Winning tourism strategies today are no longer about showcasing the most creative campaigns, stunning photography, or even the most attractive destinations. They hinge increasingly on gathering precise tourism data and uncovering actionable insights that mobilize potential travelers.
Few understand this shift better than Phuoc Dang, co-founder and CEO of The Outbox Company. Since its founding in 2017, Phuoc and Outbox have filled a critical gap in the industry, offering data-driven market intelligence solutions that empower destinations and businesses to make smarter, more effective decisions.
Outbox’s research captures consumer sentiment better than any educated industry guess – new tools like their Asia Travel Market Tracker uncover subtle trends that tourism stakeholders ignore at their peril.
In this Q&A, Phuoc shares his insights into key trends shaping tourism and traveller behavior in the Greater Mekong Subregion (GMS). He explores how real-time data and predictive analytics are becoming indispensable tools in tourism marketing and planning, and discusses how destinations can align their development strategies with sustainability goals using Outbox’s innovative data-driven approach.
Outbox is, in my view, a pioneer in market intelligence in the Viet Nam tourism industry. How did the company get started – and what needs did it meet when it started out?
The Outbox Company was founded in 2017 as a destination marketing and management consulting firm, specializing in tourism planning and marketing. We help tourism destinations maximize their potential by leveraging our experience, knowledge, and creativity.
We identified a significant gap in comprehensive market data within Viet Nam’s tourism, hospitality, and destination sectors. Responding to the industry’s demand for accurate and timely data-driven insights, Outbox pursued travel data ranging from market intelligence to customized market research.
Our goal is to empower businesses and government entities to make informed decisions, ultimately improving operational efficiency and strategic planning.
Image courtesy of the Viet Nam National Authority of Tourism
You offer a broad, powerful set of tools for tourism stakeholders. Can you share some of the most surprising trends that you’ve been able to uncover in the past year?
Tourism remains a dynamic and challenging industry, with simultaneous changes occurring in both the supply and demand sides. These aspects are interconnected, requiring significant effort from Destination Marketing Organizations (DMOs) and businesses to keep pace.
Observing the industry in Viet Nam and Asia as a whole, one notable shift we’ve identified over the past year is the increase in travel flow from emerging markets in Asia and Western Europe. The economic landscape in these regions generates rising travel demand.
Additionally, advancements in technology have made travelers more knowledgeable and experienced, positioning them as potential source markets for many destinations. As we launched our inaugural market intelligence platform – the Asia Travel Market Tracker – we noticed two significant trends in travel references and behaviors of Asian travelers that warrant the attention of stakeholders. First, travel has become a priority, viewed as an essential part of life and a category of consumption rather than a luxury option. And second, the shifting demographics of travelers, with Gen Z becoming a dominant segment, bringing their unique perspectives and lifestyles to the travel experience.
How is traveler behavior changing across the Greater Mekong Subregion (GMS)? What factors are influencing travel decisions throughout the region?
The Greater Mekong Subregion is experiencing a shift in traveler behavior, reflecting a global trend toward the rise of experiential travel. More travelers are on the lookout for genuine experiences, local interactions, and hidden gems.
This change is highlighted by the increasing appeal of homestays, community-based tourism, and cultural immersion programs. Moreover, the rise of remote work has contributed to a boom in long-term travel and digital nomadism, with travelers seeking destinations that provide reliable internet access, co-working spaces, and affordable living expenses.
The decision-making process for travelers in the region is primarily influenced by the following factors. First, Economic considerations: Affordability, value for money, and exchange rates significantly impact travel choices. Travelers prefer destinations that strike a good balance between quality and cost. Second, Accessibility and connectivity: The convenience of travel, including visa regulations and transportation options, is essential for attracting visitors.
Image courtesy of the Viet Nam National Authority of Tourism
How do Outbox’s tools assist stakeholders in identifying and responding to emerging trends or shifts in traveler preferences – for instance, using predictive analytics to forecast travel demand in the GMS?
We offer efficient and comprehensive market insights intelligence services focused on Asian travelers, along with customized advanced research solutions, enabling stakeholders to detect emerging trends and shifts in traveler preferences.
For instance, Asia Travel Sentiment Tracker, as a part of Asia Travel Market Tracker powered by Outbox, provides critical insights into the mindset and decision-making processes of travelers. By capturing these sentiments, travel businesses and organizations gain a key input for forecasting demand and preparing for fluctuations based on emerging trends in travel intentions.
