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Phuket airport copes with surging numbers while terminals are going up

Airport Tourist Tally Defies Revenue Dip

Thursday, June 4, 2015
PHUKET: The mystery of the moving tourists intensified today with latest figures from Phuket International Airport revealing a 14.90 percent boost in traffic last month compared to May 2014.

While resorts and businesses in Kata-Karon recently bemoaned a dip in revenue, the turnstiles at Phuket's main tourist inlet keep ticking over faster than a human trafficker's bank account.

It was the largest year-on-year increase for 2015 so far, even though the total arrival and departures figure of 930,231 dipped below one million for the first time since November.

Domestic travellers aided the surge more than international visitors. The domestic figure soared by 19.96 percent, while overseas numbers nevertheless did well by jumping 10.71 percent.

May in 2014, remember, was the month that the generals took charge in Thailand, ending street protests and uncertainty, so an increase this year amid stability is hardly a surprise.

The rolling total of 8,632,230 passengers since September 2014 indicates Phuket International Airport is continuing to push the envelope while new terminals go up around it.

Bear in mind that the figure is for arrivals AND departures so cutting the May figure in half means that roughly 465,000 ''tourists'' visited Phuket in that time - and the tally includes local residents taking trips.

Just how some tourism industry authorities get the figure of 12 million tourists visiting Phuket in 2014 is difficult to imagine. It's the same over-the-top calculation used by investment banks and condo development boosters to encourage buyers.

Bear in mind that survey-takers reckon 18.24 million foreign tourists visited Bangkok last year. Even with direct flights to the holiday island, our estimate is that Phuket's tally of overseas tourists for 2014 possibly topped three million.

You wouldn't really want four times that number suddenly occupying buses on Phuket's roads, would you?

Comments

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It's no big mystery. If you before have 1.000 Europeans staying 20 days and 1.000 Chinese/Asians staying 4 days you have a combined days of 24.000 days. We can reduce Europeans with 25% and increase Chinese/Asians with 50%. You would increase arrivals by 12,5% but still reduce days tourist stay with 12,5%. Also think about the difference in spending behavior. Many existing businesses will have problems.

Posted by Anonymous on June 4, 2015 13:36

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These figures are pure fantasy. Phuket is dying on its feet. Even a blind man can detect the fall-off in numbers.
Last year, despite the coup in the latter half of the month, the island was still reasonably bustling. This year its deafeningly quiet with hotels, restaurants, bars, and even souvenir shops hurting very badly.
It's taken 10 years to destroy Phuket's tourism industry and it'll probably take another 10 years of lies before the authorities finally admit it. Too late by then, of course.
Would the last official turn out the lights, please. If not already affected by a power cut.

Posted by jimbo34 on June 4, 2015 14:16

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Arrival numbers keep on hitting record highs and tourist numbers on Phuket have nosedived.

Since neither Krabi nor Khao Lak are reporting record occupancy numbers either, I can't help but to wonder where do all these people go ?

Posted by Herbert on June 4, 2015 14:40

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I flew through HKT airport a few times in May, domestically and internationally. Being a regular traveller I can say I have never seen the aiport so quiet, no queue at immigration, no queues to check in. Clearly I was not there 24x7 for the month but I would say those figures are highly questionable !

Posted by Discover Thainess on June 4, 2015 14:53

Editor Comment:

The figures are unlikely to be false. There would be not point. Income at the airport depends on the numbers.

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Well written and think that most people with half brain realise that any figures that are published for tourism are usually incorrect and way over the top.

Posted by dg on June 4, 2015 15:05

Editor Comment:

These are Airports of Thailand figures and we've previously asked for details. There is no logical reason why they would be falsified. Other figures . . . well, some of them are clearly exaggerated for a one-runway destination.

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Increase of people because air tickets are now very affordable for thai people!

Why pay 1000 baht with bus to Bangkok when you can travel by plane for the same price?

Posted by Paolina on June 4, 2015 15:10

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Phuket arrival figures probably correct, but includes BKK/Phuket officials, locals, expats/retirees living on Phuket as well.
We may presume that Phuket airport is serving several provinces, not just Phuket Island. So, arrival figures indicate nothing concerning Phuket. Hotel occupancy dips are giving more realistic figures. ( quite a number of Phuket hotels/guesthouses/ bars for sale now.)

