TO DISCUSS YOUR PROJECT OR LEARN MORE ABOUT OUR SERVICES:

  • This field is for validation purposes and should be left unchanged.

Brewing Battlelines

Category: , Posted:24 Jul 2010 | 10:45 am

The Phuket Gazette.
The term "non-traditional accommodation", which refers to vacation homes, condos, or apartment rentals, is slowly becoming more than a blip on the hospitality sector's radar. Competition is heating up between this rising market and traditional accommodation, which typically refers to hotels.
One move that recently caught the attention of the hotel and tourism world is the launch of 'Exclusive Villas by Paresa', a new venture by the private pool villa resort of the same name in Kamala's Millionaire's Mile. Paresa has seized an out-of-the-box opportunity to take advantage of its existing high standard of service to take on outside villa management and rental services for its nearby neighbor, Villa Amanzi at Cape Sol.
The use of Paresa's facilities for villa owners and guests, such as the spa, restaurants, fitness center and others, are included as part of the deal and provide an increase of incremental revenue for the villa.
Paresa's General Manager, Scot Toon, views the move as a win-win for both the hotel and villa owners.
The new trend of extending the hospitality services of major resorts to neighboring private residences is becoming increasingly common. The Outrigger Laguna Phuket Resort's new service offerings and InVision Hospitality's move into Bangtao's The Residence are a few other examples.
Following the real estate market slump in the wake of the Thaksin coup and the global financial meltdown, brokers increasingly moved into the more stable environment of estate management and the associated off-shoot of rentals. The past two years has also seen the emergence of a number of independent-villa booking sites on the internet.
For many real estate agents, resales and rentals are currently providing the support for their livelihood amidst an ongoing hope for a property rebound. Often heard in whispers and behind closed doors, agents continue to wonder if the property boom is gone for good, or if it is just waiting for a jump start.
What is becoming evident though is that like any developing business model, the ability to adapt is essential for survival. Hotels are slowly diversifying and entering the scene of rentals, creating a bridge between two major competing markets of the tourism industry.
At the same time, villas are slowly learning how to play the volume-based strategy that dominates tourism-industry thinking. What that means is that prices will inevitably drop in the near future. Ultimately, the end loser to the game will be the property owner, who simply wants rental yields commensurate with their investments.
Non-traditional accommodation remains important in any resort destination. It offers great niche products and value for the money. Be it condo-hotels, oceanfront vacation homes or even an apartment rental, the options are attractive.
In today's market, though the hotel supply continues to surge, these types of properties all need some sort of management, sales and marketing operations in order to compete. Determining who is better at this – hotels or agents – there are merits and demerits for both. Scale often lacks personality, but it does add reach.
I remember sitting on a rock at the southern tip of Africa at the Cape of Good Hope a number of years ago. It was mesmerizing to watch the convergence of two great oceans as they swelled and swayed, each giving and taking but continuing to be part of the same.
Much can be said for hotels, rental operators and booking sites. As for the appeal of Phuket, they all contribute to the tourism scene in their own valuable way.

Other News

Read more

Thaiger Cage Hospitality Digital Pitch Event To Debut at Thailand Tourism Forum 2023

Category: Hotels|Tourism, Posted:26 Dec 2022 | 13:48 pm Leading Thai digital media outlet The Thaiger is launching a new start-up technology pitch event ‘The Thaiger Cage’ on 16th January 2023 at the Conrad Bangkok. It is a special prequel to the Thailand Tourism Forum (TTF) 2023, now in its twelfth year and widely considered to be the country’s leading annual hospitality event The […]
Read more

Could Thailand’s Southeast Coastal Gem Khanom Be The Next Koh Samui?

Category: Real estate|Tourism, Posted:23 Dec 2022 | 12:26 pm The search for the next big resort destination in Thailand is an absolutely big ask. An expansive country with 77 provinces and an amazing array of diverse geographical locations, Instagram-worthy aspects, and distinctly different nuances. Out of this brazen travel chaos, the endearing term ‘same same, but different’ was born and remains highly relevant. Yet, […]
Read more

Digital Homecare Platform SAIJAI Unveils “Hospitality Staffing” Solution as Hotels Grapples with Manpower Crisis

Category: Hotels, Posted:21 Dec 2022 | 12:21 pm The pandemic changed everything. It has been an accelerator but also a major change-maker for Thai service workers retrenched or “paused” during the three-years Covid crippled Thailand’s hospitality industry. Many who left the sector are now in great demand to return but there is a reluctance to do so on as the sector has simply […]
SiaJai logo

Thailand's Leading Homecare Marketplace