The term "online food delivery" refers to a variety of procedures that center around the quick and simple process of placing an online order for meals and having a delivery agent bring it to your door. Every meal item sold by a specific food chain can be readily accessed on the official websites maintained by restaurants and fast-food establishments. Customers can use the Internet on smartphones or other electronic devices to enter information about a restaurant, like its name, address, and phone number, and then order their preferred items from the menu that is displayed on the website.
Vietnam Online Food Delivery Market Driving Factors and Challenges
Driving Factors- Customer preferences: Vietnamese consumers are increasingly flocking to online food delivery services for the convenience they provide. With busy work schedules and traffic in major cities, many people prefer to buy food online. Furthermore, the younger population in Vietnam is more technologically adept and prefers to order food using smartphone applications.
Macroeconomic elements at play: Vietnam's economy has been expanding gradually over time, driven by rising salaries and a growing middle class. Spending on food has increased as a result of this, as disposable incomes have increased. Additionally, as a result of the government's efforts to expand the nation's infrastructure, such as building highways and expressways, there are now more online meal delivery services competing in the market. The nation has seen a significant increase in employment as a result of the growing popularity of online meal delivery services.
Challenges- The fierce competition among various delivery service providers vying for market share is one of the many obstacles facing Vietnam's online meal delivery industry. Service providers' profit margins are squeezed by price wars and high marketing costs that frequently result from this rivalry. A significant difficulty is also guaranteeing timely deliveries and constant food quality, since restaurants must modify their procedures to satisfy online orders without sacrificing patron satisfaction. Furthermore, problems with food safety and hygiene—particularly when it comes to transportation—remain a major concern that calls for strict regulations and ongoing oversight.
Impact of COVID-19 on Vietnam Online Food Delivery Market
The COVID-19 outbreak has had a major influence on Vietnam's online food delivery sector. The constraints on dining out and social gatherings have hastened the use of online meal delivery services. The following are the main effects of COVID-19 on the market:
Increase in Demand: With movement limitations and lockdowns, consumers increasingly resorted to internet food delivery to suit their dining needs. The market experienced an increase in demand as customers preferred the safety and ease of buying food online.
Shift in Consumer Behaviour: The epidemic has caused a substantial shift in consumer behaviour, with more people using online meal delivery as a regular dining choice. This shift in behaviour is projected to have a long-term influence on the market, even when limitations are relaxed.
Market Key Players:
The market study provides market data by competitive landscape, revenue analysis, market segments and detailed analysis of key market players such as Vietnammm.com (Takeaway.Com N.V.), Eat.vn, Foody.vn, Now.vn, Grab Food.
Vietnam Online Food Delivery Market Segmentation:
By Order Method: Based on the Order Method, Vietnam Online Food Delivery Market is segmented as; Mobile Application, Website.
By Cuisine: Based on the Cuisine, Vietnam Online Food Delivery Market is segmented as; Vietnamese Cuisine, Western Cuisine, Italian Cuisine, South Asian Cuisine, and Others.
By Region: This research also includes data for North Vietnam, South Vietnam, East Vietnam, West Vietnam.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.