CHIEF Minister Chow Kon Yeow has called on the hospitality sector to evolve in order to meet the changing needs of modern travellers.
Speaking at the Penang Hoteliers’ Association (PHA) 68th Anniversary Dinner celebration at St Giles Wembley, Chow emphasised that the industry must go beyond traditional services, embracing sustainability, lifestyle, wellness, and cultural experiences.
“The state government will continue to improve infrastructure, connectivity, and policies. But equally important, the hospitality sector itself must evolve to meet the demands of today’s travellers,” said Chow.
He said he felt a sense of déjà vu, recalling that just two weeks ago, he attended the MAH Penang Chapter’s Biennial Dinner 2025, where he engaged with many of the same industry professionals.
Chow highlighted that today’s tourists are no longer focused solely on rooms, food, and location. Instead, they are increasingly seeking sustainable practices — whether in energy use, waste management, or community support.
“Hotels must adapt by providing memorable experiences that reflect modern values, rather than just offering rooms and amenities,” he added.
He also acknowledged the shift in the industry towards a greater emphasis on lifestyle, creativity, and cultural experiences, expressing confidence that Penang’s hoteliers are more than capable of rising to this challenge.
On the state government’s part, Chow highlighted several key priorities for the tourism and hospitality sectors, including expanding direct air connectivity, hosting more regional and international events, maintaining high standards for safety and hygiene, strengthening digital infrastructure for visitors and digital nomads and engaging hoteliers to raise service excellence and support services.
State Tourism and Creative Economy Committee chairman Wong Hon Wai, who was also present, revealed that Penang welcomed 8,237,072 hotel guests throughout 2024 — a remarkable surge of 13.3% from 2023’s 7,272,526 guests.
Even more striking, Wong said, the figure surpassed pre-pandemic levels — compared to 2017’s 6,381,751 hotel guests, marking an impressive 29% growth.
“This is a clear testament to the robust recovery and renewed vitality of Penang’s tourism industry.
“The hotel industry is an indispensable pillar in the tourism supply chain of Penang. Its role is vital, its contribution irreplaceable,” Wong said.
He added that the Penang Hoteliers’ Association shoulders an immense responsibility to unite the industry, drive its collective growth, and act as a cornerstone in the advancement of Penang’s tourism sector.
The rising tourist arrivals, he said, were the fruits of collective hard work by all industry players and stood as the strongest evidence of Penang’s tourism momentum.
He also acknowledged that hotels of all kinds — from budget-friendly accommodations to luxurious five-star properties — play a crucial role in shaping Penang as a premier destination.
PHA president Foong Hon Beng noted that the state’s infrastructure development has injected new momentum into the tourism sector.
With Airbnb and short-term rentals becoming a significant part of Penang’s tourism landscape, Foong urged the government to introduce a registration framework for short-term rental operators.
He said the move would provide more accurate data on visitor arrivals, enable better policy and market planning, enhance safety and assurance for tourists, reduce unregulated risks, and establish a fair and transparent system that increases tax contributions and channels resources back into tourism development.
“This approach not only safeguards visitors but also encourages collaboration between hotels and short-term rental operators to uplift Penang’s tourism together,” Foong said.
He also called on members to embrace Visit Malaysia Year 2026 as a crucial opportunity to welcome international visitors.
“Visit Malaysia Year 2026 is our chance to showcase Penang’s strength to the world. We are not just service providers — we are ambassadors of Penang’s image. Let us embrace this opportunity with positivity, professionalism, and passion.
“As an association, we must stand alongside the government, preparing ourselves to meet this challenge with excellence,” he said.
Also present at the dinner celebration were Datuk Lim Mee Lee, adviser of Penang Hoteliers Association; Ding Xiao, Chinese Acting Consul General in Penang; Datuk Khoo Boo Lim, vice-president of Malaysian Association of Hotels; Datuk Tony Goh, chairman of MAH Penang Chapter; Andy Lau, president of Malaysia Budget Hotel Association; Ooi Chok Yen, chief executive officer of Penang Global Tourism, Dr Mary Ann Haris, executive director of Penang Centre of Medical Tourism, and organising chairman Alex Loo.
Story by K.H. Ong
Pix by Siti Nuratikah Rahmat