Wednesday, June 23, 2010

What Happens When You Set Your Capital on Fire


TravelFish founder Stuart has posted a fascinating graph which shows the declining business of hotel reservations in Bangkok during the 2 months of protests by the red shirts. The text provides further insight into this depressing situation. Cheer up Stu, at least you're living in lovely Bali.

They say that a picture says a thousand words so I won’t waffle on about the about chart (bigger version here), other than to say it represents the rather precipitous fall in daily hotel reservations through Travelfish via one of our affiliate partners.

This is all reservation enquiries, so doesn’t take into account cancellations — meaning the fall is actually considerably worse than what the above illustrates. I should also note the airport shutdowns instigated by the yellow shirts had an equally destructive effect on reservations — I just don’t have time right now to make two charts!

Given that matters are sizing up for another meltdown around October/November this year (ie just in time for the peak tourist season) it is difficult to understate just how damaging all this is to the Thai economy. While it is clear Thailand has very serious societal issues that do need to be addressed, crucifying the travel and tourism industries seems hardly to be the way forward.

Who would have thought six years ago (when we started Travelfish.org) that today Indonesia would be seeing relatively progressive economic development accompanied by encouraging signs on the tourism side of things, while Thailand would be actively working to reinvent itself into the region’s new basketcase.

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