Vietnam tourism has experienced a rapid development for last decade and we would like to discuss changes in the major indicators such as tourist arrival and receipts, contribution to GDP and employment.
In 2002 the total number of tourist arrivals was 2,6 MN and after 10 years, this number increased by 3 times 6.8 MN. From 2002 to 2012 several fluctuations were registered:
In early 2003, tourism experienced impact from 2 incidents: the American–Iraqi conflict and the Severe Acute Respiratory Syndrome epidemic in Asia. In East Asia tourist arrivals dropped dramatically. SARS crisis scared tourists away from Vietnam, thousands of foreign tourists canceled their tours and that reflected in low.value of total tourist receipts, which was 1.4 bn.
In 2006 tourist arrival rose to 3.58 MN and there were several reasons caused this change: tourism policies like Tourism Law and national action plan were implemented. Vietnam simplified visas policies, offered new tours and organized cultural events and festivals.
In 2007 total arrivals reached 4,17 MN and value of tourism receipts 3.75 bn, However. due to the result of the financial crisis, the developing rate started to slow down .
2009 was a tough time for Vietnam. Financial Crisis and A/H1N1 virus discouraged tourists from travelling. From 2008 to 2009, the total number of arrivals has dropped by 600 000 and total tourism receipts reduce by 7 MN. This has been a significant decline in recent years.
Situation has slightly improved in 2010, but natural disaster like tsunami in Indonesia and Japan negatively impacted tourism in Asia overall.
Total international arrivals in 2011 reached 6M representing a 19.1% growth over 2010 and total international tourism receipts increase to 5.6 BN. Increase occurs due to promotion Vietnam by magazines like National Geographic Traveler and Lonely Planet and two big events: National tourism Year in South Central Coastal Region and Ho Chi Minh International Tourism Fair.
In 2012 total Tourist arrival Vietnam kept increasing. Revenue reached 6.61 BN, And till now tourism sector continues show steady growth.
The tourism sector has been a major factor in job creation, economic development and poverty alleviation in Vietnam. Fluctuations have been registered during the chosen timeframe and it can be associated with the events, that we have discussed previously.
From 1.5 M job created in 2003 till year of 2012 total contribution of Travel & Tourism to employment increased almost by 2,5 times and was 3,892,000 jobs. In the world rank of Tourism Direct Contribution to Employment Vietnam took 8th place in 2012.
Total contribution of tourism to GDP was 160 000 VND BN in 2003 and to the year of 2012 it rose to 271 000 VND BN. Direct and indirect effects maintained approximately equal and induced effect took the smallest part. As per year 2012 direct effect was 129,969 VND BN, indirect effect 101,105 VND BN and induced 39,562 VND BN. For last decade direct contribution to GDP has went up from 3.4 $ BN to 6.2 $ BN.
In order to compare Vietnam tourism performance we have chosen competing destinations that offers similar tourism product and target similar tourists market. Vietnam took 43rd place in global rank international tourism arrivals whereas, Malaysia 10th Thailand 15th Indonesia 32nd. in terms of total tourism receipt Vietnam is on 45th position, Indoneisea 35th, Malaysia 17, Thailand 10th. In World Tourism direct contribution to GDP Vietnam was ranked as 45th and stay far behind Malaysia, Indonesia and Thailand, that took 19th, 16th, 15th positions respectively.