Twinpalms Residences MontAzure
Connect with us

News

Phuket’s low season growth produces record tourism numbers in 2017

Bill Barnett

Published

on

By Bill Barnett of c9Hotelworks.com

For 2017 the island’s gateway airport posted 11.3% year-on-year growth to reach an estimated 8.4 million incoming passengers.  This was mainly driven by a 20% surge in Mainland Chinese travelers to the island and a rising number visitors during low season of 11.2% compared to the same period in 2016.

Passenger arrivals remain the key catalyst for growth, according to consulting group C9 Hotelworks’ newly released Phuket Hotel Market Update.

Hotel performance continued to see an uptick in occupancy at 77% last year based on data from STR, though there is a slight downward trend with a median room rate of 3,740 baht per room/per night.

Data in C9’s report reveals there was an average of 641,863 passenger arrivals per month in 2017 during low season compared to 759,703 in the high season. This is a significantly smaller gap than in previous years. The statistics demonstrate how Phuket is evolving into a year-round destination.

Another key trend is market-wide occupancy demonstrated by 54% of Chinese and 55% of Australians choosing to visit Phuket during the May – October low and shoulder seasons.

Analysing the market C9’s Managing Director Bill Barnett is quick to point out that island hoteliers need to be pragmatic about the impact in shifting geographic segments.

“Phuket International Airport is the de facto entry point for tourists to Khao Lak which has nearly 9,000 hotel keys in its inventory.  Lower priced accommodation and a large selection of beach front properties are benefitting from increasing Australian and Chinese numbers in July and August.”

Two other key points from the report are that while arrival growth is prevailing, the average length of stay is shrinking due to increased regional Asian demographic shift. (eg. Chinese visitors tend to come for days rather than weeks). And secondly, the exponential growth of offerings such as Airbnb are becoming mainstream competitors to hotels.

Soaring tourism numbers are not only driving hotel development but peripheral sectors such as attractions as well.

With its successful water park in Hua Hin, Proud Real Estate plans to start the development of Vana Nava Phuket by late 2018.

Coupled with a 255-room Holiday Inn Express, the project is valued at nearly 3 billion baht.  Kata Water Park is another notable project that will begin construction in 2018.  Developed by Kata Group on a 13-rai plot, replacing Kata Plaza, the plan includes a 300-room hotel and multiple dining outlets.

Summing up Phuket’s continued growth trajectory Bill Barnett of C9 Hotelworks says “…while the recent upgrading of Phuket International Airport and new terminal has been a welcome change, the long-term reality is it’s just a band aid to a macro issue.  As Khao Lak continues growing along with the beach areas north of Phuket, the need to diversify Phang Nga’s rising tourism market with its own airport is becoming more and more urgent by the day.”

Download C9’s new Phuket report HERE.

 

- Bill Barnett

Bill Barnett has over 30 years of experience in the Asian hospitality and property markets. He is considered to be a leading authority on real estate trends across Asia, and has sat at almost every seat around the hospitality and real estate table. Bill promotes industry insight through regular conference speaking engagements and is continually gathering market intelligence. Over the past few years he has released four books on Asian property topics.

Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

National

Executed 26 year old had grilled chicken and rice for final meal

The Thaiger & The Nation

Published

on

In the wake of Thailand’s first execution in nine years, a few more details have emerged about the prisoner’s last moments and of his family.

According to witnesses, the first man to be executed in Thailand in nine years was calm during the last few moments of his life.

Identified only as Thirasak by authorities, the 26 year old remained expressionless as he walked to a room for the fatal injection on Monday.

“We let him say farewell to his family that day,” said Department of Corrections director-general Naras Savestanae. He said Thirasak also chose his final meal – grilled chicken and sticky rice – and after finishing it, was taken directly to the execution room.

Thirasak was executed by lethal injection six years after he fatally stabbed and robbed Danudej Sukmak, who was a 17 year old schoolboy in Trang at the time.

The victim’s parents have never recovered from the pain of losing their son. At the time of the crime, Thirasak was 19 years old.

The execution broke the hearts of Thirasak’s family members.

“He made one last call to Mum just before he entered the execution room – but she didn’t answer the phone soon enough,” one of Thirasak’s sisters said.

She said Thirasak had, however, managed to talk on the phone to his first wife. They had two children together.

