Vietnam

The Vietnamese Coffee Cafe Market in 2025

June 25, 2025

Key Takeaways

Vietnam’s coffee café market is expanding rapidly, driven by urbanization, rising incomes, and shifting consumer preferences toward premium experiences.
Major local and global chains are adopting digital strategies, franchise models, and localized menus to stay competitive and scale operations.
Sustainability, supply chain resilience, and experiential design are critical pillars shaping long-term success in the Vietnamese café landscape.

Vietnam, the world’s second-largest coffee producer and the undisputed leader in robusta bean exports, is undergoing a dynamic transformation in its domestic coffee consumption landscape. As we step into 2025, the Vietnamese coffee café market stands at the crossroads of tradition and innovation, fueled by shifting consumer preferences, rapid urbanization, evolving lifestyles, and a booming middle class. More than just a beverage, coffee in Vietnam has long been a symbol of cultural identity, social connection, and urban expression. Today, it also represents one of the most promising sectors in the country’s rapidly diversifying economy.

In recent years, the rise of homegrown café chains, the entry of international brands, and the growing presence of digital platforms have redefined how Vietnamese consumers interact with coffee. What was once a street-side ritual involving slow-dripped cà phê phin has now expanded to include a wide array of espresso-based drinks, cold brews, specialty roasts, and experiential coffee spaces that blend local flavor with global aesthetics. By 2025, the coffee café industry in Vietnam is expected to reach unprecedented heights, both in terms of revenue and brand innovation.

Vietnam’s Strategic Coffee Advantage

Vietnam’s unique geographic and climatic conditions—especially in the Central Highlands—have long positioned the country as a global coffee powerhouse. But what sets the Vietnamese market apart in 2025 is not just its agricultural might. It’s the seamless integration of farm-to-cup value chains, with an increasing emphasis on sustainability, traceability, and quality. This has laid the foundation for a burgeoning domestic café culture, where discerning consumers value both the story behind the bean and the ambiance of the café that serves it.

A Youth-Driven Consumer Boom

Vietnam’s population of nearly 100 million includes a large proportion of young, digitally savvy consumers. Millennials and Gen Z are now driving the café economy with their preferences for personalized experiences, artisanal beverages, and lifestyle-driven consumption. These young consumers are not only demanding higher-quality products, but also pushing café operators to create Instagram-worthy spaces, tech-enabled ordering systems, and menus that accommodate evolving dietary trends like non-dairy milk alternatives and plant-based offerings.

As of 2025, more than 60% of Vietnamese coffee drinkers aged 18–35 prefer spending time in cafés over other social venues, marking a shift from utilitarian consumption to aspirational lifestyle engagement. This shift is translating into both higher ticket sizes and increased visit frequency, particularly in urban centers like Ho Chi Minh City, Hanoi, and Da Nang.

A Competitive and Fragmented Market

The Vietnamese coffee café market in 2025 is characterized by intense competition among a mix of international giants, national chains, and local boutique brands. Players such as Highlands Coffee, The Coffee House, and Phúc Long continue to dominate in terms of footprint and brand recognition, while global brands like Starbucks, % Arabica, and Café Amazon have steadily expanded their local presence. Meanwhile, independent cafés are thriving by focusing on niche markets such as third-wave coffee, sustainable sourcing, and community-based experiences.

Franchise and licensing models are also gaining momentum as investors eye Vietnam’s café sector as a low-barrier entry point into the country’s lucrative F&B market. According to industry analysts, the number of operating café outlets in Vietnam is projected to exceed 25,000 by the end of 2025, representing a double-digit CAGR from previous years.

Urbanization and the Rise of Coffee Lifestyle Hubs

With Vietnam’s urbanization rate surpassing 40% in 2025, there has been an explosion of coffee-centric retail hubs, coworking cafés, and lifestyle malls where coffee plays a central role in consumer engagement. These venues are no longer just places to drink coffee—they are spaces for work, networking, dating, reading, and community events. As remote work continues to rise post-pandemic, cafés with strong Wi-Fi, comfortable seating, and productivity-friendly atmospheres are experiencing increased foot traffic and loyalty.

In parallel, tier-2 cities such as Can Tho, Hai Phong, and Nha Trang are witnessing rapid café development, as brands seek growth outside saturated metro areas. This geographical diversification is helping the café market become more resilient and accessible across socioeconomic segments.

Digitalization and the Future of Coffee Retail

Digital transformation is playing a crucial role in reshaping the Vietnamese café industry. In 2025, mobile apps, e-wallets, loyalty programs, and delivery platforms are not just add-ons—they are fundamental to a café’s survival and success. Consumer expectations for seamless service, contactless payments, and personalized promotions are at an all-time high.

The integration of data analytics, AI-driven customer insights, and cloud-based POS systems is enabling café operators to make smarter inventory, staffing, and marketing decisions. Additionally, the rise of social commerce, influencer marketing, and user-generated content is helping cafés build powerful online communities and brand ecosystems.

Sustainability and Ethical Consumption

Environmental and ethical concerns are gaining traction among Vietnamese consumers, especially the younger generation. In 2025, sustainability is not a trend—it is a prerequisite. Many coffee brands are now investing in biodegradable packaging, reusable cup programs, and partnerships with direct-trade farmers to appeal to environmentally conscious consumers.

The shift toward organic and specialty-grade beans is also accelerating, with more cafés promoting bean origin transparency and participating in global certifications like Rainforest Alliance and Fair Trade. These initiatives are reshaping how Vietnamese consumers perceive value—not just in terms of taste, but in terms of impact.

Outlook and Investment Opportunities

All indicators suggest that the Vietnamese coffee café market will continue its upward trajectory beyond 2025. With strong macroeconomic fundamentals, a vibrant café-going culture, and a rapidly maturing consumer base, the sector offers ample opportunities for investors, entrepreneurs, and innovators alike.

Whether it’s through franchise expansion, tech-based café concepts, specialty import-export ventures, or sustainability initiatives, the Vietnamese café industry is ripe with possibilities. Those who can balance authenticity, innovation, and operational excellence will find themselves well-positioned to thrive in one of Asia’s most exciting and fast-evolving coffee markets.

This comprehensive view of Vietnam’s café market in 2025 sets the stage for a deeper exploration into its key players, consumer trends, technology disruptions, and business strategies—topics that will be unpacked in the sections to follow.

The Vietnamese Coffee Cafe Market in 2025

The Vietnamese Coffee Landscape in 2025
Market Dynamics and Key Trends
Leading Coffee Cafe Chains: Market Share, Strategies & Performance
Competitive Landscape and Market Strategies
Operational Challenges and Sustainability Initiatives
Future Outlook and Conclusions

1. The Vietnamese Coffee Landscape in 2025

Vietnam’s coffee café industry is experiencing a significant transformation in 2025, marked by rapid expansion, diversification, and a strong cultural foundation. Once dominated by traditional cà phê phin street vendors, the market has evolved into a multifaceted ecosystem that includes global chains, domestic brands, specialty cafes, and digital-native coffee platforms. Despite macroeconomic uncertainties and rising business closures across other sectors, Vietnam’s coffee café market continues to grow both in volume and value—proving itself to be a resilient and culturally embedded segment within the nation’s broader food and beverage economy.

Macroeconomic Overview of the Coffee Sector

Market Valuation and Growth Forecast

Vietnam’s coffee market size in 2024 was estimated at USD 510 million, with expectations to reach USD 552.58 million in 2025.
By 2030, this figure is projected to rise to USD 816.81 million, reflecting a Compound Annual Growth Rate (CAGR) of 8.13% (Mordor Intelligence, Ipis Research).
The broader Food & Beverage market, valued at USD 22.23 billion in 2024, is also expanding rapidly, expected to reach USD 26.89 billion by 2030 at a CAGR of 12.34%.

Coffee Café Sector-Specific Metrics

The coffee café segment alone reported revenues of approximately USD 1.46 billion in 2023, representing a 13.3% year-on-year increase.
As of early 2025, Vietnam is home to over 500,000 coffee shops, spanning both urban and rural landscapes.

Table 1: Vietnam Coffee Sector Metrics (2024–2030)

Metric	2024 (USD Million)	2025 (USD Million)	2029 (USD Million)	2030 (USD Million)	CAGR (2025–2030)
Total Coffee Market Value	510	552.58	765	816.81	8.13%
F&B Market Size	22,230	—	—	26,890	12.34%
Coffee Café Market Revenue	1,460	—	—	—	—
Number of Café Establishments	—	500,000+	—	—	—

Structural Resilience Amid Economic Volatility

While 58,300 businesses exited the market in January 2025 alone (an 8.1% increase YoY), the coffee sector defied this trend.
Café businesses remain counter-cyclical, buoyed by strong domestic demand and a deep cultural affinity for coffee consumption.
Coffee in Vietnam contributes approximately 3% of national GDP, making it an economically significant commodity both for export and domestic consumption.

Consumer Behaviour and Cultural Integration

Rising Consumption and Café Frequency

Per capita coffee consumption increased from 1.7 kg in 2015 to nearly 3 kg by 2023.
Domestic consumption volumes are projected to reach 270,000–300,000 metric tons by 2025, growing at an average annual rate of 6.6% (2025–2030).
51% of Vietnamese consumers now visit F&B venues three to four times per week, doubling from the previous year—indicative of coffee shops’ growing role as social hubs.

Shifts in Preference and Lifestyle

Strong consumer movement towards:
- Modern café environments over traditional roadside coffee stalls
- Aesthetic and lifestyle-driven design in cafés
- Premium beans and specialty brews including cold brews, pour-over, and single-origin coffees
- Digital ordering, mobile payments, and loyalty integrations

Key Growth Drivers of the Coffee Café Ecosystem

Urbanization and Demographic Trends

Over 40% urbanization rate in 2025 is driving café growth in both megacities and secondary cities.
Rising demand in tier-2 cities such as Hai Phong, Can Tho, and Nha Trang.
Younger demographics (aged 18–35) are the primary café-goers, seeking hybrid experiences (coffee + work + social interaction).

