Domestic tourists up 9% YOY, but likely to miss THB1tn revenue goal

The number of domestic travellers in the first nine months of this year crossed 148.02 million person-trips, increasing 8.98% year on year, the Tourism Authority of Thailand (TAT) reported on Tuesday.

These travellers have generated income to local tourism businesses at around 702.52 billion baht, increasing 12.63% compared with the same period of the previous year, it said.

TAT estimated that total domestic tourists this year could exceed 200 million person-trips, and could even reach 230 million, said Nithee Seeprae, deputy governor for marketing communications.

“Thanks to upcoming holidays and festivals in the last quarter, including the school break, Loy Krathong, and New Year’s Day, the 200 million person-trips milestone will definitely be achieved,” he said.

However, he believes it is unlikely that spending by domestic travellers will meet the TAT’s target of 1 trillion baht. From the current trend of spending this year, total revenue from domestic tourism will net around 950 billion to 970 billion baht, he said.

Thai travellers are spending more carefully this year amid rising costs and stagnant economy, averaging at around 3,000 baht per person per trip, Nithee said.

The TAT listed seven factors contributing to missing the 1-trillion-baht revenue target:

1. High cost of living and household debts have prompted people to be more careful about their spending, as well as switching from overnight stays to one-day trips to save cost.

2. Fluctuating energy prices have discouraged Thais who travel in their own cars. This group accounts for about 80% of domestic tourists.

3. Several Thais prefer taking an overseas trip to experience different climates, cultures and cuisines.

4. Prices of domestic tickets and accommodations have increased, in some cases to the same level as overseas tickets and hotels, prompting travellers to choose the latter instead.

5. Certain countries, such as China, have been offering free visas and other discounts to attract Thai tourists.

6. Airlines have been opening more new routes to overseas destinations while offering competitive prices.

7. Flooding and rising air-pollution levels have led more Thais either to stay home or take overseas trips during holidays.

According to TAT reports, the 10 most popular provinces among domestic travellers and estimated tourism revenue in first nine months are as follows:

1. Bangkok, 22.5 million person/trips, 127.8 billion baht

2. Chonburi, 11 million, 74 billion baht

3. Kanchanaburi, 10.9 million, 24.9 billion baht

4. Prachuap Khiri Khan, 8.1 million, 31.9 billion baht

5. Phetchaburi, 8.1 million, 24.7 billion baht

6. Ayutthaya, 6.6 million, 14.1 billion baht

7. Nakhon Ratchasima, 6 million, 11.4 billion baht

8. Chiang Mai, 5.5 million, 47 billion baht

9. Suphan Buri, 4.9 million, 7.9 billion baht

10. Samut Songkhram, 4.8 million, 5.2 billion baht