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1 Science Park Road
#04-07 The Capricorn
Singapore Science Park II
Singapore 117528
Tel: (65) 6395-7575
Fax: (65) 6536-2972
Website: http://www.ttgasia.com
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July, 2010 |
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June, 2010 |
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May, 2010 |
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April, 2010 |
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March, 2010 |
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February, 2010 |
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January, 2010 |
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December, 2009 |
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November, 2009 |
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October, 2009 |
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Thailand to start grand sale promotions in May
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Watchiranont Thongtep, Bangkok (2009-03-31)
PROMOTIONS for the Amazing Thailand Grand Sales 2009 are expected to kick off in May to draw tourists for the campaign period from June 1 to August 31.
The Tourism Authority of Thailand (TAT) is spending a total of 60 million baht (US$1.7 million) on the promotions, having staged some preliminary roadshows in Berlin, Moscow and Kuala Lumpur in March.
Deputy governor for tourism products, Mr Auggaphol Brickshawana, said the campaign would be officially launched on TAT’s website on May 1, followed by a regional grand opening on June 7 to coincide with the country’s two key travel trade and consumer shows - Thailand Travel Mart Plus 2009 and Thailand Tourism Festival.
Mr Auggaphol said more than 2,000 related-tourism establishments including hotels, shopping centres, golf courses, airlines, travel agents, jewellery shops, spas, hospitals and restaurants nationwide had agreed to offer up to 50 discounts to tourists during the three-month promotional period.
He added TAT hoped the sales would increase tourist shopping expenditure by five per cent, especially from key source markets of Japan, China, South Korea, Malaysia, UAE and Russia.
In 2007, tourist’s daily shopping expenditure was at 1,071.78 baht per person, and average length of stay was 9.19 days. Last year’s figures were not available at press time. |
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Arrivals to Hong Kong plummet in February
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Hong Kong (2009-03-31)
ARRIVALS to Hong Kong plummeted 8.1 per cent in February over the same month last year, with all major markets, including China, showing declines.
February arrivals reached a little over two million and wiped out benefits of January’s 11 per cent gain over the same month last year. As a result, cumulative arrivals for the first two months of the year are only 1.8 per cent higher than the same period in 2008.
China, Hong Kong’s largest market, posted a 6.7 per cent decline after growing a staggering 31.3 per cent in January, helped to some extent by Chinese New Year falling in that month. Arrivals from China slumped from nearly 1.9 million in January to a little over 1.3 million in February.
Except for South-east Asia (up 4.3 per cent), double-digit declines were reported across all major regions: North Asia; Australia, New Zealand and South Pacific; the Americas; Europe; Africa and the Middle East.
The fall-off in arrivals pushed average occupancies across all categories down four per cent to 76 per cent, while the average room rate was 10.4 per cent lower, at HK$1,014 (US$131). |
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World Route Development Forum adds prescheduled meetings
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Kuala Lumpur (2009-03-31)
NEW to this year’s annual gathering of airports and airlines is a chance for airlines to also meet with tourism authorities.
At the 15th World Route Development Forum in Beijing, from September 13 to 15, tourism authorities will be able to pre-schedule one-to-one meetings with airlines.
The organiser, Capital Airports Holding Company, added this feature in response to a growing, significant demand from airlines to meet not only with airports, but also directly with their respective destination partners.
“The event in Beijing is set to see a massive boost in active participation from more tourism authorities. There will be more exhibits by the authorities themselves and, for the first time, the opportunity for them to move up the supply chain and meet directly with the people who can influence their success and decide whether to open a route to their destination,” The Route Development Group said in its press release. |
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AirAsia to add new routes to Singapore
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Singapore (2009-03-31)
AIRASIA is considering adding more routes to Singapore this year, following the success of its four new routes between Indonesia and the Lion City, according to its Group CEO, Mr Tony Fernandes.
Inaugural flights between Singapore and Jakarta, Bandung, Jogjakarta and Bali took off on March 24, and recorded forward bookings of 80,000 to-date.
Mr Fernandes said: “Currently, we have a combined total of 10 routes connecting Singapore and we are looking at introducing at least three more new routes this year. Based on our projections, we will carry a total of two million passengers to and from Singapore in 2009.”
The airline is considering a number of cities to be linked to Singapore and among the destinations in the pipeline are Penang and Langkawi in Malaysia, as well as Medan and Surabaya in Indonesia. It will also increase the frequencies of some of the existing routes to Singapore this year.
Apart from Indonesia, AirAsia currently flies between Singapore and the Malaysian cities of Kuala Lumpur (seven daily flights), Kuching (one) and Kota Kinabalu (one), as well as Bangkok (four) and Phuket (one) in Thailand. These bring the airline’s total number of weekly flights to and from Singapore to 140.
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Best Western to open resort in Pranburi, Thailand
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Bangkok (2009-03-31)
BEST Western International has announced the opening of the Best Western Sam Roi Yod in December.
The 76-room resort is in Pranburi, Thailand, about 35km south of Hua Hin, or a 3.5-hour drive from Bangkok.
Facilities include a swimming pool, a spa, a tennis court, fitness facilities, three dining outlets, a private meeting room, an open-air ballroom and a business centre. Highspeed broadband Internet access is available upon request. |
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Cousens appointed Marina Bay sands VP
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Singapore (2009-03-31)
MARINA Bay Sands has appointed Mr Tony Cousens vice-president of its hotel operations in Singapore, effective March 2009.
This follows the recent appointment of Mr Nigel Roberts as president, and is part of the company's plan to recruit senior operations management staff.
Mr Cousens has more than 30 years of experience in the hospitality industry, with a significant part of his career in the Asia-Pacific region.
He was most recently Jumeirah group's senior vice-president.
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Sichuan ties up with TUI China
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Karen Yue, Singapore (2009-03-30)
THE Tourism Administration of Sichuan Province has partnered TUI China to promote the destination to the inbound specialist’s agent clients, following the massive dent in tourism caused by the earthquake last May.
Although the quake has only mostly damaged tourist attractions and road access in Wenchuan, which is part of an overland route travellers typically take from the province’s capital city of Chengdu to the famed Jiuzhai National Reserve, travellers’ confidence in Sichuan has dipped.
Several hoteliers in Chengdu and the popular Aba Autonomous Prefecture are unwilling to disclose the average occupancy rate in 2008, citing as reason the unusually bad business the quake has resulted.
Attractions such as the Jiuzhai National Reserve saw only 640,000 visitors last year, compared to the two million recorded in 2007.
The six-day trade fam trip to Sichuan, which concluded yesterday (Mar 29), took travel agents from Switzerland, the UK, Germany, Bulgaria, Hungary, South Africa and Russia to Chengdu, Yibin, Changning and the Aba Autonomous Prefecture.
It showcased various attractions Sichuan had to offer, including the Zigong Salt Industry Museum, the Southern Sichuan Bamboo Sea, the Ancient City Wall of Songzhou and the Jiuzhai National Reserve.
Participating agents were in Sichuan for the first time.
TUI Deutschland sales manager China, Ms Kristina Kohlhoefer, said: “Most of my clients do not know much about this part of China, and in a way, the earthquake has brought Sichuan into the media limelight.
“Having seen some of the attractions in Sichuan now, I can foresee how we can better show our clients another side of China that is not as cosmopolitan as Beijing and Shanghai. The Jiuzhai National Reserve is definitely an attraction that would appeal to my clients.” |
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Tax deduction little help to Thai domestic MICE
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Watchiranont Thongtep, reporting for TTGmice, Bangkok (2009-03-30)
THAI corporates have expressed a lukewarm response to the government tax deduction scheme announced earlier this year to keep meetings and seminars within Thailand.
They said this year’s events had all been confirmed in advance, particularly incentives, as the purpose is to motivate sales teams to work harder to win the trips.
Krungthai Car Rent and Lease human resource manager, Mr Pansakorn Roadbunjop, said the company had not changed its plan to hold twice-monthly in-house meetings, seven domestic trips and two overseas trips this year.
However, he said he planned to add three to five people on each domestic trip. “But this has nothing to do with the government’s new tax scheme, as we normally can get a tax refund on our training programme under the Skill Development Promotion (SDP) Act 2002.”
The SDP Act allows companies to obtain refunds at twice the amount of tax paid for all training-related expenses including rooms, meeting facilities and training programmes.
However, the government’s stimulus tax scheme only allows companies hosting events at Thai destinations to deduct their corporate taxable income by twice the value of the expenses on rooms and meeting facilities.
Bumrungrad International human resource training and development supervisor, Ms Ratchada Pornputtkul, said the company “might” consider applying for the tax deduction scheme, but was unlikely to shift the planned overseas trips to hold them within Thailand.
Bangkok Aviation Fuel Services human resources development supervisor, Ms Piyaporn Numee, said the company had called for all events to be held inside the office to combat the global recession, not to get the tax deduction. |
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'Flawed global economic system needs major changes'
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London (2009-03-30)
MAJOR reform of the international economic system is needed to solve the current crisis, according to a new global poll of more than 29,000 people carried out for BBC World Service.
As G20 leaders prepare to meet in London this week, 70 per cent of those across the 24 countries polled by GlobeScan think 'major changes' are required to the way the global economy is run. Only 4 per cent think no significant changes are needed.
Majorities in most countries - on average 68 per cent - also see the need for major changes to their own country's economy.
Of the 24 countries polled, 15 are part of the G20 and among those countries, 65 per cent think major changes are required to the international economic system, while 62 per cent see the need for major changes to their own country's economy.
When asked whether the downturn in the global economy has negatively affected them and their family, 62 per cent said it had affected them at least 'a fair amount', while 31 per cent say it has affected them 'a great deal'. Both these figures are little changed from a BBC poll in mid-2008.
Forty-four per cent say they have been personally affected by shortage of credit for mortgages and other loans at least a fair amount, with one in five saying it has affected them a great deal.
Asked when they expected their situation to improve, those personally affected by the economic downturn were divided between those who thought it would last more than two years (45 per cent) and those who said it would recover sooner than that (46 per cent).
The poll also shows despite recent price falls, the high cost of food continues to negatively affect a much higher proportion of people than the downturn.
Three in four families (76 per cent) say it is affecting them at least a fair amount, with 47 per cent saying it is affecting them a great deal, down from 59 per cent six months ago. |
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Dismal February for Singapore's tourism sector
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Singapore (2009-03-30)
KEY statistics released by the Singapore Tourism Board for February 2009 show declines in visitor arrivals, hotel room revenue, and hotel occupancy compared to February 2008.
Key findings include:
- Total number of visitors to Singapore reached 689,000, a decline of 15.2 per cent;
- Singapore gazetted hotels generated an estimated S$123 million (US$81 million), a decrease of 28.7 per cent;
- Average room rate was an estimated S$205, a decrease of 20.6 per cent;
- Average occupancy rate for gazetted hotels was an estimated 76 per cent, a 3.3 per cent decrease;
- Revenue per available room was S$156, a decrease of 23.9 per cent.
In addition, the top five inbound visitor markets were:
1. Indonesia (103,000)
2. China (80,000)
3. Australia (51,000)
4. The UK (47,000)
5. Malaysia (46,000)
These five markets comprised 48 per cent of the total visitor arrivals for February. |
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Bangkok Airways adds third daily flight to Phnom Penh
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Bangkok (2009-03-30)
BANGKOK Airways has added the third daily flight between Bangkok and Phnom Penh from March 29 to provide mid-day traffic between the two capitals.
The launch is made in conjunction with the change of aircraft type on the route from Airbus 320 to the dual-class A319 with 12 business - or the airline's new Blue Ribbon Class - and 108 economy class seats.
The airline's sales vice-president, Ms Ariya Prasarttong-Osoth, said Phnom Penh as a destination presented high potential and consistent growth, and to add an afternoon flight and business class service would be handle the demand and satisfy both tourist and business travellers.
The new flight will complement the airline's existing early-morning and evening traffic between Bangkok and Phnom Penh. |
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Silversea offers four last-minute short cruises
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Hong Kong (2009-03-30)
SILVERSEA Cruises is offering customers the opportunity to sail a series of shorter cruises in and around Asia when its flagship vessels, Silver Whisper and Silver Shadow return to local waters next month.
Designed to offer an easy and convenient last-minute holiday, Silversea has adapted two of its longer voyages into four short segments ranging from six to nine nights.
Sailing Yokohama-Hong Kong, Hong Kong-Singapore, Singapore-Hong Kong and Hong Kong-Yokohama, each voyage is now offering last-minute booking incentives with savings of up to 30 per cent on published fares.
Voyage 4909A sets sail from Yokohama on April 5, arriving in Hong Kong on April 11. Fares start from HK$27,530 (US$3,552) with up to 30 per cent off (Vista Suite).
Voyage 4909B begins in Hong Kong on April 11 and sails in and around the corners of Vietnam before arriving in Singapore on April 19. Fares start from HK$36,710 with up to 30 per cent off (Vista Suite).
From Singapore, voyage 3910A sails from April 29 to May 6 meandering the waters to Hong Kong via Ho Chi Minh City. Fares start from HK$42,140 with up to 30 per cent off (Vista Suite).
Finally, voyage 3910B sails Hong Kong-Yokohama from May 6 to15 through Keelung in Taiwan, Naha Okinawa in Nagasaki and Yokohama (Tokyo), Japan. Fares start from HK$54,200 with up to 30 per cent off (Vista Suite).
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Mice funding boost for Malaysia
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Kuala Lumpur
THE Malaysia Convention and Exhibition Bureau (myCEB) will receive an additional RM20 million (US$5.53 million) for MICE marketing over the next two years.
The funds are part of the RM200 million stimulus package the tourism ministry received on March 10 from the government’s RM60 billion fiscal plan to stop the Malaysian economy from slipping into a deep recession.
Tourism Malaysia deputy director-general (planning), Mr Azizan Noordin, said the funds allocated for MICE marketing would be used to bid for big events, for myCEB to increase its visibility at all major MICE trade shows, to design promotional materials, and to sponsor a welcome dinner or a welcome reception.
Meanwhile, myCEB has shelved plans to find a separate office from Tourism Malaysia as a cost-saving move. myCEB, a subsidiary of Tourism Malaysia, and officially launched in December 2008, replaces Tourism Malaysia’s convention division. It is tasked to spearhead Malaysia’s MICE offensive by identifying international conference leads, and provide support and incentives to help local associations bidding for events close the deal.
While neighbouring countries have a specific subvention policy – such as Thailand’s stay a third night free and Singapore’s policy of subsidising up to 70 per cent of qualifying costs (see TTG Asia February 27 - March 5), Malaysia’s does not have one and asses requests made by the organisers on a case-by-case basis.
