Vietnam’s tropical island of Phú Quốc is rapidly emerging as a formidable competitor to Phuket, attracting millions of visitors with luxury beachfront resorts, competitive accommodation rates, and an expanding selection of tourist attractions. The Vietnamese destination welcomed approximately 9.25 million visits during the first ten months of 2026, representing a 30.4 percent increase compared with the same period last year. Its accelerating popularity is raising important questions about whether Phuket’s hospitality industry can maintain its competitive advantage.
Image Credit: Phuket Hotel News
The growing rivalry is particularly evident in hotel pricing. Research examined for this Phuket Hotel News report reveals that certain four-star and five-star accommodations in Phú Quốc offer substantially lower rates than comparable hotel categories in Phuket. Although pricing advantages vary between booking platforms, Vietnam’s increasingly attractive resort packages are giving international vacationers compelling reasons to reconsider their traditional Thai holiday destinations.
International Tourism Growth Raises Competition
Phú Quốc’s international tourism performance has been especially impressive. According to Vietnam’s Ministry of Culture, Sports and Tourism, the island received approximately 2.73 million international visits between January and October 2026, an extraordinary increase compared to the previous year.
That figure already exceeds the approximately 1.9 million international visits recorded throughout 2025, demonstrating how quickly the island is establishing itself among international travelers.
Nevertheless, Phuket retains a substantial advantage in overall tourism volume. The Thai destination welcomed more than 14.12 million visitors (including domestic tourists during 2025, compared with approximately 8.6 million visits to Phú Quốc.
Phuket also generated approximately 545.37 billion baht in tourism revenue during 2025, highlighting the considerable economic importance of its established hospitality industry.
While the destinations use potentially different visitor-counting methodologies, the figures illustrate both Phuket’s dominant position and the remarkable pace of its emerging competitor.
Phuket Maintains a Massive Hotel Supply Advantage
Phuket’s accommodation industry remains considerably larger than its Vietnamese counterpart.
Local officials projected approximately 1,573 registered accommodation establishments and 114,000 rooms across Phuket in 2026.
By comparison, Phú Quốc reportedly accommodated visitors through more than 810 lodging establishments offering over 37,000 rooms as of September 2026.
However, the Vietnamese island has developed a substantial luxury hospitality segment. Its 43 international-standard four-star and five-star hotels collectively provide approximately 15,720 rooms.
This concentration of upscale accommodation makes Phú Quốc particularly relevant to international travelers seeking premium beachfront experiences without necessarily paying Phuket’s prevailing resort prices.
Hotel Prices Reveal Surprising Differences
Online accommodation comparisons reveal why Phú Quốc is attracting attention among price-conscious luxury travelers.
A weekend pricing snapshot from Trip.com showed average four-star hotel rates of approximately US$405 per night in Phú Quốc, compared with US$540 in Phuket.
The five-star comparison revealed an even more striking difference, with Phú Quốc averaging US$690 against Phuket’s US$1,620.
However, Booking.com presented a more complicated picture. Its broader four-star averages stood at approximately US$70 in Phú Quốc and US$95 in Phuket.
These contrasting figures demonstrate that neither island consistently offers cheaper accommodation across every category. Travel dates, hotel availability, property selection, and booking conditions significantly influence the final price.
Nevertheless, Phú Quốc’s ability to undercut Phuket in selected luxury segments represents a competitive challenge.
Luxury Resort Promotions Strengthen Vietnam’s Appeal
Vietnamese resort operators are also using promotional packages to attract international guests.
InterContinental Phu Quoc Long Beach Resort, for example, advertises advance-booking discounts of 15 percent on its best flexible rate, including daily breakfast.
Another promotion offers savings of up to 23 percent for stays lasting four nights or longer, subject to advance-booking and nonrefundable payment conditions.
Such incentives can significantly influence families planning extended vacations, particularly when accommodation, dining, airport transfers, and recreational activities are considered together.
For Phuket hoteliers, this means competing on overall vacation value rather than nightly room rates alone.
Beautiful Beaches and Attractions Add to the Challenge
Phú Quốc’s appeal extends well beyond discounted accommodation.
Sao Beach attracts visitors with its pale sand and turquoise waters, while Khem Beach combines scenic surroundings with upscale resort developments.
Long Beach, meanwhile, offers sunset views that appeal to couples and leisure travelers.
The island’s dry season generally runs from November through April, directly overlapping with Phuket’s important winter tourism period.
Beyond its beaches, visitors can experience the spectacular cable car journey to Hòn Thơm, explore Sunset Town and Kiss Bridge, or enjoy family attractions such as Vinpearl Safari.
The Dương Đông night market provides seafood and local cuisine, while Phú Quốc National Park offers opportunities to experience the island’s natural landscapes.
Together, these attractions strengthen the destination’s appeal for longer vacations rather than brief beach escapes.
What Phuket Hotels Must Consider
Phuket remains an established international tourism powerhouse, supported by extensive accommodation choices, mature tourism infrastructure, and substantial visitor demand.
However, Phú Quốc’s accelerating growth demonstrates that Phuket can no longer rely exclusively on its reputation and established popularity.
Competitive pricing, attractive resort packages, distinctive guest experiences, and stronger overall vacation value will become increasingly important as travelers compare Southeast Asia’s leading island destinations.
Phuket’s challenge is not simply to offer cheaper rooms, but to convince international visitors that its complete holiday experience justifies their investment.
