Travel agents face a crisis when travelers cancel their tours

Destination Editor
10:50:00 - August 06, 2020

As Da Nang and Vietnam keep discovering new COVID-19 cases, the majority of tourists have canceled their tours not only to Da Nang but also to other localities, which makes the entire tourism industry, especially travel agents face more hardships.

After the lockdown, the local tourism authorities and enterprises have launched countless promotions, attracting a large number of visitors and creating jobs for employees. However, the unpredictable second coronavirus outbreak has put many travel agents in an even more difficult situation.

Mr. Tran Minh Duc, deputy director of Long Phu Travel Company, said that about 90% of customers have canceled the tours to Khanh Hoa in August so far, with 70% having signed contracts and 20% having dealt the schedule but not signed the contract yet.

“We lost about 15 billion VND in revenue, not including the lost from Hoa Lan Island and Monkey Island since the cost for design and operate tours is huge,” said him.

According to many tour operators in Khanh Hoa, they had cooperated and deposited in advance for air tickets, restaurants and hotels but could not get any refund. Only some restaurants, hotels or resorts agree to refund while others only allow postponing the tours.

The deputy also shared that customers who ask for a refund are encouraged to choose to reschedule the departure of the tour to minimize damages for both sides. “It is extremely difficult for us at this moment. Lots of tourists canceling the tours means that lots of refunds to be compensated and our resources cannot afford it,” said Mr. Duc.

The director of Liberty Hotel, Le Van Son, also reported that more than 80% of guests have canceled their reservations and the hotel needs to return the deposit to them. “We have committed to support travel agents for long-term collaboration. The pandemic is a force majeure case that no one wants and every travel business should sympathize and support each other.”

The owner of the Silk Sence Hoi An hotel, Tran The Do, stated that the hotel is also trying its best to satisfy guests, refunding their canceling requests although it has prepared various things to welcome guests once the booking is made.

Similarly, Mr. Tran Van Khoa, CEO of Jack Tran Tours Hoi An, said that the company also accepts to refund all deposit and tour costs for customers although it is facing one of the greatest difficulties so far.

“We will refund for tours that have been deposited and send an apology letter to customers that have not deposited,” said Mr. Khoa.

Another travel agent said that all tours to the Central and Highlands regions have come to a halt and the remains are mainly tours to destinations near Ho Chi Minh City such as Phan Thiet, Phu Quoc, Mekong Delta and some northern provinces.

A number of large travel agents in Ho Chi Minh city said all cost for tours from July 26 to August 1 was already paid to their partners but tourists demanded a full refund. Moreover, most of the tour groups canceled their tours in August and September and tours to destinations with no case such as Nha Trang, Hanoi, Da Lat have also been canceled due to health concerns.

Travel agents face a crisis when travelers cancel their tours


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