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Besides health benefits, consumers in Vietnam also buy yogurts products that are interesting. Consumers are more willing to pay for experiences and sensations.

Vietnam’s trends in yogurt: healthy interestingly
Date Submitted :July 18, 2019

Vietnam’s yogurt market reported a healthy growth rate of 12% over 2012-16. This positive trend will also continue over 2017-22, but is expected to slow down slightly, with the CAGR in this period reaching 9%.


Vietnam's Retail Market Value of Yogurt 2018


Spoonable yogurts are the largest market segment, covering 58% of the market value in 2016. Moreover, the share of drinking yogurts is expected to increase for suiting well with on-the-go consumption.


Vinamilk has always been the largest player in the Vietnamese yogurt market with a market share of 63% in 2016. Nevertheless, competition from foreign brands, especially from the Trans Pacific Partnership, may challenge the local firms in the coming years.


Several local consumer trends are impacting the Vietnam yogurt market.


Healthy eating, healthy living


Healthy eating, healthy living

In Vietnam, yogurt has long been considered a wholesome choice. These products are now more popular as Vietnamese people are becoming serious about healthy living. They are also more educated about health problems that are related to unhealthy diets.


Besides that, the increasing pace of life, especially those in big cities, is changing their yogurt consumption habits. More and more consumers are now choosing to drink yogurt as a healthy on-the-go snack or beverage option.


In addition, consumers pay more attention to the contents of the products they eat after a number of scandals in Vietnam’s food industry. Thus, they expect full transparency about the use of any additives, including yogurt, and demand the highest possible quality and safety.


Interesting experiences get noticed


Interesting experiences get noticed

Besides health benefits, consumers in Vietnam also buy yogurts products that are interesting, which is connected to the fact that as the economy is growing, consumers are more willing to pay for experiences and sensations. Over the past 30 years, Vietnam has slowly transformed from one of the poorest countries to a lower middle-income economy.


According to World Bank, the middle class, which accounts 13% of the population, is said to increase by 26% by 2026. As consumers have more money to spend, they are willing to pay a bit more for exclusive yogurts with special ingredients or flavours.


Besides the well-performing economy, currently 70% of the population is under 35 years of age. Younger populations tend to be more open to try new things, hence they welcome yogurt products that are made with new technologies and ingredients.


Tailored to your needs


Tailored to consumer's needs

Vietnamese consumers are pampered by yogurt brands, which claim to make yogurts specifically tailored to their needs. To stay competitive, these companies are forced to increase sales by thoroughly understanding the needs of different groups, especially children and women, and come up with suitable products and value propositions.


Flavour and quality are still important purchasing factors of yogurts in Vietnam. However, many consumers look for more, expecting frequent new variants and novel ingredients as well as improved health benefits that match their needs well.


Source: Mintel



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