Consumers were recently taken by surprise as The Coffee House chain abruptly closed its outlets in Can Tho City after more than five years of operation.
It’s not just in Can Tho; the chain also plans to shut down all its stores in Danang after over seven years of business. Additionally, several branches in Hanoi and Ho Chi Minh City have quietly exited the market.
In a conversation with the Laborer Newspaper on August 8, a representative from The Coffee House confirmed the closure of their Can Tho stores and upcoming closures in Danang.
“In the current context, optimizing costs to improve operational efficiency has become a priority. This decision aims to adapt to changing conditions and ensure the profitability of the entire system. As for our stores in Ho Chi Minh City and Hanoi, we open and close them based on business performance and contracts with landlords, maintaining a consistent number of 58 outlets,” the representative explained.
Beverage-enjoying space. Source: The Coffee House
As of July 31, 2024, The Coffee House boasted 117 stores nationwide, with its delivery app catering to nearly 1.8 million regular users.
Mr. Truong Minh Dang, manager of a beverage store in Ho Chi Minh City, shared that he wasn’t shocked by The Coffee House’s branch closures. “The F&B industry is increasingly competitive, with rising costs for rentals and personnel, while customer numbers remain stable, and prices can’t increase much. This could be a new strategy for The Coffee House,” he remarked.
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