Hong Kong travel agencies have launched cheaper outbound group tours this summer, driven by increased flight capacity amid a shift in tourists' preference away from Japan due to increased earthquake concerns.
Several tour operators have reported that prices for their summer group tours are either lower or have remained stable, adding that popular destinations include South Korea, Vietnam and cities in western mainland China.
"Compared to last year, we see more than a 10% drop in prices of group tours this summer holiday," Steve Huen Kwok-chuen, executive director of EGL Tours, said. "It is due to the increased flight availability and transport capacity."
He added that the popularity of tours to Vietnam had increased by 30% to 40% compared with previous years, while tours to Xinjiang and the Silk Road on the mainland had maintained strong popularity over the past six months.
On the EGL Tours website, a five-day group trip to Nha Trang, Vietnam, including five-star hotel stays, was priced at about HK$2,900 (12,000 baht) in June. The price for a similar itinerary in July and August increased by HK$200 to HK$800, ranging from HK$3,100 to HK$3,700.
However, Huen noted that this year's price for the Vietnam trip was about 10% less than last summer, when it ranged from HK$3,500 to HK$4,100.
For Japan, a seven-day group tour to Osaka, Wakayama, Awaji Island and Kobe was priced between HK$9,900 and HK$11,800, with itineraries that include the 2025 Expo and Universal Studios.
A similar seven-day tour to Kansai, Japan, last summer holiday cost between HK$12,000 and HK$13,000, according to Huen.
Prices for South Korean group tours offered by Sunflower Travel Service dropped significantly this summer, according to Moon Yau Moon-yee, assistant general manager of the agency.
For instance, a five-day tour departing at the end of August ranges from HK$2,099 to HK$3,799, whereas the cheapest five-day tour last year cost about HK$4,299.
Yau also noted a "significant recovery" in business this summer compared with last year.
"We are confident all 600 tours will successfully depart within this period as demand continues to grow," he said.
He added that while the cost for most other tours remained steady, prices for European tours saw a slight increase, primarily due to exchange rate fluctuations.
For the mainland, tours to Urumqi and its surrounding cities in Xinjiang had seen strong demand but stable prices, as airlines had increased seat availability to accommodate more travellers, Yau said.
However, for Japan, historically the top destination for Hong Kongers, Yau explained that recent earthquake concerns had led some families to explore other Asian destinations such as South Korea and the mainland.
Concerns about travelling to Japan stemmed from unfounded rumours that a mega-earthquake would strike in July, deterring some from visiting the country over the summer.
Yuen Chun-ning, chief executive officer of WWPKG travel agency, anticipated an 80% downturn in Japan tour bookings this summer, even with cheaper flight tickets and tour rates.
"Summer holiday prices for Japan tours have held steady at off-peak rates," he said. "Despite this, travellers are reluctant to assume risks and are considerably cautious regarding their bookings to Japan this summer."
In March, the Japanese government reported on the threat posed by a possible major earthquake in the Nankai Trough that runs parallel to the coast off the country's south.
The report coincided with social media rumours of an earthquake striking Japan in July, fuelled by predictions from a manga.
Fanny Yeung Shuk-fun, executive director of the Travel Industry Council, earlier said that due to the continuing trend of travellers opting for self-planned trips, the travel agency industry had only recovered to about 70% of its pre-pandemic level.
"The forecast for the total number of tour groups this summer remained similar to last year, estimated at around 7,000," she said.
Hong Kong residents made 104.7 million departures in 2024, which was 10.6% higher than the 2019 level and a 45% increase on 2023, according to a report released by the International Travel Expo in February.