Hotel and office developer UHG is forecasting a 40% increase in revenue this year, banking on robust demand from foreign tourists and the Mice (meetings, incentives, conventions, and exhibitions) sector in Bangkok.
Managing director Wutthiphon Taworntawat said UHG's revenue growth would continue from last year, when it rose 20-30% from 2021, as foreign tourists, particularly the Chinese, were now visiting Thailand.
"In January and February this year, our occupancy was 90% on average, following strong momentum in the second half of 2022 after the country's reopening," he said.
The majority of guests were now foreigners, representing 70-80% of the total, matching the pre-pandemic proportion and increasing from 60% last year.
During the nationwide lockdown three years ago, 95% of guests were Thai.
"Tour groups from European countries, particularly the French and Spanish, have returned," Mr Wutthiphon said. "This market was healthy because they booked more than a month in advance. Their target location was Silom."
UHG's 14 hotels are located in Bangkok's inner city areas.
Mr Wutthiphon said The Quarter Hua Lamphong is nearly fully booked for May, driven by Chinese visitors who are seeking a vacation during the Labour Day holiday.
For the Songkran Festival in April, its two hotels in Silom and Sathorn also have high demand.
"During the Blackpink concert on Jan 7-8 this year, our room rates at Evergreen Place Siam went up to 7,000 baht per night which was the same rate as New Year's Eve or increased from the normal rate of 1,800 baht," said Mr Wutthiphon.
He said hotel general managers had to manage real-time reservations to ensure that room rates could respond to actual demand. They also have to monitor events being organised near the hotel.
For example, Asoke Residence Sukhumvit can mark up room rates during a graduation period for Srinakharinwirot University.
"We will capitalise on the 16th World Chinese Entrepreneur Convention in June 2023 as it will be held for three days from June 24 at Queen Sirikit National Convention Centre," Mr Wutthiphon said.
After opening its 14th hotel, The Quarter Chao Phraya, on Dec 30, 2022, UHG plans to open a new 100-room hotel in Ratchathewi with an average room rate of 2,500 baht per night, targeting shopping lovers and new generations.
