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  • Pattaya hotels brace for drop

    http://www.nationmultimedia.com/busi...-30245047.html

    HOTEL OPERATORS in Pattaya are expected to continue to suffer, judging from low advance bookings from overseas markets for the coming high season.
    Meanwhile, the government is being urged to crack down on illegal operators in order to rebuild the city's image and lure tourists back.

    Sanpech Supabowornsthian, president of the Thai Hotels Association (THA) Eastern Chapter, said tourist numbers in Pattaya would probably drop by 15-20 per cent during the coming high season. If that happens, tourism revenue will fall by 20-30 per cent from last year's peak season. The average occupancy rate would be around 70 per cent, lower than a year earlier when it was 80-90 per cent.

    He said tourists from key markets such as Russia, China, Japan, India and Europe would shift to other destinations such as Phuket, Koh Samui and other beach resorts.

    During the first eight months of this year, 6 million tourists entered Pattaya, down by 30-40 per cent from the same period last year. The top five sources were Russia, China, the Middle East, Germany and India. Several hotel operators have predicted that the city could lose about 2 million tourists this year.

    During the first nine months, 2.8 million Thais travelled to Pattaya, compared with 3 million during the same period last year.

    "This year's peak season will definitely not be better than the last three months of 2013. Key factors for the failure are the extension of martial law and an oversupply of rooms," he said.

    Pattaya has 2,174 accommodation providers, representing about 139,000 rooms. But only a little over 12 per cent, or 274 operators with 40,000 rooms, have registered as hotels.

    Sanpech said the huge number of available rooms in Pattaya could serve up to 40 million tourists per year, but in fact there are only 10 million arrivals each year. This has been causing a price war for years.

    "One of the biggest problems for Pattaya is the room oversupply. International hotel chains are offering rates of just Bt3,000 per night, while local operators offer Bt900-Bt1,800 per night," he said.

    The THA has urged the government and local administrative bodies to go after illegal operators in order to stop the price war that is hurting overall business. If the authorities followed this suggestion, the association says, operators would stay in business and Pattaya could regain quality tourists.

    Sanpech, who is also assistant managing director of Unchaleewiwat Group - one of the biggest hoteliers in Pattaya with a total of 3,400 rooms - said the group was beginning a rebranding programme. The group operates eight properties under different brands, ranging from three to five stars. It plans to open its ninth property next year.

    He said each of properties was taking care of its own marketing and mainly focused on the domestic market. However, once the group's rebranding is completed next year, some new strategies will be in action.

  • #2
    socal from his exalted position as a world leading economist and world traveler says this is pure bull ****,
    (from his trailer parked in sunny Canada)
    Last edited by peterplonker; 10-09-2014, 08:14 AM.

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    • #3
      The hoteliers I know in Pattaya would have wet dreams about a 70% occupancy rate.

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      • #4
        Originally posted by news junkie View Post
        He said tourists from key markets such as Russia, China, Japan, India and Europe would shift to other destinations such as Phuket, Koh Samui and other beach resorts.

        .
        . . . or another country altogether.

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        • #5
          but, but , but , domestic tourism will be the saviour :

          http://thailandchatter.com/showthrea...conomic-Pillar
          http://thailandchatter.com/showthrea...ll=1#post45112

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          • #6
            Originally posted by peterplonker View Post
            socal from his exalted position as a world leading economist and world traveler says this is pure bull ****,
            (from his trailer parked in sunny Canada)
            I like price wars. The Philipines an sure use a price war. Pattaya is 60% cheaper then a place like Borocay. I got a screaming deal for a place here for 3000 peso a night. It is usually 6000 and ppl are paying 7 to 8000 peso for rooms that go for 1500 baht a night in Pattaya. I'm also paying almost $50 a day for a bike here. Patters would be $15 a day for the same bike

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            • #7
              Place is suffering from oversupply but they continue to build more hotels. This guy is not interested in Thailand, just Pattaya. He won't convince any government to help by saying tourists will just go elswhere in Thailand.
              Samui and Phuket are in the same boat. Oversupply and poorly planned and regulated building beyond the potential capacity.

              Greed is only good until you screw yourself over. Short sighted and over optimistic with a generous helping of graft. They deserve all the **** they get.

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              • #8
                ^ Not just hotels.

                Massive oversupply in condo's and housing.

                Thing is, who knows whether these buildings that folk buy into are legal or not.

                Pattaya planning regulation enforcement is totally corrupt.

                Just take a look at the view taley 7 story down on Jomtien Beach

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                • #9
                  Originally posted by MrBlobby View Post
                  ^ Massive oversupply in condo's and housing.
                  Perhaps they could fill the empty beds with nice folk off the UK housing waiting lists.

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                  • #10
                    Originally posted by Charles View Post
                    Place is suffering from oversupply but they continue to build more hotels. This guy is not interested in Thailand, just Pattaya. He won't convince any government to help by saying tourists will just go elswhere in Thailand.
                    Samui and Phuket are in the same boat. Oversupply and poorly planned and regulated building beyond the potential capacity.

                    Greed is only good until you screw yourself over. Short sighted and over optimistic with a generous helping of graft. They deserve all the **** they get.
                    Prices are the natural governer of supply and demand. The strong hands with no debt will survive as they under cut the weak hands.

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                    • #11
                      Prices are the natural governer of supply and demand.

                      in a FREE MARKET .
                      http://thailandchatter.com/showthrea...ll=1#post45112

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                      • #12
                        Originally posted by Mid View Post
                        Prices are the natural governer of supply and demand.

                        in a FREE MARKET .
                        Somebody said in a previous post that the government approves most building permits. The only thing that stands in the way of free market prices is the government.

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                        • #13
                          Originally posted by socal View Post
                          Somebody said in a previous post that the government approves most building permits. The only thing that stands in the way of free market prices is the government.

                          Someone said!


                          So how come masses of posts but no pics? Edmonton is too dull this time of year?

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                          • #14
                            Originally posted by Delayed View Post
                            Someone said!


                            So how come masses of posts but no pics? Edmonton is too dull this time of year?
                            Doesn't surprise me that you failed Econ 101

                            Comment


                            • #15
                              So, the Phil tourist prices are higher than Patters only because of the Phil Government interferring?
                              Originally posted by Ergenburgensmurgen;n186588
                              What are you talking about, I don't post on Teakdoor.


                              https://thailandchatter.com/core/ima...ies/giggle.gif

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