Hotels located by the Chao Phraya River are suffering from the fresh coronavirus outbreak as the domestic market avoids Bangkok, which has been designated a red zone with strict rules.
As borders remain closed, the Bangkok tourism market has shifted from foreigners to domestic travellers from provincial areas visiting the capital, with some growth recorded before the New Year holiday, said Daecha Tangsin, executive vice-president of Ramada Plaza Bangkok Menam Riverside.
Bangkok is one of the 28 provinces countrywide defined as red zones, meaning they must follow stringent virus prevention controls, according to the Centre for Covid-19 Situation Administration (CCSA).
Every high-risk activity or event scheduled to take place in hotels, which includes banquets, meetings and seminars, has been cancelled in line with the CCSA's regulations, he said.
Many provinces have also imposed travel restrictions for people who come from red zones, including a 14-day quarantine period, prompting local tourists to postpone or cancel their travel plans until the situation improves.
The occupancy rate of riverside hotels, which have around 8,000 rooms, is expected to plunge to single digits with no new bookings.
"Given the situation is so fluid at the moment, it is difficult to predict the outlook," Mr Daecha said.
"Hoteliers continue to closely monitor the outbreak and tighten our belts, such as scaling down hotel operations, as we did last year."
Prior to the latest outbreak, many hoteliers only had sufficient income to stay afloat without generating any profit, in some cases losing money, he said.
Mr Daecha said the government should help the tourism sector by implementing a corporate tax deduction to ensure cash flow and support 50% of workers' monthly salary by means of a co-payment scheme.
He said the government and tourism-related agencies have to continue working on a plan to keep Thailand as a favoured destination for international tourists.
In terms of long-term preparations, the government should promote tourism campaigns in the international market once the country is deemed safe to reopen, said Mr Daecha.
Ramada Plaza Bangkok Menam Riverside is part of the Bangkok Riverside Marketing Partnership, a business grouping of hotels and restaurants based near the Chao Phraya. The group was founded in 2014 to gather hoteliers and eateries to work on marketing campaigns targeting the international market.
He said the "We Travel Together" campaign for accommodation and air tickets should be extended until the end of 2021 as many people are not allowed to travel right now.