Mr Azizan said: “Some want us to subsidise the air fares, others want us to subsidise the hotel costs...it all depends and we will look at it on a case-by-case basis.”
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GHA to add brands, loyalty programme
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Ollie Quiniquini, Singapore (2009-03-27)
GLOBAL Hotel Alliance (GHA), which is celebrating its fifth anniversary this year, wants to grow its membership of independent brands to 20 in the next five years.
The alliance has 11 brands, representing more than 180 hotels.
CEO, Mr Christopher Hartley, said: "There are 3,000 brands out there and we are looking for those in places we do not have a focus yet. We are interested in small local upscale brands with five to 75 hotels covering a certain region."
Membership perks include cost-saving initiatives and customer retention schemes, measures which will help during these difficult economic times.
Mr Hartley added: "The more members we have, the better we can negotiate with suppliers such as credit card companies and GDSs. "
Holding joint sales initiatives, merging sales offices under one roof, and appointing dedicated executives to represent the brands with big corporate accounts are some of GHA's economies-of-scale initiatives. Members have also switched over to the alliance's Micros Fidelio system, allowing them to reduce commissions and reservations costs substantially.
On the B2C front, the alliance will launch a guest recognition programme within the year. GHA director of marketing services, Ms Vicky Elliot, said the yet-to-be-named programme will consolidate member's existing loyalty schemes and adopt a point system for rewards.
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Indonesia to raise tour standards
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Jakarta
THE Ministry of Culture and Tourism in Indonesia is working on standard guidelines for tour operators to improve service standards.
The Ministry's tourism businesses director, Mr Winarno Sudjas said: "The guidelines are to improve the service quality of a tour operator to help them compete globally."
This will include how a tour operator runs his business as opposed to a ticketing agent, the minimum standard of his infrastructure and human resources.
"On human resources, for example, we are determining whether a tour operator must have certified (inhouse) tour guides, travel planners and a business management team, or if a high school (formal education) diploma will do," he said.
The government is working with the Association of the Indonesian Tours and Travel Agencies (ASITA) on this, and the guidelines are expected to be finalised this year.
The initiative is part of efforts by the government and private sector to prepare the industry for ASEAN's travel services liberalisation.
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No “golden goose” for Hong Kong
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Hong Kong
GUANGDONG has dashed Hong Kong hopes for a tourism influx after China's State Council demanded that provinces adhere to the shorter Golden Week rule introduced last year.
Guangdong had hoped to pilot a longer Golden Week by swapping the May 9 and 10 weekend holiday with the May 4 and 5 weekend, which would then extend the three-day break to a week, beginning with the May 1 to 3 national holidays.
The decision disappointed Hong Kong's travel industry, with Travel Industry Council executive director, Mr Joseph Tung, quoted as saying that some agencies had partnered mainland counterparts on promotional efforts to maximise the opportunity afforded by a longer Golden Week.
However, Mexan Hotel CEO, Mr Ronnie Yuen, saw little impact in having a shorter Golden Week. "If the longer Golden Week is only for Guangdong, it makes no difference for Hong Kong. But it will have a positive impact if it was a longer Golden Week for all of China.
"Because of Guangdong's geography to Hong Kong, visitors come on very short trips, sometimes returning on the same day, don't use travel agency services and just come to buy milk powder."
Guangdong had earlier proposed extending the Golden Week as an economic stimulus measure, a proposal that other provinces hoped to follow.
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Watchiranont Thongtep, Bangkok
THE Thai Hotels Association (THA) is introducing a series of marketing campaigns under a Blue Smile Hotels tagline to boost domestic bookings for the April to October low season.
"Blue" has been chosen by the Thai authorities when promoting low-price products including street-stall food, household goods and taxis.
THA's first marketing activity is the Hotel Mega Sales 2009, held between March 26 and 29 in Bangkok with 113 hotels nationwide participating, and offering up to 50 per cent discounts for stays made before October 31.
THA is also planning a table-top sale initiative to boost demand from government meetings and conferences from government agencies and is meeting officials from departments under the Ministry of Commerce.
THA president, Mr Prakit Chinamourphong, said the marketing activities would help cushion the impact from the global economic crisis and enable members to run at an average occupancy of around 50 per cent this year.
He said THA would be participating in overseas roadshows with Thailand's Department of Export Promotion, in addition to those organised by the Tourism Authority of Thailand.
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Crystal Cruises ties up with Prime Cruise Asia
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Singapore
CRYSTAL Cruises has appointed cruise specialist Prime Cruise Asia as its representative in Singapore.
Prime's general manager, Ms Helena Ow, will oversee sales and marketing efforts, and Ms Wendy Lin has been named regional sales manager for Asia-Pacific.
About 50 per cent of Crystal's international passengers originate from the Asia-Pacific region. In 2007 Crystal started increasing its presence in the region with the appointment of an international sales representative in Shanghai to cover China.
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THE Thai Ecotourism and Adventure Travel Association (TEATA) wishes to clarify that the bulk of the funding for its special training project for suppliers is coming from the E.
According to TEATA, the EU is making a 75 per cent contribution to the total training budget for the special training project which will benefit ecotourism suppliers.
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Capella opens Monday with stars
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Raini Hamdi, Singapore (2009-03-26)
CAPELLA Singapore opens this Monday, March 30, with a house full of the stylish set: Rolls Royce is doing a product launch there that day and this is followed the next evening with Gucci launching a new product line.
The man who founded Capella Hotels & Resorts, Mr Horst Schulze, is at the resort all this week, priming staff up and even training them to deliver his exact excellence. Despite opening at a time when luxury is hard hit by the global financial crisis, a determined Mr Schulze told TTG Daily News: "We will fill this hotel. The current economy makes it more difficult but it is not impossible."
For the first year, he expects an occupancy of 70 per cent and a rate of between S$700 (US$464) and S$800, way above the city's current average room rates. "But the city has never seen a product like this, you have to admit," he shot back, when asked if he was not a little unrealistic about the rates.
Capella Singapore indeed is a product that has long defied the island, a true urban resort of the scale and feel of luminary resort lines such as One & Only, Amanresorts and Banyan Tree. It resides amid 12.12 hectares of rainforest in Sentosa, and although the destination will attract crowds when Resorts World opens, Capella believes it remains exclusive and peaceful, combining the convenience of the city with a resort feel and awe-inspiring views of the South China Sea.
Capella Singapore offers the largest accommodations in Singapore. The 111 guestrooms include 61 premiere guest rooms, 11 suites, 38 villas that feature private outdoor showers and bathtubs and a presidential manor.
- Schulze bent on making a mark with his first Capella in Asia, TTG Asia April 10 - 16 |
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Pensuda likely Phornsiri's successor
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Sirima Eamtako, Bangkok (2009-03-26)
THAILAND’S tourism and sports minister, Mr Chumpol Silpa-archa, is likely to appoint Ms Pensuda Praiaram acting governor of the Tourism Authority of Thailand (TAT) either at the of this month or earlier next month, according to an insider source at TAT.
When made official, Ms Pensuda is to temporarily replace outgoing governor, Ms Phornsiri Manoharn, who will turn 60 on March 29 and will automatically end her tenure concluding two years and two months in the top post. By law, TAT’s governor must not be more than 60 years of age.
Ms Pensuda, who is TAT deputy governor for administration, is no stranger to TAT’s top post, having been appointed acting governor once after former TAT governor, Ms Juthamas Siriwan, ended her four-year term in October 2006. She took on the acting post until Ms Phornsiri was appointed by former tourism and sports minister, Dr Suvit Yodmani, in January 2007.
She is the only TAT deputy governor reportedly not running the race for TAT's top post while the remaining deputy governors, Mr Auggaphol Brickshawana (tourism products), Ms Juthaporn Rerngronasa (marketing communications), Mr Santichai Eauchongprasit (international marketing), Mr Surapol Svetsreni (policy and planning) and Mr Vunsadej Thavarasukha (domestic marketing) are.
However, Mr Santichai and Mr Vunsadej are scheduled to retire in October this year, hence they may have a slim chance to win the race. The selection process is expected to take around six months. Ministry of Tourism and Sports permanent secretary, Dr Sasithara Pichaichannarong, is heading the selection committee.
Meanwhile, Ms Phornsiri was appointed yesterday TAT advisor for one year by TAT board effective April, the same month she will be starting a greater role as PATA chairman. |
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Bureaucracy stalls Firefly, AirAsia plans
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S Puvaneswary, Kuala Lumpur (2009-03-26)
THE Malaysian Cabinet may have granted permission to Malaysia's community airline Firefly and budget carrier AirAsia to fly from secondary destinations in Malaysia to Singapore, but both airlines say they have not received the official letters from the government.
This is delaying the commencement of flights from the new routes, which both airlines have proposed to the government since last year.
Firefly's managing director, Mr Eddy Leong, said: "An official letter will tell us when we can start to fly, the flight frequencies and restrictions."
At a press conference yesterday, Transport Minister, Datuk Seri Ong Tee Keat, said the Cabinet had recently approved Firefly's proposal to the government to fly from its two hubs, Subang and Penang, to Singapore, as well as from two east coast points of West Malaysia, Kuantan and Terengganu, to Singapore.
He added AirAsia had been granted permission to fly from two popular West Malaysian islands, Penang and Langkawi, and from East Malaysia's two tourist towns of Sandakan and Tawau, both in Sabah.
Mr Leong does not think the Subang-Singapore route will compete with the busy Kuala Lumpur-Singapore routes and cause air fares to dilute further.
He is confident the close proximity of Subang airport to Kuala Lumpur and to the Klang Valley will be sufficient inducement for travellers, provided the flight timing is right for them, to choose the airline's ATR72-500 turbo prop over other commercial airlines flying the Singapore-Kuala Lumpur route.
The Singapore-Kuala Lumpur route had been opened to non-national carriers of Malaysia and Singapore since February 2008. Up until then, Singapore Airlines and Malaysia Airlines had controlled the route under an agreement of 34 years. |
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Hard Rock to target business and leisure with Singapore property
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Jonathan Yap, Singapore (2009-03-26)
HARD Rock International will target equally both the business and leisure sectors with its Singapore property, scheduled to open in the first quarter 2010.
The 360-key hotel will offer 26 meeting rooms and a pillarless ballroom with capacity for 7,300 people.
Hard Rock International president and CEO, Mr Hamish Dodds, said: "The brand works well for business as well as for leisure. Across our hotels, we find that companies like to hold events somewhere different. Our unique atmosphere helps relax business visitors before their meetings or events."
The international rock music-themed hotel chain officially unveiled the Hard Rock Hotel Singapore today, which, upon opening in early-2010, will be its fifth property in Asia-Pacific after Bali, Pattaya, Macau and Penang, the latter two opening later this year.
The Singapore property will be located in the Resorts World Sentosa integrated resort and will open together with three other hotels and the first phase of the Universal Studios theme park in the first quarter of 2010.
While official rates have not been released, according to Resorts World Sentosa COO, Mr Tan Hee Teck, they will be in line with hotel developments located in other theme parks around the world.
Mr Dodds admitted that like other hotel chains, Hard Rock International had been affected by the global downturn. However, he said the chain "is more resilient to the recession than other brands".
Neither Resorts World Sentosa nor Hard Rock International would reveal revenue targets for the Singapore property. |
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Air France-KLM adds Amsterdam-Jakarta seats
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Mimi Hudoyo, Jakarta (2009-03-26)
KLM Royal Dutch Airlines is adding seat availability between Amsterdam and Jakarta via Kuala Lumpur despite the projected slowdown in longhaul traffic.
As of March 30, Air France-KLM will operate the 425-seater Boeing 777-300ER four times a week and the 327-seater B777-200 thrice weekly; all in two classes. They replace the old B747-400 with 428 seats and the B747-400 kombi aircraft with 280 seats.
Air France-KLM country manager Indonesia, Mr Axel Colen, said: “The move is part of our fleet modernisation programme in Indonesia.
“Although fuel prices have come down significantly now, fuel has always been a huge part of an airline’s operation. The B777 aircraft is more fuel efficient than the old ones and a lot more silent.
“We also feel the need to upgrade our products to be able to compete with our competitors and this enhancement has resulted in the additional seats.”
Mr Colen said the crisis had hit every company and Air France-KLM was no exception, but he was optimistic the airline could maintain its high load factor ,while declining to mention the percentage.
He added: “We will not only be looking at filling seats for Jakarta and Kuala Lumpur, but also Australia. We have a codeshare agreement with Malaysia Airlines (MAS) whereby we take passengers from Europe to Malaysia and MAS carries them on to Australia.
“Today’s passengers are looking for value for money. With the better and wider seats in both classes, the improved products in the economy class, it is more value for money.”
Mr Colen said while new fares would be introduced on April 1, the airline would launch many more promotions to stimulate the market. Some of them are the US$477 fare to Europe and the US$77 fare between Jakarta and Kuala Lumpur from April 1 to 7. |
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Emirates appoints new Thailand, Indochina area manager
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Sirima Eamtako, Bangkok (2009-03-26)
EMIRATES Airlines has appointed Mr Khalid Salim Saeed Salim Barden new area manager for Thailand and Indochina, effective this month, and replacing Mr Jeyhun Efendi.
Mr Khalid takes up the position at the same time the airline has decided to boost Dubai-Bangkok service by 30 per cent with the plan to introduce Airbus 380 on the route from June 1.
According to Mr Khalid, the current load factors on Emirates’ operations from Bangkok with 21 flights per week to Dubai, a daily flight to Hong Kong and a daily flight to Sydney through to Christchurch exceed 95 per cent.
“We expect the trend to continue or improve, depending on (the travel demand),” he said. |
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East West Siam branches out
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Sirima Eamtako, Bangkok (2009-03-25)
EAST West Siam is venturing into an online travel business and is enhancing its sustainable and ecotourism products.
The company has made two new appointments - Mr Raymond Muller as online marketing manager and Mr Emanuel Mekel as customer service and quality control manager in December and September last year respectively - in a bid to beef up its competitive edge.
General manager, Mr Thierry Rodet, said an online marketing manager was needed because "nowadays, everything happens online," and the position would help the company strengthen its online presence and update the software for its B2B and B2C segments.
He said the position of customer service and quality control manager was created to ensure the company's standard operating procedures, particularly with regard to tour guide issues, and to forge stronger long-term relationships with key longhaul accounts.
Amid the global economic downturn, Mr Rodet said the company recognised an opportunity to attract the upmarket tourist segment with sustainable and ecotourism products in its broad form, ranging from cultural and educational to adventure tourism.
"This is why we put the stress on flexibility and high quality services while working on new prospect markets such as French-speaking tourists. Nevertheless, we will not segment any potential markets by their languages or locations, but rather by their corporate philosophies in fitting with ours."
