Vietnam Hospitality - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)

The vietnam hospitality market size was valued at USD 23.73 billion in 2025 and is estimated to grow from USD 25.67 billion in 2026 to reach USD 38.01 billion by 2031, at a CAGR of 8.17% during the forecast period (2026-2031). This report is Segmented by Type (Chain Hotels, and Independent Hotels), Accommodation Class (Luxury, Mid & Upper-Mid-Scale, Budget & Economy, Service Apartments), Booking Channel (Direct Digital, Otas, Corporate/MICE, Wholesale & Traditional Agents), and Geography (Northern Vietnam, Central Coast & Highlands, Southern Vietnam). The Market Forecasts are Provided in Terms of Value (USD).

Vietnam Hospitality Market Trends and Insights

Visa-On-Arrival Expansion Boosts Long-Haul Demand

Resolution updates in August 2025 extended visa-free entry to 24 countries with stays of up to 45 days, which broadened access for European travelers who previously faced more complex entry rules. The December 2025 expansion of e-visa validity and access further cut procedural friction by lengthening stays to 90 days and opening more ports of entry to international visitors, which has supported longer trips and higher room-nights. These changes coincided with strong entry growth from major long-haul and emerging markets through 2025, reinforcing the link between facilitation and realized travel. India also stepped up as a larger source market during 2025, reflecting how reduced administrative barriers and improved air connectivity help unlock pent-up demand. The cumulative effect in 2025 showed a longer average stay of 4.5 days compared to prior norms, which raised hotel demand without requiring the same percentage increase in arrival counts. Official visa-exemption lists and guidance confirm the scope of eligible countries and the policy intent to stimulate tourism and investment-grade travel segments.

Resilient Domestic Leisure Travel and Work-Cation Culture

Vietnamese travelers maintained momentum in 2024, delivering 110 million domestic trips and generating USD 32.96 billion in revenue, which allowed hotels to diversify beyond dependence on inbound demand flows to sustain occupancy during shoulder weeks and seasons. The city of Hanoi posted a strong domestic event-led spike during August 2025 that included millions of visitors and meaningful same-month tourism revenue for the capital. Work-cations and self-drive itineraries gained traction among younger cohorts in 2025, which supported bookings for serviced apartments, homestays, and co-living formats near national parks and coastal corridors. This demand also buffered operators against currency swings and geopolitics that can influence inbound volumes, particularly from concentrated source markets in Northeast Asia. The pattern strengthened the case for dynamic pricing and flexible inventory across weekdays, weekends, and holiday periods to capture spontaneous domestic trips. Official tourism statistics corroborate the overall scale of domestic activity and the role of local events in driving monthly highs in key cities.

Construction-Material Inflation Squeezing Project ROIs

Construction input remained elevated in 2025, with sand prices at USD 17.65 per cubic meter, and steel in the USD 0.47-0.52 per kilogram range, together representing the bulk of materials cost for hotel projects. Listed contractors reported sharp profit declines in Q1 2025, and project delays increased, which affected speculative developments and caused owners to reassess schedules while waiting for clearer signals on input-cost normalization. Housing and construction materials inflation moderated month by month into late 2025 but remained above headline consumer inflation, which indicates persistent cost pressure that owners cannot pass through under fixed or semi-fixed management agreements. Rising bitumen costs, nearing USD 0.70 per kilogram, have also weighed on capex for access roads and related infrastructure that are vital for coastal destinations but do not always carry direct cash yields. With hotel yields often in the mid-single digits, the room for cost overruns is limited, so prolonged input inflation can erode project economics even in strong demand corridors. Official price and inflation indicators provide context for how input costs track against broader inflation and the likely timeline for relief to feed into pipeline restart decisions.

Other drivers and restraints analyzed in the detailed report include:

• FDI-Fuelled Upscale Hotel Pipeline in Tier-2 Coastal Cities
• Digital-Nomad Visas and Co-Living Hybrids
• Acute Shortage of Bilingual Managerial Talent

Segment Analysis

Independent hotels accounted for 69.88% of inventory and demand in 2025, supported by ownership structures where families and local groups control most properties and make decisions on capex and operations with long horizons. Chain brands are growing faster, with an 11.65% projected CAGR that reflects owners’ shift toward management contracts to capture loyalty traffic, consistent standards, and stronger revenue management engines. International operators expanded signings and openings through 2024 and 2025, which increased their footprint across mid to high-end classes and brought global distribution capabilities to coastal and urban nodes. Owners have found that management contracts let them retain asset ownership while outsourcing operations to specialists, which keeps real-estate optionality intact and elevates guest experience to match rising ADRs. Branded partnerships between domestic owners and international managers have become more common and demonstrate the value of brand flags in resort and city formats for both occupancy and rate performance. Accor announced new projects and continued to expand its portfolio in northern cities, while IHG and Marriott added brands and properties in destinations spanning Hanoi, Ha Long, Da Nang, and the Mekong Delta, reinforcing the premium positioning of the Vietnam hospitality market in regional pipelines.

Chains are gaining influence in gateway cities where corporate travel and MICE volumes reward brand recognition, and they also sign new-built coastal resorts that require more complex pre-opening support and larger distribution engines. Independent operators hold resilience in rural locations where guesthouses and homestays leverage OTA reach, but their urban position is increasingly contested by multinational brands with loyalty ecosystems. The market has seen new brand entries, including boutique and lifestyle flags that aim to capture domestic millennials and global travelers seeking design-led experiences at attainable rates. Distribution technology and data-driven pricing are now baseline requirements for competitive performance in major cities, which raises the bar for independents. As this rebalancing continues, international chains will likely consolidate their presence in upscale categories, while independent hotels continue to dominate numerically in budget and mid-scale segments. Marriott’s late-2025 opening of Legacy Mekong, Can Tho, Autograph Collection, and IHG’s first InterContinental in Ha Long illustrate how brand expansion aligns with demand corridors that underpin the Vietnam hospitality market outlook into 2031.

Complete Report Scope:

• By Type
  • Chain Hotels
  • Independent Hotels
• By Accommodation Class
  • Luxury
  • Mid & Upper-Mid-scale
  • Budget & Economy
  • Service Apartments
• By Booking Channel
  • Direct Digital
  • OTAs
  • Corporate / MICE
  • Wholesale & Traditional Agents
• By Geographic Region
  • Northern Vietnam (Hanoi & surrounds)
  • Central Coast & Highlands
  • Southern Vietnam (HCMC & Mekong)

List of Companies Covered in this Report:

• Vinpearl
• Muong Thanh Hospitality
• Accor
• InterContinental Hotels Group (IHG)
• Marriott International
• Saigontourist
• Fusion Hotel Group
• Lodgis Hospitality
• Wyndham Hotels & Resorts
• Hilton
• Hyatt Hotels
• Best Western
• Radisson Hotel Group
• Sun Hospitality Group
• Diamond Bay Resort & Spa
• A25 Hotel Group
• H&K Hospitality
• Ascott
• Six Senses
• Novotel (Accor)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support