Thailand has slipped to second place, behind Japan, in Vietnamese travelers' top 5 international destinations for the first half of the year, according to a June 27 report from Agoda. This time last year, Thailand held the top spot, followed by Japan, South Korea, Singapore, and Malaysia. An Agoda representative said the decrease in searches for Thailand was slight and not yet cause for major concern.

According to the Tourism Authority of Thailand, international tourist arrivals to Thailand declined by 2.7% in the first 5 months of the year compared to the same period in 2024. Vietnam did not appear in the top 10 source markets for Thailand during this period. In the first half of 2024, Vietnam ranked 9th with nearly 502,000 visitors.

Vietnamese travelers are exploring new destinations, as China climbed to third place in Agoda's rankings for the first half of the year, with a 478% increase compared to the same period in 2024, when China was not in the top 5.

A stall in Chinatown, Bangkok. Photo: Adventures of Jellie

A stall in Chinatown, Bangkok. Photo: Adventures of Jellie

Statistics from travel agencies and independent travel service providers reveal a less optimistic outlook for Vietnamese tourism to Thailand. Hoang Minh, director of a large Hanoi-based travel agency specializing in the Thai market, reported a 75% drop in package tour searches. Bkt - Bangkok Tourist, a company providing land tours in Thailand to Vietnamese travel agencies, also noted a 50% decline in interest during the first half of the year.

Vo Duy Khang, a representative of VietGoGo Co., Ltd., which specializes in independent travel services to Thailand, said the number of customers decreased by 30-40%, the lowest level in recent years. There were times when group tours, previously priced at 7-8 million VND per person, were discounted to 4 million VND close to the departure date but still found no takers. Round-trip airfares sometimes dropped as low as 2.5 million VND, and hotel prices were also down 20-30%, even during peak season.

"In the first half of the year, Thai tourism faced several challenges related to earthquakes, reports of Covid-19 outbreaks, and political tensions with Cambodia," Khang said.

Moreover, the baht exchange rate has risen sharply from an average of 680-700 to 800-830 baht against the VND, almost on par with the Taiwan dollar, diminishing Thailand's image as a budget-friendly destination. According to Khang, Thai tourism itself has internal issues, as traditional destinations lack innovation and struggle to attract repeat visitors.

Tran Duy Vu, a resident of Ho Chi Minh City, who has visited Thailand 1-2 times a year for the past 10 years, noted that traditional destinations haven't changed much, costs have increased, and art performances have become increasingly formulaic and dull. Many major tourist spots, like floating markets, have become overpriced and lost their local charm.

"Of course, Thailand is still a great place for shopping and dining," he said, but added that beyond Bangkok, other locations hold less appeal.

Vietnamese fans in Bangkok for the ASEAN Cup final last January. Photo: Thanh Dat

Vietnamese fans in Bangkok for the ASEAN Cup final last January. Photo: Thanh Dat

Nguyen Dong Giang, General Director of Bkt Bangkok Tourist, explained that Vietnamese tourists perceive Thailand as a budget destination, primarily focusing on Bangkok, Pattaya, and Phuket. According to Giang, traditional destinations like Bangkok receive substantial subsidies, offset by 3-4 shopping stops per tour, resulting in very attractive prices. Meanwhile, newer destinations like Hua Hin, Chiang Rai, and Chiang Mai receive less attention due to their 30-40% higher prices.

In addition, Thai tours are facing competition from emerging markets like China, which is currently being promoted heavily by many travel agencies on social media platforms.

Nguyen Huu Cuong, General Director of Trang An Travel, said tours to China are booming with diverse offerings, starting from just 4 million VND, making them popular with travelers looking to save money. Tensions on the border with Cambodia may be deterring customers, causing them to shift towards other destinations like Singapore and Malaysia, even though the tourism situation in Thailand remains normal.

Pham Quoc Khanh, Deputy Director of Viet Travel's Hanoi branch, noted that after years as the top choice for Vietnamese travelers, traditional Thai tours are showing limitations, leading to a decline in appeal, especially among younger travelers, repeat visitors, or those seeking new experiences.

Younger and middle-class travelers are seeking new destinations and more in-depth, personalized experiences, or opting for custom-designed and high-end tours. The travel agency's business data shows a significant increase in interest and bookings for tours to China, around 20-30% compared to the same period in 2024.

With the rise in domestic airfares, package tours to China, especially those involving road travel or short flights, offer very competitive prices. Vietnamese tourists are excited about new routes like Lijiang - Shangri-La and Kunming, rather than traditional ones.

Furthermore, Northeast Asian markets like Japan, South Korea, and Taiwan have seen positive growth in tourist numbers, around 30-35% compared to the same period last year, thanks to their reputation for safety, cleanliness, and service quality, making them suitable for families and demanding customers.

"Thailand tours are still among the top 3 best-selling summer tours, but their appeal is clearly declining," Khanh said.

Thanh Ha during a trip to Bangkok. Photo: NVCC

Thanh Ha during a trip to Bangkok. Photo: NVCC

Despite this, many tourists still hold a special affection for Thailand and return multiple times. Thanh Ha, a Hanoi resident who has visited Bangkok 5 times, says the city is still worth revisiting due to its affordable prices, delicious food, and occasional international music events.

While acknowledging the decline in demand, a representative from Bkt Bangkok Tourist believes the situation will improve soon. Giang said that despite existing issues, Thailand remains an accessible destination, catering to diverse needs from entertainment and leisure to tourism. Hoang Minh also commented that tourism is a key economic sector for Thailand, so things should return to normal soon.

Tu Nguyen