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Katrin Roscher

Is online ordering crucial for restaurants’ success in Vietnam?

Eating out is one of the most favourite activities of the Vietnamese with adult visits to out of home outlets amounting to 340 million translating into $1.1 billion in Q2 2016 in HCMC, Hanoi and Da Nang according to a newly released report by Decision Lab.

Convenient location of the outlet is the main driver why people visit a particular restaurant and the location of the restaurant is more important for attracting customers than attributes such as cleanliness, taste/quality of food and value for money. This represents a major challenge for restaurants with only one or two outlets as naturally a major proportion of the city’s population is out of reach due to distance.

The growing popularity of online ordering is an effective way to bridge the distance. In fact, data from Decision Lab’s Foodservice Monitor shows that in urban areas 45% of delivery orders are now placed online and that customers who used online ordering are more satisfied with their purchase than customers who ordered over the phone, this is particularly evident with attributes such as accuracy of order.

Online ordering represents a fantastic opportunity for restaurants to expand their catchment area and drive off-premise consumption without the cost of having to open new branches across town and without bearing the cost of seating and waiting on customers that prefer to enjoy the restaurant cooked meal at home or at work. Using external online ordering services such as Vietnammm.com is incredibly beneficial especially to smaller operators, giving them an opportunity to be seen by a wider audience without having to invest in their own website, online ordering structure or extra marketing.

Decision Lab’s Food Service Monitor can also help restaurant operators:

  • Position new concepts
  • Optimize offering
  • Drive footfall and spending per head

Decision Lab helps companies understand the challenges and opportunities in the Out-of-home market in order to create growth and profitability.

For more crucial insights for growing your brand in the Vietnamese Out of Home market download the full report here.