Asian Restaurant: Customer Segmentation

This article was written by our expert who is surveying the industry and constantly updating the business plan for an Asian restaurant.

Who wrote this content?

The Dojo Business Team

A team of financial experts, consultants, and writers

We're a team of finance experts, consultants, market analysts, and specialized writers dedicated to helping new entrepreneurs launch their businesses. We help you avoid costly mistakes by providing detailed business plans, accurate market studies, and reliable financial forecasts to maximize your chances of success from day one—especially in the Asian restaurant market.

Who are your main customer segments and how do they differ by age, income, and household size?

Asian restaurants serve twelve distinct customer segments, each with different demographic profiles and dining motivations.

Millennials and Gen Z (ages 18-40) typically have moderate to high incomes and live in small households of 1-2 people. They seek trendy, shareable, and fusion dishes that provide Instagram-worthy moments and unique dining experiences. This segment is highly digitally engaged and influences others through social media and online reviews.

Families represent a significant segment, with primary decision-makers aged 30-55, moderate incomes, and households of 3-5 people. They prefer banquet-style dining environments that can accommodate children and offer variety across different taste preferences. Weekend dinners and special celebrations drive their visits, and they frequently use takeout services for convenience during busy weekdays.

Corporate clients, typically aged 25-55 with higher incomes, drive weekday lunch traffic and business meal occasions. This segment includes both small households and mid-to-large family sizes. They have higher spending patterns and prioritize service quality, business-appropriate ambiance, and efficient meal times that fit within work schedules.

Health-oriented customers span all age groups but trend younger, with moderate to high incomes. They specifically seek plant-based options, customizable menus, and nutritious dishes. About 50% of restaurant customers now actively look for vegetarian and vegan options, making this a growing segment for Asian restaurants that can offer authentic yet health-conscious preparations.

What percentage of your customers will be repeat visitors versus first-time diners?

Repeat customers generate 65-80% of revenue for Asian restaurants, while first-time diners account for only 20-30% of total sales.

The repeat customer rate varies significantly by restaurant format and service style. Quick-service Asian restaurants achieve the highest repeat rates, with up to 71% of their sales coming from returning customers. This is because these establishments focus on consistency, speed, and value—factors that encourage frequent visits from nearby workers and residents.

More upscale Asian restaurants typically see lower repeat percentages because they position themselves as destination or special-occasion venues rather than everyday dining options. However, these establishments compensate with higher average spend per visit and can build loyal followings among expatriate communities and cuisine enthusiasts who value authenticity.

Without active engagement strategies, 70% of first-time restaurant visitors never return after their initial visit. This makes customer retention programs essential for Asian restaurant profitability. Loyalty programs can increase both visit frequency and spending—participants typically spend about 20% more per visit compared to non-members and visit more frequently throughout the year.

You'll find detailed market insights in our Asian restaurant business plan, updated every quarter.

Which dining occasions drive the most traffic and revenue for each customer segment?

How do dine-in, takeout, and delivery preferences differ across your customer segments?

Customer segments show distinct preferences for dining formats, with Millennials, Gen Z, and busy families increasingly choosing takeout and delivery options.

Off-premise dining (takeout and delivery combined) now accounts for up to 82% of growth for many Asian restaurant operators in major cities. Young professionals aged 25-40 drive this trend, using food delivery apps as their primary method of ordering. They value convenience, speed, and the ability to enjoy restaurant-quality Asian food at home or at work without the time commitment of dining in.

Corporate clients, expatriate communities, and special occasion groups continue to drive dine-in revenue because their dining motivations center on experience, ambiance, and social interaction. Business meals require face-to-face interaction, while celebration groups value the full-service experience, tableside preparations, and restaurant atmosphere that cannot be replicated through delivery.

Families split their behavior between both channels depending on the occasion. Weekend dinners and celebrations bring families to the restaurant for the full dining experience, while busy weeknight dinners see the same families ordering takeout or delivery for convenience. This dual behavior makes families particularly valuable—they contribute to both revenue streams throughout the week.

Revenue share varies by location and restaurant positioning, but dine-in typically generates higher per-customer spending due to beverage sales, appetizers, and desserts that customers are less likely to order for delivery. However, the volume and frequency advantages of delivery can offset lower per-order values, especially when restaurants optimize their off-premise operations and menu offerings for delivery.

What role do cuisine type, menu variety, and dietary preferences play in attracting customers?

