As the food and beverage sector in Vietnam experience an exponential growth, the market share of food delivery service also expands. Generation Z: The Next Wave of Consumers. “I usually eat out with my colleagues for lunch, but these days, out of fear for infection when going outside or entering crowded places, we have switched to ordering food online for convenience and safety,” said Nguyen Quynh Anh, an office worker in District 1. Small operating startups include Lala.vn and VietnammGom. They offer a very wide choice of cuisine and restaurants. According to Pew Research Center (2019) specified, their friends through both offline and online means. [Cited 14 February 2018]. amount at $1.4 trillion (=€1.2 trillion) in the US by 2020, accounting for 30% LAMK Pro ISSN 2489-3765 An increasingly digital-savvy and well-educated population as well as a digitally ready driver pool make the market promising.” Since its launch in HCM City in June 2018 GrabFood’s orders have increased 25 fold and it is the fastest-growing food delivery service. 2018.) The food delivery race became more competitive when Baemin, the food delivery app belonging to the South Korean unicorn Woowa Brothers announced business expansion into Hanoi after one year in HCM City. These food delivery services are especially important for expats, who are generally not versed in the way of Vietnamese cooking and who often have less downtime than locals. Respondents were asked to rate a series of seven elements on the scale of one to five, with one being strongly disagree and five being strongly agree. [Cited and date of citation]. In the food delivery segment, the current major players are Delivery Now, which is backed by Singapore-based Sea Limited, and GrabFood, which launched its service in June 2018. [cited 14 February 2019]. Euromonitor International. Available at: http://www.pewresearch.org/fact-tank/2019/01/17/where-Millennials-end-and-generation-z-begins/, Donnelly, C. 2018. Who are the millennial shoppers? Their spending is projected to ), Dimock, M. 2019. Currently, the food service industry in Vietnam is experiencing a strong growth which is creating numerous opportunities for the online food delivery market in the region. delivery. In Vietnam, as of 2018, Millennials and Gen Zs accounts for 35% of [Cited 14 February 2019]. As more Ho Chi Minh City residents confine themselves to their homes over COVID-19 fear, food stalls and restaurants in downtown areas remain packed with customers, most of whom are delivery workers in vibrant uniforms waiting to pick up … This report will specify the current usage and reasons / obstacles using food delivery services in Vietnam, both from direct shop or portal (foody, vietnammm, etc.) Vietnam as its first market outside Indonesia has so far witnessed the foray of Go-Bike and Go-Send. As more Ho Chi Minh City residents confine themselves to their homes over COVID-19 fear, food stalls and restaurants in … Four Chinese were reportedly injured, with one having a broken arm. Despite the sweltering weather in Hanoi these days, many young people still flock to lotus ponds surrounding the capital city’s iconic Ho Tay (West Lake) to pose for Instgram-ready photos with a sea of blooming flowers. Gen Z are more entrepreneurial than their Sixty cases have been reported in the Southeast Asian country since March 6 after Vietnam had gone three weeks without any new infection. Changes can also be witnessed around lunchtime at office buildings, where food delivery is in vogue. [Cited 14 February 2019]. shop, they utilize online platforms in every stage of the decision journey from KFC & Pizza Hut are the two most popular stores used for delivery service For portal, Foody (Delivery Now) and Grab food are the most popular services Satisfaction comes from order easiness, food quality and drivers’ attitude, while minimum order for free delivery becomes the hardle To view the full report, please click the button below Applied Sciences and has graduated and received a BBA degree in February 2019. Millennials value It is extremely hard to gain Millennials’ loyalty but they make A report by McKinsey & Company points out that the biggest challenge for food delivery firms is speed, because consumers want their meals to be at their door in under 60 minutes. Engaging Generation Z: Marketing to a New Brand of Consumer. (Hodgson 2018). As the food and beverage sector in Vietnam experience an exponential growth, the market share of food delivery service also expands. [Cited 14 February 2019]. Inside Food Delivery Services Market in Vietnam: Connecting and Understanding Generation Z and Millennials as Customers. Available at: https://www.adweek.com/digital/josh-perlstein-response-media-guest-post-generation-z/, Solomon, M. 2018. The percentage of users of food delivery services has also increased rapidly, although it is limited to urban areas where a large number of office