group 1. tourism segmentation in hanoi, vietnam - july 4th 2011
TRANSCRIPT
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GROUP 1
TOURISM SEGMENTATION
IN HANOI AND VIETNAM
IN THE YEAR 2010
WORK ASSIGNMENT (GROUP 1)
MS. DUONG THI THUY GIANG
MS. ARSANORK NOEMIE CHURATAT
MS. DAO THI VAN
MS. CAO THI HONG THANG
MR. LUU TIEN DUNG
Hanoi, April 22, 2011
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Table of contents
Abstract ................................................................................................3
I. Introduction ..................................................................................3
II. Segmentation Methodology................................................................3
2.1. Study objectives.................................................................................................. 3
2.2. Secondary Data: Questionnaire Design............................................................. 4
2.3. Primary Data....................................................................................................... 4
III. Tourism Statistic in Vietnam and Hanoi ...............................................4
3.1. International tourist to Vietnam in 2010 ............................................................ 5
3.2. Tourist Segmentation by geographic.................................................................. 6
3.2.1. International tourist to Vietnam in 2010 by geographic..................................... 6
3.2.2. International Tourist to Hanoi by geographic (bases on total 94 interviewed
visitors) ......................................................................................................................... 8
3.3. Tourist Segmentation by purpose of trips .......................................................... 9
3.3.1. International tourist to Vietnam in 2010 by purpose of trip ............................... 9
3.3.2. International tourist to Hanoi by purpose of trip .............................................. 10
3.4. Hanoi tourist Segmentation by age of tourist ................................................... 11
3.5. Hanoi tourist segmentation by transportation................................................... 12
3.6. Evaluation tourist sites in Hanoi....................................................................... 13
IV. Servqual Method ..............................................................................14
Conclusion...........................................................................................16
References ...........................................................................................17
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Abstract
Tourists are not the same. They have difference of geographic, demographic,
socio-economic and behavioral. Thus, each tourist came to Vietnam with different kinds
of expectations. They expect to be responded to get their satisfaction such as good services
from tourism operators, beautiful destinations, friendly local people, delicious local food,
good accommodation. Before the tourists commit a travel in each country. they usually
find out information in order to choose destinations by vary of information sources such as
travel books, tourism forums, websites and/or word of mouth to make their itineraries in
their mind. In the tourism industry, awareness of the importance of tourists’ expectationsis the first thing to be defined. This report based on studying process focused on
classification the tourists’ expectations that involve to tourist satisfaction.
I. IntroductionNowadays tourism is a business in service industry. Tourism industry need to
provide various types of services: Accommodation services, Hotel booking, Restaurant
services, Hospitality, Communication and transportation services. Vietnam is the one of
beautiful countries in the world. There are various of wonderful tourist sites such as
beaches, natural culture and heritage sites including variety of ethnic minorities cultural.
Tourism is the one of strength business in Vietnam. Now Vietnam is in the top five
countries of ASEAN in attracting international tourists (WTO). Each year the number of
tourist visiting has been increasing. In 2010, arrivals reached 5,049,855 arrivals,
increasing 34.8 % compare to 2009 (reached 3,772,359 arrivals - Vietnam National
Administration of Tourism) for example. It is necessary to understand tourists’expectations to match their expectation with the destinations to create tourist satisfaction.
Naturally, tourists will have expectations from tourism destinations and expectations of a
destination with affect satisfaction levels. These expectations can be increased or
decreased.
II. Segmentation Methodology2.1. Study objectivesThis report was carried out in order to segment and analyze tourists in Hanoi
(Vietnam). We are focus on tourism segmentation by geographic, purpose of the trip, the
age of tourist and by transportation. In this study, it is also necessary to allocate tourists’expectation into tourism segmentation on behalf of understanding the expectation of each
segment to improve tourist satisfaction and decrease the gap between tourists’expectations and hospitality services in Hanoi.
