Nov. 12 – Despite the global crisis, Vietnam remains a profitable investment for Western fast-food chains.
Many Vietnamese are still willing to spend more on fast food restaurants even if it is around 2 to 4 times more expensive than the regular rice or noodle shop.
Western fast food chains tend to introduce menu items that cater to local tastes to increase sales.
According to market research company AC Nielsen, only 8 percent of Vietnamese eat at a foreign fast food restaurant one to three times a month. The company says that because of Vietnam’s population, comprising of 65 percent under the age of 25, it still remains a profitable destination for Western food chains.
Last month, Kentucky Fried Chicken, opened an additional three stores the country bringing its total number of Vietnam locations to 55.
The Philippines’ largest fast-food chain, Jollibee Foods Corporation, also announced its expansion plans in the country by adding another four stores in Ho Chi Minh city and the surrounding areas.
Marketing head for Jollibee Vietnam,Jonx Jongko, told Thanh Nien News that the Vietnamese have been gradually embracing Western fast food athough “it’s still something new for them.”
Ly Quy Trung, the Australian-educated founder of the local noodle soup fast food chain Pho 24 told Thanh Nien News, that in more developed markets, customers have a higher awareness of nutrition content.
The United State's top burger brands like Burger King, Popeye’s and McDonald’s are expected to tap into the Vietnamese market in the next two to three years.
hi there,
Very interesting what you’ve written about Vietnam’s fast food industry. Do you have any news about this trend in Vietnam? As I’m doing my research about which factors bring Vietnamese people to KFC, Lotteria, Jollie Bee even though they know that these foods are not good for their health…
Thanks a lot for sharing.
Please send to me email if possible
juky84@yahoo.com
Snow Tran
Interesting that you do a research on to factors which bring viet people to fast food outlets.
the main factor is: that is a new trend, considered as modern and the that is the right thing to do to keep up with the modern world. Health factors will come in later, already if one observes the rich kids in towns they are fat and nearly 90% wear glasses.
Remember just 8 years ago these fast foods were not here in Vietnam, people went to coffe houses and ate traditional food on the pavement.
now it is customery to go to fast food outlet and eat in style and in comfort. And the pay average is higher, so the people can afford these luxuries as you may call it.
Thanks a lot for your reply.
Do you have any figure how big is fast food industry in Viet Nam (in USD figure) in comparison with other developed countries?
I’m still doing research about fast food industry in Viet Nam. It’s interesting.
Thanks a lot
I am doing a research about fast-food industry in Vietnam but this information is not easy to find. So I need your help to know market share of some companies in Fast-food industry in Vietnam. Please….