The reason why Thailand is afraid of being surpassed by Vietnamese tourism

Thailand is facing concerns as Vietnam’s tourism is growing rapidly. It is expected that in just 2-3 years, Vietnam will be able to attract more international tourists. This is creating fierce competition between the two countries.

Travel operators fear Thailand will lose its position as Southeast Asia's top destination to Vietnam in the next few years as Vietnam reported a nearly 50% increase in tourism market growth in March compared to the pre-pandemic period, while Thailand is struggling with sluggish growth.

Thanet Supornsahasrungsi, chairman of the Chon Buri Tourism Association, said it could take just two to three years for Vietnam to attract more international tourists than Thailand, according to the Bangkok Post .

Thailand is losing its appeal as Vietnam offers more new infrastructure, say tour operators

PHOTO: APICHARRT JINAKUL

This year, Vietnam aims to welcome 23 million international visitors, while Thailand's Finance Ministry has cut its forecast for international arrivals from 38.5 million to 36.5 million.

Thailand recorded 2.7 million tourists in March, down 20% from 2019 levels, while Vietnam recorded more than 2 million tourists in the same month, up 40% from 2019.

Mr Thanet said Vietnam has a lower cost of living than Thailand. Family-friendly resorts and theme parks are also newer and cheaper than similar products in Thailand, while all-inclusive packages at hotels in Vietnam are half the price in Thailand.

In addition, Vietnam supports foreign tour operators, such as those from Russia, by subsidizing flights and reducing landing fees at airports. This has prompted companies to shift their tours from Phuket to cities like Nha Trang this summer.

Foreign tour operators told Mr Thanet that many airports in Vietnam’s major cities are designated as international airports, allowing them to easily offer new international routes. These airports are a 30- to 45-minute drive from tourist areas.

In contrast, if visitors want to go to Hua Hin or Kanchanaburi, it takes them more than 3 hours by car from the airports in Bangkok.

"We are relying on old achievements without developing new infrastructure and attractions to attract tourists," he said.

Therefore, if the government does not pursue a more proactive approach to tourism and strengthen safety measures, it will be difficult to achieve the target of 36.5 million visitors.

Phu Quoc, a favorite destination for Thai tourists

PHOTO: BUI VAN HAI

Sanga Ruangwattanakul, president of the Khao San Road Business Association, said Bangkok may see fewer tourists than last year as the Chinese market shrinks and foreigners turn to emerging destinations such as Vietnam.

Vietnam has many attractions, from nature and beaches to vibrant nightlife, with Ho Chi Minh City's famous walking street and nightlife district rivaling Khao San Road.

Last week, the Association of Thai Travel Agents (Atta) submitted a proposal to the Tourism Authority of Thailand and the government asking for a 320 million baht subsidy to boost the number of Chinese tourists. Atta estimated that the plan would generate at least 8.3 billion baht in revenue, based on an average spending per trip of 55,869 baht from 150,000 Chinese tourists.

Atta said the scheme was risk-free for the government as it was a joint investment with the private sector, which would cover 80% of the costs. The government could require each flight to carry at least 150 Chinese tourists to receive the 300,000 baht subsidy.

Source: https://thanhnien.vn/ly-do-khien-thai-lan-lo-so-du-lich-viet-nam-vuot-mat-185250506101421001.htm