The Generous Indian Billionaire: 4,500 Tourists and a Country’s Transformed Perception

In about a week, a group of over 4,500 tourists from Sun Pharma – the fourth largest pharmaceutical group in the world owned by an Indian billionaire – will be visiting Vietnam. This event marks a new step forward for the tourism industry in exploring this billion-strong market. Notably, India is currently one of the seven largest sources of international tourists for Vietnam.

A Significant Increase

Regarding the preparations to welcome the largest-ever Indian delegation, on the afternoon of August 21, Ms. Nguyen Nguyet Van Khanh, Director of Marketing at Vietravel, said that multiple units are coordinating, with Vietravel taking the lead in organizing the reception and providing transportation, dining, accommodation, and entertainment services for the tourists.

The delegation will spend five days touring, working, and relaxing in Hanoi, Ha Long Bay, and Ninh Binh. This event marks an important step in affirming Vietnam’s position as an ideal destination for international events and conferences.

Not only this delegation, but Ms. Van Khanh also shared that in the first seven months of the year, Vietravel has also welcomed about 6,000 Indian tourists, six times the number of Indian tourists the company received in 2023. Indian tourists visiting Vietnam often prefer prominent destinations such as Hanoi, Ho Chi Minh City, Ha Long, and Da Nang… These destinations offer a rich experience in culture, history, and cuisine, as well as suit the Indian tourists’ love for exploration and new experiences.

According to statistics from the Vietnam National Administration of Tourism, in the first seven months of the year, Vietnam welcomed nearly 10 million international arrivals, an increase of over 50% compared to the same period last year. Of these, Indian visitors accounted for more than 271,000 arrivals, a 127% increase. The number of tourists from this billion-strong country is also growing faster than the rate of increase of tourists from other markets to Vietnam.

According to The Economic Times, it is estimated that in 2024, Indian tourists will spend about $42 billion on foreign tourism. This is currently one of the fastest-growing tourist markets in the world.

Ms. Thai Phuong Hoa, General Director of Sun World (Sun Group Corporation), assessed that Indian tourists are paying more and more attention to and showing a preference for Vietnamese destinations. In particular, Phu Quoc, Ha Long, and Da Nang are considered ideal new destinations for weddings, anniversaries, and engagements… of the Indian upper and middle classes. “Indian guests tend to prefer places with cool weather, beautiful scenery or beaches, shopping, and entertainment services. In addition, they also prioritize destinations with services and restaurants that suit their tastes and habits, such as Indian, vegetarian, or Hala food,” said Thai Phuong Hoa.

Statistics from Sun World’s parks show that Indian visitors are also showing a positive growth trend recently. While the number of Indian visitors was only 50,000 in 2019, it increased to 200,000 in 2023 and is expected to reach 400,000 this year. Sun Group’s resorts in Phu Quoc and Da Nang are also the top choices for many Indian couples to hold their weddings.

Previously, in 2023, Vietnam welcomed more than 392,000 Indian visitors, an increase of up to 231% compared to 2019. With this number, it can be said that India has become one of the most important international tourist markets for Vietnam, and the wave of welcoming Indian guests will continue to increase.

Understanding Guests to Increase Spending and Length of Stay

To attract more Indian guests, airlines have recently continuously opened more direct routes connecting the two countries, stimulating travel demand and facilitating travel between India and Vietnam and vice versa. From Indian airports, tourists only need about 4-5 hours for the flight to Vietnam.

The rapid increase in Indian visitors is evident, but there is still a lot that the Vietnamese tourism industry needs to do to tap into this market. Mr. Vo Viet Hoa, Director of International Tourism at Saigontourist Travel Service Company, said that in 2023, the company participated in the ITB International Tourism Fair in India to promote tourism. In the first seven months of this year, the company welcomed several high-end delegations combining business trips, choosing a 6-day, 5-night itinerary, and staying in 5-star accommodations in Ho Chi Minh City, Hanoi, and Ha Long. The spending level was $100/guest/day. However, the number of visitors is still not as expected. In the period of 2024 – 2025, the tourism industry needs to improve the shortage of Hindu-speaking tour guides and some specific conditions of accommodation and restaurant facilities in the serving process to really boost this market.

Mr. Dang Manh Phuoc, Director of The Outbox Company (a tourism market research unit), cited statistics showing that although more than two-thirds of Indian tourists choose Asian destinations for their next trip, in Southeast Asia, they prefer Singapore, Thailand, and Malaysia over Vietnam. “To make Vietnam a top priority destination for Indian guests in the future, especially high-spending guests (the rich), we need many suitable solutions to meet their tastes and demands…” said Phuoc.

Vingroup shared that not long ago, Vinpearl Nam Hoi An organized a wedding for an Indian millionaire couple that lasted 4 days and 3 nights with more than 330 guests from the Indian upper class. The organizers mobilized more than 400 professional staff, meeting the strict requirements for the party space, from the arrangement to the service style, and the menu. Cultural and experiential factors were carefully prepared, preserving the unique rituals, culture, and cuisine of India while incorporating the beauty of Vietnam and Asia-Europe. The head chefs and culinary experts also researched and created many vegetarian dishes that did not use pork or beef to suit the guests’ tastes…

To effectively tap into the Indian market, especially the middle and upper-class segments in the coming time, the General Director of Sun World suggested that the Government should consider applying a policy of supporting short-term visas for Indian guests to create a breakthrough from this market. At the same time, it is necessary to improve the competitiveness of Vietnamese tourism compared to other countries in the region. “There should be more training for tourism personnel specializing in serving Indian guests in restaurants, hotels, and tourist destinations. Localities and destinations also need to invest in infrastructure to serve the religious needs of Indian guests, such as a prayer area/room, as this group has specific needs related to religious beliefs and different living habits… In addition, most Indian guests prefer Indian cuisine and practice their religion, but there is a shortage of chefs who can cook Indian food,” suggested Thai Phuong Hoa.