Shangri-La hotels looks for expansion in Thailand

BANGKOK (eTN) – If some Bangkok hotels like to display ostentatious luxury, the Shangri-La hotel in Bangkok has systematically adopted the contrary approach.

BANGKOK (eTN) – If some Bangkok hotels like to display ostentatious luxury, the Shangri-La hotel in Bangkok has systematically adopted the contrary approach. Since its opening, the hotel has built its reputation on its sense of discreet luxury. Over the last two years, Shangri-La Bangkok has embarked on one of its most extensive renovations, transforming completely all the public spaces. The facelift has created an elegant atmosphere where contemporary elements blend harmoniously with a more traditional Thai design. All the restaurants have also been renovated, from the famous Salathip Pavilion, which now proposes an exquisite contemporary Thai cuisine to NEXT2, the hotelโ€™s trendy alfresco buffet restaurant. Two new outlets have also been created: the Long Bar is the newest outlet for creative drinks and snacks, while chocolate amateurs will have difficulty resisting the Chocolate Boutique. Inspired by traditional European chocolate shops in Belgium or in France, the outlet is a must-do to discover signature chocolates and beverages. This November, the hotel completed the renovation of upper guest rooms.

This extensive renovation takes place at a time when the Bangkok hotel market still remains shaky. โ€œWe still did not recover completely from the political events. We are currently running at 50% occupancy compared to 80% in previous years at the same period,โ€ said Thierry Douin, Vice President of Shangri La for Thailand and Indonesia in exclusivity to eTurboNews.

For Mr. Douin, recovery is still sluggish for long-haul MICE groups. โ€œWe experience now a recovery from regional markets for the organization of MICE events. They are close to Thailand and know how to monitor the situation. However, MICE organizers overseas remain cautious about Thailand as they do not want to take a risk,โ€ he explained. Mr. Douin expects the hotel to return to better occupancy rates with the coming winter season as Thailandโ€™s situation is now stable.

Shangri-La faces also difficulties to fill up its Chiang Mai property opened in early 2008. โ€œChiang Mai is a lovely city with great food, beautiful landscapes, and charming historical structures located within the walled old town. It needs more promotion to become an ideal MICE destination,โ€ he told. The Shangri La property is now getting popular with the Indian wedding market.

The chain remains confident, however, about Thailandโ€™s tourism future. โ€œThe kingdom retains its reputation as an exotic quality destination offering great value and unmatched service. We remain committed to growth in this country,โ€ added Mr. Douin. Shangri-La currently searches actively for a new property in Bangkok, which could become the first Traders Hotel [Shangri-La four-star brand] in Thailand. โ€œWe are open to any possibility. We could take over an existing property or manage a brand new one. We look basically for a presence in Bangkokโ€™s central districts around Sathorn, Silom, and Sukhumvit areas,โ€ he explained.

A couple of years ago, Shangri-La announced to develop a property in Phuket. The project has been since cancelled, but Shangri-La is still interested to set up its presence in Southern Thailand. โ€œWe are continuously looking at opportunities not only in Phuket but also in Koh Samui and eventually Krabi,โ€ he said. Shangri-La’s move to Southern Thailand is part of an ambitious expansion plan, which foresees 100 hotels by the year 2013. โ€œWe are looking for example to a property in Bali, to eventually add a Traders in Jakarta. We also monitor closely developments in Vietnam, but this remains a difficult market to enter. However, we see there a lot of potential,โ€ added Mr. Drouin.

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Avatar of Juergen T Steinmetz

Juergen T Steinmetz

Juergen Thomas Steinmetz has continuously worked in the travel and tourism industry since he was a teenager in Germany (1977).
He founded eTurboNews in 1999 as the first online newsletter for the global travel tourism industry.

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