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Gloomy Outlook For Phuket Tourism

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Gloomy outlook for Phuket tourism

PHUKET CITY: -- The Phuket Tourism Association (PTA) has forecast that Phuket hotels will see average occupancy rates dip to as low as 25-30%, compared to 60% in the low season last year.

Citing a number of negative factors, PTA Vice Presdient Bhurit Maswongsa said the spread of the type-A (H1N1) flu virus was one of the main problems hitting the industry at the moment.

“Phuket is already in the low [summer] season, but occupancy rates will fall by about 30% to remain at between 30-35%,” he predicted.

Revenues for operators in Phuket would be down 50% compared to last year, he added.

Only tourists from Australia, the Middle East and India are likely to be visit the island in strong numbers at this time of year, he said.

Promotional offers were not enough to tempt tourists back to Thailand as they were trying to avoid the possibility of catching the flu and were also concerned about political instability.

Moreover, occupancy rates in the high season are expected to be down 20%, to between 50% and 60%, he said.

Laguna Resorts and Hotels forecasts the average occupancy rate at its properties will be down 20% to 25% in the second and third quarters of this year.

Average occupancy rate at the region’s largest resort complex fell 27% in the first quarter, to 65%t because people canceled bookings to Phuket following the closure of the Bangkok airports in November.

Political instability and the global economic crisis are key factors for the downturn and this has been exacerbated by the spread of the flu virus.

Debbie Dionysius, Laguna’s assistant vice president for destination marketing, said it had offered 100,000 free rooms earlier this year so occupancy rates were pretty high from January to March. However, revenue was down.

Ms Dionysius expected to see an improvement by the fourth quarter as tourists would be returning to Thailand.

“We have seen some positive signs such as the economy picking up,” she said.

Dusit Thani Laguna recorded the best performance in terms of revenue in 2007-2008, while Banyan Tree has recorded the highest occupancy rate over the last two years.

The hotel operator is trying to attract more tourists to the island by adding more activities and implementing new marketing strategies.

An upcoming event is the fourth Laguna Phuket International Marathon, which is scheduled for June 14. The event is expected to draw 4,000 runners from overseas and from within Thailand. It is hoped that the event will generate revenues of around 30 million baht for the province.

According to Ms Dionysius, Laguna Phuket is working with international schools in Thailand, Hong Kong and Singapore to organize activities and camping trips. The scheme will run from June to September.

Moreover, the group will try to attract more customers from China where it has Banyan Tree offices in Beijing and Shanghai. Laguna expects visitors from China to increase from 5% this year to 15-20% over the next few years.

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-- The Nation 2009-05-21

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Gloomy outlook for Phuket tourism

PHUKET CITY: -- The Phuket Tourism Association (PTA) has forecast that Phuket hotels will see average occupancy rates dip to as low as 25-30%, compared to 60% in the low season last year.

Citing a number of negative factors, PTA Vice Presdient Bhurit Maswongsa said the spread of the type-A (H1N1) flu virus was one of the main problems hitting the industry at the moment.

What a joke. Thai's really have to wake up and smell the coffee...it's not the only place in the world with hot weather, decent beaches and nice food. Add the misconceived idea that they can charge Marbella, Monte Carlo or Portofino prices and you have a recipe for disaster.

But of course the decrease in numbers has nothing to do with world economic recession. Political instability and tanks on the streets. Rip-off prices and poor service.

Blame the pigs! :D You reap what you sow :)

RAZZ

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The Aussie bar mat fiasco probably has pretty much killed this golden egg...

Gloomy outlook for Phuket tourism

PHUKET CITY: -- The Phuket Tourism Association (PTA) has forecast that Phuket hotels will see average occupancy rates dip to as low as 25-30%, compared to 60% in the low season last year.

Only tourists from Australia, the Middle East and India are likely to be visit the island in strong numbers at this time of year, he said.

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Interesting that they think Australians will come in numbers.

No way, not after all the negativity this week and I bet more to come this weekend.