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2.2. Secondary Data: Questionnaire DesignIn order to measure what tourists’ expectations, the collection of information was
facilitated by use of a questionnaire. Questionnaire attributes were overviewed by
outbound tourists in Hanoi. In order to define tourists’ expectation and satisfaction of
Vietnam as a tourism destination, the questionnaire attributes involve questions about their
geographic: where are they from, demographic: age, their purpose of trip, what kind of
transport, which tourism destinations in Vietnam and their comments. Respondents in the
sample were requested to evaluate their satisfaction with using ranging of satisfaction
levels: excellent, good, not quite good and bad.2.3. Primary DataPrimary data consisted theories and tourism statistic in Vietnam. They were
collected from tourism websites and Vietnam National Administration of Tourism
website.
III. Tourism Statistic in Vietnam and Hanoi
Group 1 collected the data by using statistic data from official websites of Vietnam
National Administration of Tourism and questionnaire and email to 94 foreigners who
visited Hanoi, Vietnam by holiday and business as well as interviewed them about their
though, their feeling during their trip in Vietnam and from that we know their expectation.
Delivering superior services is an important expectation of customers. Tourists,
especially foreigners when they go to Vietnam they need help from all local people for
checking in, out In hotels or airport, they need help from taxi drivers when they go by taxi,
they need help from local people when they ask ways on the streets or change money in
the bank… and they need help from tour operator and tour guide to know market, help forpurchasing items, carrying bags, cover all destination, medical aids, proper food. If
agencies fail to fulfill their need and their expectation, they become unsatisfied and the
result is that tourists never come back Vietnam again and never recommend their friends
to Vietnam in the future.
From the main data we collected 94 tourists agreed that the tourism resource in Hanoi
and Vietnam is very rich, very beautiful with variety kind of tourist sites both nature and
culture and history.
MR. GAUNOR STODDARD, a tourist come from UK left us a comment that
“Vietnam has changed a lot since I left in 1998. Pace of change is very quick, but I would
like to see the old buildings maintained and restored. Improving crossing for pedestrians
is necessary because it is quite scared for some tourists and children. We twice had
problems in Ho Chi Minh for 3 days”.
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MS. PAMELA, a Teacher for one school in Hanoi expressed that “I expect that
people will be more friendly and helpful. There should be set prices for things so tourists
don’t feel cheated when they are over charged. Transport should be safer”.
MR. G.QUELIN, a tourist come from France said that “ I learned Vietnam through
Guide Book and I visited many places as Hanoi, Hue, Da Nang, Hoi An, Ha Long, Ho Chi
Minh, Nha Trang, Mui Ne….People in Vietnam is friendly, and landscapes are beautiful.
But I expect 3 things: Taxis in the airport are honest and organized, tourist police to help
travelers, protection for old building”.
Tourist expectation
To summarize 94 ideas of tourists coming to Hanoi, Vietnam, we define their
expectation as followings:
- Tourists from Europe want to know the living in Asia in general and Vietnam in
particular with difference of culture.
- Beautiful landscapes in Vietnam are the most important things to attract them spend time
and money to visit.
- Variety historical and cultural heritage sites are elements keeping tourist’s expectation.- They want to meet friendly and helpful Vietnamese people.
- Vietnamese food is also an element that tourist expect.
- Be better about services (taxi drivers, people working in tourism field.) and traffic as
well as environment.
3.1. International tourist to Vietnam in 2010
Market segmentation of tourists in Vietnam has two main areas of domestic and
international visitors. Due to the limitations of the subject, in this paper we only focus on
the market of international visitors to Vietnam.
Vietnam has become an attractive destination with international visitors
continuously increasing over the years. Generally in 2010, international arrivals reached
5,049,855 arrivals, increasing 34.8% compared to 2009 (reached 3,772,359 arrivals).
Visitors distributed fairly evenly in months, no big difference but still distributed into two
tourist seasons: high season (from December to April last year following the year) and low
season (from May to September).
