Market Size of Vietnam Online Travel Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | > 10.00 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Vietnam Online Travel Market Analysis
The Vietnam Online Travel Market is currently valued at USD 9.2 Billion and is expected to register a CAGR greater than 10% during the forecasted period.
The COVID-19 pandemic severely impacted the Vietnam economy, hitting tourism particularly hard, and the sector needed to accelerate digital transformation to manage the business and reach customers. Vietnam's travel sector relied heavily on international travel, which plunged in the year 2020. International flights dropped 80 percent in October 2020 from the same period a year earlier in Vietnam. The demand for domestic travel in Vietnam is expected to grow. It will likely recover relatively fast because of growing domestic spending by vacationers who could not travel abroad and who have redirected their money locally at a higher level than in 2019.
Vietnam is a Southeast Asian country known for its beaches, rivers, Buddhist pagodas, and bustling cities. Tourism contributes a significant share of Vietnam's GDP, and the economy has relied on domestic travel to buoy the sector. Vietnam's Online Travel industry is a flourishing sector. An increasing staycation, beach visits, fairs, and exhibitions are expected to contribute to inflows of international tourists and domestic tourist movement. The Government's initiative of taking fast steps towards online travel promotion tells about the growth in Vietnam travel in 2019; the blooming of online travel helps the participants have an overview of the online travel market in Vietnam, tourism development trends, and the conversion of customers' choices from traditional tourism to digital tourism. Also, VECOM addressed that the demand of tourists determines the supply of product services and ways to catch up with the psychology of tourists and optimize the cost for the business. It is needed because tourists desire explorations and experiences wherever they go, not just food and drinks. Therefore, to meet customer needs, it is necessary to optimize to diversify service utilities and increase the experience of tourists even when they have not arrived.
The rise in the travel and tourism industry and changing patterns in the standard of living have led to progressive growth in online travel market trends. One area of potential growth in demand for Vietnam Online Travel is working holidays. Further divided into Nature-based holidays with cultural elements, adventure or wellness have high growth potential. Consumers' desire to go outdoors remains strong, and the Vietnam countryside is estimated to enjoy the benefit in the forecast period. Nature-based holidays with cultural elements, adventure, or wellness have high growth potential.
