VietJet Air: How the Vietnamese Low-Cost Carrier Became a Huge Regional Airline

History and positioning

VietJet entered a market dominated for decades by the state carrier Vietnam Airlines, aggressively cutting fares and, in the first years after starting operations in December 2011, relying on attention-grabbing marketing campaigns, before settling into a more conventional low-cost growth strategy. Founded in 2007 and led by its founder Nguyễn Thị Phương Thảo, headquartered in Hanoi, it became within a decade Vietnam's dominant low-cost carrier.

The fleet

The core of the fleet is made up of Airbus A320s and A321s, including the more recent A321neos and the long-range A321XLR ordered for the future, alongside some Airbus A330 widebodies used on the longest leisure routes to Australia and India, where a narrowbody would not have the range or capacity needed. Over the years the airline has placed some of the largest aircraft orders ever signed by a Southeast Asian carrier, a volume-driven growth strategy that has accompanied the expansion of the network.

Routes and network

The domestic network links Hanoi, Ho Chi Minh City, Da Nang and Vietnam's secondary cities, while the international network extends across Southeast Asia and to India, Australia and some destinations in Northeast Asia, with faster growth than almost any other low-cost carrier in the region over the last decade.

Fares and baggage

The scheme is the classic low-cost one: the base fare excludes checked baggage and seat selection, with higher fare packages (including the premium brand SkyBoss on some routes) that add baggage, meals and flexibility at a higher price. Ancillary revenue represents a significant share of total turnover, as is typical of this business model.

What passengers say

• Base fares among the lowest in Southeast Asia.
• Wide choice of routes, including from Vietnam's secondary cities.
• SkyBoss cabin judged a genuine step up in quality for a modest surcharge.

What they flag as limits

• Frequent delays in peak holiday periods, such as Vietnamese Tet.
• Pushy selling of extras at check-in.
• Variability in cabin crew service reported more often than on the flag carrier.

VietJet is an effective choice for those traveling on a tight budget within Vietnam or to the rest of Southeast Asia, traveling light and buying extras in advance online. It is less suitable for those who need the certainty of an on-time departure during Tet or other peak Vietnamese holiday periods, when delays are noticeably concentrated. It is best to buy baggage and seat selection online before the flight, because the same services cost noticeably more at the airport.