Da Nang: Tourists increase but occupancy

Although the number of tourists coming to Da Nang continues to increase, the occupancy decreases slightly.


Da Nang is still a familiar destination for domestic and foreign tourists. Photo: Shutterstock.


Information from CBRE Vietnam, in the first 6 months of 2019, the total number of visitors served by the tourist accommodation facility in Da Nang was estimated at 2.72 million, up 21% over the same period last year.


In particular, international visitors reached 1.76 million, up 29% over the same period in 2018, domestic visitors reached 959,243 arrivals, an increase of 9% over the same period in 2018. Average international stay reach 2.7 days, domestic tourists is estimated to reach 2.5 days.


Despite impressive growth in the number of guests, the average room rate (ADR) of the 4-5 star hotel segment recorded a decrease of 17% compared to the same period in 2018, the room capacity also decreased slightly by 2.4 points percent.


According to CBRE, this may be partly explained by the recent increase in supply in the 4-star segment, with 5 4-star hotels being put into operation in the first 6 months, providing more Total 548 rooms. This has reduced the average room rate of 4 - 5 star hotel. In addition, this sector is also increasingly under pressure when a number of condotel projects and a series of 3-star hotels start to come into operation.


Despite the reduction in performance and room rates, but according to CBRE, the projects have built a stable distribution and marketing system and have a well-known name in the market, the operating situation is still very positive.


From now till the end of the year, Da Nang market is expected to have three more 4sao hotels in operation. In 2020, the market will welcome the participation of JW Marriott Da Nang, a luxury brand of Mariott Group with the highlight of VV Mall in the podium.


This large-scale mixed-use project promises to be the first large-scale resort and entertainment complex along the coast of Danang. In addition, another prominent project that is expected to go into operation by the end of 2020 is MGallery Ba Na with about 2,000 rooms and classic architecture, located in the Sun World Ba Na Hills complex.


According to Thanh Nguyen