webfact Posted January 12, 2017 Share Posted January 12, 2017 Thai crackdown on budget tours hits Chinese New Year By Pairat Temphairojana REUTERS FILE PHOTO - Chinese tourists take a break at Wat Pho in Bangkok, Thailand, October 3, 2016. REUTERS/Athit Perawongmetha/Files Photo BANGKOK (Reuters) - Chinese hotel bookings to Thailand for the Lunar New Year have tumbled as a crackdown on cheap package tours hits visitor numbers from its biggest source of holiday-makers. Tourism is increasingly important for Thailand given that its economic growth lags other Southeast Asian economies. Between 2012 and 2016, the number of Chinese visitors trebled to nearly a third of all Thailand's tourists by numbers and revenue. But a crackdown on "zero-dollar" package tours in September sent that into reverse with little sign of recovery ahead of the Lunar New Year holiday Jan. 28 to Feb. 2. The D Land Holiday Co. Ltd caters to Chinese tourists. Bookings are only 300 for the Lunar New Year compared to 800 last year, its owner said. "It's the crackdown," Ruengdet Amorndetphakdee told Reuters. Other hotel groups, including Central Plaza Hotel Pcl, said Chinese bookings had fallen. Tristar Floating Restaurant Co. Ltd. has six cruise ships for Chinese visitors - now it operates only one. Thailand's tourism authority expects a 7.7 percent drop in Chinese tourists for the Lunar New Year this year, though offset by a 3.9 percent rise in tourists from elsewhere, and it sees Chinese tourist numbers rising back during 2017. Zero-dollar tourists pay everything up front. Operators cut any cost they can while tourists are sometimes cajoled into buying over-priced souvenirs so the company earns a commission. Those are the practices Thailand wants to stop. But the government's insistence on a minimum 1,000 baht (23 pounds)per night charge for package tourists had made Thailand uncompetitive for many Chinese visitors, tour operators say. "We weren't prepared for this," Chanapan Kaewklachaiyawuth, secretary-general of Thai-Chinese Tourism Alliance Association told Reuters. Chinese tourist numbers fell 30 percent in November from the year before to the lowest monthly total in more than two years. At least part of that drop-off was due to a one-month mourning period following the Oct. 13th death of King Bhumibol Adulyadej, tour operators say. REBOUND FORECAST Thailand nonetheless forecasts that Chinese tourist numbers will recover to reach nine million by the end of 2017 to just top last year's total. By targeting wealthier Chinese travellers, revenue from China will increase over 14 percent this year to around 500 billion baht, according to Tourism Authority of Thailand Governor Yuthasak Supasorn. "It's certainly a change, but Thai operators are able to adapt," he told Reuters. Overall, Thailand expects growth in tourist revenue of 8.5 percent to nearly $50 billion - more than double the overall economic growth rate forecast. Although Chinese visitor numbers have fallen, the number of travellers from elsewhere has continued to rise. Central Plaza said increased bookings from Russia had helped despite Chinese cancellations. Tristar Floating Restaurant Co., Ltd. is looking to new markets in Southeast Asia such as Indonesia, Vietnam, the Philippines and Myanmar, company president Vichai Tanasopananont told Reuters television. "Cheap packages don't yield high income and businesses will need to adapt," said Thanavath Phonvichai, an economic professor at University of Thai Chamber of Commerce. "It will gradually improve." For those whose livelihoods have been affected, improvement cannot come soon enough. "My income has dropped 50 percent," complained Naruja Nakthong, a 27 year-old souvenir shop owner in the historic Thonburi area of Bangkok. "It might be good if we have tourists who spend more. They might shop and buy more stuff but I haven’t seen them here yet." (Additional reporting by Manunphattr Dhanananphorn and Jutarat Skulpichetrat; Editingby Bill Tarrant) -- © Copyright Reuters 2017-01-12 Link to comment Share on other sites More sharing options...
