Thailand targets 8 million Chinese tourists in 2024 amid diverse strategies

The Tourism Authority of Thailand (TAT) has set an ambitious target of 8 million Chinese tourist arrivals for 2024 and is diversifying its focus to niche markets with significant purchasing power, such as young travellers, small meeting groups, and caravan tours.

“Demand among Chinese is not enough to entice Chinese airlines to increase flights to Thailand,” said Nonglux Yooyendee, director of the TAT’s Shanghai office.

Nonglux highlighted that high unemployment rates and a real estate downturn in China are impacting the middle-class market, which comprises over a third of the population, leading to reduced travel demand. Consequently, many Chinese tourists have chosen domestic destinations or nearby locations like Hong Kong and Macau since last year.

According to the China Tourism Academy, 87 million Chinese travelled abroad last year, a significant drop from 155 million in 2019. This year, only 130 million Chinese are expected to travel overseas.

Nonglux noted a shift in travel patterns post-pandemic, with more Chinese tourists opting for independent travel, and a rise in young travellers exploring international destinations. A study of social media star ratings and reviews supports this trend. Additionally, the popularity of tour groups has waned, with tourists showing a preference for tailor-made packages offering unique experiences.

In June, the TAT organised a special trip targeting a new potential market—Chinese travellers with pets. The initiative received positive feedback, highlighting Thailand’s extensive pet-friendly accommodation options.

Chinese tourists

In 2019, over 4 million Chinese tourists from Shanghai and nearby eastern provinces visited Thailand. The country’s flight capacity has now recovered to 80%, with 60,000 seats available per week.

Boonrapee Damrongrat, director of the TAT’s Guangzhou office, reported high demand for meetings, incentives, conventions, and exhibitions among travellers from Guangzhou and the southern provinces. He noted that many corporates plan to maintain or increase their budgets for overseas business trips this year.

“Flight capacity across five provinces is at 85% of 2019’s level, with Jiangxi province lagging at a 20% recovery rate.”

Amid the sluggish economy, corporate travellers are exercising greater caution with their spending, opting for high-quality tailor-made packages. However, Boonrapee pointed out that destination management companies in Thailand are currently unable to offer attractive packages to meet this demand.

Ruedee Cheawsamoot, director of the TAT’s Kunming office, identified potential for cross-border travel to Thailand from Kunming and nearby provinces via Laos. She noted that this region has an equal mix of individual and group travellers, unlike other big cities dominated by independent tourists.

Direct trains between Bangkok and Vientiane present an opportunity to connect with the Laos-China railway, attracting Chinese tourists. Chinese travel agents are already planning to launch tour packages, capitalising on Laos’ visa-free policy for Chinese tourists travelling in groups.

Some Chinese tourists have also opted for caravan road trips, mainly business owners with flexible schedules and family groups, typically staying in Thailand for seven to twenty days, reported Bangkok Post.

Despite the visa-free scheme, Chinese tourists face inconvenient immigration processes for foreign vehicles and complicated applications for temporary driving licences in Thailand.