Technological Integration

Strong integration of:
- Mobile apps for ordering and loyalty
- AI-driven marketing for personalized offers
- Cloud-based POS systems for seamless operations
Digital platforms now play a pivotal role in both retail experience and brand engagement.

Global and Local Brand Expansion

Brand Category	Key Players	Strategies in 2025
International Chains	Starbucks, % Arabica, Café Amazon	Location expansion, local menu customization
Domestic Giants	Highlands Coffee, The Coffee House, Phúc Long	Omnichannel growth, vertical integration, franchising
Boutique & Third-Wave	Katinat, Bosgaurus, La Viet, specialty indie cafés	Focus on single-origin beans, direct trade, café-as-space

The Evolving Value Proposition of Vietnamese Cafés

Beyond Coffee: The “Third Place” Economy

Vietnamese cafés are increasingly designed as “third spaces”—neither home nor office.
Common roles of cafés in 2025:
- Coworking spaces
- Community event venues
- Lifestyle photo locations
- Quiet leisure spots
Design, location, and ambiance have become key differentiators for attracting customers and driving repeat traffic.

Environmental Consciousness and Ethical Trends

Growing consumer preference for:
- Sustainable packaging (e.g., biodegradable cups, no straws)
- Reusable cup initiatives
- Direct trade relationships with farmers
Many cafés now promote transparent supply chains and sustainability certifications such as Rainforest Alliance and Fair Trade.

Summary: Market Outlook and Strategic Implications

Vietnam’s coffee café sector is expected to remain a high-growth, high-engagement industry through 2030.
Investment opportunities span across:
- Franchising and real estate for coffee outlets
- Specialty bean sourcing and roasting
- Digital infrastructure for café management
- Sustainability-aligned business models
Resilience, cultural importance, and evolving consumption behavior ensure that the coffee café segment will continue to outperform other discretionary sectors.

Strategic Matrix: Success Drivers in Vietnam’s 2025 Café Market

Success Factor	Impact Level	Required Action
Brand Differentiation	High	Build unique customer experiences
Digital Integration	High	Invest in apps, loyalty, data-driven campaigns
Sustainability Practices	Medium	Adopt eco-friendly packaging, fair sourcing
Urban Real Estate Selection	High	Target high-traffic, visually attractive spaces
Product Innovation	High	Offer specialty drinks, non-dairy options

Final Note

Vietnam’s coffee café market in 2025 is no longer just a reflection of its agricultural strength but a symbol of urban culture, youth-driven trends, and evolving consumer sophistication. As lifestyle consumption grows in tandem with economic development, coffee cafés are not only meeting a demand for beverages—they are shaping the very rhythm of modern Vietnamese society.

2. Market Dynamics and Key Trends

Vietnam’s coffee café industry in 2025 stands at a pivotal intersection of tradition, innovation, and strategic transformation. While deeply rooted in cultural heritage, the sector has matured into a globally influential hub for coffee production, processing, and domestic consumption. This evolution is driven by changing consumer behavior, robust foreign and local investment, adverse climatic conditions, and the pursuit of value-added export models.

Market Dynamics and Key Trends in 2025

Vietnam’s coffee market continues to grow rapidly, influenced by structural changes within the food and beverage (F&B) landscape and evolving global trade dynamics.

F&B Sector Highlights

Total revenue in the F&B sector reached VND 689 trillion (~USD 27 billion) in 2024, reflecting 17% year-on-year growth.
By 2025, this figure is projected to reach VND 755.4 trillion (~USD 29.6 billion), indicating a further 9.6% growth.
The number of operational F&B outlets stood at 323,000 in 2024, marking a modest 1.8% increase YoY—suggesting market consolidation and increasing revenue per outlet.

Key Market Characteristics

Efficiency gains and higher average revenue per outlet reflect maturing consumer preferences.
The café sub-sector within the F&B domain is increasingly differentiated by digital ordering, specialty offerings, and value-added experiences.

Coffee Production and Export Dynamics

Vietnam retains its position as a global coffee powerhouse, especially in Robusta bean production, with strategic shifts underway to move up the value chain.

Production Overview

Total coffee production forecast:
- MY 2024/25: 29 million 60-kg bags (GBE)
- MY 2025/26: 31 million 60-kg bags
Robusta dominance remains intact, representing 96.8% of output (30 million bags forecast in MY 2025/26).
Arabica production is expected to hold steady at 1 million bags.

Export Evolution

Total exports forecast to rise from 25.8 million bags (MY 2024/25) to 27 million bags (MY 2025/26).
A steady transition is underway towards value-added exports:
- Soluble exports: from 2.3 million to 2.6 million bags
- Roasted & ground exports: from 0.5 million to 0.7 million bags
Despite this shift, green beans still comprise ~90% of total exports as of 2024.

Key Export Markets

Traditional markets: Germany, United States, Italy, Japan, Spain
Growing Asian demand: China, Philippines, Indonesia
- These buyers are paying premium prices between USD 4,166–4,424/ton in 2024–2025.

Table 1: Vietnam Coffee Production & Export Forecast (in million 60kg bags)

Metric	MY 2024/25	MY 2025/26
Total Production	29	31
Robusta Production	28	30
Arabica Production	1	1
Total Exports	25.8	27
Green Bean Exports	23.0	23.7
Soluble Exports	2.3	2.6
Roasted & Ground Exports	0.5	0.7

Domestic Consumption and Market Maturity

Rising living standards, urbanization, and Westernized consumption patterns have increased domestic demand for coffee in Vietnam.

Consumption Trends

Forecast growth:
- 2024/25: 4 million bags
- 2025/26: 4.9 million bags
Rising interest in:
- Takeaway coffee
- Home brewing kits
- Specialty coffee chains
Youth and urban consumers are key demand drivers, seeking both convenience and quality.

Global Influences and Supply Chain Pressures

Vietnam’s coffee market in 2025 is shaped not just by domestic demand, but by external shocks and climate-related constraints that impact global supply chains.

Price Trends

In February 2025, domestic Robusta prices in Vietnam’s Central Highlands reached VND 131,000/kg (~USD 5.1).
Global benchmarks:
- Robusta: USD 5,573–5,696/ton (London)
- Arabica: USD 9,460/ton (New York)
Average export price in early 2025 surged to USD 5,630/ton, a 143% increase YoY.

Export Paradox

Despite higher prices, export volumes declined by 38.2% between Oct 2024 and Jan 2025.
Yet export revenues increased by 8.8%, totaling USD 694.93 million in Jan 2025.

Supply Constraints and Market Behavior

Weather Impact:
- Severe drought and extreme heat reduced yields by 10–20% in 2024–2025.
Farmer Behavior:
- Stockpiling in anticipation of future price hikes.
- Reluctance to enter forward contracts due to price volatility.
Logistical Disruptions:
- Red Sea shipping delays added weeks to delivery timelines and raised costs.
Regulatory Uncertainty:
- Pending EU Deforestation Regulation (EUDR) and possible U.S. tariffs created hesitation in trade flows.

Long-Term Production Forecast & Strategic Recovery

While short-term yield losses pose challenges, the longer-term outlook suggests recovery and adaptive growth.

2025 Production Outlook

Despite a 10–20% loss in 2024’s harvest (22 million bags), production is expected to rebound by 10% in 2025.
Forecast range: 1.65–1.75 million tons, or 28–29 million 60kg bags.
Driven by:
- Improved weather stability
- Increased farmer reinvestment due to elevated market prices

Value-Addition Strategy and Industrial Transformation

Vietnam is aggressively pursuing industrial upgrading by transitioning from raw material exports to finished coffee products.

Investment in Processing Capacity

USD 170 million in capital invested by major players (e.g., Nestlé, Trung Nguyen, Highlands Coffee) in new processing facilities (2024–2025).
Emphasis on:
- Soluble coffee
- Roasted blends
- Ready-to-drink (RTD) products

Strategic Objectives

Move up the global coffee value chain
Increase export unit value
Reduce reliance on volatile raw bean markets
Meet growing domestic and regional demand for processed coffee

Rise of Digital Food Delivery Platforms

Digital food delivery is reshaping how Vietnamese consumers engage with cafés and F&B outlets.

Online Delivery Market

USD 2.37 billion in revenue generated in 2024
Projected to reach USD 4.02 billion by 2029 at a CAGR of 11.15%
Dominated by:
- Grab (48% market share)
- ShopeeFood (47% market share)
- Combined: 95% of the total market

Implications for Coffee Retailers

Heavy investment in:
- App-based ordering systems
- Menu optimization for delivery
- Packaging innovations
Online visibility and delivery experience are now critical to brand competitiveness and customer retention.

Strategic Outlook: Competitive Positioning Matrix

Strategic Factor	Market Impact	Recommended Action
Climate Resilience	High	Invest in irrigation, drought-resistant varietals
Value-Added Production	Very High	Expand processing capacity and branding capabilities
Export Market Diversification	Medium	Target ASEAN and Middle East for premium products
Digital Integration	High	Enhance delivery platforms and data-driven marketing
Regulatory Readiness	Medium	Align with EU and U.S. compliance frameworks

Conclusion

The Vietnamese coffee café industry in 2025 is navigating a complex matrix of opportunities and constraints. While climate stress, shipping disruptions, and regulatory uncertainty challenge traditional models, the country’s pivot toward value-added production, technological integration, and domestic consumption has repositioned it as not only a raw material supplier but a sophisticated global player. With strategic investment and adaptive policies, Vietnam’s coffee sector is well-placed to thrive in the next decade—cementing its role as both a cultural icon and economic pillar.

Vietnam’s coffee café industry in 2025 is increasingly consolidated, with a few dominant players leveraging aggressive expansion, brand equity, digital transformation, and sustainability initiatives to shape the future of the country’s café landscape. These key chains, notably Highlands Coffee, Trung Nguyen, and The Coffee House, are responding to evolving consumer demands, urbanization, and digital disruption with multi-pronged strategic models.

