Thailand's tourism sector in trouble?

By Lodewijk Lagemaat
Posted in Background
Tags: , ,
October 24, 2018

It is interesting to see how the composition of foreign tourists is changing. For many years, Thailand could count on a stream of tourists from Europe. That changed when the Russians visited Thailand five years ago with cheap charter trips.

Thai were faced with a certain cultural change. The bluntness of these people, undisciplined behavior in certain situations, not being able to speak another language led to friction in many cases. Due to the fall of the ruble a few years ago, the number of Russians visiting Thailand changed. The number of menus drawn up in Russian has also fallen sharply.

Instead, Chinese characters appeared on restaurants, condos for sale, and promotional offers. It takes some getting used to, because it is not always clear whether it is a Chinese restaurant or a restaurant that states its name or offer in Chinese.

However, Chinese restaurants do appear in a number of places, such as on Sukhumvit Road near the Chayapruek intersection. Not only because of the Chinese naming, but also because of the number of buses that are often parked there. However, the travel program prescribes a fixed order, so that it remains relatively quiet in other places.

Because the so-called free trips were banned and Thai guides were required to accompany them, there was a decline in the number of Chinese tourists. In China, corruption is dealt with severely, as a result of which a certain flow of money dries up. The Chinese economy is under pressure and travel now costs more than before. The gambling-hungry Chinese have no business in Thailand, in China it is also declining due to the containment of “black money”.

At first the Chinese were welcomed in Thailand with open arms, but the love has cooled down due to mutual misunderstanding. The necessary fatal accidents have also contributed to this. All this led to fewer visitors from China. It is possible that the new Chinese policy “Big Brother is watching you” contributes to the reduced influx of Chinese tourists, because not every Chinese is allowed to travel abroad.

President Vichit of the Association of Thai Travel Agents (ATTA) is now trying to turn the tide by means of visa measures, but the Thai government is unwilling to do so for the time being.

The Thai government would do well to consider how to re-establish the tourism sector as one of Thailand's sources of income.

42 responses to “Tourism sector in Thailand in trouble?”

  1. steven says up

    “That changed when the Russians visited Thailand five years ago with cheap charter trips. ”

    No, it had already changed when the Russians came. They could only come because there was room in the hotels because Western tourists came much less, partly due to the strong Baht and credit crisis in the Western world.

  2. butcher shopvankampen says up

    Whether or not justified criticism of the behavior of Russian and Chinese tourists would mean that we Western Europeans adapt and behave better? Look around Pattaya and Phuket and be disgusted with the Tattoo brigade from Europe. Sex/drink holiday.

    • l.low size says up

      That is partly true.

      There are always a few bad apples in a large group.

    • George says up

      Phuket and Pattaya are Muang Falang…Where did you go on holiday? Answer in Thailand Where? Phuket and Pattaya…. Seen little of Thailand and learned even less. That the capital of a province with the same name, which also starts with a P, may remain a secret to many for a long time.

    • steven says up

      Phuket is more than just Patong.

  3. Joop says up

    I think Thailand would also do well to relax its complicated visa rules.
    To give just one example, that crazy border run every 1 days.
    I have to drive 149 km from Loei with friends or taxi to the border with Laos.
    Complete a mountain of paperwork, visit counters for stamps, pay 1400 baht at Laos immigration and you're done.
    Back in Thailand after 45 minutes.
    They should explain to me what the point of this is.

    • RonnyLatPhrao says up

      Request an extension and then you don't have to do those crazy "border runs" every 90 days.
      You choose those “border runs”.

    • tooske says up

      Joe,
      We're talking tourists here, not long stayers
      Not everyone can afford a stay or vacation of more than 30 days.
      Within those 30 days it is very easy for Europeans free visa on arrival and no hassle with border runs.

    • ruud says up

      Most tourists do not stay in Thailand for 90 days.
      You apparently stay (semi) permanently in Thailand on a kind of visa, which is not intended for that purpose, otherwise you would go to an immigration office every 90 days.
      That is why you have to leave the country every 90 days.

    • jasper says up

      Joop, the answer is simple: the powers that be in Thailand are not interested in your presence. They would rather lose you, your contribution to the economy is negligible. For example, it has become more difficult to obtain a longer-term visa for Thailand in the Netherlands: I suddenly no longer qualify for a multiple-O non-residential visa at the age of 62. Do I have to wait until I'm 68, when I'm retired. Previously, 50 years old and wealthy enough.

