Mr. Tuan, who runs a pho stall in Thanh Xuan Ward, shared that all input costs have increased, from beef, marrow bones, green onions, and herbs to spices and energy like gas and electricity. Prices have risen 10–20% compared to earlier this year.

To make matters worse, customer traffic has declined as people tighten their spending. While the stall once sold several hundred bowls per day, that number has now dropped by nearly half on some days. Even without raising prices, revenue is falling.

At his shop, the most affordable bowl still costs 35,000 VND (around 1.40 USD). Mr. Tuan acknowledged that initial customer resistance is expected if prices go up, but over time, the market will adjust as both buyers and sellers adapt.

In another part of the city, Ms. Hong, who runs a crab noodle soup stall in the Linh Dam area, has already increased her price from 30,000 VND to 35,000 VND per bowl (from 1.20 to 1.40 USD). Her shop serves about 150 bowls per day, mostly during breakfast and lunch.

She noted that input prices have skyrocketed: green onions now cost 65,000 VND/kg (2.60 USD), while tomatoes have reached 70,000 VND/kg (2.80 USD). Still, she believes raising her bowl price to 40,000 VND would be unfeasible.

To offset the extra costs, she has begun offering additional dishes like rice cakes, tapioca dumplings, spring rolls, and various side items.

Across social media groups for restaurant owners, price hikes are a hot topic. Many vendors worry that any increase could drastically reduce their customer base amid current economic difficulties. Rather than raising prices, some opt to serve slightly smaller portions and cut operational costs - including utilities and staff hours - to stay afloat.

One shop owner noted that after increasing prices by just 5,000 VND (0.20 USD), customer numbers noticeably declined. However, thanks to consistent food quality, the shop retained loyal patrons who helped maintain revenue.

In the face of relentless cost pressure, small eateries are being forced to adapt in creative ways. Some are now implementing digital management tools, while others are joining cooperative buying groups to negotiate better ingredient prices.

Prices rising across the board

According to a mid-2025 market report from iPOS, 45.3% of food service businesses in Vietnam have already increased their prices - an eye-opening statistic for a highly price-sensitive sector.

Of those, 32.5% raised prices by less than 5%, 11.3% increased by 5–10%, and only 1.4% hiked prices by over 10%. The strategy appears to be gradual adjustment to avoid shocking customers while preserving demand.

Price-sensitive segments like low- to mid-tier restaurants are especially vulnerable to losing customers over even modest increases. Still, rising costs for ingredients, labor, and utilities are leaving businesses with little choice.

Expert Tran Khanh Minh Son remarked that price hikes are inevitable under such pressure. However, vendors must simultaneously increase product value and improve service quality to retain customers.

Mr. Son emphasized that raising prices isn’t just about changing numbers on a menu - it’s a balancing act between revenue, profit, and customer loyalty.

Price hikes are only justified when matched with better quality and service. In difficult times, customers become even more discerning, and only eateries that take food preparation and hospitality seriously will succeed in retaining their clientele.

Duy Anh