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Digital Travel Revolution: Shaping Ho Chi Minh City’s Tourism in 2025

General Report April 29, 2025
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TABLE OF CONTENTS

  1. Summary
  2. Surging Digital Travel Market and Local Implications
  3. Mobile Booking Becomes Dominant Channel
  4. AI-Driven Personalization and Itinerary Planning
  5. Impact of Chinese Outbound Tourism on Ho Chi Minh City
  6. Conclusion

1. Summary

  • As of April 29, 2025, the tourism landscape of Ho Chi Minh City (HCM) is undergoing a significant transformation, driven by the expansive growth of digital travel platforms that integrate mobile-first booking behavior and AI-powered personalization. The global digital travel market has demonstrated remarkable resilience and innovation, with projections indicating a surge from $400 billion in 2022 to approximately $1, 618 billion by 2032, showcasing a Compound Annual Growth Rate (CAGR) of 15%. This phenomenal growth highlights how consumer behavior is shifting towards digital platforms, creating a dynamic landscape for travel operators and stakeholders in HCM.

  • The preference for mobile booking is particularly pronounced, as evidenced by a dramatic increase in the use of travel applications. In 2023, over 850 million users engaged with these platforms, further amplified by 2.8 billion app downloads in 2024. This shift toward mobile-first behavior not only enhances user experiences but also necessitates travel providers in HCM to adapt swiftly by optimizing their digital infrastructure and offerings. The implications for local tourism stakeholders are significant, encouraging investment in technology and approaches that prioritize consumer convenience, engagement, and satisfaction.

  • Moreover, the introduction of AI travel assistants, such as Fliggy’s 'AskMe', alongside platforms like TripXL, represents a pivotal shift toward personalized travel planning. These advancements streamline the booking process and tailor itineraries to individual preferences, offering substantial improvements in service delivery. Coupled with the growing influence of Chinese outbound tourists, whose international trips are projected to surpass pre-pandemic levels in 2025, HCM tourism is presented with a remarkable opportunity to enhance its appeal to this lucrative market segment. As such, the city stands at a crossroads where innovative strategies in digital travel can lead to robust tourism growth.

2. Surging Digital Travel Market and Local Implications

  • 2-1. Global digital travel market size and growth projections

  • As of April 2025, the global digital travel market is experiencing unprecedented growth, projected to surge from a valuation of USD 400 billion in 2022 to approximately USD 1, 618 billion by 2032, reflecting a robust Compound Annual Growth Rate (CAGR) of 15% over this period. This expansion is attributed to several key factors, including the escalating adoption of digital platforms by consumers and businesses, which has fundamentally reshaped the travel landscape. With travelers increasingly relying on mobile devices for booking and managing trips, digital travel has emerged as a dominant force in the global travel economy. Furthermore, advancements in technologies such as AI and cloud computing are enhancing user experiences, contributing further to market growth.

  • The digital transformation in the travel sector is largely driven by the growing preference for mobile travel applications and the omnipresent online travel agencies (OTAs). According to recent reports, the online travel market is also set to reach USD 1, 970 million by 2032, indicating a CAGR of 9.1% from 2024 onward. This growth highlights the critical role of digital solutions in facilitating consumer access to travel services, fostering healthier competition among providers.

  • 2-2. Online travel market trends and platforms

  • The current trends in the online travel market reveal a significant shift towards mobile-based bookings. With over 850 million users engaging with travel applications in 2023, and an impressive surge in downloads reaching 2.8 billion in 2024, mobile platforms have enhanced the consumer booking experience. Consumers are leveraging these tools for their travel needs, ranging from flights to accommodations, thus driving the trend of mobile-first booking behavior.

  • Additionally, the influence of AI-driven solutions cannot be overstated. Innovations such as chatbots and personalized recommendation systems are becoming integral to these platforms, creating enriched and tailored travel experiences. The competitive landscape is marked by numerous prominent players such as Airbnb, Booking Holdings, and Ctrip, all of which are continuously adopting new strategies to resonate with the evolving consumer demands. These platforms not only simplify the booking process but also offer competitive pricing and integrated service solutions, providing users with greater convenience.