workers are employed . Today in the ever-expanding digitalized world, ordering food home through online services is extremely popular. In a few clicks, your meal is ordered and you can even … Available at: https://blog.euromonitor.com/generation-z-next-wave-consumers/, Nguyen, M. 2019. LAMK RDI Journal ISSN 2489-3773. US Millennials pick companies that support the causes they care about. http://www.pewresearch.org/fact-tank/2019/01/17/where-Millennials-end-and-generation-z-begins/, https://www.accenture.com/fi-en/insight-outlook-who-are-millennial-shoppers-what-do-they-really-want-retail, https://www.ft.com/content/194cd1c8-6583-11e8-a39d-4df188287fff, https://blog.euromonitor.com/generation-z-next-wave-consumers/, http://urn.fi/URN:NBN:fi:amk-201902142351, https://www.adweek.com/digital/josh-perlstein-response-media-guest-post-generation-z/, https://www.forbes.com/sites/micahsolomon/2018/05/03/for-small-business-week-all-about-millennial-consumers-and-millennial-friendly-customer-experiences/#1409ef62f91a, https://genhq.com/how-does-gen-z-actually-use-youtube/, http://www.lamkpub.fi/2019/03/27/inside-food-delivery-services-market-in-vietnam/, What is service marketing and where is it heading. Open access -julkaisualusta Lahden ammattikorkeakoulun henkilökunnan, opiskelijoiden ja yhteistyökumppaneiden julkaisuille. The only company Le Huu Hien has is the sparrows that he feeds every day, Editor-in-Chief: LE THE CHU Publication permit 1332/BTTTT-PTTH&TTĐT, granted by the Ministry of Information and Communications of the Socialist Republic of Vietnam. In Vietnam, food delivery service is booming with the participation of many players sharing the “pie” with estimated size around $33 mil., according to Euromonitor. The Vietnamese foodservice market is segmented by sector type, into full service restaurants, cafés and bars, street kiosks, fast food, and 100% home delivery restaurants. Delivery Pickup. Specifically, in early 2019, Beamin from South Korea officially entered the Vietnamese market after successfully purchasing Vietnammm food ordering application. The cafés and bars segment is gaining popularity, due to the rising disposable incomes of the consumers in the region. 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Speed and quality of delivery is the most valued element when Millennials and Gen Z pick a food delivery service. Illustration: https://pxhere.com/en/photo/1459569 (CC0), Nguyen, M. & Viljanen, M. 2019. According to the Ministry of Industry and Trade, stimulating online commerce channels and mobilizing the participation of e-commerce and logistics platforms are among the initiatives employed by the ministry to cope with COVID-19. Locals who pick up sau, a typical fruit of Hanoi, for sale to earn a living will not start their daily ‘harvest’ until the sun goes down. Available at: https://www.accenture.com/fi-en/insight-outlook-who-are-millennial-shoppers-what-do-they-really-want-retail, Gapper, J. Available at: http://www.lamkpub.fi/2019/03/27/inside-food-delivery-services-market-in-vietnam/, Sähköpostiosoitettasi ei julkaista. The trees are currently growing well, with green leaves and healthy branches. We work with the merchant to make sure everything is ready for delivery or pickup. “The on-demand food delivery industry in Việt Nam remains highly competitive. While the majority of businesses shamble in the shadow of the novel coronavirus disease (COVID-19) epidemic in Vietnam, food delivery services are on a roll. 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My Nguyen has studied Business and Administration Partnering with supermarkets, shops, and delivery bikes, start-ups develop fresh food shopping apps that enable customers to choose the food they want from the supermarket catalogues or from the list of food items in shops. Sand-boarding, a popular activity amongst local children in the coastal tourism town of Mui Ne in south-central Vietnam, is attracting hundreds of tourists to the Red Sand Dunes. Among the cases being treated, 22 are foreigners, including 13 Britons, one Irishman, two Germans, one from the Czech Republic, one Latvian, one U.S. citizen, and three French nationals. A survey was carried out to learn about the behaviors of Vietnamese Millennials and Gen Zs towards food delivery services (Nguyen 2019). Improvements in economic conditions have favored the acceptance of cafés and bars. In addition, high quantity of promotions, recommendations from friends and relative, and easy-to-use ordering system are also highly considered. Many sewers along the streets in Ho Chi Minh City have their entrances blocked by garbage on a regular basis, negatively impacting urban esthetics and the environment while helping cause serious flooding. of. Then we'll send you a confirmation. ), As Millennials and Gen Zs in Vietnam trust recommendations from someone they know in real life, it will do food delivery services in