Indian tourists have a higher demand for international travel than citizens of any other country and Vietnam is a top destination for them.
When it comes to Asia’s tourism recovery, many still think of the return of Chinese tourists, but Indians are the first to look for overseas trips, according to CNBC.
In terms of destinations, Indian tourists are interested in Thailand, Singapore, and Indonesia. Agoda data shows that from January 2019 to May 2023, hotel searches by Indian tourists in the three destinations increased by 147%, 215%, and 256%, respectively. Searches for Vietnam by Indian tourists also increased by 390% compared to 2019.
Indian travel blogger takes photos in Hue in 2022. Photo: Nehaa.nambiar
Mr. Omri Morgenshtern, CEO of Agoda, said that in 2019, Vietnam did not appear in the list of most searched destinations by Indian tourists. Vietnam is a market that has been "forgotten" for a long time.
The reason is that before 2019, there were no direct flights between the two countries. However, the connection between the two countries has become much more convenient, each flight only lasts 4-5 hours.
Mr Morgenshtern said Southeast Asian countries still attract Indian tourists, but East Asian destinations do not. The number of hotel and flight searches from India to Japan and Taiwan has decreased compared to 2019. However, the number of hotel and flight searches to South Korea has increased.
Part of the reason East Asian countries are less attractive to Indians than Southeast Asian countries is because of high costs. Outside Asia, Indians prefer the US and the UK - two other high-cost destinations.
Meanwhile, data from Mr Morgenshtern’s company also shows that Indian outbound travel is booming more than any other market. While outbound travel searches from Asia-Pacific countries only increased from 30% to 60% compared to 2019, Indian searches increased by 225%.
According to travel analytics firm Cirium, India’s tourism industry is recovering thanks to the growth of the domestic economy. The company’s reports also indicate that this growth will continue into the second quarter.
In addition to their interest in traveling abroad, the spending power of Indian tourists has also increased. Previously, there was a view that the economic capacity of Indian tourists was not good. However, Agoda representatives said that the spending power of this group of tourists could be equal to that of Chinese people when they travel to Asian countries.
The company’s data last year showed that Indian travelers spent 30% more on accommodation when traveling internationally than before the pandemic, and 20% more than the average Chinese traveler. Indians tend to stay in four- and five-star hotels and hotels with brands they know well, said Vishal Suri, CEO of SOTC Travel. In addition, Indian travelers have cut down on fast food and are looking for more niche restaurants.
However, Mr. Suri also emphasized that the increase in international travel by Indians is only happening among the wealthy class. The rest, including the middle class, focuses on domestic travel with many low-cost airlines.
Tu Nguyen (According to CNBC )
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