The Ultimate Mid-Autumn Festival Delights: The ‘Mooncake War’ Begins

This Mid-Autumn Festival, brands are pulling out all the stops to cater to consumers’ tastes and preferences. With the economy still facing challenges, businesses are paying close attention to affordable mooncake options as consumers remain cautious with their spending.

Big Brands Offer Affordable Mooncakes

A well-known brand, KIDO, has surprised the market by introducing mooncakes under their nearly 40-year-old brand, Tho Phat. Tho Phat, now part of the KIDO family, has officially entered the mooncake market, offering traditional mooncakes at affordable prices.

Tho Phat mooncakes are now available through both traditional and modern distribution channels, including their existing bao outlets, e-commerce platforms, and shopping malls.

As of August 8, Tho Phat mooncakes were priced at VND 50,000-72,000/cake after discounts on e-commerce platforms. These mooncakes feature traditional flavors such as mung bean, taro, coconut milk, lotus seed, and assorted fillings.

By bringing Tho Phat into the mooncake business, KIDO aims to lead the traditional segment and become the second-largest mooncake brand in Vietnam. This year, KIDO’s Bakery is focusing on premium products to meet the demand for luxurious gifts.

Mr. Tran Le Nguyen, CEO of KIDO Group, shared that the company conducted extensive customer surveys before the 2024 season, targeting multiple generations. 50% of respondents expressed their preference for traditional mooncakes, citing nostalgic reasons and family gatherings. The remaining 50% favored modern mooncakes introduced by foreign companies. As a result, KIDO decided to cater to both preferences.

However, KIDO has not set any revenue targets for this Mid-Autumn Festival, believing that their two brands will achieve significant breakthroughs.

At the 2024 Annual General Meeting of Shareholders, when asked about the prospects of the mooncake industry and KIDO’s business plans for the 2024 Mid-Autumn Festival, Mr. Mai Xuan Tram, CEO of Kido Foods, acknowledged that the mooncake business had made the company a household name.

However, he noted that the industry has deviated from its cultural and traditional roots. While KIDO remains committed to investing in this sector, they will take a new approach to meet the changing consumption habits. He emphasized that 2024 will be a year of significant changes for this product category.

Meanwhile, Orion recognizes that the 2024 Mid-Autumn Festival is a challenging time for the Vietnamese economy and consumers. Therefore, their mooncake offerings focus on meeting the needs of the majority of families at affordable prices.

Their product line, launched in early August, targets the affordable segment, providing basic options. Prices remain unchanged from the 2023 Mid-Autumn Festival, ranging from VND 60,000 to 77,000/cake (150gr) for ten traditional flavors, including assorted fillings, lotus seed, and mung bean, as well as various soft cakes.

In reality, the 2024 Mid-Autumn Festival marks only the second year of Orion’s entry into the mooncake market.

Central Retail Vietnam is also offering affordable mooncakes at their GO! and Big C supermarkets, with prices ranging from VND 29,000 to 99,000/cake for 19 varieties.

In addition to reasonable prices, Central Retail Vietnam offers various promotions to make gift-giving more accessible. They offer discounts and fixed prices of VND 55,000 and 65,000/cake for their private-label fresh cakes produced daily. The more customers buy, the bigger the discount.

Ms. Nguyen Thi Bich Van, Director of Communications at Central Retail Vietnam, shared that their mooncake lines’ novelty, in addition to affordability, is a 30% reduction in sugar content compared to last year. They also minimize preservatives and encourage consumers to opt for fresh cakes produced daily.

Premium Mooncakes: How Much Do They Cost?

While not sold at seasonal stalls, mooncakes from hotels and restaurants bearing 4- and 5-star brands have their loyal customers who value them for gifting purposes. These premium brands are also competing to attract customers.

Mr. Nguyen Quoc Huy, co-founder of Tai Thong Bakery, an imported mooncake brand, introduced their Timeless Beauty collection this year. It features six gift options and 14 flavors of multi-layered cakes, with prices ranging from VND 800,000 to 1.6 million/box of four.

Sheraton Saigon Grand Opera Hotel has launched a luxurious mooncake collection, with prices ranging from nearly VND 1.5 million to nearly VND 3 million, depending on the box version.

The Reverie Saigon, a well-known hotel in Ho Chi Minh City, introduced their Mid-Autumn Festival gifts as early as July, with prices ranging from nearly VND 1.4 million to approximately VND 2.5 million.

Brodard, another popular brand in Ho Chi Minh City, offers various gift options such as “Hương sắc bốn mùa” (Four Seasons’ Fragrance), “Dạ nguyệt đoàn viên” (Reunion under the Moon), and “Non sông gấm vóc” (Vibrant Country), with prices starting at over VND 1.5 million and going up to VND 6.6 million/box.

According to observations, premium mooncake brands have slightly increased their prices compared to last year. ABC’s 2024 price list shows increases of VND 8,000 to 10,000 for the same weight and filling compared to 2023.

For example, the durian-filled cake (250gr) was VND 178,000 last year, and this year it is VND 186,000/cake; the chicken and fish maw-filled cake (250gr) increased from VND 240,000/cake last year to VND 252,000/cake this year; and the dragon fruit, cream cheese, and almond-filled cake (250gr) rose from VND 202,000/cake to VND 212,000/cake.

At Brodard, individual cakes range from VND 170,000 to 400,000/cake, depending on the filling and weight. Tai Thong’s individual cakes are also priced from VND 190,000 to 230,000.

Ms. Thuy Phuong, a premium mooncake maker who takes custom orders for gift mooncakes, shared that setting the right price for mooncakes is challenging. Sometimes, the box’s value exceeds the cakes’ due to the emphasis on gift-giving. Her cakes, tailored to customer requests, typically start at VND 155,000/cake for 150-200gr.