Highlands Coffee: Market Leadership Through Scale and Digital Engagement

Highlands Coffee maintains a dominant foothold in Vietnam’s coffee retail space, bolstered by operational scale, an adaptive business model, and strong consumer loyalty. As of 2025, it is widely recognized as the most influential coffee chain in Vietnam by both revenue scale and customer experience metrics.

Market Share & Physical Presence

Market share: Estimated at 35–40% of the national coffee chain market (as of Q1 2024).
Number of outlets:
- 777 stores operational in Vietnam as of May 2024.
- Up from 605 outlets at the end of 2022, reflecting 28.4% growth over 17 months.
- Strategic goal: Expand to 830 stores across Vietnam and the Philippines by Q4 2024.
Focus on urban retail saturation in Tier-1 and Tier-2 cities including Hanoi, Ho Chi Minh City, Da Nang, and Can Tho.

Revenue and Investment Highlights

2020 revenue benchmark: Approximately USD 80 million.
While 2024-specific revenue data remains undisclosed, industry indicators suggest that Highlands Coffee experienced double-digit revenue growth aligned with the 11.6% growth rate of the broader F&B sector in 2023.
Joint capital investments with Nestlé and Trung Nguyen totaled USD 170 million in 2024–2025 to increase domestic processing capacity.
- Notable project: Coffee roasting plant in Bà Rịa – Vũng Tàu, worth VND 500 billion (~USD 21 million), with a projected annual output capacity of 75,000 tonnes.

Strategic Pillars: Business Model, Brand Experience, and Digital Transformation

Highlands Coffee’s sustained success is attributed to a coherent strategy that balances physical expansion, digital innovation, sustainability, and brand differentiation.

Expansion-Driven Market Capture

Expansion is the brand’s core strategy, prioritizing geographic reach and visibility.
Store openings are concentrated in high-footfall retail spaces, shopping malls, business districts, and universities.
Expansion is supported by a lean operations model that ensures consistency in service and product delivery across locations.

Customer Experience Excellence

Recognized in KPMG’s 2023 Customer Experience Excellence Study as Vietnam’s top-ranking F&B brand for customer satisfaction.
Key differentiators include:
- Curated store ambiance with Vietnamese cultural motifs.
- Competitive value-for-money product positioning.
- Consistent drink quality, including traditional Vietnamese coffee and fusion beverages.

Digital Ecosystem and Marketing Capabilities

Strong presence on social media platforms: Facebook, Instagram, TikTok – used for product promotions, user-generated content campaigns, and location marketing.
Uses data-driven digital marketing, including:
- SEO-optimized content strategies
- Targeted email campaigns
- Real-time promotions via mobile apps and delivery platforms
Comprehensive loyalty program provides:
- Personalized discounts and digital vouchers.
- Customer data for behavioral insights and retention campaigns.
- Seamless integration with digital payment options.

Table 1: Highlands Coffee – Key Growth Metrics (2020–2025)

Metric	2020	2022	2024	2025 Target
Number of Stores	500	605	777	830+
Market Share (Vietnam)	~32%	~34%	35–40%	Sustain above 40%
Revenue (USD)	80 million	Not disclosed	Est. 95–105 million	Not disclosed
Customer Loyalty Score	Medium	High	Very High	Maintain industry best
Investment in Processing (USD)	–	–	21 million (roasting plant)	Expansion in domestic capacity

Sustainability Commitment and Brand Recognition

In alignment with global ESG trends, Highlands Coffee has begun to embed environmental sustainability and social responsibility into its value proposition.

Environmental Strategy

Adopted eco-friendly farming techniques through partnerships with local cooperatives.
Retail stores now utilize:
- Compostable packaging: straws, bags, spoons.
- Plastic reduction initiatives across all locations.
Incorporation of energy-efficient equipment in new stores and roasting facilities.

Industry Recognition

Awarded “Asia’s Most Influential Companies” by the Asia Corporate Excellence & Sustainability (ACES) Awards in 2024.
Recognized for combining high customer experience standards with responsible business practices.

Competitive Positioning Matrix: Highlands Coffee vs. Key Rivals

Strategic Area	Highlands Coffee	Trung Nguyen Legend	The Coffee House
Market Share	35–40%	20–22%	15–17%
Number of Stores (2024)	777	~150	~180
Digital Engagement	Very Strong	Moderate	Strong
Value-Added Products	Moderate	High	Moderate
Sustainability Practices	Advanced	Basic	Intermediate
International Expansion	Philippines (ongoing)	China (pilot phase)	No international presence

Outlook for 2025 and Beyond

Growth Sustainability: Highlands Coffee is poised to remain the dominant market player, driven by its retail expansion strategy, strong consumer perception, and integrated digital platforms.
Next Steps:
- Continued investment in automation, loyalty data analytics, and supply chain digitization.
- Expansion of RTD (ready-to-drink) products for retail and export.
- Greater penetration into tier-2 and tier-3 cities.
With a strategic balance between volume-driven growth and brand experience, Highlands Coffee remains a model of commercial resilience and strategic foresight in Vietnam’s café economy.

a. Trung Nguyen Legend

Trung Nguyen Legend continues to assert its position as a leading force in Vietnam’s coffee café sector in 2025. Combining a culturally-rooted philosophy with a bold global expansion strategy and significant industrial investment, the brand is elevating the profile of Vietnamese coffee on the international stage. Trung Nguyen stands apart not merely by scale, but through its fusion of social entrepreneurship, sustainability, and strategic franchising.

Market Share & Store Network Expansion

Trung Nguyen Legend remains the second-largest player in Vietnam’s coffee shop market, with strong brand equity and a growing global footprint.

Domestic Market Presence

Vietnam market share (by revenue, 2023): ~20%.
Total domestic outlets (2024): ~600 locations.
- 480 Trung Nguyen E-Coffee (franchise-based, accessible format).
- 116 Trung Nguyen Legend Cafés (premium flagship experience).
Strategic locations include urban hubs, transportation nodes, and universities.

International Expansion Highlights

Active in 3 countries: Vietnam, China, and the United States.
Overseas outlets (as of July 2024):
- 12 stores in China (Beijing, Guangzhou, Chengdu, etc.).
- 3 stores in the US (California and Texas).
Planned expansion:
- 100+ new stores in China by end-2024.
- Target of 1,000 stores in China over the next decade.
- Future market entry plans: Australia, Japan, South Korea, Canada, UAE (Dubai), and select European and ASEAN countries.

Global Franchising Goal

Trung Nguyen E-Coffee is the primary vehicle for international growth.
Long-term global ambition: Establish 3,000 E-Coffee franchise outlets worldwide.

Investment in Production and Processing Infrastructure

To support its expanding retail network and export ambitions, Trung Nguyen Legend is making substantial investments in coffee processing.

Flagship Investment: Dak Lak Mega Factory

Total project value: Over USD 78.3 million.
Location: Dak Lak Province, Vietnam’s Central Highlands.
Completion timeline: 2025, developed in two phases.
Planned outcome: Largest coffee processing facility in Southeast Asia.
Technology partners: Leading suppliers from Germany and Italy.
Purpose:
- Increase Vietnam’s deep-processing capabilities.
- Support value-added export products (soluble coffee, specialty blends).
- Position Vietnam as a global coffee innovation hub.

Strategic Business Model and Brand Philosophy

Trung Nguyen Legend employs a distinctive approach that transcends traditional commercial logic. Its vision integrates cultural consciousness, educational upliftment, and international brand storytelling.

Cultural Marketing & Community Impact

Adopts a “Societal Marketing Concept”, blending business with social progress.
Signature program: “Journey of the Heart”.
- Millions of books donated to youth across Vietnam.
- Reinforces brand identity centered on “spiritual coffee culture”.
Coffee houses function as spaces for intellectual dialogue, positioning the brand as more than just a beverage provider.

Differentiated Retail Strategy

E-Coffee model: Affordable, mass-franchise concept with low entry cost and high scalability.
Legend Cafés: Premium experience reflecting the philosophy of “Life-Changing Coffee.”
- Targeted at middle-to-upper income consumers, tourists, and intellectuals.

Technological Integration & Supply Chain Transformation

Trung Nguyen Legend is harnessing digital tools and AI to optimize performance across its supply chain and marketing infrastructure.

Supply Chain & Smart Factory Features

AI-powered inventory and logistics optimization for café and retail operations.
Smart factory technologies:
- Energy efficiency systems.
- Waste reduction and water recycling units.
- Net-zero carbon design aligned with ESG standards.

Digital Marketing & Gen Z Targeting

Summer 2024 campaign: Trung Nguyen E-Coffee launches targeted social media ads aimed at younger consumers (ages 18–35).
Multi-platform activation:
- Instagram, TikTok, and Facebook for awareness.
- YouTube for storytelling and brand education.
- Influencer partnerships in Vietnam, China, and US markets.

Environmental Sustainability & Traceability

Environmental protection and ethical sourcing are fundamental components of Trung Nguyen’s corporate ethos.

Sustainable Sourcing and Farming

Farmers are trained to apply UTZ-certified cultivation standards, ensuring:
- Traceability of raw materials.
- Compliance with global trade norms.
- Reduced environmental footprint and soil regeneration practices.

Eco-Friendly Production Practices

Dak Lak factory aligned with net-zero carbon targets.
Use of biodegradable packaging and energy-efficient roasting machinery.
Public commitments to achieve full supply chain traceability by 2027.