Cuisine type is the primary decision factor, with Chinese cuisine leading at 35% of Asian restaurant sales, followed by Japanese at 22%, Indian at 18%, Thai at 10%, Korean at 8%, and Southeast Asian cuisines at 7%.

These percentages reflect both customer familiarity and the established presence of each cuisine type in the market. Chinese and Japanese cuisines benefit from decades of market presence and broad appeal across different customer segments. However, Korean and Southeast Asian cuisines are experiencing the fastest growth rates as younger customers seek new flavor experiences and authentic preparations.

Menu variety significantly expands your potential customer base by accommodating different dietary needs and preferences. About 50% of restaurant customers now actively seek plant-based dish options, making vegetarian and vegan menu items essential rather than optional. Health-oriented customers specifically look for Asian restaurants that offer these options prepared authentically rather than as afterthoughts.

Dietary accommodations for halal, gluten-free, and allergen-friendly preparations also influence customer choice, particularly among specific demographic groups. Muslim customers seek halal-certified Asian restaurants or establishments that clearly mark halal options. Gluten-free accommodations attract health-conscious diners and those with celiac disease, who often struggle to find suitable options at traditional Asian restaurants that rely heavily on soy sauce and wheat-based ingredients.

Customization capability matters increasingly to Millennials and Gen Z customers who want to personalize their orders for taste preferences, spice levels, and dietary restrictions. Restaurants that offer flexible preparation methods and transparent ingredient information gain competitive advantage with these segments.

What is the average spend per visit across different customer segments?

Average spending varies significantly across customer segments, with special occasion groups and corporate clients spending the most per visit.

Casual diners—typically solo visitors or pairs seeking quick meals—represent the lowest spend per visit category. Their orders usually consist of individual entrees with rice, and they rarely order multiple courses, appetizers, or premium beverages. This segment prioritizes value and portion size over premium ingredients or extensive variety.

Families generate higher average spends due to larger group sizes and the need to satisfy multiple preferences within one meal. A typical family visit includes multiple entrees, shared appetizers, beverages for each member, and sometimes desserts. While their per-person spend may be moderate, the total ticket size makes families valuable customers when they choose dine-in experiences.

Business customers show the highest per-person spending because corporate meal occasions often include premium menu selections, alcoholic beverages, and multiple courses. Business lunches typically involve 2-4 people but generate similar total revenue to larger family groups due to premium selections and higher beverage spending.

Loyalty program participants spend approximately 20% more per visit compared to non-members across all segments. This increase comes from more frequent visits, higher order values, and reduced price sensitivity when exclusive rewards offset menu prices.

This is one of the strategies explained in our Asian restaurant business plan.

Which digital behaviors most influence different customer types when choosing your restaurant?

Online reviews, food delivery apps, and social media engagement drive customer acquisition differently across segments, with Millennials and Gen Z being most digitally influenced.

Younger customers (ages 18-40) discover new Asian restaurants primarily through Instagram, TikTok, and food delivery app recommendations. They actively search for visually appealing dishes, unique presentations, and authentic cultural experiences that they can share with their social networks. A single viral post showcasing a signature dish or unique dining experience can drive significant traffic from this segment.

Online reviews on platforms like Google, Yelp, and TripAdvisor influence all customer segments but particularly affect first-time visitors who lack personal recommendations. Reviews mentioning specific strengths—authentic flavors, accommodating service, generous portions, or clean facilities—help potential customers assess whether your restaurant matches their expectations before visiting.

Food delivery apps serve dual purposes: they function as both ordering platforms and discovery tools. Customers browsing delivery apps often choose restaurants based on ratings, photos, estimated delivery time, and promotional offers. Strong performance on these platforms—maintaining ratings above 4.5 stars, high-quality food photography, and accurate menu descriptions—directly impacts order volume.

Loyalty apps increase visit frequency by approximately 20% among users who download and actively engage with them. Digital loyalty programs outperform traditional punch cards because they provide personalized offers, simplified reward tracking, and direct communication channels for promotions. About 75% of consumers prefer brands offering digital loyalty rewards over those without such programs.

Corporate clients and older demographics rely more on word-of-mouth recommendations and established reputation rather than social media discovery, though they still consult online reviews before trying new restaurants for business purposes.

How price-sensitive are your key customer segments?

Price sensitivity varies dramatically across customer segments, with quick-service seekers and casual diners showing the highest sensitivity to pricing changes.

