TO DISCUSS YOUR PROJECT OR LEARN MORE ABOUT OUR SERVICES:

  • This field is for validation purposes and should be left unchanged.

Asian Resort Trading Downturn

Category: Hotels, Posted:06 Mar 2015 | 14:32 pm

For many Phuket hotels, this year's peak season effectively ended after the Christmas/New Year period.
Anxious hoteliers have been pointing to the ongoing beach issue as a key driver of negative demand, yet looking at regional numbers there is a far broader issue at play.
As TTG's Raini Hamdi tallied in at ITB in Berlin yesterday, Asia's most lucrative resort market, the Maldives is currently experiencing a marked decline in trading levels.
China which is the island nation's leading inbound market has seen year-on-year retraction starting in September of last year and has continued unabated through January.
Hamdi has spoken to wholesalers who are now offering deep discounting to induce business levels back.
Currency of course remains the new elephant in the room for Asian hotels, given a strong US Dollar and devaluation of a number of global currencies.
Russia of course is on a decided downturn with little short term relief.
Yesterday's travel headlines highlighted the emergence of Lufthansa's new low-cost airline carrier Eurowings later this year.
Reportedly the carrier will offer cheap flights to Bangkok and Phuket back of a strategy that is aimed at tackling the rising tide of Middle East airlines who are increasingly capturing market share from legacy operators.
In the first few months of the year as hotels are reporting volatile trading with the exception being Chinese New Year, deceptively destinations such as Bali and Phuket are showing increased passenger numbers compared to the same period in 2013.
While airlift is a key metric to track tourism, the reality on the ground is that peripheral rising locations such as Khao Lak, Lombok and the Gili islands are seeing rising visitors vis a vie transient traffic.
At the same time strong increases in new hotel supply, surging non-traditional accommodation such as condominium hotels and villas and urbanizing local populations are increasingly taking up those airline seats.
Equally at play is a dynamically shifting marketplace with more regional and domestic traffic, which is equating to a shorter average length of stay, hence supply and demand are at odds with each other.
Expect more of the same, as rising competition on pricing is expected to create a far broader competitive sector and Phuket's hotels are faced with a far wider field of predatory challenges.

Other News

Read more

RISE 2025 Event Announced – Reshaping Hospitality by Empowering Women

Category: Hotels|Tourism, Posted:03 Jul 2025 | 07:30 am RISE 2025 – Reshaping Hospitality by Empowering Women is a full-day learning and development event dedicated to advancing women in hospitality. Centered around the theme of rising together, the event provides an inspiring platform for career growth, skill-building, and meaningful dialogue. Attendees will experience a dynamic day that includes a main keynote session, practical workshops, […]
Read more

New Asia Branded Residences Market Report Released by C9 Hotelworks

Category: Hotels|Real estate, Posted:24 Jun 2025 | 10:13 am Branded Residences in Asia climbs to a historic high of USD30.7 billion, with Thailand leading by market share, according to C9 Hotelworks new report. Of note, Vietnam is forecasted to lead Asia with one in four branded residence units, recorded as the region’s largest pipeline in data from the newly released Asia Hotel Branded Residences […]
Read more

Session Videos From Being Thailand 2025 Wellness Event

Category: Hotels|Tourism, Posted:16 Jun 2025 | 12:05 pm In case you missed the Being Thailand 2025 event in Phuket on 19th May 2025, we are circulating videos of the main stage presentations. C9 Hotelworks is proud to have co-organized with QUO Global and Mrs B Group this amazing full-day active event about wellness, wellbeing, and tourism. Over 600 people registered for the event, […]
SiaJai logo

Thailand's Leading Homecare Marketplace