Bangkok’s hotel industry is on a sustained growth curve, aided by political stability and strong inbound travel demand from international visitors. The city has seen its strongest performance in recent years in this year with greater demand for meetings and exhibitions.
Jesper Palmqvist, STR’s area director Asia-Pacific, said at the Thailand Tourism Forum: “Thailand has seen a lot of ups and downs over the past 10 years but it’s on a clear path of growth in the hotel sector.” Bangkok’s hotel industry has demonstrated a steady rise of its average daily rate and occupancy rates in the past three years. RevPAR, for instance, broke 10-year records for 10 months out of 12 in 2017.
A HVS Market Pulse report states that the overall stability in the market has contributed to the strong performance of hotels during the first two quarters of 2018. The projection for the remaining months of 2018 is bullish, with the political stability in the market since elections have been postponed.
Robert Maurer Loeffler, general manager and corporate director of operations at Centara Grand and Bangkok Convention Centre at CentralWorld, explained: “Our Bangkok properties are enjoying a positive 2018. The first quarter was particularly strong and we have seen year-on-year growth in both occupancy and rates. Transient business has driven two-thirds of the total while growth in the group segment has been led by double-digit increases from wholesale group business. The remainder of 2018 is looking equally positive and while the transient growth will continue its trend from the first half of the year, the groups’ growth will be driven by increased MICE business with other group segments remaining constant with last year. We hope to enter 2019 pacing ahead of prior years, too.”
The addition of new branded room will enter the Bangkok market soon, including brands like Capella, Edition and Four Seasons, to augment the city’s luxury segment.