Posted by Kurt on June 4, 2015 15:53

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The drop in revenue in the resorts is very simple look at the arrival stats for the first 5 months.
Visitors from China top with around 1.2m arrivals and show more arrivals than Australia, UK,Germany, Scandinavia, Korea, Singapore , Malaysia combined. Chinese have a complete different spending and holiday experience pattern. They shop and arrange as many tours as they fit into their itinerary and they will save money on the hotel accommodation and probably will skip the resort meals for a take in from 7 Eleven, the local food stall . So 7 Eleven, the local food stalls, shopping malls should celebrate. Resorts we will continue to have difficult times to attract again our long staying and higher spending customers out of Europe and Australia. Many of them have moved on to other Thailand destinations, that are less developed, less crowded and offer a better beach experience. wm

Posted by wm on June 4, 2015 16:19

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Maybe all the tourists land at Phuket, then get on buses and drive to Hua Hin. To use the words of Simon Lutrell, " Somebody is talking big porkies". I agree Simon.

Posted by Robin on June 4, 2015 16:41

Editor Comment:

Not necessarily. The numbers are a bald statistic. It means having an airport is a good business. Shorter-stay tourists are coming in greater numbers, which means the big number is growing but most other numbers are not.

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It may seem to be a mystery that tourist figures at the airport continue to climb, yet Phuket tourist businesses seem deserted.

I can maybe shed some light on this. My small 'transit' hotels next to the airport are usually full every night, (even in this low season).

But unlike a few years ago, when most of my overnight guests headed on to destinations in Phuket, nowadays perhaps 75% of them are heading on to destinations outside of Phuket, such as Krabi/AoNang, Phang Nga and Kao Sok.

It seems that Phuket is no longer the destination of choice.

Posted by Simon Luttrell on June 4, 2015 16:42

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You mean there's a discrepency with the numbers? This is Thailand after all. Fact and fiction intermingle.

Posted by Anonymous on June 4, 2015 16:52

Editor Comment:

The numbers are accurate but the real story is in the detail, as other commenters are pointing out. .

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most likely land here and drive north..

Posted by another steve on June 4, 2015 18:06

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@ Simon Luttrell. Yes, you are very right. Exactly my point!

Posted by Kurt on June 4, 2015 18:18

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Hi Paolina.
I agree with you and that also means that Simon Luttrell is wright about the mass tourism and other groups who are being picked up at the airport for transfer to other destinations then Phuket. For tell me...who whant to pay pay 1000 baht for a taxi to Patong or Phuket city after flying for half the prize??? Even if so, STILL, being forced to stop at an office that offer other rooms then you already have booked. No local domestic air traveler from Phuket does that. The numbers provided in this article shows that it is mass tourism times with short time big spenders that are the most wanted(chinese that spend most of all tourist on daily basis apx 4 days). Easy Thai money thinking is in this matter. Quick money and that is similar to why a hamburger joint in every where in pub closing hour in the world looks as a pig farm. Phuket had its charm with long stayers but now it looks like for ever closing hour.

Posted by A Joe on June 4, 2015 19:01

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I checked at Phuket airport on Tuesday 2 June for the 7:20 TG flight to Bangkok,I was a little early, 6:30, I was the only one at TG check in, There were just 80 people on that flight, I would estimate 75 of them were Chinese. The week before I flew back from Yangon via swampy, same deal plane was empty. So where are all these reported tourists??????.

Posted by Shwe on June 4, 2015 20:32

Editor Comment:

On Nok Air and AirAsia?

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Erm... there are a million reasons to falsify statistics.... Just think WorldCom, Enron and Tesco to name a few. Increasing passenger numbers gives the perception all is well and the authorities are doing a fabulous job.

I do completely understand, though, that the higher numbers of chinese tourists coming for short breaks does increase numbers when compared with other nationalities who more usually come for one or two weeks.

This can go some way to explain high passenger numbers but collapsing tourism businesses.

Congratulations! That's just what Phuket needs... more cheap package tourists. Score !

