Phuket Tourist Numbers Drop: Downturn Feared

[alanmorison]

WITH the year half over, newly released TAT figures for the 2008 high season reflect a drop in numbers that indicates leaner times ahead. Resorts and the Phuket economy are likely to suffer as the price of oil pushes up the cost of flying.

Thai and overseas visitors staying in Phuket resorts and guesthouses in the first three months of the year totalled 784,831. This compares with 945,327 in the same period of 2007 and 901,322 in 2006, and amounts to a drop of 15.92 percent.

-- Reaction and details at www.phuketwan.com

[thommo46]

A drop of 15.92% , I think since my last visit approx. 1 year ago prices have increased 30%.on my last visit in May this year.

[Boater]

A drop of 15.92% , I think since my last visit approx. 1 year ago prices have increased 30%.on my last visit in May this year.

could be the reason

everything from flights to hotels have all risen in price

[lonexpat]

As you sow so shall you reap springs to mind.

[happyaussie]

Other than some subsidised communist countries or dictatorships I don't think there are any countries where the flow on of high fuel and food prices has not effected their own pricing structure.

To suggest it's Thailands increase in pricing that has deterred visitors is probably not the main reason.

One point that also needs to be considered is whether people are still travelling or staying at home.

Political instability, and or uncertainty, rising interest rates, rising unemployment, rising inflation, businesses rationalizing and laying people off etc are all more important factors than the rising prices of the destination.

There are also competing destinations which are knocking Thailand around. Places like Bali, UAE, Cambodia, Vietnam, China.

In my opinion Thailand is in danger of loosing it's sparkle if it's not careful. Corruption and violence are running rife, developers are building wildly and without controls and I notice the beautiful nature of Thai people becoming tainted.

[alanmorison]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

[BusyBee123]

if flying from the uk it's certainly not the plane prices as etihad and quatar haven't raised their prices at all, nicely subsidised by oil producing nations no doubt. I've seen the prices rise and rise in thailand but no more inline with price increases around the worlds countries. I think for me it's the general cost of living in the travellers countries as well as the general economic downturn that is reducing a persons ability to spend as much on their disposable income and a worry about job security in some industries especially building banks....bank deposits are risen 64% over the last six months so people must be saving for a rainy day rather than free spending on fun stuff

[LaoPo]

I am stunned that this topic didn't get any reactions (just a few) from people who are worried. It seems that nobody cares but I think it just slipped through other news, although the OP sent this message already almost 4 weeks ago.

I am stunned and shocked that nobody cares if there is a drop of almost -17% in Phuket tourism in just the first 3 months of 2008.

Thai and overseas visitors staying in Phuket resorts and guesthouses in the first three months of the year (2008) totaled 784,831.

This compares with 945,327 in the same period of 2007 and 901,322 in 2006, and amounts to a drop of 15.92 percent.

That is:

160.496 less tourists in 2008 versus 2007 in the months Jan>>March; that's -16.97% and not -15.92% as described.

From this website:

http://phuketwan.com/article/tourism/phuke...ownturn-feared/

What will the rest of the year bring ?

Not very good I'm afraid.

See also this topic:

http://www.thaivisa.com/forum/So-farang-To...99#entry2119499

LaoPo

Edited July 31, 2008 by LaoPo

[Sir Burr]

Great news for foreign residents not reliant on any business catering to tourists!

"Every cloud" etc. etc.

[Felt 35]

Great news for foreign residents not reliant on any business catering to tourists!

"Every cloud" etc. etc.

Absolutely

[happyaussie]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

Aplogies Alan it was simply part of an overall assessment on Thailand as a destination. My generalisation was referring to the ever increasing decline in smiling friendly Thai faces, and wais.

Patong is Phukets number one tourist destination and you won't see many waiters and store keepers happy, smiling and waiing their customers.

The wonderful values of Thailand are being poluted by the money hungry, dog eat dog values of the west.

I also don't think the rise in drug taking is helping things.

Please keep in mind, this is only a generalisation and certainly does not apply to all. In my opinion Thailand is still the most wonderful place on the world and most people are wonderful.

