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Phuket facing worst tourism crisis in three decades - half of hotel rooms empty in 2020

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3 hours ago, chang1 said:

Taksin started the decline by going for "quality tourists" and driving away the backpackers. These new tourists were nieve so easy to RIP off. This greatly fuelled the greed in places like Phuket and Samui. Meanwhile all those small businesses catering for the lower end of the market were driven out by the larger operators channeling money straight to wealthy owners. Backpackers, like I was, also often became the "quality tourists". Backpackers used to stay for months but now quickly move on to neighbouring countries and learn how overrated Thailand now is so don't return. After getting poor value for money holidays even the "quality tourists" are not returning and spreading the word to others. Also making expats feel unwelcome is a massive own goal as they are unlikely to recommend Thailand to friends and relatives. It has been sad to see this great destination turn into a very poor version of Spain. The fun has gone and I doubt it will ever return. I hope places like Vietnam learn from what happened in LOS and protect the low end of the market as that is what is most important. Otherwise they have to compete with well established closer destinations that do things much better and without the long haul flights. Basically Thailand sold out and cast aside what it did well and totally messed up the market it went for. The taxi mafia alone are a massive turn off - first impressions last. 

I would like to add to this, a question; why did they had to replace all the bungalows with high end hotels that are mostly empty? It is very sad.

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  • Don't worry, Indian millionaires are on their way.

  • darksidedog
    darksidedog

    The cure is going to be very painful and largely needs to come at grass roots level. The whole basis of a market economy is about supply and demand. When demand is low you need to reduce prices, espec

  • I wonder, will their solution will be to raise the room prices ?       T.I.T economy 101

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4 hours ago, nchuckle said:

Well if you’re daft enough to believe TAT counting every arrival as a tourist and ignore reports from hoteliers and businesses  here then I guess you could also be prone to self delusion too.

They are planning a second airport for Phuket soon.


good hotels and businesses are booked-up and don't complain. The rif-raf always complains.


If you need more proof that arrivals are strong that may help you understand the reality.

THe excessively high value of the THB is destroying what used to be a great competitive advantage which the country used to have, compounded by increasing prices for accommodation. THere are plenty of alternative S/E Asian countries offering far better value for money! 

1 hour ago, sanemax said:

How many airbnb bookings have there been and what are the airport arrival figures ?

What data is collected in the OP ? just a lot of crying , zip data. I do not know air bnnb bookings except to say its logical that they are big numbers. Lets not forget the mayor of phuket was the first to declare short term rentals illegal in Thailand several years ago with pressure by guess who? the hotels association and they were losing big bussines back then and mosty certainly thats only multiplied in air bnbs favour.

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11 hours ago, madmitch said:

I've been saying for years that hotel nights are a much better indicator of tourism health rather than the arrival figures upon which TAT and the Tourism Ministry are always quoting.

 

 

Keep visa durations short and you will increase arrivals on the short terms until long stay tourists are fed up and don't do any visa runs but go elsewhere.

1 minute ago, madmen said:

What data is collected in the OP ? just a lot of crying , zip data. I do not know air bnnb bookings except to say its logical that they are big numbers. Lets not forget the mayor of phuket was the first to declare short term rentals illegal in Thailand several years ago with pressure by guess who? the hotels association and they were losing big bussines back then and mosty certainly thats only multiplied in air bnbs favour.

OK, so there is no shortage of tourists in Pukett and everythings fine, nothing to be worried about

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7 hours ago, taxin said:

You mean he is shocked at how much Baht he is getting in exchange for his home currency ?

 

Phuket prices have actually not gone up that much. Maybe a 10-15% increase over the last few years. Accommodation prices in general have actually gone down.

He wouldn’t know about price rises or the baht getting stronger (or western currencies  getting weaker) he’s a first time visitor . What he sees is what he gets right now , he’s travelled quite a bit in Europe and Asia but the first time in Thailand and sees the prices in line with Europe and sometimes more expensive . Not worth the long haul flight for his family . 

7 hours ago, Tropposurfer said:

Yeah $2.50 for a coffee is outrageous so is 6 for enough tasty fresh food to fill your belly. I’m appalled. But hey my appalling meter has been busted for years lol ???? 