SoFarAndNear Posted January 12, 2017 Share Posted January 12, 2017 Quote "We weren't prepared for this," Chanapan Kaewklachaiyawuth, secretary-general of Thai-Chinese Tourism Alliance Association told Reuters. So in other words. The Thai tourism was/is oriented in the chinese zero baht tour scam?! Link to comment Share on other sites More sharing options...
alocacoc Posted January 12, 2017 Share Posted January 12, 2017 Good news. Less Chinese and less buses on the streets. Nothing wrong with that. Link to comment Share on other sites More sharing options...
trogers Posted January 12, 2017 Share Posted January 12, 2017 It was hordes of Chinese and zero baht to Thailand. Good riddance! Link to comment Share on other sites More sharing options...
ExpatOilWorker Posted January 12, 2017 Share Posted January 12, 2017 When I was a kid in the '70 we went on charter family tours to Tenerife and Southern Spain. Food and accommodation was all included and the guide was from our home country. In way way is this different from the Chinese zero-tours? It worked well for many years, both for Spain as a destination and for the charter tourist industry and their guests. Link to comment Share on other sites More sharing options...
wakeupplease Posted January 12, 2017 Share Posted January 12, 2017 (edited) Reuters write some crap don't They? Our wonderful TAT lady tells us tourism was up in 2016 and may hit 50 billion soon Thai tourism has come a long way with Lady TAT since the 19million arrivals of 2012 Quality tourists spend more, perhaps if they did not get killed or scammed they would Do you know what TAT means look it up as it makes you smile a lot Invented in London Edited January 12, 2017 by wakeupplease spell Link to comment Share on other sites More sharing options...
trogers Posted January 12, 2017 Share Posted January 12, 2017 2 minutes ago, ExpatOilWorker said: When I was a kid in the '70 we went on charter family tours to Tenerife and Southern Spain. Food and accommodation was all included and the guide was from our home country. In way way is this different from the Chinese zero-tours? It worked well for many years, both for Spain as a destination and for the charter tourist industry and their guests. Was the providers of food and accommodation from your home country as well? Link to comment Share on other sites More sharing options...
The man from udon Posted January 12, 2017 Share Posted January 12, 2017 800 bookings down to 300,6 cruise ships down to 1 ship,30% drop in November,how's that come to 7.7% drop.anyway how are they going to cater for the great Chinese surge,they've confiscated all their buses,boats and property and flogged it all off.the Thais should learn that Chinese are not stupid and have helped with the slumping economy.now the tour operators are looking elsewhere. Link to comment Share on other sites More sharing options...
yellowboat Posted January 12, 2017 Share Posted January 12, 2017 (edited) Thai government is far too heavy handed when it comes to business. This could have been handled with a lot more finesse. Finesse and military governments are contradictory terms. No real studies were made, just the application of the iron fist. Edited January 12, 2017 by yellowboat Link to comment Share on other sites More sharing options...
wakeupplease Posted January 12, 2017 Share Posted January 12, 2017 3 minutes ago, yellowboat said: Thai government is far to heavy handed when it comes to business. This could have been handled with a lot more finesse. Finesse and military governments are contradictory terms. No real studies were made, just the application of the iron fist. You mean when they do not get their cut? Link to comment Share on other sites More sharing options...
yellowboat Posted January 12, 2017 Share Posted January 12, 2017 (edited) 24 minutes ago, trogers said: It was hordes of Chinese and zero baht to Thailand. Good riddance! Hotels got paid. Where they ate got paid. Bus drivers got paid. Some people got paid. Even so, you deal with things without involving the customer. You retain customer flow. Edited January 12, 2017 by yellowboat Link to comment Share on other sites More sharing options...
wakeupplease Posted January 12, 2017 Share Posted January 12, 2017 7 minutes ago, yellowboat said: Hotels got paid. Where they ate got paid. Bus drivers got paid. Some people got paid. Even so, you deal with things without involving the customer. You retain customer flow. I expect you are right on that but the government is not happy so they must of missed out and many need the cash for the 2017 new house and cars god bless um Link to comment Share on other sites More sharing options...
