Soaring airfares: Tourism in Central Vietnam is bleak.

10/05/2024

The high airfare prices have led to a very bleak outlook for many segments of the tourism industry, especially for tourists visiting Central Vietnam.

According to a report from the Binh Thuan Department of Tourism, unlike previous years, this year's tourist market is predominantly from the South and neighboring provinces, especially Ho Chi Minh City. Besides corporate and organizational groups, small groups and families traveling by private vehicle remain the dominant force.

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Although there was a significant number of individual tourists, the lack of group tours and demand from the Northern market meant that the number of visitors to the South Central region, in particular, did not meet the expectations of travel agencies.

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The number of tourists visiting Central Vietnam has decreased significantly recently.

The number of tourists visiting Central Vietnam has decreased significantly recently, especially domestic tourists traveling by air. The main reason is believed to be the high cost of airfare, making it more inaccessible for tourists. This has negatively impacted the revenue of travel businesses, with many experiencing sluggish sales. Some businesses have even had to cut staff and close branches to survive.

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The most expensive tickets are for flights from Hanoi to Phu Quoc, averaging 7.5-8 million VND per round-trip ticket. Even the outbound flight on Vietnam Airlines is currently showing business class fares exceeding 13 million VND.

Given the sharp increase in airfare during holidays, many people choose to travel before or after these periods. Some even opt for overseas trips when tour prices are reasonable.

During the recent April 30th - May 1st holiday, Da Nang still attracted a large number of visitors. According to a report by the National Tourism Administration, the number of visitors increased by 11.6% compared to the same period in 2023 (including approximately 72,000 international visitors, more than double the number in the same period of 2023); the average occupancy rate of 4-5 star tourist accommodation reached 70%; and for 3-star and below, it reached 45%. Total revenue from tourism reached approximately 3,360 billion VND, an increase of 12.7% compared to the same period in 2023.

However, according to feedback from many restaurant and hotel businesses, especially 4- and 5-star hotels in Da Nang, the overall situation is "very quiet".

Khanh Linh - Source: Compilation
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