Bali is back in vogue for Aussies, Thailand has been knock down and is now on the mat and will struggle to recover in the eyes of Australian couples and family tourists

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what the local TAT and hotels association should do is appoint the owner of the Aussi bar as the Ambassador of Goodwill and Happines for all - and with every visitor to the island they will recieve a free - yes free!!! complimentary Aussi pub bar mat and they will get to go to the happy hour at the aussi pub where all drinks will be half priced - and half filled with water - so they dont get drunk - and run down the beach - and they can watch aussi football on the ???????? satalite tv from PNG -

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I wonder if they do now the normal Thaistyle thing. Raising the prices should help :)

When they will start to learn that Thailand needs the Tourism Industrie. It creates a lot of jobs.

Jnstead of lowering the Baht exchange rate to make it more attractive to visit Thailand, they are raising prices for beer and cigarettes, food etc.etc.....

The Baht is way to expensive and Thailand is not longer a low priced destination. Other factors are an unstable political system in Thailand and a worldwide growing commercial crisis

What the government is waiting for? Cambodia, Vietnam, Phillipines and very soon Sri Lanka are serious competitors.

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Gloomy outlook for Phuket tourism

PHUKET CITY: -- The Phuket Tourism Association (PTA) has forecast that Phuket hotels will see average occupancy rates dip to as low as 25-30%, compared to 60% in the low season last year.

Citing a number of negative factors, PTA Vice Presdient Bhurit Maswongsa said the spread of the type-A (H1N1) flu virus was one of the main problems hitting the industry at the moment.

What a joke. Thai's really have to wake up and smell the coffee...it's not the only place in the world with hot weather, decent beaches and nice food. Add the misconceived idea that they can charge Marbella, Monte Carlo or Portofino prices and you have a recipe for disaster.

But of course the decrease in numbers has nothing to do with world economic recession. Political instability and tanks on the streets. Rip-off prices and poor service.

Blame the pigs! :D You reap what you sow :)

RAZZ

Ill second that.

You reap what you sow...

- overpricing

- damaging visa laws

- Hostility

- Red-Blue-Yellow-disaster

- Boys in brown shows

- unstable politics

- rip-offs

and much much more...

But I don't agree that it has nothing to do the world economy crisis.

It has! And that is the reason for this gloomy outlook.

Look to other tourist destinations. They face the same problems - worldwide

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Gloomy outlook for Phuket tourism

...

Revenues for operators in Phuket would be down 50% compared to last year, he added.

...

Of course this only applies to businesses run by farangs.

The clever Thai business people, will just increase the price of

everything by 50% and not even notice any problems !

:)

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Gloomy outlook for Phuket tourism

The blame for the decline of tourism to Thailand is laid on every conceivable reason.

Internal affairs and maybe not enough on the external affairs.

However, every sane visitor or wouldbe visitor to Thailand knows or feels that this country is getting out of favour.

I guess we all know the reasons.

All the neighbouring countries or further away offer better deals or make the visitor, longterm or shortterm, feel more welcome.

Alas!

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I bet Malaysia, Singapore, and Indonesia are just sitting back and laughing while their tourism is booming thanks to a few stupid incidents in Thailand. They should put that officer in jail for a year for trying to get 60 thousand baht for a mat from the lady after they caught her. I mean come on, It's like Thailand doesn't want to succeed. Anyway enjoy beautiful Malaysia, where a bar towel is not worth a year in jail or 60 thousand baht. That officer should be fined for all the problems he caused 60% drop in last year over a bar towel. Was it worth it?

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after police put woman in jail for 4 days with 5 years of sentence possible for stealing a bar mat or towel

NOBODY should come to Thailand anymore if you are sane in the brain...

sadly, off course the adventurers looking for cheap sex and easy women will never be scared away enough !

Meh... Haven't you heard? She's been released from custody, free to go home after being fined 1000 Baht, which the Governor of Phuket payed on her behalf. The whole thing got blown out of proportion, and the Governor did the sensible thing by intervening, probably realizing how ridiculous the whole fiasco was, and the effect that it would have had on tourism, had it been allowed to continue.

Getting caught stealing a bar mat in Thailand is the least of my concerns, mainly because it is completely avoidable (i.e. don't steal bar mats, or anything, for that matter). There are plenty of other things I'd worry about in Thailand before that, and in spite of them all, I'll still go back. Call me crazy.

