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Vietnam Open Tour News & Events

THURSDAY 05 MARCH, 2009 | RSS Feed

Crisis leaves airlines flying in the dark

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There’s little prospect that airlines will cut fares in 2009 despite falling consumer purchasing power, lower fuel prices, and a 10-per-cent decrease in the import tax on jet fuel.

Passengers get on board at Noi Bai International Airport. There is little prospect that airlines will cut fares this year despite lower fuel prices and a 10 per cent decrease of import tax on jet fuel.

"The airlines will adjust reasonably depending on market movement together with the purchasing power of passengers," says Vietnam Airlines General Director Pham Ngoc Minh

However, one airlines industry expert, who asks to remain anonymous, says that airlines needed a seat occupancy rate of 75-80 per cent just to break even, even at current fares. Some would-be passengers who are holding out, expecting lower fares to encourge tourism during the global economic downturn, may therefore find themselves in for a long wait.

Market watchers are also saying that domestic passengers are only likely to enjoy airfare discounts under the An tuong Viet Nam (Impressive Viet Nam) programme, a major promotional campaign put on by the Ministry of Culture, Sports and Tourism under which 99 all-inclusive tours will be discounted between January and September to lure travellers.

The deputy head of Vietnam Airlines’ sales development division, Nguyen Minh Tam, says that besides the 30-50 per cent airfare reductions applied for clients of the programme, the airline has been co-operating with travel firms to build up others on tour fee reductions for the firms’ clients.

Domestic travellers have already begun booking for the April 30-May 1 holiday, which will run for four days this year, but budget carrier Jetstar Pacific has affirmed that it still has a lot of tickets for flights during that period. Nevertheless, it has advised passengers to draw up travel plans right now, as they can get cheaper fares if they book soon.

Jetstar Pacific has announced that it will offer 50,000 low-priced tickets on domestic routes flying between March 3 and May 21. The tickets can be booked between February 18 and 22 through booking offices and agents nationwide, as well as the airline’s website.

Tickets for domestic flights connecting HCM City with Da Nang and Hue, and Ha Noi with Da Nang will be slashed to VND250,000 (US$15), while tickets for flights from HCM City to Ha Noi, Hai Phong and Vinh, and from Ha Noi to Can Tho will be available for just VND500,000 ($30).

Such airfare discounts normally occur in the low season, but the April 30 – May 1 holiday is a high season when airlines normally think of adding more flights to the schedule and granting airfare discounts only to travellers in tours.

Vietnam Airlines, for instance, will slash the airfare from Ha Noi to the Cuu Long (Mekong) River Delta from VND1.7million ($100) to VND1.4million ($82) for people who are members of tour groups.

It is currently selling a return ticket on the HCM City-Ha Noi route through Vietravel for only VND2.6million ($153), well below the maximum level of VND3.4million ($200).

And Vietravel general director Nguyen Quoc Ky and staff of Viet Nam Tourism have both noted that tour fees have been lowered since domestic airfares have eased.

Vietnamtourism in Ha Noi has revealed that the firm plans to sell tours from Ha Noi to Da Nang, Quy Nhon, Nha Trang and Quang Binh next week which are VND1-2million lower per tour than the normal levels.

Source : VietNamNet/VNS





Co Le – cathedral-styled pagoda

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From Nam Dinh City, 15 km past Treo pagoda, is Co Le town. This quiet town is home to a special pagoda of the same name. This is one of biggest and nicest pagodas in the north. Besides its’ special architecture, Co Le pagoda has the largest bell in Vietnam.

 

The original wood Co Le pagoda was built in the 12th century by Zen monk Minh Khong. The current pagoda was built in 1920 by bricks and mortar made of lime, molasses, and giay ban (one kind of paper).

Co Le pagoda is a complex of architectural works, featuring typical architecture of northern pagodas, with tam quan (three-door temple gate), tower, major pagoda, club-house, ancestor’s house, and sanctuary.

The pagoda is surrounded by a lot of trees. Besides two sanctuaries are two ancient gao trees, which blossom red flowers in March.

Co Le pagoda’s pride is a 4.2m high, 9 ton bell, which was cast in 1936. Its uniqueness is the central chamber with gothic architecture. The chamber looks like a catholic cathedral.
 

The pagoda has a 12-storey tower named Cuu Pham Lien Hoa, which lies on a big turtle. The tower is 32m in height, with eight sides, and 62 stairs to the peak.

The tower is linked with the Buddist club house by a small bridge. On the left of the club house is Tran Hung Dao temple. Next to it is Lieu Hanh Temple.

Co Le pagoda festival takes place from the 13th-16th of the ninth lunar month. The festival is very bustling with folk games, particularly a boat race. This festival is the most famous festival in the north.

Source : VietNamNet/DNSG





Exploring Nha Trang Sea on King Yacht

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In the near future, visitors to the central coastal city of Nha Trang will be able to take an unforgettable luxury cruise on King Yacht, the first such Vietnamese-made vessel invested by Hai Au Nha Trang Co. Besides the impressive splendor of the yatch, vacationers will be amazed by the story of owner Bui Nguyen The Vinh as he spent VND20 billion on the yacht just to make a day on the Nha Trang Sea more wonderful.

