From international arrivals, aviation, to hospitality – the travel and tourism industry in Southeast Asia is predicted to see a continued and strong recovery in 2023. Southeast Asian governments are setting ambitious 2023 international visitor arrivals target following encouraging results from 2022.
With returning tourists, industry players need to pay attention to new travel trends that have emerged post-pandemic, such as the growing interest in wellness or nature trips. China’s sooner-than-expected reopening has also added anticipation and excitement to the recovery of the sector. International Monetary Fund (IMF) predicts Southeast Asia is likely to enjoy a strong recovery in 2023 amid an increasingly dimming global economy. Top air carriers such as Cebu Pacific, Air Asia and Singapore Airlines have not only set high targets for increased flight bookings but also for airlines capacity and flying frequency to various Asian destinations.
A survey conducted by Booking.com across thirty two countries including Singapore, Thailand and Vietnam states that 72% of respondents believe that travelling will always be worth it despite global instability. With increase in vaccination rates, desire for recovery of hospitality and travel to pre-pandemic levels are expected to spur competitiveness in the SEA region to attract key international tourist source markets. However, the interests in the type of trips have taken a different direction post pandemic, where people have growing interest in wellness or outdoor/nature trips. This expected surge in travel post pandemic not only gives the hospitality industry the opportunity to recover but also provides immense tech opportunities. Companies can introduce VR destination simulators, AI-based personalised travel accommodations and metasearch engines to compare travel prices; which gives them an edge over the post pandemic competition.
