Hello Penang Campaign Strengthens Tourism Promotion Efforts In Penang

 

GEORGETOWN — Tourism Malaysia continues to strengthen domestic and international tourism promotion efforts through a strategic collaboration with the Malaysian Budget & Business Hotel Association (MyBHA) Penang Chapter and Trip.com by implementing the Hello Penang Campaign. 

This tactical promotional campaign focuses on hotel accommodation offerings in Penang through the Trip.com online booking platform, providing visitors with attractive options and offers when planning their visits to the state. The initiative also aims to revitalise local tourism activities, increase hotel occupancy rates, and support the growth of Penang’s tourism economy and hospitality industry. 

Under this collaboration, MyBHA Penang Chapter serves as the coordinator for the participation of member hotels in Penang, while Trip.com acts as the official platform by providing marketing and promotional support, as well as online booking facilities. 

The Hello Penang Campaign was officially launched by Mr Abdul Hadi Che Man, Director of Tourism Malaysia Northern Region. Also present were Mr Andy Lau Eng Leong, Chairman of MyBHA Penang Chapter; and representatives from Trip.com’s marketing team. The launch ceremony was held at Hotel Malaysia, George Town, one of the campaign’s participating hotels. 

Running for three weeks from 7 to 27 October 2026, the campaign offers an RM20 discount per night during the promotional period. Bookings made during the promotional period may be used for stays until 30 April 2027, in addition to cash rebates and other promotional offers provided by Trip.com and participating hotels. 

The campaign targets up to 10,000 room bookings through the network of MyBHA Penang Chapter member hotels participating in the campaign on the Trip.com platform. This target is strongly supported by the 28.8 million international visitor arrivals recorded between January and August 2026, an increase of 1.8 per cent against the 28.2 million recorded during the same period in 2025. In addition, the 151.6 million domestic visitor arrivals recorded in the first half of 2026 also supported this momentum. The figure represents a 5.6 per cent increase compared to the 143.5 million recorded in the corresponding period last year. 

The strategic collaboration with Trip.com, which has an estimated 6.67 million registered members, also provides a wider opportunity to promote Penang to both domestic and international markets. This partnership is expected to stimulate demand for local accommodation products while generating economic spillover benefits for tourism industry players, related businesses, and local communities. 

As one of Malaysia’s key tourism destinations, Penang offers a diverse range of tourism products and experiences, including heritage, gastronomy, arts and culture, nature, and urban attractions. Through continuous promotional efforts and strategic collaboration with industry players, Penang’s appeal as a sustainable and culturally rich destination can be further strengthened. 

Tourism Malaysia will continue to strengthen collaboration with industry stakeholders and strategic partners to diversify promotional approaches, expand market reach, and support the national tourism industry’s sustainability and competitive growth. 

Members of the public seeking further information on the Hello Penang Campaign and the list of participating hotels may contact MyBHA Penang Chapter at +60 16-526 8133 or visit www.mybha-penang.org.

-Tourism Malaysia.

MyBHA Launches Tourshield, Urges Government To Address Growing Threats To Malaysia’s Hotel And Tourism Industry

 

MELAKA - During the Annual General Assembly, MyBHA launched “TourShield” as an industry initiative aimed at strengthening safety, security and protection throughout the hospitality and tourism journey.

TourShield was officially launched by YBhg. Datuk Manoharan Periasamy, Chairman of Tourism Malaysia. In conjunction with the launch, a Memorandum of Understanding (MoU) was signed between Dr Sri Ganesh Michiel, National President of MyBHA, and Mr Jayden Chuah Chee Keong, Chief InsurTech Officer of VKA Wealth Planners Sdn Bhd, one of the companies mandated by the Association to manage and facilitate the TourShield initiative.

