Phuket High Season Down 25% Year-On-Year: Analyst

[inmysights]

If Phuket resort owners are worried now, God forbid what would happen IF a miracle happened and Burma became a really open, tourist-friendly country. The Burmese Andaman coast and the Mergui archipelago would be the death knell of Phuket. It would be like Thailand 60 years ago.

Hundreds of pristine islands with diving in clear seas; Phuket has it all to lose. No wonder some Thais in the know are worried.

Or am I way off here?

Buddha forbid.

[lonewolf99]

"Mr Bhuritt expressed exasperation with the fact that resorts continue to spring up all over the island despite the obvious oversupply"

So Hotel Resorts are like 7/11's and Family Marts, Massage parlours and Fish Spas, Beer Bars and Go Go Bars, Gold Shops and Jewellers, Car Hire and Motor bike hire.......

Asian / Oriental marketing policies...................every body sell the same thing in the same place - you get over supply and a lack of demand..........

[geriatrickid]

I was in Bangkok the other day and went through international arrivals. 1/2 staffed, line up took me 35 minutes to clear and that was in the 2nd arrivals hall. Lines consisted mainly of asian visitors (Malaysia, China, Korea) I didn't see or here any Japanese. The airport was busy, but usually at peak season it should be packed. I'd say it was about 25% less full than when I flew in from Singapore at roughly the same time last year. Not a scientific statement, but gives an indication. I asked my taxi driver how was business and he said "no tourists". Last year they insisted on a flat 500 baht from the airport into Patong. This year it was 450baht. (No, I'm not going to argue over using the meter to save 25-50baht. Life's too short for that.) Patong's not busy like peak season last year, or the year before. I don't see any families in great numbers.

However, bear in mind that the EU's major departure hubs were at a standstill for several days. That backlog won't clear until the 29th or so, but then what? Tourists that have lost 1/2 their trip will just stay home. There's now a snowstorm causing problems in the USA and there's the threat of war in Korea. Toss in a crappy world economy that's a lot worse than we're being told and you have a recipe for a tourism dip. I was looking at FX today and I'm in shock. The $CAD is at par with the $US, the UK pound only buys about $1.55 in north America and I can remember when we got $2.50 to the quid. The Euro took a beating and the Thai baht is very high. I can't believe that the FX isn't taking a bite out of Thai exports, making them non competitive. Something's got to give. I can't believe the Thai economy is this strong, particularly since it must import most of it's energy, has been battered by natural disasters this year, had a civil insurrection, and its computer sector depends upon Chinese rare earth exports which jumped in price this year.

[ESB7]

2 weeks all inclusive in the Carribbean 799 pounds....flight alone to Phuket over 800 pounds......3 pound for a small heineken in Bangla................not exactly rocket science is it

[craigt3365]

2 weeks all inclusive in the Carribbean 799 pounds....flight alone to Phuket over 800 pounds......3 pound for a small heineken in Bangla................not exactly rocket science is it

For sure. I'd pick Phuket any day!

[eddiefalcon]

For me, there is no single simple answer BUT one thing for sure is that Thailand is far, far down on tourists compared to other places in Asia. I have been to many places this year and they have all been or are now all full or near full - only Thailand is near empty. Bali in particular has a high season from May and doesn't really stop till after New Year...!

Those of you still clinging to this global recession excuse, sure money is tight BUT just try looking at other websites like Latestays, Asia Web direct or any other discount site for last minute bookings.... You will see the words SOLD OUT everywhere over New Year but rarely for ANY hotel in Thailand.

And for me the NUMBER ONE reason why Phuket is down (and the rest of Thailand too) is that people are sick and tired of the bad attitude of Thais. Rip off, cheat, scam, lie and smile falsely....

Doesn't work any more when you compare the great English, warm service and truly welcoming smiles elsewhere! Thailand has had its day and is detained for the bargain basement of Asia category with much lower prices or no tourists... Let's stop pretending guys, Thais are not sharp and they are very selfish and they have screwed it up for everyone now...

[MJP]

For me, there is no single simple answer BUT one thing for sure is that Thailand is far, far down on tourists compared to other places in Asia. I have been to many places this year and they have all been or are now all full or near full - only Thailand is near empty. Bali in particular has a high season from May and doesn't really stop till after New Year...!

Those of you still clinging to this global recession excuse, sure money is tight BUT just try looking at other websites like Latestays, Asia Web direct or any other discount site for last minute bookings.... You will see the words SOLD OUT everywhere over New Year but rarely for ANY hotel in Thailand.

And for me the NUMBER ONE reason why Phuket is down (and the rest of Thailand too) is that people are sick and tired of the bad attitude of Thais. Rip off, cheat, scam, lie and smile falsely....

Doesn't work any more when you compare the great English, warm service and truly welcoming smiles elsewhere! Thailand has had its day and is detained for the bargain basement of Asia category with much lower prices or no tourists... Let's stop pretending guys, Thais are not sharp and they are very selfish and they have screwed it up for everyone now...