AhFarangJa Posted January 12, 2017 Share Posted January 12, 2017 We went to Chiang Mai for a week after Xmas......Completely spoilt by the hordes of Chinese. Hotel we stayed in was infested with them, a fact I was not privy to when booking unfortunately. Breakfast time was like a plague of locust descending, followed by the sound of a thousand drains emptying as they devoured their prize from the buffet table. I appreciate the needs of the souvenir sellers etc. but we watched from several bars and cafes, and all they did was walk around taking selfies, not spending anything.. Link to comment Share on other sites More sharing options...
trogers Posted January 12, 2017 Share Posted January 12, 2017 52 minutes ago, yellowboat said: Hotels got paid. Where they ate got paid. Bus drivers got paid. Some people got paid. Even so, you deal with things without involving the customer. You retain customer flow. Haven't you read? The hotels, restaurants and tour buses are owned by the Chinese using fake Thai IDs, and no taxes paid... Link to comment Share on other sites More sharing options...
yellowboat Posted January 12, 2017 Share Posted January 12, 2017 3 minutes ago, trogers said: Haven't you read? The hotels, restaurants and tour buses are owned by the Chinese using fake Thai IDs, and no taxes paid... Yes, a crime was committed, but do you take it out on the tourists that come to your country ? It could have been handled delicately, without wielding the junta's sludge hammer. Link to comment Share on other sites More sharing options...
trogers Posted January 12, 2017 Share Posted January 12, 2017 14 minutes ago, yellowboat said: Yes, a crime was committed, but do you take it out on the tourists that come to your country ? It could have been handled delicately, without wielding the junta's sludge hammer. Take it out on the tourists? Actions were taken to close down such businesses and their assets seized. No monies paid by these tourists in China were touched. Link to comment Share on other sites More sharing options...
yellowboat Posted January 12, 2017 Share Posted January 12, 2017 5 minutes ago, trogers said: Take it out on the tourists? Actions were taken to close down such businesses and their assets seized. No monies paid by these tourists in China were touched. Was referring to drop in arrivals due to the clamp down. That could not have been avoided ? Link to comment Share on other sites More sharing options...
rmacee Posted January 12, 2017 Share Posted January 12, 2017 What's the problem the odd one or two paid 3 or 5bt to go to a toilet ...All is not lost !!!! Link to comment Share on other sites More sharing options...
Ratcher Posted January 12, 2017 Share Posted January 12, 2017 Cheap Charlies. We would better off with a reduction in this type of Chinese visitor. Blot on the landscape. Like pigs at a trough at a buffet, whether in Thailand, SE Asia or China. Seen it often. Link to comment Share on other sites More sharing options...
Jimbo2014 Posted January 12, 2017 Share Posted January 12, 2017 Thailand thinks it offers premium holiday packages and deserves premium tourists. Now the bottom of the tourist barrel has been scraped and they have managed to pi@@ off even those tourists. Clean up the scams, Clean up the environment, Clean up the Police and then the quality tourists will come. Thailand has a unique culture - its just that few tourists can experience it without the downsides. Link to comment Share on other sites More sharing options...
Jimbo2014 Posted January 12, 2017 Share Posted January 12, 2017 1 hour ago, AhFarangJa said: We went to Chiang Mai for a week after Xmas......Completely spoilt by the hordes of Chinese. Hotel we stayed in was infested with them, a fact I was not privy to when booking unfortunately. Breakfast time was like a plague of locust descending, followed by the sound of a thousand drains emptying as they devoured their prize from the buffet table. I appreciate the needs of the souvenir sellers etc. but we watched from several bars and cafes, and all they did was walk around taking selfies, not spending anything.. I recommend Chaing Rai if you want avoid the northern hordes. You have to go remote now to enjoy a peaceful breakfast :D Link to comment Share on other sites More sharing options...
