Samui Hotel Market Update Mid-Year 2011

[dorsia]

An influx of international hotel chains to the third largest island in Thailand - Koh Samui - is setting the stage for fierce brand competition.

Well known names in the pipeline include InterContinental, Le Meridien, Conrad, Accor and Moevenpick who will all be intent on luring travelers to the destination by the end of 2011.

According to new data in the Samui Hotel Market Update report, five hotels managed by global operators will enter the existing supply side during the second half of this year. The destination has already experienced a surge in luxury brand penetration with properties operated by Four Seasons, Starwood's W, Banyan Tree, Six Senses and Orient Express.

To view the entire report : http://www.c9hotelworks.com/downloads/samui-2011-hotel-market-update-mid-year-2011-08.pdf

[Samui Coconut]

Some interesting figures, all to be taken with a pinch of salt.....

[robsamui]

Hmmm.

Check the first couple of sections:

2011 Mid Year - domestic travel up by 18% (as opposed to international travellers)

Airline Indicator - domestic travel down by 2%

And that puzzles me.

Are the implications that more Thai people are coming here on holiday?

And if so, then they have rejected flying for other means of transport?

How do you guys interpret this?

Rob

[itishothere]

Hmmm.

Check the first couple of sections:

2011 Mid Year - domestic travel up by 18% (as opposed to international travellers)

Airline Indicator - domestic travel down by 2%

And that puzzles me.

Are the implications that more Thai people are coming here on holiday?

And if so, then they have rejected flying for other means of transport?

How do you guys interpret this?

Rob

The airline sector charts shows both international and domestic passengers to have increased, but they talk of a decline in domestic? (H12011 vs H12010)

Also, the data for 2007,8 etc in the same chart HAS to be classifying international passengers differently to the half year figures?

So yes, confusion all round from me!

(PS what is a domestic passenger anyway, is it anyone who boards at BKK, irrespective of nationality? Therefore an international passenger has to be someone who has a through ticket booked from overseas?)

[BangrakBob]

Hmmm.

Check the first couple of sections:

2011 Mid Year - domestic travel up by 18% (as opposed to international travellers)

Airline Indicator - domestic travel down by 2%

And that puzzles me.

Are the implications that more Thai people are coming here on holiday?

And if so, then they have rejected flying for other means of transport?

How do you guys interpret this?

Rob

That "visitor arrivals and inbound flights" graph doesn't make sense, it is not accounting for where the passengers are from and i'm confused by the H12010 and H12011 compared to 2007 through 2010

[Samui Coconut]

Hmmm.

Check the first couple of sections:

2011 Mid Year - domestic travel up by 18% (as opposed to international travellers)

Airline Indicator - domestic travel down by 2%

And that puzzles me.

Are the implications that more Thai people are coming here on holiday?

And if so, then they have rejected flying for other means of transport?

How do you guys interpret this?

Rob

That "visitor arrivals and inbound flights" graph doesn't make sense, it is not accounting for where the passengers are from and i'm confused by the H12010 and H12011 compared to 2007 through 2010

.....and "Ozo Samui" will never open in 2012....haven't even started yet

[Rooo]

There is an interesting article here:

http://www.ttrweekly.com/site/2011/02/report-revives-samui%E2%80%99s-plight/

[Rooo]

There is an interesting article here:

http://www.ttrweekly...%80%99s-plight/

This article really sheds light on the true figures & the hotel situation on Samui in general, none of that fabricated what you want to hear material.

[phuketinsider]

[Hi there, good dialogue.

Am responding to the questions on our Samui Hotel Market Update Mid-Year Edition 2011 –

The report says that domestic travelers accounted for 18% of total island arrivals in 2010. This was an increase from 2009 by 10%.

As the report is Mid Year there is no increased annual figure for 2011 yet versus 2010. There was no mention of an increase in domestic traffic by 18%.

On the drop of domestic arrivals by 2%, this was noted as first half 2011 (January through June) versus the same period in 2010. So yes domestic arrival did drop.

For the classification of domestic and international passengers, these figures are compiled by the Department of Civil Aviation and are similar to airport statistics throughout Thailand by airports operated by the AoT (Airports of Thailand). Passengers arriving from airports within Thailand to Samui –ie Suvanabhumi, Phuket, U-Tapao and Trat. International passengers are those arriving from airports outside Thailand. In the case of transit passengers these are classified as domestic passengers.

I do appreciate the apparent disconnect between the tracking of airport arrival and the nationality of hotel guests. It's important to understand these two data sources are independent of each other. We can say in our experience the figures provided by both are well presented and the methodology is consistent. In our report we endeavor to provide hotel management, owners and tourism organizations with as much clear data as possible, but fully agree is need to be interpreted.

The check on this data is to next look at hotel guest stays and nationalities. Each guest in a hotel in Thailand is required to submit a passport or id card and these are recorded. The data is provided to the government and compiled by the Department of Tourism. A breakdown of nationalities staying in hotels is a matter of public record and is provided in detail by the agency.

