Travel
International OTAs holds 80% of Vietnam’s online travel market share
Global online travel agencies (OTAs) such as Agoda.com, booking.com, Traveloka.com, Expedia.com are monopolizing the Vietnamese market, holding 80% market share, according to Vietnam E-Commerce Association (VECOM).
This was announced by Nguyen Van Tuan, General Director of the Vietnam National Administration of Tourism (VNAT) at Online Tourism Forum 2018 organized by VECOM and VNAT in Hanoi.
The market has changed because of industry 4.0, technology development, especially the fast growth rate of online travel. In the past two years, personal and group experience travel trend with using smart data exchange system is growing faster, according to General Director of VNAT.
OTAs such as Agoda.com, booking.com, Traveloka.com, Expedia.com are monopolizing the Vietnamese market, holding 80% market share. At present only over 10 Vietnamese firms supply online travel service. They comprising vivu.com, chudu24.com, mytour.vn, tripi.vn, gotadi.com, vntrip.vn have mainly served local market with low transaction number.
Global online tourism increased 13.8% in 2016, to US$565 billion. Asia-Pacific and Latin America contributed the most to growth, with North America being the largest online tourism market, although the Asia Pacific region is expected to be the largest online tourism market this year, according to Nielsen Company report
Online tourism in many countries is assessed as growing faster than previously predicted. In Southeast Asia, Google have forecast that the scale of online tourism will grow from US$22 billion in 2015 to US$90 billion in 2025.
Directive 16 of the Prime Minister on intensifying access ability to industry 4.0 and minimizing negative impacts of this wave in Vietnam points out that tourism is one of economic industries which will receive priority in building a strategy on digital transition and IT application to boost smart tourism in Vietnam.
That is an important policy to obtain targets by 2020 that Vietnam will attract 17-20 million international visitors and serve 82 million domestic visitors, higher than 10 million and 62 million in 2016.
By 2020, the industry will contribute over 10 percent of Gross Domestic Product, get the revenue from of $35 billion and create about four million jobs including 1.6 million direct jobs.
International OTAs holds 80% of Vietnam’s online travel market share.
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OTAs such as Agoda.com, booking.com, Traveloka.com, Expedia.com are monopolizing the Vietnamese market, holding 80% market share. At present only over 10 Vietnamese firms supply online travel service. They comprising vivu.com, chudu24.com, mytour.vn, tripi.vn, gotadi.com, vntrip.vn have mainly served local market with low transaction number.
Global online tourism increased 13.8% in 2016, to US$565 billion. Asia-Pacific and Latin America contributed the most to growth, with North America being the largest online tourism market, although the Asia Pacific region is expected to be the largest online tourism market this year, according to Nielsen Company report
Online tourism in many countries is assessed as growing faster than previously predicted. In Southeast Asia, Google have forecast that the scale of online tourism will grow from US$22 billion in 2015 to US$90 billion in 2025.
Directive 16 of the Prime Minister on intensifying access ability to industry 4.0 and minimizing negative impacts of this wave in Vietnam points out that tourism is one of economic industries which will receive priority in building a strategy on digital transition and IT application to boost smart tourism in Vietnam.
That is an important policy to obtain targets by 2020 that Vietnam will attract 17-20 million international visitors and serve 82 million domestic visitors, higher than 10 million and 62 million in 2016.
By 2020, the industry will contribute over 10 percent of Gross Domestic Product, get the revenue from of $35 billion and create about four million jobs including 1.6 million direct jobs.