      People don't really want foreigners at all, but if it has to be for the economy, then preferably for a maximum of 3 weeks, and spending a lot is the motto. The result is a huge decline, first Europeans, then Russians, and now also Chinese (minus 30%! this year), also because they have to pay 2000 baht for a visa on arrival.
      Thailand is hard at work pricing itself out of the market!

      • Rob says up

        And this is the only right answer, and it's been going on for years. Every year we saw tourism decline
        When we said how quiet it is, we were looked at with a smile, well no dude you think so?????
        We have always enjoyed going there.

        But then the lazer started being sent away every time for another piece of paper, very annoying, so that we outsourced it to an agency. They were also sent away every time, a disaster
        They couldn't be clearer.

        We had a great Thai landlord, a nice house, the climate, nature, the people, you just don't give up.
        But if you are no longer welcome, we will stay away, unfortunately.

        • chris says up

          Tourism to Thailand has only increased in recent years, not decreased. Just look at the numbers.

          • Cha-am says up

            Who are numbers?
            Even the Bangkok Post stated that in January and February last high season, hotel occupancy in Cha-am and Hua Hin, for example, was almost 50% lower than in other years

        • theos says up

          In the more than 40 years that I (may) stay here, I have never been sent away for a piece of paper. On the contrary, always good help and finding a solution to a problem.

      • ruud says up

        Then of course the question is whether this will also have consequences for the people in Thailand, who are not yet 68.
        My guess is that existing expats are unlikely to be affected by this arrangement, but it is something to keep in mind.
        Not extending your stay in time, or leaving the country without a re-entry visa, could get you into serious trouble.

      • Anti-Thai says up

        Hello Jasper
        You have said it well, as a 60 year old I also no longer get a Non immigrant O single entry, I now have to wait until I am 68.
        I now have a 35-day tourist visa for the first time in 60 years, I will now have to apply for a 30-day extension on the spot, but it will not surprise me that that has changed again. I'm getting very tired of changing the rules over and over again, getting stricter and stricter.

        Indeed they don't want western tourists who hibernate for 3 months or whatever, they've got it pretty high.

        Visa relaxing??? Never heard of it!! just make it nice and difficult then those "difficult" tourists will stay away, the thought seems to be.

        So I'm going to give them their way now, and won't come next time, fortunately there are other alternatives.

    • Leo Th. says up

      Dear Joop, the point is that the taxi drivers and civil servants are kept at work. For the rest, I agree with you that the recurring border run is a cumbersome legal measure. However, the article is about tourists and not about more or less permanently resident foreigners in Thailand. I also agree with Lodewijk Lagemaat to a certain extent that since the start of the Russian charters, in my opinion much longer than 5 years ago, things have indeed changed. On the one hand you had a number of (darlingly) wealthy Russians, who bought condos and bought shopping malls 'empty' and on the other hand hordes of Russians, who barely had anything to digest and in fact mainly benefited the local 7/11's and FamilyMarts . Although irrelevant to mention, I have never had or experienced any problems with it myself, but pavilion owners on the beaches and other catering entrepreneurs complained a lot because they earned significantly less from the average Russian than from the traditionally coming Western tourists. The composition of this Western tourist was already subject to change somewhat earlier. The global crisis had left its mark and the more expensive Baht also meant fewer middle-class tourists, but significantly more young people, who had a different spending pattern. In addition, Thailand regularly received negative news coverage, including due to jet ski and taxi scams, as well as government measures that were unpopular with many tourists, such as banning sunbeds and parasols on some popular beaches and even more or less closing beaches for a period of time. one day a week. All in all, a number of traditional tourists will have dropped out because of this, and Thailand's neighboring countries, especially Cambodia, which is developing rapidly in terms of tourism, will have taken part of the cake. However, tourism from the Middle East increased enormously, also a completely different culture than that of the European traveller. Water pipe cafe after another appeared in several streets in South Pattaya. Saw whole 'tribes' lurking on such a pipe, strange in that context that you can be fined for possessing an e-cigarette in Thailand or even go to jail in principle. The Chinese tourists had meanwhile also discovered Thailand. Came and come, although nowadays indeed to a lesser extent, still in large numbers, but almost always completely organized. King Power, the duty-free shop on Sukhumvit road in Pattaya, is thriving. I doubt whether the tourism sector in Thailand will be in trouble, as the headline of the article reads. Tourism has become much more widespread and the often long waiting times at passport control at the airports bear witness to this. The conviviality, as I experienced it years ago, is disappearing. I can still remember well and with pleasure that during a holiday in Pattaya I always took the boat to Koh Larn once or twice, which departed from the pier at the beginning of Walking street. On Koh Larn I sometimes rented a scooter from a waiter for 150 to 200 Baht and drove it to a beautiful, almost unpopulated bay where you could snorkel well. Such a thing is no longer possible today, now you can take a seat on the beach in a certain sector on Koh Larn, depending on your nationality. Statistics will eventually show how much Thailand earns from tourism, I am not aware of that. Some entrepreneurs, bar owners?, will die because of the change in the tourist flow, but others will benefit again.

