Ollie Quiniquini, Singapore (2010-04-30)

WHILE many airlines suffered revenue losses from the recent ash cloud and closure of European airspace, AirAsia X managed to get a revenue boost from the crisis.

CEO Azman Osman-Rani told TTG Asia e-Daily that the low-cost longhaul carrier had five to seven per cent cancellations or refunds during that period but enjoyed a post-crisis windfall.

“Mostly, we carried our passengers again. In some cases, we actually made a lot of money because passengers had cancelled and pocketed refunds but they booked with us a week later at a much higher price. There were also people who couldn’t get seats on their original carrier so they booked with us at last-minute prices,” said Azman.

AirAsia X only had six flights to London during that period hence its bottomline was not substantially affected. “Besides, unlike other airlines, our plane that flies to London only flies to London. It didn’t affect any of our other routes,” he noted.

Though the airline follows a book-and-buy model that disallows refunds and rerouting, it made an exception in this case.

Azman said: “We are human after all. We helped people change flights, offered refunds if they wanted, and helped them with their travel insurance claims.”

Bangkok (2010-04-30)

THE FIRST SME Travel Fair will be staged from May 7 to 9 at IMPACT Exhibition and Convention Center in Greater Bangkok, after several delays.

Thai Travel Agents Association (TTAA) president Charoen Wangananont said as the country approached the low travel season from May to June, domestic tourism would help offset the sharp decline in foreign inbound markets due to the current political crisis.

The event expects to attract 10,000 visitors and generate about 200 million baht (US$6.18 million) from the sale of travel packages offered by some 600 exhibitors.

Despite the event location being far from protest sites, visitor numbers could fall should the political situation turn violent again next week, Charoen said.

The fair is partly funded by the Office of Small and Medium Enterprises Promotion, and is co-organised by TTAA and the Association of Domestic Travel.

Mimi Hudoyo, Jakarta (2010-04-30)

VISI Tur, Bali is introducing programmes beyond Bali for its Russian market as accessibility improves, presenting opportunities for travellers to see other parts of Indonesia.

Visi Tur managing director Iwan Taruna said: “There has been some interest among tourists to visit other destinations in the country but we have not seriously tapped that. Now, we are trying to create and promote Java-Bali overland for the Russians.”

Visi Tur participated in a Jakarta City Government roadshow to Russia last year where it presented ideas to travel agents seeking new products in Indonesia. It proposed 12-day and 14-day programmes consisting of two days each in Jakarta,  Bandung and Jogjakarta and the rest in Bali, which are different from the traditional free-and-easy Bali packages that come with optional tours.

These packages will target middle- and upper-class FIT travellers who appreciate culture and nature.
 
Although the middle- and upper-class FIT markets may not be as big as chartered groups to Bali, Taruna recognised their growth potential.

Geneva (2010-04-30)

THE INTERNATIONAL Air Transport Association (IATA) has reported continued improvements in international scheduled air traffic in March, which reflected a 10.3 per cent growth in passenger demand over the same month last year.

Load factor for the month was 78 per cent and the increment in passenger demand came with a two per cent capacity expansion.

Asia-Pacific carriers posted strong demand growth of 12.6 per cent against a capacity expansion of 1.3 per cent, supported by the strong rebound in the region's economies.

But IATA director general and CEO Giovanni Bisignani pointed out that March's data was compared to a low point for international air travel during last year's recession.

“The industry has lost two years of growth, and passenger and freight markets are still one per cent below early-2008 highs.”

IATA also warned of an expected dip in traffic recovery in April as a result of the Icelandic volcano eruption that caused a lock-down of European airspace for six days.

S Puvaneswary, Kuala Lumpur (2010-04-30)

SARAWAK'S MICE sector will receive a booster shot with new hardware being developed around the Borneo Convention Centre Kuching (BCCK).

A 520-key hotel is planned for a site adjacent to BCCK and will have direct access to the convention centre. The hotel, which is scheduled for completion in 2013, will sit on Kuching Istmus and overlook the Sarawak river.

From May, there will be a restaurant with capacity for 150 covers within BCCK to cater to conference delegates and the general public.

Meanwhile, the Sarawak state government is conducting a feasibility study on the construction of a dedicated exhibition centre that will be linked to BCCK.

