Travel

Thailand tourism booming

Banyan Tree Phuket's Double Pool Villas.
Banyan Tree Phuket's Double Pool Villas. Supplied

WITH tourism numbers surging, Phuket Airport is expecting a record four million passenger arrivals this year.

According to data released today in C9 Hotelworks’ Phuket Hotel Market Update, arrivals to Asia’s leading resort destination in the first half of the year increased 20% over the same period in 2010.

Numbers are straining the handling capacity of the airport with Airports of Thailand expecting 7.95 million passengers (including domestic passengers) this year, which will exceed the stated capacity by 22%.

A US$164 million expansion plan that will increase handling to 12.5 million by 2014 will only start construction next year and tourism operators are increasingly concerned over mounting delays for travellers.

The island's top five tourism source markets (in order) to date for 2011 are China, Russia, Australia, South Korea and Sweden.

A leading indicator in the cyclical development was shown in 2010 when charter flights hit their highest ever level. This equated to a 153% increase in year-on-year growth.

As guest demographics evolve, the Patong area which accounts for 35% of the 43,571 accommodation rooms on the island, produced an occupancy rate of 82% in H1 2011, with China and Russia now taking a quarter share of the market.

“First half trading by volume markets saw a surge in Phuket’s average occupancy across all hotel tiers to 73%. Key market metric RevPAR (revenue per available room) moved up to its highest level since the global financial crises in 2008,” C9 Hotelworks’ Managing Director Bill Barnett said.

“As long as the infrastructure keeps pace with the increased numbers of tourists and expansion of
hotels and faculties are well planned and implemented, hotels will be able to properly manage their room rates in line with the supply and demand dynamics.”

The report shows investment into Phuket’s hospitality sector has strong positive business sentiment with a supply pipeline for the island of 6,968 rooms. This will see an increase of 16% by the end of 2014.

Looking towards the future Mr Barnett added: “Increasingly the number of existing hotels will face the necessity to upgrade, rebrand or downgrade market position. While transaction activity is expected to remain active.

“In this business, either you move forward or go backward, there is no standing still.”

>>Read more travel

Topics:  phuket, thailand, tourism




Join the Community.

Get your local news, your way.

Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

Humpback whales sighted off Ballina coast

The first humpback whales heading north to the Great Barrier Reef have been spotted off Australia’s east coast. 
Photo: Southern Cross University

HUMPBACK whales spotted off Ballina and Byron

Huge support for Lismore-raised mum fighting cancer

FAMILY UNITED: The Pollard family is currently in Brisbane as mum Carly Pollard (left) fights leukemia alongside children Zane (middle), twins Ruby and Lincoln, and husband Andrew.

Community backs young mother of three fighting leukemia

Latest deals and offers

British family bashed in Thailand

Family beaten and kicked unconscious by gang in Thailand.

Family beaten and kicked unconscious by gang in Thailand.

Ben Hunt wary of Sharks Halfback

Ben Hunt of the Broncos looks to pass during the round 23 NRL match between the Brisbane Broncos and the St George Illawarra Dragons at Suncorp Stadium.

Ben Hunt talks about Cronulla's Chad Townsend.

Logan Wilson

Lismore 21-year-old Logan Wilson talks about life without a job and his journey to...

How a sacked real estate agent made $725k in four months

Agent is now under investigation by the industry watchdog

10 ‘must-see’ open homes on the Northern Rivers this weekend

McGrath Ballina have listed this home at 19 Stonehenge Place, Lennox Head.

Looking for a new home? Then check out this list.

VIDEO: Art Deco fan pays $835,000 for Imperial Hotel

No Caption

Iconic "Impy" sold at a bargan price to bidder who loves Art Deco.