    • Nicky says up

      Has nothing to do with the ordinary tourist. It won't last more than a few weeks.
      You are an expat. That is something completely different

  4. Michel says up

    Thailand is too expensive and has introduced many rules, no smoking on the beach, closing of the beach on Wednesday, closing time of the catering industry, was in Cambodia last year it is actually Thailand 20 years ago, you could easily stay there until the late hours staying on the beach, we were close to where the ferry sailed to islands.
    Cambodia is not expensive, we were in shanoukville and phon phen, really enjoyed it there, even in the capital you can easily buy a beer for 50 dollar cents, and the customer is still king.
    When I came back from Cambodia, I went to Pattaya for a while, but then you notice the difference, only the hotels in Pattaya have the same price, I think, but the nights out in Pattaya have become a bit different than before, mai sanook, found actually sai 7 in soi bukau is the nicest, beer 55 bht all evening still reasonably priced, so you see, it is possible, no 80 90 or 100 bht and free pool.
    Think Thailand should ask themselves what they really want, have been living here for 5 years now and see more and more people leave, don't know if they will resettle in neighboring countries, but what I did hear is that some of them are moving to Cambodia, because it is all easier to get a visa there.

  5. geert says up

    Relax visa rules and equalize costs I was recently at the beginning of the year visa rom chong chom cambodia first counter buy visa cambodia 1500 bath counter further stamp costs 400 bath obligatory finger prints I have 1 rheumatism so crooked fingers the officer was far from friendly wanted me wisely speaking of breaking the fingers to scan the fingertips then go to the other side of the road again stamps and scan fingertips again you are treated like a criminal was 4 weeks ago for a visa to Savannah Laos you buy a Laos visa there for 1500 bath and ask which hotel Have a nice stay, return to Thailand 3 days later, receive Thailand stamps and have a pleasant trip. I just don't understand visarun laos 1500 bath and cambodia 1900 bath

    • jasper says up

      Cambodia very simple: the visa costs 1600, and the “same day return, money in the pocket” costs 300 baht. I've thought about E-visa, but then you lose the same thing, and you have to deal with angry customs officials because they can't scam you. To my knowledge, they therefore once had to wait 4 hours, in the blazing sun. Just sayin.

  6. According to says up

    I have been visiting Thailand regularly (approximately 1974 times) since 35, and I am currently in Bangkok and have never seen so few Western tourists as now.
    Even here in the Kao San area it is quiet on the street as well as in the restaurants, hotels offer rooms with a 40 to 50 percent discount.
    What is the reason I don't know really strong bath, poorly maintained hotels , scoundrel taxi drivers ,
    High catering prices?
    What also counts is that the surrounding countries are cheaper and still have an authentic appearance and certainly much cheaper, nicer and larger hotel rooms.
    The Thai will have to make a quick switch to face an otherwise irreversible downturn in tourism!

  7. Marco says up

    Don't understand all that complaining as we come to Thailand with millions of tourists every year and find it strange that a country is no longer authentic.
    Everything becomes more expensive people are different etcv but we don't realize that we cause this ourselves.
    As if Amsterdam is still nice and authentic, do Thailand for me.
    And in the not too distant future, Cambodia will also be too expensive, but perhaps on a holiday in the horn of Africa nice and cheap and authentic.

  8. Marc says up

    It strikes me that we are seeing more and more discussions like this in Thailand Blog and Thai Visa.

    Two notes:
    a)
    Bureaucracy:
    Visa issues and other bureaucracy have now become hopeless. Why can we enter neighboring Malaysia for 90 days without having to fill out a piece of paper and stand in line for a stamp? Other so-called formal activities are also very annoying. Even opening a bank account is an adventure and instead of being a customer you are seen as unreliable and you have to do everything you can to get something done. Extend your visa...just take half a day. The Thai (directors) do not realize that long stayers in particular provide money and employment. Buying an apartment in your own name is still possible, at least if there are enough “Companies” in the complex. Buying a nice house (will always remain Thai). Non Thais pay double for a show or park, etc. Full discrimination. The perpetual filth of the streets, dangerous traffic and public corruption also contribute to the flight, which is in full swing. The smiles have disappeared, the dissatisfaction and jealousy can be read from the faces. So people do indeed choose other options. The beautiful, friendly country no longer exists. (still I'll stay a while)
    b) The economic value of the tourist:
    A Westerner (for example) who stays here for a year spends just as much or even more than 100 low-threshold Chinese who only stay here for 3-4 days. Unfortunately, the Westerner only counts for one and the Chinese for 100. “Thai statistics”.

