Surge in Chinese Tourists Sparks Business Opportunities; Thai Hotels Plan to Raise Prices Next Year

▲Thailand, rich in religious, historical, and cultural heritage, attracts many Chinese tourists every year. The photo shows Wat Arun, known as the "Eiffel Tower of Thailand." (Photo / Taken fromWikipedia)

Travel Center / Comprehensive Report

With the rise of China, more and more mainlanders have the financial means to travel abroad. Thai hotel operators are optimistic about the future potential of the Chinese tourist market in Thailand and plan to increase room rates starting next year.

According to a recent survey conducted by the travel booking website “Trip Advisor” among Thai hotel operators, over half of them have plans to raise prices. Among them, 30% of operators stated that the top three sources of foreign tourists visiting Thailand currently include China, and they expect this number to double within the next three years. At the same time, the number of independent Chinese travelers continues to grow, and their spending power is significantly higher than that of group travelers.

Another well-known international booking website “Hotel.com” also conducted a survey on the countries with the highest global spending power in 2012, with China topping the list with as much as $102 billion, an increase of over 40% compared to 2011. “Hotel.com” believes this is due to the effect of rising incomes among China's middle class.

“TripAdvisor” also conducted a survey among Thais on the topic of “whether they plan to travel domestically next year.” Although over 90% of Thai respondents said they have plans for domestic travel, 41% indicated they want to reduce spending during trips, and 43% said they want to shorten their travel duration. Therefore, even though the business opportunities seem huge, the price increases by hotel operators will inevitably affect locals’ considerations about undertaking domestic trips lasting two days or more.