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Malaysia faltering in race for China MICE
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S Puvaneswary, Kuala Lumpur (2009-03-25)
TOUR operators specializing in Meetings, Incentives, Conventions and Exhibitions (MICE) market from China have seen a drop in business this year and attribute it to intense competition from destinations such as Taiwan, Thailand and Europe, all vying for this volume-based segment.
BTT Travel Services executive director, Mr Sam Kwan, said Taiwan is a new destination for the Chinese and as such, offers a "wow" element. Standard tour fares are competitively priced in Taiwan at US$45 per day, inclusive of twin-sharing accommodation, three meals a day, transportation, guide fee, and miscellaneous expenses such as entrance fee to an attraction. BTT expects a drop of 20 per cent this year from the incentives and meetings market from China.
Mr Kwan said: "The multinational companies in China are also choosing longhaul destinations this year because accommodation and air fares have reduced considerably for many destinations during the low seasons. This is the best time for financially sound companies to travel longhaul."
Discover Orient Holidays manager, Ms Mint Leong, predicts a 30 per cent drop in incentives and meetings business. She said Malaysia is losing out to Thailand where hotels have dropped their rates while offering bonus nights to fill up rooms. Thailand also offers Chinese visitors a visa-free stay for six months, compared to Malaysia's visa-on-arrival facility. Charges for the latter have gone up to RM100 (US$28), from RM30 last year.
Pearl Holiday (M) Travel & Tour business development manager, Ms Winnie Ng, noted that budget-conscious organisers now choose accommodation close to dining outlets to make it convenient for participants to find their own meals.
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IATA issues new losses warning
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Geneva (2009-03-25)
THE outlook for the global air transport industry has worsened "significantly" since December, and IATA has revised the loss forecast in 2009 from US$2.5 billion to US$4.7 billion.
Industry revenues are expected to fall by 12 per cent (US$62 billion) to US$467 billion. The previous revenue decline after 9/11 saw industry revenues fall by US$23 billion, approximately seven per cent, between 2000 and 2002.
Carriers in Asia-Pacific continue to be hardest hit by the economic turmoil and are expected to post losses of US$1.7 billion, significantly worse than the previous forecast of US$1.1 billion.
International demand to and from China is expected to contract by between five and 10 per cent over the year. India, whose market for international air services tripled in size between 2000 and 2008, is expected to see capacity increase by 0.7 per cent in 2009, while demand is expected to drop between two and three per cent.
Overall, the region is expected to see a 6.8 per cent fall in demand, but only a four per cent drop in capacity.
IATA director-general and CEO, Mr Giovanni Bisignani, said the state of the airline industry was grim. "Combined with an industry debt of US$170 billion, the pressure on the industry balance sheet is extreme," he added.
Global demand is projected to fall sharply with passenger traffic expected to contract by 5.7 per cent this year and revenue implications of this fall will be exaggerated by an even sharper fall in premium traffic.
Fuel is the only good news. With an expected fuel price of US$50 per barrel (Brent oil), the bill is expected to drop to 25 per cent of operating costs compared to 32 per cent in 2008 when oil averaged US$99 per barrel.
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Singapore boutique hotel claims high occupancy
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Jonathan Yap, Singapore (2009-03-25)
THE newly-launched 108-room Quincy hotel today released its occupancy rate for February, announcing 76 per cent occupancy for its first month of opening.
When asked why Far East chose to launch the hotel during the current negative economic climate, Far East Hospitality COO, Mr Chia Boon Kuah said: "From a supply side, the plot of land available was suited to a small boutique-style hotel. From a demand side, there was a need for upmarket boutique-style accommodation along the Orchard Road stretch. The market has spoken."
The hotel has so far relied on its corporate sales teams and online bookings to fill its rooms, with roughly 75 per cent of its guests originating from the UK, the US, and Australia. Three-quarters of its guests are business travellers, seemingly justifying the hotel's labelling of the property as an "all-inclusive business destination."
The Far East Organization-owned property opened its doors on February 1 this year with an opening promotion that Far East calls an industry-first in Singapore - a S$208 (US$138) per night all-inclusive rate covering accommodation, free limousine transfer service from the airport, three meals a day in the hotel, high-speed Internet connection (both wired and wireless), mini-bar amenities, and cocktails and drinks each evening.
Located a few minutes' walk from the shopping haven of Orchard Road, the hotel is just the second new hotel in 10 years to open along the stretch.
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Hilton's Doubletree brand to make Malaysian debut
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Kuala Lumpur (2009-03-25)
HAVING won the management contract of the Crown Princess Hotel in Kuala Lumpur, Hilton Hotels Corporation will rebrand the property as the Doubletree by Hilton Kuala Lumpur City Centre when it reopens in 2010 following a multi-million dollar redesign and renovation.
Part of a mixed-use property called The Intermark, the 540-room hotel will have four restaurants and bars and meeting facilities of close to 1,840m2, including a grand ballroom for events with more than 600 people
Doubletree Hotels senior vice-president - brand management, Mr Dave Horton, said: "From China to Thailand and now Malaysia, our development pipeline for the Doubletree by Hilton brand continues to grow throughout Asia as a lucrative branding opportunity that is flexible for both new-build and conversion purposes in the upscale, full-service hotel arena."
One of the upscale hotel brands in the Hilton Family of Hotels, Doubletree by Hilton properties are usually distinctively designed hotels that reflect the destination and surrounding area
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Suncheon City touted as green haven
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Seoul (2009-03-25)
THE Korea Tourism Organization (KTO) will sign an agreement with Suncheon City in Jeolla Province to market the latter as a green tourism product.
Under the agreement, the two parties will engage in joint overseas marketing campaigns and work together to formulate programmes to attract domestic tourists.
This is just the latest of KTO's sustainable tourism initiatives. It recently established the low-carbon green growth project and strategic roadmap for green tourism. The KTO also plans to produce a guidebook of green products and a contents service for walking holidays.
South Korea will concentrate its marketing campaigns on the Olle region in Jeju and hopes to bring in more environmentally conscious tourists from Japan.
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Double-digit falls in most Asian hotel rates last year
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Singapore (2009-03-24)
AVERAGE global hotel prices fell by 12 per cent in 2008, according to the latest Hotel Price Index from Hotels.com.
The Asia Pacific region recorded its first year-on-year drop in hotel room prices in five years, with rates in some major cities down by more than 30 per cent. The Hotel Price Index tracks real prices paid per hotel room rather than advertised rates.
According to the Index, the most significant drops in the fourth quarter of 2008 took place in Manila (32 per cent), Queenstown (35 per cent), Sydney (22 per cent) and Melbourne (23 per cent). Rates in Singapore and Beijing were down 14 and 13 per cent respectively; Taipei, 11 per cent; Seoul, 20 per cent; Hong Kong, eight per cent; and Tokyo, six per cent.
Outside the region, hotel prices in North America and Europe fell by an average of more than 10 per cent while worldclass destinations such as New York, London, Las Vegas, Venice and Barcelona all showed decreases of more than 20 per cent.
In global terms, average hotel prices today are only one per cent higher than where they stood five years ago.
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Singapore (2009-03-24)
PARKROYAL Hotels & Resorts is the 11th member brand of Global Hotel Alliance (GHA), the world’s largest alliance of independent hotel brands. The Singapore-based chain adds another six upscale hotels to GHA’s rapidly expanding Asian network.
Parkroyal Hotels & Resorts president and CEO, Mr Patrick Imbardelli, said: “For a regional brand like Parkroyal, which aims for greater recognition outside the region, it is a strategic move to become part of a global network, which gives us access to new customers, new revenue opportunities, and the ability to drive down distribution and technology costs.”
In related news, GHA is marking its fifth anniversary with roadshows in Tokyo, Singapore and New York, before completing its celebrations in Frankfurt and London.
GHA CEO, Mr Chris Hartley, admitted that the business environment will be tougher in the next five years but said: “Then again, that is what alliances are built for. In good times, smaller brands rise with the tide. But in tough times, this alliance should help prevent our members from running aground.”
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Bangkok gets Shenzhen connection
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Watchiranont Thongtep, Bangkok (2009-03-24)
SHENZHEN Airlines will launch a thrice-weekly Shenzhen-Bangkok service on March 31 and double the frequency of its weekly Shenzhen-Phuket charter from May 1 to September 30. The new Shenzhen-Bangkok service will turn daily in September. The airline will operate 160-seat Boeing 747-800 aircraft on both routes.
Executive vice-president, Mr Li Qiang, said tourists from China’s southern provinces are expected to account for two-thirds of traffic on the two routes. He said Shenzhen Airlines recorded an average cabin factor of 85 per cent on forward bookings for April alone and this healthy scenario is expected to continue throughout the year.
Shenzhen-based Classic Vacation International Travel (Hong Kong) will oversee the sales and marketing for travel packages on these routes. Director, Mr Wong Hon, said they are promoting a five-day/six-night package at 15,000 baht (US$425) per person, about half the price of a similar tour programme to Japan and 30 per cent cheaper than a trip to Singapore.
The company hopes to bring 20,000 Chinese tourists to Thailand until March 2009.
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IAA links more Indonesian cities to Singapore
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Mimi Hudoyo, Jakarta (2009-03-24)
INDONESIA AirAsia (IAA) started services between Singapore and four Indonesian cities today.
IAA president, Mr Dharmadi, said the flights to Singapore from Jakarta, Denpasar, Bandung, and Jogjakarta were in response to the high demand for services to regional destinations.
IAA flies between Jakarta and Singapore twice daily on its new 180-seat Airbus 320 aircraft, while the other three cities are served daily on 148-seat Boeing 737-300 aircraft.
With these services, IAA now connects 20 regional and Indonesian destinations. Last year, the airline carried 2.5 million passengers, 60 per cent of whom took regional flights.
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Hong Kong to wine and dine tourists
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Hong Kong (2009-03-24)
A Wine and Dine Festival is planned for Hong Kong in the fourth quarter as the city leverages its culinary strengths to draw travellers.
In announcing the new festival, Hong Kong Permanent Secretary for Commerce & Economic Development, Ms Yvonne Choi, said a year of food and wine would be the marketing theme for the city this year and next. The promotion comes as Hong Kong looks to build its status as a regional wine hub after wine duties were waived last February.
As part of the Wine and Dine Festival, the Hong Kong Tourism Board will collaborate with wine producers to encourage participation in the late October to early November event.
The festival will feature a wine carnival on the West Kowloon waterfront promenade and food and wine promotions in major dining districts. There are plans to produce travel guides and a dedicated website to showcase the dining offers and local delicacies.
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Malaysia banks on Emirates' Dubai-Bangkok boost
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S Puvaneswary, Kuala Lumpur (2009-03-23)
MALAYSIAN agents specialising in the Middle East inbound market welcome Emirates Airline's introduction of its double-decker Airbus 380 superjumbo aircraft on its daily return Dubai-Bangkok route from June 1, three weeks ahead of the summer holidays which happen to be the peak Middle East season in Thailand, Malaysia, Singapore and Indonesia.
Currently, Emirates uses the Boeing 777-300 on the Dubai-Bangkok route. The change in aircraft type on this route will increase capacity by about 30 per cent.
With the A380 now servicing London Heathrow, Malaysian agents say the increased seat capacity from Dubai to Thailand would also result in a spillover of UK tourists travelling to/from Thailand to Malaysia.
Asian Overland Services Tours & Travel director of sales and business development, Mr Andy Muniandy, said there were usually insufficient direct flights on the Dubai-Kuala Lumpur and Jeddah-Kuala Lumpur routes during the Middle East season. He said the increase in seat capacity would allow more families to travel to Kuala Lumpur via Bangkok.
World Avenues executive director, Mr Ally Bhoonee, said: “I do not view the increased seats to Bangkok as a growing threat to Malaysia, but as an opportunity for tour operators to capitalise on. Malaysia is very well known in the Middle East, and it is perceived as a safe and politically stable Muslim country.”
The A380 set for Dubai-Bangkok is currently servicing the Dubai-New York route. Emirates has decided to use the smaller B777 on its Dubai-New York route from June 1 because of a decrease in passenger demand. |
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Lombok project extended, not cancelled, clarifies Emaar
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Jakarta (2009-03-23)
EMAAR and the Indonesian high-ranking officials have denied the report that Emaar International has cancelled its US$600 million project in Lombok.
The Jakarta Globe daily earlier reported the Dubai-based company had cancelled its US$600 million mega resort project in Lombok due the Indonesian government’s failure to comply with the agreement with the Dubai counterpart.
In a follow-up report, an Emaar spokesman from Dubai, who declined to be named, was quoted by Jakarta Globe daily as saying: “The government of Indonesia and Emaar have extended a delayed joint venture agreement to get the project underway for another three months.
“Emaar has met its contractual obligations and the Indonesia Investment Coordinating Board [BKPM] has now asked Emaar for an extension of time to meet their obligations under the joint venture agreement.”
However, Emaar’s spokesman acknowledged the closure of the Jakarta office as reported by the newspaper earlier and said further activities would be co-ordinated from Dubai.
“Initially, Emaar set up its Jakarta office to establish a ground presence to drive the project forward and meet the JV obligations, leading to the finalisation of negotiations with BKPM.”
In the mean time, Indonesia presidential envoy to the Middle East region, Mr Alwi Shihab, told the newspaper the Indonesian government had received verbal confirmation from Emaar’s chairman, Mr Muhammad Alabbar, the project would be extended for another three months. |
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Royal Caribbean unveils 21st Alaska vacation sailings
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Miami (2009-03-23)
ROYAL Caribbean International has unveiled 37 sailings for its 2010 Alaska vacation season, seven- to 14-night itineraries aboard Radiance of the Seas and Rhapsody of the Seas.
Guests can choose sailings from San Diego; Seattle; and Seward, Alaska; and Vancouver, British Columbia, which will call at total of 13 ports – eight of which are Alaskan.
Guests can also complement their Alaska cruise with a cruise tour extension and travel beyond the ports into the interior of Alaska.
Celebrating its 21st consecutive season in Alaska, Royal Caribbean is opening bookings for its 2010 Alaska cruises and cruise tours immediately.
Guests sailing on Radiance of the Seas’ itineraries can choose from 21 cruise tour options. Alternating north- and southbound seven-night itineraries between Seward and Vancouver every Friday, Radiance of the Seas will call at four Alaskan ports – Ketchikan, Juneau, Skagway and Icy Strait Point.
Rhapsody of the Seas will offer a seven-night roundtrip itinerary, sailing from Seattle and plying the Inside Passage with calls at Juneau and Skagway, and Victoria, British Columbia. |
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Date change for AIME 2010
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Melbourne, Australia (2009-033-23)
AIME 2010 will be held from March 2 to 3 instead of April 27 to 28 as previously advised.