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after police put woman in jail for 4 days with 5 years of sentence possible for stealing a bar mat or towel

NOBODY should come to Thailand anymore if you are sane in the brain...

sadly, off course the adventurers looking for cheap sex and easy women will never be scared away enough !

Meh... Haven't you heard? She's been released from custody, free to go home after being fined 1000 Baht, which the Governor of Phuket payed on her behalf. The whole thing got blown out of proportion, and the Governor did the sensible thing by intervening, probably realizing how ridiculous the whole fiasco was, and the effect that it would have had on tourism, had it been allowed to continue.

Getting caught stealing a bar mat in Thailand is the least of my concerns, mainly because it is completely avoidable (i.e. don't steal bar mats, or anything, for that matter). There are plenty of other things I'd worry about in Thailand before that, and in spite of them all, I'll still go back. Call me crazy.

That is not really the point. You may be back, but there are plenty of people, rightly or wrongly, who will choose Bali or another destination because of the press' slant on the incident. Facts don't matter. Whether the woman was right or wrong doesn't matter. It is the perception among people who would have come to Phuket which matters. If they think they are going to be arrested for doing nothing, then they won't come.

I live in Thailand, so I am not going to change a think over some drunken tourist

s situation. But this is a thread about tourism, and the official quoted opined that tourists from Australia would be coming here in large numbers.

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I wonder if they do now the normal Thaistyle thing. Raising the prices should help :)

Hahaha. Of course they will! Everybody here knows that prices have to be raised up to make up for the lost revenue. How else could they afford to survive???????? ... THIS IS THE QUESTION

And the answer to it is a list of about 10000 solutions and tips. But do they want to know? It would actually require LEARNING .. brrrrrr

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Once more the demise of Phuket is neing greatly exagerrated. It remains one of the best tourist products in the world and its return trade is second to none.

The original report is based on quotes and the experience of some very high end hotels, hardly typical of the Phuket product and very different from the town in the driving seat, Patong. The Laguna area (Dusit, Sheraton etc) has a posh niche and always has been. The reasons for their low occupancy rates will be varied, but the economy looks favourite. This area along with Kata and Karon has always been far more seasonally sensitive than Patong too.

The guesthouses and middle star hotel business in Patong are doing just fine as low seasons go, people are not deserting Patong, they are merely gearing down the level of accomodation they are using.

There seem to be hardcore group of people who resent Phuket's success, I guess they are the same guys who trot out the old 'its where Bangkok/Pattaya bar girls go when no one wants them anymore" crap too and who constantly herald various other towns as the next Phuket.

Phuket is the next Phuket, it remains an absolutely brilliant place to spend a vacation, its got the lot and the tiniest amount of research will show you where the value is too. If the tsunami couldn't destroy us, nothing can nor will. What we have is a normal downtrurn in trade that can be exected in any industry. A positive result of which is that there has never been a better time to invest in Phuket. Sadly we don't see any headlines in the Bangkok media about this.

Regarding the Aussie woman arrest: Steve, the owner of the bar is good bloke, he has a great business and works hard at it too and deserves his success. As I know to my own cost, this can create a lot of resentment amongst a certain type of expat and this naturally paid a part in the story running longer than it should have on the various boards.

The beer towel in question, is a large rubber mat, custom made by the bar with the bars logo on it. They are sold as souvenirs however this woman or one of her mates thought it would be a hoot to steal one. However you look at it its theft, just as it would have been if she'd stolen a T-shirt that bar sells as a souvenir. She was stopped by the bars own security guard and told to put it back, at which point the <deleted> and jeffing started. Thai guy loses face, so he nicked her because he can. Som nam naa as we say in the south.

Most Aussies who come here are brilliant and are a welcome addition to the mix on the island. I fear that this group were of the ilk who buy their beer at the 7 - 11 and then try to bring it into your bar and then get shitty with you for telling them that this is as unnaceptable in Thailand as it would be in Australia. (I believe in Australia this would get you a smack you probably deserve).

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"Of course this only applies to businesses run by farangs.

The clever Thai business people, will just increase the price of

everything by 50% and not even notice any problems !

wink.gif"

Clever Thai? What ?

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