Performance Summary Table: Trung Nguyen Legend 2023–2025

Metric	2023	2024 (Est.)	2025 Target
Domestic Market Share	~20%	Stable	Maintain or exceed 22%
Total Vietnam Stores	~580	600	650+
Global Stores	10	15	115+ (China)
Global Expansion Goal	–	1,000 (China)	3,000 (Global E-Coffee)
Revenue Growth	Moderate	Positive	2-digit CAGR (est.)
Investment in New Factory	–	USD 78.3 million	Operational in 2025
Net-Zero Production Compliance	In progress	Partial	Full by 2027

Competitive Matrix: Trung Nguyen Legend vs. Major Coffee Chains

Dimension	Trung Nguyen Legend	Highlands Coffee	The Coffee House
Domestic Store Count (2024)	~600	777	~180
Global Presence	Active (China, US)	Early-stage (Philippines)	None
Market Share (Vietnam)	~20%	35–40%	~15%
Cultural/Educational Initiatives	Strong	Moderate	Low
Supply Chain Tech Adoption	High (AI + Net-Zero Goals)	Moderate	Low
Franchise Scalability	Very High (E-Coffee model)	Moderate	Moderate

Conclusion: Trung Nguyen Legend’s Role in Vietnam’s Coffee Future

As of 2025, Trung Nguyen Legend exemplifies a culturally rooted yet globally ambitious Vietnamese coffee brand. Its approach combines deep market understanding, social contribution, cutting-edge infrastructure, and a scalable franchise model. Through targeted international expansion, investments in sustainable infrastructure, and visionary brand positioning, Trung Nguyen Legend is set to become a transformative force in Asia’s and the world’s premium coffee sector.

b. Phuc Long Coffee & Tea

Phúc Long Coffee & Tea, one of Vietnam’s most recognizable coffee and tea brands, continues to cement its position in the evolving Vietnamese café landscape. Backed by Masan Group and guided by a reinvigorated leadership team, the brand has embarked on a transformative journey—balancing domestic restructuring, international expansion, and digital modernization to drive sustainable profitability and brand value in 2025.

Market Position and Retail Footprint

National Standing in Vietnam’s Coffee Chain Ecosystem

Ranked as the 3rd-largest branded coffee and tea chain in Vietnam by market share (2024).
5th in total number of outlets, trailing competitors such as Highlands Coffee, Trung Nguyên Legend, The Coffee House, and Milano Coffee.

Retail Presence (as of January 2025)

Total locations in Vietnam: Over 180 outlets nationwide.
- Includes 157 standalone stores.
- ~45 in-store kiosks located in WinMart+ grocery chains (operated by Masan).
Phúc Long strategically shifted focus in 2024 by closing underperforming kiosks and prioritizing investment in high-performing flagship stores in high-traffic urban centers.

International Expansion Strategy

Initial overseas market: United States.
Entry into the US is part of a long-term global roadmap, emphasizing locations with high Vietnamese diaspora density and tea-oriented beverage demand.

Financial Performance: Strong Recovery & Accelerated Growth

Revenue and Profitability Highlights

Metric	2020	2024	2025 (Forecast)
Annual Revenue	$30 million	$64.6 million (VND 1.62T)	$76.1–$87.7 million (VND 1.9–2.2T)
Revenue Growth (YoY)	–	+5.6%	Projected +18% to +36%
Q4 2024 Net Revenue	–	$16.6 million (VND 417B)	–
Net Profit (2024)	–	$3.8 million (VND 97B)	–
Owner Stake	–	84% by Masan Group	–
Acquisition Value	–	$453 million (Masan, 2021)	–

Profit Drivers

Enhanced operational efficiency through store format optimization.
Introduction of digitally-integrated service offerings.
Upgraded store environments in late 2024 led to a 13% rise in average daily sales across key locations.

Strategic Transformation and Operational Shift

Key Executive Leadership

Patricia Marques, former General Manager of Starbucks Vietnam, was appointed CEO of Phúc Long in November 2024.
Her leadership focuses on:
- Brand repositioning to elevate customer perception.
- Operational excellence, aligning with global retail coffee standards.
- Cultivation of a modern café culture targeting aspirational middle-class consumers.

Store Modernization & Experience Enhancements

Renovated outlets feature:
- Upgraded interiors with more communal and family-friendly layouts.
- Integrated ordering kiosks and digital queue systems.
- Premium drink presentation aligned with modern lifestyle branding.
Renovated stores reported:
- +13% increase in daily average revenue post-refurbishment.
- Higher basket size per transaction, driven by new combo offers and seasonal menus.

Digital Integration & Customer-Centric Innovation

Loyalty, Ecosystem & Payments

Phúc Long aims to embed its loyalty program into Masan Group’s digital ecosystem, allowing seamless integration across:
- WinMart, Reddi (telco), and Masan MEATLife platforms.
- A shared customer data platform to optimize cross-brand promotions and increase wallet share.
Digital payment penetration:
- Currently accounts for ~50% of total in-store transactions.
- Expected to rise as QR codes, e-wallets (MoMo, ZaloPay), and mobile ordering become ubiquitous.

Marketing and Customer Targeting

Target demographic:
- Core: Consumers aged 28–42, with balanced gender distribution.
- Secondary: Families and professionals frequenting retail hubs and malls on weekends.
Marketing platforms:
- Focused on social media ecosystems: Facebook, YouTube, and Instagram.
- Increased paid digital advertising spend in Q3–Q4 2024 to drive brand visibility and new customer acquisition.
- Use of data analytics and CRM to personalize promotions and loyalty rewards.

Competitive Benchmark: Phúc Long vs. Key Chains

Metric / Feature	Phúc Long	Highlands Coffee	Trung Nguyên Legend	The Coffee House
2024 Store Count	180+	777	600	~180
Estimated 2024 Revenue	$64.6 million	$80+ million (est.)	Not disclosed	~$40–50 million (est.)
2025 Revenue Growth Forecast	+18% to +36%	Moderate	High	Moderate
Digital Payment Usage	50%+	High	Moderate	High
Loyalty Program Integration	Into Masan Ecosystem	In-house	Moderate	In-house
CEO Background	Ex-Starbucks	Local Executive Team	Cultural Entrepreneur	Vietnamese Tech-Startup
International Presence	Entering U.S.	Active in Philippines	U.S., China, SEA expansion	None

Summary Outlook: Phúc Long’s Trajectory in 2025

In 2025, Phúc Long Coffee & Tea is no longer just a traditional tea-focused brand—it is evolving into a digitally sophisticated, strategically restructured, and internationally aspiring café brand. Bolstered by the operational scale of Masan Group, a new globally experienced leadership, and a modernized retail identity, Phúc Long is well-positioned to compete not only in Vietnam but also on the global stage.

The brand’s success will likely hinge on how effectively it:

Executes its US and international rollout plans.
Integrates digitally with Masan’s super-app ecosystem.
Continues modernizing the customer experience to meet the expectations of urban middle-class and Gen Z consumers.

c. The Coffee House

Once heralded as one of Vietnam’s fastest-growing coffee brands, The Coffee House has experienced a significant strategic pivot following multiple years of financial difficulty and operational downsizing. Amid shifting consumer preferences, heightened competition, and post-pandemic recovery, the brand now enters a new phase under new ownership, aiming to reclaim relevance in a rapidly evolving café market.

Market Position and Footprint Restructuring

Reduced National Presence Post-Contraction

At its peak in late 2023, The Coffee House operated over 150 outlets across Vietnam.
Due to financial pressures and strategic recalibration, its footprint shrank to just 93 stores by 2024—a 38% year-over-year contraction.
Despite this retrenchment, the brand retains significant visibility in Vietnam’s two largest urban markets:
- 51 stores in Ho Chi Minh City.
- 31 stores in Hanoi.

Acquisition by Golden Gate Group

In January 2025, Golden Gate Group, Vietnam’s largest food & beverage conglomerate (operator of brands like Gogi House, Kichi-Kichi), acquired The Coffee House for VND 270 billion (approximately $10.5 million).
This acquisition marks a critical strategic inflection point and potentially revitalizes the chain with:
- Access to Golden Gate’s large customer ecosystem.
- Enhanced operational capabilities.
- Expanded loyalty integration and data analytics infrastructure.

Financial Performance Overview

Revenue Trends and Profitability Challenges

Year	Revenue (VND)	Revenue (USD est.)	Year-over-Year Growth	Profitability
2019–2021	Not disclosed	–	–	Negative
2022	VND 787 billion	~$31 million	+67%	Loss
2023	VND 700 billion	~$27.5 million	–11%	Loss
2024 (est.)	Decline expected	< $27 million	Not reported	Loss

The Coffee House has not posted a net profit between 2019 and 2023, reflecting deeper operational and cost structure challenges.
2022 showed strong growth, but this momentum was not sustained into 2023, partly due to inflationary pressures and declining footfall in non-core locations.

Brand Strategy: Culture, Experience, and Innovation

Differentiation through Customer Experience

The Coffee House distinguishes itself by fostering an urban, aspirational brand identity, especially appealing to:
- Millennials and Gen Z professionals.
- Customers seeking social experiences and creative workspaces.
Key strategic focuses:
- Cultivating a “third space” experience (beyond home and office).
- Prioritizing ambience, décor, and digital connectivity.

Store Concept Innovation

In January 2023, the brand launched “SIGNATURE by The Coffee House”, a premium sub-brand featuring:
- Upscale interiors and minimalist architecture.
- A curated menu with high-grade single-origin coffees.
- Expanded food offerings and extended seating formats targeting longer customer dwell times.

Marketing and Digital Engagement

Omnichannel Presence and Storytelling

The Coffee House has invested significantly in digital storytelling, leveraging:
- Facebook, Instagram, TikTok, and YouTube for campaigns.
- Interactive content formats such as short-form videos, challenges, and influencer collaborations.
- Strong use of seasonal campaigns, including Tet (Lunar New Year) promotions, to create cultural resonance.
Example:
- Tet 2024 campaign introduced limited-time beverages with nostalgic themes that generated high engagement across social channels.

Loyalty Program and Personalization

Operates a mobile membership application that offers:
- Reward points accumulation.
- Personalized deals based on past behavior.
- Tiered incentives for frequent visits.
Plans under new ownership may include integrating this program with Golden Gate’s broader ecosystem of restaurants and beverage outlets.

