Offering new alternatives to travelers, there is no doubt that Airbnb has taken some market share from traditional hotels. However, findings from JLL shows that hotels in Thailand have been less affected by online home-sharing platforms than expected.
The findings were based on data collected from more than 11,200 accommodations offered by Airbnb and hotels in Bangkok, Phuket and Chiang Mai.
JLL analyzed demand sources based on key price determinants from a range of utility-based attributes including locations, room characteristics, amenities and reputational signals.
“It is evident that for Thailand most travelers still prefer traditional hotel accommodations, particularly those operated by brands that they are familiar with and give them more confidence in security and levels of services.”
Chakkrit Chakrabandhu Na Ayudhya, Senior Vice President of Hotels and Hospitality Group at JLL
The preference of traditional hotels to the home-sharing accommodations can be reflected by the higher number of hotel guest reviews. In Bangkok, for example, traditional hotels and Airbnb accommodations receive an average of 664.2 and 31.3 reviews respectively, according to JLL.
More affordability is another factor that has helped traditional hotels maintain their competitiveness.
