The
Vietnamese
upmarket
traveller…
is without doubt a
growing population
is travelling farther afield
and spending more
places travel ahead of
eating out and buying
designer items
Above A toast to Vietnam’s rising luxury travel market
It also showed the group of
super-wealthy has increased by
320 per cent from 2006 to 2016,
the fastest growth in the world. In
comparison, India grew by 290 per
cent and China by 281 per cent.
Vietnam’s UHNWI is predicted
to leap 170 per cent by 2026,
pushing the total number of
Vietnamese with US$30 million
or more to 540. The number of
millionaires is expected to jump
from 14,300 to 38,600 during the
same time.
The World Bank described
the transformation of Vietnam’s
economy as “remarkable”,
adding that despite the country’s
vulnerability to economic and
environmental issues, prospects
for its economy remain strong. It
predicted an annual GDP growth
of about six per cent by 2020.
Andrew Amoils, head of
research at New World Wealth,
flagged Vietnam as a country with
a “stellar growth rate”, contributing
to the increase in the super-rich
population. He said: “We expect
Vietnam’s millionaire numbers to
be boosted by strong growth in the
local healthcare, manufacturing and
financial services sectors.”
Vietnam is currently home to
only one US dollar billionaire.
However, the report predicts this
will increase by three in the next
decade.
Operators said 2018’s Tet
holidays – or Vietnamese New
Year – highlight the growing
market, with many at press time
predicting a 12 to 20 per cent YOY
growth in business. And they
have seen demand moving away
from domestic and shorthaul
destinations, towards longhaul
spots.
In this, an increase in flight
connectivity is also a driver. Travel
planners noted that South Korea,
Australia, the US, Europe and
Dubai are proving to be the most
popular destinations with affluent
Vietnamese travellers.
Nguyen Tiet Dat, TransViet
deputy director, said longhaul clients
make up 20 to 30 per cent of the total
of Tet tours.
Meanwhile, Ben Thanh Tourist’s
tour options to South Korea, Dubai
and Australia were fully booked ahead
of the holidays, with overseas trips
increasing by 20 to 25 per cent.
Nguyen Cong Hoan, vice general
director of Hanoi Redtour, said the
factor driving the rising demand for
overseas travel is the country’s steady
economy and an expanding middle-
and affluent-class. “The more affluent
younger generation now want to see
the world,” he said, adding they are
also more prepared to splash their
cash on exploring new destinations
farther afield.
This is backed up by market
research group Nielsen, which
found that travel features in affluent
Vietnamese people’s top three hobbies.
It placed ahead of eating out and
purchasing new clothes and designer
items.
With the future looking bright for
Vietnam’s economy and growing
young affluent population, coupled
with the addition of more direct flights
to new international destinations
being introduced throughout 2018 and
beyond, the industry is confident that
the country’s outbound luxury market
will continue to shine into the future.
TTG Asia luxury | May 2018 13