Thailand tourism collapse poses existential crisis for airlines

[webfact]

Thailand tourism collapse poses existential crisis for airlines

By Alfred Chua

 

Source: Greg Waldron

A departure lounge at Bangkok’s Don Mueang Airport in September 2018

 

The departure gates at Bangkok’s Don Mueang international airport are usually packed with travellers scrambling to catch their flights — to cities in China, Southeast Asia, and within Thailand. 

 

Snaking queues were par for the course, be it at check-in, security, or even to use the toilets. But for most of 2020 that scene has been a distant memory, as the airport hunkered down amid the coronavirus outbreak, which saw international and domestic travel restricted to curb the spread of the virus. 

 

The once-ubiquitous traveller queues in the airport vanished, and the airport — like many others in the country — is now devoid of activity. Don Mueang is not alone. Data from the Civil Aviation Authority of Thailand (CAAT) shows that from April, which was when the Thai government imposed strict travel restrictions in and out of the country, the number of international flights plummeted to levels unseen in recent history. 

 

Full story: https://www.flightglobal.com/airlines/thailand-tourism-collapse-poses-existential-crisis-for-airlines/140059.article

 

-- © Copyright Flight Global 2020-09-09

 

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[Puchaiyank]

Maybe some retrospective analysis of a more fair and balanced approach to international tourism is in order at this time. 

 

I can dream if I want to!  ????

[The Farang]

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

[sammieuk1]

I left swampy on the 20/02/20 it was devoid of people and you could hear the echo from your footsteps then add the OTT actions of this government and you get your comeuppance no one ????

[Shey420]

25 minutes ago, The Farang said:

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

That change can't happen overnight, it takes years. So in the mean time the focus needs to continue on tourism.  Obviously because of this pandemic the smart countries will see ???? how important it is to change their tourism reliance. 

 

Also why are they showing amazing Thailand flights in USA or any other country when they can even decide how to let tourist back in????????

[oompie69]

38 minutes ago, Shey420 said:

That change can't happen overnight, it takes years. So in the mean time the focus needs to continue on tourism.  Obviously because of this pandemic the smart countries will see ???? how important it is to change their tourism reliance. 

 

Also why are they showing amazing Thailand flights in USA or any other country when they can even decide how to let tourist back in????????

Spot on! Shows there is no co-ordination between government ministries. The left hand really doesn't know what the right hand is doing. Which is surprising given the number of military-trained individuals in the decision-making echelons. Planning and implementing of plans is normally a big part of any successful military campaign. But then again, TIT!

[ezzra]

1 hour ago, The Farang said:

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

Thailand TAT roadshows are very famous and elaborate and spare no expense all over the world for many years now promoting tourism to Thailand even when tens of million were coming here the TAT promos and roadshows never stopped, Airlines and all other tourism and entertainments business are all heavily bleeding now due to lack of tourist, the strongest will survive, others will fall by the wayside...

[spermwhale]

2 hours ago, The Farang said:

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

Thailand already does this. They have been doing exactly this for the last two decades. What kind of companies do you think have set up manufacturing operations in all the industrial estates? Not to mention, they have all types of incentives and tax holidays and visa services for companies for a number of target industries. 

https://www.boi.go.th/en/index/

[Dukeleto]

From the link to the full article:

"In 2019, tourism contributed nearly 20% of the country’s GDP. "

 

Buuut the government said only 9%! I am also very scepticle of "nearly 20%". I think it is far greater! Zero international tourism has a massive knock on affect. The reaction to this virus, simply put is rediculous and is taking the world back to the dark ages. There are too many people and too little land on this planet already for everyone to go back to a "live off the land sceanario" which is what Thailand seems intent on doing. Somethings got to give and soon!

[Airbagwill]

3 hours ago, The Farang said:

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

Your perception of Thailand seems somewhat skewed. Tourism accounts for about 20% of GDP, Industry is now around 50% and the service sector a load on top of that.

