Taiwan Today

Times are changing for the local accommodation industry. From the late 1970s, investment in new hotels in Taiwan seemed to take off, with the government encouraging the building spree through various measures such as providing low-interest loans and tax breaks for new businesses. In addition to international-class accommodation, the number of standard-class hotels and hostels targeting budget travelers also climbed. From 2006 to the present, however, the picture has been less rosy. According to Christina Yeh, marketing planner of the Tourism Bureau's hotel, travel and training division, the number of international hotels remained unchanged throughout that period. Although talks are underway to open future international-class ventures in Taiwan, the market in mainland China is also gaining attention from investors. Stanley Yen, president of the Landis Hotels and Resorts and a highly regarded commentator in his field, has written that the current situation in Taiwan poses a serious threat to the long-term development of the local accommodation sector. The opening of such high-end enterprises is necessary, Yen argues in his book The Future that I Foresee, in order to spur the development of the industry as a whole, and continue to give training opportunities to the next generation of hoteliers. Yet, even in these difficult circumstances and despite the gloom of the global economic situation, Taiwan's accommodation sector is finding ways to compete. Tourism Bureau figures show that occupancy rates at standard-class hotels rose from 61.24 percent in April 2008 to 64.40 percent in April this year, while rates for international-class hotels jumped from 64.74 percent to 70.59 percent for the same period. One new trend is the rise of boutique hotels, high-end specialty venues aiming to attract an exclusive clientele, which values privacy and the highest levels of service. Such hotel operators celebrate the small scale of their businesses and pride themselves on the level of individual attention that they can lavish on guests. Leisure farms are another strong performer in the sector, with Taiwan's environmental and agricultural resources enhancing their attractiveness. The number of international visitors to leisure farms leapt from just 1,300 in 2004 to nearly 70,000 in 2008. Shangrila Leisure Farming in Yilan County, for example, attracted more than 20,000 international visitors in 2008, making it one of the top attractions among Taiwan's many such farms. Shangrila is also cited as an example of the success that is possible when an ambitious business owner teams up with government agencies and development organizations in the sector. In the case of Shangrila, the farm's operators have benefited from intensive participation at international travel and tourism fairs in the region, which they attend in conjunction with the Taiwan Visitors Association. The success of Taiwan's leisure farms, in particular, is a good example of what is possible when the government sector, industry associations and individual operators work together. "Youth" hostels are also opening to all members of the general public. With such accommodations available, visitors of all ages and, importantly, all budgets, can afford to get away to experience the many natural vacation destinations from Jinshan on the northern coast of Taiwan to Kenting at the southern tip. What many of these newer style accommodations offer is much more than a meal or a bed for the night. They provide a chance to get to know the "real" Taiwan from the warm, personalized hospitality of boutique hotel operators, to an experience of country living at a tourist leisure farm, to a chance to explore world famous destinations such as Taroko National Park for budget travelers. Taiwan is a place well worth visiting and the accommodation sector, government and industry groups are working together to put out the welcome mat.