Vietnam’s resort market is experiencing a robust recovery with varied trends. Hotels in Hanoi and Ho Chi Minh City are seeing improved performance due to rising room rates, while coastal destinations like Nha Trang, Phu Quoc, Cam Ranh, and Ha Long report significant increases in occupancy rates.

The resort market is entering a new cycle, with notable improvements in average room rates and occupancy. Despite past pressures from new supply, the market is now showing positive results across most destinations. Experts emphasize the need for new development strategies focusing on service quality, particularly in Ho Chi Minh City, Hanoi, and coastal tourism hubs like Da Nang and Phu Quoc. Ho Chi Minh City’s administrative expansion and infrastructure development, including aviation, are creating opportunities to diversify resort products, from standard hotels to long-stay models and mixed-use projects.

With over half of Vietnam’s population projected to join the middle class by 2035, boasting higher incomes and spending power, coupled with growing international tourist arrivals, the tourism and resort sector is expected to thrive. The trend of partnering with international hotel brands is on the rise, with the proportion of internationally branded hotels in Vietnam increasing from 24% to 32% over the past decade. These partnerships, driven by global brand recognition and standardized operations, are also extending to the residential sector with “branded residence” products. Vietnam currently has 21 operational branded residence projects, ranking second in Southeast Asia after Thailand and among the top 10 globally for developing project supply.