Vietnam Business Channel

Vietnamese prefer cash to when traveling overseas but credit card users are more valuable

 

A new market research report on “Vietnam Outbound Travel Trends 2019” reports that when traveling overseas, Vietnamese still prefer cash over credit cards or other forms of digital payment. The report, by Outbox Consulting, says that 60.1% of Vietnamese overseas travelers use cash, 50.3% use credit cards and less than 1% use traveler’s checks.

 

CashOverseas2
Overseas payment methods of Vietnamese travelers – Courtesy of Outbox Consulting

 

The report also broke down use of cash, credit cards and other payment methods by ages and found that younger travelers use cash, while older travelers are using credit cards.

• Respondents born between 1980 ~ 1999 – 49.9% said that they use cash

• Respondents born before 1970 – 58.8% said they use credit cards

According to Outbox Consulting, their survey generated responses from 1,053 Vietnamese between the ages of 20-50 who traveled overseas within the past 12 months.

Top 5 Destinations

• Thailand
• South Korea
• Japan
• Singapore
• China


Travel Method

• Free Independent Travel (FIT)           52%
• Package Tours           38%


Travel Value

• Free Independent Travel (FIT)           Average spend of $215 ~ $430 per trip
• Package Tours           Average spend of $430 ~ $860 per trip



Choice of Destinations

• Cost           60.1%
• Good scenery           53.1%
• Safety           47.9%
• Visa Procedures           43.5%
• Time spent overseas           40.7%


Mastercard, the international credit card company has also tracked a variety of Vietnamese travel trends and reports that the two fastest growing outbound markets in the Asia Pacific region are Myanmar (#1) and Vietnam (#2). Myanmar’s growth between 2016 ~ 2021 is projected at 12%, while Vietnam’s is projected to increase 9.5%.

Statistics from the Vietnamese government reported that 8.6 million Vietnamese traveled overseas in 2018, a 15% increase from 2017.

Travel industry experts note that as more Vietnamese join the ranks of the middle class, they are looking for new experiences, and overseas travel is high on their list of activities that they want to do.

For many Vietnamese they’re first overseas trips are within Southeast Asia and once they become familiar with how overseas travel works, they take increasingly longer trips to destinations that are further from the country to increase their “experiences”.

 

 

 

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