Thai Tourism Revenue to Hit 3 Trillion Baht, Falls Short of Goal

[webfact]

Picture courtesy: What's on Sukhumvit

 

Thailand’s tourism industry expects to generate 3 trillion baht this year but will miss its 3.5 trillion baht target, according to the Tourism Authority of Thailand (TAT). The shortfall is attributed to economic hurdles in key markets, primarily China.

 

As of today, Thailand has welcomed 14.9 million foreign visitors, bringing in 709 billion baht (US$19.4 billion). This revenue accounts for roughly 30% of the international income goal of 2.38 trillion baht (US$65 billion) set by the government.

 

Chattan Kunjara Na Ayudhya, TAT Deputy Governor for International Marketing, noted the realistic revenue estimate stands at 3 trillion baht (US$82 billion). Challenges include economic slowdown in critical markets like China, where flight capacity to Thailand is still only 75% of pre-pandemic levels.

 

Kunjara stressed the need for additional financial stimuli, especially for boosting tourism from China. "To reach the extra 500 billion baht (US$13.7 billion), we need more investment, particularly in the Chinese market," he stated at the Thailand Travel Mart Plus (TTM+) 2024 event in Phang Nga.

 

The original revenue goal included 980 billion baht (US$27 billion) from Asian and South Pacific markets. If the total revenue hits 3 trillion baht (US$82 billion), these markets would likely contribute 840 billion baht (US$23 billion).

 

Chuwit Sirivejkul, TAT's Regional Director of Marketing for East Asia, emphasised ongoing events to maintain market momentum, particularly during the low season. He observed a slowdown in Chinese tourist arrivals due to university entrance exams but expects an uptick from July. TAT will organise events, including the launch of a special-edition Labubu doll in collaboration with China.

 

This Labubu doll marks 50 years of diplomatic relations with China, aiming to attract its large fan base and promote Thai attractions. Complementary travel packages will be offered by platforms like Trip.com and Tongcheng Travel.

 

In July, TAT plans roadshows in Chinese cities Changsha, Xi’an, and Zhengzhou. Chattan announced that 79 Chinese agents have registered for TTM+, the highest number among the 425 international buyers from 50 countries. Business deals during the event are expected to generate 3 billion baht (US$82 million). Chiang Mai is set to host the event in 2025.

 

-- 2024-06-06

 

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[Tropicalevo]

34 minutes ago, webfact said:

TAT will organise events, including the launch of a special-edition Labubu doll in collaboration with China.

Great. A doll.

That'll get them rushing to Thailand.

 

34 minutes ago, webfact said:

In July, TAT plans roadshows in Chinese cities

 

Sorry TAT, your roadshows may be too late for this year.

Chinese guests usually come in low season ie October/November.

Lower room rates and air fares.

Also Golden week (01/10 to 07/10).

Edited June 6 by Tropicalevo

[LivingNThailand]

Chinese government wants Chinese people to travel domestically.  I read a report that tourism is booming in China.  PM and his gang should read the paper once in a while.  

[expat_4_life]

59 minutes ago, webfact said:

Picture courtesy: What's on Sukhumvit

 

Thailand’s tourism industry expects to generate 3 trillion baht this year but will miss its 3.5 trillion baht target, according to the Tourism Authority of Thailand (TAT). The shortfall is attributed to economic hurdles in key markets, primarily China.

 

As of today, Thailand has welcomed 14.9 million foreign visitors, bringing in 709 billion baht (US$19.4 billion). This revenue accounts for roughly 30% of the international income goal of 2.38 trillion baht (US$65 billion) set by the government.

 

Chattan Kunjara Na Ayudhya, TAT Deputy Governor for International Marketing, noted the realistic revenue estimate stands at 3 trillion baht (US$82 billion). Challenges include economic slowdown in critical markets like China, where flight capacity to Thailand is still only 75% of pre-pandemic levels.

 

Kunjara stressed the need for additional financial stimuli, especially for boosting tourism from China. "To reach the extra 500 billion baht (US$13.7 billion), we need more investment, particularly in the Chinese market," he stated at the Thailand Travel Mart Plus (TTM+) 2024 event in Phang Nga.

 

The original revenue goal included 980 billion baht (US$27 billion) from Asian and South Pacific markets. If the total revenue hits 3 trillion baht (US$82 billion), these markets would likely contribute 840 billion baht (US$23 billion).

 

Chuwit Sirivejkul, TAT's Regional Director of Marketing for East Asia, emphasised ongoing events to maintain market momentum, particularly during the low season. He observed a slowdown in Chinese tourist arrivals due to university entrance exams but expects an uptick from July. TAT will organise events, including the launch of a special-edition Labubu doll in collaboration with China.

