Leading Ko Samui Hotels Slash Room Rates

[george]

Leading Ko Samui hotels slash room rates

KO SAMUI: -- As the economic slump hits Thailand severely, first-class hotels on Ko Samui island resort in the southern province of Surat Thani have reduced room rates as much as 50 per cent, according to Senee Phuwasethavorn, chairman of the Ko Samui Tourism Promotion Association.

Four- and five-star hotels have cut room rates by half to two-thirds to about Bt5,000 a day from Bt10,000-15,000 earlier, said Mr. Senee.

Two- and three-star hotels have also reduced room rates and are charging between Bt2,000-3,000 a day, affordable by local tourists, he said.

The island’s hotel operators are in cutthroat competition, slashing room rates to stay in business as the global economic slump continues to affect Thailand, Mr. Senee said.

He said hotel operators have not yet reduced their staff but have cut unnecessary expenses.

The number of tourists visiting Ko Samui this year are expected to fall 20-30 per cent from 2008 when about 1.1 million tourists visited the island, 60 per cent being Thai and the rest foreigners.

-- TNA 2009-03-29

Related link:

http://hotels.thaivisa.com

[Boater]

interesting..................

[gmac]

Leading Ko Samui hotels slash room rates

KO SAMUI: -- As the economic slump hits Thailand severely, first-class hotels on Ko Samui island resort in the southern province of Surat Thani have reduced room rates as much as 50 per cent, according to Senee Phuwasethavorn, chairman of the Ko Samui Tourism Promotion Association.

Four- and five-star hotels have cut room rates by half to two-thirds to about Bt5,000 a day from Bt10,000-15,000 earlier, said Mr. Senee.

Two- and three-star hotels have also reduced room rates and are charging between Bt2,000-3,000 a day, affordable by local tourists, he said.

The island’s hotel operators are in cutthroat competition, slashing room rates to stay in business as the global economic slump continues to affect Thailand, Mr. Senee said.

He said hotel operators have not yet reduced their staff but have cut unnecessary expenses.

The number of tourists visiting Ko Samui this year are expected to fall 20-30 per cent from 2008 when about 1.1 million tourists visited the island, 60 per cent being Thai and the rest foreigners.

-- TNA 2009-03-29

Related link:

http://hotels.thaivisa.com

2000-3000 Baht for 2-3 star hotels.........hmmm.......bargain.......think I'll stay in Patts!

.

[tranquillize]

Samui is an expensive place compared to a lot of other spots in Thailand so it`s about time they brought their prices down.

[MeetJohnDoe]

Four- and five-star hotels have cut room rates by half to two-thirds to about Bt5,000 a day from Bt10,000-15,000 earlier.

Two- and three-star hotels have also reduced room rates and are charging between Bt2,000-3,000 a day, affordable by local tourists.

I second...the days of anyone paying B 10-15k for a suite...villa...whatever for a nite's stay in a generic tropical country destination are OVER! (If it ever made any sense.) USA, Europe, Russia, and North Asia and Singapore...all the main markets for Thai inbound tourists are flat flat on their backs. There will be few big-spening tourists from these markets for years.

And B 2-3k for average hotels/rooms is dreaming too...try again at B 500-B 1000 and you might get some takers.

[lazygourmet]

Hopefully, in term of strategic marketing, there is (not only in Samui) a handful of places that will never slash their prices.

They can wait and see for the end of the tunnel.

Due to their immense respect for their clients base, they will never trade their loyalty for some petty cash.

That's hospitality... the rest: only amateur!

[animatic]

I had seen more than a couple in the 25k to 30k range per night.

So if they come down to 15k a night that's still $430 a night down from $850.

But you can get a nice comfy place with a pool and quiet for $35 too.

Basically the lower high end was milking it for a lot and it's a logical correction.

And as LazyG notes, there will always be a need for discrete getaways

for the truely well healed regardless of global economics.

The high end will always have it's clients and many of them are paying

not to deal with the likes of some of us...

Edited March 29, 2009 by animatic

[Johpa]

And as LazyG notes, there will always be a need for discrete getaways

for the truely well healed regardless of global economics.

The high end will always have it's clients and many of them are paying

not to deal with the likes of some of us...

Yes, but to imagine that Samui is part of that world is a bit delusional as it is neither discrete nor high end. Although I am certain that to some pretenders it appears as such. But even the pretenders will pay inflated prices to keep riff raff like myself from sitting next to them at poolside.

[RAZZELL]

Four- and five-star hotels have cut room rates by half to two-thirds to about Bt5,000 a day from Bt10,000-15,000 earlier.

Two- and three-star hotels have also reduced room rates and are charging between Bt2,000-3,000 a day, affordable by local tourists.

