Changing traveller habits to shape the future of property in the hospitality sector.
In our recent blog we looked at how Vietnam’s hotels need to adapt to changing demands. We can look into this matter further by assessing research carried out by Savills. Tourism has become big business in Vietnam. Therefore it is important for the industry to thrive to adapt to changing traveller habits. The real estate firm looked at the different types of travellers and how they influence this booming business.
1. Silver travellers.
Defined as those over 65 years. This age demographic is travelling more than ever before. It is group that Vietnam could easily look to capture particularly as over the last decade there has been an increase of nearly fifty percent silver travellers from the European Union. A result of their larger disposable income which helped to supplement the deficit of younger generations travelling during the 2008 global financial crisis. The industry should aim target this older age group specifically during low season when visitor numbers are lower. Creating organised tours and activities specifically geared to their interests. Savills predicts that their appetite for holidays will continue to grow taking several separate trips yearly.
2. Business travellers.
Vietnam is becoming a buzzing centre for business. The Japanese are injecting vasts amounts of foreign direct investment to capitalise on this expanding economy. Thus the hotel industry need to provide an environment that is comfortable to business travellers. Larger communal areas are expected to become common place to help create a homelike environment that can compete with serviced apartment and Airbnb setups. User experiences are enhanced with technology such as facial recognition for a quick check in. Other technological advances will include improved business centres where guests can interact with their staff in real time to enable conducting business even easier.
3. Single travellers.
The number of lone travellers is on the rise. Often having to pay a single supplement, the industry is helping this flourishing segment by reducing financial penalties imposed on them by creating deals for the single traveller. Single travellers span backpackers who tend to flock to Vietnam as part of their Southeast Asia route, silver and female travellers and often thrive as can book easily online and do not have to compromise on their agendas.
4. Ethical and green travellers.
The number of people who are conscious of the planet is growing. This may not yet be a priority for Vietnam but the industry should take heed that ecotourism is one of the fastest growing sectors in the travel industry according to World Tourism Organisation. Sustainability will become the norm and could even become as important as star ratings for hotels. Food should be locally sourced. Electricity will be generated from solar panels and there will be a strong ethos on giving back to the local community.
Will buildings in the future respond to these changing habits?
Changing traveller habits mean that buildings need to adapt to. As well as providing more ‘alternative’ hospitality accommodation in the form of serviced apartments and hostels, developers will need to consider the interface of the building. Sustainability and energy efficiency will be key. Technology will continue to need to be priortised and hotel’s will no longer be perceived just as a place to rest your head.
Communal areas will grow in size. Their facilities increased and Savills even forecast that co-working operators may even look to launch their own hotel brand. However it will not only be the metropolises that are set to draw in tourists. Lesser known destinations will benefit too. And this is exactly where Vietnam can flourish as much of the country remains untapped to the traveller tourist trail.
