News Forum - Survey shows over half of Thai hotels are considering closing due to low demand

[Thaiger]

A survey conducted by the Bank of Thailand and the Thai Hotels Association shows that 52% of hotels are considering closing temporarily and 9% want to shut down for good. 62% plan to reduce their workforce costs as a result of the financial fallout from Covid-19, while 61% say they will cut expenditure elsewhere. The Bangkok Post reports that the survey was carried out between August 13 – 28, with 234 hotel businesses participating. 14 of those are alternative state quarantine facilities, while 5 are hospitels. 38% of Phuket properties said the number of foreign tourists arriving on the island […]

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[DoUKnowWhoIAm]

6 minutes ago, Thaiger said:

52% of hotels are considering closing temporarily and 9% want to shut down for good. 62% plan to reduce their workforce costs as a result of the financial fallout from Covid-19,

Considering? Plan to?  Time to face reality, A BIT overdue....

[Griff1315]

I think a real accurate survey would show that over 52% have already closed.

[Lowseasonlover]

I would say more than that when I drive around the island, the jungle is taking over

[EdwardV]

4% in Samui, and 15% in Phuket is pretty brutal. No wonder they are begging for Thailand to drop so many requirements and costs. 

[AdvocatusDiaboli]

11 minutes ago, Griff1315 said:

I think a real accurate survey would show that over 52% have already closed.

No it’s 52% of those remaining open will close. Those that have survived and are open since the posted the last survey a few months ago.

[gummy]

Just now, AdvocatusDiaboli said:

No it’s 52% of those remaining open will close. Those that have survived and are open since the posted the last survey a few months ago.

So around a quarter of the original total then will remain.

[TheDirtyDurian]

Double vaccinated person here unable to enter Thailand under Sandbox eligibility rules, and unwilling to do ASQ again. 

 

Open the country up to more than the 70 currently eligible for Sandbox if you want more people Thailand. Zero sympathy. 

[AdvocatusDiaboli]

6 minutes ago, gummy said:

So around a quarter of the original total then will remain.

Hard to say ….. figures from last published survey in the Thaiger.

According to a Nation Thailand report, a total of 188 hotels around the country took part between April 12 – 26. Among those surveyed, 30 properties are serving as alternative state quarantine facilities.

The poll shows that 56% of hotels have seen their liquidity drop by 20% compared to last month, as a direct result of the Covid-19 resurgence. Meanwhile, 47% say their liquidity is such that they can only remain open less than 3 months. Of the properties surveyed, 46% remain open as usual, while 13% have closed temporarily. Most of the shuttered hotels are in the south of the country and consist of properties that would normally attract foreign tourists. 

They managed though to find more open hotels to participate in this recent survey though. 

 

[longwood50]

Who could possibly be staying at the hotels now?  In order to get into Thailand you must be vaccinated and then spend 15 days in quarantine.  The only people at the hotels would be those in quarantine.  Who is truly a tourist and would spend two weeks at their expense to then vacation in Thailand. 

One thing is for sure and that is if Thailand ever opens up to tourism again, there may be far fewer hotels for people to actually book since once bankrupt the hotels will lack the money and staff to re-open

[Chaimai]

11 minutes ago, longwood50 said:

Who could possibly be staying at the hotels now?  In order to get into Thailand you must be vaccinated and then spend 15 days in quarantine.  The only people at the hotels would be those in quarantine.  Who is truly a tourist and would spend two weeks at their expense to then vacation in Thailand. 

One thing is for sure and that is if Thailand ever opens up to tourism again, there may be far fewer hotels for people to actually book since once bankrupt the hotels will lack the money and staff to re-open

 

 

Loads of people coming in through the Sandbox......no quarantine.

[AlexPTY]

15 percent occupancy rate. I don't know how they could even stay opened. Market economy eventually will kill businesses which will not be able to adapt. Not just hotels. In places like Pattaya, massage and hairsalons numbers were outrageous. I don't think that old days will come back, at least for tourist locations. In Bangkok, hotels running ASQ are pretty busy. 

[Bob20]

The market regulates itself. Except for that it's a disastrous external factor with the virus, the mechanics are no different than usual.

Supply and demand.

I was asked to invest in a new coffee shop 3 years ago because it was "very lucrative". When I politely declined because there were three other coffee shops within 50 meters, they went ahead anyway. Have a guess whether it's still there? You get two guesses because I'm in a good mood

And as far as the survey goes, more than 9% are already permanently closed and more than 52% are already temporarily closed. So sounds like they've done a survey on what's not yet gone bust and that the numbers are "massaged" again.

[AdvocatusDiaboli]

2 minutes ago, Bob20 said:

So sounds like they've done a survey on what's not yet gone bust and that the numbers are "massaged" again.

Maybe the 188 hotels that were surveyed in April were not the same 234 hotels that participated in the survey this time. If they used the same hotels as in April there would be some good statistics, like how many actually survived the 3 months. I would be interested to know if the 234 hotels surveyed this time were SHA+ on Samui and Phuket.

[Bob]

Oh I do look forward to being well and truly fleeced when we are finally allowed to return to Thailand. Thai mentality will be running wild with their prices. Scam the falang 

[TheDirtyDurian]

3 hours ago, Chaimai said:

Loads of people coming in through the Sandbox......no quarantine.