[Beacher]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

Aplogies Alan it was simply part of an overall assessment on Thailand as a destination. My generalisation was referring to the ever increasing decline in smiling friendly Thai faces, and wais.

Patong is Phukets number one tourist destination and you won't see many waiters and store keepers happy, smiling and waiing their customers.

The wonderful values of Thailand are being poluted by the money hungry, dog eat dog values of the west.

I also don't think the rise in drug taking is helping things.

Please keep in mind, this is only a generalisation and certainly does not apply to all. In my opinion Thailand is still the most wonderful place on the world and most people are wonderful.

I last went to Phuket in Dec. 2006, and I must say that I was surprised how unfriendly the Thai (or Asian if not Thai) business people were there. It was my first visit in many years, and I decided that it would be my last, ever. I agree that money seems to be the only reason for living for Phuket business people, and I had to laugh at some of those shyster's ridiculous prices. What a pity that one can live in place with such beauty and not see or enjoy it.

Perhaps the word is quickly spreading that Phuket is not the place to go if one expects to deal with happy or honest people. So, with rising travel costs and poor value for their money, people are scratching it off their destination lists.

[alanmorison]

Thanks for clearing that up.

It's a difficult issue. If the reason for a decline in traditional Thai hospitality and good-natured tolerance is caused by Western dog-eat-dog influences, there are nationalists who would say (just like good nationalists everywhere) ''Get rid of the Western influences . . . and the Westerners.''

You certainly cannot expect to find the same kind of gentle goodwill in the cities and resort towns as you can in the countryside.

Yet for all the lack of meaningful interaction beyond daily commerce, the Thais respond better than people just about anywhere else. And only a Pol Pot would try to drive everybody back to the countryside.

[ade100]

If you walk around Singapore, with all its Western influence and strong economy, you mostly see smiling Asian faces. Phuket on the other hand seems to me like the land where no-one ever smiles. Not sure why.

But really I see the decline in tourism as a positive thing as it will encourage competition and, hopefully, make Phuket get its act together. Today’s traveller expects more from a holiday and sooner or later Phuket will have to realise that polluted beaches, cheap booze, bar girls and fried English breakfasts are not enough to make a first class holiday destination. If they don’t realise that, others will.

[Ulysses G.]

A drop of 15.92% , I think since my last visit approx. 1 year ago prices have increased 30%.on my last visit in May this year.

could be the reason

everything from flights to hotels have all risen in price

Phuket use to be my favorite vacation spot in Thailand back when every one was still smiling, but as far as I'm concerned, they've priced themselves beyond my limit.

I can get a decent hotel in Pattaya for 700 baht. The same thing would be 2,000 baht or more in Phuket, Foreign food is twice the price of anywhere else! I'll go elsewhere.

[Pdaz]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

Aplogies Alan it was simply part of an overall assessment on Thailand as a destination. My generalisation was referring to the ever increasing decline in smiling friendly Thai faces, and wais.

Patong is Phukets number one tourist destination and you won't see many waiters and store keepers happy, smiling and waiing their customers.

The wonderful values of Thailand are being poluted by the money hungry, dog eat dog values of the west.

I also don't think the rise in drug taking is helping things.

Please keep in mind, this is only a generalisation and certainly does not apply to all. In my opinion Thailand is still the most wonderful place on the world and most people are wonderful.

I last went to Phuket in Dec. 2006, and I must say that I was surprised how unfriendly the Thai (or Asian if not Thai) business people were there. It was my first visit in many years, and I decided that it would be my last, ever. I agree that money seems to be the only reason for living for Phuket business people, and I had to laugh at some of those shyster's ridiculous prices. What a pity that one can live in place with such beauty and not see or enjoy it.

Perhaps the word is quickly spreading that Phuket is not the place to go if one expects to deal with happy or honest people. So, with rising travel costs and poor value for their money, people are scratching it off their destination lists.