I second...the days of anyone paying B 10-15k for a suite...villa...whatever for a nite's stay in a generic tropical country destination are OVER! (If it ever made any sense.) USA, Europe, Russia, and North Asia and Singapore...all the main markets for Thai inbound tourists are flat flat on their backs. There will be few big-spening tourists from these markets for years.

And B 2-3k for average hotels/rooms is dreaming too...try again at B 500-B 1000 and you might get some takers.

I agree. They wonder why the hotels are empty? Anything over £150 or 7500 baht for "generic" 4*/5* hotels is dreaming in the present climate.

RAZZ

[hkt83100]

I spent 23 hours on Kho Samui in about 1993 (just after the Reggae Pub burned down, it was still smoking), and this was definitely enough. Lousy overpriced food and construction going on everywhere. Now they are proud to let you sleep for just 5kB? No thank you, I will never be back. By the way, I like Prachuap and Bang Saphan Noi very much

Edit: add Reggae Pub

Edited March 29, 2009 by hkt83100

[dumball]

Hopefully, in term of strategic marketing, there is (not only in Samui) a handful of places that will never slash their prices.

They can wait and see for the end of the tunnel.

Due to their immense respect for their clients base, they will never trade their loyalty for some petty cash.

That's hospitality... the rest: only amateur!

So MR rich kid , so be it , but they will learn it yakes more than one client to survive .

[Oberkommando]

And B 2-3k for average hotels/rooms is dreaming too...try again at B 500-B 1000 and you might get some takers.

It's a pity that they have alienated the backpacker and long term budget market with their quest for "a better class of tourist."

I spent 23 hours on Kho Samui in about 1993 (just after the Reggae Pub burned down, it was still smoking), and this was definitely enough. Lousy overpriced food and construction going on everywhere. Now they are proud to let you sleep for just 5kB? No thank you, I will never be back. By the way, I like Prachuap and Bang Saphan Noi very much

It's got a lot worse. Horrible, horrible place now.

Paradise lost.

[edwardmoulton]

That's why Samui is nicknamed the biggest prison camp in the world!

[cclub75]

As the economic slump hits Thailand severely, first-class hotels on Ko Samui island resort in the southern province of Surat Thani have reduced room rates as much as 50 per cent,

I strongly object.

-this behavior is not thai. It's even unthai.

-there is no need to cut prices, because there isn't any crisis.

It's good to see them eating their own hat... And it's only the beginning...

[bassline]

As the economic slump hits Thailand severely, first-class hotels on Ko Samui island resort in the southern province of Surat Thani have reduced room rates as much as 50 per cent,

I strongly object.

-this behavior is not thai. It's even unthai.

-there is no need to cut prices, because there isn't any crisis.

It's good to see them eating their own hat... And it's only the beginning...

has anyone actually seen any price cuts yet? im searching online at agoda, sawadee, etc and havent seen any.. just the usual "stay 12 nights and get 2 free" or "5% off for early booking"

[lazygourmet]

Hopefully, in term of strategic marketing, there is (not only in Samui) a handful of places that will never slash their prices.

They can wait and see for the end of the tunnel.

Due to their immense respect for their clients base, they will never trade their loyalty for some petty cash.

That's hospitality... the rest: only amateur!

So MR rich kid , so be it , but they will learn it yakes more than one client to survive .

Unfortunately, it is not me who is rich; it is the clientele who frequents the establishments I am working with.

Groups like Aman, Evason or Four Seasons have a solid base of loyal customers and a no discount policy (at least not publicly advertised).

These places are destinations by themselves.

For example: since the Four Seasons opened in Samui, people are not going there for the island itself; they are going to Samui because of the new Four Seasons.

They cannot afford to loose this clientele by slashing prices; and thus let the common mortal frequent their privileged oasis.

Maybe it sounds posh but it is reality.

[lazygourmet]

One last note, for you, hoteliers and restaurant owners.

Do not invest into marketing gimmicks; be patient and take this recession as an opportunity to invest into your staff training.

They are the ones who can make you really unique.

[Boater]

That's why Samui is nicknamed the biggest prison camp in the world!

commonly referred to as ' The Rock '

[Boater]

but as mentioned abov, the biggest winners at the moment are the budget hotels ( with international standards )

The Ibis Hotels are doing a roaring trade. Both Ibis hotels in Bangkok are running at about 90 % while the other hotels 30 - 45 %

Not to sure how they are doing in Samui and Phuket, but i know where i would stay for 850 THB a night !

[h90]

cut the prices another 50 % and they are in the real world

[sbk]

Ibis is part of the accor chain and they ran a very good promotional sale online last month.

[animatic]

And as LazyG notes, there will always be a need for discrete getaways

for the truely well healed regardless of global economics.