A view from the deck of King Yacht.

“King Yacht is my dream! Nobody knows how much I longed for a Vietnamese-made luxury yacht to serve cruise travel in the country,” Vinh said. Born in Khanh Hoa Province, the 43-year-old former doctor was the owner of a pharmaceutical company in HCMC for 11 years before establishing Hai Au Nha Trang Co. to make his dream come true.

The 80-ton yacht is 28 meters long, 7.4 meters wide and 5 meters high and was built at the Institute for Shipbuilding under Nha Trang University. It has been licensed as seaworthy by Vietnam Register.

We were lucky to be among the first passengers on King Yacht. On a beautiful sunny day, we took a cutter from Cau Da Port out to the international standard yacht where 53 crew members in crisp blue uniforms welcomed us smartly. With four cabins and a large restaurant serving Asian and European dishes, the yacht includes a spacious deck where we enjoyed the awesome beauty of this part of the Pacific.

The US$50 day cruise includes coffee, wine, a five-course lunch and a massage. The US$350 overnight cruise includes all meals.

The main compartment easily converts into a conference or dining room, even a bar. Cabins with private bathrooms, TVs, Internet access and portholes are on the upper deck. Rounding out the luxury are two four-star standard massage rooms.

King Yacht’s itinerary to Nha Trang Bay is also impressive with its view of Vinpearl Land resort, stops at Mun and Mot islands for swimming or diving and Tam Island, a new four star tourist site.

Diners at the yacht’s elegant restaurant are invited to sing or play instruments and can demand massage service after a strenuous day of cruising and eating.

The US$50 cruises set out everyday regardless of the number of tourists registered. Vinh hopes to launch more yachts in costal regions throughout the country such as Ha Long, Vung Tau, Danang and Ca Mau.

Source : VietNamNet/SGT





Vung Ro - a historical land

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I came back to Vung Ro on February 16, the day that a historical event caused a stir from Saigon to the Pentagon 44 years ago.

Vung Ro was historically known as the very important port for shipping weapons from the North to the South in the war against the U.S. From November 1964 to February 1965, Vung Ro, an isolated bay on the rocky coast, received four unnumbered ships.

A view of Vung Ro Bay.

However, on February 16,1965 Vung Ro entered the history books because of a particular incident; a U.S. Army officer flying his helicopter along the coast of South-central Vietnam spotted a large, camouflaged vessel perpendicular to the shore. Cargo was being unloaded and stacked on the beach. To keep the cache a secret, the North Vietnam army capsized and sank the ship.

As I left the coastal city of Nha Trang heading northward on National Road 1A for Phu Yen Province, the imposing landscapes along the road with the mountains and the sea were dazzling. Ca Pass looked like a hand on the Truong Son mountain range.

A little past the top of Ca Pass we turned into the valley on a winding mountain road, heading to Vung Ro Hamlet, located in Hoa Xuan Nam Commune, Dong Hoa District, Phu Yen Province. This was the first fishing village built in 1979 by a farmer named Chau Dinh Khang who brought his family of 11 children to set up business here.

When the car stopped on the hilltop one of us shouted "The sea, oh my God." The clear blue water of the sea appeared peaceful, enticing us to soak in the cool waves and to play in the waves among the endless white sponges. As we rushed down, our shrieks drowned out the sound of the sea.

Recognized as a historical landscape, Vung Ro Bay is not also endowed with a magnificent landscape of mountain, forest and sea, but is also home to diverse flora and fauna as well as seafood.

Under the sunlight of dawn, Vung Ro Bay emerges as an immense green round plate, with Ca Mountain in the south, Da Bia Mountain in the west and Hon Ba Mountain in the north. Vung Ro Port, which is so deep that can receive ships weighing more than 10,000 tons, is linked to Van Phong Bay by a narrow seaport. Vung Ro Hamlet is also a key port.

From here, tourists can go to the pristine and endlessly fascinating Mon Beach, nestled at the foot of Mui Dien (Dien Cape). The arcshaped beach, which is surrounded by boulders and hills, has captured the attention of travelers who love to swim in turquoise waters and lie on white sandy beaches.

It was four years since my last visit to Vung Ro. There are many changes, it was a deserted land but today it is a peaceful village with hundreds of households. Many deluxe resorts have been built in Tuy Hoa Town, but Vung Ro remains peaceful and pristine.

Source : VietNamNet/SGT





5-star hotels, resorts reluctantly slash service fees

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It is quite a surprise that in the context of the global economic recession, when the Vietnam National Administration of Tourism (VNAT) and travel firms are calling for tour fee reductions, luxury hotels and resorts have not slashed service fees at all.

High-class hotels should not slash service fees?