Just got this email from a friend in the UK who was a Thailand regular. Money is no issue to this guy, multi millionaire (in GBP) but tight as a duck's rear.

i thought this was the peak for tourists. i suppose its the pain in europe thats hitting now in thailand. so far its the brits who have been worst effected, but now the continent is catching us up. see the bahts strong though. that will keep farangs away . booked for sri lanka yesterday. cheaper flight, seems very cheap place to go, and pound seems to be ok against their rupee. i have never been there, only mainland india. dont suppose its much different. i see it has a decent train network to get around.

happy christmas

john

[Ulysses G.]

For me, there is no single simple answer BUT one thing for sure is that Thailand is far, far down on tourists compared to other places in Asia. I have been to many places this year and they have all been or are now all full or near full - only Thailand is near empty.

Funny that friends with businesses in both Laos and Vietnam are complaining about how terrible tourism is this year.

I guess that one can "prove" pretty much anything on the Internet, simply by posting it.

[phupaman]

2 weeks all inclusive in the Carribbean 799 pounds....flight alone to Phuket over 800 pounds......3 pound for a small heineken in Bangla................not exactly rocket science is it

HI All

To add to the issue of prices , the threatening behaviour of the taxi driver's and all the scam artist's on the beach armed with knives,all making international news, The administration in Phuket has left it far to late. Som Nam NA.

phupaman.

[inmysights]

The Thai tourist service industry seems to operate on the old adage "theirs a sucker born every minute". They apparently forget that this was before mass communication networks that are available world wide in today.

Most people who think too highly of their own intellect are doomed to failure. When you compare the progress/change used to continually draw tourists for decades by casinos, theme parks, etc around the world, it would appear to substantiate some of the IQ questions concerning the LOS.

Are you suggesting that the type of tourist already attracted to this country for it's 'entertainment' industry should be added to by those who would visit 'theme parks' and casinos? We would be floating in a sea of even more dross.

[craigt3365]

2 weeks all inclusive in the Carribbean 799 pounds....flight alone to Phuket over 800 pounds......3 pound for a small heineken in Bangla................not exactly rocket science is it

HI All

To add to the issue of prices , the threatening behaviour of the taxi driver's and all the scam artist's on the beach armed with knives,all making international news, The administration in Phuket has left it far to late. Som Nam NA.

phupaman.

Is it any better in Jamaica? Dominican Republic? Puerto Rico? Cancun? Etc...I can say for sure it is not. Same scams and more....

[mommysboy]

Of course the recession is a major factor in this as it is in any other aspect of business life, but this alone is not the whole story regarding Thailand and Phuket in particular.

Quite simply, when the money starts to dwindle, people look at value for money, and this is where Thailand falls short.

Ironically, Thailand is still great value at the cheap and cheerful end, but wouldn't you know it those are the very customers being dissuaded the most; personally I find that gross and it gets what it deserves IMHO.

What's hapenning to tourism is a likely predictor of what will happen to the whole economy as it too is based solely on price competitiveness.

People who harp on about the interest seem to think the Thai Govt. is manipulating it. In realty there is very little it can do. What do they suggest? Thailand should pay down US, and Eurozone debt!

[mommysboy]

Addenum: should 'read harp on about the currency rate'

[globalmenace]

Couldn't agree more, cnxforever. A once beautiful place is now ugly on every level. The Russian and Indian tourists don't care about that though so Phuket should direct marketing towards them. Too bad they are so tight they squeak. I don't feel a bit sorry for the farang schmucks who decided to establish or buy a bar/guesthouse there either. I hope they all lose their shirt and head back to wherever they came from.

[brahmburgers]

I don't think it's much about the exchange rate. If a westerner is going on vacation, he knows he's going to spend at least a couple thousand bucks. A hundred dollars more for an exchange difference from 3 years ago isn't going to make or break the decision to travel. People with money overspend all the time. A rich friend is visiting from the States, he haggles about little things, like the price of a meal (75 baht vs 90 baht), but he doesn't blink an eye about spending Bt.3,500 on a quick bit of sex, when the same sort of fun can be had for Bt.700 around the corner at another place. Sex sells, and most of Phuket's int'l appeal revolves around sex. The fact that less customers are showing up is a combo of reasons, but not much about exchange rates.

Maybe the negative publicity re the jetski and tuk-tuk "mafias" are finally taking a measurable toll on the Phuket tourist industry

Agree - it all takes its toll and now in the other blog, they are running full scale Tsunami drills - who the hell would ever want to go to Phuket. It is the cesspool of Thailand and lower than Pattaya!

agree. The jet ski and other rip offs are a factor - but also the surly attitude of the locals who interact with the tourists. Phuket lower than Pattaya (?!) ....that's like saying a sea cucumber is lower than a sick flounder.

[Spee]

We where then also told that the price per person (in a 9 seater mini bus) was 500 Baht a head to go to Patong for the approx. 20 minute ride - return 1000 a head - no other transport available - take it or leave it! Welcome to Phuket!

Sheesh! We don't pay that to go from Rangsit to Rayong/Koh Samet. Take it or leave it isn't really a multiple choice question anymore, eh?