Phuket has had this reputation for a long while.. Even before all the speculators and property developer types arrived.. Ever since it became a package tourist destination instead of a backpackers hideaway.. Phuket's hawkers, vendors and business owners have to be some of the rudest, crooked and greedy Thais in Thailand.. You only needed to be a Thai speaking farang and listen to what is being said around you or about farangs in general.. They see everybody as a dumb newbie short term visitor ripe for scamming and overcharging.. Tourist trap would be the politest description I could think off..

[chiang mai]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

Aplogies Alan it was simply part of an overall assessment on Thailand as a destination. My generalisation was referring to the ever increasing decline in smiling friendly Thai faces, and wais.

Patong is Phukets number one tourist destination and you won't see many waiters and store keepers happy, smiling and waiing their customers.

The wonderful values of Thailand are being poluted by the money hungry, dog eat dog values of the west.

I also don't think the rise in drug taking is helping things.

Please keep in mind, this is only a generalisation and certainly does not apply to all. In my opinion Thailand is still the most wonderful place on the world and most people are wonderful.

I last went to Phuket in Dec. 2006, and I must say that I was surprised how unfriendly the Thai (or Asian if not Thai) business people were there. It was my first visit in many years, and I decided that it would be my last, ever. I agree that money seems to be the only reason for living for Phuket business people, and I had to laugh at some of those shyster's ridiculous prices. What a pity that one can live in place with such beauty and not see or enjoy it.

Perhaps the word is quickly spreading that Phuket is not the place to go if one expects to deal with happy or honest people. So, with rising travel costs and poor value for their money, people are scratching it off their destination lists.

Phuket has had this reputation for a long while.. Even before all the speculators and property developer types arrived.. Ever since it became a package tourist destination instead of a backpackers hideaway.. Phuket's hawkers, vendors and business owners have to be some of the rudest, crooked and greedy Thais in Thailand.. You only needed to be a Thai speaking farang and listen to what is being said around you or about farangs in general.. They see everybody as a dumb newbie short term visitor ripe for scamming and overcharging.. Tourist trap would be the politest description I could think off..

Rubbish, doesn't even deserve a response or rebuttal.

[george]

Japanese tourists cancel trips to Phuket

PHUKET: -- More than half of the Japanese tourists who planned to visit Thailand's Andaman Sea island resort of Phuket this week have cancelled their bookings due to concern over political unrest in Thailand, a senior tourism executive said Monday.

Phuket Tourist Association president Somboon Jirayus said although there is "no problem" as Phuket international airport is open again, international tourists and tour firms have been asking about the general situation in Phuket -- and changing their plans.

Mr. Somboon said that many overseas tourists had cancelled their visits, especially Japanese tourists, who appear to be particularly sensitive to Thailand's political climate. More than half the Japanese tourists expected in Phuket this week have cancelled.

Japanese tourists began to revisit Phuket this year after most stayed away following the deadly tsunami which hit Thailand's southern coastal provinces on Dec 26, 2004, Mr. Somboon said.

He said his association and other concerned agencies would quickly try to clarify the situation to tour companies before Thailand's tourism business entirely deteriorates.

Phuket International Airport resumed services Sunday after anti-government People's Alliance for Democracy (PAD) protesters dispersed from the airport where they had protested for three days.

-- TNA 2008-09-02

[lonexpat]

I notice the beautiful nature of Thai people becoming tainted.

That's a fair-sized generalisation. What do you mean?

Aplogies Alan it was simply part of an overall assessment on Thailand as a destination. My generalisation was referring to the ever increasing decline in smiling friendly Thai faces, and wais.

Patong is Phukets number one tourist destination and you won't see many waiters and store keepers happy, smiling and waiing their customers.

The wonderful values of Thailand are being poluted by the money hungry, dog eat dog values of the west.

I also don't think the rise in drug taking is helping things.

Please keep in mind, this is only a generalisation and certainly does not apply to all. In my opinion Thailand is still the most wonderful place on the world and most people are wonderful.

I last went to Phuket in Dec. 2006, and I must say that I was surprised how unfriendly the Thai (or Asian if not Thai) business people were there. It was my first visit in many years, and I decided that it would be my last, ever. I agree that money seems to be the only reason for living for Phuket business people, and I had to laugh at some of those shyster's ridiculous prices. What a pity that one can live in place with such beauty and not see or enjoy it.