  • 2-3. Implications for Ho Chi Minh City tourism infrastructure

  • The rapid growth of the digital travel market has profound implications for Ho Chi Minh City's tourism infrastructure and operators. As the city positions itself on the global tourism map, enhancing digital infrastructure is paramount. Local stakeholders must invest in creating seamless online booking systems and optimizing mobile applications to cater to the increasing consumer demand for digital services.

  • Moreover, service providers should explore partnerships with OTAs and AI solution providers to foster enriched consumer experiences. This would not only boost the local economy but also elevate Ho Chi Minh City’s profile as a competitive destination in Asia's tourism landscape. The city’s tourism sector stands to gain significantly if it aligns with these digital trends, presenting opportunities for specialized services that cater to distinct market segments such as Chinese tourists, who are driving much of the outbound tourism growth.

3. Mobile Booking Becomes Dominant Channel

  • 3-1. Shift from desktops to mobile devices for travel planning

  • In recent years, there has been a significant transition from desktop to mobile devices as the preferred channel for travel planning and bookings. As detailed in a report published on April 4, 2025, over 70% of U.S. consumers now favor mobile devices for local travel bookings, a stark contrast to the declining use of computers. Notably, mobile devices also dominate in the long-distance travel and rental car booking segments, where nearly 60% of consumers express a preference for using their smartphones rather than computers. This shift reflects a broader trend where convenience and immediate access to services have become paramount in the consumer decision-making process. Furthermore, the report highlights that while mobile devices have become predominant, certain demographics exhibit varying preferences. For instance, younger consumers, particularly Gen Z, tend to prefer computers more so for travel bookings than previous generations, likely driven by their usage patterns that combine academic and personal online activities on laptops.

  • 3-2. Generational differences in booking preferences

  • Generational attitudes toward travel booking are notably diverse, revealing distinct preferences between age groups. According to the aforementioned report, while Gen Z and Millennials show a high inclination toward mobile-first booking—64% and 53% respectively—Baby Boomers stand out with a preference for traditional desktop strategies. Only 28% of Boomers prefer mobile devices for booking travel, contrasting starkly with their younger counterparts. Interestingly, the report indicates that Gen Z's inclination toward desktops is primarily driven by the use of browsers rather than mobile apps, suggesting that despite their familiarity with technology, circumstances dictate their booking preferences. Analyze reveals that older generations appreciate the larger screens and functionalities of computers for more complex travel itineraries. This variance in preferences necessitates tailored marketing strategies that address the unique needs and behaviors of different consumer segments.

  • 3-3. Mobile strategy recommendations for HCM travel providers

  • As mobile booking behaviors continue to dominate the travel landscape, it is imperative for travel providers in Ho Chi Minh City (HCM) to develop robust mobile strategies to capture this growing demand. HCM travel operators should prioritize optimizing mobile interfaces, ensuring that apps are user-friendly and feature-rich to enhance the customer experience. Furthermore, seamless integration of payment options, including e-wallets and contactless payments, can significantly bolster the mobile booking process. Additionally, travel providers are encouraged to harness data analytics to understand consumer behavior and preferences better. This data can inform personalized marketing campaigns aimed at distinct generational cohorts, increasing engagement and conversion rates. For instance, employing targeted promotions that cater specifically to Gen Z's preferences could facilitate greater interaction and loyalty, while strategies tailored for older generations might leverage desktop functionalities alongside mobile offerings. By aligning their services with consumer trends, HCM travel operators can strategically position themselves to thrive in an increasingly digital marketplace.