BCCK CEO Trevor McCartney said such a centre would meet the needs of clients who have been asking for a larger exhibition hall than what was available at BCCK.

Opened in October 2009, BCCK has secured 11 international conferences for this year.

Sim Kok Chwee, Singapore (2010-04-30)

LUFTHANSA'S first A380 will be deployed on the Frankfurt–Narita route (flights LH710/LH711) starting June 11, for which ticket sales started on April 29. Beijing will be next in line with A380 services commencing August 25.

Both routes will initially operate thrice-weekly with the A380 until another two A380s join the fleet by August.

Lufthansa’s vice president Asia Pacific Uwe Mueller said: “We are especially pleased to be able to offer the new aircraft first of all to our customers from Asia and via our codeshare connections on partner airlines to Tokyo and Beijing, and also to our many customers from other markets of the region, including Australia and New Zealand.”

Lufthansa’s A380 has been configured with 526 seats - eight suites in first class, 98 seats in business class on the upper deck, and 420 economy class seats on the lower deck.

Singapore (2010-04-30)

SINGAPORE Changi Airport has reported a strong showing in the first quarter of 2010, with 9.94 million passenger movements registered, up 16.5 per cent over the same period in 2009.

Some 3.45 million passenger movements were recorded in March, making it the third  consecutive month of double-digit growth in passenger traffic for the city-state's airport.

While low cost carriers continued to contribute strongly to passenger growth, full service airlines accounted for more than half of the first quarter's growth.

New links also surfaced in March, including Jinan and Qingdao, China, operated by Shenzhen Airlines and China Eastern Airlines, respectively. Singapore Changi Airport is now connected to some 200 cities.

Bangkok (2010-04-30)

BEST Western International has opened four hotels to its current portfolio of seven properties in Japan, and has announced two more openings in Osaka and Sapporo for July and November this year.

The latest additions to the group's portfolio are 242-room Best Western Hotel Fino Sapporo, 145-room Best Western Hotel Fino Oita, 72-room Best Western Naha Inn in Okinawa and 168-room Best Western Fukuoka Nakasu Inn.

The hotel chain's vice president operations for Asia and the Middle East Glenn de Souza said: “Adding up to 11 hotels in Japan in strategic cities will position Best Western as the second largest international brand in the country.”

Sirima Eamtako, Bangkok (2010-04-29)

THE TOURISM Council of Thailand (TCT) plans to submit its proposals on tourism relief measures to the Cabinet within a week.

TCT president Kongkrit Hiranyakit said the measures, including a five billion baht (US$154 million) loan scheme with special interest rates and a waiver of debt repayments for a specific duration, aim to assist tourism-related establishments and staff affected by the current political unrest in Bangkok.

TCT will also push for a 12-month extension of last year's five billion baht loan scheme for small and medium-sized enterprises. The scheme's debt repayment waiver has been extended to December 2010.

Other proposed measures are compensation for staff in the affected protest areas and tax stimulus schemes.

According to Kongkrit, the current Thai political turmoil is estimated to cause a 10 per cent drop in visitor arrivals and the loss of 80 to 100 billion baht in foreign tourism revenue this year.

Meanwhile, tourism minister Chumpol Silpa-archa is reportedly seeking the Cabinet's approval for a 1.6 billion baht stimulus to restore tourist confidence once the political turmoil ends.

Tokyo (2010-04-29)

JAPAN Airlines (JAL), which filed for bankruptcy early this year, hopes an extensive restructure will allow it to fly back into profitability.

Subject to government approval, the carrier intends to restructure its route, flight frequency and fleet for fiscal year 2010, ending March 31, 2011. These measures are expected to substantially reduce JAL's fixed costs within a year, instead of three years as initially planned.

The restructure entails discontinuing services on 15 international routes, including Brisbane, Denpasar and Sao Paulo (via New York) from Narita; Hong Kong, Guangzhou and Beijing from Kansai; and Bangkok and Guangzhou from Chubu.

JAL will, however, boost its international flights out of Haneda Airport, from the current five daily to 14.

The changes, along with those made in FY2009, represent a reduction of 40 per cent and 30 per cent in international and domestic passenger capacity, measured in available seat kilometer, respectively, compared to FY2008 levels.

