What Went Wrong In Phuket?

[LivinLOS]

A lot of wishful thinking here on why there are no tourists.

The rip-offs etc has been going on for years. All it means, is that there are fewer return tourists than before.

Maybe there are a tiny minority who stay away because if swine flu, tsunami risk and ghosts, but, the real reason why this "Summer Season" is a disaster, is the economic downturn and potential tourists worrying about whether they will still have a job next month.

While I get your point, the rip offs were still under western pricing therefore the psychology is still 'oh its so cheap' when they over paid a tuk tuk 50 baht for a 150 baht ride, it may have been a rip off but they could still live with it.. But Phuket / Thailand has really added its prices without changing its level of services.

[Sir Burr]

While I get your point, the rip offs were still under western pricing therefore the psychology is still 'oh its so cheap' when they over paid a tuk tuk 50 baht for a 150 baht ride, it may have been a rip off but they could still live with it.. But Phuket / Thailand has really added its prices without changing its level of services.

True, but, most tourists don't find this out until they actually get here.

Then, they decide not to come back.

[billythehat]

Khun Burr and LLL make equally valid comments, but notwithstanding the general thieving, sniffles, collisions with near planetary objects, etc, the line from the very wise and esteemed member, SB, “the economic downturn and potential tourists worrying about whether they will still have a job next month,” is spot on. The question of service is secondary to tourists going to Lalaland for the first time, and I would add, and this may come as a bit of shock to some, but perhaps folk have just got bored of Thailand and its capers? Aye, travel, but be careful not to drink at the same well too often...

[PatinBKk]

While I get your point, the rip offs were still under western pricing therefore the psychology is still 'oh its so cheap' when they over paid a tuk tuk 50 baht for a 150 baht ride, it may have been a rip off but they could still live with it.. But Phuket / Thailand has really added its prices without changing its level of services.

True, but, most tourists don't find this out until they actually get here.

Then, they decide not to come back.

Exactly...it is well known that if you receive good service you tell 2 people....if you receive bad service you tell 9 people.....so no recomendations for Phuket then..........and definatly no repeat tourists......also how many expats are leaving....spoke to a friend in the U.K.over the weekend, his neighbours son was a diver in Phuket for over 4 years, has now returned as lost his job due to no customers, how many times is this going to happen..

[Beacher]

I'm still trying to get over the fact that the OP went to Phuket 2 years in a row.

I would think that once is enough for anybody. I'll be damned if I'll ever return there (to be ripped off and scowled at). I find the locals there to be very unfriendly and dishonest.

[sezze]

It is all those reasons .

tsunami ( allthough 99% of the people know it's just nature and chances of happening again are pretty slim )

airports closed

political very instable

economic downturns

prices , like some people said you cannot ask people to pay premium prices for 3th class service .

greed

unfriendlyness .

So people look for alternatives and yes there are alternatives ... Cambodia and Vietnam are both fishing in the same pond . Malasia and India a bit different but still competition . plenty more around the world . and if you look at long time tourists , who come many times allready , if they decide 1 day to go to the direct competition and see a better value for money they will not go to Thailand anymore but chose the best option .

[mikediver]

I just had to comment on this. I am a brand new member.

I started looking at this forum because a friend just came back from Thailand, and I was thinking of going back to Phuket. It has been several years since I was last in Phuket. The reason I went then, and the reason I was thinking of returning, was the great diving off Phuket. I didn't see a lot else to go for. The beach is not that nice. Better beaches, with a nice climate, are available in venues much closer to home (USA) and therefore with cheaper airfares. The reason to go then was an slightly less expensive overall diving vacation; better value for the money. Now I find the Baht exchange rate against the dollar has gotten worse, the Baht prices of diving have gone up significantly, and airfares have gotten outrageous. I can dive more cheaply, stay in less expensive higher quality hotels, and eat and drink as cheaply in Key West. That is where I am going instead.

To a great extent the posters that are saying it is all economics are correct. The important thing is that Thailand, and Phuket in particular, seems to have priced itself out of the competition. They somehow think they have a lock on some quality that demands a premium price. I would like to go back but not at these prices.

I take issue with several members that seem to dismiss repeat customers as some how expendable. Every business knows that it costs 5 times as much to get a new customer as to keep an existing one. The successful business models are all about deepening the relationship with your existing customers. If you write off any repeat business, then you are going to go down the tubes sooner or later, and probably sooner. I don't see any validity to the arguments being put out that the issues raised only affect tourist once they are there, and therefore not going to impact business longterm.

The point made about dissatisfied customers telling others is cogent. Last night I was having a few in the neighborhood watering hole with a few friends. One of the guys was just back from the Philippines, and was thinking of going to Thailand on his next trip. Another attendee was the guy that had recently returned from Thailand. He had been in Pattaya during the ASEAN conference riots. The end result was this first guy checked Thailand off his list of potential future vacation spots. This is going on all over the world.

