Domestic tour operators are lowering prices across the board to stimulate demand.

Lower service prices.

With Da Nang beach tour packages starting from just 2.3 million VND, Ms. Nguyen Thi Phuong (a tourism service provider on Hang Bong Street, Hanoi) said that while these packages would cost around 3.5 million VND during the April 30th - May 1st holiday, her company has now reduced prices on many packages and tours to stimulate the market.

According to Ms. Phuong, in addition to preferential pricing policies, some tourism service providers are currently organizing many voucher giveaway programs to increase accessibility for domestic and international customers as economic and service sectors gradually recover.

“For example, with a beach vacation package costing 2.3 million VND, tourists will get to use services such as a newly built 3-star hotel located on My Khe beach (Da Nang), complimentary daily breakfast buffet, free use of the beachfront swimming pool... Lowering the prices of these packages and tours will have a significant impact on customer psychology. Many other companies are even willing to offer discounts of 10-30% for group tours and 5% for individual travelers,” Ms. Phuong informed.

Similarly, Mr. Pham Tuan Hung (an employee of a travel company in Duong Noi ward, Ha Dong district) also posted advertisements selling many travel packages with great discounts. Mr. Hung said that during the summer holidays, many customers tend to choose to buy packages, beach tours, and resort vacations at prices that are not too expensive and suit their income.

Currently, his company offers several outstanding travel packages that are popular with domestic customers, such as a 3-day, 2-night Ha Long Bay tour package starting from just 1.6 million VND. For this price, buyers will receive comprehensive services including hotel accommodation, buffet meals, and access to shared amenities on the cruise ship while sightseeing in Ha Long Bay.

Increase incentives to stimulate market demand.

Recent data from the General Statistics Office shows that in May 2023, the tourism industry served 12.5 million domestic tourists (including 8.3 million overnight stays). According to the General Statistics Office, in the past five months, revenue from accommodation and food services reached VND 268.3 trillion, an increase of 22.1%; and travel and tourism revenue reached VND 11.6 trillion, an increase of 89.4% compared to the same period last year, due to several public holidays in the month. Agoda, an online travel company, recently reported that among Asian destinations, Vietnam's domestic tourism market ranks only behind Japan and Thailand. Thus, Vietnam has moved up two places compared to 2019 – the period before the COVID-19 outbreak.

Regarding this issue, Mr. Nguyen Ngoc An - Deputy General Director of Vietluxtour Travel Company - analyzed that in 2023, not only the domestic market, but also many foreign tourism markets have been implementing stimulus programs to attract Vietnamese tourists. Therefore, in addition to the demand for domestic family vacations, overseas tours are also a priority choice for customers.

With many destinations like Thailand, Bali (Indonesia), and China competing to stimulate demand and offer discounts to attract Vietnamese tourists, domestic tourism will inevitably face competition without a specific strategy.

Mr. Nguyen Ngoc An also pointed out that, in order for domestic tourism to maintain its competitive edge, there needs to be closer cooperation between airlines, travel companies, and tourism service providers. The government also needs to support large-scale stimulus policies for the tourism industry.

Phuong Thao is an editor at Travellive magazine. She is passionate about traveling and enjoys capturing moments with her camera in every place she visits. Travel, art, and lifestyle are Phuong Thao's favorite writing topics.

Labor Newspaper