C9 REPORT Phuket Arrivals Forecast To Top 4 Million In 2011

Posted: 09 Aug 2011 | 6:00 am

C9 Hotelworks has released the Phuket Hotel Market Update Mid-Year Edition 2011, which highlights that Patong edged into the mainstream hitting 82% occupancy in H1.

In light of shifting market conditions, the first half 2011 proved that Phuket is successfully gaining an increasing share in the mass tourism era. Visitor arrivals at Phuket International Airport jumped 20% vs. H1 2010.

The island has shown the ability to adapt in a dramatic transformation in guest demographics. These changing faces are tourists from China, closely followed by Russia, The two accounted for 25% of the total market. Looking ahead, this ratio is expected to become more prolific.

Hotel wide performance helped the bottom line as RevPAR grew 16%. A key driver was trading volumes derived from Chinese tour groups and the crowded Pegas Touristik buses, rather than room rate uplift.

The vibrant Patong area was busiest as over 80% of its supply sits in the midscale and budget/economy segments. Conversely, luxury hotels are flying into a headwind, with challenging rate an occupancy issues.

Somehow broad Phuket tourism has gone into a retro stage where tour groups, wholesalers and mass movement of visitors are once again the norm rather than the exception. The question remains are we at the beginning or end of a new cycle?

To download a full copy of the report CLICK

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