Value-driven customers actively compare menu prices across competing Asian restaurants and respond strongly to promotions, discounts, and special offers. This segment becomes significantly more loyal when restaurants implement structured loyalty programs that provide tangible benefits—57% of customers report they would spend more at restaurants offering relevant loyalty rewards.

Promotions influence visit frequency most effectively among price-sensitive segments. Limited-time offers, weekday lunch specials, and happy hour promotions can drive incremental traffic during slower periods. However, heavy discounting can train customers to wait for deals rather than paying full price, so strategic promotion timing matters more than discount depth.

Premium and special occasion segments demonstrate low price sensitivity because they prioritize quality, experience, and ambiance over cost considerations. These customers willingly pay higher prices for authentic preparations, premium ingredients, skilled service, and memorable dining environments. Corporate clients particularly show minimal price resistance when restaurants meet their service and quality expectations.

Families occupy a middle position—they're moderately price-conscious but will pay more for restaurants that provide genuine value through generous portions, variety, and family-friendly service. They respond well to family meal bundles and kids-eat-free promotions that reduce overall spending without compromising perceived value.

Health-oriented customers and expatriate communities also show lower price sensitivity when restaurants deliver on their specific needs—authentic preparations for expatriates, and high-quality, health-conscious options for wellness-focused diners.

What geographic patterns affect where your customers come from and how often they visit?

Urban locations near office buildings and business districts attract weekday professionals who drive lunch traffic and after-work dining occasions.

Restaurants located within 10-15 minutes walking distance from major office complexes capture regular weekday lunch business from corporate clients and local workers. These customers prioritize convenience and speed, creating predictable daily traffic patterns. The same locations often see reduced weekend traffic unless situated in mixed-use districts with residential populations nearby.

Suburban locations favor family traffic and special occasion dining, particularly for dinner service and weekend meals. Families are willing to drive 15-25 minutes for restaurants that offer appropriate ambiance, variety, and family-friendly service. Suburban Asian restaurants often build loyal local followings within their immediate residential communities.

Takeout and delivery traffic patterns differ significantly from dine-in patterns. Delivery orders come predominantly from residential areas and mixed-use districts within 15-20 minute delivery zones. Customers ordering delivery typically live within 2-3 miles of the restaurant location, making delivery radius optimization crucial for off-premise success.

Tourist and entertainment districts attract different customer types—cultural explorers, special occasion groups, and adventurous eaters—who may travel significant distances for authentic or unique dining experiences. These locations depend less on regular repeat traffic and more on steady flow of new customers seeking destination dining experiences.

Ethnic neighborhoods with established Asian communities support restaurants serving authentic cuisine to expatriate populations. These locations benefit from built-in customer bases who visit frequently for familiar flavors and cultural connection, though they may face higher expectations regarding authenticity and traditional preparations.

Which cultural and lifestyle trends are driving demand among your primary customer segments?

• Health-conscious eating drives increasing demand for plant-based and nutritious Asian dishes. Younger customers particularly seek restaurants offering abundant vegetable-forward options, lean proteins, and dishes emphasizing fresh ingredients over heavy sauces. Asian cuisines naturally align with health trends through vegetable-rich preparations, fermented foods, and cooking methods like steaming and stir-frying that preserve nutrients.
• Authenticity seeking motivates customers to find genuine cultural experiences beyond Americanized versions of Asian dishes. This trend benefits restaurants that showcase traditional recipes, cooking techniques, and cultural context through menu descriptions, chef backgrounds, and authentic dining environments. Customers increasingly research cuisine origins and value establishments demonstrating cultural knowledge and respect.
• Experience-driven dining shifts customer priorities from just food quality to comprehensive sensory and cultural experiences. Millennials and Gen Z particularly seek dining as entertainment—open kitchens, tableside preparations, interactive elements, and Instagram-worthy presentations enhance perceived value and encourage social sharing that drives new customer acquisition.
• Sustainability consciousness influences restaurant choice among educated, higher-income segments. Customers increasingly consider sustainable sourcing, minimal food waste, reduced plastic packaging, and ethical supply chains when selecting restaurants. Asian restaurants highlighting sustainable seafood, locally sourced produce, and eco-friendly practices gain favor with these values-aligned customers.
• Global flavor exploration creates opportunities for lesser-known Asian regional cuisines. Korean, Vietnamese, Filipino, and regional Chinese cuisines experience growing popularity as customers exhaust mainstream options and seek novel taste experiences. Food media, travel shows, and social media exposure drive curiosity about authentic preparations from specific regions.
• Convenience requirements push demand for seamless ordering, quick service, and reliable delivery. Time-pressed customers prioritize restaurants offering multiple convenient access points—mobile ordering, curbside pickup, efficient dine-in service, and dependable delivery—making operational efficiency increasingly important for customer satisfaction across all segments.