The event also witnessed the signing of separate MoUs between VKA Wealth Planners Sdn Bhd and Mr Hann-Ti Tan, Executive Director of Fastlane Emergency Resources Group Sdn. Bhd., as well as Dr Fabian Lim, Chief Operating Officer of HEYDOC Health Sdn. Bhd. These collaborations are aimed at further strengthening TourShield through the provision of additional safety, security and protection services for the hospitality and tourism ecosystem.

Also present and witnessing the signing ceremonies were Mr Mohd Roslan bin Abdullah, Senior Director of the Domestic and Events Division, Tourism Malaysia, representing the Director-General of Tourism Malaysia; and Mr Mohamad Bukhari bin Che Man, Director of the Melaka Office of the Ministry of Tourism, Arts and Culture Malaysia (MOTAC), representing the Secretary-General of MOTAC. Their presence reflected the importance of strengthening collaboration between government agencies and industry stakeholders in advancing safety, security and protection initiatives within Malaysia’s hospitality and tourism sector.

“TourShield carries a clear principle: ‘Securing Hospitality, Safeguarding Journeys.’ As we continue to grow the tourism sector, we must also strengthen the ecosystem that protects our visitors and our industry. Tourism growth, safety, responsibility and sustainability must move forward together,”.

MyBHA calls upon hotel industry operators to stay informed about the exclusive packages and benefits offered to MyBHA members under this initiative.

-Tourism Malaysia.

Malaysia targets tourism revival with Budget 2026 measures

 

The Malaysian Tourism Federation (MTF) has welcomed the federal government’s strong focus on tourism in the 2026 National Budget, presented on October 10 by prime minister and finance minister Anwar Ibrahim, calling it a clear signal of Malaysia’s intent to regain its position as a leading global destination during Visit Malaysia Year 2026 (VMY2026). 

MTF president Sri Ganesh Michiel said in a statement that the government’s introduction of tax rebates of up to 1,000 ringgit (US$237) for Malaysians visiting local attractions and cultural programmes reflected a firm commitment to domestic tourism.  

He also welcomed tax incentives for companies and associations organising international conferences, exhibitions, and incentive events in Malaysia, as well as a 100 per cent income tax exemption on increased income derived from tour packages to the country. 

Ganesh said such support would encourage licensed tourism operators to reinvest in their businesses and align with Malaysia’s goal of delivering high-quality tourism experiences. 

He praised the government’s allocation of more than 700 million ringgit to strengthen the sector, which aims to attract 47 million visitors and generate 329 billion ringgit in revenue during VMY2026. However, he stressed that benefits must be directed only to legitimate, licensed, and tax-compliant operators to prevent unfair competition and revenue loss. 

“By ensuring that only licensed and regulated operators receive these incentives, we uphold the integrity of Malaysia’s tourism ecosystem and ensure that the government’s investment translates directly into sustainable economic returns,” he said. 

MTF also urged federal and state governments to maintain contingency funds to protect tourism development in case of financial shortfalls, ensuring continuity of VMY2026 initiatives. 

“Tourism is dynamic; readiness and adaptability are essential to meet emerging global trends,” Ganesh added. 

He called on Malaysians to act as national ambassadors. “The success of VMY2026 depends on all of us. Let us unite in spirit, avoid negative publicity or actions that may harm the country’s image, and show the world the warmth, diversity, and unity that define Malaysia,” he said. 

The Malaysia Budget & Business Hotel Association (MyBHA) echoed similar sentiments but urged the government to extend the 1,000 ringgit personal income tax relief to include accommodation at licensed hotels and resorts. 

“This move would further promote responsible domestic travel, directly benefiting legitimate operators and reinforcing the importance of staying in licensed and regulated establishments that comply with safety and quality standards,” MyBHA said in its statement. 

MyBHA also reiterated the need for enforcement against unlicensed accommodation providers that distort fair competition and evade taxes. The association welcomed the upcoming regulations on short-term rental accommodation, the revised Tourism Industry Act, and rules for OTAs, describing them as crucial to ensuring “fair competition, consumer protection, and long-term sustainability of Malaysia’s tourism and hospitality sector”.