    • Ger Korat says up

      I think Marc's story is enough to create mood. If you delve into the matter a little more, you will know that Chinese tourists spend the most per person per day in Thailand. In addition, there are many tourists from richer countries such as Japan, South Korea, Singapore and Hong Kong. And tourists from China, for example, pay 2000 baht x 10 million tourists = 20 billion baht for the Thai government for a visa on arrival. The Western tourist comes in as a freebie and can eat for free with the beautiful things Thailand has to offer. So it is understandable that the Thai government prefers to see many tourists from China because it yields more. And don't forget that in the Netherlands, for example, in the 80s and 90s and beyond, many people became acquainted with Thailand by joining a group trip. Later many returned one or more times as individual tourists; this will also happen later to the people from China. Previously, I could find a number of hotels in Bangkok where you could get a discount at the last minute because they were not full. I have been staying in the more expensive hotels for years now and sometimes they are fully booked months in advance by individual travelers, so no group trips, from countries in Asia. And that is why hotel prices are also going up because it is popular in Bangkok.

      • l.low size says up

        10 million tourists = 10 million Chinese??

        The western "freeloaders" especially the "short-timers" spent more than buses full of Chinese.
        With this group staying away, one bar after another closes and it becomes quiet as usual
        others have also noticed.

        The fact that the holiday market is constantly changing can also be seen in the large travel organizations in the Netherlands, which offer distant destinations at knock-down prices.

        Although the Netherlands has the best pension system in the world and the king reads in the speech from the throne that things are going well in the Netherlands, the average family and state pensioners have less and less to spend. That is why distant destinations are not immediately the first option!

        • chris says up

          Of the 30 million tourists to Thailand, there are indeed around 10 million Chinese.
          The group of 'freeloaders' still come but are increasingly looking for a partner for entertainment via an apps on their mobile phone than in the bar (the ladies know that too and don't go to the bar anymore): one of the main reasons, in my opinion, that the freeloaders stay away from the bar.

          • Geert says up

            Totally agree Chris. They are constantly busy on their cell phones and don't even look at passers-by anymore.
            Also here in CNX fewer and fewer bars and fewer visitors, “IT” is now happening online.

            This is not only true in Thailand but a worldwide phenomenon.

            • chris says up

              In addition, with the help of the various apps you can already meet a nice lady from home, via Skype or Whatsapp, before you go on holiday. Saves you a lot of time in Thailand and hopefully also money and disappointments.

        • Ger Korat says up

          The type of tourist and the associated expenditure are shifting. From bar hangers and beach sleepers from Europe to active tourists who like to shop, eat out and visit attractions. Just look at the increase in shopping paradises in Asia and therefore also Bangkok. Or the expansion of activities in Pattaya, for example, or the occupancy rate of the many restaurants and hotels in Bangkok. Just to name a few. The Thai tourism bureau has published several times about the spending patterns of tourists and this shows who the big spenders are, namely the people from China. I myself have a lot of experience in hotels and department stores in Bangkok: you are “flooded” with richer tourists from Asia. You only have to look at the sales of branded products in the world: three quarters of this is driven by purchases by Asian people with money. And all of the above is reflected in tourism, also to Thailand, and creates a different type of tourist. I find the reactions of some negative, as they say about people from China or India, for example. Look at the numbers from India with a comparable income to us Europeans: that will soon amount to a few hundred million people. The same applies to China. So accept that as a European tourist you will belong to a small group, a group that often has less to spend than people from China or India, let alone from the many countries whose average income is considerably higher than in the Netherlands or Belgium. such as Japan, Singapore and more countries.

    • Marc says up

      Facts are facts , whether you like them or not , I think Marc gives the right picture , of course the rose - colored glasses that many wear then give a bitter feeling , I hope the Thai learn from them and adapt .
      Visa can be much easier , they now have an excellent service in Hua Hin for the 90 day reporting obligation , why can not we get the same service for our visas ?
      And then everything else that Marc mentions such as buying a property in his own name could well be possible and would contribute a lot to the Thai economy , the hopeless traffic is a matter of control , controls that we see less and less here , for a signal to the Thai to hit the mark, not wearing helmets, driving through red lights, driving way too fast, in short, the violations can't stop!
      Hopefully they will do something about their beautiful country and stop all those illegal things , I like it here , but I look at those things with regret

    • Roel says up

      Mark,
      You see something wrong, the government would rather have 4 Chinese than 1 Westerner.
      The government collects the airport tax, which is included in the flight ticket. Each ticket contains 700 bath for airport tax, so for the government 4 times 700 is more than 1 time 700. What the tourist spends is of little use to the government, so it does not arouse their interest.

