Revitalising Nui Ngu hotpot restaurant: 25% YOY Profit Growth through Smart Strategy & Localised Marketing
- Jenn Duong
- Sep 1
- 3 min read
Updated: Sep 4
Situation
Lẩu Dê Núi Ngự, a family-run hotpot and grill restaurant located in District 7, Ho Chi Minh City, has been serving its dedicated patrons since 2006. In 2023, as Vietnam's F&B market began to rebound after COVID, new competitors emerged, offering more affordable draft beer and food of comparable quality. This resulted in a 20% decrease in revenue over two consecutive months, with the average weekly transaction volume dropping to 600–650 bills per week.
Key challenges included:
Lack of a digital management system; manual record-keeping made cost control difficult
Absence of promotional or loyalty programs
No online presence; relied exclusively on word-of-mouth
An outdated menu with no recent innovations
Low awareness of value-added services like VIP air-conditioned rooms
Task
Recover lost revenue and increase profit by 20%, while re-establishing competitive positioning against new entrants. This required attracting new customers, increasing foot traffic, and improving cost efficiency without significantly raising operating expenses.
Action
Operational Efficiency
Implemented a digital tracking system for orders, expenses, and inventory, improving cost control
Recalculated COGS for all dishes and introduced discounted combo sets to boost order value and profitability
Marketing & Promotion
Launched online communications and collaborated with local KOLs and food reviewers to attract new audiences
Created a Zalo CRM channel to stay connected with regulars and share promotions
Ran highly targeted ads with a lean budget (1.5–2% of monthly revenue), generating an ROI of 5:1 to 10:1
Product & Experience Innovation
Introduced the “Vị Dê Tây Bắc” menu, inspired by the local demographic of Northern Vietnamese residents and the rising popularity of regional cuisine (2022–2023)
Promoted the VIP air-conditioned room as a karaoke alternative with lower costs than typical karaoke venues
Installed an 80-inch LED TV in the garden area to attract sports fans
Customer-Centric Services
Partnered with BE ride-hailing to offer round-trip vouchers in response to stricter drink-driving laws
Provided overnight parking to encourage responsible drinking
Result
Within 3 months (July–September 2023):
Weekly transactions increased from 600–650 to ~750 bills/week (+20–25%)
Family-group customer segment grew by ~10%
Google Maps searches for “Lẩu Dê Núi Ngự” increased by 20%
Grab delivery orders rose by 30%
Marketing spend of ~30M VND/month generated an additional 150–300M VND in revenue (ROI 5:1–10:1)
Long-term impact (by June 2025):
Profit grew 25% YOY compared to June 2024
VIP room usage and combo meal sales increased significantly due to targeted promotions
Conclusion
The success of Lẩu Dê Núi Ngự highlights a crucial truth for SME brands entering Vietnam: market entry requires deep localisation, lean execution, and a sharp understanding of local consumer behaviour.
Winning in Vietnam’s competitive dining scene is not only about good food — it’s about building authentic local connections:
Leverage locally dominant communication channels such as Zalo CRM to maintain direct relationships with customers
Partner with trusted local KOLs and reviewers who hold genuine influence over target segments
Tailor products to regional taste preferences to stand out from competitors.
Adapt quickly to local regulations and cultural habits, turning them into opportunities from drink-driving laws to sports-viewing culture
By combining strategic cost control with culturally relevant marketing, even long-standing family businesses can reclaim growth and outperform better-funded newcomers. For international entrants, this case proves that localized GTM strategies, executed with precision and empathy, can deliver sustainable impact in the Vietnamese F&B market.
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