In recent years, the intersection of tourism and technology, often referred to as tourism tech, has sparked innovation, with many exciting travel tech startups at the forefront of this revolution. Renowned for its dynamic entrepreneurial ecosystem, Vietnam is one such economy with a rapidly growing startup market. Vietnam had only 1,600 startups at the start of the COVID-19 pandemic, but that number has surged to more than 3,000, in 2022 which includes four unicorns. If anything, Vietnam has witnessed an emerging wave of opportunities poised to disrupt the tourism industry.
As one of Southeast Asia’s fastest-growing economies, the region has become a fertile ground for pioneering ventures leveraging technology to revolutionise the travel experience. From mobile apps facilitating seamless bookings to AI-powered platforms enhancing personalised recommendations, tech startups in Vietnam are reshaping how individuals explore, engage with, and experience destinations.
Here are the top 5 traveltech startups and companies in Vietnam
Challenges and opportunities in Vietnam’s tourism industry
Vietnam is navigating through the multifaceted challenges triggered by the rapid growth of the tourism industry. A primary concern is the strain on existing infrastructure. As tourist numbers soar, fueled by the allure of its rich cultural heritage and breathtaking landscapes, the pressure on transportation, accommodation, and local amenities intensifies.
This surge often outpaces the development of adequate facilities, leading to overcrowded destinations and a potential decline in the quality of the tourist experience. Another significant hurdle the country faces is the limited access to comprehensive and real-time information. Despite the proliferation of tourism tech to enhance visitor experiences, there still is a gap in effectively disseminating up-to-date, accurate information about local attractions, cultural norms, and essential services.
A new wave of Vietnamese startups in the travel tech sector is emerging in response to these challenges, offering innovative solutions. One prominent example is Vntrip, founded in 2014, initially focusing on providing travel solutions to domestic consumers. Vntrip has evolved to offer a travel management system to corporate clients, streamlining the booking and approval processes for hotels and flights.
Another notable startup, Go2Joy, caters specifically to domestic travel needs. It offers a unique platform for booking hotel rooms focusing on adult relationships. Go2Joy provides options for booking rooms by the hour, overnight, or daily, catering to various needs of couples looking to spend meaningful moments together.
The role of tourism tech in redefining travel experiences
Technology usage in tourism has significantly enhanced the tourist experience in various ways. Mobile payment systems like Apple Pay and Google Wallet have streamlined transactions, allowing travellers to make purchases conveniently and securely, eliminating the need for cash exchanges and currency conversions.
Online booking platforms such as Booking.com offer travellers a wide range of accommodation options tailored to their preferences, from cosy homestays to luxurious resorts, all easily accessible with a few clicks.
Language translation apps like Google Translate break down communication barriers, enabling tourists to navigate foreign environments more easily and interact more effectively with locals.
Additionally, augmented reality (AR) and virtual reality (VR) technologies provide immersive experiences, allowing travellers to explore destinations virtually before arrival or engage in interactive museum tours.
How technology empowers local tourism
Gone are the days when Vietnamese homestays were hidden gems known only to a few adventurous travellers and savvy local agents. Homestays, traditionally dependent on word-of-mouth and local agents, now use websites and apps like Airbnb and Agoda to reach a global audience and offer unique experiences. For instance, a family-run homestay in Hoi An can now attract travellers from Europe or America, which was almost unimaginable a decade ago.
eCommerce platforms like Etsy and local online marketplaces have opened new markets for artisans, allowing them to sell traditional crafts internationally and extending their customer base far beyond a physical storefront. With just a few clicks, travellers can explore various options, read reviews, and make informed decisions.
Online tourism, propelled by digital technologies, encompasses various activities ranging from researching and booking flights, accommodations, and activities to accessing travel information and reviews. For instance, integrating QR codes into landmarks like the One Pillar Pagoda in Ba Dinh district facilitates easy access to visitor information.
Concurrently, there is a discernible rise in demand for experience-based tourism, reflecting an increasing preference for immersive cultural encounters. Destinations like Mai Chau and Sa Pa are prime examples of this trend. Mai Chau, situated in Vietnam’s northwest, offers authentic experiences with ethnic minorities such as the White Thai and H’mong. Meanwhile, Sa Pa, located in the northeast, provides opportunities to explore the rich heritage of its diverse ethnic groups through homestays, local engagements, and mountain hikes.
The intersection of tourism tech and the rise of travel tech startups in Vietnam presents a promising landscape for innovation and growth. As technology continues to reshape how people explore and experience new destinations, the emergence of travel tech startups in the region underscores the country’s position as a dynamic player in the global tourism industry.
With a flourishing ecosystem supporting entrepreneurship and technological advancement, the future holds tremendous opportunities for the country to leverage its rich cultural heritage and natural beauty through innovative solutions.