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Figure 1: International visitors to Vietnam over the month in 2010
Month Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Visitors 431,392 446,323 473,509 432,608 350,982 375,707 410,000 427,935 383,463 440,071 428,295 449,570 5,049,855
% 8.54 8.84 9.38 8.57 6.95 7.44 8.12 8.47 7.59 8.71 8.48 8.90 100.00
(Source: Vietnam National administration of Tourism’s website)
Chart 1: International visitors to Vietnam over the month in 2010
Market segment of tourism is an important step to finding out appropriate ways to
develop tourism in Vietnam in the future. There are many methods of tourism
segmentation, in the framework of this paper, we segment the market of Vietnam tourism
in two ways: segment by purpose and segmented by geographic.3.2. Tourist Segmentation by geographic3.2.1. International tourist to Vietnam in 2010 by geographic
Understand market segmentation of tourists in the demographic, we can offer the
tourist product most appropriate for each group.
For the tourist market of Vietnam, tour groups from Asia accounted for relatively
large number, of which China is the group largest promotion (18% of visitors to Vietnam
in 2010), followed by South Korea (10%) and Japan (up 8% of travelers to Vietnam).
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Visitors from the U.S group is quite large, about 9% and is ranked third in the country of
visitors to Vietnam in 2010. The Australian group from 6% and 5% from Cambodia.
Arrivals from Europe are not large, only the most typical French visitors (4%), in addition
to the number of tourists from Thailand and Malaysia are also up about 4% of each
country.
Figure 2: International visitors to Vietnam in 2010 – segmentation by geographic
National Visitors % National Visitors %
Chinese 905,361 18 Cambodia 256,922 5
Korean 497,705 10 French 199,322 4
American 447,447 9 Thailand 220,499 4
Japanese 423,832 8 Malaysian 211,337 4
Taiwan 334,007 7 Others 1,275,268 25
Australian 278,155 6
Total 5,049,855 visitors 100%
(Source: Vietnam National administration of Tourism’s website)
Chart 2: International visitors to Vietnam in 2010 - segmentation by geographic
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Large number of tourists from Asia can be explained by cultural similarities, the
geographical proximity and the number of visitors this percentage is quite high in
Vietnam's tourism market. Vietnam should continue to promote this advantage, and create
additional tourism services more appropriate, considering it a target market segment to
further develop this market segment (such as training create a team of instructors fluent in
foreign languages and building the tourism program consistent customer psychology ...)3.2.2. International Tourist to Hanoi by geographic (bases on total 94interviewed visitors)
Figure 3: International visitors to Hanoi – segmentation by geographic
National Visitors % National Visitors %
Japan 22 23 New Zeland 5 5
China 15 16 Czech 3 3
Thailand 13 14 Canada 2 2
Australia 11 12 South Africa 2 2
The US 7 7 Switzeland 1 1
England 7 7 The Netherland 1 1
France 5 5
Total 94 visitors 100%
Chart 3: International visitors to Hanoi – segmentation by geographic
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In total of 94 visitors to Hanoi, the biggest group is came from Asia, such as Japan
(with 22 visitors, equally 23% of total), China (with 15 visitors, equally 15% of total), and
Thailand (with 13 visitors equally 13% of total) and this group reached 50% of total
visitors to Hanoi. The tourists came from the Oceans (Australia and New Zeeland) reached
16 visitors, then groups of tourist came from America and Europe.
There are no different with the statistic data from international tourist to Vietnam
in general 2010. It is important information to help us indicates target tourist market and
build up an effective marketing program, attract more tourist and develop tourism industry
in Vietnam.3.3. Tourist Segmentation by purpose of trips3.3.1. International tourist to Vietnam in 2010 by purpose of trip
Tourism has developed a culture of its own. Tourism in a variety of countries that
also offer a source of identity building and cultural renewal to the people featured for
visitor.
According to survey data in 2010, international arrivals to Vietnam for the
purpose of travel and entertainment account for 62% of the total number of international
visitors to Vietnam. The arrivals for the purpose of the business of 20% and 11% of
visitors to Vietnam to visit relatives, for other purposes a small proportion (7%).
