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Phuket tourism revenue set to rise 10% amid European off-season surge

Phuket tourism revenue set to rise 10% amid European off-season surge
Phuket tourism revenue set to rise 10% amid European off-season surgeLegacy

Phuket is experiencing a notable shift in tourism patterns as European visitors increasingly opt for off-season travel, with tourism revenue anticipated to grow by over 40 billion baht, or approximately 10%, this year, according to the Phuket Tourist Association.

The association’s president, Thanet Tantipiriyakit, highlighted a growing interest among tourists from the UK, Germany, and France in visiting Phuket during the green season, traditionally considered off-peak.

“This shift in travel behaviour is promising. Direct flights from Europe, particularly from France, are on the rise. The number of direct flights is a crucial factor influencing tourist arrivals.”

Thanet projects tourism revenue in Phuket could increase by more than 40 billion baht (US$1.23 billion) in 2025, up from 498 billion baht (US$15.3 billion) last year, representing a 10% rise in value, although visitor numbers may grow at a slower pace.

Thanet also observed a significant change in traveller demographics, particularly from Asia. Chinese tourist arrivals decreased by roughly 50% during the last green season, while visitors from India rose by a similar margin.

“Chinese tourists have declined, but Indian tourists have increased by about 50%. The two groups also behave differently.”

Indian tourists generally stay in Patong and prefer Indian restaurants, often seeking vegetarian or non-meat dishes. In contrast, Chinese travellers, especially Chinese Free Independent Travellers (FITs), tend to explore the island more widely and spend more on food and shopping.

Consequently, some local restaurants and shops that previously relied heavily on Chinese spending have experienced lower sales, even though overall tourist numbers have not significantly dropped. Indian tourists typically shop less than their Chinese counterparts, meaning that even a small decline in Chinese arrivals can impact certain businesses.

Phuket tourism

Looking forward to the high season, Thanet noted that advance bookings are robust, particularly among international hotel chains, several of which have already closed sales for certain dates.

However, he urged caution due to global economic uncertainty and geopolitical tensions.

“If conditions remain stable, Phuket tourism should outperform last year. Private sector projections point to 10% growth in value.”

Sophon Suwannarat, the governor of Phuket, emphasised the importance of attracting higher-quality tourists.

“The current number of visitors, 13 to 14 million a year, is appropriate. The focus now should be on high-spending markets.”

Sophon highlighted the need for tourists who contribute economically through dining and shopping. He suggested targeting high-potential markets, such as Kazakhstan and China, through roadshows.

He also noted that Chinese tourists have started returning, with recent flights from Bangkok to Phuket carrying many Chinese passengers due to the school holidays in July and August.

A recent delegation visited Zhanjiang, Phuket’s sister city in China, to discuss reinstating direct flights to Don Mueang airport and eventually Phuket, reported Bangkok Post.

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