Hanoi (VNA) – Vietnam’s Mid-Autumn Festival cake market is entering its peak season with competition intensifying, particularly in the affordable segment, while demand for premium products remains subdued.
The market is estimated at around 4.83 trillion VND (about 183 million USD), with annual growth of 4–4.5%, according to industry estimates. However, growth varies widely across segments.
Major brands account for about 70% of total sales volume in the mass market, putting pressure on smaller producers and squeezing profit margins. Meanwhile, premium products have yet to regain momentum as consumer spending remains cautious.
In Hanoi and Ho Chi Minh City, prices have edged up by some 5,000–7,000 VND per cake from last season, driven by higher costs for ingredients, labour and packaging.
Online shoppers, however, are still largely comparing prices before making purchases.
Major producers are moving early to capture demand. While Kido aims to double output from last year, Kinh Do has expanded its distribution network to nearly 100,000 outlets and stepped up sales through e-commerce platforms such as Shopee, Lazada and TikTok Shop. MM Mega Market plans to increase supply by around 20%.
A growing number of businesses are turning to customised mooncakes rather than standard gift boxes, with demand now coming not only from corporations and hotels but also from influencers and coffee chains.
Meanwhile, social media is creating unexpected demand for premium-priced “viral” cakes. Multi-yolk snow skin mooncakes and custard-filled varieties have gained traction despite selling for far more than conventional products, with some handmade six-yolk cakes priced at 250,000–300,000 VND each.
Competition is also being fuelled by imported products, particularly from Taiwan (China), Hong Kong (China), Singapore and Malaysia, many targeting the premium gift segment.
The influx has intensified concerns over product quality and origin, with authorities expected to step up inspections during the peak season amid reports of unlabelled and counterfeit products.
Heritage brands hold their ground
Amid fierce competition on price and volume, traditional family-run brands are banking on heritage and authenticity.
In Hanoi, Ninh Huong remains a familiar Mid-Autumn Festival destination on Hang Dieu street. In Ho Chi Minh City’s Cho Lon area, long-established brands such as Dong Hung Vien, Dong Ky and Nam Viet continue to preserve traditional recipes while selectively updating their packaging and products for younger consumers and corporate clients.
Industry insiders say competition is no longer just about the cake itself. Product quality, packaging, brand reputation, delivery services and personalisation are increasingly shaping consumer choices in a market crowded with both domestic and foreign players./.