-TTG Asia.

Pengusaha penginapan tidak berlesen jejas industri pelancongan Malaysia - MyBHA

 

KUALA LUMPUR: Persatuan Hotel Bajet dan Bisnes Malaysia (MyBHA) mendakwa pengusaha penginapan jangka masa pendek (STRA) yang tiada lesen terus berleluasa menjalankan aktiviti penjualan dan promosi di platform Agensi Pelancongan Dalam Talian (OTA) sehingga mengancam pemain industri berdaftar.

Sehubungan itu, Presiden MyBHA, Dr Sri Ganesh Michiel, menggesa kerajaan segera bertindak tegas antaranya dengan mengawal selia STRA yang dilihat aktif mempromosikan perniagaan tidak berdaftar itu di media sosial.

Selain mengancam industri penginapan negara, beliau juga bimbang ia boleh menjejaskan reputasi pelaksanaan Tahun Melawat Malaysia 2026.

"Kewujudan unit STRA yang tidak berlesen dan tidak di kawal selia, termasuk apartmen, kondominium dan kediaman persendirian yang ditukar menjadi penginapan sementara mencetuskan ekonomi penginapan haram.

"Entiti ini beroperasi di luar rangka kerja undang-undang, tidak membayar lesen atau cukai, tidak terikat dengan aspek keselamatan serta menjejaskan pemain industri pelancongan sah yang telah banyak melabur bagi mematuhi undang-undang serta peraturan-peraturan sedia ada.

"Pengusaha STRA tidak berlesen ini sedang menghakis kredibiliti dan kelestarian ekosistem pelancongan Malaysia," katanya dalam kenyataan hari ini.

Ganesh Michiel mendakwa ketiadaan pemantauan yang berkesan terhadap kegiatan itu mengakibatkan pelbagai masalah termasuk risiko keselamatan kepada pelancong, akibat kegagalan pengusaha penginapan tidak berdaftar itu dalam mematuhi peraturan keselamatan kebakaran dan kesihatan.

Selain itu, beliau mendakwa kewujudan STRA mencetuskan gangguan terhadap komuniti kediaman akibat penginapan sementara yang tidak dikawal.

"STRA juga mengakibatkan kehilangan hasil cukai kepada pihak berkuasa tempatan (PBT) dan kerajaan Persekutuan. Ia turut boleh mencetuskan penyelewengan harga pasaran yang merugikan pengusaha hotel yang sah;

"Kita juga bimbang STRA membiarkan pelancong terdedah kepada penipuan dan premis yang tidak selamat kerana mempunyai perlindungan pengguna yang lemah," katanya.

Bagi menangani isu berbangkit, beliau turut menyarankan penubuhan satu jawatankuasa khas dianggotai Kementerian Perumahan dan Kerajaan Tempatan (KPKT) bersama Kementerian Pelancongan, Seni dan Budaya (MOTAC) untuk segera memperkenal serta menguatkuasakan undang-undang bagi pengoperasian STRA.

Beliau mencadangkan PBT diberi kuasa untuk menguatkuasakan undang-undang secara konsistem tanpa menjejaskan perniagaan hotel berlesen.

"Jawatankuasa itu disarankan untuk menetapkan standard operasi dan keselamatan minimum bagi semua penyedia penginapan," katanya.

-berita harian online.

Tawaran Menarik Penebusan E-Baucar Oleh Pusat-Pusat Penginapan Di Bawah Pelan Pemulihan Pelancongan 2022

KUALA LUMPUR, 13 Julai 2022 – Kementerian Pelancongan, Seni dan Budaya (MOTAC) melalui Tourism Malaysia hari ini melancarkan Pelan Pemulihan Pelancongan 2022 (PRE2.0) bagi Kluster Penginapan dalam usaha menyemarakkan pelancongan domestik seiring peralihan ke fasa endemik.

