Finding Partners for SMEs in Horeca Distribution Vietnam

Entering Vietnam’s HoReCa sector can be both promising and challenging for international SMEs.

With the market valued at nearly USD 22 billion in 2024 and forecasted to exceed USD 50 billion by 2033, HoReCa has become one of the fastest-growing gateways for FMCG brands. Yet success in Horeca Distribution Vietnam depends heavily on choosing the right partner—one that can manage logistics, compliance, and market access effectively.

The combined landscape of restaurants, hotels, and cafés highlights the diverse opportunities in Horeca Distribution Vietnam for international SMEs.

Vietnam’s HoReCa market landscape

Vietnam’s HoReCa (Hotel – Restaurant – Catering) sector has become a strategic gateway for many international SMEs. With a market size of USD 22 billion in 2024, projected to surpass USD 50 billion by 2033, HoReCa is both a direct revenue channel and a place to test products and build brand awareness.

However, the market is fragmented and comes with demanding requirements such as cold chain logistics, food safety compliance, and complex trade relations.

For new SMEs entering the country, the big question is: where should they begin when looking for the right HoReCa partner?

Horeca Distribution Vietnam – key criteria for choosing partners

To succeed, SMEs must seek distribution partners in HoReCa that meet the following criteria:

1. Wide distribution network: coverage across 4–5 star hotels, premium restaurants, cafés, and F&B chains.

2. Logistics capability: cold chain, warehousing, and clear delivery SLAs.

3. Legal and compliance strength: flexible payment terms, full food safety licensing, Vietnamese labeling, and compliance with excise tax (including the sugar-sweetened beverage tax starting 2027).

4. Market expertise: understanding Vietnamese consumer behavior and premium/organic trends.

5. Marketing support: ability to provide POSM, activations, and market insights.

Trade activations such as Beer Saigon booths illustrate how POSM and marketing support strengthen Horeca Distribution Vietnam partnerships.

Common mistakes SMEs make when selecting partners

• Focusing only on price: choosing distributors based on discount margins while ignoring coverage and quality.

• Lack of due diligence: not verifying warehouses, cold chain, or delivery capabilities.

• Overlooking compliance: neglecting to clarify partner responsibilities in licensing, labeling, and food safety.

• Relying on a single distributor: exposing themselves to risks if the partner faces operational or financial issues.

Practical solutions for international SME

• Define market objectives

SMEs must clarify their priorities—whether to test products, expand quickly, or position as premium brands.

• Build a shortlist of HoReCa partners

Evaluate potential distributors in Horeca Distribution Vietnam based on distribution reach, logistics, compliance, and marketing capabilities.

• Run pilot collaborations

Sign trial agreements (3–6 months) to evaluate actual performance: delivery speed, sales results, and scalability.

• Scale after traction

Once the pilot is successful, expand distribution and explore additional channels such as MT, GT, or e-commerce.

• Leverage advisory services

Work with Vietnam Market Entry Services or local partners like Go2Market (G2M) Vietnam to reduce risks, ensure compliance, and accelerate sales in HoReCa.

The bustling atmosphere of a Vietnamese beer restaurant reflects the large consumer base and growth potential of Horeca Distribution Vietnam.

Strategic implications for SMEs

• HoReCa partners are more than sales channels: they are brand-building bridges through customer experiences.

• End-to-end distribution partner Vietnam: the optimal choice for SMEs seeking integrated solutions across sales, logistics, compliance, and marketing.

• Fast but sustainable entry: balance speed-to-market with careful partner selection to minimize risks.

Strategic takeaways for international SMEs

Vietnam’s HoReCa market is one of the most attractive yet challenging channels for SMEs. The key to success lies in finding the right partner from the start. By collaborating with experienced players such as Go2Market (G2M) Vietnam, SMEs can minimize costs, ensure compliance, and scale faster within the ecosystem of Horeca Distribution Vietnam.