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Thailand Rebounds Strongly for 
Accor's Hotels and Resorts
European inbound major source for occupancy growth
 
29 January 1999: Resurgence in the in-bound market, particularly from Europe, and a strong focus on domestic leisure travel has seen Accor lift its overall occupancy by 7% in 1998 (compared to 1997) for its portfolio of 16 hotels and resorts in Thailand.

Best performing destinations were Phuket, Hua Hin, Rayong, Samui and Bangkok, with Pattaya also benefiting as a result of its improved image and positive marketing.

Vice President Sales & Marketing � Asia, John Davis-Slade, said that the most encouraging aspect of the result was that increased occupancies had been achieved at the same time as modest increases in average rate.

�Our European inbound increased overall by 20%, though in many areas the increases were substantially higher,� said Davis-Slade. �The fastest growing markets were all from Europe, with Germany, France, Britain, Italy and the Scandinavian countries booming as a result of low airfares and the continuing strength of their currencies.

�It is important to note that these markets are still price sensitive, which is why Accor was so forthright in its support of retaining the Thai baht, rather US dollars, for setting rates. This move has contributed significantly to Thai tourism�s relatively strong performance.

�While Asian inbound was generally flat, there were still some encouraging performances. Taiwan�s volumes remained strong and the Japanese market increased slightly.  The latest research from Tokyo predicts growth in the short-haul market, with the middle-range of the market the most likely benefactors. That is ideal for Accor�s hotels.

�We were also proactive in boosting domestic leisure travel through a number of promotions in 1998, such as the Accor �10th Anniversary Sale�, and we will launch a similar initiative next month aimed at the domestic market called �Thailand Holiday �99�.�

Davis-Slade said the promotion will feature great value packages and discounts at all participating Accor Thailand properties between the period 1 March to 30th September, 1999. 

Resort properties enjoyed their most productive year in 1998 since the pre-recession period.

Lars Ydmark, General Manager of the Novotel, commented: �A hotel in its first full year of operation usually struggles, but in our case, we couldn�t have started better,� he said. �Our performance was based on major increases from North Europe, closely followed by mid and south Europe, along with Australasia.

�The focus now turns to maintaining a healthy relationship with the marketplace and also in ensuring that Phuket handles the environmental impacts to ensure that this mystical paradise keeps on attracting both new and experienced visitors. We are very optimistic.�
2/ Thailand�s hotel sector achieves encouraging results in 1999
 
Emerson Yang, General Manager of Mercure Resort Koh Samui, said that resort areas such as Samui had benefited from problems elsewhere in Asia, but with occupancy up some 20% in 1998 compared to 1997, it was clear that Thailand enjoyed a very positive image in Europe.

�Good value combined with a tourist-friendly infrastructure and superb natural attractions make Samui a prime destination, and we are expecting continuing growth in inbound for 1999,� said Yang.

Hua Hin�s reputation as a popular destination for upmarket European visitors was confirmed in the results of Sofitel Central Hua Hin. The historic nature of the hotel, combined with the area�s extensive range of golf courses had established Hua-Hin as one of Asia�s prime resort areas, and General Manager Philippe Bissig said growth was expected to continue in 1999.

Pattaya has benefited considerably from the resort�s improved image, with Mercure Hotel Pattaya recording an increase of some 85% in leisure business, with increases from Europe, Asia and domestic business.

Accor�s 16 hotels in Thailand include hotels under the Sofitel, Novotel and Mercure brands. The company also manages a number of unbranded hotels and hotel apartments.

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Contact:
Rujira Rujakom-Dupart, 
Accor Asia Pacific - Bangkok
Tel: (66-2) 267 0810 ext. 2219 
Fax: (66-2) 237 1308 
E-mail: [email protected]
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Also See: Accor Launches Initiatives to Build Market Share in the Face of Australia�s Slump in Inbound Business / July 1998 
Asia - Favorable opportunities exist, but.. / Horwath Landauer / May 1998

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