Thailand to move away from foreign tourism and rely more on home travellers in the latest TAT masterplan

[webfact]

Tourism Authority of Thailand (TAT)’s new governor, Thapanee Kiatpaiboon, faces a challenging role as she guides the country’s tourism industry in the aftermath of the pandemic era. Last week, she signalled a shift away from dependence on foreign tourism and popular hotspots in a move towards domestic tourism and secondary destinations.

 

Thailand’s tourism industry faces a 40% decline in revenues this year compared to 2019, prompting a reevaluation. A disappointing response from Chinese tourists and a lack of Western enthusiasm have necessitated a focus on domestic travel and second-tier cities.

With foreign tourism visitor and income projections for 2023 being revised downwards and projected to be nearly 40% off 2019 revenue figures with fewer visitors, off by 30% and lower spenders because of an absence of Western tourists, Thailand’s newly appointed tourism agency chief is signalling a move towards more domestic tourism as she plots a course to 2027 when she hopes 40% of the country’s tourism income will be generated at home while the tourist sector itself will grow to a whopping 27% of GDP.

 

Facing a 40% decline overall in revenues from 2019, rejection from Chinese tourists and lack of former enthusiasm from Western travellers, Thailand’s tourism industry seeks a new direction.

 

With a projected income of ฿1.2 trillion this year, 39.39% less than 2019, the Tourism Authority of Thailand (TAT) now eyes 28 million arrivals this year but many Bangkok-based analysts suggest this would be a positive outcome for the year given the pronounced decline in trends.

 

by James Morris and Son Nguyen

 

Full story: Thai Examiner.com 2023-12-13

 

- Cigna offers a range of visa-compliant plans that meet the minimum requirement of medical treatment, including COVID-19, up to THB 3m. For more information on all expat health insurance plans click here.

 

Get our Daily Newsletter - Click HERE to subscribe

[smedly]

saving face because foreigners are choosing alternatives, rather than fix the many problems you are stating it like it is a chosen path 555, denial 101

[daveAustin]

They haven’t got any money either, love.

[2baht]

1 hour ago, webfact said:

she signaled a shift away from dependence on foreign tourism

Was it not foreign tourism that signaled a shift away from Thailand? 

[Artisi]

Baldrick has a cunning plan. 

Edited December 12, 2023 by Artisi

[ukrules]

Nothing less than a pathetic excuse issued by a failing agency.

 

Of course it's not their fault that China has all but banned tourists from coming to Thailand.

 

Whatever China wants they seem to be holding out for it and whoever they want it from doesn't seem to be providing it. Must be something big for this to happen.

[hellohello123]

Great plan....they will focus on local tourists until the end of 2023..... a lot can be done in 18 days

Edited December 12, 2023 by hellohello123

[TruthinThailand]

The answer is simple. SROAS. Works everywhere. Stop Rip Offs And Scams. 

[Captor]

Just fix the air pollution and the tourists will come back. Why do tourists want to travel with family to a country with dangerous air?

 

Look like TAT don't want see the elephant in the room

[Skipalongcassidy]

The "local tourists" with money are travelling to other countries... why would they travel to destinations in Thailand that really do not welcome Thais as their guests?

[ChipButty]

It's not busy like it was last year, most mornings I take a drive down to the beach and have a coffee somewhere, few people down the beach early but when you look at the car and bike rental shops full of bikes for rent, locals are saying it's not busy like last year.

[jacko45k]

Just now, ChipButty said:

It's not busy like it was last year, most mornings I take a drive down to the beach and have a coffee somewhere, few people down the beach early but when you look at the car and bike rental shops full of bikes for rent, locals are saying it's not busy like last year.

Bar owners too are saying that although claiming it is 'picking up'......Plenty of traffic on the streets though, and out on major roads around town. 

[Jimjim1]

They should look at the treatment they have meted out to western tourists over the last 12 years, rascism ,a total lack of respect, rip off double pricing finger printing and photos upon entry to the country an obvious attempt at making visitors feel like the criminals we are not, to name but a few, and on top of that just look at the price of flights since Covid by the countries national airline which are completely unnecessary, fuel prices have not double or trebled but flight prices have.

Anyone with half a brain would realise that with many countries struggling with high inflation and spiralling costs of living the way forward is to be more friendly towards potential visitors and set travel cost to a lower level thereby making such visits far more attractive, But this is Thailand where the mentality is entirely at odds with common sense and where the powers that be consider that being obstructive, causing visitors to feel completely unwelcome and raising prices across the board is the answer to enticing visitors to come back.

 

Surely even to this bunch of government goons the answer is not rocket science or is it that they genuinely have a level of intelligence that totally precludes them from seeing the wood for the trees.

[AhFarangJa]

The exchange rate does not help. This Country is expensive to holiday in now compared to several years ago. I am not an economist so can someone please explain how the loss of millions upon millions of foreign money coming into the Country from international tourists, ( Once a large part of GDP), can be made up by locals who are only circulating money already here?

[soalbundy]

1 hour ago, 2baht said:

Was it not foreign tourism that signaled a shift away from Thailand? 

I don't think tourists have dropped Thailand but rather the developed world is going through an economic crisis. Germany is already in recession, dragging the rest  of Europe with it, the UK, USA, Canada, Australia are basically in recession in all but name, China, Japan and Korea are all in financial trouble with falling exports and a failing domestic market due to demographic problems. The next few years are going to be problematic for all of us, Thailand isn't insulated from the world's economic problems although the broken world trade links with China offers an opportunity for countries such as Thailand, Vietnam and Indonesia so that it may be that these countries will offer more stability going forward.