 

This Labubu doll marks 50 years of diplomatic relations with China, aiming to attract its large fan base and promote Thai attractions. Complementary travel packages will be offered by platforms like Trip.com and Tongcheng Travel.

 

In July, TAT plans roadshows in Chinese cities Changsha, Xi’an, and Zhengzhou. Chattan announced that 79 Chinese agents have registered for TTM+, the highest number among the 425 international buyers from 50 countries. Business deals during the event are expected to generate 3 billion baht (US$82 million). Chiang Mai is set to host the event in 2025.

 

-- 2024-06-06

 

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I often wonder what the TAT/Govt is doing?

 

Do they presume that 40 million tourists in a country of only 70 million people, with ever rising expectations of more, more, more, will not eventually result in tourist fatigue?

 

Signs of infrastructure/environmental fatigue and a rise in tourist related "incidents" clearly tells me that the country may well be reaching a breaking point. 

[ikke1959]

 

Maybe start to attrack more tourists instead of al kind of measures that chase them away. Welcome them, but than you must get rid of your conservative ideas

[watchcat]

1 hour ago, expat_4_life said:

I often wonder what the TAT/Govt is doing?

 

Waiting for their monthly paycheck + bonus.

[hotchilli]

3 hours ago, webfact said:

Thailand’s tourism industry expects to generate 3 trillion baht this year but will miss its 3.5 trillion baht target, according to the Tourism Authority of Thailand (TAT). The shortfall is attributed to economic hurdles in key markets, primarily China.

With all that income they still want to introduce a 300 baht levy on every tourist to "pay for infrastructure improvements" 

[Almer]

Flip flop flip flop, yes we will no we wont  what/who can we blame. 

[Almer]

If you start taxing my pensions there will be even less to go round

[Almer]

2 hours ago, expat_4_life said:

 

I often wonder what the TAT/Govt is doing?

 

Do they presume that 40 million tourists in a country of only 70 million people, with ever rising expectations of more, more, more, will not eventually result in tourist fatigue?

 

Signs of infrastructure/environmental fatigue and a rise in tourist related "incidents" clearly tells me that the country may well be reaching a breaking point. 

They rely on Pattaya and Phuket and once is eneough

[Maitdjai]

Even the Chinese average tourist doesn't come anymore, without the "zero $" tours.
The main aim of China is the "Export" of goods, not "tourists".
They are flooding the country with their cheap crap, taking out the local production.
Due to those "super smart" treaty arrangements, and actually, the flirting with the BRICS countries.
Desperate, and helpless on the downbound train.
 

[Cabradelmar]

More tourist, spending less. Not what they were hoping for, but here we are. My opinion... letting tourist stay longer (on 30-60-90 day visa exempt) translates into those people simply stretching their finite budgets (buying their own groceries, etc.) to cover a longer period of stay. They don't necessarily spend at the rate they would if they were only here a few weeks.

[BigStar]

6 minutes ago, Cabradelmar said:

Not what they were hoping for, but here we are.

 

And 3 trillion ain't a bad place to be. We keep ignoring that fact. 🙂 

[Xonax]

3 hours ago, webfact said:

"To reach the extra 500 billion baht (US$13.7 billion), we need more investment, particularly in the Chinese market,"

The real estate market in China is suffering and has not even hit the bottom yet. Why not invest in other more financially strong markets?

[Sig]

3 hours ago, webfact said:

TAT will organise events, including the launch of a special-edition Labubu doll in collaboration with China.

Now THAT is an event that will crush it and is so obviously something that will make a serious impact on generating foreign investment! They almost have me convinced! I gotta get informed on this doll and call my broker or somebody who can help me get with the program!
This will surely help fly over some of those economic hurdles they mentioned.
Let's gooooo!!!

[Sig]

But I'm tellin' ya, they are missing the boat and need to get their focus right! Attracting all those Kazakhstan tourists is where it's at! If I remember right, that was a focal point at one time... it appears somebody has dropped the ball big-time!
Kazakhstan must have something similar to the Labubu doll and they'll be a smash hit!🤑📈💲💲💲💲💲💲

[khunpin]

I can only hope that it will fall even much shorter. 

[WhatMeWorry]

31 minutes ago, Sig said:

But I'm tellin' ya, they are missing the boat and need to get their focus right! Attracting all those Kazakhstan tourists is where it's at! If I remember right, that was a focal point at one time... it appears somebody has dropped the ball big-time!
Kazakhstan must have something similar to the Labubu doll and they'll be a smash hit!🤑📈💲💲💲💲💲💲

So true, Thailand needs to attract quality tourists such as those found in Kazakhstan. Borat made a movie about the great Kazakhstan: "Delivery of Prodigious Bribe to American Regime for Make Benefit Once Glorious Nation of Kazakhstan" Thailand can help Thailand make Kazakhstan great again.

