Potential for retirement tourism in Vietnam

A report on Vietnam’s tourism market trends released by Appotapay in August indicated that Vietnam’s tourism market is undergoing notable transformations, with varying priority factors shaping travellers’ destination preferences. Significant determinants of tourist behaviour include economic, psychological, social influences, technological advancements and other factors such as weather conditions, events, and travel policies.

The report points out that Vietnam is one of the eight most liveable countries for retired tourists. The “silver generation” (aged 60 and above) is the group that travels the most, with an average of 2.4 trips per year. 72 per cent of tourists prefer relaxing and exploratory trips. Additionally, half of the respondents actively seek eco-friendly travel options when planning their trips.

Potential for retirement tourism in Vietnam

International media has consistently highlighted the attributes that position Vietnam as a prime destination for retirees this year, including its stunning landscapes, cost-effectiveness, and secure environment.

In May, Travel+Leisure magazine ranked Vietnam among the top eight cheapest countries for retirees’ travels, especially for adventurous retirees, because of the country’s affordable cost of living, scenery, food, history, and culture.

Travel+Leisure data shows that the cost of living in Vietnam is approximately 59.3 per cent lower than in the US, and rental prices are about 78.5 per cent lower. The following month, the magazine featured Nha Trang in Khanh Hoa province as one of best beach destinations for retirees.

Vietnam is also considered one of the safest countries in Asia due to its stable sociopolitical environment and low crime rate, as noted by Travel Off Path in January and Best Diplomats in August.

Regarding popular travel options for retirees visiting Vietnam, a representative from Phu Hoang Minh Travel and Trade JSC, a company specialising in providing travel services in Asia and Europe said, “Retiree tourists often travel with family members and are willing to pay for services at 4-star levels and above. They are particularly interested in nature exploration tours, even to remote and mountainous areas. They prefer eco-friendly destinations with unique cultural identities.”

Besides exploration, older tourists are very concerned about safety, especially healthcare. Those with specific health needs often opt for specialised tours and have particular dietary requirements, seeking local culinary experiences that are also healthy, the representative said.

By mid-year, several international rankings had acknowledged its potential in this area. An AARP survey published in February shows that nearly 65 per cent of Americans aged 50 and older plan to travel this year. Almost half of these seniors (48 per cent) are eager to resume regular leisure travel, a significant increase from just 8 per cent in 2023.

Additionally, older Americans are twice as likely to plan international trips rather than domestic ones, with 83 per cent of those planning overseas travel having already chosen their destinations.

Elsewhere, 71 per cent of Australians are prioritising spending their retirement savings on travel according to a survey on more than 2,000 Australians, randomly selected across the nation conducted by Equip Super, a superannuation fund in Australia.

Tourism industry leaders are optimistic that the peak season for international travel will emerge in the final months of the year. With an array of promotional and marketing initiatives in key markets, Vietnam’s tourism sector is determined to accelerate its efforts to meet the target of attracting 17-18 million international visitors in 2024.

According to a Vietnam National Authority of Tourism report on the industry for the first 10 months of 2024, the total number of international visitors exceeded 14.1 million, reflecting a 41.3 per cent increase compared to the same period in 2023.

Notably, Asia accounted for 80 per cent of these visitors, with nearly 60 per cent coming from China, South Korea, Taiwan, and Japan.

European tourist arrivals to Vietnam also experienced notable growth, with key markets showing strong performance. The UK saw a 20.4 per cent increase, followed by France at 30.5 per cent and Germany at 23.6 per cent. Other markets also recorded impressive growth, including Italy (up 54.5 per cent), Spain (up 23.3 per cent), Russia (up 81.5 per cent), and Denmark (up 21.7 per cent).

These markets have benefited from Vietnam’s unilateral visa exemption policy, which allows travellers to stay for up to 45 days, implemented since August 2023.

New opportunities for cultural tourism As global tourism trends shift towards cultural and experiential travel, Vietnam’s rich heritage offers a competitive edge in carving out a unique identity.