[peter zwart]

Oh my dear lord. They realy dont have a clue do they?

[hotchilli]

3 hours ago, webfact said:

Thailand’s tourism industry faces a 40% decline in revenues this year compared to 2019, prompting a reevaluation. A disappointing response from Chinese tourists and a lack of Western enthusiasm have necessitated a focus on domestic travel and second-tier cities.

Some realisation from TAT at last...  just one problem... locals don't spend like foreigners.

Don't expect Thais to save the tourism business.

Edited December 12, 2023 by hotchilli

[ChipButty]

If Thai's have money they do like to travel the ones I know do, the company my wifes sister works for in BKK last week end paid for 70 employees for a 4 day trip to Phuket all expenses paid, flights and a 5 star hotel in Kalim plus day trips, diner one night down the seafood market in Rawai, 

[2baht]

7 minutes ago, soalbundy said:

I don't think tourists have dropped Thailand but rather the developed world is going through an economic crisis. Germany is already in recession, dragging the rest  of Europe with it, the UK, USA, Canada, Australia are basically in recession in all but name, China, Japan and Korea are all in financial trouble with falling exports and a failing domestic market due to demographic problems. The next few years are going to be problematic for all of us, Thailand isn't insulated from the world's economic problems although the broken world trade links with China offers an opportunity for countries such as Thailand, Vietnam and Indonesia so that it may be that these countries will offer more stability going forward.

More Chinese are travelling to Australia while Australians are travelling to Bali and Japan! 

[2baht]

28 minutes ago, TruthinThailand said:

The answer is simple. SROAS. Works everywhere. Stop Rip Offs And Scams. 

What? And destroy their tourism dreams completely???

[ezzra]

The headline should read " Thailand to move away from foreign tourism and rely more on taxing and milking expats and foreign business people for needed revenues"...

Edited December 12, 2023 by ezzra

[Mike Lister]

27 minutes ago, AhFarangJa said:

The exchange rate does not help. This Country is expensive to holiday in now compared to several years ago. I am not an economist so can someone please explain how the loss of millions upon millions of foreign money coming into the Country from international tourists, ( Once a large part of GDP), can be made up by locals who are only circulating money already here?

International Tourism is worth 12% of GDP, on a good day, Domestic Tourism is worth about 8%. International Tourism is valuable to the country not because of the foreign currency they bring, most foreign currency comes to Thailand by way of Customs Exports which are 56% of GDP. It's valuable because International Tourism spending stimulates Consumer Spending, it seems that the plan now is make Domestic Tourism replace external money which is doable, if it actually exists and if locals are willing to spend, albeit at a lower rate than international tourists. Reducing reliance on international tourism has got to be a smart move and long overdue.

 

And the exchange rate favors tourists right now, 35 to USD and 44 to the Pound is attractive by recent history. The Chinese definitely think Thailand is a cheap destination, they all tell us that, the exchange rate is not the reason the Chinese aren't visiting, that's down to other reasons.

Edited December 12, 2023 by Mike Lister

[sirineou]

 The problem with Thailand, and many other countries , is that Nepotism allows unqualified people in positions of power.  

[Ben Zioner]

I live in Thailand, but the Revenue Department just gave us strong incentives to have our holidays abroad.

[khunjake]

Thailand now competes with all other ASEAN countries for Chinese tourists by going visa free now. Indonesia just announced visa-free for PRC citizens as well. One would think that offering discounts and special packages to expats living here might bump up the revenue numbers but god forbid they give into doing something like that!

[jacko45k]

Just now, khunjake said:

Thailand now competes with all other ASEAN countries for Chinese tourists by going visa free now. Indonesia just announced visa-free for PRC citizens as well. One would think that offering discounts and special packages to expats living here might bump up the revenue numbers but god forbid they give into doing something like that!

Does Indonesia still obligate Visa on arrival for Wester tourists like UK and Oz though?

[Jack West Jr]

Another thing is that Thailand hasn't been "amazing" for at least a decade . Wherever you look you see discarded filth , in some places you have to step round it and pretty soon you'll have to wade through it .Every year it gets worse .  People go on holiday to enjoy pristine settings , not spend time in a huge rubbish tip . 

If they don't clean up their act tourists will start staying away in droves . Moreover, expats will consider other countries to settle in . 

[redwhiteandblue]

49 minutes ago, AhFarangJa said:

The exchange rate does not help. This Country is expensive to holiday in now compared to several years ago. I am not an economist so can someone please explain how the loss of millions upon millions of foreign money coming into the Country from international tourists, ( Once a large part of GDP), can be made up by locals who are only circulating money already here?

You don't understand. It's Thai economics.

[Mike Lister]

9 minutes ago, khunjake said:

Thailand now competes with all other ASEAN countries for Chinese tourists by going visa free now. Indonesia just announced visa-free for PRC citizens as well. One would think that offering discounts and special packages to expats living here might bump up the revenue numbers but god forbid they give into doing something like that!

Ironically they do the opposite, a discount price on hotel rooms for Thais and a higher price for foreigners, or so it is claimed by many here.

[Mike Lister]

26 minutes ago, sirineou said:

 The problem with Thailand, and many other countries , is that Nepotism allows unqualified people in positions of power.  

Tit for Tat.