We cover this exact topic in the Asian restaurant business plan.

What is the market size and growth potential for each customer segment in your local area?

The global Asian cuisine market reached USD 51.81 billion in 2025 and is projected to grow at 5-7% compound annual growth rate through 2034.

Health-focused and plant-based segments show the strongest growth trajectories, expanding faster than overall market rates. About 50% of restaurant customers now actively seek vegetarian and vegan options, creating substantial opportunity for Asian restaurants that authentically incorporate plant-based dishes rather than treating them as afterthoughts. This segment includes both dedicated vegetarians/vegans and flexitarians who regularly choose plant-based meals for health or environmental reasons.

Digitally-engaged younger segments (Millennials and Gen Z) represent significant growth potential because they dine out more frequently than older generations, embrace food delivery services, and influence peers through social media sharing. Urban markets with high concentrations of these demographics show particularly strong growth prospects, especially for restaurants optimized for both dine-in experiences and off-premise consumption.

Corporate and business dining segments remain stable in established business districts but grow in emerging office clusters and mixed-use developments. The shift toward hybrid work arrangements affects weekday lunch traffic patterns, with some locations seeing reduced corporate traffic while others near residential areas gain new remote workers seeking lunch options.

Family dining segments grow in suburban areas with expanding residential development, particularly in communities with young families (households with children under 18). These areas support restaurants offering family-friendly environments, varied menus accommodating different ages, and convenient takeout options for busy weeknight meals.

Expatriate and cultural communities represent stable, loyal segment potential in areas with established Asian populations. Market size depends on local demographics, but these communities provide consistent demand for authentic preparations and can anchor a restaurant's base business while it attracts broader customer segments.

How do your competitors segment their customers and what opportunities exist?

Most Asian restaurant competitors segment customers along basic lines—cuisine type preferences and general demographics—but under-leverage more sophisticated targeting opportunities.

Competitors typically focus on cuisine-specific positioning (exclusively Chinese, Thai, or Japanese) rather than creating cross-cultural fusion concepts or comprehensive Pan-Asian offerings. This creates opportunity for restaurants that thoughtfully combine complementary Asian cuisines, offering customers variety while maintaining quality and authenticity. Successful Pan-Asian concepts appeal to groups with diverse preferences and position themselves as destination restaurants rather than cuisine-specific options.

Plant-based and dietary-inclusive positioning remains underutilized by most Asian restaurants despite strong customer demand. Many establishments offer minimal vegetarian options or fail to clearly communicate vegan, gluten-free, or allergen-friendly preparations. Restaurants that prominently feature and market these options can capture health-oriented and dietary-restricted segments that competitors overlook.

Experience-driven positioning focused on cultural immersion and authentic atmospheres differentiates restaurants in crowded markets. Most competitors emphasize food quality and service but miss opportunities to create memorable dining experiences through traditional decor, cultural education, chef interactions, and distinctive service rituals. Special occasion and cultural explorer segments particularly value these elements and will travel further for authentic experiences.

Digital-native restaurant concepts optimized specifically for delivery and takeout represent emerging competitive opportunities. While many restaurants add delivery as an afterthought, purpose-built concepts design menus, packaging, and operations around off-premise consumption, capturing growing delivery demand more effectively than traditional dine-in-focused competitors.

Loyalty-driven segmentation and retention programs remain poorly executed across the Asian restaurant category. Most competitors lack sophisticated customer relationship management, missing opportunities to increase visit frequency, spending, and lifetime value through personalized offers, tiered rewards, and targeted communications that 75% of customers prefer and respond to positively.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are encouraged to consult with a qualified professional before making any investment decisions. We accept no liability for any actions taken based on the information provided.

Sources

1. Dojo Business - Asian Restaurant Customer Segments
2. Restroworks - Asian Restaurants Statistics
3. Restroworks - Customer Retention Statistics Restaurants
4. Exploding Topics - Customer Retention Rates
5. National Restaurant Association - State of the Industry 2025
6. CBC Metro Brokers - Restaurant Industry Trends 2025
7. Business Research Insights - Asian Cuisine Market
8. Thaifex Horec - Restaurant Industry Trends 2025