The change of date is a result of industry requests for the event to be held as close as possible to February, new availability at the Melbourne Convention and Exhibition Centre, and the declaration of Monday 26 April as a substitute public holiday for ANZAC Day in the State of Victoria. |
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Preferred admits first Cambodian member
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Hong Kong (2009-03-23)
PREFERRED Boutique has announced its first and newest member in Cambodia – The Sothea.
The 39-suite property in Siem Reap, beside the Cambodian Cultural Village, is 15 minutes from the Angkor temple compound.
It has two zones: Recreation Zone houses the spa and restaurants, while Rest Zone houses the suites. |
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Carlton Singapore appoints Scherb general manager
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Singapore (2009-03-23)
CARLTON Hotel Singapore has named Mr Rudi Scherb general manager, effective today.
Mr Scherb has 25 years of experience as a general manager in the hospitality industry around the world, for hotels including Royal Orchid Sheraton Hotel & Towers in Bangkok and Grand Formosa Regent in Taipei, Taiwan.
In 1990, Rudi moved to Singapore to manage ANA Hotel Singapore as general manager, for a period of eight years. He was last stationed in China. |
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Hong Kong registers declines in Jan, Feb room rates
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Sharon Desker Shaw, Hong Kong (2009-03-20)
HONG Kong hotel room rates continued their “sharp declines” in the first two months of the year, with tour operators warning that further falls were in store for what is traditionally a high season in the second quarter.
In its hotel survey update, international corporate travel services company HRG reported that a two per cent decline in January and Febuary’s 16 per cent slide averaged out to a month-on-month drop of nine per cent over the previous year.
January’s rate slide came despite an 11 per cent increase in overall arrivals to the city, which - as a leading financial centre in Asia - has been pummeled by the global financial meltdown.
Hong Kong’s January average rate came in at HK$2,341 (US$302) and February’s at HK$2,197.
One of Hong Kong’s major inbound operators warned: “Hotels are no longer treating April as a traditional peak season, selling at rates they usually use for the shoulder season. We are now seeing five-stars competing with four-stars and, in some cases, three-star rates.”
Rates available for Hong Kong’s premier sporting event, the Rugby Seven’s next weekend, are another indicator of the market’s continued deterioration, say operators.
“In the past you had to pay premium prices, with four-star hotels charging about HK$2,000 but five star hotels are now asking this price, pushing four-stars to about HK$1,000.”
Despite two months of rate declines, HRG’s survey still placed Hong Kong eighth in a global ranking of cities with the highest average room rates. The only other Asia market to pip Hong Kong in this ranking was Delhi, despite an average 21 per cent fall in rates for the first two months.
The 10th to 12th positions in the rankings were filled by Mumbai, which reported the largest average rate drop at 26 per cent for the first two months, Bengaluru (one per cent) and Tokyo (-14 per cent) respectively. |
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'KLIA set to be a stronger regional hub'
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Kuala Lumpur (2009-03-20)
KUALA Lumpur International Airport (KLIA) will become a stronger regional hub following two recent decisions made by the government, predicts IATA CEO and director-general, Mr Giovanni Bisignani.
The government has decided to reduce landing fees by half at KLIA for two years from April 1, to be more competitive regionally and to drive traffic.
In addition, in February, the government had rejected AirAsia’s and Sime Darby’s proposal to build a new low-cost carrier terminal (LCCT) costing RM1.6 billion (US$ 435,750,926) in Labu, Negri Sembilan in favour of a new LCCT, about two kilometres from KLIA. This is expected to be completed in the second half of 2011.
Mr Bisignani welcomed this decision. He said: “The priority must be on providing efficient infrastructure that delivers low costs for all airlines. Common facilities and services, such as landing charges and security, must be borne equally and access to all facilities must be open to all airlines.
“These are UN principles agreed at the International Civil Aviation Organization, which I am sure the Government of Malaysia will follow. Now Malaysia must build these good decisions with a longer-term strategic plan focused on maximising the economic benefits.”
Mr Bisignani was in Kuala Lumpur recently in advance of the 65th IATA annual general meeting and World Air Transport Summit, which will take place in the nation’s capital from June 7 to 9. |
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Fewer Thais going on luxury cruises
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Watchiranont Thongtep, Bangkok (2009-03-20)
HIGH-END Thai outbound travellers are reported to have been hit by the global financial crisis as evident by the declining number of passengers for overseas luxury cruises.
Regale International Travel managing director, Mr Jumpol Chadavadh, said the outbound cruise market was expected to decline or remain stagnant when compared to last year as Thai travellers were becoming more cautious in light of the current economic situation.
He added Regale had scaled back this year’s target to 600 passengers, down from last year’s 800.
SEA Tour managing director, Ms Supanee Bencharit, said her company had tried to work with suppliers to offer up to 30 per cent discount to entice more bookings, given the slow forward businesses.
Discover the World Marketing (Thailand) marketing and sales manager, Mr Thanakorn Tringwan, said the new cruise under the Royal Caribbean International, the Independence of the Seas, had also dropped rates by 30 per cent throughout this year to stimulate demand from outbound Thai travellers.
However, Mr Jumpol said in contrast, the inbound cruise business was doing well, with the company slated to receive 31 port-of-call cruises and 90,000 foreign visitors embarking at Thai ports in Leam Chabang, Koh Samui and Phuket this year.
Last year, Regale groundhandled 10 inbound cruises and 30,000 visitors.
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Showcases at IT&CMA and CTW 2009
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Singapore (2009-03-20)
ASIA'S doublebill event - IT&CMA and CTW 2009 - to be held from October 6 to 8, will be presenting three showcases for delegates.
The new Meetings and Technology Showcase provides a sales platform for suppliers of online applications, exhibition and conference tools, travel/registration/event management systems, AV and staging products and services.
Also new this year is the Green Showcase, which provides suppliers the opportunity to cater to increased demand from corporates enforcing green purchasing policies as a commitment to lessen ecological footprints in the MICE and business travel industries.
Finally, the Gifts and Premiums Showcase offers gifts and premiums manufacturers and exporters a chance to reach out to a potential market with a demand for incentives and promotional products for marketing purposes.
The doublebill event will take place at the Bangkok Convention Centre at CentralWorld. |
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Lion Air to operate service to Jeddah, Saudi Arabia
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Jakarta (2009-03-20)
LION Air is to fly Jakarta-Jeddah, Saudi Arabia in June using the new Boeing 747-400 aircraft the airline expects to be delivered this month.
Lion Air managing director, Mr Edward Sirait, told the Jakarta media Jeddah was potential for Umrah travellers and the workers and he expected to be able to fill 90 per cent of the 485 seats, with air fares 20 to 40 per cent lower than the other airlines serving the destination.
The airline is also expecting to fly to Riyadh.
In the mean time, the Indonesian aviation authority has lifted the ban on Lion Air’s McDonnell Douglas (MD) 90 (TTG Daily News March 10) after the authority did a check on all the aircraft.
Director-general of air communications, Mr Herry Bakti Singayuda Gumay, said the MD90 aircraft were cleared to fly as the maintenance process had followed the new Civil Aviation Safety Regulation’s newest maintenance planning document. |
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Hong Kong air ticket sales dip in the first quarter
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Hong Kong (2009-03-20)
HONG Kong’s ticketing sector continues to feel the pain of a deepening recession, with new IATA figures showing further falls in both the value and volume of tickets sold.
IATA’s report for the year to March 15 showed total ticket sales contracted by nearly 29 per cent to HK$2.75 billion (US$354.8 million) on the back of double-digit declines in the number of tickets sold and the value of tickets.
There was a 20 per cent decline in the number of tickets sold, while the value per ticket slumped to HK$2,874, which is about 11 per cent less than last year. |
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Hilton sticks to target although some partners have softened
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Raini Hamdi, Singapore (2009-03-19)
HILTON Hotels Corporation (HHC) is sticking to its expansion targets even though the financial crisis is causing some of its partners, including RREEF (the real estate and infrastructure investment management arm of the Deutsche Bank Group) in China, and DLF in India, to re-evaluate their development goals.
HHC announced in 2007, a year after the two Hiltons re-united, that it was going all out to expand internationally, with 1,000 hotels outside the US by 2017, 300 of them in Asia-Pacific.
At the time, that goal was even modest: a reunited Hilton meant a portfolio of a dozen brands covering all price points; markets such as Asia-Pacific are clamouring for well-known brands; and HHC lacked - still does - global distribution despite the 'Hilton' name being known globally.
In 2007, HHC had 2,800 hotels, but only 255 of them were outside the US. Asia-Pacific, with 51 hotels, accounted for only five per cent of its EBIDTA.
But with the crisis, partners who are key to the goal of 300, are "re-evaluating" their developments, admits HHC's president Asia-Pacific, Mr Martin Rinck. This was understandable, he said.
He agreed they included RREEF and private equity firm H&Q Asia-Pacific, with which HHC signed an alliance in December 2007 to franchise about 25 Hilton Garden Inn's in China by 2012, and DLF in India, with which it has a joint venture to develop 50 to 75 hotels under the brands Hilton, Hilton Garden Inn and Homewood Suites.
Mr Rinck said: "Their intention to grow is still there, as we see in the other markets, but of course with today's finance being dried out, the speed of growth won't be as fast. They understandably have to re-evaluate and look at the financing structure.”
So how is it that HHC targets remain unchanged? According to Mr Rinck, and HHC's vice-president sales and marketing Asia-Pacific, Mr Andrew Flack, other opportunities abound.
Just last December - never mind the crisis was fanning like wild fire - it franchised its Hampton by Hilton economy brand to Palm Holdings, which would introduce 16 hotels across India, while a deal with Shiva Hotels will see 16 Doubletree by Hilton's on the sub-continent.
In January, it signed up Dalian Wanda Group of China to manage five hotels in China under Hilton, Doubletree and Conrad in Nanjing, Dalian and Hainan.
The crisis is also seeing more independent hotels wanting the backing of global brands. HHC picked up a string of them due to this, many of them the properties of owners who have worked with it. An example is the Irufushi Resort & Spa, belonging to Sun Travels & Tours, which will re-open as a Hilton in July.
"I have always said that the only way to grow is to prove you can deliver and the owners will stick to you," Mr Rinck said.
"HHC is that international brand that has not yet brought its story of mid-market and luxury/lifestyle to the world and that unexploited opportunity is thrilling - it does not matter whether there have been others before us," Mr Flack said, when asked if other global chains such as Starwood and Accor, both also busy-at-work in the last two years to rejuvenate brand portfolios, had a first-mover advantage in the region.
- More in TTG Asia April 10 - 16 |
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Hilton on Asia-Pacific growth spurt
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Karen Yue, Singapore (2009-03-19)
HILTON Hotels Corporation will open 61 hotels across Asia-Pacific over the next four years, with Australia, Japan, China and India being marked as critical markets for development, and taking Hilton's total key count to 37,618, up from the current 21,062.
In China and India alone, the group will open 23 and 25 hotels respectively, by 2012. Two new brands, Hilton Garden Inn and Doubletree by Hilton, will also be making their debut in Delhi and Kuala Lumpur, respectively. Hilton Garden Inn Sakat in Delhi will open in July, while Doubletree by Hilton Kuala Lumpur City Centre will open in 2010.
Since the start of this year, the group has opened four properties in Asia-Pacific - one in Kunshan, China and three in the French Polynesia - and will be looking at eight more in Indonesia, India, Australia, and China.
Hilton’s Asia-Pacific president, Mr Martin Rinck, said: “The region has strong fundamentals - rapidly growing middle class, vastly improving infrastructure and strong domestic travel - that will allow it a stronger and faster recovery than the US.”
Most of these new properties will be supported by the owners of existing properties, reflecting the group’s success in delivering on owners’ expectations.
Vice-president sales and marketing - Asia-Pacific, Mr Andrew Flack, said the group was gearing up for change in reaction to five key business trends that have emerged during this “first recession of the Internet era”.
Among others, it will enhance its online booking platform, especially for Japan and China markets, to tap the rapid boom in Internet bookings for the group, which saw a 70 per cent year-on-year growth in the first two months this year.
It will also grow its focus on regional promotions in response to more business being generated from within Asia-Pacific. |
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Panache Macau closes shortly after opening
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Shenée Tuck, Macau (2009-03-19)
LAS Vegas-based Panache Destination Management has closed its office in Macau, a victim of the global financial crisis and its impact on the MICE sector.
Panache announced in October 2008 that it had opened a representative office in the SAR, only to shut down the operation soon after.
Panache could not be reached to confirm its reasons for pulling out of Macau, but it is believed the declining MICE markets in Las Vegas and Hawaii, which led to staff reductions in those destinations, are the primary reasons for its departure.
Panache Macau’s former general manager, Mr Michael Chiay, has taken up a director’s role with MCI’s DMC division, Ovation Hong Kong-Macau.
Despite Macau Business Tourism Centre’s efforts to enhance Macau’s MICE capabilities, barriers to entry for small start-ups are well documented.
Strict limitations on the importation of foreign expertise remain a hindrance as overseas companies such as Panache look to establish branch offices before hiring local executives and employees.
All companies, including SME start-ups, must abide by a ratio system that states the number of local employees must outnumber foreigners. |
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Expansion on hold for Hong Kong Disneyland
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Hong Kong (2009-03-19)
THE world’s smallest Disneyland theme park will not be getting bigger any time soon. Facing an impasse in negotiations with the Hong Kong government on funding future expansion, Hong Kong Disneyland (HKDL) has laid off 30 Hong Kong-based staff who had been working on the next phase of the park’s development.
Commenting on the layoffs, Walt Disney Parks and Resorts executive vice-president, worldwide public affairs, Ms Leslie Goodman, said: “After two years of Disney investment in creative and design work and extensive negotiations with our partner, the Hong Kong government, we have not reached a final agreement to expand HKDL.
“The uncertainty of the outcome requires us to immediately suspend all creative and design work on the project. Despite the setback, the Walt Disney Company remains confident and committed to the long-term success of Hong Kong Disneyland.”
Industry sources though were less certain of Disney’s commitment to the Hong Kong attraction now that the operator appears close to finalising a deal for a much larger theme park in Shanghai, with a proposed 2014 opening date. At 800 hectares, the Shanghai park will be six times larger than its 125-hectare Hong Kong counterpart.