[LivingNThailand]

1 hour ago, Cabradelmar said:

More tourist, spending less. Not what they were hoping for, but here we are. My opinion... letting tourist stay longer (on 30-60-90 day visa exempt) translates into those people simply stretching their finite budgets (buying their own groceries, etc.) to cover a longer period of stay. They don't necessarily spend at the rate they would if they were only here a few weeks.

Yes, many "tourists" buying groceries and supplies at the markets here in Phuket.  If you see a tourist buying toilet paper, then maybe they aren't the high spending tourists the government wants.     I feel for the regular Thai people.  I really do.  they need better government support.  Worse now than a year ago.  Very sad.

 

[phetpeter]

Best to blame the airlines for high prices along with hotel prices and then high charges for food, goods and other services. they work on the fact that fewer tourists come so, charge them more for the shortfall, instead of the tourist returning home and telling others of the good value they go home and tell others about the costs and poor service they get for their money.

[cnx101]

I think I’ve got a Labubu doll didn’t know what it’s called when I ordered it on the internet I thought it was just a blow up doll

[Dogmatix]

Constant stories in Thai media about expectations for low end chinese tourism reflects desperation and lack of proper planning and economic management going back 20 years to maintain Thailand's competitiveness in sectors other than tourism.  Now they are reaping the arid harvest from this ant and grasshopper fable and still doing nothing to enhance education and R&D or support targeted industries other than low end tourism for a better economy in 20 years when they will be lamenting that their low end tourism offerings are now longer attractive to wealthier Chinese who have moved on to higher quality destinations. 

 

When Thailand was getting double digit growth they called it the lucky country and sat back and ate all the seeds instead of planting for the future.  How sad! 

[morrobay]

So at halftime they have about 15 million foreign visitors 

That could be 30 million total. From 2023 totals with 28 million visitors the average spend was 46,000 baht/visitor. So this year : 30 million x 46000 = 1.38 trillion baht. 3 trillion baht?????

[Cabradelmar]

2 hours ago, BigStar said:

 

And 3 trillion ain't a bad place to be. We keep ignoring that fact. 🙂 

 

It's a 15% shortfall, certainly not de minimis, but better than missing the goal by 20%, sure.

[BigStar]

15 minutes ago, Cabradelmar said:

 

It's a 15% shortfall, certainly not de minimis, but better than missing the goal by 20%, sure.

 

A shortfall of a mere projection. And we sneer at TAT's projections anyway. It's not like Thailand's now in debt an additional 500 billion or going to suffer immensely. No effects of that "shortfall" are even noticeable.

 

So it's mainly just a meaningless "issue" for posters to bash, when they should be chortling and gurgling over their initial disbelief proving "true." IF they really believed anything; beliefs conveniently reverse in order to maximize negativity.

[crazykopite]

They pluck figures out of the air in my humble opinion Thailand revenue is in dire straights people have huge debts Tourism is nowhere what they predicted that’s why there handing out free extended visa’s in desperation that people will come the only ones coming are those fleeing wars even the baht has seen a downfall and now they are trying to sell tons upon tons of rice that has been in storage for more than 10 years. I’m starting to think that maybe Uncle from the previous government wasn’t as bad an MP !

[john donson]

what is the whole GDP again if tourism is 3 trillion...

[PETERTHEEATER]

Will the Labubu Doll be anatomically correct? #

Asking for a friend.....

[Pinot]

This obsession with numbers gets us over tourism. Over tourism is only given lip service. We have to live with it. 

 

Let me count the ways I hate those liars at TAT. 

[paul1804]

I  guess Thailands lack of infrastructure in tourist areas doesnt bother the majority of Chinese tourists, I have always believed the Thailand should be looking for tourists with a bigger spending capacity so quality rather than quantity but given the lack of very basic infrastructure in Thailand maybe they are better suited to target a lower spending tourist and leave the higher spenders to the countries that cater for them. 

Thailand struggles to collect garbage, has very few public toilets and no trash cans, power cuts are too frequent and water shortages need addressing. 

Tourist areas and beach resorts need decent public toilets with infant changing facilities, garbage bins, proper paved side walks, tourist information centres and some form of law enforcement able to communicate in English, given that English is by far the most widely spoken language. The authorities should actively police waste water disposal that beach side establishment discard directly into the oven where people swim. Currently most beachside resorts and hotels are the ones that pick up garbage on the beaches but that shouldn't be their responsibility.

My point is Thailand keeps waffling on about attracting tourists and reaching financial targets yet they dont understand that in order to achieve this they are competing on the world stage so need to lift their game substantially. Thailand is a great place but they are and will continual to slide because its not the cheap destination it once was and they are severely lacking in basic amenities and services. Corruption and double pricing is in your face, taxi gouging probably the worst offender!