4. AI-Driven Personalization and Itinerary Planning

  • 4-1. Launch of Fliggy’s “AskMe” AI travel assistant

  • As of April 29, 2025, Fliggy has recently launched its 'AskMe' AI travel assistant, designed to enhance personalized travel planning by utilizing a multi-agent system. This AI tool is capable of autonomously generating detailed and tailored travel itineraries based on real-time data, catering to individual traveler preferences. Users can input their requests and receive personalized travel options that encompass flights, accommodations, dining, and attractions, all streamlined into an easily adjustable plan. This initiative marks a significant shift towards making personalized travel accessible to a broader audience, reducing the decision fatigue commonly experienced during trip planning.

  • 4-2. TripXL’s personalized travel offerings

  • TripXL has redefined travel personalization through its technology-driven platform, focusing on providing budget-friendly and authentic experiences tailored to the specific needs of travelers. Their use of AI for monitoring user behavior, interests, and social media interactions enables TripXL to suggest destinations and activities that align closely with individual preferences. This capability significantly enhances the user experience by automating itinerary planning, providing round-the-clock customer support, and facilitating seamless communication between travelers and service providers. As of now, TripXL is ramping up its efforts and is in the soft launch phase, preparing for a full operational launch aimed at expanding its reach, particularly in the South Asian markets.

  • 4-3. Evolving CRM trends in the travel industry

  • Current trends in Customer Relationship Management (CRM) systems indicate a significant integration of AI technologies, focusing on enhancing personalization and automating customer interactions within the travel sector. AI-powered CRM platforms are now crucial for delivering hyper-personalized experiences by analyzing customer data and predicting their needs. In 2025, travel businesses that leverage these advanced CRM solutions are positioned to improve customer engagement significantly. Features like omnichannel communication and enhanced data privacy are essential in today’s marketplace, especially as customer expectations for seamless and secure interactions continue to rise. By utilizing state-of-the-art AI capabilities, travel providers can now offer tailored solutions that enhance operational efficiency while building stronger connections with their customers.

5. Impact of Chinese Outbound Tourism on Ho Chi Minh City

  • 5-1. Projected growth of Chinese international trips in 2025

  • As of April 29, 2025, Chinese outbound tourism is witnessing a robust resurgence, with projections indicating over 155 million international trips during the year. This marks a significant rebound, surpassing pre-pandemic levels, according to reports from China Trading Desk. This surge reflects a broader trend of increasing mobility among Chinese travelers, characterized by a growing propensity for international travel. The data suggests that 72% of these travelers plan to undertake multiple trips within the year, signaling a transformative shift towards a more internationalist outlook among Chinese consumers.

  • 5-2. Spending patterns and emerging first-time travelers

  • New trends indicate that spending habits are evolving, particularly with a rise in high-spending travelers. The latest findings report that 28% of Chinese tourists are budgeting more than CNY 50, 000 (approximately US$6, 890) for their journeys, often driven by digital-first shopping habits and a demand for luxury experiences. A noteworthy segment emerging within this demographic is the first-time traveler; nearly 38% of travelers going abroad for the first time fall under this category, predominantly young individuals under 30 years of age, with a significant representation of females. This demographic shift presents a ripe opportunity for Ho Chi Minh City to cater to an audience eager for guided experiences, promoting products and services tailored to first-time international experiences.

  • 5-3. Opportunities for HCM tourism sector to attract Chinese visitors

  • At present, Ho Chi Minh City stands at a pivotal juncture to harness the influx of Chinese tourists by leveraging targeted marketing strategies and enhancing the overall visitor experience. As destinations globally fine-tune their offerings, Ho Chi Minh City can capitalize on this growth by streamlining visa processes and effectively promoting its unique cultural and recreational attractions. With insights revealing that approximately 79% of Chinese travelers utilize social media for research and travel inspiration, engaging content on platforms such as Xiaohongshu and Douyin can effectively showcase the city's offerings. Moreover, optimizing mobile booking experiences to cater to last-minute travel decisions will further enhance attractiveness, capitalizing on the spontaneity exhibited by modern travelers.