Tour operators also fear that any delay in HKDL’s expansion will affect the viability of the park, which has just four zones and two hotels opened, saying it was too small to attract repeat visitors. |
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WEC2009 adds business meeting session
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Kuala Lumpur (2009-03-19)
SOME changes to the World Ecotourism Conference 2009 (WEC2009) programme have been made in response to the global economic crisis, to allow delegates to play a “more meaningful” role at this time of need and consolidation.
A public-private sector business meeting session has been included into the programme where companies in Asia, Europe and US that want to cooperate with partners in the Asia-Pacific region on sustainable tourism can arrange meetings through buyer-meet-seller sessions.
WEC2009 will also play host to government initiatives in Asia promoting eco-tourism and green tourism. The pre-scheduled meetings for participating companies as well as with government agencies, take into consideration their individual requests, their profiles and their objectives.
Through the "match-make meetings", WEC2009 and its partners aim to create an arena for meaningful and successful business meetings for the ecotourism and sustainable tourism sector, according to conference convenor, Mr Lee Choon Loong.
He added: “At the conference, we also hope to establish a sustainable tourism network that is of the industry, by the industry and for the industry, where Asia-Pacific tourism industry players adopt a collaborative and resilient culture and for leaders to provide distinctive contributions to the industry.”
WEC2009 will be held at Vientiane Lao PDR from July 15 to 17. The theme, New Paradigms and Resilience for Sustainable and Responsible Tourism in Developing Countries, will focus on developing regions sustained by a combination of private sector market-led initiatives and supportive government policies.
Mr Lee said 300 hundred delegates were expected to attend this inaugural conference set to become an annual event that would be rotated around the world. |
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Two Best Western Premier hotels to open in the Middle East
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Bangkok (2009-033-19)
BEST Western International - Asia will be opening the first two Best Western Premier hotels in the Middle East in May, in partnership with Mohammad Bin Haider Group.
The 282-rooms-and-suites Dhow Palace Hotel in Bur Dubai is being rebranded and scheduled to open on May 1 as Best Western Premier Dhow Palace.
The other property - the 210 rooms-and-suites Best Western Premier Creek - in Bur Dubai is slated to open in May.
Best Western aims to have 50,000 rooms in 22 Asian countries and the Middle East by 2011. |
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Tangula postpones Beijing-Tibet service to spring 2010
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Hong Kong (2009-03-18)
A LUXURY rail service between Beijing and Tibet has been postponed for a second time, with the operator blaming the global economic meltdown for delaying the April launch by another year.
Tangula Luxury Trains, which had originally scheduled the launch of Beijing-Lhasa and Beijing-Lijiang (Yunnan province) rail journeys in September 2008, will now roll out the service in spring 2010.
The delay comes amid reports that China’s tourism revenue has slumped by about RMB1.8 billion, underscoring waning market demand for travel. Against this backdrop, a high-end product such as Tangula - with week-long rail journeys priced between US$3,300 and US$5,000 - was not expected to fare well.
Neither has Tangula been helped by fears of growing volatility in Tibet this year, the 50th anniversary of a failed uprising against Chinese rule. The restive province’s tourism sector has yet to recover from protests that broke out last year and the subsequent ban on travel, although travel curbs have since been eased.
A spokesman for Tangula, however, steered clear in attributing the delay to security fears for Tibet. “The rescheduling of our official launch has no such implication (to Tibet) but (is) a business decision.
“The decision to reschedule… was taken by our management in light of the current business climate and all the financial indicators in the near term.
“We feel it would be strategic and in everyone’s interest to invest the time in perfecting all aspects of our operation, including hardware and service details, staff training, etc to ensure that when officially launched, Tangula will be recognised as the most magnificent train in the world.”
The rail operator has lost “a few million dollars worth of pre-bookings” from several private charters and individual customers. “We offered our clients and guests the opportunity to reschedule their bookings to other future dates, but some of them have decided to cancel,” said the spokesman, adding the company had to-date invested US$100 million in the project.
Although no fixed launch date has been announced, the company is keeping its reservations systems open for bookings from March 2010. “Select journeys along both the northern and southern routes are expected to be available during the initial operating period later this year prior to the official launch.” |
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Thai government offers SMEs soft loans
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Sirima Eamtako, Bangkok (2009-03-18)
THAI tourism operators that suffered losses from late last year’s closure of Suvarnabhumi and Don Muang airports can now apply for soft loans under the government’s five billion baht (US$139 million) stimulus.
Tourism and sports minister, Mr Chumpol Silpa-archa, said the loan aid, in which the government would shoulder two per cent and participating banks one per cent of the minimum loan rate (MLR), was part of several tourism recovery measures launched to heal the wounded Thai tourism industry.
However, the loan is only available for small- and medium-sized enterprises (SMEs) that possess fixed business assets of less than 200 million baht. They must also have proofs of business losses as a result of the airport closure.
Universal Travel Link and Services managing director, Ms Suwadee Pachariyangkun, said she agreed with the government on the strict lending rules, as well as the request for all loan applicants to present a detailed plan of how the loan would be spent.
She said her company had documented how it suffered a loss of about three to four million baht during the airport closure and was applying for the loan. “When calculating the three per cent MLR to be shouldered by the government and bank, the interest rate will be about 3.25 to four per cent, which is the best lending rate under the current crisis.”
However, the industry said the total financial aid was not enough, given the overwhelming number of small hotels, tour operators and restaurants seeking help.
Mr Chumpol said the ministry would seek a second funding should applications for the first exceed the limit. |
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Budget increase for TAT promotions in Malaysia
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S Puvaneswary, Kuala Lumpur (2009-03-18)
THE Tourism Authority of Thailand (TAT) has received a 10 per cent budget increase for marketing and promotions for this year, according to the director for Malaysia and Brunei, Mr Wiwatchai Boonyapak.
Just last week, TAT launched a six month advertising campaign in Malaysia. TAT's Malaysia office is also organising a B2B table talk in Kuala Lumpur on March 23 to promote the northern region of Thailand.
TAT had revised its visitor arrival targets downwards for its largest market, Malaysia, from 1.6 million tourists in 2008 to 1.5 million in 2009.
To drive sales, Thai Airways is running an Amazing Thailand Amazing Value promotion in Malaysia until end-March with three packages to choose from. Passengers can choose from a free return ticket on a domestic sector of their choice, a complimentary two-night stay on twin sharing basis in a Bangkok hotel or a three-day/two-night free and easy stay in Bangkok. |
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Thai ecotourism suppliers to benefit from special training project
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Watchiranont Thongtep, Bangkok (2009-03-18)
THE standards of Thai-based ecotourism and community-based tourism suppliers will be boosted under the Corporate Social Responsibility and Market Access Partnership (CSR-MAP), a €236,000 (US$301,819) training project for the Thai Sustainable Tourism Supply Chain.
The project will run for 18 months, and started on March 17, under the collaboration between four key partners: Thai Ecotourism and Adventure Travel Association (TEATA), Netherland-based European Centre for Eco and Ago Tourism (ECEAT), Thailand’s Green Leaf Foundation and Thailand’s Community-based Tourism Institute.
ECEAT will contribute 75 per cent for the total budget, with the balance coming from TEATA.
TEATA president, Mr Duangkamol Chansuriyawong, said the partners would collaborate in providing training to around 50 travel agency members of TEATA, and in allowing the agencies access to ECEAT’s tourism market intelligence and sustainable tourism practices from 1,300 suppliers in 21 European countries. |
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STB to unveil design of new cruise terminal at Miami convention
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Singapore (2009-03-18)
THE Singapore Tourism Board (STB) will be showcasing the design for its new cruise terminal for the first time at the Seatrade Cruise Shipping Convention 2009 in Miami, USA from March 17 to 19.
This follows the announcement last year that Singapore would build a new International Cruise Terminal at Marina South and double its current cruise handling capacity.
The terminal will feature a rooftop depicting a modern interpretation of low rolling waves, while the interior will be characterised by a clean and simple layout to ensure a smooth and seamless passenger experience.
Designed to accommodate the world’s largest ships, the terminal includes a spacious arrival and departure hall as well as a large ground transportation area to allow for efficient passenger movement.
With the design finalised, the next stage will be to commence construction with groundbreaking expected to take place in the next quarter. |
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South-east Asia's first Radisson Plaza to open in Phuket
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Singapore (2009-03-18)
RADISSON Plaza, the premium extension of Radisson Hotels & Resorts, will be introduced in South-east Asia this year with the opening of the Radisson Plaza Resort Phuket Panwa Beach in Phuket.
The property is slated to open in the second half of this year, and will be the first of seven new Radisson Plaza properties to open under the Carlson Hotels Worldwide (parent company of Radisson Hotels & Resorts) portfolio in Asia-Pacific.
The 211-room resort will include 14 ocean villas and 15 pool villas with an infinity edge plunge pool. It will feature three meeting rooms, including a ballroom with floor-to-ceiling windows for banquets, which can accommodate up to 170 people banquet-style or 220 people theatre-style.
It will also feature three free-form swimming pools, Talay Spa - a wellness spa facility with six treatment rooms, Form - a lifestyle fitness centre, Sapparot Club - a dedicated zone for children, as well as a range of activities including kayaking, windsurfing, yoga and meditation. Its signature restaurant Azur serves up authentic Mediterranean cuisine.
Carlson plans to quadruple the number of hotels in Thailand within the next two years, adding close to 1,500 rooms in key destinations including Bangkok and Phuket.
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Grocock appointed GM of The Sentosa Resort & Spa
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Singapore (2009-03-18)
THE Sentosa Resort & Spa has appointed Mr Nigel Grocock general manager.
Mr Grocock has more than 30 years of experience in the hospitality industry, of which more than 20 years were spent in Asia-Pacific.
He was most recently managing director of The Regent Beijing and Park Plaza Beijing Wangfujing under Carlson Hotels Asia Pacific in China.
He has a wealth of experience in pre-opening, development and operational management with established global chains including Shangri-La Hotels & Resorts and Taj Hotels, Resorts & Palaces in countries spanning Malaysia, Philippines, Thailand, Fiji, India, South Africa and England. |
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TCEB to host trips for Thai-based organisations
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Sirima Eamtako, reporting for TTGmice, Bangkok (2009-03-17)
THE Thailand Convention and Exhibition Bureau (TCEB) will be staging eight corporate fam and buyer-meet-seller trips to various domestic destinations this year.
Director - public and private coordination, Mr Chiruit Isarangkun Na Ayuthaya, said the move was in response to the government’s policy to spur more meetings and seminars within the country by endorsing Thai-based corporations hosting companies’ events at Thai destinations to deduct their corporate taxable income by twice the value of the expenses.
He said TCEB’s trips would help build greater product awareness of Thai destinations as venues for domestic meetings and seminars, as well as incentives. The buyer-meet-seller sessions would emphasise that TCEB was serious in helping to generate businesses for the selected destinations, he added.
Key decision makers on organising meetings and seminars of Thai-based organisations including the Stock Exchange of Thailand’s (SET) listed companies, professional associations, chambers of commerce, industrial estates’ enterprises, expatriate associations and ministerial and local administration offices will be invited to participate in the trips.
The first two-day trip will be held end of this week for representatives from 20 SET’s listed companies in Korat, Esarn. Subsequent trips will be held on a monthly basis, except October and December, for different target groups in Chiang Mai’s Ang Khang, Hat Yai, Pattaya, Phuket/Krabi/Phang-nga, Khon Kaen, Kanchanaburi and Sukhothai/Pitsanulok.
Mr Chiruit said TCEB would be able to better forecast the results of the project after the first three trips were held while setting an initial expectation that about 20 per cent of the hosted organisations’ representatives would stage companies’ events after the trips.
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VisitBritain unveils free training programme for agents
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Karen Yue, Singapore (2009-03-17)
VISITBRITAIN Southeast Asia yesterday unveiled a Travel Industry Partnership Support (TIPS) initiative, which will include a first-ever BritAgent training programme, to strengthen industry engagement and better equip agents with product knowledge to sell Britain.
TIPS will first be introduced to Singapore, Malaysia and Thailand in its pilot programme and will be introduced to more markets in the near future.
Travel agents can, at their own time, enrol for free in BritAgent, which consists of three online course modules specially tailored for the Asian market.
Agents who successfully complete the course will be granted preferred agent status, which will grant them numerous benefits, such as priority in business referrals and attendance at trade events and fam trips, regular product updates, free supply of marketing collaterals, guaranteed 48-hour response during working days to enquiries on Britain, among other things.
Prior to the introduction of TIPS, agent training and product updates were conducted ad hoc.
The programme will also emphasise on special events with money-generating potential, such as sporting events.
VisitBritain Southeast Asia manager, Ms Sumathi Ramanathan, said: “Few agents now would think they could market sporting events but sports tourism is a high-yield niche market. Travellers who plan to travel to Britain just to catch the sporting events are prepared to spend.”
According to VisitBritain, the destination is far more attractive now to Asians due to great air fare deals and the weaker pound, which has slipped 25 per cent against the Singapore dollar, 23 per cent against the Malaysian ringgit and 15 per cent against the Thai baht between January 2008 and January 2009. |
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'Now is buyers' market in air fares'
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Hong Kong (2009-03-17)
AMERICAN Express Business Travel group has called a buyers’ market in air fares at a time when a leading Asian carrier has warned of a collapse in the aviation market.
The group’s Asia-Pacific Travel Monitor pointed to a flattening out of published air fares across the region in 2008’s final quarter, underscoring the swift damage wrecked by the financial crisis on travel demand.
Head of advisory services for American Express Business Travel, Japan, Asia-Pacific and Australia, Mr Jonas Borglin, said: “These pricing reductions have flowed on into the start of 2009, with competitive airline offers across destinations and classes. It’s certainly a buyers’ market out there at the moment.”
American Express’ call came in the wake of an interview Cathay Pacific’s CEO, Mr Tony Tyler, did with the financial news channel Bloomberg, during which he noted the aviation market had collapsed. “We can fill flights, but we’re filling them at very low fares, fares that are frankly not sustainable in the long run.”
Mr Tyler’s comments followed Cathay Pacific Group reporting its first loss - HK$8.6 billion (US$1.1 billion) - in a decade.
According to the American Express report, business discount fares dropped six per cent from the third quarter of 2008, a year that started off on a bullish note with year-on-year air fare increases averaging nine per cent.
Mr Borglin applauded airlines for their quick response to the downturn, but noted capacity cuts were now being made in response to the magnitude of the downturn, which were likely to keep prices steady in the coming months. |
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Centara continues expansion plans
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Sirima Eamtako, Bangkok (2009-03-17)
CENTARA Hotels and Resorts is pushing ahead with its expansion plans to grow the portfolio to 22 hotels by the end of this year, albeit having to take a step back on the revenue forecast.