He’s on HOLIDAY . Never lived or been before . Not everyone can find the cheapest hole in the wall on the first day especially without a little bar bint to show him the error of his ways ????

Thailand has priced itself out of the tourist market. Plus the ridiculously high baht. I fear the golden days are long gone.

What do you Expect when They Rip You off at Every Turn, The Police do Nothing and Promote Blatant Racism !!!

Sorry i haven't read all reply's but we know this is fake news, ask TAT 

 

the emperor knows best evly body lub me mut and is happy     brianthainess

20 minutes ago, Tounge Thaied said:

Is it just me... I think this is great news. 

Me to.

14 hours ago, johng said:

I wonder, will their solution will be to raise the room prices ?       T.I.T economy 101

Just checked hotel prices and they are very high season prices. So the fact of the statement, has not yet caused a change in prices

a friend went to the islands for 4 days.he got the hotel bus,when he wanted a taxi he was charged £25 for the taxi one way. very expensive and u wonder why no tourist are coming there.taxi mafia and hotel owners must realise this and over pricing.not to mention the atm charge when he had to get more cash

7 hours ago, mikecha said:

 

the price is how  you make it

get smart  ask around what normal prices are 

 

dont get agrivated and walk away at silly prices   walk a block try again.

People on 2 week holidays will not walk 10 meters to save money unless they are cheap Charlie's but they will look elsewhere to go next year.

18 hours ago, johng said:

I wonder, will their solution will be to raise the room prices ?       T.I.T economy 101

...... the usual way to approach such predictions in the TIT way is - to DOUBLE all prices, to make-up for the shortfall in Revenue .... LOL 

Phuket should start by cleaning up the Taxi Mafia. People do not like the scam.  Perhaps the answer would be to introduce Baht Buses like Pattaya??????  So long as members of the local Government are not woven into the Taxi system too much.

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4 hours ago, JeffinChonburi said:

Phuket should start by cleaning up the Taxi Mafia. People do not like the scam.  Perhaps the answer would be to introduce Baht Buses like Pattaya??????  So long as members of the local Government are not woven into the Taxi system tolo much.

They should do this....problem is we have been complaining about this since the '90s and nothing has ever been done, nor do I suspect it ever will. I imagine some powerful people are benefiting hugely from it...

 

All the excuses in the world will not fix the problem that Thailand has today & it will continue unless the Thai Baht is revalued. This is not rocket science & lowering prices, promotional offers etc etc will not fix this. The government must take action, revalue the Thai baht to an acceptable level to get the economy going again.

 

People will not come on holiday here unless they consider Thailand to be good value for money. At the moment the exchange rate has killed the "golden goose" as most things here are more expensive than in their homelands. Even meals now have become very expensive whereas previously in yesteryears it was well known food prices were cheap, delicious & the food plentiful. Sadly, that has changed too ............ I've found the quality of the food is not the same. It could be that food is "in & out" of fridges too often due to the lack of tourists, but standards certainly have been lowered. I can only surmise that food stocks in restaurants are being kept longer due to this. Vietnam, Cambodia & Laos are being chosen rather than Thailand as a holiday destination as everything is much cheaper ........... fact.

 

Tourism is all about "value for money" ........... Thailand is no longer a tourist destination only because the Thai baht is much too strong. You only have to look at the 7/11's here to see the number of tourists using them ........ especially the Chinese who are the largest group of tourists here. It is not only for cold drinks, they "self cater" & do not eat in restaurants very often, probably to offset the cost of their holiday here. The Indian tourist group are very much the same too ........... as I've said it's not "rocket science" to fathom out why the economy is failing.

 

Yes, Safety Standards, Rip Off's, Road Hazards, Pedestrian Risks, Water Hazards, Health Issues etc etc are all things in Thailand that we can control/decide for ourselves & make our own choices, but can do nothing about the exchange rate. 