Thailand is choc-a-bloc full of multinational companies - automotives being on of the biggest being in the world's top ten motor industries. Electronics follows on close behind. 

Edited September 9, 2020 by Airbagwill

[OnTheRun]

3 hours ago, The Farang said:

I give Thailand credit for trying to boost tourism.  I saw a commercial here un USA from Amazing Thailand promoting tourism.   Never saw ads before from Thailand.  But, Thailand needs to change focus from tourism and make it lucrative for businesses to set up shop in Thailand.  Big companies that can build headquarters.   That will bring foreigners and also can be a silent salesman for Thailand.   Can't put your eggs in one basket.

I don't see the point in them advertising tourism when nobody can get into the country.

[Colabamumbai]

5 5 5 

[Sharp]

The Thai Goverment seem to be doing way more damage to the tourism businesses than the virus ever could !!

Its now apparently 'FLU' stats being observed so the over reaction isn't justified any longer!

[blazes]

Interesting to note (in the link to the full article) how many airlines were running at a HUGE LOSS in the same period last year.

[BritManToo]

2 hours ago, ezzra said:

Thailand TAT roadshows are very famous and elaborate and spare no expense all over the world for many years now promoting tourism to Thailand even when tens of million were coming here the TAT promos and roadshows never stopped, Airlines and all other tourism and entertainments business are all heavily bleeding now due to lack of tourist, the strongest will survive, others will fall by the wayside...

Those with least overheads will survive.

You would need minimal outgoings for the next 2-3 years.

Everyone else is going bust.

[BritManToo]

1 hour ago, Dukeleto said:

There are too many people and too little land on this planet already for everyone to go back to a "live off the land sceanario" which is what Thailand seems intent on doing. Somethings got to give and soon!

Would point out Thailand's population is shrinking.

It's still very easy to live off the land here, but probably not a popular option among the young population.

 

I never understand the 'knee jerk' too many people posts.

Yes there are too many Africans, Indians, Chinese ........ everywhere else is doing just fine with their population.

Edited September 9, 2020 by BritManToo

[yellowboat]

4 hours ago, Puchaiyank said:

Maybe some retrospective analysis of a more fair and balanced approach to international tourism is in order at this time. 

 

I can dream if I want to!  ????

You can, and it is a worthy dream that will help many.   The cha cha government seems only to want to help the Vietnamese economy for some strange reason. 

[Amplish]

20 minutes ago, BritManToo said:

Would point out Thailand's population is shrinking.

It's still very easy to live off the land here, but probably not a popular option among the young population.

 

I never understand the 'knee jerk' too many people posts.

Yes there are too many Africans, Indians, Chinese ........ everywhere else is doing just fine with their population.

Agreed that compared to other countries Thailand is not too crowded, but according to current projections, Thailand's population will reach its peak in 2028 at 70.4 million people. The current 2020 annual population growth rate is 0.25%. It isn't shrinking yet.

[Isaan sailor]

How to lose a million dollars?  Start an airline.

How to lose even more?  Schedule flights into Thailand.

[NotYourBusiness]

This was all obvious the day they started the shutdown.

[Pinot]

5 hours ago, Puchaiyank said:

Maybe some retrospective analysis of a more fair and balanced approach to international tourism is in order at this time. 

 

I can dream if I want to!  ????

Enforcement of environmental laws? Fair and balanced...ha! That's a good one. 

[overherebc]

4 hours ago, Shey420 said:

That change can't happen overnight, it takes years. So in the mean time the focus needs to continue on tourism.  Obviously because of this pandemic the smart countries will see ???? how important it is to change their tourism reliance. 

 

Also why are they showing amazing Thailand flights in USA or any other country when they can even decide how to let tourist back in????????

Because people will book and pay for a flight before they check on the requirements for entry then realise it's a virtual no-go. They cancel their flight and because 'they' cancel, not the airline, all they get is an offer to change to a later date.