Monitoring travel sentiment allows organizations to strategically engage their target audiences, craft more compelling offerings, and ultimately drive greater success in the competitive travel market.
Can you share a case study where Outbox’s data-driven strategies have successfully transformed or reshaped a destination’s tourism performance? Or any other examples where your clients have been able to integrate data-driven insights into their long-term strategies, yielding positive results?
A notable example is Outbox’s collaboration with the Da Nang Tourism Promotion Center to develop the Index of Da Nang Destination Attractiveness (IDDA). This project involved implementing the Visitor Experience Survey solution to assess the city’s appeal based on visitor feedback.
The insights gained have been instrumental in enhancing Da Nang’s tourism offerings, leading to increased visitor satisfaction and a stronger market position.
Image courtesy of the Viet Nam National Authority of Tourism
How does Outbox research/market intelligence help destinations prepare for challenges such as climate change, economic downturns, or global health crises?
It’s a fundamental question we ask ourselves always when developing Outbox’s research and market intelligence.
For instance, some of our market research projects aim to identify weaknesses within a destination’s tourism sector, highlighting areas of over-reliance, such as dependence on international visitors or a limited variety of tourism products. This essential knowledge allows destinations to diversify their offerings, significantly lowering the risk of single-point failures.
Additionally, our market intelligence models enable us to forecast future trends, helping us to foresee potential challenges. For example, travel sentiment models can provide insights into upcoming travel demand and the potential effects of economic shifts or health crises on travel expenditure.
Equipped with this information, destinations can formulate effective adaptation strategies, whether by broadening their tourism portfolio, improving infrastructure to address climate change, or establishing comprehensive crisis management plans for global health issues.
Moreover, ongoing monitoring and evaluation of these strategies ensure we can measure their effectiveness and make necessary refinements. By examining visitor numbers, spending patterns, and satisfaction rates, we can evaluate the impact of new initiatives and infrastructure enhancements.
Ultimately, we believe that utilizing market research and intelligence not only strengthens a destination’s resilience against external shocks but also promotes a more sustainable tourism industry, securing long-term viability and success.
How can your data help promote eco-tourism and reduce the environmental impact of tourism?
Travel data and eco-tourism may initially seem unrelated. However, when we view tourism as an interconnected system, it becomes clear that data reflects current trends and behaviors.
Interestingly, in research, we often ask, “What story does the data tell?” This data can reveal various insights, such as how interested travelers are in eco-tourism, whether travelers prefer sustainable options or more convenient and affordable choices, and how satisfied visitors are with the eco-tourism offerings at a destination
These questions are included in our survey, which ultimately provides actionable insights for tourism businesses to adapt and enhance their environmentally friendly offerings in line with customer demands. In short, our data can act as a bridge between the demand for eco-tourism and help destinations evaluate the quality of their services.
Image courtesy of the Viet Nam National Authority of Tourism
What strategies do you recommend, based on Outbox market intelligence, for aligning tourism development with sustainability goals in the Greater Mekong Subregion (GMS)?
The Greater Mekong Subregion (GMS) is rich in cultural and natural diversity, presenting significant tourism opportunities. However, it is essential to align tourism development with sustainability objectives to ensure lasting benefits for both the region and its communities.
While Outbox’s travel intelligence may not provide definitive solutions for every destination in the subregion to meet the Sustainable Development Goals (SDGs), we believe that the data and insights derived from our models can propose practices to guide destinations toward sustainable tourism development.
Firstly, it is crucial for destinations to gather data in order to establish a baseline for understanding their current situation. Conducting a baseline analysis of sustainability performance allows for the identification of gaps between successful areas and those needing improvement.
To create this baseline, use a framework based on the UN Sustainable Development Goals. Data regarding destination performance, traveler preferences, and indicators encompassing social, economic, natural, cultural, and environmental aspects will help destinations and businesses evaluate their sustainability efforts.
Secondly, we assert that a data-driven or digital transformation strategy can only be effective when consistently applied.
Therefore, ongoing implementation, monitoring, and assessment of impacts and results are essential. At least once a year, reassess your sustainability performance in relation to your goals to determine if your actions are steering you in the right direction, and to analyze the impacts observed thus far on your destination.
Visit Outbox’s website at the-outbox.com, or connect with them at their LinkedIn page.
