Suthikiati Chirathivat, chairman of Centara Hotels and Resorts (2nd right), shakes hand with Ramkhamhaeng University rector Wuttisak Lapcharoensap after signing an agreement allowing students to undertake on-the-job training at Centara's hotels. WISIT THAMNGERN
Centara Hotels & Resorts, a leading Thai hotel management chain, predicts strong growth next year for three- and four-star hotels on the back of rising tourist arrivals from Asean.
Suthikiati Chirathivat, chairman of Centara Hotels & Resorts, said the Thai tourism industry will continue to grow next year after the start of the Asean Economic Community as Thailand is a tourism hub in the region.
This will prompt more Asean tourists such as Indonesians, Malaysians, Vietnamese and Cambodians to visit Thailand, becoming a growth driver for Thai tourism apart from Chinese visitors.
"The rise of Asean tourists will greatly benefit three- and four-star hotels next year," he said.
Thirayuth Chirathivat, Centara's chief executive, said the number of foreign tourist arrivals is expected to increase next year and the Thai economy will improve eventually.
Next year, Centara will open five new hotels, of which three will be abroad and two at home.
Mr Thirayuth said the launch of its Cozy budget hotel on Koh Samui will be postponed to the first quarter of next year due to construction delays.
Under Centara's five-year plan for 2016-20, the hotel chain aims to have 130 hotels, although that target will be difficult to achieve due to domestic and global economic conditions.
Currently, Centara has 37 hotels, of which 15 properties are its own and the rest are under management contracts for other developers.
Mr Thirayuth is still confident that its full-year revenue will reach 9 billion baht, up 6% from last year, on the back of strong tourism recovery. Of the total revenue projection, 80% will be generated from foreign guests and the remaining 20% from Thais.
"Contributing to our higher revenue this year is a 5% rise in foreign guests, especially from Britain and Germany," he said.
Centara is trying to widen its Thai guest base to 40% of the total in the next five years. This year, average occupancy for all hotels under Centara will stay at 80%, on par with last year.
Mr Thirayuth added that its hotels' foreign guests have been understanding of the mourning period in Thailand after the death of His Majesty the King. There have only been a few room cancellations and this will not affect Centara's hotel business.
Yesterday, Centara signed a memorandum of understanding with Ramkhamhaeng University to allow students from the Faculty of Service Industry Management to train at its hotels nationwide.
Ramkhamhaeng University rector Wuttisak Lapcharoensap said this collaboration will help enhance students' skills. About 300 students majoring in service industry management are expected to graduate each year.
Mr Thirayuth noted the Thai hospitality industry is facing a serious shortage of qualified staff after growing steadily for several years in a row.
Moreover, educational institutions cannot produce enough graduates to serve growing demand in the industry.
"Thailand is forecast to welcome 33 million foreign tourists next year, so we will definitely need more staff to cater to the rising number of guests", Mr Thirayuth said.
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