The average revenue per available room in Thailand's hotels grew 15.4 percent to THB 2,232 in 2012 according to the latest data from STR Global. According to the report occupancy grew 10.0 percent to 69.2 percent and average daily rate (ADR) 4.9 percent to THB 3,226, both boosted by a 13.3% growth in returning demand levels. The report shows the strong recovery from the era of political turbulence and the severe flooring seen in the country, as Bangkok, Phuket, Koh Samui, Pattaya and Chiang Mai all recorded growth across all three metrics.
"The increase in hotel performance was underlined by the growing numbers of visitors to the country as Thailand welcomed 22.3 million visitors in 2012", said Elizabeth Randall Winkle, managing director of STR Global.
Home to the largest concentration of luxury hotels in South East Asia, Koh Samui achieved the highest ADR (THB 6,910) of the Thai markets, Koh Samui also saw strong growth in occupancy (+27.1 percent) and RevPAR (29.4 percent to THB 4,224). This was accelerated by exceptional demand growth (+31.3 percent), while supply saw a comparatively moderate increase (+3.3 percent). Cheng Mai stole the show with the biggest growth in RevPAR (+19.3 percent to THB 1,721) and occupancy (+13.4 percent) in 2012.
Although Hua Hin/Cha-Am was the only market to experience a decline in ADR (-2.2 percent); its RevPAR was sustained (+5.0 percent) by an increase in occupancy (+7.3 percent).
Bangkok saw the largest flow of new supply with 2,993 rooms opened last year giving a 4.3% bump. However, the capital still achieved the second highest demand increase (+15.6 percent) behind Koh Samui (+31.3 percent), followed by Chiang Mai (+14.3 percent), Hua Hin/Cha-Am (+11.5 percent), Pattaya (+9.8 percent) and Phuket (+4.4 percent).
"Tourism in places like Chiang Mai, located in the northern mountainous part of Thailand, is not as popular of a location as Bangkok and other sought-after beach destinations", Randall Winkle explained. "However, despite Chiang Mai having the lowest ADR (THB 2,825) of the key cities, it showed growth in all three performance metrics, illustrating promising demand for this market and type of destination".
- Friday 22 February 2013