| While Thailand tourism has been hit hard by the | | | | after suffering last year with the Tsunami. And it |
| World Cup, Agoda ( - which has its operations | | | | is no coincidence that some of Agoda's best |
| headquarters in Bangkok, Thailand, - has | | | | offers are for Phuket Hotels. Of particular note, |
| responded with price cuts, and these cuts may | | | | Fan is proud to point out, is the Burasari Hotel |
| remain in place, at least for a little while longer. | | | | Phuket which is offering a very attractive rate of |
| Agoda VP Wilfred Fan explains, "Many online travel | | | | US$61/night right now. |
| merchants projected losses of up 22% because | | | | "These specials are offered to us because these |
| of the World Cup, but we saw this coming and | | | | are personal relationships," says Fan. "We were |
| slashed hotel rates at all our top Thai destinations. | | | | small and local when we began. Now we're bigger |
| The increase in business has helped us keep our | | | | and local, despite having operations in other major |
| losses minimal, and we've decided to keep them | | | | cities." Fan himself has lived in Bangkok for many |
| in place for another month or so, as customers | | | | years, although born in Hong Kong, and has spent |
| now turn their attention back to Asia travel." | | | | a large part of his career in the hotel business in |
| Agoda, like many other Asia-based online | | | | Australia. |
| merchant receives about 40% of its sales from | | | | "Every Agoda customer is automatically enrolled in |
| Europeans. | | | | our unique rewards program," adds Fan, "so |
| Indeed, Thailand was projected to lose up to | | | | instead of having just clients, we have over |
| US$60 million in revenue shortfall due to | | | | 100,000 loyal members who receive cash back on |
| Europeans staying home for the World Cup. As | | | | future bookings, good on 22,000 hotels worldwide. |
| many as 40,000 fewer tourists were expected | | | | That's a huge difference." Agoda also offers a |
| to arrive during the four weeks of the | | | | price guarantee where it will match prices offered |
| competition. This forced serious action by Agoda. | | | | by any competitors. |
| Says Fan, "at all our top destinations, we provided | | | | According to Fan, Agoda stays in touch with |
| incentive discounts to drive sales. For Bangkok | | | | clients through newsletters and special offers, so |
| Hotels, for instance, all our prices are lower than | | | | those 100,000 regular Agoda travelers found out |
| usual for this time of year, but some are | | | | about our 'World Cup' deals and had time to plan |
| significantly so. Take the Davis Hotel Bangkok at | | | | accordingly. Of course, no matter what was |
| US$56/night, for instance, or the new Lebua at | | | | offered, many decided to stay home and watch |
| State Tower Hotel Bangkok for only US$96/night. | | | | the game on a more convenient time zone with |
| These are the kind of special offers that only | | | | their friends. |
| locally based merchants can offer because they | | | | "After the first couple of weeks, half of our |
| have the relationships and can move quickly to | | | | member countries were out of the contest |
| get them on their websites and into the hands of | | | | anyway, with fans then thinking about a nice |
| agents. It takes a serious incentive to get | | | | vacation where they can forget about World Cup |
| European football fans to change their plans at a | | | | disappointments. We figured the least we could do |
| time like this, so some of the price cuts were | | | | would be keep the price incentives in place for a |
| pretty dramatic." | | | | little longer," says Fan. |
| Agoda started in a small office in Phuket in 1997, | | | | The discounts are slated to end sometime in July |
| when the online travel business was just getting | | | | or mid-August, well after the final game on July |
| off the ground, where there was always an | | | | 9th. For football fans, it looks like there is life after |
| enormous range of travel choices on offer. | | | | the World Cup after all. |
| Tourism is starting again to boom in this region | | | | |