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Thursday, July 25, 2024

Travel firms brace for second Covid-19 wave

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HCMC – The tourism sector in Vietnam, which was just bouncing back from the slump caused by the pandemic for over six months, is once again reeling under the second wave of Covid-19, with many people cancelling their travel plans and firms telling customers to leave Danang, delay tours or change destinations.

Some events set to be held at hotels and resorts have been put off or canceled and the sector is putting a great deal of efforts into preventing the spread of the coronavirus.

An entrepreneur told the Saigon Times on July 28 that in the previous week, his company had sought to assign enough tour guides to serve tourists but the situation has been upended.

The summer travel season has been brought to a close after new community-transmitted Covid-19 cases were reported in Danang. His company’s customers have canceled tours to not only Danang and other central localities but also to other destinations.

Due to the pandemic, the company had to fire 30% of its employees. Only a few employees have jobs with minimum salaries and the others have been furloughed.

Only 20% of customers have agreed to delayed tours, while others have canceled their tours completely, said Tu Quy Thanh, director of Lien Bang Travelink.

The pandemic should be controlled in 30 days so that the company can resume operations. The company will use its backup fund, which has started to run out, for its operations until September, Thanh added.

According to the Vietnam National Administration of Tourism, no tourists are booking tours. Meanwhile, 100% of customers have canceled tours to Covid-19-stricken areas and 30-40% have canceled tours to areas that have yet to report Covid-19 cases.

Property service provider Savills Vietnam forecast that hotels and resorts in Danang will face a big impact as their customers have canceled plans to visit the city in August and September.

Many travel firms are doubtful about the recovery of the tourism sector this year despite promotional programs.

Representatives of some enterprises said they would continue scaling down business, while others revealed plans to suspend their operations or temporarily operate in other sectors.

Dong Hoang Thinh, director of tour operator Dong Thi Co., Ltd, said the company has canceled all tours and is considering investing in cloud kitchens.

By Dao Loan

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