In the case of an increase in domestic guests in hotels versus airport arrivals the leading indicator of this is that more are coming via ferry transport. A new high speed catamaran service was added to Samui and this has increased those driving or coming by bus. From our fieldwork interviewing hoteliers there is a marked rise in domestic business travelers which is demonstrated in the growth of retail, fiancé and consumer service on the island.

Lastly on the Ozo Samui, at the time we wrote the report the hotel pipeline was verified with the developers. We noted the same issue on the Ozo last time we were in Samui, as we visit each site on a periodic basis. Speaking to the operator Onyx Hospitality (formerly Amari Hotels & Resorts) they have encountered a delay and are planning on starting construction by the end of 2011. An opening is set for Q2 2013. As Onyx is part of Ital-Thai who have build a large number of international hotels in Thailand and are one of the leading construction companies here, we find their response credible. The updated figure will be in our next report.

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for the opportunity to hopefully provide some numbers to the issue and it's indeed a good talking point on whether Samui should stay small or get bigger.

Bill Barnett

Managing Director

C9 Hotelworks

[Rooo]

Thank you, at last a balanced professional view.

[BangrakBob]

[Hi there, good dialogue.

Am responding to the questions on our Samui Hotel Market Update Mid-Year Edition 2011 –

The report says that domestic travelers accounted for 18% of total island arrivals in 2010. This was an increase from 2009 by 10%.

As the report is Mid Year there is no increased annual figure for 2011 yet versus 2010. There was no mention of an increase in domestic traffic by 18%.

On the drop of domestic arrivals by 2%, this was noted as first half 2011 (January through June) versus the same period in 2010. So yes domestic arrival did drop.

For the classification of domestic and international passengers, these figures are compiled by the Department of Civil Aviation and are similar to airport statistics throughout Thailand by airports operated by the AoT (Airports of Thailand). Passengers arriving from airports within Thailand to Samui –ie Suvanabhumi, Phuket, U-Tapao and Trat. International passengers are those arriving from airports outside Thailand. In the case of transit passengers these are classified as domestic passengers.

I do appreciate the apparent disconnect between the tracking of airport arrival and the nationality of hotel guests. It's important to understand these two data sources are independent of each other. We can say in our experience the figures provided by both are well presented and the methodology is consistent. In our report we endeavor to provide hotel management, owners and tourism organizations with as much clear data as possible, but fully agree is need to be interpreted.

The check on this data is to next look at hotel guest stays and nationalities. Each guest in a hotel in Thailand is required to submit a passport or id card and these are recorded. The data is provided to the government and compiled by the Department of Tourism. A breakdown of nationalities staying in hotels is a matter of public record and is provided in detail by the agency.

In the case of an increase in domestic guests in hotels versus airport arrivals the leading indicator of this is that more are coming via ferry transport. A new high speed catamaran service was added to Samui and this has increased those driving or coming by bus. From our fieldwork interviewing hoteliers there is a marked rise in domestic business travelers which is demonstrated in the growth of retail, fiancé and consumer service on the island.

Lastly on the Ozo Samui, at the time we wrote the report the hotel pipeline was verified with the developers. We noted the same issue on the Ozo last time we were in Samui, as we visit each site on a periodic basis. Speaking to the operator Onyx Hospitality (formerly Amari Hotels & Resorts) they have encountered a delay and are planning on starting construction by the end of 2011. An opening is set for Q2 2013. As Onyx is part of Ital-Thai who have build a large number of international hotels in Thailand and are one of the leading construction companies here, we find their response credible. The updated figure will be in our next report.

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for the opportunity to hopefully provide some numbers to the issue and it's indeed a good talking point on whether Samui should stay small or get bigger.

Bill Barnett

Managing Director

C9 Hotelworks

cheers Bill

[itishothere]

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for giving us more insight into your research. I have highlighted the concluding paragraph above as, for me, it really does summarise the situation here as I see it.

[Samui Coconut]

[Hi there, good dialogue.

Am responding to the questions on our Samui Hotel Market Update Mid-Year Edition 2011 –

The report says that domestic travelers accounted for 18% of total island arrivals in 2010. This was an increase from 2009 by 10%.

As the report is Mid Year there is no increased annual figure for 2011 yet versus 2010. There was no mention of an increase in domestic traffic by 18%.

On the drop of domestic arrivals by 2%, this was noted as first half 2011 (January through June) versus the same period in 2010. So yes domestic arrival did drop.

For the classification of domestic and international passengers, these figures are compiled by the Department of Civil Aviation and are similar to airport statistics throughout Thailand by airports operated by the AoT (Airports of Thailand). Passengers arriving from airports within Thailand to Samui –ie Suvanabhumi, Phuket, U-Tapao and Trat. International passengers are those arriving from airports outside Thailand. In the case of transit passengers these are classified as domestic passengers.

