At the TDM Global Summit Bangkok 2026, a discussion led by Gary Marshall, CEO of Travel Daily Media, and Kittiphong Sansomboon, COO of Thai Airways International, focused on a pressing concern for the travel industry: How can regional tourism flourish amid escalating fuel prices and shrinking margins?

Held at the Amari Bangkok, the theme titled The Future of Regional Tourism: A United Front for 2026 transcended mere aviation strategies, delving into broader topics like resilience, premium demand, and the necessity for regional cooperation in tourism.

In light of high oil prices, geopolitical instability, and increasing operational costs, it was established that the next phase of tourism growth would hinge more on value, connectivity, and collaborative strategies rather than sheer scale.

From Volume to Value

Marshall highlighted the fuel dilemma plaguing airlines, questioning how carriers can maintain profitability given soaring costs. Sansomboon emphasized a disciplined approach, urging a focus on ’the right customer’ to prioritize profitability over volume.

This new principle lies at the core of the airline’s Elevated by Heartware strategy, aimed at fostering premium travel by linking airline operations with the hospitality industry. Sansomboon articulated a multi-tiered demand model that distinguishes between essential, business-critical, and high-yield discretionary travelers.

The ultimate goal is not the abandonment of volume but a transition to profitable growth, particularly important when fuel prices threaten margins.

Consistency in Product is Crucial

The discussion shifted to fleet expansion, specifically the addition of 16 Airbus A321neo aircraft, designed to enhance regional travel quality. Marshall indicated these are not ordinary airplanes; they are equipped with premium options aimed at redefining regional luxury.

Sansomboon contended that luxury travel cannot diminish when transitioning to shorter routes, positing that consistent service should be maintained throughout the journey. Travelers should not perceive a decline in service when moving from long-haul to regional flights.

The Strategic Importance of Short-Haul Premium

The conversation underscored the rising significance of short-haul premium travel—historically tied to long-haul, regional trips are becoming a primary focus for affluent Asian travelers. Thai Airways is positioning itself to capitalize on this segment.

Popular routes to cities such as Singapore, Taipei, and Delhi are integral to this evolving strategy.

Strategies to Address the 90/10 Challenge

Debating the 90/10 challenge, which indicates that 90% of travelers frequent just 10% of destinations, the question arose whether Thai Airways could transition secondary cities from mere feeders to true international gateways.

Inspiration was drawn from the Silk Road philosophy, emphasizing aviation as a means to connect diverse economies and cultures. The case for dispersing tourism is strengthening due to factors like overcrowding in major cities and the untapped potential of secondary destinations.

Shifting Focus Beyond Bangkok

The dialogue hinted at a critical transformation: Bangkok has long served as the primary entry point for tourists, but with evolving infrastructure and diverse demands, there’s a growing call for direct access to provincial locales, potentially reshaping tourism marketing strategies across Thailand.

Navigating Permanent High Costs

Marshall concluded by proposing a scenario: What if high fuel prices become the norm? Sansomboon responded, emphasizing that competitiveness in tourism will stem from value creation rather than attempting to be the cheapest destination. Ensuring a worthwhile visitor experience becomes essential.

A Coordinated Approach to Regional Tourism

The central takeaway from the session was that overcoming tourism challenges will require unity across various sectors—airlines, hotels, and tourism authorities must collaborate to boost regional travel resilience and profitability. Thai Airways aims to transition from a volume-driven model to one focused on yield and connectivity, setting the foundation for a more sustainable tourism framework.