Thailand - TAT pitches promotions for lucrative Indonesia trade

The Indonesian tourism market has much room for growth, and arrivals in Thailand from that country are expected to rise by at least 15% this year, says the Tourism Authority of Thailand (TAT).

Indonesia has a population of 240 million, and its outbound tourism has been booming after the Indonesian government repealed the exit tax for its population in 2010.

Some 8.7 million Indonesian airline passengers went abroad from January-November 2010, up from 7.2 million in the same period the year before.

The TAT expects tourist arrivals from Indonesia to Thailand will reach to 425,500, up from 370,000 last year, said Sansern Ngaorungsi, the deputy governor for Asia and the South Pacific.

Thailand was the fifth most-popular destination for Indonesians last year, after Singapore, Malaysia, China and Hong Kong.

The TAT plans to outpace Hong Kong by 2015 and believes Indonesian arrivals will reach 500,000 in the next few years.

The average length of stay is 3-5 days per trip, while spending per head is 5,000 baht daily. About 70% of arrivals are independent travellers with the rest via travel agents.

Mr Sansern said the tourism industry in Indonesia is rapidly growing. Last year, the country bought 180 new aircraft and the TAT opened a local office for aggressive promotion of Thailand, especially to the high-end market for golf and beauty and wellness.

"It's a quality market. There are a lot of brand name shops found in Europe and the US. They love shopping and the luxury lifestyle, including beauty and wellness and golf," Mr Sansern said.

Ten travel agents in Indonesia have focused on promoting Thailand as a golfing destination. Indonesia has challenging courses, but Thai hospitality at local courses is better, he said.

Indonesians prefer Singapore for medical tourism, but capacity there is close to full as Indonesians also use it as an investment base.

To grow this market, Thai tourism operators need to develop language skills and understand Muslim culture including halal food, he said.

"Indonesian travel agents compare Thailand favourably to Singapore due to its cheaper air tickets. We have to promote value for money products. Excluding airfare, our products and services are still better and cheaper than Singapore," he said.

Bangkok Post

Business & Investment Opportunities

YourVietnamExpert is a division of Saigon Business Corporation Pte Ltd, Incorporated in Singapore since 1994. As Your Business Companion, we propose a range of services in Consulting, Investment and Management, focusing three main economic sectors: International PR; Healthcare & Wellness;and Tourism & Hospitality. We also propose Higher Education, as a bridge between educational structures and industries, by supporting international programs. Sign up with twitter to get news updates with @SaigonBusinessC. Thanks.