I still like the diving off of Phuket and would love to come back there again. Now I just need to win the lottery so I can afford it. I won't be holding my breathe.

[pagallim]

I just had to comment on this. I am a brand new member.

I started looking at this forum because a friend just came back from Thailand, and I was thinking of going back to Phuket. It has been several years since I was last in Phuket. The reason I went then, and the reason I was thinking of returning, was the great diving off Phuket. I didn't see a lot else to go for. The beach is not that nice. Better beaches, with a nice climate, are available in venues much closer to home (USA) and therefore with cheaper airfares. The reason to go then was an slightly less expensive overall diving vacation; better value for the money. Now I find the Baht exchange rate against the dollar has gotten worse, the Baht prices of diving have gone up significantly, and airfares have gotten outrageous. I can dive more cheaply, stay in less expensive higher quality hotels, and eat and drink as cheaply in Key West. That is where I am going instead.

To a great extent the posters that are saying it is all economics are correct. The important thing is that Thailand, and Phuket in particular, seems to have priced itself out of the competition. They somehow think they have a lock on some quality that demands a premium price. I would like to go back but not at these prices.

I take issue with several members that seem to dismiss repeat customers as some how expendable. Every business knows that it costs 5 times as much to get a new customer as to keep an existing one. The successful business models are all about deepening the relationship with your existing customers. If you write off any repeat business, then you are going to go down the tubes sooner or later, and probably sooner. I don't see any validity to the arguments being put out that the issues raised only affect tourist once they are there, and therefore not going to impact business longterm.

The point made about dissatisfied customers telling others is cogent. Last night I was having a few in the neighborhood watering hole with a few friends. One of the guys was just back from the Philippines, and was thinking of going to Thailand on his next trip. Another attendee was the guy that had recently returned from Thailand. He had been in Pattaya during the ASEAN conference riots. The end result was this first guy checked Thailand off his list of potential future vacation spots. This is going on all over the world.

I still like the diving off of Phuket and would love to come back there again. Now I just need to win the lottery so I can afford it. I won't be holding my breathe.

Good, honest post. I genuinely believe that whilst Swine Flu, political disruptions (airport closures etc) do nothing to attract visitors, bottom line is that currently there are fewer people who have the confidence and financial ability to do long haul holidays, and those that have the means are being more selective in their choice of destinations. I read recently that Bali, inspite of the terrorist tragedy there a few years ago, actually recorded a 5% year on year increase in the first quarter of this year, compared to Phuket's (estimated) 30% drop in visitor numbers for the same period. There's a very insular belief that Phuket is in some way unique, but that's way off the mark. It does have some excellent facilities, and for me the proximity to the islands of Phang Nga are foremost. But the rest of the world has similar also. The islands of the West Indies are an example. They have never been cheap, but service levels are consistent, with a laid back style of living which makes virtually every visitor instantly relax.

Can you imagine the reaction if Disneyland started to introduce a dual pricing policy, with premiums being demanded from non-US visitors?

[RAZZELL]

I just had to comment on this. I am a brand new member.

I started looking at this forum because a friend just came back from Thailand, and I was thinking of going back to Phuket. It has been several years since I was last in Phuket. The reason I went then, and the reason I was thinking of returning, was the great diving off Phuket. I didn't see a lot else to go for. The beach is not that nice. Better beaches, with a nice climate, are available in venues much closer to home (USA) and therefore with cheaper airfares. The reason to go then was an slightly less expensive overall diving vacation; better value for the money. Now I find the Baht exchange rate against the dollar has gotten worse, the Baht prices of diving have gone up significantly, and airfares have gotten outrageous. I can dive more cheaply, stay in less expensive higher quality hotels, and eat and drink as cheaply in Key West. That is where I am going instead.

To a great extent the posters that are saying it is all economics are correct. The important thing is that Thailand, and Phuket in particular, seems to have priced itself out of the competition. They somehow think they have a lock on some quality that demands a premium price. I would like to go back but not at these prices.

I take issue with several members that seem to dismiss repeat customers as some how expendable. Every business knows that it costs 5 times as much to get a new customer as to keep an existing one. The successful business models are all about deepening the relationship with your existing customers. If you write off any repeat business, then you are going to go down the tubes sooner or later, and probably sooner. I don't see any validity to the arguments being put out that the issues raised only affect tourist once they are there, and therefore not going to impact business longterm.

The point made about dissatisfied customers telling others is cogent. Last night I was having a few in the neighborhood watering hole with a few friends. One of the guys was just back from the Philippines, and was thinking of going to Thailand on his next trip. Another attendee was the guy that had recently returned from Thailand. He had been in Pattaya during the ASEAN conference riots. The end result was this first guy checked Thailand off his list of potential future vacation spots. This is going on all over the world.

