With a population exceeding 1.4 billion, India is the most populous country in the world. As a result, Indian tourists represent a significant market that Vietnam’s tourism industry is eager to explore and expand.
Indian tourists represent a significant opportunity for Vietnam’s tourism industry. Experts and travel agencies agree that the Indian market holds immense potential, especially in the area of MICE (Meetings, Incentives, Conferences, and Exhibitions) tourism.
A destination for the ultra-wealthy
According to Dr. Do Thi Thanh Hoa, Deputy Director of the Institute for Tourism Development Research, the number of Indian visitors to Vietnam reached 169,000 in 2019, marking a growth rate of over 27%, the third highest among the country’s tourism markets. Following the COVID-19 pandemic, Vietnam welcomed approximately 130,000 arrivals from India in 2022.
The number topped 392,000 in 2023, an increase of 231% against the 2019 benchmark. In the past 10 months, the country received nearly 395,000 Indian visits, up nearly 30% over the same period last year.
Many experts and travel agencies have agreed that the Indian market is showing enormous potential for Vietnamese tourism, especially MICE tourism, to unlock. In particular, the island of Phu Quoc in the southern province of Kien Giang, Ha Long Bay in the northern province of Quang Ninh and the central coastal city of Danang are the choices of rich and super-rich Indian tourists for weddings, anniversaries, engagements and corporate trips.
Since the beginning of 2024, many of Vietnam’s top tourist destinations have hosted weddings of Indian billionaires. In particular, a wealthy Indian couple booked an entire five-star resort in Danang City for three days for a lavish wedding costing about US$500,000. Another Indian billionaire booked an entire famous resort on the island of Phu Quoc for a seven-day wedding with 350 high-profile guests.
In February this year, an Indian billionaire’s wedding was held in Ha Long City, with hundreds of guests, including officials from the Indian government and Indian Embassy in Vietnam, large business owners and entrepreneurs from India and Southeast Asian countries. A similar event took place in the last four days of August in Lang Co Bay, Thua Thien Hue Province, with 400 guests staying at two five-star resorts.
According to the Vietnam National Authority of Tourism, India is a key target market for wedding tourism in Vietnam. Wedding travel has been a popular choice among Indians for many years. The wedding industry in India is estimated to be worth US$130 billion, making it the second largest in the country.
These extravagant weddings have played a significant role in enhancing the reputation and brand of Vietnamese tourism, positioning the country as the ideal destination for the most opulent events of the Indian elite.
Also in late August, an Indian pharmaceutical billionaire ordered a five-day tour of Hanoi, Ninh Binh and Ha Long Bay for 4,500 employees. The successful reception given to the tourist group not only helped promote Vietnam’s tourism, but also opened up a new direction in attracting super-rich visitors from India. Experts said that Vietnam has all the advantages of natural landscape, safety and reasonable prices to further draw this segment of travellers.
Also, in late August, an Indian pharmaceutical billionaire arranged a five-day tour of Hanoi, Ninh Binh, and Ha Long Bay for 4,500 employees. The successful reception of this large group not only helped promote Vietnam’s tourism but also opened up a new opportunity to attract ultra-wealthy visitors from India. Experts believe that Vietnam has all the advantages, including its stunning natural landscapes, safety, and reasonable prices, to further appeal to this segment of travelers.
Understanding characteristics for the best service
To attract more Indian tourists, Vietnamese airlines have been steadily increasing the number of direct flights between the two countries, boosting demand for travel to and from India and Vietnam. From Indian airports, tourists need only about four to five hours to reach the S-shaped country, especially after budget carrier Vietjet Air launched a direct flight alongside an extensive and impactful advertising campaign.
As a relatively new destination for Indian holidaymakers, Vietnam boasts a wealth of scenic spots, a diverse climate, a culture rich in national identity, and a rich cuisine. Many of its local destinations and tourism products are particularly appealing to these travelers.
Vu Van Tuyen, CEO of Travelogy Vietnam, mentioned that Indian tourists often visit heritage sites and popular destinations in Vietnam, such as the Hanoi Old Quarter, Ha Long Bay, Tam Coc – Trang An, Ba Na Hills, Nha Trang, Ninh Thuan, Binh Thuan, the Cu Chi Tunnels, and the major cities of Ho Chi Minh City, Da Nang, and Can Tho. Recently, they have also been increasingly drawn to Sa Pa, as the local hotels and restaurants can accommodate their specific needs.
It is important for the Vietnamese tourism sector to proactively capture the psychological characteristics of Indians, especially some of their distinctive features compared to other markets, especially in terms of religion and cuisine.
Challenges in attracting tourists
According to Nguyen Thi Van Anh, Managing Director of Flamingo Travel, Vietnam faced significant challenges in catering to Indian tourists prior to 2022, largely due to the lack of direct flights and the higher cost of tours in Vietnam compared to countries like Thailand, Singapore, or Malaysia. Flamingo Travel has been one of the first travel agencies to target the Indian market, beginning in 2013.
Through years of experience, the agency has learned that even when Indians travel abroad, they always request Indian food, as they take great pride in their cuisine, which they believe is not only healthy but also incredibly tasty. Therefore, to attract Indian vacationers, Vietnam must include Indian dishes in their offerings—at least one Indian meal per day needs to be arranged for these travelers.
Some Indians consider cows to be sacred animals and therefore avoid eating beef. As a result, chicken, mutton, goat meat, and seafood are the most common alternatives. Additionally, Indian Buddhists typically follow a vegetarian diet. Understanding these dietary preferences is essential for Vietnam’s tourism industry to effectively serve this unique group of travelers.
Anh also mentioned that for Indian tourists, Vietnam is a relatively new destination, one that has only gained popularity among them since the end of the COVID-19 pandemic. As Indian tourists are still unfamiliar with traveling in Vietnam, their requests often require multiple adjustments to better suit their preferences, even if those changes come with additional charges.
It is essential to train tour guides, sales staff, and operators to understand the cultural background of visitors from Middle Eastern countries and India. Additionally, there should be tour guides with at least a basic knowledge of Arabic to ensure the best possible service for these customers.
For the Vietnamese tourism industry, India represents a market with immense potential and impact in promoting the country’s image and tourism services. Experts believe that in the future, the sector catering to Indian travelers in Vietnam will continue to grow rapidly, fostering business opportunities, offering unique experiences, and strengthening cultural ties between the two countries.
By: Jenna Duong