Posted by Discover Thainess on June 4, 2015 20:45

Editor Comment:

As I said, DT, we have scrutinised the AoT system and have no reason to believe the figures are false. Anything that comes from bank think tanks or the TAT . . . think again. This is a very raw bit of data that only reflects the numbers coming through the airport. Who they are and where they go and how long they stay is not recorded by AoT. Any tally that puts total tourist numbers visiting Phuket at 12 million or above or any figure for foreign tourists above 3.5-four million is extremely questionable. Provision of accurate figures would be wise.

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"They shop and arrange as many tours as they fit into their itinerary and they will save money on the hotel accommodation and probably will skip the resort meals"
by wm

===

I find it very reasonable.

If I would be in their shoes, I would do the same, to see more than pool of your hotel.

My model is that you usually spend on F&B, spa, tours, entertainment etc. the same amount as on accommodation, for 2 persons. Say, you buy a room for 250EUR per night, then amortized over duration of the holidays spending spending per day for 2 persons comes at 250EUR per day, 125EUR/day/per person. Normally it means going to a tour every second day, and having massage either every second day in the spa, or every day "on the beach".

Overall, in the end, you will find that you will spend in the hotel quite limited time.

However, there are so many people, who are, hm, not so competent in organizing their own travel, who assume they can buy a room for 500EUR and "somehow" fit all the rest into 50EU?? per day for 2 persons.

Posted by Sue on June 4, 2015 20:54

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Anonymous 04.06.2015. 13:36,

there is no need to copy/paste reading on the wall in your room, just open Department of Tourism statistics, that for many years , for the most nations, in a breakdown by independent travelers/package-tourists, provides data on average stay, aggregate amount of money spent by the nation, breakdown of expenses in to accommodation, food, transportation, tours&entertainment, Misc.

Then you will see that although e.g. PRC tourists stays , naturally, a bit shorter, than those who fly long-haul to Thailand, that difference by no measure like you fantasized about it.

Moreover, ave. Chinese tourist is outspending ave. tourists from the most of European countries per diem.

Posted by Sue on June 4, 2015 21:02

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SUE.
What is your point about the TAT figures??? You really confuse me. Not so many people do. To me you speak like a Russian or chinese travel agency or from some personal views of world traveling. What is your point on this issue. You are saying to everyone that planning in your style is the model to get a descent pricy holiday on Phuket. Either you are a Russian or Chinese tour leader with a company or a big fooled condo owner that is stuck forever. Phuket is massive overprized. Do we agree???? Please SUE do not give same bull as you always do. Please.... is Phuket overprized. Even with your amazing calculations???

Posted by A Joe on June 4, 2015 22:08

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A Joe

I'm not in travel business,or related, and never been, and, probably will never be, as I have zero interest in regard of travel business except as a customer.

When I'm talking about planning my holidays, I mean, not at the moment for Phuket, where I am stationary.
This is how I was doing whether I am going to short-break from Europe to Carribean for 4 days, 3 weeks Thailand/Cambodia/Myanmar from Europe or French Polynesia. I don't pretend to be a guru, but still have accrued quite an experience travelling around 70 countries/territories, and yes, I learnt some (bitter) mistakes, so that's why I decided to share. I neither travel on backpacker's budget nor I fly First class ( I do, occasionally, but it is merely an exception - the majority of travel still is in Coach, with some share in Business).

What I am reading from time to time here are simply logical wrong constructions, like some people confusing long-stay with short-term tourism.

as well, it wouud be good when people are making judgmemnt about Phuket tourist services market, incl. accommodation, taxis etc.,also about segmentation of visitors and target groups to have at least basic understanding in Marketing and Microeconimocs, there is a lot of free quality online course.

Otherwise 2X2 in that field from the point of view of housewife of househusband, looks at times incredibly evil, 'cuase some people try to belive that 2X2=5, when you insist it's equal to just 4.

P.S. I can share some my records from some trips, that reflects the planning of time and money budgets in line with criteria I prohagated above, then you'll see how that works. Everyone travels in his/her own style, you may set different criteria for your successful holidays than me, it's fine.

P.S. Since 2008 there is no TAT statistics, all statistics is by Department of Tourism. You don't need to be travel professional to be able to find, read and interpret quite unsophisticated statistics data.