 

Pelan Pemulihan Pelancongan 2022 yang merupakan kesinambungan daripada Pakej Rangsangan Ekonomi (PRE 1.0), adalah salah satu inisiatif di bawah Pelan Pemulihan Industri Pelancongan yang melibatkan penyaluran insentif kepada rakyat Malaysia dalam bentuk diskaun, baucar dan rebat.

 

Di bawah Kluster Penginapan, dianggarkan seramai 33,830 rakyat Malaysia berpeluang menebus tawaran e-baucar bernilai antara RM50 sehingga RM100 menerusi pembelian bilik penginapan hotel secara atas talian melibatkan hotel-hotel seluruh Malaysia bermula 15 Julai 2022 sehingga 31 Disember 2022. Penebusan adalah terhad untuk tiga kali penebusan sahaja bagi setiap pemilik MyKad.

 

Antara pusat penginapan yang terlibat adalah hotel-hotel di bawah Persatuan Hotel Malaysia (MAH), Persatuan Pemilik Hotel Malaysia (MAHO), Persatuan Hotel Bajet dan Bisnes Malaysia (MyBHA) dan Rangkaian Hotel Seri Malaysia (HSM).

 

Menteri Pelancongan, Seni dan Budaya, YB Dato' Sri Hajah Nancy Shukri berkata, pelancaran inisiatif ini bertujuan menarik minat orang ramai khususnya Keluarga Malaysia untuk terus membuat tempahan bilik penginapan hotel pada harga diskaun yang istimewa dan seterusnya melaksanakan aktiviti pelancongan domestik.

 

“Kerjasama strategik yang dijalinkan oleh Tourism Malaysia bersama persatuan-persatuan ini disasarkan untuk merangsang kembali pemulihan industri pelancongan sekali gus menyumbang kepada pemulihan ekonomi negara secara keseluruhan,” katanya.

 

Persatuan Hotel Malaysia (MAH) dan Persatuan Pemilik Hotel Malaysia (MAHO) akan menawarkan e-baucar bernilai RM100 dengan nilai pembelian minimum RM150 untuk 19,900 pembeli terawal manakala Persatuan Hotel Bajet dan Bisnes Malaysia (MyBHA) menawarkan e-baucar bernilai RM50 dengan nilai pembelian minimum RM60 untuk 7,960 pembeli. Kesemua e-baucar boleh diperolehi di aplikasi Shopee.

 

Rangkaian Hotel Seri Malaysia (RHSM) pula menawarkan rebat bernilai RM50 dengan nilai pembelian minimum RM170 (bilik standard) atau RM210 (bilik keluarga) untuk 5,970 pembeli terawal. Tempahan di Rangkaian Hotel Seri Malaysia boleh dibuat secara jumpa terus (walk-in), e-mel atau telefon.

 

MOTAC melalui agensi promosi Tourism Malaysia telah melancarkan program PRE2.0 pada 17 Mei 2022 yang memberikan tawaran diskaun dan rebat di bawah sektor persatuan agensi pelancongan, pengangkutan darat, taman tema, selam skuba, inap desa dan pengangkutan udara.

 

Secara keseluruhannya, Program Pelan Pemulihan Pelancongan (PRE2.0) ini akan memberikan manfaat kepada semua Warga Keluarga Malaysia untuk menikmati inisiatif yang telah ditawarkan oleh pihak Kerajaan Malaysia.

-Tourism Malaysia.

Malaysia budget hotels urge govt to regulate OTAs

 

The Malaysia Budget and Business Hotel Association (MyBHA) is urging the government to enact laws to regulate online travel agencies (OTAs), claiming that the price war among the OTAs have hurt their profit margins amid the Covid-19 downturn.

Regulations proposed by the MyBHA include setting a ceiling price on the sales commissions of OTAs as well as to enforce guidelines on short-term residential accommodation in order to protect its members whose businesses are on the verge of collapse.