Figure 3: International visitors to Vietnam in 2010 – segmented by purpose of trips
Purpose Visitors %
Travel, relax 3,110,415 62
Business 1,023,615 20
Visit family 574,082 11
Others 341,743 7
Total 5,049,855 100
(Source: Vietnam National administration of Tourism’s website)
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Chart 3: International visitors to Vietnam in 2010 – segmented by purpose of trips
This shows that Vietnam's tourism market is very attractive international travelers,
while Vietnam could seek to combine a destination for both business and travel, increasing
the length of stay of tourists Vietnam's economy to work, thereby increasing revenue for
the tourism industry and services.3.3.2. International tourist to Hanoi by purpose of trip
Bases on our survey of 94 visitors, most of them (87% of total) came to Hanoi to
travel and relax, only 10 visitors (equally 11%) came to business and 2 visitors for the
other purpose.
Figure 3: International visitors to Hanoi – segmentation by purpose of trip
Purpose of visit Visitors %
Tourism 82 87
Business 10 11
Visiting relatives 0 0
Other 2 2
Total 94 100
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Chart 3: International visitors to Hanoi – segmentation by purpose of trip
This is shown that the tourism potential of Hanoi is able to develop more and more and
research customer expectation will help us manage and provide suitable services, meet the
demands of customer and make Hanoi to be an attractive destination of Asia.3.4. Hanoi tourist Segmentation by age of tourist
Through the recent interview that we done with 94 respondents, we can divide the
travel age as the following (please see the chart below):
- 33% fell into the age group of 46 to 55 years.
- 27% belong to the age group of 55 years and more. People of this group normally
prefer go to Vietnam because of their desiring discover Vietnamese culture. Their
destinations usually are the Vietnam old cities such as: Hoi an, Hue, Ninh Binh or Hanoi
capital.
- 21% fell into the age group of 30 years or less. On the other hand of oldest group,
almost these young people go to Vietnam and want to participate in excited excursion:
Kayak for instance. NhaTrang or Ha long is the preferable places.
- 19% fell into the lowest group of 31 to 45 years.
Each age group has different expectation. However, all of them want to come to
Vietnam with a common expectation of discovering the Vietnamese culture, food,
tradition and also visiting many famous Vietnamese destinations of Vietnam. However,
they expect the Vietnamese tourism improve its quality. According to them, Vietnam has
many beautiful places but the provided services are not professional, the infrastructure is
not good.
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Figure 4: International visitors to Hanoi – segmentation by age of tourist
Age Number of visitors %
30 or less 20 21
From 31 to 45 18 19
From 46 to 55 31 33
55 and more 25 27
Total 94 100
Chart 4: International visitors to Hanoi – segmentation by age of tourist3.5. Hanoi tourist segmentation by transportation
Regarding to the means of transportation that we can see through the interview¸ there
are three mains ways that tourists usually use as a mean of transportation: air way ( 66
percent ), sea way ( 0 percent ) and road way ( 20,6 percent ).
However, the mean of transportation still cannot answer the demand of tourists. For
example:
For the air way: the procedure of check-in or check-out at the airport is still to slow. It
needs to be faster. Sometimes, for some reasons, guests have to wait longtime because air
planes are delay and people don’t know when problem can be repaired.
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Chart 5: International visitors to Hanoi – segmentation by transportation
Tourists sometimes have problems with taxi, and they say that taxi price in Vietnam
is expensive. Taxi driver is not professional. Many of them cannot speak foreign
languages such as English or French to understand what tourists want to go.
For the road way, almost of tourists come from China and Thailand, Lao or Cambodia
because they depart from the border of their country with Vietnam. But many of them still
complain about the road way of Vietnam, and mean of transportation are not good quality,
about the traffic jam and there are a lot of means of transportation in the narrow streets.
The infrastructure and mean of transportation in Vietnam need to be improved to
attract tourists in the future.3.6. Evaluation tourist sites in Hanoi
Total number of tourists: 94 people
Figure 5: International visitors to Hanoi evaluated about tourist sites
Evaluation about Tourist
sites
Number of tourists
evaluatePercentage
Excellent 11 12%
Good 73 78%
Not quite good 10 10%
Bad 0 0
(Source: Collected information by questionaire and interviewed tourists directly)
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Chart 6: Hanoi tourist evaluation about tourist sites
The pie chart show that the evaluation of foreigners about tourist sites in Vietnam
quite good. 12% percent is excellent, 78% is good and 10% are not really good. Some
foreigners expressed that in some places the service quite poor even though landscape are
so beautiful, that why evaluating for that sites are not quite good. In detail, segmentation
base on products of each kind of tourist sites will be displayed as followings:
IV. Servqual Method
This report is needed to apply Servqual method to analyze the data to define the one
of most important element in tourism industry, that is the “Empathy”. This method is
involved directly about tourists’ expectations and their satisfaction is provided by
Vietnamese tourism operators.