Singapore (2010-04-29)

SPAIN'S new international promotional campaign, I Need Spain, features specific visuals tailored to Asian markets for the first time.

With Singapore as its launchpad in Asia, the campaign will be rolled out in 40 countries to a target audience of 400 million people worldwide.

Asia has been identified as a key market for the European country, which now has five offices in the region, the latest in Canton.

Gastronomy is one of the key promotional themes of the new campaign as an estimated six million tourists head to Spain for gastronomic reasons. 

Sirima Eamtako, Bangkok (2010-04-29)

SIAM Kempinski Hotel Bangkok, located behind Siam Paragon shopping complex and adjacent to the Ratchaprasong Intersection protest area, will open in June as planned.

However, the hotel's sales and marketing director Tan Jee Hoong recognised that the opening “will depend on the situation”.

“If all is cleared up by mid-May, we will open as scheduled. We will have to wait and see.”

Tan said, while this year will be challenging and 2011 would focus on rebuilding confidence, there would be no let-up in promotional activities for the 303-room hotel this year. He is currently on a one-week road show in the US, covering New York, Washington and Boston and will attend Arabian Travel Market in Dubai next week.

“We cannot look at two or three months down the road. We have to look at 2011 so when there is an upswing, we will be ready for it,” he said.

Bali (2010-04-29)

RESOR Seminyak Bali will reenter the island's hotel landscape as The Seminyak – A Premium Beach Resort on December 1.

The earlier resort was demolished last year and being built in its place is an entirely new luxury resort with 38 beach-wing rooms, 26 suites with private jacuzzis overlooking the ocean, two penthouses that include a private boardroom, 10 ocean-view villas and a two-bedroom 318m² villa with private pools and open-air gazebos.

Another 30 rooms are located separately within a garden with a swimming pool and sunken bar.

Leisure facilities include an infinity pool and spa, a restaurant and a wedding chapel.

(2010-04-29)

EUROPEAN Tour Operators Association (ETOA) head of membership services John Boon passed away on April 22 after suffering a fatal heart attack.

ETOA's press statement on Boon's demise described him as “a vibrant product of an era when inbound tourism... dominated tourism” and “one of the major forces in that industry”.

He started his career with Global Tours before moving to American Express as a regional contracts manager for the UK and Ireland in his mid-twenties. He also served as chairman of the then British Incoming Tour Operators Association (now Ukinbound) and chairman of international chapters of the American Society of Travel Agents.

Raini Hamdi, Singapore (2010-04-28)

SAYING the IR model (integrated resorts, a term coined by Singapore) is going to be the model of the world, and Asia its new centre, Las Vegas Sands (LVS) is eyeing further expansion in the region, with Japan and South Korea as its next targets.

Las Vegas Sands (LVS) president and COO Michael Leven said the company had started doing the groundwork to build an IR in Japan – “Tokyo, Osaka and possibly Okinawa” – as the country was seriously looking at legalising gambling. South Korea might take longer however as the locals were not allowed at its casinos, he said.

He was not keen on Vietnam, which also does not allow locals at its casinos, and the Philippines, which he said had “too much gaming” and junket rollers.

Responding to questions from TTG Asia after the opening of the Marina Bay Sands Singapore yesterday, Leven said Singapore had motivated countries such as Japan and South Korea to look at IRs as the model to bring in more MICE and tourism growth.

Japan “has been late” in getting inbound tourists and did not have adequate convention centre space, being behind Stockholm even in the global MICE ranking, he added.

LVS is only eager to convince these countries to legalise gambling – though a small part of the IR model, it is still an essential part to support the IR infrastructure and revenues – and modify their tax rates. Leven told TTG Asia when its Singapore IR was fully opened, 85 per cent of LVS EBITDA would come from the two IRs in Macau and Singapore, and 15 per cent from the US.

Ollie Quiniquini, Singapore (2010-04-28)

AS the online space grows in importance, wholesalers are increasingly at a disadvantage, particularly when faced with changing customer and supplier behaviour.

Panellists at the Travel Distribution Summit in Singapore today said current travel trends pose serious challenges for wholesale business.