I do appreciate the apparent disconnect between the tracking of airport arrival and the nationality of hotel guests. It's important to understand these two data sources are independent of each other. We can say in our experience the figures provided by both are well presented and the methodology is consistent. In our report we endeavor to provide hotel management, owners and tourism organizations with as much clear data as possible, but fully agree is need to be interpreted.

The check on this data is to next look at hotel guest stays and nationalities. Each guest in a hotel in Thailand is required to submit a passport or id card and these are recorded. The data is provided to the government and compiled by the Department of Tourism. A breakdown of nationalities staying in hotels is a matter of public record and is provided in detail by the agency.

In the case of an increase in domestic guests in hotels versus airport arrivals the leading indicator of this is that more are coming via ferry transport. A new high speed catamaran service was added to Samui and this has increased those driving or coming by bus. From our fieldwork interviewing hoteliers there is a marked rise in domestic business travelers which is demonstrated in the growth of retail, fiancé and consumer service on the island.

Lastly on the Ozo Samui, at the time we wrote the report the hotel pipeline was verified with the developers. We noted the same issue on the Ozo last time we were in Samui, as we visit each site on a periodic basis. Speaking to the operator Onyx Hospitality (formerly Amari Hotels & Resorts) they have encountered a delay and are planning on starting construction by the end of 2011. An opening is set for Q2 2013. As Onyx is part of Ital-Thai who have build a large number of international hotels in Thailand and are one of the leading construction companies here, we find their response credible. The updated figure will be in our next report.

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for the opportunity to hopefully provide some numbers to the issue and it's indeed a good talking point on whether Samui should stay small or get bigger.

Bill Barnett

Managing Director

C9 Hotelworks

...and Gurich will become Le Meridien......

[robsamui]

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for giving us more insight into your research. I have highlighted the concluding paragraph above as, for me, it really does summarise the situation here as I see it.

Yes - that's where my finger is pointing, too.

R

[robsamui]

[Hi there, good dialogue.

Am responding to the questions on our Samui Hotel Market Update Mid-Year Edition 2011 –

The report says that domestic travelers accounted for 18% of total island arrivals in 2010. This was an increase from 2009 by 10%.

As the report is Mid Year there is no increased annual figure for 2011 yet versus 2010. There was no mention of an increase in domestic traffic by 18%.

On the drop of domestic arrivals by 2%, this was noted as first half 2011 (January through June) versus the same period in 2010. So yes domestic arrival did drop.

For the classification of domestic and international passengers, these figures are compiled by the Department of Civil Aviation and are similar to airport statistics throughout Thailand by airports operated by the AoT (Airports of Thailand). Passengers arriving from airports within Thailand to Samui –ie Suvanabhumi, Phuket, U-Tapao and Trat. International passengers are those arriving from airports outside Thailand. In the case of transit passengers these are classified as domestic passengers.

I do appreciate the apparent disconnect between the tracking of airport arrival and the nationality of hotel guests. It's important to understand these two data sources are independent of each other. We can say in our experience the figures provided by both are well presented and the methodology is consistent. In our report we endeavor to provide hotel management, owners and tourism organizations with as much clear data as possible, but fully agree is need to be interpreted.

The check on this data is to next look at hotel guest stays and nationalities. Each guest in a hotel in Thailand is required to submit a passport or id card and these are recorded. The data is provided to the government and compiled by the Department of Tourism. A breakdown of nationalities staying in hotels is a matter of public record and is provided in detail by the agency.

In the case of an increase in domestic guests in hotels versus airport arrivals the leading indicator of this is that more are coming via ferry transport. A new high speed catamaran service was added to Samui and this has increased those driving or coming by bus. From our fieldwork interviewing hoteliers there is a marked rise in domestic business travelers which is demonstrated in the growth of retail, fiancé and consumer service on the island.

Lastly on the Ozo Samui, at the time we wrote the report the hotel pipeline was verified with the developers. We noted the same issue on the Ozo last time we were in Samui, as we visit each site on a periodic basis. Speaking to the operator Onyx Hospitality (formerly Amari Hotels & Resorts) they have encountered a delay and are planning on starting construction by the end of 2011. An opening is set for Q2 2013. As Onyx is part of Ital-Thai who have build a large number of international hotels in Thailand and are one of the leading construction companies here, we find their response credible. The updated figure will be in our next report.

In terms of the total picture of Samui, the best reference we have is a growing imbalance between Hotel Supply and Demand and the disconnect between private development which has been uncontrolled and a lack of government sponsored infrastructure.

Thanks for the opportunity to hopefully provide some numbers to the issue and it's indeed a good talking point on whether Samui should stay small or get bigger.

Bill Barnett

Managing Director

C9 Hotelworks

Likewise, thanks a lot for your objective and detailed approach. Much appreciated and food for thought.

R