Service quality is an exclusive and abstract concept reflecting its “intangibility” as
well as the “inseparability of production and consumption” (Parasuraman, Zeithaml &
Berry, 1995). Servqual method is a model for measuring service quality, which is one
dimension of customer satisfaction (Zeithaml et al, 1990). Servqual method is one of the
method that it is be applied very wildly in academic area which defines service quality as a
function of discrepancies between consumer’s expectation over the service which aregoing to receive and their perceptions over the service effectively given by the firm.
By Servqual method can be scaled that has been developed for the service sector. There
are five dimensions are stated as follow:
(1) The tangible dimension: Appearance of physical facilities, equipment, personal
and communication materials.
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(2) The reliability dimension: Tolerance, recommendation to trust in the firm, ability to
perform the promised dependably and accurately.
(3) Capacity of response dimension: Willingness to help customers and provide prompt
service, flexibility, disposition and assertiveness in time.
(4) Safety dimension: The trust, knowledge and courtesy of employees and their ability to
inspire trust and confidence.
(5) Empathy dimension: The good treatment, communication, understanding customer,
caring and individualized attention that the firm provides its customers.
From the information on page 4, 5, 12 and 13, the information can be analyzed by
dividing the meaning of Empathy as the items follow:
A. Access: It’s about the easy way of access to contact with staff or enter to procedure oroperation, waiting time to receive service and its convenient, and location of service
facility is convenient. There are comments about “the procedure of check-in or check-
out at the airport is still too slow” (page 12). This disadvantage should be the corporate
service with the Vietnamese government and the airport service. The other tourist said
“it should improve crossing for pedestrians is necessary because it is quite scared for
some tourists and children” (page 4).
B. Communication: How to keeping customers informed in language they can
understand. It composes the listening to customer, adjusting the language for different
consumers in a simply way, explaining the service and the price, and assuring the
customers that a non convenience can be handled. There are some complains from
tourists about the waiting time at the airport because “air planes are delay and people
don’t know when problem can be repaired” (page 12). “There should be set price for
things so tourists don’t feel cheated when they are over charged” (page 4). And “the
driver is not professional. Many of them cannot speak foreign languages such as
English or French to understand where tourists want to go” (page 13).
C. Understanding the customers: Making the effort to understand the customers’ need
and learning the customer’s specific requirements and providing individualized
attention. After the complain involved language “the taxi driver don’t understandwhere the tourists want to go” (page 13). “ The changing in Vietnam is very quickly. Iwould like to see the old building maintained and restored “one opinion from the
English tourist (page 5). With the same meaning of the tourist from France “I expect
the protection for old building” (page 5).
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ConclusionThis report describes the way to segment tourism market in Vietnam by
geographic, the purpose of the trip, the age of the tourist and by transportation. This is also
define tourists’ expectations in various destinations in Vietnam by using Servqual method
in the part of Empathy dimension which can be relate to the service quality in Vietnam.
The application of Servqual method allows the company to offer the good service and the
same time it allows to attend the problem around the service quality for tourism in
Vietnam. On the other hand the Servqual method is also define the strength that tourism in
Vietnam should be an ongoing or challenges that should be facing to find the opportunity
to propose solution for overcoming them.
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References
Presentations:
1. Lemaitre, Mathieu (2011) « Audit project on Quality Management » Master of
Hospitality Management.
2. Ercole, Roberto (2011) « Hospitality and Tourism Maketing », Master of Hospitality
Management.
Websites:
1. Vietnam National Administration of Tourism
http://www.vietnamtourism.gov.vn/index.php?cat=202035
2. General Statistics Office
http://www.gso.gov.vn/default.aspx?tabid=217
Survey result from international visitors to Hanoi