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Vietnam’s Tourism Sector Faces Restructuring After Provincial Mergers

admin.trav by admin.trav
June 19, 2025
in News
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Vietnam’s Tourism Sector Faces Restructuring After Provincial Mergers

The June 12, 2025, passage of a National Assembly resolution restructuring Vietnam’s provincial administrative units has set the stage for significant changes in the nation’s tourism landscape. The resolution reduced the number of administrative provinces from 63 to 34, comprising six centrally-governed municipalities and 28 provinces. This dramatic reorganization presents both challenges and opportunities for the tourism industry, requiring a strategic realignment and a robust marketing campaign to maintain momentum and attract visitors.

Strategic Restructuring: A New Era for Vietnamese Tourism

Vietnam

The merger of provinces is expected to fundamentally reshape Vietnam’s tourism industry, creating a more cohesive and efficient system. According to Nguyễn Mạnh Thản, President of the Hanoi Tourism Association, the administrative changes offer a strategic opportunity for restructuring the sector. “This new administrative foundation will facilitate collaboration among localities in managing tourism resources, connecting infrastructure, and organizing synchronized tour routes,” he explained. “This will, in turn, create a sustainable and interconnected tourism value chain.”

This shift from a decentralized, fragmented approach to a regional one is welcomed by experts. Dr. Trịnh Lê Anh, from the Tourism Department of the University of Social Sciences and Humanities (National University of Hanoi), agrees, emphasizing the potential for strategic restructuring in regional tourism development. “The provincial mergers present an opportunity for many localities to restructure their tourism development strategies, opening up inter-regional tours where each locality acts as a link in the chain,” he stated.

Dr. Trịnh further highlighted the potential for creating unique and innovative tourism experiences. “Vietnam can fully expect a more synchronized tourism sector with unique and novel experiences,” he said. “Provinces, after the merger, will utilize this opportunity to refresh their brands. Tourists visiting Lâm Đồng province will not only experience the Central Highlands’ mountains and forests but also have the opportunity to enjoy the seaside.”

Sharing a similar perspective from the business side, Nguyễn Tiến Đạt, Vice President of the Hanoi Tourism Association, believes the mergers will significantly boost product innovation. He provided concrete examples of the potential benefits: “After the merger of Hải Dương and Hải Phòng, the ‘Côn Sơn – Kiếp Bạc – Cát Bà’ tour will no longer require permission from two different localities, eliminating misunderstandings and competition. Similarly, with the replanning of Lâm Đồng, Bình Thuận, and Đắk Nông, a ‘Dreamy Đà Lạt – Blue Sea of Mũi Né – Primeval Forest of Tà Đùng’ tour could be extended to 5-6 days, taking tourists from misty mountains to sunny beaches and into the deep jungle in a well-planned and complete journey.”

Rebranding Vietnam: The Importance of Marketing and Promotion

Vietnam

The significant administrative changes necessitate a concerted effort to rebrand Vietnam’s tourism destinations effectively. The influx of new geographical names requires a proactive approach to ensure seamless transitions and avoid confusion among tourists. Phạm Hà, President of Lux Group, argues for a shift in marketing strategy. “Until now, the tourism industry has focused on promoting local names,” she stated. “However, what genuinely attracts tourists is the uniqueness and distinctiveness of each destination. For nature and island lovers, what they need is a clean, green, beautiful place with pristine beaches and good service, not administrative boundaries. Therefore, localities should shift from promoting localities to promoting destinations.”

This requires close collaboration between local governments and businesses. Local authorities must work hand-in-hand with businesses in infrastructure planning, improving transportation, and promoting the newly formed inter-regional tourism products. PGS.TS Phạm Trương Hoàng from the National Economics University emphasizes the importance of building a sustainable brand identity rooted in local communities. “A truly sustainable tourism brand lives in the hearts of the people and spreads outwards,” he explained. “Local people will be the ‘brand ambassadors’, bringing destinations to tourists, even if the names have changed. To achieve this, the tourism industry needs to listen to the opinions of the people in planning, product design, and policy formulation.”

Nguyễn Công Hoan, Director of Flamingo Redtour, highlights the need for a redesigned tourism map and communication strategy. “The merger means localities must redesign tourism maps and communication strategies,” he affirmed. “The tourism industry and localities should create new tourism maps to guide tourists and businesses. During the transition period, both old and new names should be used to help tourists gradually get used to the changes without losing connection with the old brand. Furthermore, promotion should be intensified on social media platforms, search engines, and digital maps, ensuring that even with changes in administrative names, information about destinations remains easily accessible.”

Đồng Thị Ngọc Ánh, Deputy General Director of Sungroup, suggests leveraging international collaborations to boost Vietnam’s image globally. “The Vietnam National Tourism Agency should strengthen its connections with the Ministry of Foreign Affairs to organize familiarization trips (fam trips) for international travel agents and journalists,” she proposed. “This will help spread the image of Vietnam to international friends and utilize domestic foreign press channels to convey messages and images about Vietnamese tourism.”

Hà Văn Siêu, Deputy Director of the Vietnam National Tourism Agency, underscores the importance of thorough market research. “To develop effective tourism promotion strategies after the provincial mergers, businesses and tourism associations must pay close attention to market research,” he stated. “A significant portion of international tourists visit Vietnam independently. To attract them, new approaches to outreach and promotion are crucial, particularly through digital platforms.”

He further recommends a targeted approach to marketing and promotion. “In the future, businesses and localities should avoid spreading their promotional activities too thinly but instead focus on key areas,” he advised. “Each year, three to four major promotional activities abroad should be selected to create breakthroughs, investing in national-level implementation with business contributions in terms of ideas, advice, and finance, generating a high ripple effect.”

This includes diversifying marketing approaches, optimally combining integrated communication marketing methods, online and offline strategies, to effectively position destinations. The restructuring of Vietnam’s provinces presents a complex yet potentially transformative opportunity for the tourism sector. Successfully navigating this transition requires a coordinated effort among government agencies, businesses, and local communities to build a new, more cohesive, and globally competitive tourism industry. The successful implementation of these strategies will be crucial in ensuring the continued growth and appeal of Vietnamese tourism in the years to come.

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