President, Mr Gerd Steeb, said prior to the fourth quarter of last year, the group had initially projected a 19 per cent increase on this year’s revenue, but after a re-evaluation at the beginning of the year, the growth projection was re-adjusted to about nine per cent.
He said: “The industry still wants to make sure there will not be any recurrence of airport closure in Bangkok, and is taking a wait-and-see approach on the financial crisis with a general concern that tourism movements in the second and third quarters will be very bad.”
Despite the bleak tourism outlook, Mr Steeb said Centara was spending more than 4.6 billion baht (US$127.8 million) developing two new five-star properties – one each in Pattaya and Phuket - and had entered into a US$50 million joint-venture project of a new resort in the Maldives, holding 25 per cent equity.
A host of existing and new properties located on Koh Samui, Koh Phangan, Khon Kaen and Udon Thani are slated to come under Centara management this year. Meanwhile, the group is in talks to manage two other properties - one each in Pranburi and Hua Hin/Cha-am.
Centara expects to have more than 40 hotels within the next five years, up from 18 hotels now. |
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FCm warns of 'lowest rates' claim by travel websites
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Brisbane, Australia (2009-03-17)
CORPORATES being lured by travel websites promising “lowest rates” are in some cases paying a higher price in the long-term, according to FCm Travel Solutions.
The global travel management consultancy has advised corporates to be aware of the “real” cost of using online booking sites for air travel, hotels, car hire and rail travel that require full prepayment and provide no flexibility on tickets.
FCm’s executive general manager, Mr Anthony Grigson, said believing travel websites offered the most cost-effective solutions might be tenable for companies whose travel plans would never change, but for most this was not a realistic approach and some degree of flexibility was needed in their travel itineraries.
Mr Grigson added value in travel did not come from buying what appeared to be the cheapest tickets online. While costs associated with booking changes are the biggest factor to consider, lost employee productivity is also a potentially significant expense.
“A business traveller or personal assistant can spend hours trawling the Internet to find what they perceive to be the best rates, when not all available fares are displayed on the Internet and there are hourly price changes. That’s time and productivity impacting the real cost of the ticket and the company’s bottom line,” he said.
“There is also the issue of pinpointing the location of your travellers in an emergency and tracking what all your travellers are spending on their trips. Web bookings do not provide any of these benefits, which can be critical to overall expenditure.”
Mr Grigson said companies using TMCs would have the above issues addressed, as well as the peace of mind of traveller security services and 24/7 emergency assistance.
“Corporates need to ultimately weigh up whether they want short-term gains or long-term consolidation, which is value that can only be driven by strategic travel management with a holistic approach to their travel and purchasing activity,” he said.
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Amandari celebrates 20th anniversary
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Singapore (2009-03-17)
THE Amandari resort in central Bali will be celebrating its 20th anniversary with a series of special events from April through to October, timed with the full moon of each month.
The events range from exhibitions on Balinese textiles, painting, wood carving and photography to traditional dance performances, children’s dance and gamelan instruction and a viewing of distinctive films.
Meanwhile, the resort has just completed three months of infrastructural refreshment including an extension of the library, refurbishment of the gym’s fitness equipment, and a reconditioning of the roofs, stone work and wood surfaces.
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Emaar pulls out of Lombok mega resort project
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Mimi Hudoyo, Jakarta (2009-03-16)
EMAAR Properties has cancelled its US$600 million mega resort project in Lombok due the Indonesian government's failure to comply with the agreement with the Dubai counterpart.
The cancellation has given the trade in Lombok a blow as the resort development and the new international airport development underway are expected to boost rapid tourist numbers to the Island next to Bali.
Emaar Indonesia human resources manager, Ms Elly Savitri, was quoted by Jakarta Globe daily as saying: "We closed our office in Jakarta today (March 12). Emaar has pulled out of its operations in Indonesia because the government cannot comply with the terms and agreement with our joint venture company.
"There have been too many delays on the materialisation of the project and the company just could not wait anymore."
The joint venture between Emaar and Indonesia's state-owned company, Bali Tourism Development Corporation, was signed in 2007 for a development of a 1,200-hectare area in Central Lombok consisting of luxury villas, hotels and golf courses in the next 12 years.
Ms Savitri said the agreement stipulated the government would provide a detailed master plan by last November to support the infrastructure. This includes an international airport, an access road to the property and the finalisation of land acquisition. The finalisation, according to Ms Savitri, never materialised.
Lombok and Sumbawa Tourism Promotion Board executive chairman, Mr Misbach Mulyadi, told TTG Daily News: "I have not heard it from the authority, so I still hope the news is inaccurate.
"But if this is true, this is such a big blow for us, because we have been promoting the destination relying on the development of the airport and the resort. Lombok has been getting enquiries and also receiving new interests from investors because of the Emaar resort development."
Commenting on Emaar's reasoning, Mr Mulyadi, who is also a member of the West Nusa Tenggara regional parliament, said: "Part of the land belongs to the regional government and to sell it, the government needs to have the parliament's agreement. Only last week did we agree on it, but there could be other matters, which I'm not aware of." |
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AF-KLM to double service fee for direct sales
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Mimi Hudoyo, Jakarta (2009-03-16)
AIR France-KLM Indonesia will introduce an internet booking fee and will increase the service fee from US$30 to US$60 for clients buying tickets directly at the airline’s sales office as of April 1, when the airlines start applying the zero-commission policy to agents.
Air France-KLM country manager, Indonesia, Mr Axel Colen, said the move was part of the airline’s policy to create a fair playing field for the airline, the agents and passengers.
“There have been rumours that our decision to change from the commission to service fee concept is because we want to undercut agents. We will continue to explain that we have no intention to do that.
“In fact, we have been introducing the service fee for clients who buy their tickets directly at our office for the last two years, and we are doubling it as of April 1. We believe a US$60 handling fee is very expensive. It will give room for agents to decide a fee that works for them and it is also a way to say to clients not to go directly to us.”
Quizzed if the current agents’ boycott taking place since March 1 has any impact on sales, Mr Colen said it was too early to tell.
“We have seen an increase in activities in our office and call centres of clients asking what is going on and how they can continue their travel plans. So, we serve them the best way we can.
“However, it is not clear yet how much the impact will be. Unlike in Europe where the pattern of traffic growth is steady, the Indonesian booking pattern (for many years) fluctuates between days and weeks, so it is too early to say now.
“But if the agents' boycott goes on, it is not good for the airline; it is also not good for the agents themselves as they will lose their revenue, and the passengers will be confused. I also believe after a while some agents will decide to start selling (our tickets) again or start objecting (the boycott).
“Even now, we have learnt the big agents are buying tickets from the sub-agents (who are not boycotting) or sending their drivers with a stack of cash to buy tickets for their clients with us. It is therefore important to keep the communication channel open between us and the travel agents and the travel agents’ associations.”
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Lufthansa closes 2008 with record passenger numbers
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Caroline Boey, Berlin (2009-03-16)
DESPITE challenging conditions, Lufthansa closed 2008 with a record 57 million passengers; revenue of €1.35 billion (US$1.75 billion), an increase of 4.9 per cent; and a load factor of 78.6 per cent.
The results are the second-best in the history of the airline, according to executive vice-president, sales & marketing, Mr Thierry Antinori.
For 2009, Lufthansa is putting Asia on a holding pattern having added a number of new routes last year – and is focusing resources on Europe with the start of Lufthansa Italia and expanding in Africa, where it is also leveraging on the planned entry of Brussels Airlines into the Star Alliance to provide access to 35 destinations in the continent.
In 2008, Lufthansa added 10 connections between Munich, its second hub in Germany, to Asia with new flights to Mumbai, Shenyang and Singapore, increasing from 41 to 52 the number of weekly flights.
Mr Antinori confirmed Lufthansa was taking delivery of 50 new aircraft this year, which will renew 10 per cent of its entire fleet. Another 188 aircraft, costing €15 billion will be added by 2016.
Its Airbus 340-300 aircraft, which are deployed on its Asian routes, are being fitted with new economy-class seats that are lighter and provide more room; and its business-class and first-class cabins are being “reworked”, although details are still under wrap.
In addition, Lufthansa is spending around €150 million, to 2013, to upgrade its lounges. Seventeen lounges were opened or re-opened in the last 12 months, and a record 12 were opened in 2008. New and expanded lounges are in the pipeline for Frankfurt, Berlin, Hanover, Athens, Boston, Newark, Dubai, Shanghai, Brussels and Amsterdam. |
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STB lures more Indonesians from Batam
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Jakarta (2009-03-13)
THE Singapore Tourism Board (STB) is trying to capture more traffic out of Indonesia through Batam by partnering Indonesia’s Mandala Airlines and Batamfast Ferry to introduce a cost-saving promotion.
Launched as part of the year-long 2009 Reasons to Enjoy Singapore campaign, the promotion offers travellers an air fare from 300,000 rupiah (US$25) on Mandala Airlines (from Jakarta, Medan, or Pekanbaru) to Batam, 40 per cent discounted fare on Batamfast Ferry to Singapore (from normal fare of S$34) and a hotel stay from US$46 per night.
STB regional director ASEAN (Islands) and Oceania, Mr Chooi Yee Choong, said: “We know Batam has always been one of the popular gateways to Singapore for Indonesians, since it is only 45 minutes by ferry to reach Singapore.
“This promotion also aims at bringing greater convenience to the more budget-conscious Indonesians seeking a more cost-effective option to visit Singapore.
“With the regular flight services by Mandala Airlines from the key cities of Jakarta, Surabaya, Medan, Padang and Pekanbaru to Batam and the 12 daily Batamfast Ferry service to Singapore, Indonesians can visit Singapore anytime with comfort and convenience.”
Mandala has 84 flights a week to Batam (incoming and outgoing). The flight schedule is twice daily from Jakarta to Batam, and daily from Medan, Padang, Surabaya and Pekanbaru.
In the mean time, Batamfast has almost an hourly schedule between Batam and Singapore.
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CTC Holidays to launch @Gallery Suites
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Karen Yue, Singapore (2009-03-16)
SINGAPORE-GROWN CTC Holidays will officially open its first wholly owned hotel, @Gallery Suites, in Shanghai under the management of its subsidiary, Connections Hotels Management Company, on March 21.
Housed in a restored heritage building within the former French Quarters on Heng Shan Road, the 40-room boutique property will kick off the group’s goal of launching 20 similar concept properties in the next five years across major business cities in Asia, which include Singapore, Hong Kong, Taiwan and Thailand.
The group is also negotiating to develop a second property under a lease-renovate-operate model in either Shanghai or Beijing in the next six months.
CTC Tourism Holdings managing director, Mr Lenny Wong, who also overlooks the management of the @Gallery properties, said the group’s decision to venture into Shanghai’s hotel scene was a timely one.
“Shanghai’s hotel scene has enjoyed good business over the past five years but today, hotels are over-priced and under-serviced because the boom came too fast. Mid- to high-range business hotels are lacking.”
@Gallery Suites leads in at S$250 (US$163) per night for a 48m² unit, and prices include airport limousine pick-up, continental breakfast at the lounge, complimentary use of Internet access, mobile phone with dual SIM card and local calls and facsimiles services, and other usual services expected of a business hotel.
As Connections Hotels Management Company also owns Connections Business Hub, a new business centre facility that offers 14 fully furnished ready-to-use office suites for corporate meetings and seminars, hotel guests are also offered four complimentary hours of office suite usage.
Mr Wong expects to hit 90 per cent occupancy for the first property this year and will be working with Cathay Pacific, Dragonair and various travel agents to move room inventory. |
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SIA starts Kuwait service
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Singapore (2009-03-16)
SINGAPORE Airlines (SIA) has started operating flights between Singapore and Kuwait, via Abu Dhabi.
The service commenced yesterday (March 15) with flight SQ458 departing Singapore Changi Airport Terminal 2 at 13.05 and expecting to arrive in Kuwait at 18.30.
Return flight SQ457 was scheduled to depart Kuwait at 21.20 and arrive in Singapore at 12.30 today.
This inaugural four-weekly service will operate on Tuesday, Thursday, Saturday and Sunday, using the Boeing 777-200 aircraft. |
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Reporting from ITB in Berlin
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Not Desperate Housewives, but no Slumdog Millionaire eitherRaini Hamdi (2009-03-13)
BASED on bookings in the first few months of the year, 2009 is not expected to be a desperate year, but German tour operators do not expect millions to be made either this year.
DERTOUR and Meier’s Weltreisen managing director, Mr Michael Frese, said: “At the moment, we are 3.5 per cent below last year and we are seeing an uptrend since two weeks. All in all, we are likely to end between zero and minus four per cent growth in 2009 – not dramatic at all.
“We did plan for an increase but clearly now we won’t achieve it. But if we end with minus three per cent, it is OK.”
Mr Frese said he was more concerned about 2010, when the impact of the recession would be felt by the travel industry. “We are selling products now based on currencies we bought last year. Next year, we have packages based on currencies we buy this year, when the US dollar has gained against the euro, and most currencies are paralleled to the USD – baht, Hong Kong dollar, Singapore dollar, rupiah, etc.
“By the time we make our calculations, it is inevitable the package price will increase. And it often happens that if prices increase, traffic will go down. 2010 may not be easier than 2009 as a result.”
- Full report in TTG Asia |
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Reporting from ITB in Berlin
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Marco Polo urges China to address image issueRaini Hamdi (2009-03-13)
MARCO Polo Reisen, which together with Ikarus were the first German tour operators to operate to China, has called on China tourism authorities to improve its tourism branding and image, saying this has sunk to its lowest level for German travellers since the Tiananmen incident.
Managing director, Mr Holger Baldus, singled out China as his “biggest problematic destination”, even worse than Thailand, which is declining for Marco Polo following the airport closures fiasco and is now going down in the sales ranks from second to fourth position.
China’s image just does not cut it anymore, according to Mr Baldus, saying the destination’s booth at this ITB “which looks so yesterday, gray and dull” pretty much sums up the perception of the destination among German travellers.
“It is frustrating. We know China is a real good product and while we are not able to change the political image, we can influence the destination image, such as Thailand has done with Amazing Thailand. China needs a modern and sexy image urgently.
“Hotels in Beijing are doing 20 per cent occupancy. We have hotels and airlines coming to us all the time, asking, what can we do? Do you think the NTO ever comes to us?”
He said all German tour operators were reporting poor business to China. Despite the Olympics, which did give China a spell of positive image, the country failed to pick up the momentum.
China is no longer in the radar of top sellers for Marco Polo. Best selling remains Vietnam, now followed by Cambodia and India. Unlike Thailand, India’s Mumbai attacks did not leave a lasting impression and there are signs of recovery for India.