I still like the diving off of Phuket and would love to come back there again. Now I just need to win the lottery so I can afford it. I won't be holding my breathe.

A good, honest post

RAZZ

[katabeachbum]

Wasnt very quiet in Bangla last night.

Talked with some Aussies, and they described Kangoroo bar as New Years Eve in Australia.

Any good advice for a hangover?

[HDRIDER]

HI

Yes, stay home

[waza]

I agree THailand isnt value for money anymore. The quality of the enviroment, service, hotels, food, beer entertainment have all gone down, whilst the prices have risen. Who wants a beach holiday at a location too polluted to swin in. Where you are undersiege by agressive people, tailors, tuk tuk drivers, policemen, ladyboys, all trying to feed from the shrinking pool of tourists. Bali is cheaper, closer to Oz and you can swim at the beach in safety.

[Sir Burr]

If you think Phuket traders are annoying and persistent, then, you obviously haven't been to Bali..........

[LivinLOS]

New nightclub opening mid july.. anounced beer prices ranging from 170 baht to 290 baht (beer !!) wth mixers starting at 200 up to 390.. Plus a dress policy of smart casual.. No sandals in a beach resort.. In jungceylon....

Now the internal pics look flash.. and they are trying to make a real club atmosphere.. But dress restrictions and drinks at those prices in the middle of low season, well thats a tough tough sell ??

Phuket really does think its big league material..

[katabeachbum]

New nightclub opening mid july.. anounced beer prices ranging from 170 baht to 290 baht (beer !!) wth mixers starting at 200 up to 390.. Plus a dress policy of smart casual.. No sandals in a beach resort.. In jungceylon....

Now the internal pics look flash.. and they are trying to make a real club atmosphere.. But dress restrictions and drinks at those prices in the middle of low season, well thats a tough tough sell ??

Phuket really does think its big league material..

Just silly

All beer are still 70 baht in Kangoroo, and I dont even know where my shoes are

[maichai40]

I think this is great. I am sorry if this sounds harsh, but it is about time that Phuket sees the recession.

Funny how the local business owners are reacting. They are only making it worse.

Phuket has become a rip-off, from the moment you step off the plane.

I agree with HDRider. I am loving this.

And I don't drink in bars. I buy my beer from Tesco!

todd

Tesco ! way too expensive, i get my big leo"s from james wiskey in bang tao, saves me at least 20 baht per case.

I live near Tesco in Phuket town. But i do all my shopping in Carrefour, 20-30% cheaper on average and better quality/choice. Don't know beer but i presume cheaper too.

[MyphuketLife]

A lot of wishful thinking here on why there are no tourists.

The rip-offs etc has been going on for years. All it means, is that there are fewer return tourists than before.

Maybe there are a tiny minority who stay away because if swine flu, tsunami risk and ghosts, but, the real reason why this "Summer Season" is a disaster, is the economic downturn and potential tourists worrying about whether they will still have a job next month.

then why are other asian countries tourism numbers up??? Tourism would be down a little or even but to be down the rate they are and neighboring countries showing an increase shows that THAILAND has an international image problem...

what caused that (politics, airport closers, rip offs)....

[pagallim]

New nightclub opening mid july.. anounced beer prices ranging from 170 baht to 290 baht (beer !!) wth mixers starting at 200 up to 390.. Plus a dress policy of smart casual.. No sandals in a beach resort.. In jungceylon....

Now the internal pics look flash.. and they are trying to make a real club atmosphere.. But dress restrictions and drinks at those prices in the middle of low season, well thats a tough tough sell ??

Phuket really does think its big league material..

There are a few hotels/restaurants where their bars charge that kind of money (I can think of Joe's Downstairs in Patong, Baba at Sri Panwa at Cape Panwa for example). But seriously, where are the customers coming from to be able to sustain places like that? Sure, you may get some Thai hi-so types (normally young, funded by family), the occasional high roller from within South Eastern Asia or the western world, but apart from that? The irony is that these places are so short of atmosphere, they aren't worth visiting anyway.

[Ping]

I assume that those who, not so long ago, were complaining about the overdevelopment and hordes of tourists would now be happy with the current downturn. Or have those same people found something else to complain about?

I'm looking forward to returning. No complaints.

[waza]

If you think Phuket traders are annoying and persistent, then, you obviously haven't been to Bali..........

Yer Ive been to Bali too. I have to admit the traders were annoying, so were the blackouts. But then again in Bali your not paying premium prices, and the locals seem to be genuinely happy to have you there. But most of all you can swim at the <deleted> beaches

Edited June 21, 2009 by waza

[Kimera]

I think this is great. I am sorry if this sounds harsh, but it is about time that Phuket sees the recession.

Funny how the local business owners are reacting. They are only making it worse.

Phuket has become a rip-off, from the moment you step off the plane.