MyBHA national deputy president, Sri Ganesh Michiel, told TTG Asia that MyBHA members are now completely reliant on OTAs due to changing booking patterns brought on by the Covid-19 pandemic.

According to Sri Ganesh, more than 90 per cent of bookings now come from OTAs, whereas in pre-Covid times, walk-in clients formed the majority of bookings.

He explained: “OTAs have an upper hand. They announce campaigns and promotions and activate them without the knowledge of the hotelier on a case-to-case basis, thus selling rooms at rates lower than our recommended selling price. This creates an unhealthy price war among the (OTAs).

“On top of that, they charge overly-high sales commission of 40 per cent which bleeds the operator and makes it impossible to cover operating costs. There is also a tendency to increase sales commission without any discussion or consent from the hotel operator.”

Citing more examples of what he dubbed “the new normal technology colonisation”, Sri Ganesh shared: “A tactic often used is to advance monies to OTAs based on past revenue forecasts. In return, hotels must provide OTAs with a stipulated number of rooms at a discounted rate or at a very high commission.

“OTAs also threaten not to promote the hotel or to suspend or terminate the hotel account if the operator refuses to cooperate in accordance with the requirements of OTAs.”

What is further distressing MyBHA members is that the Star Rating given by the Ministry of Tourism, Arts and Culture has been made redundant as OTAs tend to display ratings and reviews posted by users, whose complaints cannot be verified. Sri Ganesh also lamented that hotel operators have no control over customers who have been blacklisted by the hotel for misdeeds, but are now booking rooms through OTAs.

MyBHA also called on the government to enforce guidelines on short-term residential accommodation at non-hotel condominiums or residential units which are sold by OTAs. Sri Ganesh claimed that these types of accommodation have become increasingly popular with locals as they need not adhere to the Covid-19 SOPs set by the authorities.

Also, owners of the units do not have an operating licence from the Ministry of International Trade and Industry or a business licence, and do not pay any tax from the rental of their units.

Sri Ganesh stressed: “It is not just hotel industry players who have long suffered by this industry threat due to the absence of laws to regulate OTAs and enforce guidelines on short-term residential accommodation. The government has also directly suffered losses due to no service tax collection for short-term residential accommodation.”

Urging the government to take urgent action in order to speed up the recovery of the hotel industry, he asked: “If the government can control the ceiling prices of Covid-19 test kits and the price of certain food items, why can’t they set a ceiling on OTA commission rates?”

-TTG Asia.

MyBHA offers suggestions that could help ailing hospitality industry

 

KUALA LUMPUR: The Malaysia Budget and Business Hotel Association (MyBHA) is demanding for assistance to be given to the hospitality and travel industries for the sake of their survival.

MyBHA deputy president Dr Sri Ganesh Michiel said the onus is on the federal and state governments, including government agencies and the private sector to cooperate to prevent further business closures and major lay offs amidst the pandemic.

"The inter-district and interstate travel bans have affected hotel operators as they would have fewer customers to serve, which would directly cause a decrease in revenue and this contributes to the reduction of workers, layoffs and finally, hotel closures.

"Many factors can be considered to lighten the burden shouldered by industry players.

"However, it seems that the authorities have failed to implement them," said Michiel in a statement today.

The association has put forth a list of requests for the government for the continuity of the hospitality and travel sectors.

The list includes a revision of the Wage Subsidy Programme and suggestions to help with electricity tariff, which can help hospitality industry players.

"We are asking them to revise the latter (electricity tariff) and suggest for it to be changed from a commercial tariff to industrial tariff rate for (hospitality) industry players.

"We want the government to implement 10 to 50 per cent discount for electricity bills till December 2021 for our industry players."

Other suggestions were for authorities to grant hospitality-related employers and employees a 12-month special exemption from contributing to the Employees Provident Fund (EPF); as well as tax exemptions for tourism industry premises for 2020 and 2021.