Product Development and Sustainability

Menu Innovation

Menu development emphasizes:
- Creative coffee and tea blends with Vietnamese and international flavor influences.
- Introduction of functional beverages, such as adaptogenic teas and plant-based milk alternatives, aligned with health trends.
- Seasonal and collaborative offerings, often tied to cultural events or brand partnerships.

Sustainable Practices

Initiatives to align with eco-conscious trends include:
- Discounts for reusable cups, driving awareness of waste reduction.
- Sourcing efforts aimed at supporting ethically grown Vietnamese coffee.
- Exploration of low-emission supply chain practices, though still in early stages.

Competitive Landscape: Comparative Snapshot (2025)

Brand	2025 Store Count	Recent Revenue (USD)	Digital Strategy	Ownership	Profit Status (2023)
The Coffee House	93	~$27.5 million	Strong across social + app	Golden Gate Group	Loss
Highlands Coffee	777	$80+ million (est.)	Strong loyalty, mobile app	Jollibee Foods Corp.	Profitable
Phúc Long Coffee & Tea	180+	$64.6 million	Masan digital ecosystem	Masan Group	Profitable
Trung Nguyên Legend	600+ (global)	Not disclosed	AI-driven supply chain	Privately owned	Profitable

Future Outlook and Strategic Potential

With the acquisition by Golden Gate Group, The Coffee House is poised for a strategic reboot that may realign it with the fast-evolving expectations of Vietnam’s café-going demographic. Key areas for potential growth include:

Re-expansion into tier-2 cities under a leaner, profitability-focused format.
Full integration into Golden Gate’s membership and payment ecosystem to enhance customer lifetime value.
Continued innovation in premium coffee formats and health-aligned beverages.
Investment in sustainability and digital ordering infrastructure to appeal to younger, conscious consumers.

If executed successfully, The Coffee House could regain competitive relevance in a market expected to exceed $1.3 billion in coffee café revenues by 2026, positioning itself once again among the leaders in Vietnam’s dynamic coffee scene.

d. Starbucks Vietnam

Although globally synonymous with premium coffee culture, Starbucks holds a relatively modest footprint in Vietnam’s vibrant and highly competitive café ecosystem. Yet, through strategic localization, steady expansion, and a focus on experience-driven consumption, Starbucks Vietnam is positioning itself as a niche but influential player in the country’s dynamic coffee market, which is expected to surpass $1.3 billion in value by 2026.

Market Presence and Expansion Strategy

National Footprint and Outlet Growth

As of January 2025, Starbucks Vietnam operates 125 stores spread across 16 cities and provinces.
In 2024 alone, the brand opened 20 new stores, reflecting a growth rate of 12%, which it aims to sustain or exceed in 2025.
Key expansion locations include:
- Hanoi and Ho Chi Minh City (primary focus for flagship stores).
- Emerging hubs like Da Nang, Hai Phong, and Can Tho, driven by increasing urbanization and tourism.

Market Share Insights

According to Euromonitor International, Starbucks captured approximately 2% of Vietnam’s $1.2 billion coffee market in 2022.
Compared to major domestic players like Highlands Coffee and Trung Nguyen Legend, Starbucks remains a niche operator, but one with:
- High average ticket value per customer.
- Significant brand loyalty among younger and international segments.

Table: Starbucks Vietnam vs. Major Competitors (2025)

Brand	Number of Stores (2025)	Market Share (%)	Core Positioning	Customer Focus
Highlands Coffee	777	27–30% (est.)	Mass premium, local coffee	Broad-based, value-conscious
Trung Nguyen Legend	600+ (VN & Global)	20% (by revenue, est.)	Philosophical, legacy branding	Culture-focused, premium
Phúc Long Coffee & Tea	180+	~10% (est.)	Tea-focused, Vietnamese taste	Middle-income youth & families
Starbucks Vietnam	125	~2%	Global premium café chain	Urban professionals, expats

Financial Context and Global Influence

Starbucks does not publicly disclose revenue specific to the Vietnamese market.
However, global performance remains robust, indirectly benefiting its Vietnam operations:
- In Q2 FY2025, global net revenue rose 2% to $8.8 billion.
- Revenue from the international segment, which includes Vietnam, grew 6% to $1.9 billion.
Vietnam represents a long-tail market in Starbucks’ Asia-Pacific growth strategy—valued for brand influence more than direct profitability.

Brand Strategy and Consumer Engagement

Premium Positioning in a Price-Sensitive Market

Starbucks avoids price-based competition, instead promoting:
- Global quality standards.
- Personalized service and store ambiance.
- A consistent “third space” experience—positioning stores as social, work-friendly, and leisure venues.

Core Customer Segments

Urban professionals in Tier 1 cities (Ho Chi Minh City, Hanoi).
Affluent students and young adults seeking international-style café environments.
Expatriates and tourists, especially in central business districts and tourist zones.

Product Localization and Store Innovation

Adaptive Menu Offerings

To remain relevant in the local context, Starbucks Vietnam incorporates culturally tailored items alongside its global classics:

Locally adapted drinks include:
- Salted Cream Coffee
- Coconut Milk Coffee
- Vietnamese Drip Coffee
- Milk Tea variants
Smaller portion sizes cater to Vietnamese dining preferences and reduce price sensitivity.

Experiential Store Formats

Flagship developments include:
- Starbucks Reserve™ Mixology Store in Hanoi: Combines premium coffee with cocktail mixology, targeting higher-end consumers and business professionals.
- Stores feature bespoke interior designs, often drawing from local architectural motifs blended with global brand aesthetics.

Digital Engagement and Loyalty Ecosystem

Tech-Savvy Consumer Engagement

Starbucks Vietnam has heavily invested in digital tools to attract and retain younger, mobile-first customers:
- A smartphone app supporting:
  - Mobile ordering
  - Personalized offers
  - Store locator features
- Loyalty program with gamified rewards and seasonal exclusives.
Key digital marketing channels:
- Facebook, Instagram, TikTok (for storytelling and promotions).
- In-app push notifications and SMS campaigns tied to product launches.

Environmental Initiatives and Sustainability Commitments

Starbucks Vietnam aligns with its global “Planet Positive” strategy through several localized environmental and social efforts:

Notable Sustainability Projects

Tree Planting Program:
- Partnership with Gaia Nature Conservation Center.
- Target to plant 1,000 native trees in Thanh Hoa by March 2025.
“Green Living Days”:
- Annual campaign promoting eco-conscious habits among employees and customers.
- Educational workshops, reusable product promotions, and waste audits.
Food Waste Management:
- Recycling of used coffee grounds into fertilizer for urban gardens.
- Partnership with “Food Bank Garden” models to address local food insecurity.
Reusable Cup Discount Program:
- Ongoing initiative offering discounts to customers bringing personal tumblers, reinforcing waste-reduction practices.

SWOT Analysis: Starbucks Vietnam (2025)

Strengths	Weaknesses
Globally recognized brand equity	Limited market share in Vietnam
High customer service and ambiance standards	Perceived as expensive by local consumers
Strong digital infrastructure and app UX	Limited presence in smaller provinces

Opportunities	Threats
Expansion into Tier 2 cities and university zones	Dominance of homegrown chains like Highlands
Increased demand for premium experiences	Price-sensitive consumers shifting post-pandemic
Collaboration with local artists and communities	Rising operational costs and rent inflation

Forward Outlook: Starbucks’ Role in Vietnam’s Coffee Evolution

Looking ahead, Starbucks Vietnam is positioned to grow steadily, not as a mass-market brand but as a symbol of global café culture adapted for Vietnam’s aspirational class. The combination of premium service, localized offerings, digital leadership, and sustainability commitments gives Starbucks a durable niche—particularly among high-value urban consumers.

As Vietnam’s coffee café industry matures in both scale and sophistication, Starbucks’ refined focus on experience, brand integrity, and cultural relevance ensures it remains a key player despite its smaller footprint.

e. Cong Caphe

As Vietnam’s café culture becomes increasingly saturated and competitive, Cộng Càphê has carved out a distinctive position within the local and international coffee market. Recognized for its unconventional branding and nostalgic ambiance, Cộng Càphê is not just a place to drink coffee—it is a cultural experience rooted in Vietnam’s socialist past, reimagined for contemporary consumers.

Brand Identity and Differentiation Strategy

Aesthetics Rooted in Post-War Vietnam

Cộng Càphê’s brand identity is intrinsically tied to:
- Post-war socialist-era nostalgia, reflected in retro uniforms, vintage furnishings, and propaganda-style visual cues.
- Rustic design ethos, using wood, metal, and recycled materials to evoke historical authenticity.
This visual storytelling appeals strongly to:
- Millennials and Gen Z in Vietnam who are drawn to “retro chic.”
- Foreign tourists and expatriates who seek culturally immersive experiences.

Strategic Price Positioning

Positioned above local value chains (e.g., Milano Coffee) and below premium global brands (e.g., Starbucks):
- Makes Cộng Càphê an “exotic yet affordable” café option.
- Offers strong value-for-experience rather than pure price competition.

Store Footprint and Market Expansion

Domestic Presence (as of January 2025)

Operates a total of 66 stores across Vietnam.
- 45 outlets are concentrated in Tier 1 cities, such as:
  - Hanoi (its birthplace and branding nucleus).
  - Ho Chi Minh City (a hub for young urban professionals).

International Expansion Strategy

International footprint now exceeds 28 stores, including:
- 23 in South Korea, primarily in Seoul and Busan.
- 4 in Malaysia, targeting lifestyle malls and tourist zones.
- 1 in Taiwan, strategically located in Taipei.
- New market entry: Philippines launch scheduled for February 2025.

Table: Cộng Càphê Store Distribution (2025)

Country	Number of Stores	Key Locations
Vietnam	66	Hanoi, Ho Chi Minh City
South Korea	23	Seoul, Busan
Malaysia	4	Kuala Lumpur, Penang
Taiwan	1	Taipei
Philippines (Planned)	1 (Feb 2025)	Manila

Financial Overview and Sector Context

Past Revenue Benchmarks

Reported revenue in 2020 reached $40 million.
No external funding raised as of 2025, indicating:
- A commitment to organic growth.
- Possible limitations in capital scaling without venture investment.

