Bangkok Post : 8% growth is history, says TAT

Thailand's tourism industry will grow by less than 8% next year as negative factors including slower economic growth, politics and the social divide will persist, says the Tourism Authority of Thailand (TAT).

The TAT board believed the negative factors would affect both visitor numbers and spending, governor Surapol Svetaseni said yesterday.

Promotions intended to restore confidence may have an impact on tour prices, while tourists, who face external negative factors, will shorten stays and cut spending, he added.

The TAT has been forecasting 8% annual growth for tourism, but the industry has been struggling since 2008 and 8% annual growth is no longer achievable, it believes.

In the 2011 fiscal year that begins tomorrow, the TAT will receive 5.24 billion baht, an increase of 15% from this year.

It will proceed with two campaigns to promote Thai tourism both locally (1.37 billion baht) and overseas (2.92 billion), and other marketing campaigns costing 940 million baht.

For international markets, the TAT has set a budget of 550 million baht for building the country's image, 500 million for expanding the tourist base, and 330 million baht for campaigns focusing on "quality tourists".

Another 531 baht will be used to increase competitiveness on the international stage. The rest will go to running its overseas offices.

The TAT will focus on "emotional marketing", aiming to "re-image" Thai tourism, under the campaign "Amazing Thailand Always Amazes You".

In the local market, the agency will spend 62% of its budget on activities and projects.

It will spend 280 million baht promoting travel as part of life. It will spend 230 million promoting trans-regional tourism, 220 million promoting local uniqueness, 80 million on tourist awareness, and 40 million on promoting learning during trips.

The other 38% will fund administration and operations.

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