Beer, Premiumisation and Modern Retail Shape Vietnam’s Alcoholic Drinks Sector

Vietnam’s alcoholic drinks sector is undergoing a period of change as established consumption patterns meet evolving preferences, retail development and regulatory requirements. According to the Vietnam alcoholic drinks report from Vyansa Intelligence, the sector was valued at USD 10.49 billion in 2025 and is projected to reach USD 15.06 billion by 2032, registering a compound annual growth rate (CAGR) of 5.3% during 2026–2032. Beer remains the dominant category, while premium products, wine, cocktails and contemporary retail channels are contributing to a more varied industry landscape.

Beer Retains Its Dominant Position

Beer accounted for approximately 85% of Vietnam’s alcoholic drinks sector in 2025, making it the largest category by value. The report projects that beer volume will grow at a CAGR of around 3.59% during 2026–2032. Its established role in social gatherings, business occasions and celebrations, including Lunar New Year, supports its position as the country’s most widely consumed alcoholic beverage.

Vietnam’s warm climate is also identified as a factor supporting beer consumption. Both mass-market and premium products contribute to the category’s reach, with established lagers continuing to serve a broad consumer base. At the same time, premium lager is gaining attention as some consumers show greater willingness to pay for higher-quality products.

Investment by major producers is expected to support the category’s development. Premium offerings provide opportunities to differentiate products, while established brands retain their presence across traditional retail and hospitality channels. Although wine and spirits are gaining interest, the report expects beer to remain the central category throughout the forecast period.

Premiumisation Influences Consumer Choices

Premiumisation is an important theme in Vietnam’s alcoholic drinks sector. The report describes a growing willingness among some consumers, particularly wealthier urban professionals, to spend more on higher-quality beverages. This includes premium beer, imported spirits and wine, reflecting an interest in product quality and more distinctive drinking experiences.

The trend does not indicate that affordable products are becoming irrelevant. Rather, demand is developing across different price levels and occasions. Established beer brands continue to serve everyday consumption, while premium lagers and imported beverages appeal to consumers seeking greater variety or a higher-end experience.

Imported spirits and wines are also gaining exposure through tourism, promotional activities and changing dining preferences. These developments provide international brands with opportunities to reach consumers who are becoming more familiar with products beyond traditional beer choices.

Wine and Cocktail Culture Develop

Wine is receiving greater attention as inbound tourism and Western dining culture influence beverage preferences. Wine festivals and promotional events are helping introduce consumers to international brands and different styles of wine. The report identifies WineFest 2024 as an example of activity that has increased exposure to wine as part of lifestyle and dining experiences.

Cocktail culture is also developing, particularly in urban areas. Younger adult consumers are showing interest in new flavours and international spirits, including soju. The popularity of Korean popular culture is identified as one influence supporting interest in these beverages.

These developments suggest a gradual broadening of preferences beyond conventional beer consumption. Wine and cocktails remain smaller parts of the overall sector compared with beer, but their growing visibility contributes to product variety and creates opportunities for producers, importers and hospitality businesses.

Off-Trade Retail and E-Commerce Expand Access

Off-trade channels accounted for approximately 51% of Vietnam’s alcoholic drinks sector in 2025. Small neighbourhood grocery stores remain important because of their widespread presence and proximity to consumers. However, their share is gradually declining as modern retail formats expand.

Supermarkets, hypermarkets and convenience stores are increasing their role in beverage distribution. These outlets offer broader product selections and provide greater visibility for premium and imported beverages. Their development also reflects changing urban lifestyles and consumer interest in convenient shopping.

Online retail is another area of development. Platforms such as Shopee and TikTok are identified in the report as channels using promotions, discounts and delivery offers to attract consumers. E-commerce gives brands additional opportunities to present products to digitally active shoppers, although the report does not provide a separate online sales share.

The continued development of retail channels is significant for both domestic and international producers. Traditional grocery outlets remain relevant to established purchasing habits, while modern retail and online platforms offer additional routes for introducing new brands and product varieties.

Regulation and Changing Consumption Environments

Regulation is an important consideration for alcoholic drinks producers and retailers in Vietnam. The report identifies enforcement of Decree 100 on alcohol-related driving violations as a challenge for on-trade sales, with some consumers shifting drinking occasions towards home environments or arranging transport in advance.

There has since been a relevant regulatory change. Vietnam Government News reported that Decree 100/2019/ND-CP was abolished with effect from 15 May 2026. The same government report explained that the repeal did not end enforcement against drink-driving, as the regulatory framework had been revised through subsequent measures. Consequently, Decree 100 should be understood as part of the report’s earlier regulatory context rather than as a current decree.

Vietnam’s wider public-health framework also remains relevant. The National Assembly’s Law No. 44/2019/QH14 on the Prevention and Control of Harmful Effects of Alcoholic Beverages establishes measures concerning alcohol consumption, supply and the reduction of harmful effects. These regulations form part of the operating environment for producers, distributors and retailers.

Competition and Industry Structure

More than 10 companies are active in Vietnam’s alcoholic drinks sector, while the five largest collectively account for approximately 90% of the sector, according to the report. This indicates a concentrated competitive environment in which leading producers have a substantial presence.

The major companies identified include Anheuser-Busch InBev NV, San Miguel Corp, Oetker-Gruppe, Heineken NV and Thai Beverage PCL. Other companies named in the report include Carlsberg A/S, Hanoi Alcohol Beer & Beverages Corp (Habeco), Sapporo Holdings Ltd, Bitburger Braugruppe GmbH and Saigon Alcohol Beer & Beverages Corp (Sabeco).

Competition extends across established beer products, premium beverages, imported spirits and wine. Leading companies operate within a sector where brand recognition and distribution reach are important, while changing preferences create room for product differentiation. Investment in premium lagers and exposure to international beverage styles are among the developments shaping the competitive landscape.

Outlook Through 2032

Vietnam’s alcoholic drinks sector is projected to record continued growth through 2032, supported by beer demand, premiumisation and the expansion of contemporary retail. Beer is expected to retain its dominant position, while wine and cocktail culture contribute to a broader range of consumer choices.

Off-trade distribution is likely to remain important as supermarkets, convenience stores and e-commerce platforms develop alongside traditional neighbourhood retailers. At the same time, producers will need to operate within an evolving regulatory environment and respond to differences in consumer preferences across product categories and occasions.

Overall, the sector’s projected expansion reflects the combination of established beer consumption and gradual diversification. Premium products, imported beverages and changing retail channels are adding complexity to Vietnam’s alcoholic drinks landscape, while leading producers continue to hold a substantial share of industry activity.