Market Challenges in 2024–2025

Like many peers in the Vietnamese F&B sector, Cộng Càphê faces:
- Rising operational costs (especially rent and imported ingredients).
- Profitability pressures, particularly in urban areas with high overhead.
Though recent financials are undisclosed, macroeconomic constraints in 2024 likely impacted net margins.

Product Strategy and Menu Innovation

Signature Beverage Offerings

Emphasizes a deeply Vietnamese beverage identity with creative, regionally inspired twists:
- Coconut Coffee (Cà phê cốt dừa) – the flagship drink.
- Milk Iced Coffee (Cà phê sữa đá) – traditional Vietnamese staple.
- Coconut Green Rice Coffee – infused with young green rice (cốm).
- Peanut Butter Cream Coffee – a bold, indulgent specialty.
- Coconut Pho Coffee – limited-edition blend celebrating cultural crossovers.
In international markets, Cộng Càphê customizes flavors to local palates:
- In South Korea, products are creamier, less intense, aligning with local beverage trends.

Food & Retail Add-ons

Select outlets also offer:
- Light bites, banh mi, and Vietnamese desserts.
- Branded merchandise (mugs, tumblers, uniforms) reflecting Cộng’s iconic style.

Marketing Strategy and Customer Engagement

Community-Driven Marketing

Relies heavily on grassroots engagement rather than mass media advertising.
- Local partnerships and offline cultural events are frequently used to reinforce authenticity.
- The nostalgic brand tone is preserved across all channels.

Digital and Social Media Strategy

Instagram remains the key platform:
- Leveraged via user-generated content (UGC) and photo-worthy interior aesthetics.
- Cultivates viral marketing through hashtag campaigns and influencer amplification.
Other active channels include:
- TikTok for storytelling and behind-the-scenes content.
- Facebook and YouTube for longer-form brand stories and product launches.

Loyalty Ecosystem

In select markets (e.g., Canada), Cộng Càphê operates a “Cộng Stars” Loyalty Rewards Program:
- Offers perks such as:
  - Free birthday drinks
  - Star-based redemption for discounts
  - Exclusive seasonal offers via mobile notifications

SWOT Analysis: Cộng Càphê (2025)

Strengths	Weaknesses
Unique cultural branding	Limited access to external capital
Loyal youth-driven customer base	Slower domestic expansion vs. competitors
Strong Instagram presence	Potential overreliance on nostalgia theme

Opportunities	Threats
Growth in ASEAN markets	Rising F&B operational costs
Cross-cultural product innovation	Imitation by local copycats
Expansion of branded retail merchandise	Cultural misinterpretation abroad

Conclusion: Cộng Càphê as a Cultural Bridge in Vietnam’s Café Evolution

In a café market defined by rapid commercialization and global influences, Cộng Càphê offers a rare blend of heritage, creativity, and affordability. By anchoring its brand in the cultural memory of Vietnam while experimenting with globally adaptable formats, Cộng continues to grow both domestically and abroad.

As the Vietnamese café market moves towards higher segmentation—ranging from quick-service tea kiosks to luxury coffee lounges—Cộng Càphê occupies a sweet spot between lifestyle storytelling and authentic culinary nostalgia. With careful expansion, particularly in the ASEAN and East Asian markets, Cộng’s journey represents one of Vietnam’s most successful brand narratives in the global food and beverage landscape.

f. Milano Coffee

Among the diverse players in Vietnam’s thriving coffee café industry, Milano Coffee stands out not for premium branding or international flair, but for its sheer scale and grassroots appeal. With a business model rooted in affordability and familiarity, Milano Coffee commands the largest outlet network in the country, catering primarily to traditional coffee consumers who seek convenience, cultural consistency, and accessible pricing.

Market Positioning and Strategic Focus

Leadership by Outlet Count

As of 2025, Milano Coffee:
- Operates over 2,000 outlets across Vietnam, making it the largest branded coffee chain by number of stores.
- Has a deep footprint in both urban and rural areas, extending its reach well beyond Tier 1 cities.
- Prioritizes franchise scalability, leveraging low initial investment and simplified operations to expand rapidly.

Strategic Business Model

Emphasizes affordable pricing and local flavors, positioning itself as:
- A neighborhood staple for traditional Vietnamese coffee drinkers.
- A brand of routine utility rather than a premium lifestyle destination.
Avoids significant investment in:
- Luxury interiors or digital integrations.
- Premium international branding or foreign expansion.
Operates with low overheads and modular franchise designs, allowing for:
- Rapid market penetration in cost-sensitive zones.
- Resilience in economic downturns where affordability becomes critical.

Target Demographics and Consumer Behavior

Who Milano Coffee Serves

Primarily targets:
- Working-class consumers, students, and blue-collar workers.
- Customers in smaller towns, industrial zones, and residential neighborhoods.
Offers a no-frills, function-first experience, in contrast to chains focused on ambiance or social experience.

Cultural Resonance

Preserves Vietnamese café traditions, including:
- Strong black iced coffee (Cà phê đen đá).
- Condensed milk coffee (Cà phê sữa đá).
- Simple snack offerings suited to quick breaks and everyday routines.

Business Metrics and Scale

Although Milano Coffee does not publicly release its financial data, its operational scale implies a substantial share of Vietnam’s $1.2 billion coffee market (Euromonitor, 2022).

Table: Outlet Comparison Among Major Coffee Chains in Vietnam (2025)

Brand	Number of Stores (2025)	Positioning	Price Tier
Milano Coffee	2,000+	Traditional, Local Access	Low
Highlands Coffee	~700	Premium Local Chain	Mid to Premium
Phúc Long	180+	Tea & Coffee Hybrid, Modern	Mid
The Coffee House	93	Urban Lifestyle Brand	Mid
Starbucks Vietnam	125	Premium International Experience	High
Cộng Càphê	66 (VN only)	Retro, Culturally Nostalgic	Mid

Strengths, Limitations, and Strategic Implications

Strengths

Unmatched national reach, even in rural and suburban districts.
Strong franchise network, which reduces capital requirements and decentralizes operational risks.
Highly adaptable format, capable of functioning in spaces as small as a street-side cart or compact café.

Limitations

Limited brand equity among premium or international consumers.
Low differentiation in product offerings may hinder appeal to younger, trend-sensitive demographics.
Minimal technological integration, particularly in areas such as loyalty apps, digital payments, or delivery.

Future Potential and Risks

Opportunity to:
- Modernize selectively through low-cost technology upgrades (e.g., QR-based ordering).
- Expand selectively into regional ASEAN markets with similar coffee culture dynamics (e.g., Laos, Cambodia).
Risks include:
- Market saturation, especially if franchise quality is not standardized.
- Vulnerability to rising competition from modern, affordable hybrid models such as TocoToco or Phúc Long kiosks.

Conclusion: Scale vs. Sophistication in Vietnam’s Coffee Chain Ecosystem

In Vietnam’s rapidly evolving coffee café market, Milano Coffee represents a case study in scale-first strategy. Unlike its rivals that rely on digital innovation, lifestyle branding, or premium experiences, Milano thrives on accessibility, simplicity, and operational efficiency.

While its dominance in outlet count is unlikely to be challenged in the near future, Milano’s next frontier may lie in balancing mass presence with selective upgrades in customer experience, branding, and sustainability. The 2025 landscape favors those who can scale affordably while adapting to a digitally driven, experience-focused consumer base—and whether Milano can pivot without losing its roots remains a critical question for the years ahead.

4. Competitive Landscape and Market Strategies

In 2025, the Vietnamese coffee café market continues to undergo structural transformation, driven by heightened competition, strategic consolidation, and evolving consumer expectations. The interplay of pricing strategies, aggressive expansion plans, digital engagement, and localization is reshaping the competitive landscape.

Market Concentration and Competitive Dynamics

The market is consolidating rapidly, with dominant players expanding their influence.
In 2021, the top five brands (Trung Nguyen Legend, Highlands Coffee, Phuc Long Coffee & Tea, The Coffee House, and Starbucks) collectively held 33% of the market share.
By the end of 2023, their combined market share increased to 42%, signifying a decline in independent and unbranded coffee shops.
The influx of regional and international brands continues to intensify competition, requiring both operational efficiency and innovation.

Table: Market Share Trends Among Top Coffee Chains in Vietnam

Year	Market Share (Top 5 Chains)	Independent Cafes Share
2021	33%	67%
2023	42%	58%
2025 (Est.)	48%	52%

Pricing Strategies and Consumer Sensitivity

Input costs, especially green coffee bean prices, have surged post-pandemic, putting pressure on margins.
Despite rising costs, most chains refrained from significant price hikes due to increasing consumer price sensitivity.
The premium beverage segment (priced VND70,000 or $2.70+) saw a market share drop from 7.3% in 2023 to 5.1% in 2024, prompting brands to increase discount campaigns.
Affordable Robusta coffee is gaining popularity, gradually replacing Arabica in many mid-tier offerings.

Chart: Market Share of Premium Beverages (2023-2024)

  2023  ██████████░░░░░ (7.3%)
  2024  ██████░░░░░░░░░ (5.1%)

Expansion Models and Growth Strategies

Vietnamese coffee chains are employing multiple growth pathways, combining local dominance with global aspirations.

Domestic Chain Expansion

Highlands Coffee: Pursuing rapid growth with a target of 830 outlets across Vietnam and the Philippines by end of 2024.
Phuc Long Coffee & Tea: Focusing on upgrading existing outlets and launching flagship stores.
Starbucks Vietnam: Adopting a selective and measured approach, typically entering one major city at a time.

Franchise-Based Models

Trung Nguyen E-Coffee: Employs a low-cost franchise model, including a “zero-dong” sign-up fee policy.
- Expanded to 800 stores across Vietnam.

