Midscale momentum: why flexibility is winning in Bangkok’s hotel market
“I’d say it’s your four-star sector… the midscale was able to adapt faster,” Horvat says, reflecting on recent market volatility and changing travel patterns.
Melbourne-born Horvat has been with Best Western for six years and based in the Thai capital for the past two years overseeing three distinct properties. From the corporate-heavy Wanda Grand to the lifestyle-led Vib and the airport-focused Best Western Nada, Horvat has a clear view of how demand is evolving. His assessment reflects a broader trend across the industry. Travellers are still chasing quality, but they are less willing to pay for the rigidity or price point that often comes with luxury.
While cost still matters, Horvat believes corporate travel decisions are increasingly shaped by efficiency rather than pure savings.
“I’d say they are more location savvy, as opposed to cost savvy… time is of importance,” he explains.
For business travellers, expectations have sharpened into a simple checklist. “Good bed, great shower, fantastic internet, breakfast… and good coffee.”
It sounds straightforward, but it plays directly into the strengths of the midscale sector. Operational efficiency and smart location can now outperform more elaborate luxury offerings. In Bangkok, being close to transport hubs and business districts often counts for more than brand prestige.
The resilience of the midscale segment, especially during disruption, comes down to flexibility.
“A midscale can pivot and swivel fast just due to its efficiency and operation,” Horvat says.
That flexibility extends to market targeting. When international arrivals dip, as seen recently with softer European and Australian traffic, operators can quickly refocus on domestic and regional demand.
“Let’s target the surrounding Asian countries… Malaysia, Singapore… they are still travelling,” he notes.
Luxury properties, by comparison, tend to rely more heavily on long-haul international markets and can take longer to adjust.
Despite the rise of AI tools and smarter search platforms, online travel agents remain central to hotel distribution.
“We are all using OTA partners… they are crucial,” Horvat says, noting that in some cases they account for as much as 80 per cent of bookings.
At the same time, concerns around cybersecurity and reliability are influencing how people book. For many travellers, especially those spending more, brand websites still offer reassurance.
“I’m after security… I know those methods are safe,” he adds.
With pricing now visible across multiple platforms, transparency and reputation have become just as important as rate.
Within the Best Western system, consistency is enforced through clear performance benchmarks.
“We have to be a minimum of four out of five on TripAdvisor… or we’ve got to put some really proper improvement action in place,” Horvat says.
Hotels are also subject to annual, and sometimes surprise, quality assurance inspections. Falling short has real consequences.
“If they consistently fail… they are in danger of losing the brand,” he confirms.
It is a structured approach that reflects a wider industry focus on measurable guest satisfaction and brand integrity in an era dominated by online reviews.
Horvat’s Bangkok portfolio highlights just how varied a single market can be.
Vib Sanam Pao leans into a younger, leisure-driven audience in a well-connected central location.
Best Western Nada Don Mueang focuses on short-stay and transit guests, particularly those catching early flights.
Wanda Grand is geared towards large-scale corporate and conference business, with extensive meeting and event facilities.
“They are three different businesses… they cater for three different markets,” he says.
This spread allows operators to balance demand across segments and manage volatility more effectively.
Despite current headwinds, Horvat remains confident about the outlook. Best Western’s pipeline across Asia remains strong, with continued growth in Thailand, Vietnam and China.
What stands out is not just expansion, but adaptability. The ability to shift focus, adjust strategy and respond quickly to changing conditions is becoming the key differentiator.
In a market where disruption is part of the landscape, scale still matters. But increasingly, it is agility that makes the difference.