Perhaps the word is quickly spreading that Phuket is not the place to go if one expects to deal with happy or honest people. So, with rising travel costs and poor value for their money, people are scratching it off their destination lists.

Phuket has had this reputation for a long while.. Even before all the speculators and property developer types arrived.. Ever since it became a package tourist destination instead of a backpackers hideaway.. Phuket's hawkers, vendors and business owners have to be some of the rudest, crooked and greedy Thais in Thailand.. You only needed to be a Thai speaking farang and listen to what is being said around you or about farangs in general.. They see everybody as a dumb newbie short term visitor ripe for scamming and overcharging.. Tourist trap would be the politest description I could think off..

Rubbish, doesn't even deserve a response or rebuttal.

Ah yes, sucker, born every minute and the return of entrenched ignorance spring to mind yet again.

Edited November 17, 2008 by lonexpat

[mclaus]

Having read what everyone has said about the decline in tourism. While you may not agree with some of the comments posted you have to accept and take noted that they are not just the opinion of those that have posted them but will be of people back in the UK and elsewhere in the world.

While I agree that the financial problems will be a factor on people choosing to go on holiday. I also believe that other factors will influence their choice of destination. With the increase in the number of reports on violent crimes, police corruption, political unrest, and attitudes toward farangs (The report on the Elderly Belgian hospitalized after a roadside incident being just an example) Will scare alot of people from coming, especial if you have a family.

Thailand does indeed have a reputation for being a great place to visit, however this being my first visit to Phuket and indeed Thailand I can say that it has not quiet lived up to it's reputation and almost everyone that has been here for sometime have a story to tell. Now while you can say this will be the same in any country the main issue I have come across is that when you are need help from those that have been place with the power and position you have very little chance of receiving it.

With tourism being the biggest industry for Thailand (and while some of us are not directly affected by it) would it not be wise to do all you can to encourage people to come visit and stay here? Because I wonder what will be said in 6 months to a year's time we people are really suffering from the lack of visitors

[alanmorison]

Tourism is not the biggest industry in Thailand. Visitors may like to think it is, though. What's happening is that the world is slipping into recession, country by country. People may be tempted to abandon their discretionary spending on holidays and travel, so the tourism industry in Thailand will suffer, along with tourism industries everywhere else. Some destinations will do better than others, even within Thailand. But in 2009, millions of people will be thrown out of work around the world, so less money for holidays . . . all this has absolutely nothing to do with the hospitality of Thais, which is culturally ingrained and not likely to change. As a holiday destination, Thailand will continue to compare well with other destinations, in good times or bad. All this nonsense about Thais not smiling as much is . . . well, nonsense.

[huggybear]

Tourism is not the biggest industry in Thailand. Visitors may like to think it is, though. What's happening is that the world is slipping into recession, country by country. People may be tempted to abandon their discretionary spending on holidays and travel, so the tourism industry in Thailand will suffer, along with tourism industries everywhere else. Some destinations will do better than others, even within Thailand. But in 2009, millions of people will be thrown out of work around the world, so less money for holidays . . . all this has absolutely nothing to do with the hospitality of Thais, which is culturally ingrained and not likely to change. As a holiday destination, Thailand will continue to compare well with other destinations, in good times or bad. All this nonsense about Thais not smiling as much is . . . well, nonsense.

Alan, you and I have disagreed in the past, but here I agree with you.

Spot on, valid argument.

[mclaus]

Tourism is not the biggest industry in Thailand. Visitors may like to think it is, though. What's happening is that the world is slipping into recession, country by country. People may be tempted to abandon their discretionary spending on holidays and travel, so the tourism industry in Thailand will suffer, along with tourism industries everywhere else. Some destinations will do better than others, even within Thailand. But in 2009, millions of people will be thrown out of work around the world, so less money for holidays . . . all this has absolutely nothing to do with the hospitality of Thais, which is culturally ingrained and not likely to change. As a holiday destination, Thailand will continue to compare well with other destinations, in good times or bad. All this nonsense about Thais not smiling as much is . . . well, nonsense.

