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Accordingly, the Tourism Authority of Thailand has proposed a budget of over 6.2 billion baht (approximately US$172 million) for the 2025 fiscal year, while also allowing second-tier cities to generate 25% of their revenue annually by attracting high-spending tourists.
In addition, the Tourism Authority of Thailand will offer new tourism products and attractions to attract existing and new customers in Europe, the US, the Middle East, and Africa, and increase flight capacity to support long-haul travelers.
By 2025, Thailand's tourism industry aims to attract over 40 million visitors.
Furthermore, Thailand will implement various measures to attract tourists from across Asia and the South Pacific region, including China, India, South Korea, Japan, Taiwan (China), Indonesia, Pakistan, Bangladesh, and the Philippines. In addition, Thailand is also targeting tourists from neighboring countries such as Malaysia, Laos, Cambodia, and Vietnam to stimulate long-term tourism.
In the first six months of 2024, Thailand welcomed approximately 17.5 million international tourists, higher than the same period in 2023. It is projected that Thailand will welcome 39 million international tourists in 2024, reaching 92% of pre-pandemic levels. However, tourism revenue did not increase proportionally, reaching only 825 billion baht in the first six months of 2024, falling short of the target.
The reason is that tourists are spending less than before. High-end travelers are now choosing to tighten their spending. Price remains a top concern for travelers, who carefully consider the cost and affordability of their trips. This leads many travelers to wait for discounts or special offers before planning their travels.
Contrary to expectations of economic growth driven by tourism, tourists currently visiting Thailand are spending only a small amount.
Tourists are choosing to stay in budget hotels, guesthouses, or homestays instead of luxury hotels. They are less likely to participate in expensive recreational activities such as scuba diving or paragliding. Diners are also now opting to eat at local eateries instead of upscale restaurants.
Against this backdrop, the Tourism Authority of Thailand (TAT) is aiming to create valuable experiences for tourists, as well as increase spending rather than focusing solely on the number of visitors, in order to boost tourism revenue. According to the Bangkok Post, to support this, the Thai cabinet announced it will close duty-free shops in the arrival areas of international airports to encourage tourists to spend more at domestic stores, with the forecast that this move will boost domestic retail spending by an additional 3.5 billion baht (approximately US$96 million) annually.
The Thai Ministry of Tourism and Sports also stated that it will intensify its crackdown on "zero-cost" tour businesses, especially those run by Chinese companies operating in Thailand. This problem not only tarnishes the image of Thailand's tourism industry but also causes significant damage to the business operations of Thai travel companies due to their inability to compete on price.
In addition, the Tourism Authority of Thailand recently announced its tourism promotion plan for the second half of this year, focusing on attracting tourists from long-haul markets. The first group consists of established countries – also known as "stars" – including Russia, the UK, the US, Germany, and France. Tourists from these countries are already familiar with Thailand and are likely to visit the Kingdom before the end of this year.
Thai tourism officials will implement various measures to attract tourists from across Asia and the South Pacific, including China, India, South Korea, Japan, Taiwan (China), Indonesia, Pakistan, Bangladesh, and the Philippines. In addition, the country is also targeting tourists from neighboring countries such as Malaysia, Laos, Cambodia, and Vietnam to stimulate long-term tourism.