International Expansion

Trung Nguyen Legend:
- Plans for 1,000 stores in China.
- Targeting 100 stores in the U.S.
- Exploring markets such as Australia, France, Japan, South Korea, Canada, and Dubai.
Cong Caphe:
- Currently operates outlets in South Korea, Malaysia, Canada, and Taiwan.
- Launching in the Philippines in February 2025.
Phuc Long:
- Evaluating entry into the U.S. market.

Matrix: Coffee Chain Expansion Models

Brand	Domestic Strategy	International Strategy	Model Type
Highlands Coffee	Aggressive scaling	Limited (Philippines)	Corporate-owned
Trung Nguyen	Franchise & flagship	Major push (China, U.S., etc.)	Franchise
Starbucks	Measured rollout	Already global	Corporate-owned
Cong Caphe	Moderate presence	Expansion to Asia & North America	Mixed
Phuc Long	Flagship renovation	U.S. expansion in consideration	Corporate-owned

Marketing, Digital Transformation, and Customer Engagement

Digital Engagement and Loyalty Ecosystems

Chains heavily leverage Facebook, Instagram, TikTok, and YouTube for visual storytelling and campaign amplification.
Mobile apps are central for:
- Online ordering
- Loyalty points accrual
- Push-based personalized promotions
Brands are exploring AI-driven customer insights and marketing automation for targeted outreach and churn reduction.

Experiential Retail Strategies

Cafés are designed to serve as multi-functional lifestyle spaces, offering:
- Live music
- Art showcases
- Coffee brewing workshops
- Collaborative workspaces
The trend of “Instagrammable spaces” has become a marketing standard.

Cultural Localization

Customizing menus to reflect local and regional preferences is now essential.
Popular offerings include:
- Coconut coffee
- Egg coffee
- Salt coffee
- Pandan-infused beverages
Cong Caphe stands out with its thematic décor reflecting Vietnam’s socialist past, fostering nostalgia-driven brand affinity.

Conclusion: Strategic Differentiation as the Key to Survival

Vietnam’s coffee café industry in 2025 is a dynamic blend of tradition and transformation. While brand consolidation and franchise expansion continue to define the competitive topography, sustainable differentiation will be the deciding factor in long-term success. Brands that can effectively blend localization, technological innovation, and experiential value while maintaining operational discipline are poised to lead in this increasingly sophisticated market.

5. Operational Challenges and Sustainability Initiatives

The Vietnamese coffee cafe market in 2025 stands at the intersection of rapid growth and mounting operational complexity. While the sector continues to flourish due to rising domestic consumption and international recognition, it is simultaneously contending with multifaceted challenges linked to supply chains, labor constraints, and climate-induced volatility. In response, major players are integrating sustainability into the core of their business strategies to maintain competitiveness and market relevance.

Supply Chain Disruptions and Raw Material Pressures

The coffee supply chain in Vietnam has grown increasingly vulnerable to external shocks and environmental volatility.

Key Challenges:

Climate Impact on Coffee Yields
- In 2024 and 2025, extreme weather events, including droughts and record-breaking temperatures, led to an estimated 10-20% decline in coffee production.
- Robusta-producing regions in Central Highlands faced the most severe losses, affecting both volume and quality.
Escalating Raw Material Costs
- In 2024, raw material expenses accounted for 30-50% of total costs for F&B operators.
- Global shipping delays—amplified by geopolitical tensions such as the Red Sea conflict—significantly extended lead times and import/export costs.

Strategic Responses:

Value-Addition through Domestic Deep Processing
- Investment in local processing facilities enables brands to shift from exporting raw beans to supplying roasted, ground, or ready-to-drink products.
Direct Sourcing from Farmers
- Chains are establishing contract farming and direct procurement models to reduce intermediaries and stabilize input costs.
- Partnerships include technical support and financial incentives for farmers who meet quality and traceability standards.

Workforce Management and Labor Optimization

Human capital remains a key pillar of operational efficiency in Vietnam’s coffee industry.

Ongoing Issues:

Rising Labor Costs
- Nationwide wage increases and inflationary pressures have led to higher staff-related expenditures.
Skills Gap
- There is a marked deficiency in structured training, upskilling, and retention programs for F&B staff.

Industry Innovations:

Automation and AI Integration
- Cafes are increasingly adopting self-service kiosks, AI-driven recruitment platforms, and inventory management systems.
- Automation is being used to minimize waste, streamline operations, and reduce reliance on manual labor.

Sustainability as a Core Business Imperative

The future of Vietnam’s coffee industry is being shaped by regulatory, environmental, and consumer pressures that necessitate robust sustainability initiatives.

External Regulatory Drivers:

EU Deforestation Regulation (EUDR)
- As of 2025, 41% of Vietnam’s coffee exports to the EU are affected by stringent deforestation compliance standards, mandating traceability and legality.

Enterprise-Level Sustainability Practices:

Sustainability Practice	Description & Implementation
Climate-Smart Agriculture	Use of shade-grown systems, precision irrigation, and organic inputs.
Regenerative Farming	Techniques such as cover cropping, minimum tillage, and composting.
Third-Party Certification	Adoption of Fair Trade (15%) and Organic (10%) certifications across supply chains.
Technology for Traceability	Application of blockchain, AI analytics, and carbon tracking tools.
Waste Reduction Measures	Elimination of single-use plastics; recyclable, biodegradable packaging.
Circular Initiatives	Starbucks’ pilot project: recycling coffee grounds for “Food Bank Garden” development.

Government and Industry-Led Sustainability Programs

National institutions and international partnerships are aligning to create systemic, long-term change.

Public Sector Interventions:

Ministry of Agriculture’s Coffee Database
- Digital mapping of 136,000 hectares of coffee land to monitor productivity, sustainability, and legality.
SAFE Project (2025–2028)
- The “Sustainable Agriculture for Forest Ecosystems in Vietnam” initiative aims to:
  - Promote zero-deforestation supply chains.
  - Support smallholder compliance with international trade regulations.
  - Increase competitiveness in the global specialty coffee market.

Summary Table: Key Operational and Sustainability Insights

Challenge Category	Key Impact	Industry Response
Supply Chain	Climate volatility, rising input costs	Deep processing, farmer contracts, traceability tech
Labor	Rising wages, skill shortages	AI hiring, automation, upskilling investments
Environmental Compliance	EU trade restrictions, deforestation regulations	Certifications, reforestation, precision agriculture practices
Consumer Expectations	Eco-friendly, ethical sourcing	Zero-waste packaging, local community partnerships

This dual focus on operational resilience and environmental stewardship marks a transformative era in Vietnam’s coffee industry. Forward-looking companies that embed sustainability into every layer of their operations are not only future-proofing their businesses but also enhancing brand equity and market competitiveness on both domestic and international stages.

Future Outlook and Conclusions

The Vietnamese coffee café sector in 2025 stands at a pivotal moment of transformation—evolving from a traditionally commodity-driven market into a globally recognized hub for coffee consumption, retail innovation, and café culture. As competition intensifies and consumer preferences become more nuanced, businesses must evolve beyond conventional strategies to remain competitive.

Market Growth Drivers and Consumer Evolution

The structural fundamentals of Vietnam’s domestic coffee café market remain robust, fueled by a rising middle class, urbanization, and generational lifestyle changes.

Demographic Momentum:
- Vietnam’s median age is approximately 32 years (2025), with over 55% of the population living in urban areas.
- A young and digitally connected population continues to drive demand for social, Instagram-friendly, and experiential café environments.
Rising Disposable Incomes:
- GDP per capita surpassed $4,500 in 2024, supporting the proliferation of mid- to high-tier coffee consumption.
- Consumers are showing increased willingness to pay for quality, convenience, and ambiance.
Lifestyle Shifts:
- Cafés are no longer mere beverage stops; they have evolved into “third places” for freelancers, students, and professionals seeking hybrid workspaces.
- Demand for functional, personalized, and health-conscious beverages is growing, especially among Gen Z and Millennials.

Competitive Strategy and Market Dynamics

As of 2025, Vietnam’s coffee café market continues to reflect a highly concentrated and fast-expanding structure, with homegrown and international brands vying for dominance.

Brand Consolidation:
- Top five chains control over 42% of the formalized café market, up from 33% in 2021.
- Local giants like Highlands Coffee and Phúc Long are leading in domestic penetration, while brands like Trung Nguyên Legend are aggressively pushing international boundaries.
Expansion Patterns:
- Domestic saturation in key cities is prompting chains to pursue Tier-2 and Tier-3 city markets and international territories.
- Franchise-led growth models are increasingly common to scale quickly with reduced capital exposure.
Price Sensitivity & Value Engineering:
- The premium segment saw contraction in 2024, as the market pivoted toward affordability amid inflationary pressures.
- Brands are experimenting with tiered pricing strategies and localized menu innovation to maintain broad market appeal.

Operational Challenges and Strategic Imperatives

The industry’s expansion has not come without headwinds. Operational resilience is a strategic necessity.

Raw Material Risk:
- Climate change has caused an estimated 10–20% reduction in coffee bean output.
- Coffee bean costs contribute 30–50% of retail pricing structures.
Labor Market Constraints:
- Increased labor costs and talent shortages have accelerated adoption of automation, AI-assisted training, and workforce management technologies.
Logistics & Supply Chain Resilience:
- Disruptions in global shipping lanes (e.g., Red Sea conflict) have inflated logistics costs.
- Coffee chains are shifting to deep-processing models and direct trade frameworks to stabilize supply and increase margins.

Sustainability as a Strategic Pillar

Sustainability has transitioned from a marketing differentiator to a core operating principle, driven by both market expectations and regulatory compliance.

