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Australia and New Zealand- Booming Market For Vietnam Tourism

Southeast Asian countries enjoy an unparalleled tourism opportunity to benefit the enthusiastic travelers from Asia-Pacific countries. Vietnam tourism industry has also recognized this potential and extended its facilities and opportunities to far and beyond for its overall progress. The burgeoning growth in infrastructural development and business opportunities in Vietnam have allowed potential visitors and investors to focus on this nation as a key market. Travel and tourism often invite prospective future relationships that benefit the overall economy of the country leading to job opportunities, sustainable industrial development while supporting local economies.

tourists in hoi an vietnamVietnam tourism has redefined to involve every aspect of the visitor economy.  Vietnam is the second most preferred destination in Southeast Asia after Thailand for Australians and New Zealanders. The increased number of flights in the recent years and the new launch of low-cost flights between Vietnam and Oceania countries clearly reflect the market trends and demands. In 2016, New Zealand launched direct flight to Vietnam to meet the seasonal surge. The increased rate of outbound tourism from these two Oceania countries is providing a great positive impact on Vietnam tourism. As per the recent IMF World Economic Outlook, the growth of the increased number of visitors from Australia and New Zealand to Southeast Asia is likely to continue as the GDP growth is quite strong in 2017 for Southeast Asian countries like Vietnam, Thailand, Indonesia, Malaysia, and the Philippines.

Why Australia – New Zealand Market Is A Potential Target For Vietnam Tourism?

The statistical reports reflect and forecast a positive signal for the Vietnam tourism industry. Australian forecasts show an upward indication of both inbound and outbound tourism. However, for the travel operators and the entire hospitality industry, it is very important to analyze and comprehend this market trend to ensure a sustainable development and perpetual contribution towards the overall economy and GDP of Vietnam.

Geographical Position

extensive coastline danang vietnamOwing to close geographical proximity, Southeast Asia has always been a preferred international destination for holiday-makers from Australia and New Zealand.  So, Vietnam is not alone in this market to enjoy this travel trend and growth and needs to compete and outpace its neighboring countries for an overall enrichment of the nation. However, the extreme east position of Vietnam along the South China Sea offers it with an extensive coastline with pristine beaches. Based on surveys and reports, Australians love to travel and mostly prefer beach holidays. Vietnam here enjoys a top preference among many other Southeast Asian countries to welcome the Australian beach lovers.

Political Situation

Although Australians were more prone towards domestic holidays, however, after 1990 with the burgeoning economic condition of the nation, the trend of international holidays for Australians increased a lot with Europe as the primary destination. But the surveys and statistics for the past decade show that Asia has taken over European destinations in the travel wishlist of Australians and New Zealanders, mainly because of political agitation. Year over year data collected in April 2017 shows that Australians went for 8.6 million trips in 2015-16 which is an increase of 4.2% from the previous period. Since 2000, the number of visitors from Oceania countries in Vietnam has soared up significantly with a small dip in 2009 only. The political turmoils and civil conflicts in many Asian countries have restricted the Australians from traveling to those countries, for years and till date, the tourism figures from Oceania countries in those nations remain far low. Unlike the western world, Oceania tourists generally avoid destinations with natural disasters and civil disturbances and the effect remains long lasting. This has provided an added advantage to Vietnam to welcome the tourists to its peaceful land of charming heritage and luxurious natural landscape.

Business Opportunities

Vietnam is the third fastest growing economy in Asia after India and Bhutan with an expected growth of 7.1% of GDP in 2018 and 6.8% in 2019. With its emerging business prospects and opportunities, Vietnam has experienced a big shift in its number of foreign visitors each year, many of whom are either business or bleisure travelers. The more the business opportunities, the more bleisure travelers can be served, and MICE services can be provided by the Vietnam tourism industry.

Read more about How Luxury Travel Can Reach Bleisure Travel Customers

Australian Travel Trends

vietnam tourism hospitalityRoy Morgan Research recently released their report based on the data collected from 777,000 overseas Australian travelers. The CEO of Roy Morgan Research, Michele Levine stated that the report clearly shows the multiple destination travel trend of the Australians as per their last holiday statistics and whoever opted for more than one destination looked for active and engaging experiences. He continued, “The overwhelming majority of these travelers (85%) were keen to immerse themselves in the local culture, happy to spend a substantial amount on accommodation ($215 per person, per night) and wanted to stay abroad for an extended period of time (32 nights on average).” Many travelers wanted to experience local life but the preference to be on a luxury cruise during the holidays is six times higher than the previous year and enjoying stays at five-star accommodations is three times higher.