The high end will always have it's clients and many of them are paying

not to deal with the likes of some of us...

Yes, but to imagine that Samui is part of that world is a bit delusional as it is neither discrete nor high end. Although I am certain that to some pretenders it appears as such. But even the pretenders will pay inflated prices to keep riff raff like myself from sitting next to them at poolside.

I guess you haven't seen some of the newer top end places here,

It's a different world than the one you are thinking of.

[animatic]

I can find you a sea side bungalow for 150baht a night,

and also a total luxury spa package where you will hit 40k+ a night.

But be utterly pampered to.

Still places for backpackers if you look.

There are also still many 80-100k a night villas for multiple people,

like wedding parties, that are still booking out.

Down the street it is 1200-1500 a night and more than comfortable.

1993 is the dark ages compared to now.

I certainly see the Paradise lost angle, but it's still country here.

Once you get off the ring road.

I have visited several of the places LazyG mentions, and a few others he didn't,

and the top end is still booking and looking long term.

If you don't think this is high end, then you have not been there.

The ones most likely to get hammered are the middle upper tier hotels

and the high rent paying restaurants.

One will be slashing prices because there are too many rooms in this range by far,

then other has short, tight margins, and bastard landlords who are happy

to take another large tea money payment from the next renter.

[bassline]

I can find you a sea side bungalow for 150baht a night,

ok where??

[jalansanitwong]

5000 baht for a room !! and thats a good deal???? what a rip-off Thailand bleeds tourists dry on those overated southern islands there are plenty of beach resorts around Thailand with no crowds 300-500 baht a night rooms with a./c and modern bathrooms what else do you need?? great! im not telling you where they are , find out for yourselvesl

[Samuian]

I can find you a sea side bungalow for 150baht a night,

ok where??

Yes there are...

and there are plenty of places which offer really good value for money in the ~ 30 Euro bracket...

everything else is superfluous!

Champagne or just Cider, Breadcrumbs or Caviar?

The funnel is wide open to one end.... and...

[cmsally]

I can find you a sea side bungalow for 150baht a night,

and also a total luxury spa package where you will hit 40k+ a night.

But be utterly pampered to.

Still places for backpackers if you look.

There are also still many 80-100k a night villas for multiple people,

like wedding parties, that are still booking out.

Down the street it is 1200-1500 a night and more than comfortable.

1993 is the dark ages compared to now.

I certainly see the Paradise lost angle, but it's still country here.

Once you get off the ring road.

I have visited several of the places LazyG mentions, and a few others he didn't,

and the top end is still booking and looking long term.

If you don't think this is high end, then you have not been there.

The ones most likely to get hammered are the middle upper tier hotels

and the high rent paying restaurants.

One will be slashing prices because there are too many rooms in this range by far,

then other has short, tight margins, and bastard landlords who are happy

to take another large tea money payment from the next renter.

At the very top end they are well cashed up and some are preparing themselves for a couple of years (by expanding and improving) when they project there will be a recovery. They have brand name, customer loyalty and luxury as their selling points.

I agree that upper/mid tier (often local brand who have tried to cash in on the people willing to pay more because of good economy/exchange rates) are going to suffer. Also suffering will be the places that have tried to give more to the budget traveller, as many backpackers seem to have cut back to extreme budget. But maybe these places can soak up the 3 star hotel market.

Certainly the first to go will be those who rent, not a pretty scenario in these circumstances.

[Junglejumbo]

Normally Samui hotels cut their rates in the hot season. For several years I've bought discount coupons for one of the 5* star hotels, getting the 6,000 baht room for 2,750. Many of the promotions are only for residents. If you walk in as a lone foreigner they'll try and charge you the full rate, I suspect. Anyhow, 10,000 baht is far too expensive even in the peak season. This is Thailand not London.

[Samuian]

Normally Samui hotels cut their rates in the hot season. For several years I've bought discount coupons for one of the 5* star hotels, getting the 6,000 baht room for 2,750. Many of the promotions are only for residents. If you walk in as a lone foreigner they'll try and charge you the full rate, I suspect. Anyhow, 10,000 baht is far too expensive even in the peak season. This is Thailand not London.

Well, depends what one get's for the 10.000!

And regarding: "This is Thailand not London"... I've been last November to London .... isn't all only Gold that shines there!

ANYWHERE in the World one may get a genuine bargain or get simply ripped off, it's that simple!

[catmac]

Never been there, but my ex visited a couple of years ago and told me that it was probably the most beautiful place he had ever been, spoiled only by the greed and rudeness of the business owners (at all levels).

Good to see some of them suffering now, as for LazyG's fantasy world - dream on friend, just be sure to keep an eye on the "situations vacant" adds!