Michiel said MyBHA proposed for an automatic special moratorium for industry players until December 2021; and to introduce a Special Tax Incentive for the entire duration between 2020 to 2022.

He said another suggestion was for hospitality and travel industry players to be prioritised for vaccination.

He said similar to frontliners, workers in hospitality industry also deal a lot with members of the public, and this exposes them to the risk of Covid-19.

"We also demand water supply companies in the respective states to give a special discount of 50 per cent until December this year to hospitality sector, and to ensure no water cuts are made to any hotels during Movement Control Order.

"We urgently appeal for the Penjana Tourism Financing and its effectiveness to be reviewed immediately as we have been receiving negative feedback from our members."

Michiel urged for the setting up of a special division under the Tourism, Arts and Culture Ministry, together with Finance Ministry to process all loan applications submitted by its industry players at this crucial period.

He said MyBHA hoped their demands could be met, and for their members' pleas, grievances and complaints to be taken seriously.

He urged the government to ensure immediate action is taken for the sector's sustainability during this pandemic.

-nst online.

Book Your Next Budget Holiday With “JOM NGINAP” Using Touch ‘N Go EWallet

 

PUTRAJAYA, 31 DECEMBER 2020 – Tourism Malaysia has collaborated with Malaysia Budget Hotel Association (MyBHA) in coming up with a new super-saving campaign called “Jom Nginap”, inviting Malaysians to save while spending on hotel-booking. This is in line with the Ministry of Tourism, Arts and Culture’s (MOTAC) call to revive the national economy through domestic tourism.

Starting today until 31 March 2021, the “Jom Nginap” campaign is one of the initiatives announced by the Minister of Tourism, Arts and Culture Dato’ Sri Hajah Nancy Shukri under the Stimulus Recovery Plan (PRE) that is aimed at boosting domestic tourism while keeping in check the adherence to the standard operating procedures (SOP) by the Ministry of Health (MOH) and the National Security Council (NSC).

In collaboration with Gkash, the “Jom Nginap” campaign is accessible through the widely preferred online payment platform, Touch ‘n Go eWallet. Users only need to spend a minimum of RM50 on a hotel stay and receive RM20 cashback within three (3) working days. Users also get to enjoy a variety of accommodation packages specially brought by the members of Malaysia Budget Hotel Association.

For more information, visit https://www.tngdigital.com.my/mybhajomnginap.

-Tourism Malaysia.

'Jom Nginap' Cuti-cuti Malaysia di Selamat Pagi Malaysia ( 11 Januari 2021 )

 

'JOM NGINAP' temubual Cuti-Cuti Malaysia bersama Y.Bhg. Dato' Dr. Ammar Abd Ghapar, Pengarah Kanan Bahagian Domestik dan Acara dan Puan Emmy Suraya Hussein, Presiden Persatuan Hotel Budget Malaysia di Selamat Pagi Malaysia, pada 11 Januari 2021 (Isnin) 8.00 hingga 10.00 pagi.

-Tourism Malaysia.

Malaysia budget hotels aim to boost occupancy through digitalisation

 

With the pandemic accelerating consumer demand for contactless payment solutions, budget hotels in Malaysia are looking to switch their operating models in order to capitalise on the contactless economy.

The Malaysia Budget Hotel Association (MyBHA) is encouraging its members to shift to contactless payment methods to boost their hotels’ occupancies, through the launch of the Jom Nginap (which means Let’s Stay in Malay) campaign, in collaboration with e-wallet provider Touch ‘n Go (TNG) and local digital payment solution provider Gkash.

MyBHA’s national president, Emmy Suraya Hussein, shared: “We will be the first hotel association to initiate and engage with 14 million TnG eWallet users in the country.”

Under the campaign, TnG will exhibit and promote all participating hotels in the TnG eWallet app, while Gkash will provide digital wallet solutions through business apps at zero-entry costs.

