BusinessModelInnovation

From the perspective of an innovation ecosystem like KisStartup, travel tech is not merely about “building a travel app” or “digitizing bookings”. At its core, it is a challenge of designing business models based on data, value flows, and scalability in an industry characterized by thin margins and strong dependence on seasonality, policy, and consumer behavior.

1. Global travel tech: from transaction platforms to data and operations platforms

Over the past decade, the dominant business models in global travel tech have revolved around commissions and transaction fees. OTAs, travel marketplaces, and booking platforms grew rapidly thanks to their ability to aggregate demand, standardize experiences, and optimize distribution costs for suppliers. However, this model has also revealed its limits: fierce competition, high marketing costs, heavy reliance on scale, and vulnerability during market downturns.

A notable shift in recent years is the move from “earning per booking” to “earning across the entire travel lifecycle”. Subscriptions, B2B SaaS, APIs, anonymized data, post-booking revenue, and white-label models are increasingly becoming more sustainable revenue sources, less dependent on pure traffic. Travel tech is no longer just about selling tickets, but about becoming the operational infrastructure behind the tourism industry.

2. Common models in the Vietnamese context

In Vietnam, simply “copying” global OTA models is highly risky. The domestic market is moderate in size, average spending remains relatively low, while international platforms already dominate in brand recognition, data, and budgets. Pure commission-based models easily fall into price wars and cash-burning cycles.

Subscription-based B2C models are also difficult unless the added value is very clear. Vietnamese users are accustomed to “free – indirect payment” models, while willingness to pay is higher among businesses, destinations, and service providers.

By contrast, B2B SaaS, data, and APIs remain a largely untapped space. Tens of thousands of small and medium tourism businesses, homestays, community-based tourism initiatives, and local tour operators lack tools for operations management, customer data analysis, dynamic pricing, digital marketing, and channel integration. This is a gap where Vietnamese travel tech startups can compete more effectively than global platforms.

3. Positioning Vietnamese travel tech within national tourism strategy

Vietnam’s tourism strategy emphasizes green tourism, community-based tourism, local experiences, visitor dispersion, higher spending, and longer stays. This requires travel tech to go beyond booking optimization and instead help local ecosystems create and retain value.

In this context, suitable business models should not start with the question “what percentage do we take per transaction?”, but rather: who does the travel tech help make better decisions, which costs does it reduce, which revenues does it increase, and what data is generated in the process?

4. Strategic directions for Vietnamese travel tech

First, prioritize B2B and B2G2B models. Instead of competing head-on with OTAs, Vietnamese travel tech can provide SaaS tools for local tourism businesses, destinations, community tourism cooperatives, or local governments managing tourism data. Revenue can come from subscriptions, add-on modules, and implementation services, rather than short-term booking volume.

Second, design hybrid models from the start. A planner or discovery platform can be free for end users, while monetizing through affiliates, anonymized data, APIs for partners, or fees for visibility in curated experience packages. Hybrid models help startups survive early stages and unlock “hidden” revenue streams with higher margins.

Third, treat data as a product, not just a by-product. Behavioral, seasonal, pricing, demand, and experience feedback data—when standardized and anonymized—can become valuable insights for businesses, destinations, and policymakers. This aligns well with Vietnam’s data-driven tourism direction and creates long-term competitive advantages.

Fourth, tightly integrate sustainability and inclusiveness. Travel tech can generate revenue by measuring impact, providing certifications, ESG reporting, experience traceability, or smart visitor distribution. These values are hard to replicate and well-suited to community-based tourism and remote destinations—areas where Vietnam has strong advantages.

Finally, do not start with technology—start with the business model. Many travel tech startups fail because they build beautiful apps but cannot answer the question: “who pays, and what do they pay for?” In a more cautious venture capital environment, clear, multi-stream revenue models tied to real needs of businesses and localities will determine survival.

5. KisStartup’s perspective

From its experience working alongside tourism enterprises, agricultural businesses, and local destinations, KisStartup believes Vietnamese travel tech must shift from a “service booking platform” mindset to a “capability-building platform” approach. Those who help local businesses better understand their customers, operate more effectively, and sell higher-value offerings will build more sustainable models.

In the next 5–10 years, successful Vietnamese travel tech may not be OTA unicorns, but rather “invisible infrastructures” supporting green tourism, community-based tourism, and data-driven tourism—where revenues are quiet, but resilient and hard to replace.

