Vietnamese will be the first to travel soon after the pandemic ends as the domestic travel is set to return and its tourism industry is set to lead Asia’s return to business after the social distancing restrictions are lifted. Experts say, if there are pretty demand stimulus programs, the market will need only some months to recover.
The domestic market was the key driving force for the revival after the 2009 financial crisis. Travel firms believe that this will happen again this year after Covid-2019.
The Vietnamese government announced the lifting of social distancing restrictions on April 24 setting the stage for the return of a domestic market of up to 70 million travellers per year that has been growing at a rate of 20% for the past five years.
The domestic market is huge. According to Vietnam National Administration of Tourism, there were 85 million domestic travelers last year, an increase of 6 percent compared with the year before.
“Nearly all programs bring effects immediately. If there are attractive programs, the market will recover just after three months,” said Nguyen Ngoc An, deputy CEO of Fiditour, adding that if the epidemic ends soon, travel firms will be more favorable to implement recovery plans because they can attract customers during the summer tourism season.
Now with social distancing measures lifted, restaurants filling up again and airlines such as Vietjet running six daily return flights between Hanoi and Ho Chi Minh City as of April 23, the demand for domestic travel particularly by a young, entrepreneurial population, with two-thirds 70 aged below 35 years old, is apparent.
According to Wink Hotels CEO Michael Piro “Pockets have been effected by the crisis so the numbers won’t come roaring back. But the Vietnamese will be comfortable to get back on planes and things will rebound fast relative to the rest of the world.”
Wink Hotels plans to open 20 hotels over the next seven years in Vietnam, with the first opening in Q4 of this year in District 1, Ho Chi Minh City.