Posted by Sue on June 5, 2015 02:22

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SUE.
I am happy to agree with you on every point you make this time. You speak very good common sense now. My point was a little directed to the issue that however well you or me plan our trips to Phuket, and its manners seems to never change from worse to best, we will get ripped off.
PS. I really liked the comment of yours this time.
PS Phuket is madly overpriced in every sector.

Posted by A Joe on June 5, 2015 13:55

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Some particular groups never leave their 4 and 5 star hotels except for organized bus tour day trips with commission stops & package deals pushing the money in one corner so many businesses never see any income from these groups or even see them, how many Chinese can you count at a bar a food stand none these quality tourists never leave the up market, wonderful for some there coming but only spend in certain sectors,back packers are fewer due to high prices so there goes the low end market the no star bed an breakfast guest houses best Phuket promotes for the middle income earner in the west and Europe so the tourist dollar is better spread what does Phuket want to be the next Monaco wont happen infrastructure is too ramshackle.

Posted by slickmelb on June 5, 2015 15:01

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As I assume no Thai Official will read all the lengthy posts here.
Just to make it easy to understand what the mass Chinese arrivals are and how I see the number of arrivals:
lets say Thailand is a Beer Store.
the Store used to have 1000 European Customers a month, buying one case of Beer (24 Bottles) each.

Now the store got 10.000 Chinese Customers buying 1 Bottle Beer each.

Statistically the customer numbers are up and the shop looks very busy to out-standers.

But the Sales ? Do they really benefit the store owners ?
Not to mention that the stores toilet is not big enough for the customer increase and the store itself will worn down very quick.

And the old customers are not coming anymore as the store is to full and the cashier always crowded. Not to mention the filthy toilets since the new customers are in.

so if anybody wants to open a new store. what kind of customers are you really looking for ?

Posted by Oliver on June 5, 2015 16:39

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Oliver

you're talking N-O-N-S-E-N-S-E, fantasizing about the things, albeit there is Department of Tourism statistics by nation, in breakdown by independent/package way oif holidaying, further down to expenditure categories per day, and average length of stay.

Just copying here 2013 figures, a bit lazy to reprint 2014 , but they're, in principle the same:

China
TOTAL 5097.20 THB incl.:
SHOPPING 1287.30 THB
ENTERTAINMENT 584.07 THB
SIGHTSEEING 286.09 THB
ACCOMODATION 1391.84 THB
FOOD&BEVERAGE 956.74 THB
LOCAL TRANSPORT 509.99 THB
MISC 84.07 THB

Average European TOTAL 4141.21 THB incl.:
SHOPPING 813.71 THB
ENTERTAINMENT 492.33 THB
SIGHTSEEING 162.86 THB
ACCOMODATION 1303.44 THB
FOOD&BEVERAGE 854.74 THB
LOCAL TRANSPORT 467.85 THB
MISC 46.28 THB

http://www.tourism.go.th/home/details/11/221/24327

So the Chinese are shopping much more than average European, both package and independent travelers.

So many people with hidden tale-teller talents inadvertently exposed presence of the talent when Sino-tourism topic is tart flashing!

Posted by Sue on June 5, 2015 20:27

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Sue,
I believe Oliver was providing a theoretical example to explain possible reasons for reduced turnover despite an increase in customers, but that's just my theory.

Posted by Manowar on June 6, 2015 04:43

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Oliver. Very good points. I try to find proof for SUEs arguments but first of all the website referred to is not able to open then in my memory the Chinese spend a lot fewer days at every specific location for example Kata, Karon. They are more run around and swarm around like grasshoppers from spot to spot and the Thais try to get them want they want cause of PROFIT (shopping goods).Manowar knows.

Posted by A Joe on June 7, 2015 14:14

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A Joe,
I don't know that much about Chinese tourists but I was fascinated watching a group turn up on buses at Pattaya once and follow the different coloured flags of the guides, single file, almost treading on the heel of the person in front and wherever the flag went, they would follow. It was like watching sheep. I believe many live a controlled and regulated life where they just do as they are told, so this is probably just normal and they are easy customers for the organised tour operators.

