Going to Thailand may not be as cheap as you think, especially if you are looking to stay in a luxury resort.

In fact, according to travel website Skift, quoting a report by the Diethelm Travel Group, the cost of a holiday in popular beach resorts in Thailand are either equal or higher than many popular Western destinations.

Five-star resorts cost more in Thailand than in Europe

The cost of a five-star resort in popular Thai destinations such as Koh Samui, Koh Phangan and Koh Samed has reached around US$500 (S$680) per night.

This is similar to the cost of a five-star beach resort in Greece, Italy and Spain.

These resorts in Thailand are also significantly more expensive than a comparable resort in Turkey or Egypt, which costs around US$350 (S$480) per night.

Even mountain resorts in Germany, Austria and Switzerland, which are traditionally viewed as expensive destinations, only cost around US$450 (S$610) per night during peak periods.

Four-star also more expensive

The higher prices are not exclusive to luxury hotels, as four-star Thai beach hotels are similarly more expensive than their foreign counterparts.

Four-star Thai hotels at popular beach locations cost around US$350 (S$480) per night, which is comparable to hotels in Greece, Italy and Spain, and significantly higher than those in Turkey and Egypt, which cost around US$200 (S$270) per night.

These statistics were based on regular price benchmarking by Diethelm, one of Thailand's oldest and largest travel providers.

High prices affecting tourism

However, these high prices may be driving tourists away, causing a strain on Thailand's economy.

Thai holiday prices have increased by about 30 per cent in U.S. Dollar terms and 40 per cent in Euro terms over the last five years, due to the appreciation of the Thai baht, and inflation.

Skift reported that Thailand is struggling to achieve its target of 39.8 million visitors in 2019, which is already a downward revision from its previous target of 40 million visitors.

Thailand recently extended its visa-on-arrival fee waiver for citizens of 20 nations for another six months, in an attempt to encourage more travellers.

Judging by the list of nations for which the visa fee is waived, Thailand is relying on China, India and other emerging markets to boost its tourism industry.

Top image from Kohsamui.com.