Dusit International, a leading Thai hotel management chain, plans to operate 46 new hotels in 21 countries within three years.
Suphajee Suthumpun, chief executive of Dusit International, said the chain will strengthen its footprint overseas to expand its revenue stream and reduce dependency on hotel operations in Thailand. This should help the hotel chain achieve sustainable growth while maintaining Thai authenticity.
"We're not going to be a regional brand, but rather tap into the global market as we represent Thai hospitality," she said.
Dusit will mainly focus on its hotel management business because developing new hotels on its own is time-consuming and takes a while to grow revenue.
Among the 46 new hotels in the pipeline, Dusit expects most of them to be in the Middle East, Europe, Africa and Asia, especially China, Ms Suphajee said. Among the first will be a joint venture in Kyoto, Japan, with Japan-based Colour International. It is expected to start construction soon.
She said Dusit expects to generate more revenue from its assets overseas in the long term to reduce financial risk while enhancing competitiveness.
The company has clinched a deal to sell the franchise rights of its Dusit Princess brand to a Chinese property developer and expects to open the first franchised hotel in China this year.
Ms Suphajee said offering the Dusit Princess franchise rights is a new business model for the group that will contribute more revenue than the hotel management format.
"The franchise model will benefit us through organic growth and a wider brand exposure without any investment," she said.
The four-star Dusit Princess brand is the most suitable to roll out in China as the Chinese government is trying to eliminate corruption among politicians and they are prohibited to stay in five-star hotels on work trips, said Ms Suphajee.
Dusit also acquired a 9% stake last year in FavStay, a Thai online platform for rental accommodations.
FavStay is considered a Thai version of Airbnb, offering many types of accommodations ranging from condominiums to luxury villas. It has a central management centre to look after clients that face problems.
Dusit International manages 29 hotels in Thailand and 17 countries under four brands: Dusit Thani, dusitD2, Dusit Princess and Dusit Devarana. Dusit International is part of Dusit Thani Group, which specialises in hotel development and management.
Dusit Thani Plc just announced it is partnering with Central Pattana Plc to develop a landmark mixed-use project at its iconic Dusit Thani Hotel in Sala Daeng.
Ms Suphajee suggested the government support the Thai hospitality industry by providing training and education to enhance staff capacity.
"The tourism business is important to the country as it is one of the highest growth industries and generates a lot of income," she said.