 

Hence, tourists are now voting with their feet & going elsewhere ...... and will continue to do so! Wake up Thailand, quick fixes are not the answer. You have had a land given to you on a "golden platter" that people will pay to visit here on holiday. Don't allow greedy minorities cloud your judgement. Stop the "super rich" from keeping the baht strong so they can get richer ..... fact. Long term growth & healthy profits annually are the key to a thriving economy, then the general public here will no longer continue to struggle & will be content ....... it is they who deserve the support of government, which is sadly lacking at this moment in time. 

 

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Just now, Daveyh said:

Thailand is no longer a tourist destination only because the Thai baht is much too strong

No, they have priced & pushed themselves out of the market, and that has little to do with the exchange rate. Over priced hotels, over priced restaurants and bars, the taxi mafia extortionate rates will still be there no matter what the exchange rate is. Then add in the scams, the lack of safety, the aggressive and nasty touts, and general unpleasantness of too many of the the locals.  

This was a long time coming and a change in the exchange rate will not be a cure all. Thailand was teflon for a long time. Those times have passed. 

18 hours ago, peter48 said:

Two seats on indirect flights Lon to BKK on 19th Dec were circa £3000. That’s 1500 each on low to medium airlines not expensive ones. The Brexit pound remains low at 39 baht. That pre- booked price was like that from about September onwards. Now you know why Brits could not come.

You were ripped off.   Out of interest, just did a search on Emirates, for flights leaving LHR on 8th January to BKK via Dubai, returning on 22 January.   832 pounds for two people (Copy/pasted detail below).

 

London Heathrow (LHR) to Bangkok (BKK)

Return  2 Passengers 

Cost: GBP 832.32

Samui is full

 

3 hours ago, mstevens said:

They should do this....problem is we have been complaining about this since the '90s and nothing has ever been done, nor do I suspect it ever will. I imagine some powerful people are benefiting hugely from it...

 

In the 90s this was no problem. Tuktuks drove in 1 big round in patong for hop on hop off. 10-20 baht fee. In this days tuktuks been fair and nice. Nothing to complaint.

 

Nowadays totally different story.

The real obvious mafia style shxt which also felt then by the normal tourists started in 2000.

However what we read about this crisis in the land of lies, may we look to the true storys behind, what is not straight published.... usually..

 

Sure, the strong Baht is one thing, but there are so many worst story's about this country, the gov., the behavier of the thais, the rip off everywhere and so many many bad things.

 

In case of the information even on the net it is nearly impossible to repair this bad image.

 

A other aspect, and this is very heavy importante to think about is what?...

 

The Thais with the corrupted mind, ohh.. sorry I mean the corrupted culture itself.

 

Even they believe almost they are the best in the world but have a grounded base on intellect and knowledge. Other say they stupid, but it is ignorant. And they really do not like to learn and change... almost like animals. And also when you look deeper, even in the aspect of religion, they call itself animals, not humans.

They believe they can rip off all other visitors and think the fake smile touch this in a good shine.. none!

 

They have generally no responsbility and they throw the trash everywhere, they lie as it is common normal and they are egoistic. Almost they do only good things for money or for the khama...

 

So many things more, could wite a book, well I did already, however.

 

So this underground culture with animal behavier, don't like to change itself for better, --;just ignorant and thinking there are the best in the world, but in reality they lose the face and this can not repair again. Som nam na... !!!!!!!

Easy solution just devalue the Baht by 15 to 20% and the situation will be much more stable for all

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I am under impression that Thais are reaching the human capital limits. The country has huge trade surplus, which noone knows what to do with, and huge reliance on tourism income, yet businesses struggle to show any meaningful results (compare stocks in Thailand and elsewhere for the past 5-7 years, nothing really changes). They desperately trying to revive the economy by cutting the rates (we think we will see 1% despite the threats that export will die. ), but ... it doesn't work. Inflation is flat, businesses are not offering anything new. That's the human capital and technological limitations that the country struggles with. But vendors become more and more greedy because they want to earn. I have spent 11-15% more that last year in Thailand for the approximately same basket of goods just because things costed more + exchange rate. 

Will see this time, if the situation won't improve, I will consider Vietnam as my next destination. Or even Mexico ???? 4 hours and I'm with amigos, sipping Corona.

 

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They can thank all the rogue IO offices at the airports who are turning away tourists who spend money in the country every year. The ones who stay for a long time with the correct tourist visas.

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