Well, less than 500 a day on average. I wouldn't call that loads.

[BraveNewFahrenheit]

3 hours ago, longwood50 said:

One thing is for sure and that is if Thailand ever opens up to tourism again, there may be far fewer hotels for people to actually book since once bankrupt the hotels will lack the money and staff to re-open

Not just hotels and not just Thailand. Small business has been ruined by this and most entrepreneurs world wide have taken good notes on how govt's treat them say as opposed to the big box stores that were allowed to remain open.

[Chaimai]

2 hours ago, TheDirtyDurian said:

Well, less than 500 a day on average. I wouldn't call that loads.

 

 

I call it loads.............most finding their way onto longer stays elsewhere in the country.

 

You missed my point that there is no need to suffer quarantine by using the Sandbox experiment.

[TheDirtyDurian]

18 minutes ago, Chaimai said:

I call it loads.............most finding their way onto longer stays elsewhere in the country.

You missed my point that there is no need to suffer quarantine by using the Sandbox experiment.

Except that not everybody is eligible for the sandbox, so many people would have to do ASQ. No choice. 

And 28k a month is loads, compared to what?

Phuket used to get 28k a day!!

[Yinn]

Chinese people buying thai hotels. You will be shocked how many looking.
But only buy cheap, cheap price. sticky.

A lot hotel owner is very rich. They can wait, not sell. No debt. No problem.
But if have debt is problem. Bank take my friend Phuket hotel last week. He fight court now. Pressure so much.

Billion Chinese people. When covid control they will full again.

[JackIsAGoodBoy]

After the initial lockdown of spring 2020 it was clear this was no plague or ebola. The risk of dying of Covid for healthy under 50 years old is very low, around 0,005 percent. Under 30 practically the same as dying of an influenza virus.

The branch Covidians, pygmy wannabe fascists, Karenists and of course rabid Wokenati in the US overreacted so badly the economies will soon collapse or at least very deep recession straight ahead.

I'd bet at least 25 percent hotels and 50 percent of bars in Thailand have been closed permanently since 2020 March. Not to mention all the other jobs gone related to tourism industry. 

Edited September 8, 2021 by JackIsAGoodBoy

[longwood50]

7 hours ago, Chaimai said:

Loads of people coming in through the Sandbox......no quarantine.

 Phuket offers something for everyone on all budgets, attracting over 9.2 million tourists each year

 

Only over 20,000 tourists have come over the past two months since the Phuket Sandbox was launched," said the vice-president of Phuket Tourism Association, Nanthida Atiset.

You must work for TAT with the "loads of people" comment considering on average Phuket gets normally 150,000 over a two month period of time and now it is 20,000

 

 

[Lawyers_Guns_and_Money]

12 hours ago, TheDirtyDurian said:

Double vaccinated person here unable to enter Thailand under Sandbox eligibility rules, and unwilling to do ASQ again. 

Open the country up to more than the 70 currently eligible for Sandbox if you want more people Thailand. Zero sympathy. 

A fully vaccinated person can now eat at a restaurant in Bangkok after spending the day working in a crowded office. But a fully vaccinated tourist in Bangkok needs to spend 14 days quarantined upon arrival. So...that's a non starter for me. 

[Bob20]

Maybe it's just me, but why always the nonsensical number game?

It's unimaginable that I purchase 12m doses Sinovac, and not know exactly when they arrive.

Planning needs to be done now, so that they can be jabbed the next day.

I also don't understand why 8.5m tests are ordered. After many delays and not even knowing if they're any good, they will be tested after they arrive, losing more time. I'd have ordered 100 quickly many weeks ago, tested them already, and if they pass then order the 8.5m.

Why not a press conference? Say: Get ready for the next X weeks. We're not going to fiddle in the margins. Stay safe, don't spread the virus. By X date we will have 70-75% of the population fully vaccinated because on date X, Y and Z we're getting vaccines. Two weeks later we open the country. To everyone who is vaccinated and without extra rules.

It's the least risky and most simple way.

For every baht they plan to earn before then, they spend 2 baht in preparation and damage control for everything that goes wrong. Plus the small earnings never reach the people who need it most, so they may as well stay safe and wait a few weeks longer and then start with confidence.

People also need to understand that once they are vaccinated and the country opens up, the numbers of positive tests will shoot up, but the number of hospital admissions and deaths will reduce. And that most of the casualties will be the unvaccinated. So they need to ensure that everybody can get the jabs if they wish, and the ones that choose not to accept the risk.

[TheDirtyDurian]

2 hours ago, Lawyers_Guns_and_Money said:

A fully vaccinated person can now eat at a restaurant in Bangkok after spending the day working in a crowded office. But a fully vaccinated tourist in Bangkok needs to spend 14 days quarantined upon arrival. So...that's a non starter for me. 

Couldn't agree more. 

I hope something changes soon, but I'm not hopeful. I hated ASQ when I did it before and I'm loathe to spend the cash to do it again. But even worse than that it's the waste of time. I'm looking at 6 weeks vacation 2 of which will probably be spent cooped up. 

I'm done with Thailand after all this.