Restaurants, coffee chains in Vietnam switch to selling online delivery

Restaurants, coffee chains in Vietnam switch to selling online delivery

On March 24, customers paying for food at a shop on Mac Thi Buoi street in district 1 in HCM City received three to four menus of other shops belonging to the same chain.

The chain of European food shops had kicked off door-to-door service some days before because of the epidemic.

However, recently, the city has required all eateries of any size to shut down, except for deliveries, until April 15.

Philip Nguyen Ky, owner of Dao Hai San (Seafood Island) and Lobster Bay, said the chains began door-to-door delivery one month ago, but the revenue was below expectations and the cost high. As local authorities have now forced restaurants to shut down, he will have to boost online sales.

Com Ga Hai Nam (Hai Nam Chicken Rice), a well known restaurant in district 1, HCM City, is using delivery only, carried out by GrabFood, Now, Go-food and Baemin.

Coffee and bubble tea chains such as Gong Cha, Highlands Coffee and Phuc Long have also announced they have stopped serving customers at the shops and are serving customers via online.

Meanwhile, Vo Duy Phu, marketing director of The Coffee House, said the chain has closed 100 shops in HCM City and has stopped selling take-away food. Customers need to use a specific app of The Coffee House and get door-to-door deliveries.

“We believe that take-away service doesn’t fit the municipal authorities’ instruction. The service can bring several billion of revenue more, but this won’t help fight against the epidemic,” Phu explained.

“We hope customers feel secure when ordering coffee online and using door-to-door service,” he said.

Also according to Phu, the revenue from door-to-door delivery has increased 30 percent, but this cannot compensate for the sharp fall in total revenue. However, many landlords have reduced by 20-50 percent rental expenses, and some of them have offered one-month rent exemption.

Ran Bien 5 restaurant on Nam Ky Khoi Nghia street in district 3 is the biggest one of the seafood chain.

Since the coronavirus outbreak, the revenue of the restaurant has dropped by 50 percent. After the local authorities released the decision on closing eateries with serving capacity of more than 30 customers, the restaurant announced it will serve no more than 30 people.

The number of workers at the restaurant has been cut by half. They are receiving 30 percent of their salaries.