Tourism Decline Impacts Bangkok's Banthat Thong Road Restaurants
Reduced Chinese tourist arrivals and domestic spending lead to significant revenue drops for local eateries
Restaurants along Bangkok's Banthat Thong Road are experiencing substantial revenue declines, attributed to a downturn in Chinese tourism and weakened domestic consumer spending.
The Bantadthong Association reports that restaurant revenues have decreased by 40% to 50%, with some establishments noting drops as steep as 70% compared to the same period in the previous year.
Sittichan Vuttipornkul, an adviser to the association, highlighted that foreign tourists, predominantly from China, typically comprise 20% to 30% of daily visitors to the area.
The significant reduction in Chinese tourist numbers has thus markedly affected local businesses.
Concurrently, domestic travelers have curtailed their dining expenditures, further impacting sales since the beginning of 2025.
The Bank of Thailand has revised its forecast for Chinese tourist arrivals in 2025, reducing the expected number by nearly 30% to 5 million.
This adjustment reflects broader concerns over safety and changing travel behaviors among Chinese tourists, who are increasingly opting for alternative destinations.
Despite the downturn, rental costs for businesses on Banthat Thong Road remain relatively lower than in other commercial areas.
Approximately 80% to 90% of operators lease properties directly from Chulalongkorn University at an average rate of 350 baht per square meter, compared to higher rates in shopping malls and petrol station retail spaces.
The Bantadthong Association is considering initiatives to revitalize the area, including organizing events to attract a broader demographic beyond the current younger clientele, who typically spend between 100 to 250 baht per meal.
The association also aims to discourage price competition among restaurants to prevent further financial strain on operators.
Banthat Thong Road, home to over 300 restaurants, was ranked the world's 14th coolest street by Time Out magazine in 2024.
The area continues to host a mix of long-standing establishments and new eateries, maintaining a low closure rate of 2% to 3% among operators.
The Bantadthong Association reports that restaurant revenues have decreased by 40% to 50%, with some establishments noting drops as steep as 70% compared to the same period in the previous year.
Sittichan Vuttipornkul, an adviser to the association, highlighted that foreign tourists, predominantly from China, typically comprise 20% to 30% of daily visitors to the area.
The significant reduction in Chinese tourist numbers has thus markedly affected local businesses.
Concurrently, domestic travelers have curtailed their dining expenditures, further impacting sales since the beginning of 2025.
The Bank of Thailand has revised its forecast for Chinese tourist arrivals in 2025, reducing the expected number by nearly 30% to 5 million.
This adjustment reflects broader concerns over safety and changing travel behaviors among Chinese tourists, who are increasingly opting for alternative destinations.
Despite the downturn, rental costs for businesses on Banthat Thong Road remain relatively lower than in other commercial areas.
Approximately 80% to 90% of operators lease properties directly from Chulalongkorn University at an average rate of 350 baht per square meter, compared to higher rates in shopping malls and petrol station retail spaces.
The Bantadthong Association is considering initiatives to revitalize the area, including organizing events to attract a broader demographic beyond the current younger clientele, who typically spend between 100 to 250 baht per meal.
The association also aims to discourage price competition among restaurants to prevent further financial strain on operators.
Banthat Thong Road, home to over 300 restaurants, was ranked the world's 14th coolest street by Time Out magazine in 2024.
The area continues to host a mix of long-standing establishments and new eateries, maintaining a low closure rate of 2% to 3% among operators.