In the meantime the airline has 'income'.

[chilli42]

3 hours ago, spermwhale said:

Thailand already does this. They have been doing exactly this for the last two decades. What kind of companies do you think have set up manufacturing operations in all the industrial estates? Not to mention, they have all types of incentives and tax holidays and visa services for companies for a number of target industries. 

https://www.boi.go.th/en/index/

And it’s still a much less attractive place to set up a company than Vietnam

[Bangkok Barry]

4 hours ago, oompie69 said:

Planning and implementing of plans is normally a big part of any successful military campaign

The only operations that the Thai military has carried out in living memory are against its own people. By doing so little to help the people now, not delving into their massive foreign reserves for example, demonstrates that nothing has changed.

[mtls2005]

1 hour ago, Isaan sailor said:

How to lose a million dollars?  Start an airline.

Often attributed to Richard Branson...

 

If you want to be a Millionaire, start with a billion dollars and launch a new airline.

 

 

Warren Buffett... 2001

 

Mr. Buffett told journalists aboard a London-to-Paris flight on Tuesday that in the last 20 years, 130 U.S. airlines have gone broke. "It's unbelievable," he said, offering to dig out a list of the failed companies he keeps back in his office in Omaha, Neb., to show doubters.

 

"The airline business from the time of Wilbur and Orville Wright through 1991 made zero money, net," he said. "If capitalists had been present at Kitty Hawk when the Wright brothers' plane first took off, they should have shot it down."

 

https://www.theglobeandmail.com/report-on-business/buffett-says-never-again-to-airline-business/article25435835/

 

 

[Bender Rodriguez]

get real ... 14 d quarantine = who in his/her right mind that is a tourist would want that 

+ 100k usd$ insurance + more expensive flight

 

and the ripp-offs to try to get their money back = everything even more expensive

[The Farang]

5 hours ago, Shey420 said:

 

Also why are they showing amazing Thailand flights in USA or any other country when they can even decide how to let tourist back in????????

You know how Thailand operates 555...

[dick turpin]

So what's "existential" when its at home then....don't start going all la de da on me.

[rupert the bear]

the problem is whatever route thailand takes whether it be tourism  or whatever travel must be part of it.wheres the money come from?overseas.if its from europe japan or china it still needs foreign expertise along with the capital,its that simple.the blanket ban and restrictions on travel and tourism dont add up.so put a system together that allows that,test on arrival its cheap and easy,incomers need a test the other side within 72 hrs of flying,job done,stay at hotel 2 days and if neg away you go,there will be infections ,deal with them.over the long weekend the hallowed ground of internal transmission was breached so it tells us what most people thought,theres a reservoir of infection with in the country, end of story,testing-thai doesnt do test.800k is the no,one of the smallest ratios per pop in the world its a count similar to ugandas.why?ask yourself that and theres plenty of money the philippinnes has tested close to 3 mill.over the long weekend we had over 100 deaths on the roads and the hysteria over the dj's infection .well theres something very wrong here,more die over the weekend than in 10 month s of this.millions are impoverished and out of work.we have the super rich standing aside doing nothing ,zillions in their pockets,people are tiring of the feudal idiocy we can see that in terms of the political awareness,the army govt desperately trying to lie their way out of every corrupt corner they paint themselves into.simply do what the govt should do .provide for the welfare of people,how? open up the economy intelligently along with the political process.the 2 ride together,if not......

[The Farang]

3 hours ago, spermwhale said:

Thailand already does this. They have been doing exactly this for the last two decades. What kind of companies do you think have set up manufacturing operations in all the industrial estates? Not to mention, they have all types of incentives and tax holidays and visa services for companies for a number of target industries. 

https://www.boi.go.th/en/index/

Yes, and I bet you all those companies mostly set up shop in Bangkok.  The rest of Thailand there's not too much.

Edited September 9, 2020 by The Farang