© Copyright KisStartup. Any reproduction, quotation, or reuse must clearly credit KisStartup.

In the global context, green, sustainable standards, and ESG (Environmental – Social – Governance) have increasingly become not just "external requirements" but a core foundation for businesses to affirm their position and create long-term export opportunities. Many Vietnamese businesses are still accustomed to a passive approach – only changing when requested by partners. However, real-world examples from successful businesses show that proactively starting from within – from the business model and internal governance – creates a creative path, aligns with resources, and provides sustainable competitive advantages.

KisStartup has compiled and analyzed 7 proactive steps to help businesses enter green export effectively:

Step 1: Analyze the Current Business Model and Internal ESG
The starting point is not from the outside, but from within the business itself. Dissect your current business model according to the 9 components (Canvas) and ask: What is the level of E (Environmental), S (Social), and G (Governance)? What needs improvement?
For example: Does the production process cause waste of materials? Is the team fairly compensated? Is the governance system transparent and tracking ESG effectiveness?
From there, develop a specific strategy to integrate ESG into your business model rather than just treating it as a slogan.

Step 2: Tell the Green Story of Your Products and Services
Today's global customers are not just buying products, they are buying the story and values behind them. Be proactive in sharing your sustainability journey:

• How are farmers supported?

• How does your production process save water and energy?

• How has your company reduced emissions, recycled, or contributed to society?
  Use your website, social media, catalogs, and fairs to build trust and differentiate yourself before the market raises questions.

Step 3: Embrace the First Trial Orders
Once you’ve shared your story, the market will provide feedback. Small trial orders from abroad are opportunities for testing. At this stage, businesses should:

• Understand the needs and consumption habits of international customers.

• Compare with current capacity and resources.

• Identify gaps to be filled for further progress.
  Be proactive in learning from the market through each trial order to adjust quickly and minimize risk.

Step 4: Accurately Understand Market Criteria and Requirements
Each market and customer has different standards. Instead of vaguely aiming to be “green,” clarify specific criteria:

• What is the maximum allowable chemical content?

• How is traceability handled?

• Which certifications are mandatory?
  Proactively reach out to trade organizations, participate in programs like GEVA or SwissTrade, or communicate directly with partners to “translate” requirements into actionable internal processes.

Step 5: Negotiate and Make Investment Decisions
At this stage, businesses need to face reality: with outputs in place, it’s time to invest. Negotiate with customers on purchase commitments, then decide:

• Invest in new technology to meet standards.

• Enhance human resources to manage ESG.

• Adjust processes for greater transparency.
  This is the “risk-balancing” step between market requirements and internal capabilities.

Step 6: Complete Certifications for a Specific Market
Instead of spreading across multiple certifications at once, focus on a priority market and achieve sustainable certifications (Organic, Fairtrade, Rainforest Alliance, etc.).
Certifications are not only a “pass” but also a commitment that demonstrates your ESG journey.

Step 7: Expand the Market – Continuously Adjust the Business Model
Once successful in one market, use that experience and evidence to expand into other markets.
At the same time, continuously ask: Does the current business model still align with the new ESG context? What needs to change? The mindset of “proactively checking and adjusting” will help businesses remain flexible and not passively follow trends.
Green export is not just about “meeting partner requirements,” but a long-term strategy to create value and sustainable differentiation for Vietnamese businesses. By starting with their own business model, creatively integrating ESG, telling their story, and expanding step by step, businesses can proactively seize opportunities and design their own path to the global market that fits their resources and advantages.

To accompany businesses on this journey, KisStartup and the GEVA project have developed a set of 3 measurement tools to help businesses self-assess, self-adjust, and proactively shape their green export path:

• Export Readiness Measurement Tool – Helps businesses know where they are in their export journey and what they need to prepare.

• Green Export Compliance Measurement Tool – Compares processes and products with green standards (VSS, Organic, Fairtrade, etc.).

• Green Business Model Measurement Tool – Analyzes the current business model and finds creative paths that align with E, S, and G elements.

Businesses can start today by using these tools to map their own path instead of waiting for partner requirements.

© Copyright belongs to KisStartup. The content was developed as part of the Green Export Incubator and Accelerator Program through Voluntary Sustainability Standards (VSS) project. Any form of reproduction, citation, or reuse must clearly credit KisStartup/GEVA as the source.