Conclusion

  • In conclusion, Ho Chi Minh City is poised at the forefront of a digital travel revolution marked by significant opportunities and evolving consumer behaviors. The competitive landscape of the tourism sector underscores the necessity for local stakeholders to embrace digital transformation actively. As the global digital travel market continues to expand at an unprecedented rate, HCM must focus on enhancing its digital infrastructure, optimizing mobile platforms, and ensuring seamless user experiences to attract and retain visitors.

  • Furthermore, the strategic implementation of AI-driven solutions and personalized travel experiences via CRM systems can differentiate HCM's tourism offerings in an increasingly competitive environment. The surge in Chinese outbound tourism also emphasizes that targeted marketing campaigns and tailored services are crucial in catering to this burgeoning demographic. By fostering collaboration between city authorities and travel operators and investing in data-driven strategies that encompass new technologies, HCM has the potential to solidify its position as a leading destination in Asia's tourism landscape.

  • Looking ahead, as consumer preferences continue to evolve towards convenience and personalization, a proactive approach that integrates these insights will be essential for Ho Chi Minh City to thrive. The commitment to developing innovative travel packages aimed at the Chinese market and enhancing overall visitor experiences will be paramount in sustaining growth and ensuring that HCM remains a competitive player in regional and global tourism arenas. The journey towards digital excellence in tourism has just begun, and the future holds significant promise for Ho Chi Minh City.

Glossary

  • Digital Travel: Refers to the use of digital technologies and platforms in the travel industry, including mobile applications, websites, and AI systems, to facilitate travel planning, booking, and experience enhancement. As of April 2025, this sector is characterized by rapid growth and innovation, reflecting shifting consumer behaviors towards online interactions and mobile-first solutions.
  • AI Travel Assistant: An artificial intelligence-based tool designed to assist travelers in planning and managing their trips. For example, Fliggy's 'AskMe' AI travel assistant uses a multi-agent system to create personalized itineraries based on real-time data, addressing individual traveler preferences. This technology aims to reduce decision fatigue and improve the overall travel experience.
  • TripXL: A travel platform focused on personalized travel experiences through technology. As of 2025, TripXL employs AI to analyze user behavior and interests, enabling it to offer tailored travel recommendations and automate itinerary planning. The company is currently in a soft launch phase with plans for further expansion.
  • Mobile Booking: The practice of using mobile devices to make travel-related reservations, including flights, accommodations, and activities. The trend indicates a preference shift towards mobile platforms, with over 70% of U.S. consumers favoring mobile devices for local bookings as of April 2025, significantly impacting travel provider strategies.
  • Chinese Outbound Tourism: Refers to the growing trend of Chinese travelers venturing abroad, which is projected to surpass pre-pandemic levels in 2025. With an expected 155 million international trips, this demographic is pivotal for destinations like Ho Chi Minh City that aim to market their attractions and services to Chinese tourists.
  • Tax Refund: A system allowing international travelers to reclaim VAT or sales tax on purchases made during their visits. As of 2025, tax refund services are increasingly relevant for tourism sectors aiming to attract high-spending tourists, particularly from markets like China, where travelers often seek to maximize their spending power abroad.
  • Personalization: The practice of tailoring travel experiences and offerings to individual preferences using data-driven insights. AI advancements in CRM systems are enabling travel providers to deliver hyper-personalized services, which have become essential in meeting the expectations of contemporary travelers as of April 2025.
  • CRM (Customer Relationship Management): A technology and strategy for managing relationships and interactions with customers, particularly in the travel industry. As of 2025, AI-driven CRM systems are enhancing personalized experiences, allowing businesses to predict customer needs and streamline communications, thus significantly improving customer engagement.
  • Market Projections: Forecasted estimates regarding future market performance, including growth rates and consumer behavior trends. Currently, the global digital travel market is projected to grow from $400 billion in 2022 to $1, 618 billion by 2032, indicating a robust CAGR of 15% as of April 2025.

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