Foreign tourists to Furama resort

Nguyen Tri Phong in Hanoi, while booking a room at Furama Resorts in Da Nang City for the holiday at the end of March, realised that room rates had not been slashed as he expected.

Phong said that the staffs of Furama Resorts said that the room rate was $327/night, including a pick-up and drop-off at the airport.

Meanwhile, Luong Duy Khiem, Deputy Director of ANZ Travel, said that travellers in groups can book rooms at 4-star and less luxurious hotels at much cheaper rates, 1.5 times or 2 times lower than the rates applied to separate travellers.

River Side, a 4-star hotel in Da Nang city, for example, is offering $50/night, while a 3-star $35-40/night. However, these rates are applied to travel firms, much lower than the officially announced rates. If groups of travellers use more than eight rooms, the room rate would be $36-37/night (4-star hotel).

Meanwhile, 5-star hotels even do not accept slashing room rates for tourists in groups, or just slash by a little of 10%. At Furama resort, the lowest room rate is $195/night.

Explaining the big gap between the room rates at high-grade and lower-grade hotels and resorts, Khiem said that high-grade and lower-grade hotels have different subjects of clients. The main clients of high-grade hotels are businessmen and high-income earners who do not care much about room rates.

Nguyen Duc Quynh, Managing Director of Furama resort in Da Nang city, said that every hotel has its own pricing policy.

High room rates can bring high profit, low profit and many clients bring less profit because hotels have to pay high commissions. Meanwhile, it is easier to slash room rates than raise prices.

However, “the market will define the right prices. Hotels are adjusting room rates in order to attract travellers,” he said.

Quynh said that Furama has not joined ‘Impressive Vietnam’ because it believes that Furama’s room rates are now reasonable. As for travellers in groups, the room rates will still depend on different times. However, Furama is considering slashing room rates or providing free meals to groups of travellers, or even one free night if the travellers stay for many days.

Once tour fees down, travellers up

When hotels have high rates of idle rooms, turnover is low. Therefore, all hotels, both luxury and less luxury ones, need to attract clients with special offers.

The 5-star Sheraton Hotel in Hanoi, after two months of shaking hands with several travel firms, slashing room rates for travellers from Australia, South Korea, Europe and the US, has seen the number of travellers increasing significantly.

According to VNAT, the number of foreign travellers to Vietnam has decreased by 10.3% in total, but the number of travellers from the US has still risen by 40% (89,500 travellers). The number of travellers from Australia has increased by 14.4% (49,500), France 12.4% (31,200), Canada 30% (22,500).

As for separate travellers, Sheraton has offered special hotel room rates, $145/night, applied until the end of April 30 in Hanoi, and $275/night from now to March 31 in HCM City.

Many other 5-star hotels are also offering special programmes to attract MICE travellers. In the last time, a lot of MICE tours were cancelled in the context of economic difficulties.

Do Khanh Tra, Foreign Affairs Director of InterContinental Hanoi, said that the occupancy rate reached 98% last week after the hotel launched a discount programme applied to travellers in groups who stay for three nights and more.

Tra said that InterContinental Hanoi has also slashed service fees for workshops and conferences with associated free services, to be applied to events confirmed prior to June 30, 2009.

Source : Ha Yen





Cruise tourism will not have low season in 2009

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Tour guides who serve cruise travellers will have a ‘hard’ month in March 2009. Twelve cruise ships are expected to arrive this month with 24 days ashore, while there were two or three cruise ships a month previously.

Cruise tourism will not see a ‘low season’ in 2009

Tan Hong Travel said it has signed new contracts on receiving cruise ships in 2009, adding that cruise tourism will not see a ‘low season’ in 2009. In previous years, the period from May to September was considered the low season of that kind of tourism.

The news has really infused new fresh air into Vietnam’s tourism, which has suffered from the global economic recession with the number of foreign travellers arriving in Vietnam by air and road down dramatically recently.

However, it has been asked: Why is the number of tourists coming by air and road decreasing but the number of tourists coming on cruises increasing?

Analysts have cited three reasons: sources of travellers, prices and service quality.

Cruise travellers are mostly elderly people who have accumulated assets. Many of them are living in easy circumstances with high pensions, while others have rich children who buy tours for them. These travellers do not care about the collapse of the real estate market or the fall of the stock market.

Regarding tour fees, the sharp falls of the oil price have made cruise tour fees more attractive. Meanwhile, fees for tours by air to Vietnam remain sky high as travel firms, airlines and hotels still have not reached any consensus on service fee reductions.

Meanwhile, cruises are the choice of many travellers as they are convenient. Long-day cruises will not make travellers waste much strength, while they bring an opportunity for relaxation at sea. Travelers can bring a lot of things when they travel by ship, something impossible if they travel by air.

Analysts have also pointed out that the high quality of the service provided by Vietnamese travel firms is also a reason for the ‘no low-season year’ in 2009. Ten years ago, Vietnam was chosen as one of the two destinations in Southeast Asia for cruise ships, and it now remains a favourite destination.

Source : VietNamNet/TBKTSG






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