Lots of customers but still worried about loss
Ms. Nguyen Thi Huong (manager at Hanoi House Tourism & Hotel) said that during the hot summer season, the number of international tourists coming to Vietnam for tourism usually concentrates around September every year.
Since reopening, Hanoi House Tourism & Hotel is currently focusing on welcoming domestic guests during long holidays, with the remaining few being transient guests.
Ms. Nguyen Thi Huong shared: “The increase in gasoline prices has caused the input costs of many accompanying services to fluctuate continuously. Most businesses often sell travel combos at pre-set prices, so when costs increase, it will be very difficult to adjust.
The Covid-19 pandemic has "frozen" the tourism industry for nearly 3 years. When businesses were gradually recovering, they encountered difficulties because service prices increased simultaneously.
Ms. Doan Thi Thanh Tra, Marketing and Communications Director (Saigontourist Travel Service Company) also said that the company is expected to serve more than 280,000 visitors in the summer of 2022. This number may be higher because the market demand for domestic and international tourism is still increasing strongly.
Bay Mau Coconut Forest Hoi An
In particular, according to Ms. Doan Thi Thanh Tra, for package tours that have been finalized, the tour price will not change. However, for new tour services departing from October onwards or customers booking individual tours, many problems are arising and prices must be recalculated because other services in the supply chain such as transportation, restaurants, and accommodation have increased by 10-30%.
Need suitable solution
Many tourism and travel businesses believe that, with signed tours (package tours), if the unit does not charge additional costs, it will be forced to cover the loss in operating costs.
In case businesses suddenly increase service prices, it will also affect customer psychology and the number of tourists wishing to travel during the summer holidays will decrease sharply.
In the context of “difficulties on top of difficulties”, most businesses expect the State to extend the policy of restructuring bank loans, maintain stable interest rates, and quickly implement the interest rate support package as soon as possible. At the same time, promptly remove obstacles related to visas, international tourists, etc., to attract tourists to come quickly and in greater numbers.
Dr. Bui Duy Tung - Lecturer of Economics at RMIT University has just proposed solutions for management agencies, people and businesses in the context of record high gasoline prices.
According to Dr. Bui Duy Tung, the management agency should have measures to cool down gasoline prices with temporary solutions such as reducing taxes (environmental protection tax, special consumption tax). In particular, gasoline subsidies should not be applied because this is not an optimal solution, and unnecessary expenses should be reduced to balance the budget.
“Businesses also need to control spending and have flexible pricing policies. They need to consider focusing on products with high profit margins during inflationary periods. They should use cheaper input materials instead and businesses should also avoid borrowing and spreading investments.
On the people's side, it is necessary to plan spending clearly and only spend on truly necessary purposes.
Besides, you need to protect your assets and money to overcome the inflation period. Avoid spreading investments as well as avoid borrowing because it will increase the pressure and burden of debt repayment" - Dr. Bui Duy Tung added.