I agree with HDRider. I am loving this.

And I don't drink in bars. I buy my beer from Tesco!

todd

Tesco ! way too expensive, i get my big leo"s from james wiskey in bang tao, saves me at least 20 baht per case.

20 Baht Falang Keenio

[Sir Burr]

then why are other asian countries tourism numbers up???

Link, or, proof please.

I have read that tourism has dropped in all other Asian countries, too.

[pagallim]

then why are other asian countries tourism numbers up???

Link, or, proof please.

I have read that tourism has dropped in all other Asian countries, too.

Here's one that I picked up on a few weeks ago, on the resurgence of Bali. This one speaks of an 18% increase of visitors during January of this year, and another one that I've read (can't find however), speaks of an increase of 5% in their numbers for the first quarter of this year:

http://www.telegraph.co.uk/travel/ultratra...s-new-high.html

The final paragraph of the article, re avoiding drunken Aussies in Kuta has a certain deja vu feel about it!

[Sir Burr]

This supports the claim that the world wide economy is to blame.

Aussies now going back to Bali due to very cheap flights and expenses instead of Thailand. This is also what I have heard from a few Aussie friends.

[BigSnake]

Yeah, QUITE great, maybe time for a little vacation there myself, before the looney return. Thanks for the tip

[Old Croc]

Here's one that I picked up on a few weeks ago, on the resurgence of Bali. This one speaks of an 18% increase of visitors during January of this year, and another one that I've read (can't find however), speaks of an increase of 5% in their numbers for the first quarter of this year:

http://www.telegraph.co.uk/travel/ultratra...s-new-high.html

The final paragraph of the article, re avoiding drunken Aussies in Kuta has a certain deja vu feel about it!

Bali, and Kuta in particular, have been the destination of choice for drunken Aussie bogans for about 30 years. The bombings there, and cheaper flights to Thailand meant many of these types of tourists changed destinations a few years back. The economic downturn and Thailands refusal to adjust pricing has seen things go full circle.

It's the same in other parts of the world too:

See this quote from a British site about a downturn in Greece:

Two British women have been arrested after a drunken rampage 30,00ft up in the air ended with one of them attempting to open the cabin door, screaming: “I want some fresh air!” In the same weekend, the mayor of Faliraki was celebrating the absence of British holidaymakers at the Greek holiday resort. The Guardian quoted him as saying: “There are far fewer Britons, which means no rapes, no accidents, no drunken debauchery, no going on the rampage. I'm so relieved.”

[billythehat]

This supports the claim that the world wide economy is to blame.

Piffle and balderdash old chap. It's the farangs fault….ask any Thai; I mean, they will tell you that they were told from those above and by jiminy, that's good enough for me.

[PatinBKk]

Last time I was in Phuket, I had breakfast which was a sandwich and coffee plus small orange and the wife had soup and water...grand total 780 baht...and that was not this year or even in high season......It wasnt a 5 star hotel and like for like I can get the same in Hua Hin or Cha am for around 180 baht....Greed, Greed and more Greed from the vendors etc....that now for a U.K. tourist is over £15...sh*t, its cheaper in central London!!!

[maichai40]

Last time I was in Phuket, I had breakfast which was a sandwich and coffee plus small orange and the wife had soup and water...grand total 780 baht...and that was not this year or even in high season......It wasnt a 5 star hotel and like for like I can get the same in Hua Hin or Cha am for around 180 baht....Greed, Greed and more Greed from the vendors etc....that now for a U.K. tourist is over £15...sh*t, its cheaper in central London!!!

Assuming that what you say is true, and i wamt to believe you, why this never happened to me in 3 years in Phuket?

Maybe because i read the menu before i order? But probably they just overcharged you... this can happen anywhere in Thailand.

A full course breakfast goes normally (in Patong) from 100 to 200 bath max.

Normally with that price i have a huge dinner in a Japanese reastaurant with my wife.

[PatinBKk]

Last time I was in Phuket, I had breakfast which was a sandwich and coffee plus small orange and the wife had soup and water...grand total 780 baht...and that was not this year or even in high season......It wasnt a 5 star hotel and like for like I can get the same in Hua Hin or Cha am for around 180 baht....Greed, Greed and more Greed from the vendors etc....that now for a U.K. tourist is over £15...sh*t, its cheaper in central London!!!

Assuming that what you say is true, and i wamt to believe you, why this never happened to me in 3 years in Phuket?

Maybe because i read the menu before i order? But probably they just overcharged you... this can happen anywhere in Thailand.

A full course breakfast goes normally (in Patong) from 100 to 200 bath max.

Normally with that price i have a huge dinner in a Japanese reastaurant with my wife.

Not overcharged and that was the price on the menu...maybe being on the Beach road in Patong had something to do with it......of course not everywhere is that expensive, but that is just one place that I can mention