Like other German tour operators, Marco Polo expects a single digit decline for 2009, saying after a record 2008, that is “not bad at all” despite the current crisis. |
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Reporting from ITB in Berlin
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Trade calls for Visit India beyond 2009Caroline Boey (2009-03-13)
DESPITE criticism the public-private sector Visit India Year 2009 initiative may not benefit inbound agents and their overseas tour operators, the trade agrees the campaign will raise the destination’s profile.
Instead of the B2C initiative, Creative Travel director of marketing, Mr Rajeev Kohli, preferred a “doubling and tripling” of stimulus for overseas tour operators. He said Western tour operators were under tremendous pressure as many companies were bleeding.
Le Passage to India managing director, Mr Arjun Sharma, said the B2C visit campaign was “in a state of continuous production”. “There are a fair share of offers from hotels in the market. I am a hotelier myself and I can understand the concern once prices drop, it will be hard to take them back up.”
Full report in TTG Asia |
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Reporting from ITB in Berlin
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STB: Different tackRaini Hamdi (2009-03-13)
THE Singapore Tourism Board (STB) believes its pipeline of new events and tourism developments, along with a slew of marketing initiatives, will keep Singapore on the radar of travellers and enable the city to maintain a share of Europe this year and in the long haul.
With signs that the Europe market is sliding for Singapore, registering minus six per cent in January, STB will be launching more B2C above-the-line and below-the-line marketing in Europe and work closely with Singapore Airlines (SIA) and partners to pump more value into a series of packages that will be launched throughout the year.
Singapore, which created a big bang with the debut of the first F1 night race last year, is also banking on the continued roll-out of new attractions this year to 2011, to create more publicity and awareness for it. It has come up with 2009 reasons to visit Singapore, highlighting attractions that will appeal to each market.
Among the “reasons” dangled to Europe are Orchard Road’s just-completed rejuvenation, the opening of Marina Bay Sands at the end of 2009, the opening of Resorts World at Sentosa in early-2010, a new International Cruise Terminal in 2011 that will attract mega ships, and a new River Safari in 2011, part of the world-acclaimed Singapore Zoo and Night Safari. |
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Reporting from ITB in Berlin
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Bali woos with bonus nightsMimi Hudoyo (2009-03-13)
THE Bali Hotels Association (BHA), the destination’s star-rated hotel grouping, has launched a worldwide tactical campaign to encourage travellers not to delay their Bali holiday plans due to the global economic situation.
As reported in www.balidiscovery.com, more than 40 leading Bali hotels have joined forces to offer Bali Bonus Nights for new hotel bookings for stays through June 30. Bookings must be made between March 9 and April 30.
BHA chairman, Mr Robert Lagerwey, said Bali Bonus Nights was created to raise awareness further and drive additional business to the island.
Bali Bonus Nights will apply for participating properties through selected wholesale, travel agent and direct booking channels.
Full report in TTG Asia
STOP PRESS! Read each issue of the TTG Asia ITB Berlin Daily online on March 11, 12 and 13 at www.ttgasia.com/daily
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MEHK launches air fare, accommodation incentives
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Sharon Desker Shaw, Hong Kong (2009-03-13)
HONG Kong has launched a range of air fare and accommodation incentives to staunch the bleed in buyer numbers for the city’s major exhibitions amid the deepening global recession.
Business Right Here — the first major initiative of Hong Kong Tourism Board’s newly established Meetings and Exhibitions Hong Kong (MEHK) arm — comes after the city’s showpiece International Jewelery Show saw overseas buyer numbers fall 15 per cent for the March 5 to 8 exhibition.
Hong Kong Exhibition and Convention Industry chairman, Mr Stanley Chu, said the industry hoped to maintain last year’s attendance of 240,000 buyers or keep buyer attrition within the single digit range through the scheme.
The programme runs until June 30 and covers 28 exhibitions. MEHK general manager, Ms Gilly Wong, said there were plans to repeat the promotion with a bigger line-up of partners for the second buying season peak later in the year.
As part of the scheme, Cathay Pacific and sister carrier Dragonair are offering five to 20 per cent markdowns on the prevailing market rate for air fares from about 40 cities, while 34 hotels and local attractions are providing discounts and value-adds such as free Internet, f&b discounts and late check-out during the promotion.
Grand Hyatt, Regal and Excelsior hotels are among properties participating in the promotion.
Cathay has also relaxed fare rules, including minimum stay requirements, and is willing to extend the discounts to a large number of travel companions.
Cathay’s marketing communications manager, Ms Celine Ho, said: “It is a market-driven base of calculation (for the fare discounts), which is good value to reduce the cost of coming to Hong Kong for business. The five to 20 per cent discount is just the average.”
On the London sector, for instance, the discount is about 50 per cent on the agent’s or web-quoted fare of £550 (US$765).
Details of the promotion can be found at www.mehongkong.com/promotions/bizrighthere |
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Langham appoints Butcher CEO
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Hong Kong (2009-03-13)
LANGHAM Hotels International has promoted Mr Brett Butcher, naming him its first chief executive officer to lead the group to its next stage of growth.
In his new role, Mr Butcher will oversee the Hong Kong-based group’s expanding pipeline to have more than 30 hotels in operation within the next five years.
Langham is on course to add a little over 1,500 new rooms in the region in the next two years, including the re-opening of an art-deco boutique property in Shanghai.
With the company for seven years, Mr Butcher has held several senior roles, including senior vice-president — sales and marketing, SVP — brands and SVP — Langham Place operations.
He was also the managing director of Langham Place, Mongkok, Hong Kong, overseeing the opening and initial operation of the group’s younger line.
Mr Butcher said: “My goal is (to) continue to position our hotel portfolio as global icons of hospitality.”
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Reporting from ITB in Berlin
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M-Travel shake-upRaini Hamdi (2009-03-12)
ASIAN Trails has finally snatched the Hotelplan account from Diethelm Travel, but the victory comes as Hotelplan’s parent company, M-Travel Switzerland, made 50 jobs redundant last week, sparking talk about the shape of the Swiss tour-operating house.
But M-Travel Switzerland CEO, Mr Thomas Stirnimann, interviewed by TTG Asia ITB Daily, said the re-organisation was done precisely to ensure M-Travel was in excellent shape, especially to tackle “the challenge of a business that is under pressure currently, and no one knows for how long”.
Asian Trails already handles Wettstein, part of the Travelhouse group which also belongs to M-Travel. When Asian Trails was bought by Kuoni – Hotelplan’s biggest rival in Switzerland – speculation was the Wettstein account could move to Diethelm. Instead, Asian Trails, despite being owned by Kuoni, now gets the two accounts of M-Travel which, combined, is believed to represent the largest volume from Switzerland to Asia.
Asian Trails’ CEO, Mr Luzi Matzig, said: “We are pleased to see they gave us a fair chance, stepped over their own shadow and decided based on who had the best solution, never mind if we are owned by Kuoni.”
Diethelm’s COO, Mr Richard Brouwer, said he regretted the loss of the account, which had been with Diethelm for over a decade, “but business is business and it has to make sense for everyone”.
Despite the shake-up at M-Travel, Mr Matzig is confident Hotelplan will yield a volume of 10,000 passengers in the next winter.
Under the shake-up, M-Travel let go of Esco Reisen, as market research showed the sister Hotelplan had 95 per cent recall among consumers, and consolidated the product management of the specialist products Caribtours and Soleytours into one team rather than two. Fifty people, out of a 1,300, were made redundant as a result. |
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Reporting from ITB in Berlin
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HPG consolidates salesKaren Yue (2009-03-12)
SINGAPORE-BASED Hotel Plaza Group (HPG) has consolidated the sales function of its Pan Pacific Hotels and Resorts and Parkroyal Hotels & Resorts brands, comprising 25 hotels, resorts, services suites and residences.
Its team of sales associates around the world will now move from single-brand to multi-brand representation, and from a regional to a global focus.
Six global sales offices have been established in Hong Kong, London, Singapore, San Francisco, Tokyo with the latest opening in Sydney.
To enhance the global sales effort, both brands have migrated from a third party to a new central reservations and distribution system called PANTHER, which will provide a single point of inventory control to prevent transaction duplication, ensure rate and inventory parity, and improve transactional capabilities.
HPG president and CEO, Mr Patrick Imbardelli, said the launch of PANTHER had allowed the group to reap 26 per cent growth in revenue and a 23 per cent increase in total room nights, compared to 2008.
HPG vice-president, sales, Ms Christina Chua, said: “This integration will only benefit the group. We can draw best practices from both brands and recreate new best practices and react better to business opportunities by being able to cross-sell both brands and their properties.
“If a client who has always booked with Pan Pacific Singapore needs to relook his accommodation or meetings option due to tighter budgets, our sales associate could recommend a Parkroyal property in Singapore that would still satisfy his demands.
“If a client needs to stay on longer than usual in Singapore, we could offer him either the new Pan Pacific Serviced Suites or Parkroyal Residences.”
The creation of the Global Sales Organisation will also offer operational and financial benefits for the company as it cuts any overlapping.
Ms Chua added: “It will save our clients time. Individual properties now take charge of their own marketing communications while the corporate office will oversee overall branding. A head of branding is being appointed and specific individuals will also hold multiple portfolios.
Apart from forming a Global Sales Organisation, HPG will be focusing its resources to develop tacticals to offer greater value-add, enhance its website contents, and a new guest recognition programme by the third quarter.
STOP PRESS! Read each issue of the TTG Asia ITB Berlin Daily online on March 11, 12 and 13 at www.ttgasia.com/daily
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Cathay turns out biggest loss ever
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Hong Kong (2009-03-12)
CATHAY Pacific Group took a hammering from fuel hedging deals and plummeting passenger demand to book its biggest loss ever for 2008 despite racking up a 15 per cent increase in annual sales.
The record HK$8.56 billion (US$1.1 billion) loss marks a sharp reversal on the HK$7 billion profit Asia’s third-largest carrier had booked the previous year, underscoring today’s brutal aviation climate.
In announcing the group’s first loss in a decade, Cathay’s management also warned of an “extremely challenging year in 2009”.
Cathay Pacific’s chairman, Mr Christopher Pratt, said: “Having made a painful adjustment to high fuel prices, the aviation industry now has to adjust to a severe economic downturn.”
The group expects passenger demand will stay weak and “if, fuel prices remain at their present levels, further losses on fuel hedging contracts will be incurred”.
Cathay reported fuel-hedging losses of HK$7.6 billion on paper for the remaining period to 2011 and an actual loss of HK$309 million last year.
Before the financial chaos and risky fuel hedging deals came into play, Cathay and sister carrier Dragonair appeared on course for a decent year.
The two airlines carried 25 million passengers, up 7.3 per cent over the previous year, and earned HK$8.52 billion in revenue, largely on the strength of buoyant first half demand.
“Demand from first- and business-class passengers was high until the summer but saw a sharp fall in the wake of the financial crisis. As a result of a strong first-half performance, passenger yield rose by 5.3 per cent,” the airline said in a statement.
The airline is reviewing routes and capacity and does not rule out the possibility of cutbacks for the year. New aircraft arrivals and service expansion to Australia, India and the Middle East had contributed to a 12.7 per cent increase in capacity last year. |
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@ease to be rebranded Swiss-Inn Waterfront Sandakan
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Kuala Lumpur (2009-03-12)
THE @ease hotel in Sandakan, Sabah, will be rebranded the Swiss-Inn Waterfront Sandakan from March 26. It will be managed by Swiss-Garden International Hotels, Resorts & Inns.
The 138-room three-star hotel is at the heart of Sandakan Harbour Square, a prime waterfront landmark set to be the leisure, entertainment and commercial hub. |
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Manila's Hotel H2O joins WORLDHOTELS
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Hong Kong (2009-03-12)
WORLDHOTELS has announced its first affiliate hotel in the Philippines, Hotel H2O.
The 147-room urban resort overlooking Manila Bay will open in May as part of WORLDHOTELS' Deluxe Collection.
It's facilities include a health club and spa, club floor, bar, cocktail lounge, library, hotel shop, business centre and conference rooms. |
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Reporting from ITB in Berlin
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Deal or no deal?Raini Hamdi (2009-03-11)
UK buyers are pressing Far East sellers to maintain current rates and tacticals throughout 2010/2011, posing a huge gamble for hoteliers who have to decide now if they will be grossly underpriced in 2010/2011 if they listen, or risk losing UK marketshare if they don’t.
With UK brochures the first in Europe to be launched, sellers’ decision has become more critical as rates have reached new lows in some areas and tacticals are a steal, while the global financial meltdown that led to the discounts has not shown signs of bottoming out.
An eight-night stay in Evason Hua Hin today costs just £599 (US$830), inclusive of air fares, a reduction of at least 30 per cent.
The question is, how long should low rates stay? The key arguments fielded by UK buyers interviewed by TTG Asia ITB Daily are, that deals are indeed working to stimulate money-worried clients to book, but the biggest threat for 2010 is the weak sterling pound which negate hefty discounts.
Sellers’ biggest argument is, such discounts are not sustainable in the long run.
- Full report in TTG Asia March 20 – 26 |
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Reporting from ITB in Berlin
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Hammond exits Destination Asia abruptlySharon Desker Shaw (2009-03-11)
REGlONAL DMC Destination Asia has parted ways with its Hong Kong managing director just seven months into his stint with the company.
Destination Asia CEO and group managing director, Mr James Reed, said the company served notice to Mr Clive Hammond in late-February. Mr Hammond had joined the DMC in July 2008 to start up the local office, which included hiring a new team and developing business leads, after the regional DMC and its partner in Hong Kong, Ms Jenny May, ended a nine-year association.
The former partners cut ties after Destination Asia sought a majority stake in the Hong Kong business, the only office in the group’s eight-country regional network where it did not have majority ownership.
Mr Reed declined to elaborate on the reasons for Mr Hammond’s sudden departure, leaving the industry to speculate the former managing director was perhaps “not the right fit” for the group. TTG Asia ITB Daily was not able to contact Mr Hammond at press time.
Mr Hammond has an engineering background and had worked on the city’s major infrastructure projects before joining the travel industry. His travel industry stints included a spell at outbound company WHS Safari and five years with Liberty International, which has both inbound and outbound operations.
Mr Reed dismissed industry speculation the Hong Kong start-up would now be folded into the China operation following Mr Hammond’s departure. He said he was in the final stages of selecting a replacement candidate and expected to make an announcement by mid-April.
“Legally registered as Destination Group Asia (Hong Kong) (it) will continue to be an important member of the eight-country Destination Asia Group,” said Mr Reed.
“Our current level of bookings in Hong Kong, even in the world economic crisis, is okay and we are seeing an increased level of activity in forward bookings for late-2009 and in particular 2010.
