Vietnamese tourism market to increase at a CAGR of 13%

Revenue with the Vietnamese tourism market has been forecast to increase at a compound annual growth rate (CAGR) of 13% over the period 2012-2015, with international tourist arrivals in Vietnam expected to grow at a CAGR of over 11% to 2014.

Tourism receipts from overseas travellers are expected to rise at a CAGR of approximately 13% during the same period, thereby reaching around US$5.6 billion by 2014.

Vietnam is one of the most popular tourist destinations in the Asia-Pacific region and its tourism industry has been growing unprecedentedly for the past few years. The travel & tourism industry accounted for 10% of the GDP in the Vietnamese economy during 2011.

The Vietnamese tourism industry is witnessing healthy growth, both in terms of international and domestic tourists. In 2011, international and domestic tourists increased by 20% and 7.5% respectively, as compared to the previous year.

Vietnam's tourism market is closely managed by the government. Therefore, state-owned companies continue to dominate the industry thanks to the strong support from government.

Vietnam Airlines accounted for 88% of total value sales of air transportation in the country, whilst SaigonTourist Holding Co led in car rental, travel retail and accommodation.

Growth within the industry looks set to continue into the foreseeable future due to rising disposable household income, improvements in living standards and an increase in lifestyle stresses.

Furthermore, the Vietnamese government is likely to gradually improve its existing infrastructure such as airports and highways and to invest heavily in marketing campaigns to promote Vietnam's tourism all over the world.

For more information on the Vietnamese tourism market, see the latest research: Vietnamese Tourism Market Report

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