Southeast Asia is the most preferred international holiday destination for Australia, New Zealand, and the Western World travelers because of currency valuation. Compared to the rest of the world, Southeast Asian currencies are relatively cheaper and so 5-star luxury holidays are often enjoyed within their pocket-friendly budget. As of 2017, international travel spent of Australians rose 5.8% to $52.5 billion. This resulted in the average spend increasing to $6,117 per trip, up $93 per trip.

Development in Hospitality Industry of Vietnam

Vietnam is developing its hospitality sector at a faster rate in an international standard as per the market drift and forecasts to compete with other Southeast Asian countries. Focusing more on tailor-made luxury holidays as per the industry needs, Vietnam has ornated itself with the boutique concept alongside the super-luxury 5-star facilities in all possible disciplines of hospitality and travel industry. Boutique hotels and resorts are now at par with any 5-star hotels and sometimes outsmart the latter in terms of winning the hearts of the guests through their personalized services, warm traditional hospitality, and unique location. For example, Mariott Phu Quoc is a perfect boutique-styled resort in Phu Quoc that pampers the guests in all ways from beach luxury to the romantic oasis and welcomes the guests to its secluded world of allure and magnificence. Heritage Cruises is the first boutique styled 4-star cruise on the Red River that sets its voyage through more than a century old history, legacy, culture, and expeditions, to let the travelers get soaked in the nostalgic atmosphere of classic boutique Heritage Cruises where art meets heritage and nature flaunts its luxury.

Heritage Cruise in Gulf of TonkinThese kind of new developments in Vietnam hospitality industry are adding an impressive boost to the travel industry as the latter is making an extra effort to allow the guests to get immersed in newly introduced and innovative experiences. The recent demand for chartered flights has helped in increasing the services in and out of Vietnam. The cruise operators are introducing new destinations in the Gulf of Tonkin to offer behind the scene beauties of Halong Bay. Oxalis is gearing up further to design new cave tours in Phong Nha Ke Bang for all kinds of casual adventurers.

Read more about Rise of Casual Luxury Travelers And How to Respond to Their Needs

Mekong Region Emerging As A Booming Tourist Destination

mekong tourismITB Berlin has recently released a report where it analyzed the Mekong Region as a booming tourism zone in Southeast Asia which includes all the countries washed by the great Mekong River. Vietnam enjoys the lower course of the Mekong River where the river meets the ocean creating a huge network of estuaries and fertile delta regions. Mekong tourism includes a lot of activities leading towards the sustainable development of tourism in this region. In the period of 2010 to 2015, Vietnam welcomed 52% international arrivals in the Mekong sub-region.  The unusual and unique travel experiences in Mekong region encourage the visitors to get indulged in exploring its in-depth local culture and traditions, contributing a significant benefit to local economic growth and development.

Strong Year For Vietnam Tourism

luxury travel vietnam timeless charmWorld Tourism Organization (UNWTO) presented the title of “star performer this year” to Asian tourism because of its prominent growth and development since 2015. All the four sub-regions of Asia Pacific Zone have increased their growth rate with Oceania enjoying the first position with 10% increase followed by Southeast and Northeast Asia with 9% growth each and South Asia with 8% growth. However, some destinations like Vietnam having 36% increase followed by the Republic of Korea with a 34% increase, Japan with 24% and Sri Lanka with 15% are really the star performers of Asia.

Vietnam Tourism Roadshow 2018 In Australia And New Zealand

Vietnam Tourism Roadshow Australia New Zealand 2018

Sensing the industry progression and future movements, Vietnam National Administration of Tourism (VNAT) has organized Vietnam Tourism Roadshow in four Australian cities- Melbourne, Adelaide, Brisbane and Sydney to cover all parts of Australia and in Auckland, New Zealand. This initiative by the Vietnam government is a great move towards opening the gateway for economic development of the nation while promoting the diversified tourism aspects of the country. This mega tourism event in Oceania countries in 2018 will undeniably help in developing and strengthening the business alliances between the countries.

luxury travel vietnamLuxury Travel Vietnam, the first luxury tour operator in Vietnam is participating in this Vietnam Tourism Roadshow with its three major brands- Luxury Travel Ltd., Emperor Cruises and newly launched Heritage Cruises. The multi-award winning tour agency is looking forward to developing prospective business partnerships which will sway the way towards welcoming more and more tourists from this Asia Pacific zone adding an upward trend in sales and profit margins for its valued partners. To meet Luxury Travel Vietnam in Australia or New Zealand in this Roadshow, get in touch with the team here for a prior intimation.