“The MICE market is resilient and we are forecasting growth in 2010. The tour wholesaler/tour operator business, from all international markets, remains flat but acceptable. The Destination Asia Group will continue to have a presence in the Hong Kong market to serve our existing customer base.” |
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Reporting from ITB in Berlin
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Accor expands brand portfolioRaini Hamdi (2009-03-11)
ACCOR has expanded its brand portfolio further with MGallery and All Seasons, two labels which will make their presence felt throughout Asia over the next two years.
The group, which in 2007 relaunched the Pullman brand, pushed its Sofitel from upscale to luxury and started opening new-generation Ibis hotels, is continuing its network push in Asia with its redefined portfolio.
Accor Asia-Pacific's vice president marketing, Mr Graham Wilson, pooh-poohs critics who suggest major chains are only interested to expand their footprints with too many brands, saying, actually, it is an increasingly segmented travel market that drives Accor to re-look its portfolio.
That exercise highlighted "we didn't cover the market adequately”, even though Accor had a number of brands, Mr Wilson said.
"Look at the boutique hotel revolution in recent years. There is a growing segment of the travel market that wants very individual-style hotel product, based around history, character and design. We had hotels that in many ways answered this brief, but they were mixed in our other brands,” he said.
MGallery plugs that gap for Accor. Unlike Small Luxury Hotels of the World or Chateaux & Relais, hotels under MGallery are fully managed by Accor, although they retain their own individual names.
All Seasons, on the other hand, is an economy brand but, unlike its sister Ibis, it is a "non-standard" product. Mr Wilson said: "In particular, we see All Seasons as a franchise brand, attractive for owners who have a quality three-star product they want to operate themselves, but which requires the global support of branding, sales, marketing and distribution.”
- Full report in TTG Asia March 20 - 26 |
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Reporting from ITB in Berlin
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Mövenpick expands despite Dubai bubble burstRaini Hamdi (2009-03-11)
FROM one hotel in operation in Dubai in the last five years, Mövenpick Hotels & Resorts Management is opening four hotels over the next 12 months – never mind that the city’s dream occupancy and room rates have come down with a thud to the ground as a result of the global financial crisis.
Although Mövenpick is more known as a solid upscale brand that is as predictable as a Swiss watch, all the four new management contracts are five stars and cater to different markets.
Mövenpick’s general manager and regional manager Dubai, Mr Thomas Tapken, sees a silver lining in the bursting of the Dubai hotel bubble, saying Dubai has become a more “normal” city – ie, accessible to all.
Mr Tapken said: “Where once Dubai was a playground for the rich and famous, the more favourable rates being offered by hotels are starting to attract a more diverse traveller. While hoteliers are bemoaning occupancy rates of 60 per cent, compared to other cities around the world, this is better than most.”
- Full report in TTG Asia Arabian Travel Market special, soon |
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Reporting from ITB in Berlin
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Wanda woman
Raini Hamdi (2009-03-11)
FORMER Swiss International Hotels managing director, Ms Wanda Meyer, has launched her own hotel sales and marketing representation company, Swiss Premium Hotels.
To-date, the new Swiss company has secured 14 members. While none yet is an Asian independent hotel, Ms Meyer said “we assume there is a lot of potential for growth” from Asia.
Eight of the hotels are in Switzerland; the rest are in France, Italy and the US. The hotels range from three- to five-star, the smallest with 13 rooms while the largest, 150 rooms.
Ms Meyer said: “We would like to work on behalf of personally managed, independent hotels that are distinguished by their warm-hearted hospitality, their authenticity and their high standard of quality and comfort.”
Ms Meyer’s track record with Swiss International Hotels started in 1984 when, together with the founder, Mr Dominik Betschart, the representation company saw a big increase in membership.
Asked how she would set apart Swiss Premium Hotels from other such independent hotel umbrella bodies, Ms Meyer said: “Lean organisation, quick action, excellent price/value, professional support and dynamic team."
The company is financially independent and has created a state-of-the-art booking and yield marketing system and a comprehensive website with integrated online reservation system, which is commission-free to members.
The website lists not only the members but focuses on destination marketing by selling the attractions of the areas the properties are in and giving insider tips to entice travellers to visit.
STOP PRESS! Read each issue of the TTG Asia ITB Berlin Daily online on March 11, 12 and 13 at www.ttgasia.com/daily. |
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Malaysia tourism gets a boost from stimulus package
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S Puvaneswary, Kuala Lumpur (2009-03-11)
MALAYSIA'S tourism ministry has been allocated RM200 million (US$53.8 million) from the government's RM60 billion fiscal stimulus package announced on March 10 for 2009 and 2010.
The implementation of such a large stimulus package is unprecedented in the nation's economic history.
The tourism allocation will be spent on infrastructural upgrade in tourist areas, diversifying tourism products, organising more international conferences and exhibitions in Malaysia and improving the homestay programme.
The government will also strengthen the Malaysia My Second Home programme and consider issuing work permits to skilled spouses of programme participants.
To attract more foreign tourists, a 50 per cent rebate on landing charges will be given for two years, from April 1.
In addition, Malaysia Airports Holdings will build and operate a new low-cost carrier terminal at Kuala Lumpur International Airport to replace the existing terminal in Sepang, which is almost reaching maximum capacity. The new terminal, scheduled to be completed in 2011, will cost about RM2 billion.
Malaysian Indian Travel & Tours Association president, Mr K Thangavelu, said the rebate on landing charges might attract some foreign airlines frequently flying to regional hubs, Singapore and Thailand, to fly to Malaysia instead, provided there was sufficient load factor.
BTT Travel Services, Mr Sam Kwan, said incentives, in the form of rebates to MICE organisers bringing groups to Malaysia, should be given to help reduce their operating cost. "It will then be much easier to convince MICE planners to choose Malaysia over a neighbouring destination," he said.
Bumitra Malaysia president, Mr Syed Razif Al Yahya, said a budget should also be extended to event organisers to promote pre- and post-tours, in conjunction with a tourism event to highlight the tourist attractions in the destination. |
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PATA report: 2008 growth modest, albeit Q4 dip
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Bangkok (2009-03-11)
THE travel industry may find some solace in 2008's achievement of a modest 1.9 per cent growth, according to the latest PATA Quarterly Tourism Monitor covering 37 destinations in the Americas, Asia and Pacific regions.
The modest overall growth is notwithstanding a year-on-year drop of 2.8 per cent in international arrivals in the final quarter.
Analysis of growth in percentage terms for 2008's Q4 shows Malaysia taking nine of the top 10 spots (based on a minimum of 10,000 arrivals per quarter) but it includes some very small numeric bases from origin markets such as Iran and Nepal.
Reflecting both the worsening global economic climate and regional/national issues, the dramatic downturn in international arrivals in Q4 was experienced by markets including Sri Lanka (down 15.6 per cent in Q4, down 11.2 per cent Jan-Dec 2008); Thailand (down 28 per cent in Q4, down five per cent Jan-Dec); Hawaii (down 15.5 per cent in Q4, down 10.6 per cent Jan-Dec); Tahiti (down 15.1 per cent in Q4, down 10 per cent Jan-Dec) and Japan (down 12.2 per cent in Q4, up 2.2 per cent Jan-Dec).
Markets showing remarkable levels of growth year-on-year in Q4, though often based on relatively small numeric bases, include Mexico (up 9.1 per cent in Q4 and 5.9 per cent Jan-Dec); Bhutan (up 37.9 per cent in Q4 and 31.2 per cent Jan-Dec); Indonesia (up 17.2 per cent in Q4 and 15.4 per cent Jan-Dec); New Caledonia (up 38.7 per cent in Q4 and 23.2 per cent Jan-Dec) and Papua New Guinea (up 39.1 per cent in Q4 and 15.4 per cent Jan-Dec).
Region by region, only the Pacific showed a decline in 2008 (4.6 per cent) over 2007, although figures recorded for Guam and Samoa for Q4 are provisional and December data is not yet available for the USA, Japan and South Korea. The Americas show annual growth of 3.5 per cent; North-east Asia -1.6 per cent; South Asia 3.9 per cent and South-east Asia 2.3 per cent. |
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Indonesia grounds Lion Air's MD90
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Jakarta (2009-03-11)
INDONESIA'S director-general of air communications has grounded all McDonnell Douglas (MD) 90 aircraft operating in Indonesia, after Lion Air’s flight JT793 slipped at Soekarno-Hatta Airport, Jakarta on March 9.
While there were no casualties, Lion Air’s MD90 aircraft also had an emergency landing in Batam last month, when Flight JT972 landed without the front wheel.
New director-general of air communications, Mr Herry Bakti Singayuda, told the local media: “We will check all the aircraft and decide whether they can still operate or not.”
Lion Air president, Mr Edward Sirait, was quoted by the media as saying the grounding was causing the airline a potential loss of one billion rupiah (US$83,000), based on a three-day operation.
Lion Air is in fact gradually replacing the aircraft with the new Boeing 737-900ER it has ordered. It is expecting two deliveries this month.
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Jakarta (2009-03-10)
THE Indonesian travel trade's hope for an end to the EU ban on Indonesian airlines may not materialise this month, as the Department of Communications has not been able to meet the International Civil Aviation Organization (ICAO) standard of government's control system.
Department of Communications director of airworthiness, Mr Yuris Hasibuan, was quoted by Bisnis Indonesia daily as saying: "EU still considers the authority's control system loose.
"The ICAO standard stipulates the assessment intensity per airline company is 100 days per year, while we only have the capacity to do 40 days a year due to the lack of inspectors."
Mr Hasibuan said Department of Communications now had 169 inspectors and his office woould soon recruit 59 more, four of which were experienced pilots.
"We hope with the additional personnel, four airlines (Garuda Indonesia, Mandala Airlines, Airfast and Premiair) will be released from the ban soon," he said. |
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Bali registers increased January arrivals
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Bali (2009-03-10)
BALI has broken another record month of tourist arrivals when its January statistics showed a total of 164,643 arrivals, or 17.71 per cent increase from 139,873 over the same month in 2008.
According to www.balidiscovery.com, however, the island saw a shift in the market mix, where Australia had taken over the position of Japan as the number one market to Bali with 27, 873 arrivals, or 37.75 per cent higher than in January 2008.
Japan ranked second with arrivals dipped by 10.71 per cent to 25,324, while China jumped from the fifth place to the third, with arrivals increased from 10,418 in 2008 to 23,115.
Taiwan slipped from the third position last year to the fourth, although arrivals increased slightly from 11,461 in January 2008 to 11,473.
Meanwhile, Bali's other important market, South Korea, saw arrivals down by 23.07 per cent ,at 8,091 in January. |
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Mumbai not hot this summer
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Singapore (2009-03-10)
TWO European carriers – Virgin Atlantic Airways and Finnair – have announced suspension of their Mumbai operations this summer.
Virgin Atlantic’s London-Mumbai service will be temporarily suspended from May 3 as demand for seats on this route is falling fast and current operators on this route have lowered the fares to almost unsustainable levels, according to a spokesman.
Passenger numbers on this route has fallen 18 per cent between January and November 2008 compared to the same period in 2007. The spokesman added: “The route is full of carriers making huge losses so we are not prepared to continue serving it.”
Virgin’s daily London-New Delhi service meanwhile continues unaffected and the airline intends to monitor the situation with a view to restore the London-Mumbai service when the economic situation improves.
Finnair’s four times weekly Helsinki-Mumbai service – heavily dependent on passengers travelling beyond Helsinki to other parts of Europe and across the North Atlantic – will be suspended from May till mid-October.
Finnair’s vice-president for network strategies, Mr Petteri Kostermaa, said: “Overcapacity has driven fare levels radically down and the cost level has not declined respectively. Market conditions for the entire summer period look bleak.”
Summer traffic is traditionally weaker than during the winter season on the Mumbai route and Finnair will continue to operate its daily service between Helsinki and New Delhi.
Meanwhile, Air France will be suspending its thrice-weekly Paris-Chennai service end-March, while KLM and Austrian Airlines have announced cuts in their Amsterdam-Hyderabad service and Vienna-Mumbai service respectively.
Singapore Airlines has suspended service to Amritsar and Syrian Arab Airlines has pulled out of Mumbai. |
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Genting – City of Entertainment launches membership programme
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Kuala Lumpur (2009-03-10)
INTEGRATED resort Genting - City of Entertainment has launched a membership card called Genting International Convention Centre WorldCard, or GICC WorldCard, for MICE organisers.
GICC WorldCard will help companies save cost when organising their events or functions at Genting - City of Entertainment and Awana Hotels and Resorts.
Cardmembers will earn points on the amount spent on each function and the points can be redeemed for all GICC facilities and products and services at properties owned by the integrated resort and Awana.
Cardmembers will also enjoy preferential rates on hotel reservations, company travel packages, and show and concert tickets. |
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Asia Spa & Wellness Festival to kick off in Bangkok
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Bangkok (2009-03-10)
THE Asia Spa & Wellness Festival 2009 will kick off in Bangkok from March 20 to 22 at Royal Paragon Hall, Siam Paragon.
The festival is jointly organised by AIC Exhibitions Sdn Bhd, Asia Spa & Wellness Promotion Council and Thai Spa Association, with the support of Thailand Convention and Exhibition Bureau.
Exhibitors will include spas and wellness centres, spa products and equipment, and travel agencies specialising in spa and wellness travels.
The free-admission exhibition is opened to trade visitors and hosted buyers only on March 20; to trade visitors and general public it is opened on March 21 and 22. |
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Meritus Mandarin appoints new director of sales
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Singapore (2009-03-10)
MERITUS Mandarin Singapore has appointed Mr Henry Ng director of sales effective February 16.
Mr Ng was most recently Siam Express Singapore business development director. |
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van der Marck to leave Kuoni for ICS
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Sirima Eamtako, Bangkok (2009-03-09)
AFTER 10 years with Kuoni Destination Management and having been based in Bangkok for about two years, Kuoni group contracting manager, Mr Andre van der Marck, will be joining Bangkok-based Indochina Services Travel Group (ICS) as regional product and contracting director, effective May 1.
Mr van der Marck told TTG Daily News he had decided to move on as his current role at Kuoni involved contracting activities for Thailand only, "nothing more and nothing less". But he had expected the role to move forward from where he started up the department in April 2007.
Mr van der Marck said his new role would be a regional one and he would be responsible for products and contracting activities for all destinations under ICS' network, including Cambodia, Myanmar, Vietnam, Laos, Indonesia and Thailand.
ICS has headquarters in Bangkok with full-service sales offices in San Francisco in the US and Starnberg in Germany, as well as 15 operations offices and 350 staff in its operating destinations. |
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