We called to book our usual Jomtien Beach guesthouse, AA on Soi 4, today for an upcoming visit and were told their rate has gone from 500 baht to 600 baht, and that all the area guesthouses did the same.

Does that appear to be the case?

"...all the area guesthouses did the same ....."

That part wouldn't surprise me. I know of no country anywhere on earth that practises cartel pricing to the extent they do in Thailand. No matter what item or service you are looking for, you can usually find 100 people selling exactly the same thing at exactly the same price, all within a few tens of yards of each other. Tukcom is a shining example.

Anyone who isnt permanently drunk will surely remember that just about every doner kebab vendor in town increased prices from 50 to 60B early last year, all within about 48 hours. (Not that I ever eat the said kebabs, but I couldn't help noticing all the signs changing.)

Maybe high season. Low season price difference!

sent from my Q6

"...all the area guesthouses did the same ....."

That part wouldn't surprise me. I know of no country anywhere on earth that practises cartel pricing to the extent they do in Thailand. No matter what item or service you are looking for, you can usually find 100 people selling exactly the same thing at exactly the same price, all within a few tens of yards of each other. Tukcom is a shining example.

Anyone who isnt permanently drunk will surely remember that just about every doner kebab vendor in town increased prices from 50 to 60B early last year, all within about 48 hours. (Not that I ever eat the said kebabs, but I couldn't help noticing all the signs changing.)

The doner kebabs could have gone up in price from the wholesalers

I doubt they make their own.

sent from my Q6

"...all the area guesthouses did the same ....."

That part wouldn't surprise me. I know of no country anywhere on earth that practises cartel pricing to the extent they do in Thailand. No matter what item or service you are looking for, you can usually find 100 people selling exactly the same thing at exactly the same price, all within a few tens of yards of each other. Tukcom is a shining example.

Anyone who isnt permanently drunk will surely remember that just about every doner kebab vendor in town increased prices from 50 to 60B early last year, all within about 48 hours. (Not that I ever eat the said kebabs, but I couldn't help noticing all the signs changing.)

And how long were they supposed to stay at B50...until you said it was okay to raise prices? Was it okay to raise the price to B50 from whatever they were before? Costs to run a business do go up over time you know and therefore prices have a tendency to go up as well...not too hard to figure out.

And how long were they supposed to stay at B50...until you said it was okay to raise prices? Was it okay to raise the price to B50 from whatever they were before? Costs to run a business do go up over time you know and therefore prices have a tendency to go up as well...not too hard to figure out.

The point (which you seem to have missed) was not that the prices increased but that they all put their prices up by exactly the same amount from exactly the same amount at exactly the same time. This type of cartel pricing would not be considered normal in most countries.

I remember we went to Koh Chang a few years ago and went to check into one of the larger hotels (before it was as big as it is now), we knew the island was half empty and the hotel had many rooms free, whilst sorting out the details with the receptionist she said 'oh hang on, today now peak season' so on that the price went up by 350 baht per night - ha ha, the place was half empty, that really irked as we'd stayed there many times prior to that so we left and found another hotel on the beach further down the road and we now go there everytime and I send all my mates etc there.

Just me ten pence worth, or 350 baht's worth.

Jimmy

The clear answer is that you are fed a line, no guest-houses in Jomtien or Pattaya area have in particular put up there prices at all.

Edited January 8, 201313 yr by Pdavies99

Well, we'll be back in Jomtien tomorrow and will find out...

Well, we'll be back in Jomtien tomorrow and will find out...

"....were told their rate has gone from 500 baht to 600 baht, and that all the area guesthouses did the same."

That's +20%

Maybe you can ask the staff if they got a raise of +20% in salaries too?

I'm almost sure they did

If I were you I would first ask around at another guesthouse about the price and than decide if you return or not.

These blunt and brutal price increasements have to stop.

If a shop, airline, bar, restaurant raise their prices with 20%, everybody will protest. So can you.

Off topic posts about price of: deck chairs, donar kebabs and beer removed As it was all getting rather confusing.

There most certaintly is price fixing in many areas in Pattaya "walking street would be a fine example" Ban Chang another " "baht bus cartel" the list is endless

Why anyone would by a business only to have one of the primary factors of running the said business dictated to them is beyond comprehention, it does happen as I have been told by business owners that they must comply.

So it wouldn't surprise me that a group of guest houses in a particular area or soi do the same, not saying they are but is not uncommon around the city

No, it was just high season rates starting. A lot of language related miscommunication/misunderstanding going on.

Edited January 18, 201313 yr by Lopburi99