“When Mum answered the phone again on Monday, she was told to pick up his body. Mum hasn’t stopped crying,” the sister said.

Thirasak leaves behind his two wives, three children, his mother and sisters. His burial took place yesterday, immediately after his body was transported from Bang Kwang Prison in Nonthaburi to his hometown of Trang.

“I had never thought he would have been executed. Convicts of graver crimes are still alive,” Thirasak’s younger sister said yesterday.

His elder sister said she would have been able to accept his execution had other inmates on death row also been put to death.

“At the very least, prison officials should have allowed him to meet his family members one last time,” she said.

The sisters said they had kept in touch with Thirasak throughout his imprisonment.

“When he was locked up at Trang prison, we visited him often,” one of the sisters said. “But after he moved to Bang Kwang Prison in Nonthaburi, we could not make the visit due to travel expenses. We exchanged letters instead.”

A recent letter from Thirasak mentioned his love and care for his family and also told his siblings to take good care of their mother.

“Living behind bars, my caring concerns cannot actually reach her,” he said in the letter.

Thirasak had also intended to study while behind bars, according to his family.

ORIGINAL STORY: The Nation

Continue Reading

National

mu Space wants to send your name to space

The Thaiger

Published

on

Space and satellite company mu Space is sending its first experimental payload beyond the Earth’s atmosphere and it wants to include a list of space fans’ names on it.

The Thai-based company is encouraging the public to write their names on a signature board installed at mu Space’s booth (Experiencing Zone 4) during the Techsauce Global Summit. The event is happening on June 22-23 at The Centara Grand at Central World in Bangkok.

A video posted by mu Space on YouTube explains that the names gathered from the Techsauce Global Summit  will be flown to space.

“This space initiative is the first in Asia and this is something Thais should be proud of. It shows Thailand’s capability to join the space race and create history”, said mu Space’s project lead Chaiyos Kosalakood.

“mu Space will send my name to space, your name, and the names of everyone who wants to join this space mission. This initiative is an initial step to make our dream of travelling to space a reality. We would like to invite everyone, both the local people and foreign expatriates in Thailand, to be part of this,” Chaiyos continues.

If all goes according to plan, mu Space’s payload will reach 100km above the Earth’s surface, where a reduced effect of gravity or weightlessness can be experienced. 

mu Space’s payload box weighs 11kg and will be stowed aboard a sub-orbital space rocket. Aside from the list of names gathered from the Techsauce Global Summit, the payload will include several scientific experiments from universities and space research agencies based in Thailand.

“Later on, we will open a competition for students to research and develop their own space products. The winning product will get a chance to be flown outside of the Earth. mu Space will make that happen,” Chaiyos concluded.

Continue Reading

National

Sadvertising: The art of making us cry and selling stuff

The Thaiger

Published

on

“Sadvertising is a consumer advertising trend in which ad creators are using a certain set of strategies to play on people’s emotions and touch off feelings of sadness, melancholy or wistfulness. Touching or emotional advertising has become increasingly popular in recent years as companies work to create strong emotional ties around their products. This is based on a belief that advertising that elicits an emotional reaction from viewers is more likely to be shared, particularly online and over social media. By attempting to reach consumers on a deeper level, sadvertising represents an attempt to gain their attention in an increasingly ad-cluttered world.”

Sadvertising is something that Thai marketeers do very well. There have been some famous ‘Sads’, like this one…

One of the big ideas behind ‘sadvertising’ is the sudden shift in advertising across generations. Not too long ago, comedy and laughter were the most common advertising strategies. Sadvertising is a kind of logical progression, although it doesn’t really work the same way that comedy did. But sometimes you can combine the two…

While there is a lot of potential for innovating advertising to bring out a wider range of emotions, some experts point out that there are inherent limitations to sadvertising that do exist with comic advertising. While many forms of comedy can be considered harmless in advertising, sadness is, at its heart, a negative emotion based on negative outcomes, which is something that marketers have classically avoided.

That means that in sadvertising, marketers must walk a fine line between tugging at consumers’ heartstrings and making them feel depressed. And, mostly of course, they and make sure you have that happy ending.

Here’s one more (there are plenty of others). Have your handkerchief ready for this one…

 

Continue Reading

The Thaiger Newsletter

Keep up with all the day’s news. Subscribe here.

The latest news and information from Thailand.

* indicates required

Trending