waldroj Posted January 12, 2017 Share Posted January 12, 2017 "...Chinese hotel bookings...have tumbled as a crackdown on cheap package tours hits visitor numbers..." Lamenting the realisation that their artificially high visitor numbers were a symptom of cheap package tours. It doesn't require a university professor to tell TAT that, "Cheap packages don't yield high income and businesses will need to adapt". Jeez, these guys really want to have their cake and eat it too !!! Link to comment Share on other sites More sharing options...
trogers Posted January 12, 2017 Share Posted January 12, 2017 29 minutes ago, yellowboat said: Was referring to drop in arrivals due to the clamp down. That could not have been avoided ? Why not avoid it? Would you stop a van load of people camping a night in the garden of your home illegally, and disappearing early next morning, leaving a mess and not paying you a dime? The hordes are using Thailand for their pleasure, but the tour operators are pocketing every dime, and leaving behind a mess to the environment. Link to comment Share on other sites More sharing options...
zaphod reborn Posted January 12, 2017 Share Posted January 12, 2017 Quote Operators cut any cost they can while tourists are sometimes cajoled into buying over-priced souvenirs so the company earns a commission. Those are the practices Thailand wants to stop. And there's the heart of the matter. Chinese operators were getting the kickbacks, not Thais. That's what Thailand wants to stop. Those kickbacks belong to the tuk tuk and taxi drivers. Link to comment Share on other sites More sharing options...
The man from udon Posted January 12, 2017 Share Posted January 12, 2017 When it come to how much they spend I would say a little bit of something is worth a lot more than a whole lot of nothing.i keep hearing they are cheap Charlie's but I stay in 4 star hotels all the time and there's plenty of Chinese staying in them.as for buying things here,they probably can buy most things at home that they sell here but a lot cheaper.whats not taken into account is all imported goods are taxed to high heaven and the baht has gone through the roof.thailand ain't cheap for any tourist and even us westerners are tightening our belts.anyway when the 9 million stop coming it will only make thing more expensive as the Thai way is...less customers then just put the price up.i bet the neighbouring countries are laughing their socks off as they will only benefit from thailands messed up policies. Link to comment Share on other sites More sharing options...
DrTuner Posted January 12, 2017 Share Posted January 12, 2017 1k/day is too much for the quality tourists, eh? What should it be then, 70b including the shopping at 7-11? Link to comment Share on other sites More sharing options...
Chicog Posted January 12, 2017 Share Posted January 12, 2017 8 minutes ago, DrTuner said: 1k/day is too much for the quality tourists, eh? What should it be then, 70b including the shopping at 7-11? I think the point is that if the Thai government think they can tell foreign tourists what they must spend, they can do one. Much like that question on the back of the immigration card asking how much you earn. Who the bloody hell do these chumps think they are? Vietnam had the benefit of most of my holiday spending this season. They didn't ask me what I earned or tell me what to spend. Next trip will be Bagan. They haven't asked me anything either. Link to comment Share on other sites More sharing options...
hotchilli Posted January 12, 2017 Share Posted January 12, 2017 Link to comment Share on other sites More sharing options...
yellowboat Posted January 12, 2017 Share Posted January 12, 2017 2 hours ago, trogers said: Why not avoid it? Would you stop a van load of people camping a night in the garden of your home illegally, and disappearing early next morning, leaving a mess and not paying you a dime? The hordes are using Thailand for their pleasure, but the tour operators are pocketing every dime, and leaving behind a mess to the environment. Again your focus is on those who did a legal business illegally. The argument is and remains; why disrupt business ? Numbers of Chinese are down due to the crackdown on the zero baht packages, correct ? Why did there need to be a crack down, but rather why not a legal transition ? Other governments do it. Seize legal businesses started with dubious funds and then transition them back to the private sector. The lack of finesse and the handling of things with less than delicate hands are hurting the Thai brand. Link to comment Share on other sites More sharing options...
blazes Posted January 12, 2017 Share Posted January 12, 2017 3 hours ago, rmacee said: What's the problem the odd one or two paid 3 or 5bt to go to a toilet ...All is not lost !!!! But it then cost 300 baht to clean the toilet.... Link to comment Share on other sites More sharing options...
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