MyBHA will initially engage with 200 hotels nationwide to participate in this campaign which will run from November 15 to December 31, 2020. Looking ahead, the association will encourage more hotels to participate in similar eWallet cashback campaigns in the future.

-TTG Asia.

http://mybha.org/

With a new government, Malaysian hotels urge review of tourism tax

Hotel associations had opposed the tax leading up to its implementation,

saying it impinges on the destination’s price competitiveness

With the Malaysian cabinet set for a refresh following Mahathir Mohamad’s landmark election victory and return to the post of prime minister, the country’s three main hotel associations are taking the chance to resurface their objections surrounding a tourism tax that came into effect in September 2017.

Diminished competitivenessespecially in the budget hotel sector and hotels’ unwillingness to be made “collecting agents” for the tax are among the issues highlighted by the Malaysian Association of Hotel Owners’ (MAHO), Malaysian Association of Hotels (MAH), and Malaysia Budget Hotel Association (MyBHA).

This comes as the government announces a reduction of a goods and services tax introduced in 2015 to zero.

MAHO executive director, Shaharuddin M Saaid, shared with TTG Asiathat the association will push for an overall review of the tourism tax so that it does not hurt inbound arrivals.

Shaharuddin said: “A RM10 (US$2.50) tourism tax per room per night at a budget hotel that costs RM50 to RM80 per room per night is too much for guests to pay. The budget hotels complain that they are losing business because of this tax.”

The association hopes to recommend putting a new mechanism in place to free hotels of the tax collection role they have reluctantly assumed.

In addition, the three hotel associations had last year proposed that the government introduce an exit tax that should be collected at the airports and borders and imposed on foreign tourists. Shaharuddin said: “We will most likely bring up this proposal again.”

Under the system, foreign tourists are charged a flat rate of RM10 per night and per room and Malaysian citizens and permanent residents are exempted from paying the tax.

-TTG Asia.

Short-term rentals threaten survival of budget hotels in Malaysia

Budget hotels in Malaysia are doing what they can

to keep their head above the water as arrivals dip

Increased competition from Airbnb is taking a toll on the occupancies of budget hotels in Malaysia, raising concerns over the viability of lower-tier accommodation providers in the formal economy.

Alongside declining arrivals into Malaysia last year, competition from Airbnb, which are not required to pay taxes and comply to government regulations, are reasons why budget hotels have a tough time surviving, Malaysia Budget Hotel Association president PK Leong said.

He revealed that year-on-year business revenue of the budget hotel sector had 

dropped by some 20 per cent in 2017 from the preceding year.

At the same time, tourist arrivals into the country declined 2.5 per cent to 21.5 million from January to October 2017.

He said that in reaction to the lack of business, hotels have engaged in price wars.”We are down to the bones, and there is no indication of (the situation) improving in 2018.”

It is increasingly difficult for budget hotels to survive, noted Leong. “In 2012, we needed about 55 per cent average room occupancy to break even,” he said. 

“Today, we need around 65 to 70 per cent as operating costs have increased. The two biggest costs for hotel operation is salaries and electricity bills.”

To cope, some hotels have had to close 50 per cent of their rooms and retrench employees, he said, adding that some 10 budget hotels in Kuala Lumpur ceased operations last year as they were making losses.

Meanwhile, Emmy Suraya Hussein, general manager at Seri Malaysia Hotel Genting, said hotel occupancy had plunged from 80 per cent when Genting outdoor theme park ceased operations in 2013 to the current levels of between 50 to 60 per cent. “We can still cover operating costs but profits are much lower,” she said.

“Our marketing strategy now is to capitalise on the Genting Premium Outlets (a 10-minute drive from the hotel) that opened last year by creating special weekday packages.”

-TTG Asia.

https://www.serimalaysia.com.my/my/Hotels/HsmGentingHighlands