The Vietnam National Tourism Administration acts as the 'conductor' in bringing domestic tourism to affordable prices.

A representative of the National Tourism Administration said the tourism industry will act as the "conductor" to mobilize and coordinate all parties so that "Vietnamese people travel to Vietnam" at reasonable costs.

According to a survey, during the peak tourist season of April 30 - May 1 and summer, Vietnamese tourists tend to choose mid-range foreign tours priced at 7-15 million VND because domestic travel is expensive when airfares increase. The aviation industry believes that prices must be increased to cover costs, while tourism lacks a mechanism from the destination. Industry experts and businesses say this is not a problem of the tourism and aviation industries alone, but needs a "conductor" to come forward to connect and harmonize the interests of all parties.

In an interview with VnExpress , Mr. Ha Van Sieu, Deputy Director of the Department, stated... The Vietnam National Tourism Administration announced that it will take on the role of coordinating and proposing solutions to promote domestic tourism.

Kien Trung Palace attracts visitors after 4 years of restoration, reopening to the public during the Lunar New Year. Photo: Phuoc Tuan — Kien Trung Palace attracts visitors after 4 years of restoration, reopening to the public during the Lunar New Year. Photo: *Phuoc Tuan*

Mr. Siêu stated that, first and foremost, the tourism industry will coordinate with the transportation sector to develop new tourism products that adapt to market fluctuations, "turning difficulties into opportunities." One of the measures is to diversify transportation methods, connecting air travel with waterways, roads, and railways, to open up opportunities for new destinations and connect central cities to satellite destinations.

Ms. Huynh Phan Phuong Hoang, Deputy General Director of Vietravel Tourism Company, said that the company is promoting train tours, a new product in 2024. Ms. Hoang said that the train experience journey is bringing a new breeze to domestic tourism during the peak summer season in the context of high airfares.

The tourism sector will coordinate with local tourism agencies, associations, and businesses through events such as the tourism festival in Ho Chi Minh City and the VITM international tourism fair in Hanoi to take action and create specific promotional programs. The products will be tour packages and combos that are "affordable for people but still offer new experiences," Mr. Siêu said.

In terms of price, domestic tourism products need to be competitive, not only among domestic destinations but also with international destinations. Airlines, hotels, and restaurants become part of the service supply chain. The challenge lies in linking the various stages within this chain.

"If each party in the supply chain works together and commits to reasonable prices, the resulting chain will have competitive pricing," according to Mr. Siêu.

To do this, the representative of the Department of Tourism said that there needs to be support from the state on tax policy, so that when businesses lower prices, they can also account for costs . This is the basis for calculating value added tax for businesses. Mr. Sieu said that the Ministry of Culture, Sports and Tourism will have to work with the Ministry of Finance to have specific tax policies during the peak and low tourist seasons.

Tourists enjoy the scenery on the North-South train. Photo: Bike Journey — Tourists enjoy the scenery on the North-South train. Photo: *Bike Journey*

According to Mr. Siêu, the sharp increase in airfares is a common trend in the global aviation industry, impacting the domestic aviation industry and directly affecting domestic tourism. The Vietnam National Administration of Tourism has launched the "Vietnamese People Travel in Vietnam - My Beloved Vietnam" campaign, which started on March 30th in Da Nang. The Da Nang Department of Tourism, together with businesses, has implemented the "Enjoy Danang 2024" program to enhance experiences and attract domestic tourists.

Da Nang is giving away over 10,000 free vouchers and discount offers, totaling approximately 5 billion VND, to tourists. The city is also giving away 2,000 tickets to the Da Nang International Fireworks Festival when tourists register and purchase services on online platforms, the program's website (enjoydanang.vn), and Da Nang tourism's social media pages.

To bring tourism to a more affordable price, experts believe a synchronized solution across sectors is needed. Associate Professor Dr. Nguyen Thien Tong, former Head of the Department of Aeronautical Engineering at Ho Chi Minh City University of Technology, suggests that more international low-cost airlines should partner with Vietnamese airlines to operate domestic flights. An increase in flight routes and passengers would mean an increase in both domestic and international tourists visiting Vietnam.

The "Immortal's Chessboard" atop Ban Co Peak, a popular tourist attraction in Da Nang. Photo: *Nguyen Dong*

Although the number of domestic tourists in 2023 will exceed that of 2022, the number of tourists on tours will decrease sharply due to the global economic recession. Service businesses are facing difficulties due to the sharp decrease in the number of tourists on tours. Some travel agencies in Ho Chi Minh City revealed that the number of domestic tourists will decrease by up to 50% compared to 2022.

In the first three months of 2024, domestic tourism welcomed about 30 million visitors, reaching 27% of the target of serving 110 million domestic visitors. The Department of Tourism said it will work with the Ministry of Culture, Sports and Tourism to join localities and businesses to promote the "Vietnamese people travel to Vietnam" campaign this year.

"How can we ensure that destinations not only recover but are fully booked? Fully booked flights, fully booked hotels, fully occupied amusement parks and tourist attractions," Mr. Siêu said.

Bich Phuong

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