Unlocking the Golden Potential: Why Vietnamese Tourism Should Still Prioritize South Korean Travelers

In June, South Korea surpassed China to reclaim its position as the top source of international arrivals in Vietnam. With 329,617 visitors, South Korea outpaced China's 286,165 arrivals, regaining the lead after China briefly took the top spot in May.

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South Korea remained the largest source of international arrivals to Vietnam in the first half of the year, with 2.2 million visitors (25.8%), followed by China with 1.8 million (21.4%). These two markets alone contributed to 47.2% of all international arrivals over the past six months. Additionally, in terms of recovery compared to pre-pandemic levels, South Korea led the way with 110%, while China’s recovery stood at 76%.

LOCALITIES COMPETE TO ATTRACT SOUTH KOREAN TOURISTS

In December 2022, the Vietnam National Administration of Tourism (VNAT) and the Korea Tourism Organization (KTO) signed a memorandum of understanding on tourism promotion between Vietnam and South Korea for the period 2023 – 2024. This agreement provided a framework for both countries to enhance cooperation in tourism and exchange of visitors.

As a result, in 2023, Vietnam welcomed 12.6 million international arrivals, including 3.6 million from South Korea, making it the top source market for foreign visitors to Vietnam. This highlights the importance of South Korea as a key market for Vietnamese tourism, with significant potential yet to be tapped.

Being the international market with the highest number of visitors to Vietnam, South Korea has become a potential gold mine that many local tourism industries aim to effectively exploit. In Quang Binh, since the end of 2023, the number of South Korean tourists visiting for sightseeing and experiences has been gradually increasing. Spero International Tourism Company, specializing in the South Korean market, started operating tours to Quang Binh in May 2023. Thus far, Spero has brought nearly 600 South Korean tourists to the province.

In 2023, Vietnam welcomed 3.6 million South Korean tourists, making it the top source market for foreign visitors.

According to Le Ba Nuyen, a tour guide specializing in South Korean tourists, South Koreans have a high demand for travel and a good standard of living and spending capacity. He attributes this to their preference for a hedonistic travel style. Additionally, recently, MBC TV channel and Naver online platform in South Korea have continuously broadcast promotional clips about Quang Binh, especially Son Doong Cave, stimulating the interest of South Korean tourists in exploration tours of the province.

Park Woo Sung, a South Korean blogger, noted that Phu Quoc Island caught the attention of South Korean travelers 7-8 years ago when many of his compatriots visited the island and shared their experiences on Naver, the country’s top search engine. Searching for “Phu Quoc” or the name of a resort on the island yields top results featuring South Korean tourists’ check-ins. Naver also provides comprehensive travel information about Phu Quoc, including weather, exchange rates, visa requirements, accommodation suggestions, and recommendations for dining and entertainment.

Woo Sung attributes the popularity of Phu Quoc among South Koreans to its lower costs compared to domestic tourism in South Korea, an abundance of fresh seafood, pristine beaches, and well-appointed resorts offering a range of relaxing services such as massage and mud baths. He also recommends island exploration tours, scuba diving, and squid fishing as must-try experiences. Jun Gyu Eom, Director of Sales and Marketing at Pullman Phu Quoc, confirmed that South Korean guests consistently rank among the top three groups of foreign guests at the resort since the establishment of direct flights between Seoul and Phu Quoc in June 2022.

Similarly, Korea has been a traditional market for Da Nang. As one of the enterprises specializing in the South Korean market, Tran Van Lang, Director of Seven Star Hanoi Company, shared that Korean tourists currently account for about 45% of international arrivals in Da Nang, making it the leading source market for the city.

South Korea has become a potential gold mine that many local tourism industries aim to tap into effectively.

To attract more visitors from South Korea, Da Nang’s tourism industry will introduce new products and services in July, including a program to promote MICE tourism and hosting familiarization trips for Korean travel agencies to explore the city’s offerings in Seoul and Busan.

ENHANCING TWO-WAY EXCHANGE OF VISITORS

Currently, the Vietnam Cultural and Tourism Festival in South Korea 2024 is taking place from June 29 to July 3. The event includes a forum on tourism promotion and cultural cooperation between the two countries, business meetings, cultural performances, and exhibitions showcasing Vietnam’s culture, people, and tourism attractions. It provides an opportunity for the Vietnam National Administration of Tourism, local authorities, and tourism businesses to introduce attractive policies, destinations, and products, facilitating business partnerships and attracting South Korean tourists to Vietnam.

According to Mr. Nguyen Trung Khanh, Director of the Vietnam National Administration of Tourism, within the ASEAN region, Vietnam is the top destination for South Korean tourists. In 2023, two-way tourist exchanges between Vietnam and South Korea reached 4 million, an 83% recovery compared to pre-COVID-19 levels.

To further enhance bilateral tourism cooperation and attract more South Korean tourists to Vietnam, Mr. Park Jong Kyung, Counselor of the Embassy of the Republic of Korea in Vietnam, suggested that the Vietnamese tourism industry provide signage in Korean, establish a 24/7 hotline for tourist support, and implement policies to assist South Korean and international tourists in case of lost passports, as well as improve the process for passport re-issuance.

In 2023, two-way tourist exchanges between Vietnam and South Korea reached 4 million, an 83% recovery compared to pre-pandemic levels.

Vietnamese tourism experts emphasized that to encourage repeat visits from South Korean tourists, attractive tourism products are not enough. The industry needs to invest strategically and pay attention to the operational aspect to ensure consistency and create a synergistic effect, thereby increasing the appeal of the destination.

For instance, there is a need to upgrade the quality of services to ensure civility, politeness, and friendliness. The service segment should also be diversified and tailored to meet international standards and cater to diverse customer profiles. Additionally, Vietnam should invest in unique and novel tourism models that showcase local culture and natural environment.

Moreover, according to Mr. Park Jong Kyung, the bilateral agreement between South Korea and Vietnam on the recognition of International Driving Permits (IDPs), which came into effect following the visit of President Yoon Suk Yeol to Vietnam, facilitates easier travel between the two countries.

Conversely, Vietnam is also a leading source market for tourists to South Korea in Southeast Asia, with approximately 420,000 visitors. On June 27, the Ministry of Justice of South Korea announced a two-year pilot program to expand the issuance of group tourism visas to citizens of three Southeast Asian countries, including Vietnam, the Philippines, and Indonesia. The pilot program relaxes the requirements for group tourism visas, now applicable to groups of three or more tourists instead of the previous requirement of five or more.

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