Leading players are expected to increase their outlets over the forecast period, with top names such as KFC and Jollibee, in the popular chicken subcategory, leading the charge. Indeed, there is great scope for growth for limited-service restaurants in Vietnam, because the target population is huge – especially the unexplored populations in suburban and rural areas across the country.
Challenges do, however, remain for limited-service restaurants and, indeed, foodservice in general. Economic uncertainties remain in Vietnam, with consumers remaining price sensitive.
International names in limited-service restaurants are those likely to drive trends and growth in the category. For example, names such as the aforementioned KFC, alongside McDonald’s (Good Day Hospitality JSC), and Domino’s Pizza (Imex Pan Pacific Group Inc).
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Limited-Service Restaurants (LSR) combine fast food and 100% home delivery/takeaway outlets. These outlets offer limited menus with items that can be prepared quickly. Customers typically order, pay, and pick up their order from a counter, though some outlets can have limited table service. This also includes 100% Home Delivery/Takeaway which provide no facilities for consumption on the premises. LSR tend to specialize in one or two main entrees such as hamburgers, pizza, or chicken, but they usually also provide drinks, salads, ice cream, dessert, etc. Food preparation is generally simple and involves one or two steps, allowing for kitchen staffs generally consisting of younger, unskilled workers rather than professional chefs. Other key characteristics include: • A standardised and restricted menu • Tight individual portion control on all ingredients and on the finished product • Individual packaging of each item • Counter service • For Chained Limited Service Restaurants, chained and franchised operations which operate under a uniform fascia and corporate identity • Any outlet offering full-service restaurant seating with servers would be excluded, even if delivery service is available.See All of Our Definitions
This report originates from Passport, our Limited-Service Restaurants research and analysis database.
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