The prolonged political crisis has hit the medical tourism industry, as international patients lose confidence in the Kingdom and in many cases fly to chief competitor Singapore, instead. However, some private hospitals are keeping their revenue projections for this year unchanged, having recorded impressive operating results in the first quarter.
Chatree Duangnet, CEO of Bangkok Hospital Medical Centre, the operator of Bangkok Hospital, which is under the umbrella of Bangkok Dusit Medical Services (BDMS), said recently that many countries had warned citizens to avoid travelling to Thailand. As a result, insurance companies in those countries are refusing to cover medical treatment performed here. Some foreign patients whose conditions are serious and who cannot wait for the situation in Thailand to be resolved have already opted for Singapore or other destinations. This is reflected in a decline in international-patient numbers at Bangkok Hospital in the second quarter, Chatree said.
"Hospitals in Singapore are seeing a windfall, as foreign patients have shifted to the country to avoid the violence in Thailand. However, I believe it is a temporary problem. Once the political turmoil ends, they [international patients] will again show a preference for Thailand over other destinations, because of our kind people, better service and quality tourism destinations," he said.
If the political demonstrations end soon, he said, Bangkok Hospital's foreign-patient numbers would pick up again as patients who put their plans on hold resumed them.
Chatree said that while foreign-patient numbers had dropped, the number of Thais coming to Bangkok Hospital had increased, as many patients were opting to avoid hospitals in the centre of Bangkok.
Furthermore, patient numbers at Bangkok Hospital branches upcountry have increased, he said, adding that Bangkok Hospital was taking full advantage of its nationwide network.
Chatree said that despite the political turmoil, BDMS retained its revenue target of 7- to 9-per-cent growth from Bt22.175 billion last year, because of its impressive operating results in the first quarter of this year. The company's revenue in the first three months grew by 13 per cent compared with the same period of 2009.
Kenneth Mays, senior director, hospital marketing and business development, at Bumrungrad Hospital, said that international-patient numbers had been affected right from the very beginning of the red-shirt demonstration on March 12, because the subsequent decline in the overall tourism industry had also reduced the number of tourists seeking unexpected medical treatment.
Bumrungrad has seen a small decline in medical travellers. Patients from regions such as the Middle East, Africa and Central and South Asia seem to be less sensitive to political developments than those from North America, China and Southeast Asia, Mays said.
Meanwhile, many expat patients, concerned about their safety while travelling in Bangkok, have postponed non-urgent medical treatments, he said.
Mays said Bumrungrad would maintain its business plan for this year, which is based on boosting client numbers. The hospital recently opened a Women's Centre, and inpatient room upgrades were completed last week. The hospital is also adding overseas representatives to help expand its outreach to new international markets in Europe, Africa and the Middle East, he said.
Chokchai Jarusiripipat, newly appointed director of Samitivej Sukhumvit Hospital, said the prolonged political crisis had had a minimal impact at his hospital as foreign clients accounted for only 2 per cent of overall patient numbers. Most of the hospital's foreign patients are expats, particularly Japanese living on Sukhumvit Rd and Soi Thong Lo, which are close to Samitivej Sukhumvit Hospital.
He said the hospital had not adjusted its medical service fees this year. Moreover, the hospital has organised many medical activities to attract both Thais and international patients.
Samitivej has also designed affordable medical packages and optimised medical costs for some patients who cannot access hospitals in central Bangkok, he said.
"We are continuing with these policies despite the political tension. And we're confident that our revenue this year will grow by 9 to 10 per cent, as planned," he said.