Foodservice Sales through Retail: % Transaction Growth 2007-2012

Table 59 Forecast Consumer Foodservice Sales through Retail: % Foodservice Value Growth 2007-2012

Table 60 Forecast Consumer Foodservice Sales through Lodging: Units/Outlets 2007-2012

Table 61 Forecast Consumer Foodservice Sales through Lodging: Transactions 2007-2012

Table 62 Forecast Consumer Foodservice Sales through Lodging: Foodservice Value 2007-2012

Table 63 Forecast Consumer Foodservice Sales through Lodging: % Volume Growth 2007-2012

Table 64 Forecast Consumer Foodservice Sales through Lodging: % Transaction Growth 2007-2012

Table 65 Forecast Consumer Foodservice Sales through Lodging: % Foodservice Value Growth 2007-2012

Table 66 Forecast Consumer Foodservice Sales through Travel: Units/Outlets 2007-2012

Table 67 Forecast Consumer Foodservice Sales through Travel: Transactions 2007-2012

Table 68 Forecast Consumer Foodservice Sales through Travel: Foodservice Value 2007-2012

Table 69 Forecast Consumer Foodservice Sales through Travel: % Volume Growth 2007-2012

Table 70 Forecast Consumer Foodservice Sales through Travel: % Transaction Growth 2007-2012

Table 71 Forecast Consumer Foodservice Sales through Travel: % Foodservice Value Growth 2007-2012

CAFéS/BARS IN VIETNAM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 72 Cafés/Bars by Subsector: Units/Outlets 2002-2007

Table 73 Cafés/Bars by Subsector: Transactions 2002-2007

Table 74 Cafés/Bars by Subsector: Foodservice Value 2002-2007

Table 75 Cafés/Bars by Subsector: % Volume Growth 2002-2007

Table 76 Cafés/Bars by Subsector: % Transaction Growth 2002-2007

Table 77 Cafés/Bars by Subsector: % Foodservice Value Growth 2002-2007

Table 78 Global Brand Owner Shares of Chained Cafés/Bars 2003-2007

Table 79 Brand Shares of Chained Cafés/Bars 2004-2007

Table 80 Forecast Sales in Cafés/Bars by Subsector: Units/Outlets 2007-2012

Table 81 Forecast Sales in Cafés/Bars by Subsector: Transactions 2007-2012

Table 82 Forecast Sales in Cafés/Bars by Subsector: Foodservice Value 2007-2012

Table 83 Forecast Sales in Cafés/Bars by Subsector: % Volume Growth 2007-2012

Table 84 Forecast Sales in Cafés/Bars by Subsector: % Transaction Growth 2007-2012

Table 85 Forecast Sales in Cafés/Bars by Subsector: % Foodservice Value Growth 2007-2012

FULL-SERVICE RESTAURANTS IN VIETNAM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 86 FSR by Subsector: Units/Outlets 2002-2007

Table 87 FSR by Subsector: Transactions 2002-2007

Table 88 FSR by Subsector: Foodservice Value 2002-2007

Table 89 FSR by Subsector: % Volume Growth 2002-2007

Table 90 FSR by Subsector: % Transaction Growth 2002-2007

Table 91 FSR by Subsector: % Foodservice Value Growth 2002-2007

Table 92 Global Brand Owner Shares of Chained FSR 2003-2007

Table 93 Brand Shares of Chained FSR 2004-2007

Table 94 Forecast Sales in FSR by Subsector: Units/Outlets 2007-2012

Table 95 Forecast Sales in FSR by Subsector: Transactions 2007-2012

Table 96 Forecast Sales in FSR by Subsector: Foodservice Value 2007-2012

Table 97 Forecast Sales in FSR by Subsector: % Volume Growth 2007-2012

Table 98 Forecast Sales in FSR by Subsector: % Transaction Growth 2007-2012

Table 99 Forecast Sales in FSR by Subsector: % Foodservice Value Growth 2007-2012

FAST FOOD IN VIETNAM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 100 Fast Food by Subsector: Units/Outlets 2002-2007

Table 101 Fast Food by Subsector: Transactions 2002-2007

Table 102 Fast Food by Subsector: Foodservice Value 2002-2007

Table 103 Fast Food by Subsector: % Volume Growth 2002-2007

Table 104 Fast Food by Subsector: % Transaction Growth 2002-2007

Table 105 Fast Food by Subsector: % Foodservice Value Growth 2002-2007

Table 106 Sales of Bakery Products Fast Food by Type 2006-2007

Table 107 Global Brand Owner Shares of Chained Fast Food 2003-2007

Table 108 Brand Shares of Chained Fast Food 2004-2007

Table 109 Forecast Sales in Fast Food by Subsector: Units/Outlets 2007-2012

Table 110 Forecast Sales in Fast Food by Subsector: Transactions 2007-2012

Table 111 Forecast Sales in Fast Food by Subsector: Foodservice Value 2007-2012

Table 112 Forecast Sales in Fast Food by Subsector: % Volume Growth 2007-2012

Table 113 Forecast Sales in Fast Food by Subsector: % Transaction Growth 2007-2012

Table 114 Forecast Sales in Fast Food by Subsector: % Foodservice Value Growth 2007-2012

100% HOME DELIVERY/TAKEAWAY IN VIETNAM

HEADLINES

TRENDS

PROSPECTS

SELF-SERVICE CAFETERIAS IN VIETNAM

HEADLINES

TRENDS

PROSPECTS

STREET STALLS/KIOSKS IN VIETNAM

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 115 Street Stalls/Kiosks: Units/Outlets 2002-2007

Table 116 Street Stalls/Kiosks: Transactions 2002-2007

Table 117 Street Stalls/Kiosks: Foodservice Value 2002-2007

Table 118 Street Stalls/Kiosks: % Volume Growth 2002-2007

Table 119 Street Stalls/Kiosks: % Transaction Growth 2002-2007

Table 120 Street Stalls/Kiosks: % Foodservice Value Growth 2002-2007

Table 121 Forecast Sales in Street Stalls/Kiosks: Units/Outlets 2007-2012

Table 122 Forecast Sales in Street Stalls/Kiosks: Transactions 2007-2012

Table 123 Forecast Sales in Street Stalls/Kiosks: Foodservice Value 2007-2012

Table 124 Forecast Sales in Street Stalls/Kiosks: % Volume Growth 2007-2012

Table 125 Forecast Sales in Street Stalls/Kiosks: % Transaction Growth 2007-2012

Table 126 Forecast Sales in Street Stalls/Kiosks: % Foodservice Value Growth 2007-2012