Vietnam well to focus on deepening the bonds that they already have with existing customers. Easy online ordering for takeout and delivery from Vietnamese restaurants near you. tailored to specific social medias while maintaining the same message across part in creating the products with the brands. © All rights are reserved by Tuoi Tre/Tuoi Tre News Content may not be republished, except with the prior written permission of Tuoi Tre/Tuoi Tre News. Millennials Fast, reliable and convenient, Now is an on-demand food delivery service app in Vietnam, also featuring a variety of other local services such as fresh grocery & medicine delivery, table booking, passenger & parcel transportation and home/personal services. of retail sale. How do you feel when you’re on the receiving end of a cold call? Some of the prominent … LAMK Pro. clean line that cut between Millennials and Gen Zs is that Gen Z never knows a While the majority of businesses shamble in the shadow of the novel coronavirus disease (COVID-19) epidemic in Vietnam, food delivery services are on a roll. Online-to-offline (O2O) food delivery services are expected to grow rapidly, making them red hot in the market and attract investment from many Vietnamese and foreign investors, companies said. The novel coronavirus, which first emerged in the central Chinese city of Wuhan in December 2019, has infected almost 220,000 people and killed nearly 9,000 globally, according to Ministry of Health statistics. There are plenty of sites and apps to choose from for delivery in many of Vietnam’s big cities, namely Ho Chi Minh City, Hanoi and Danang. Facing the circumstances, food businesses are rapidly remodeling themselves. Like us on Facebook or follow us on Twitter to get the latest news about Vietnam! platforms as each social media is used for different purposes by Gen Z. Food delivery services in HCMC are great, so give them a try! food, products, services or media silently; they share the experience with (Solomon the country’s population. In Vietnam, food delivery service is booming with the participation of many players sharing the “pie” with estimated size around $33 mil., according to Euromonitor. (Watson 2018.) especially loyal customers, if they feel like they are treated right by the The big players now are Now, Lala, Vietnamm, Lixi, Loship, GO-VIET’s GO-FOOD, and Grab’s GrabFood. This is considered a new breeze as it has made the food delivery competition more exciting. Gen Z love brands with a personality 2018. The Center for Generational Kinetics. With more than 1,500 restaurants delivering food throughout Vietnam, Vietnammm.com or Takeaway.com (the name under which the company is internationally known) is the largest food delivery platform in Vietnam. This include Vietnamese Cuisines, Western Cuisines, and South Asian Cuisines among others. When picking a food delivery service, there are a few elements that Millennials and Gen Zs value over others. Pakolliset kentät on merkitty *. The Vietnamese market research firm GCOMM found that 99 percent of surveyed consumers use online food ordering services at least two to three times per month, while 39 percent use the service two to three times a week. Word-of-mouth phenomenon will draw in new customers and earn their trust instantly. Lahden ammattikorkeakoulun open access -julkaisuportaali, jolla julkaistaan kahta jatkuvasti päivittyvää lehteä, LAMK Pro ja LAMK RDI Journal. As a matter of fact, the market for food delivery service is growing strong all over the world. If you haven’t tried some of these, give them a go. Find the best delivery restaurant within a few clicks and enjoy your food! with up-to-date technologies. While the majority of businesses shamble in the shadow of the novel coronavirus disease (COVID-19) epidemic in Vietnam, food delivery services are on a roll. Seven of the best food delivery sites. Marja Viljanen works as a Senior Lecturer at the Generation Zs begins with those who were born starting from 1997 (22 of age as Available at: http://urn.fi/URN:NBN:fi:amk-201902142351, Perlstein, J. GrabFood is able to utilise its dense network of driver-partners and … predecessor generation. To capture … How food delivery services in Vietnam accommodate millennials and generation Z. Bachelor’s Thesis. 2018. Millennials love having their opinions listened to, they want to have a Nguyen Thi Duyen, a young engineer in Hanoi, developed the app and its related services to help busy people create their own veggie gardens. This survey was made in order to understand the latest trend of the delivery services as well as how the demand has increased during Covid period. How food delivery services in Vietnam accommodate Millennials and Generation Z. Lahden ja Saimaan ammattikorkeakoulut yhdistyivät 1.1.2020 muodostaen LAB-ammattikorkeakoulun. Related industries Any country. March 19, 2020. 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