Thailand’s revenue per available room (RevPAR) grew 15.4 percent in 2012

Published on : Friday, February 15, 2013

Thailand’s revenue per available room (RevPAR) grew 15.4 percent in 2012 to THB2,232, according to STR Global, the leading provider of market information to the hotel industry. The returning demand levels (+13.3 percent) helped boost occupancy 10.0 percent to 69.2 percent and grew average daily rate (ADR) 4.9 percent to THB3,226.

Thailand has been undergoing a strong recovery from recent political turbulences and severe flooding as Bangkok, Phuket, Koh Samui, Pattaya and Chiang Mai illustrated growth in all three performance 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.

Koh Samui achieved the highest ADR (THB6,910) out of all Thai markets, due to a concentration of luxury hotels. Substantial occupancy growth (+27.1 percent) helped fuel a RevPAR increase of 29.4 percent to THB4,224. This was accelerated by exceptional demand growth (+31.3 percent), while supply saw a comparatively moderate increase (+3.3 percent).

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).

Supply increases were most prominent in the country’s capital of Bangkok (+4.3 percent), where 2,993 rooms were opened in 2012. 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).

After Koh Samui, Chiang Mai exhibited the strongest RevPAR growth (+19.3 percent to THB1,721) and occupancy growth (+13.4 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 (THB2,825) of the key cities, it showed growth in all three performance metrics, illustrating promising demand for this market and type of destination”.


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