  9. Nicky says up

    Tourism is constantly changing all over the world. We used to go to Spain as Belgians. So cheap, Morocco, Turkey, Egypt, all countries where masses of tourists went.
    Then people again en masse choose Asia, or other continents. It will always change.
    If Cambodia or Vietnam get better infrastructure, masses of people will go there again.
    Until it gets more expensive there and becomes WAY too touristy.

  10. Frank says up

    According to me, this is not about visa runs being difficult or easy, but about the regular tourist decline every year. Thailand has priced itself out of the market. The Thais also suffer a lot from this, because they can no longer afford that beer or restaurant. So let's increase the prices further so that the tourist customers who can come anyway cover the costs. Then the patronizing regulations of no beach beds on Wednesdays and a smoking ban on beaches do not make many holiday families choose beautiful Thailand with its always friendly smile. Things are no different and will never be the same again, unfortunately. The large flow of Russians and Indians, Afghans, Iraqis, etc., who have built hotels, shops and sisha bars on every street corner has also made many Western tourists change their choice. The mentality and rudeness of the Russians who think they are allowed and able to do everything as a kind of god has really hurt Thailand and its residents in the heart and soul. While the Russians were held in high regard in the beginning, that has changed, the Thais have realized it, but hey, I think it's a bit too late. Keep hoping for better times. Still, I will soon get on a plane again, in the Netherlands I miss Thailand and my many Thai friends.

    • chris says up

      https://tradingeconomics.com/thailand/tourist-arrivals
      Look at the statistics. The number of tourists to Thailand is only increasing.

      Do you really think that the tourist who is not yet here knows exactly the price of a beer or the price of food in all the places he intends to visit? And if he was here last year, that he still knows the price exactly, orients himself on the current price and changes his destination in the event of a price increase?
      And as you yourself point out in your last sentence: there are many more reasons to come back than to stay away than the price of a beer and a plate of rice.

      • Tino Kuis says up

        Maybe you can find those numbers, Chris. I couldn't do it. Yes, the numbers of foreigners to Thailand are increasing. But are they tourists? Or day trippers from Malaysia, Laos or Myanmar who stop by to run an errand or visit friends or family? And the real tourists? How long will they stay? If they stay for an average of 8 days instead of 10 days, there is also a decrease of 20%. I want to know more than just the number….

        • eric kuijpers says up

          Tino, today in the BKK Post with the content 'to woo tourists back to Thailand' and especially the Chinese. So something is definitely going on.

          https://www.bangkokpost.com/news/general/1564402/new-tourism-stimulus-package

  11. kees says up

    It will undoubtedly be true that fewer Western tourists come to Thailand. I can only speak for Pattaya, and then only what I see with my own eyes. The bar owners are complaining about the decline. But compared to 30 years ago, there are now many more areas with bar complexes. The same goes for the hotels. For example soi 7/8. Sunshine and Flipper House now have many more rooms. Not to mention the Eastiny group. Now 5 hotels, 30 years ago none.
    Incidentally, there are many Indians among the Eastinys. Just look at how many Indian restaurants have sprung up in Pattaya. And if you speak to a Thai, they are very negative about the Indians in particular.

  12. kees says up

    must must be much.

  13. Eric says up

    We can only applaud fewer tourists in Thailand! Apart from money, there is no added value at all.

    • chris says up

      What a ridiculous statement if only because many and many expats decided to live here after years of visiting this country as a tourist.
      Eric also apparently has no idea of ​​the direct and indirect effects on employment and the improvement of the quality of life of many Thai citizens.

  14. Renee Martin says up

    People who have been coming to Thailand for some time remember that the exchange rate was much more favorable than now and the prices for products in supermarkets and nightlife have also risen significantly in recent years. I almost always bought my clothes in Thailand, but now less and less. Most tourists stay for less than a month and you don't hear them complain about visa problems. Personally, I think it would be a good idea to introduce a visa for winter visitors without too much hassle in the application procedure. This year for the first time that I was able to book rooms in Bangkok for Christmas and New Year in mid-October with high discounts and I think that is an indication of how things are going in the tourist sector.


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