Key Sustainability Drivers:
- Compliance with the EU Deforestation Regulation (EUDR) is a major concern, given that 41% of Vietnam’s coffee exports go to the EU.
Green Supply Chain Initiatives:
- Integration of agroforestry, regenerative farming, and organic certification to ensure traceable and eco-conscious production.
Waste Reduction Technologies:
- Major brands like Starbucks, Highlands Coffee, and The Coffee House are investing in compostable packaging and coffee waste recycling models.
Digital Traceability:
- AI and blockchain-based systems are increasingly used to track sourcing, carbon impact, and compliance metrics.

Strategic Priorities Moving Forward

As the café sector matures, future success will depend on a brand’s ability to integrate innovation, sustainability, and operational efficiency.

Strategic Priority	Description
Product Differentiation	Emphasis on localized specialty drinks, seasonal menus, and health trends
Digital Transformation	AI-driven customer engagement, loyalty programs, and app-based ordering
Operational Efficiency	Automation of labor-intensive processes, smart supply chain management
Global Expansion	Focused entry into ASEAN, North American, and East Asian markets
ESG Integration	Environmentally and socially responsible sourcing and store operations

Conclusion: A Market of Tradition and Transformation

The Vietnamese coffee café industry in 2025 presents a compelling narrative of growth, adaptation, and global ambition. It reflects Vietnam’s deep-rooted coffee culture, now interwoven with digital modernity, international expansion, and evolving consumer expectations.

The café is now more than a place—it is a lifestyle space.
Operators who align with shifting values—convenience, sustainability, and authentic experiences—are most likely to thrive.
Vietnam’s position as a global coffee exporter is evolving into that of a global café culture innovator, setting the stage for a uniquely Southeast Asian model of success.

Conclusion

The Vietnamese coffee café market in 2025 stands as one of the most vibrant and rapidly evolving segments within the national food and beverage (F&B) industry. Driven by deep cultural roots in coffee consumption and supported by shifting socio-economic dynamics, the sector is poised for sustained growth, innovation, and international relevance. Vietnam’s transformation from a traditional coffee-producing country to a modern café-driven coffee culture showcases a compelling success story that blends heritage, lifestyle, and global ambition.

Key Takeaways on Market Maturity and Consumer Trends

Vietnam’s café market is no longer just about serving beverages—it has evolved into a lifestyle-driven, experience-centric sector.
A rising middle class, a youthful demographic, and increasing urbanization have accelerated demand for specialty beverages, immersive café environments, and digital convenience.
Cafés now serve multiple functions—as workspaces, social hubs, and cultural venues—cementing their position as “third places” in Vietnamese urban life.

Market Performance and Competitive Evolution

The top five café brands (Highlands Coffee, Trung Nguyen Legend, Phuc Long, The Coffee House, and Starbucks) have expanded their combined market share from 33% in 2021 to over 42% by late 2023, indicating increased brand consolidation.
Local brands are not only competing effectively with international giants but are also taking Vietnamese coffee culture abroad through ambitious global expansion plans.
Franchise models, scalable store formats, and digital loyalty programs are key levers being used to achieve competitive differentiation and sustainable growth.

Operational Realities and Challenges

The industry faces significant operational headwinds including rising input costs, climate-related disruptions affecting Robusta and Arabica supply, and labor shortages.
Coffee production in Vietnam is expected to contract by 10–20% due to ongoing droughts and extreme temperatures, directly impacting supply chain stability and raw material pricing.
Automation, workforce upskilling, and AI adoption are increasingly necessary to improve operational resilience and efficiency.

Sustainability as a Strategic Imperative

Sustainability has become a non-negotiable component of long-term strategy, rather than a marketing afterthought.
Compliance with international regulations like the EU Deforestation Regulation (EUDR) is prompting Vietnamese businesses to invest in traceable, ethical sourcing and regenerative farming.
Green practices such as compostable packaging, waste reduction, water conservation, and tree planting campaigns are becoming industry norms rather than exceptions.

Digital Transformation and Consumer Engagement

Mobile apps, AI-driven insights, and omnichannel delivery platforms are now essential for acquiring, retaining, and personalizing consumer experiences.
Social media platforms (TikTok, Instagram, Facebook) continue to influence consumer decisions, especially among Gen Z and Millennials.
User-generated content, experiential marketing, and localized menu innovation further drive consumer loyalty and brand equity.

Strategic Outlook: What Lies Ahead

Strategic Dimension	2025 Insights	Long-Term Outlook
Market Growth	Moderate to high, especially in urban hubs	Continued expansion into Tier-2 and Tier-3 cities
Consumer Behavior	Experiential, value-driven, digitally engaged	Increasing demand for sustainable and customizable offerings
Internationalization	Key brands expanding into Asia, North America	Vietnam becoming a soft-power ambassador for coffee culture
Technology Adoption	Loyalty apps, AI, automation on the rise	Full integration of AI, robotics, and predictive analytics
ESG Integration	In response to EUDR and consumer awareness	Mandatory across all major coffee chains

Final Thoughts

The Vietnamese coffee café market in 2025 is emblematic of a broader shift in Vietnam’s economic and cultural identity—where tradition meets modernity and local brands compete with global players. The sector’s future will be defined by its ability to adapt to evolving consumer expectations, embrace sustainability at its core, and harness technology to create seamless, engaging customer experiences.

As Vietnam continues to cultivate its reputation not only as a top coffee exporter but also as a burgeoning café capital of Asia, businesses must remain agile, purpose-driven, and customer-centric. For investors, entrepreneurs, and global coffee lovers alike, the Vietnamese coffee café market presents a rare blend of authenticity, opportunity, and global momentum—making it one of the most compelling markets to watch in the years ahead.

Sources

Trung Nguyên Legend
YouTube
BBC
World Coffee Portal
Vietnam News
Savor Brands
EOS Global Expansion
GlobeNewswire
Vietnam Investment Review
GCR Magazine
Vietdata Research
Jollibee Group
Vietstock
Crimson Cup
VnExpress International
Bloom Intelligence
Vietnam Agriculture
Tara Oh Reilly
The Shiv
Paytronix Systems
Constant Contact
HotShot Sleeves
Scribd
Desklib
Prezi
ResearchGate
Inside Retail Asia
Mad About Marketing Consulting
BC Publication
Stamp Me
USDA Foreign Agricultural Service
Investor Starbucks
Verdict Foodservice
Mordor Intelligence
Koltiva
The Investor
Doanh Nghiep Hoi Nhap
VnEconomy
Vietnam Incorporation
International Journal of Social Science Humanity & Management Research
Cong Caphe Canada
An Phat Holdings
Kamereo
Trend Hunter
Barista Magazine
PALLAS BrandFare
CrownTV
EssFeed
Laptophot
Google Play
Comunicaffe International
VietnamNet
Tracxn
Talentnet Group
Perfect Daily Grind
Farmonaut
Innovative Beverage Concepts
VCCI
Daily Coffee News
Masan Group
UpMenu
TikTok
PR Newswire

Key Takeaways

Vietnam’s Strategic Coffee Advantage

A Youth-Driven Consumer Boom

A Competitive and Fragmented Market

Urbanization and the Rise of Coffee Lifestyle Hubs

Digitalization and the Future of Coffee Retail

Sustainability and Ethical Consumption

Outlook and Investment Opportunities

The Vietnamese Coffee Cafe Market in 2025

1. The Vietnamese Coffee Landscape in 2025

Macroeconomic Overview of the Coffee Sector

Market Valuation and Growth Forecast

Coffee Café Sector-Specific Metrics

Table 1: Vietnam Coffee Sector Metrics (2024–2030)

Structural Resilience Amid Economic Volatility

Consumer Behaviour and Cultural Integration

Rising Consumption and Café Frequency

Shifts in Preference and Lifestyle

Key Growth Drivers of the Coffee Café Ecosystem

Urbanization and Demographic Trends

Technological Integration

Global and Local Brand Expansion

The Evolving Value Proposition of Vietnamese Cafés

Beyond Coffee: The “Third Place” Economy

Environmental Consciousness and Ethical Trends

Summary: Market Outlook and Strategic Implications

Strategic Matrix: Success Drivers in Vietnam’s 2025 Café Market

Final Note

2. Market Dynamics and Key Trends

Market Dynamics and Key Trends in 2025

F&B Sector Highlights

Key Market Characteristics

Coffee Production and Export Dynamics

Production Overview

Export Evolution

Key Export Markets

Table 1: Vietnam Coffee Production & Export Forecast (in million 60kg bags)

Domestic Consumption and Market Maturity

Consumption Trends

Global Influences and Supply Chain Pressures

Price Trends

Export Paradox

Supply Constraints and Market Behavior

Long-Term Production Forecast & Strategic Recovery

2025 Production Outlook

Value-Addition Strategy and Industrial Transformation

Investment in Processing Capacity

Strategic Objectives

Rise of Digital Food Delivery Platforms

Online Delivery Market

Implications for Coffee Retailers

Strategic Outlook: Competitive Positioning Matrix

Conclusion

3. Leading Coffee Cafe Chains: Market Share, Strategies & Performance

Highlands Coffee: Market Leadership Through Scale and Digital Engagement

Market Share & Physical Presence

Revenue and Investment Highlights

Strategic Pillars: Business Model, Brand Experience, and Digital Transformation

Expansion-Driven Market Capture

Customer Experience Excellence

Digital Ecosystem and Marketing Capabilities

Table 1: Highlands Coffee – Key Growth Metrics (2020–2025)

Sustainability Commitment and Brand Recognition

Environmental Strategy

Industry Recognition

Competitive Positioning Matrix: Highlands Coffee vs. Key Rivals

Outlook for 2025 and Beyond

a. Trung Nguyen Legend

Market Share & Store Network Expansion

Domestic Market Presence

International Expansion Highlights

Global Franchising Goal

Investment in Production and Processing Infrastructure

Flagship Investment: Dak Lak Mega Factory

Strategic Business Model and Brand Philosophy

Cultural Marketing & Community Impact

Differentiated Retail Strategy

Technological Integration & Supply Chain Transformation

Supply Chain & Smart Factory Features

Digital Marketing & Gen Z Targeting