Savills

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Thailand Hotel Market Snapshot June 2020

Thailand tourism industry has been performing exceptionally well over the last decade, and in 2019 Thailand was the second most visited country in Asia Pacific, recording 39.8 million international arrivals.

 

While international tourist demand has increased significantly, Thailand domestic travel demand has remained stable, accounting for 75% of total visitors over the last five years.

Similar to the rest of the world, Thailand is preparing for hospitality industry recovery step-by-step by focusing predominantly on the domestic market, given that international travel recovery is wholly dependent on the lifting of travel restrictions imposed as a result of the COVID-19 pandemic.

On May 25, the government launched the “Amazing Thailand Safety and Health Administration: SHA” certificate scheme. This certification will be issued to qualified establishments with the aim of better-ensuring the safety of hotel guests, enabling domestic travel to recommence in the short term and international travel in the long term.

As all or most hotels including international hotel chains are expected to reopen in July, the Thai Hotels Association (THA) urges them to offer promotion to attract domestic customers. Some hotels conducted the marketing campaign “Buy now, stay later”, offering approx. 40-60% discount. Thai tourists’ purchasing power in June and July will be monitored and act as a deciding factor for the government’s upcoming plan to promote tourism.