According to Decision Labs, out-of-home consumption has grown extensively to 340m restaurant visits per quarter last year in the main metros of Saigon, Hanoi and Da Nang.
It found from a data-driven analysis of 16,000 consumers that eating out is most popular among men than women, while diners aged 15-35 account for majority of visits to restaurants. Three quarters of all restaurant trips were made by consumers belonging to social categories C and D—a lower-earning demographic with average incomes starting at just VND3m (USD$133) a month.
This appetite for eating out among the lower end of the social spectrum no doubt explains why quick service restaurants was the most popular format in the study, accounting for 36% of the out-of-home food market, where consumers would spend an individual average of VND72,000 (US$3.19) per trip.
Fast food was closely followed by fast casual, with 35% of the market and a slightly higher average spend of VND84,000 (US$3.72). The only other segment to see double digits was street food, where diners spending an average of VND35,000 (US$1.55) accounted for 11% of the market.
The research also assessed other categories, such as canteens, bars, convenience stories, hotels and fine dining. As one might expect of a fast-developing country, just 0.4% of respondents said they eat at fine dining establishments, at an average cost of VND265,000 (US$11.74).
Though incomes have risen sharply over the last decade, Vietnam’s GDP is still only 13% of the world’s average, according to the World Bank, with only neighbouring Cambodia, Laos and Vietnam less impecunious in the region.
Armed with data, the publishers of the research have offered some pointers to succeed amid the complexity of such a fast-developing market…