Posted by Manowar on June 7, 2015 14:43

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A Joe,

may try to make use of browser , then you will have the provided links working well ;)

And will stop judging on the market situation through your narrow experience like long-term expat - that actually is not relevant for the purpose of (short-term) tourism market.

Posted by Sue on June 7, 2015 15:07

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But SUE. It IS relevant if 10000 tourists comes to one spot only on one day basis, or not. Take James bond island, Maya beach, Similian,Kho tao,Kata Latex shops ha.. ha,all the diving spots with underseawalkers. The list can be as long as you want. Ask me about the 9000 cigarette butts after ONE day with such visit for example. Ask me about thousand of corals in reefs that are dead for 50 years after a couple of busloads of masstourists. We know the nationalities of those, do we not. It is not about me even if I loved Phuket. It is about quality that nature keeping people want.It is about not waiting in line for 4 hours after flag wawing guids to see al the before beautiful spots on Phuket been destroyed
If that is quality for you, so be it. Up to you, as the Thai says

Posted by A joe on June 7, 2015 16:04

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"... the turnstiles at Phuket's main tourist inlet keep ticking over faster than a human trafficker's bank account."

Ed, you have a way of explaining things so that everyone can understand!

Posted by Ian Yarwood on June 7, 2015 16:44

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@ Ian

(moderated)

Posted by Elephants Gerald on June 7, 2015 19:26

Editor Comment:

Elephants Gerald,

Ian Yarwood is a genuine person using his real name. You are an online commenter using a made-up moniker. Do you really need me to tell you what that means?

Add value, or don't bother.

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A Joe

...what's a purpose your tirade? although it's certainly reflects common truth , it is also not about points which I was taking about with you, my point was that you making unsubstantiated conclusions bordering with wild fantasies not confirmed by statistics data, that is.

Also you're complaining about expensive costs at tourist very hot spot then you complain there are too many customers.

On top you are basing your conclusions not on figures but a kind of marketplace hearsay - actually that is what aimed to amend in your mislogic and lack of facts.

Simple thing is that if you want less crowded place , more quality natural surrounding and giving the volume of demand for tourism - as so many people go lanky have improved their living standard,and as a consequence can travel abroad for holidays - the only option is to move to higher priced segment. Those times a gone when Europeans and N.Americans can have great holiday at secluded spot for 50USD daily costs, feel like reach kings and there were no other tourists who competed for the spot. Now there are many more people who can provide their tourist dollars.
Phuket prices are simply moving upward reflecting ever rising demand, and will grow further , so if you want decent quality holiday then move to the price level of quality holidays of developed countries - in Carribean prices for something minimally decent only starts at 200USD/per nigh, but mote of less comfortable level only starts at 500USD/per night.

But you only whine that few hundreds dollars rentals is too expensive - nobody with sound sense and limited finance don't stay long term at tourists hot spot like South Beach, MI - except Goldman Sachs and aloe returess.

Other wiser expats felt this and moved upcountry , since it is clear that local price level on Phuket is determine by short-term tourism segment.

Then those Europeans - there few have been cited on PW, and one guesthouse on their behalf - it was crystal clear - their main composing was that 50USD doesn't buy that much as before (and Chinese and others presence was blamed).
But please thrn don't compete with Chinese tourists - who are coming from in general country - but compete with holidaymakers from developed countries, like US - who will spend not less than 10kUSD per 2wk trip for 2.

And for long term stay, then move to FL and complete with US retirees and U.S. domestic touruist rather than with poor country tourists from PRC.

Your complaint is essentially that PRC ppl are now that rich that create discomfort to you since your and their purchasing ability seems to be quite close.

Posted by Sue on June 7, 2015 20:32

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First of all you amaze me as I sad before. Your money calculations are swinging from tree to tree in an long gone forgotten jungle for old gorilla lovers that was so popular during the 75 in television. Your golden years perhaps. Your
quote.."Also you're complaining about expensive costs at tourist very hot spot then you complain there are too many customers". Now we talking. I care about the nature where people with money want to spend them and why. I am convinced now that you have far gone investments and they went far south. Sorry. Nobody can help you now days when the army take out the trash.
PS your money is gone cause you love to give it away.

Posted by A joe on June 7, 2015 22:10


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