Thank you for correcting me on tourism not being the biggest industry. I was informed of this by someone living here.

Although you have to agree that it is one of the largest and therefore a very important industry to Thailand. I also agree with you that the tourism industry world wide has and will continue to suffer due to the financial problems in the world (as already stated) I never said any thing about the hospitality of Thais or Thais not smiling, as I have found this to be in the very large majority to be outstanding. What I did say was that the increase in reports of situations, crime and corruption will be an influence to some people's choice of destination. And with tough competitions we shouldn't ignore or slight people that give their opinions on their experiences here good or bad. Because word of mouth can have an effect.

[EmU]

As you sow so shall you reap springs to mind.

RIGHT ON RIGHT ON.....

[Thaddeus]

Thank you for correcting me on tourism not being the biggest industry. I was informed of this by someone living here.

The tourist industry accounts for around 7% of the GDP of Thailand, as a whole country ...... Phuket is a tourist area, taken in isolation, tourist are the life-blood of the island, and all the other islands, Thailand as a country can suffer a small loss, but the tourist areas can't.

[LaoPo]

Thank you for correcting me on tourism not being the biggest industry. I was informed of this by someone living here.

The tourist industry accounts for around 7% of the GDP of Thailand, as a whole country ...... Phuket is a tourist area, taken in isolation, tourist are the life-blood of the island, and all the other islands, Thailand as a country can suffer a small loss, but the tourist areas can't.

Not completely true Thaddeus.

Before tourism started off, Phuket was already one of the richest provinces in Thailand (some say THE richest) because of it's fruit, vegetables, and above all rubber farms and tin mining etc.

But of course, nowadays tourism is taking a lead, together with rubber farming/tapping; however both will take a nosedive in the next 2-3 years and will hurt the province/island's economy.

LaoPo

[Thaddeus]

Thanks LP (I didn't know that, every day is a school day isn't it)

Any idea how much of what originally made Phuket wealthy has been converted to serving tourists over the last few years?

[huggybear]

Thanks LP (I didn't know that, every day is a school day isn't it)

Any idea how much of what originally made Phuket wealthy has been converted to serving tourists over the last few years?

I was talking with one of my customers yesterday about this, Giorgio at Tropica Resort Patong, he's been here close to 30 years.

Originally, tin mining was the source of revenue until the early 80's when the government (sorry I don't recall the PM's name he mentioned) decided tourism was going to be the big source of revenue and they ploughed a bunch of money into the road structure.

Something that I also found interesting, (maybe we should have a pinned topic, Phuket History) is that electricity wasn't here until 1979, before that everyone ran generators.

As far as "how much of that was converted to tourism" couldn't tell ya, probably a good chunk though.

[LaoPo]

Thanks LP (I didn't know that, every day is a school day isn't it)

Any idea how much of what originally made Phuket wealthy has been converted to serving tourists over the last few years?

I have no idea and doubt if there are numbers to be found. There must be some sort of comparison but those figures are probably in some drawer at City Hall

However the kind of -real estate and tourism- wealth Phuket is seeing now is of course in no comparison to the previous wealth when it was an island producing fruit, rubber and tin.

The latter are slow growing processes and limited to some rich landowners, rubber plantation owners etc.

The tin mining was mostly done off shore but close to the beaches and by some poor countryside people ''washing'' (wording ?) tin at the beaches which I saw myself; don't know if they still do that.

The floating tin boats, - kind of small dredging platforms-, were probably owned by the rich tin-concession holders.

Sorry if the stories are known to you already.

LaoPo

[Thaddeus]

Not known to me at all LP, I've never been to Phuket before, and probably never will go in the future, I don't do beaches.

I was just curious.... have the things that made Phuket wealthy originally been abandoned for the sake of the Golden Chalice called tourism or do they still exist.

Where I live the talk/rumours/speculation amongst the farming community are centered around bio-fuels..... not much point in having a full tank, no wheels and nowhere to go and eat.