Hotels forecast vibrant holiday season

Hotels forecast vibrant holiday season

Fireworks are set to light up the skies again above the Chao Phraya River to welcome the New Year. PATTARAPONG CHATPATTARASILL
Fireworks are set to light up the skies again above the Chao Phraya River to welcome the New Year. PATTARAPONG CHATPATTARASILL

Celebrations and business events are expected to bounce back in November and December after the end of the government's request to tone down festivities over the past 12 months.

Supawan Tanomkieatipume, president of the Thai Hotels Association (THA), said foreign and local business organisations will run many events and celebrate the year-end season in the last two months of the year, with hotel and meeting room business bouncing back, as well as that for food and drinks.

Mrs Supawan said many companies and staff will organise annual meetings in November and December, saying farewell to the year with extravagant events.

"There were almost zero lavish events last December, but many events will resume this year," said Mrs Supawan.

The THA also predicted that more foreign tourists, particularly from Southeast Asia, China and Hong Kong will return to the country to celebrate the New Year in Bangkok and other major tourist destinations like Phuket, Pattaya and Chiang Mai.

With an influx of advanced reservations, the average occupancy rate for the hotel industry is expected to increase 5% from the last quarter of 2016 to 60% this year. Additionally, Thailand occupancy rate is expected to climb to 65-70% in 2017.

Nikolaus Priesnitz, area general manager for Anantara Hotels in Chiang Mai, Chiang Rai, Bangkok Riverside and Avani Hotel riverside in Bangkok, said hotel operators in the Chao Phraya River area will be buoyed by a large number of visitors during the coming festive season.

Since the government had asked hotel and entertainment businesses to tone down since October of last year, hotel businesses in the area had taken a hit through September, although they started rebounding this month.

"We have seen very strong forward bookings made over the last two months and also for the first quarter of next year, mainly from Europe and in the Mice [meetings, incentives, conferences and exhibitions] segment," said Mr Priesnitz.

He said hotel business along the river will grow significantly over the next few years thanks to more huge real estate developments, including the higher-end shopping mall Iconsiam, which is scheduled to open in 2018.

For years, several night bazaars such as Asiatique the Riverfront and Yodpiman have attracted foreigners and locals for New Year's celebrations.

While hotel operators located on the bank of the river offer over 5,000 rooms, Mr Priesnitz said each player will have their own target market.

In the Ratchaprasong and Ploenchit areas, Plaza Athenee, a Royal Meridien Hotel, was rebranded and upgraded to Athenee Hotel, a Luxury Collection Hotel, starting from Oct 6, 2017. The room rate at the hotel rose 10% after rebranding, with prices starting from 6,000 baht per night.

The average occupancy rates for hotels in the Ratchaprasong and Phloenchit areas have climbed by 4% over the past eight months to 80%.

"Hotel business will rebound during the last two months of this year because foreign tourists will return to Thailand for the year-end season," said Chooleng Goh, complex general manager of Plaza Athenee and Le Meridien in Bangkok.

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