Wego CEO, Martin Symes, noted that wholesalers often had their prices undercut by suppliers’ yield management policies.

“The penetration of low-cost carriers in the region has also made it easier for consumers to put packages together. Wholesalers still traditionally use legacy carriers for their packages,” said Symes.

That said, all is not lost for wholesalers and offline agents. Expedia vice president Asia Pacific partner services group Cyril Ranque said the offline versus online battle often boils down to customer preference. “At Expedia, we have a team that services traditional agents. We want to be present in most channels.”

According to Symes, online bookings still constitute a relatively small portion of travel in the region, with consumers in many markets preferring to research travel online but book offline.

Ollie Quiniquini, Singapore (2010-04-28)

METASEARCH site, Wego, is offering offline agents a chance to sell their wares online through its new packages product launching in July.

Wego CEO, Martin Symes, told TTG Asia e-Daily the new product would feature price comparisons of packages for Singapore and Australia.

“The content can come from OTAs (online travel agents) or offline agents. If the offline agent doesn’t have the ability to transact that package online, we can refer the customer to them through various mechanisms as we are a lead generation site.”

Wego is initially looking at five agents each in these two markets for the launch and will grow the database from there.

Symes said the company was also looking at providing web solutions for agents to help them market their products online. “We are looking at how we can get into online solutions as well.”

Amy Fabris-Shi, Shanghai (2010-04-28))

SHANGHAI Mayor Han Zheng says the city is now ready to host the 2010 World Expo, following a trial week of ‘soft-opening’ that attracted around one million visitors.

Pre-opening test days saw a third of the almost 200 national pavilions opened for visitors, with day one on April 20 attracting 200,000 visitors.

Visitors to the Expo’s trial opening days reported long queues for key attractions, restaurants and toilets at the Expo site.

The 2010 World Expo, which runs from May 1 to October 31, is targeting a maximum of 380,000 visitors on weekdays and up to 600,000 on weekends.

Visitors to Shanghai this weekend may experience some traffic restrictions, especially during what organisers promise will be “a spectacular opening ceremony” on Friday night.

The Lupu Bridge, which connects Pudong Airport with the city, will be closed from midnight on April 30 to 04.00 on May 1. Temporary traffic restrictions will also be in place on routes leading to and from the Expo site between 16.00 and midnight on April 30. For metro users, Shanghai has launched a new one-day travel card, costing RMB20 (US$2.93), offering unlimited metro travel for 24 hours.

S Puvaneswary, Kuala Lumpur (2010-04-28)

RESORTS World Genting has promised agents it would look into their complaint over their inability to purchase rooms for their clients (TTG Asia e-Daily, April 26), and revert in writing within seven working days.

Some 30 inbound agents representing Indian, Middle Eastern, Chinese and Indonesian markets met with Resorts World Genting yesterday to address this issue. The meeting was called for by the Malaysian Inbound Tourism Association.

Resorts World Genting was represented by Edward Holloway, senior vice president Hotel Operations and Paul Chan, senior vice president of sales and marketing.

Singapore (2010-04-28)

THE UNITED Federation of Travel Agents Associations (UFTAA) is rallying behind the call for the introduction of the Single European Sky.

Spain’s transport minister Jose Blanco and European Commission vice president Sim Kallas have proposed fast-tracking the implementation of this initiative, seen as a major advance in international aviation cooperation.

Referring to the widespread disruption of air traffic and travel worldwide due to the ash clouds from the Icelandic volcano eruption, UFTAA president William Tan noted that many valuable lessons can be drawn from this experience and said “crucial time and duplicated effort could be saved by rationalising the multiplicity of air traffic authorities around and within Europe”.

Tan observed that civil aviation is a global industry that increasingly calls for international approaches and global solutions if it is to work safely and efficiently. The Single European Sky initiative held major implications for enhanced air safety, said Tan.

Singapore (2010-04-28)

MARCH marked the fourth consecutive month of record visitor arrivals for Singapore, with arrivals hitting 928,000, representing a 17.3 per cent year-on-year growth.

Growth was also seen in other tourism performance indicators that month.

Visitor days went up 16.4 per cent year-on-year to reach 3.5 million days.

All top 15 markets, with the exception of China, registered year-on-year growth. Of the lot, South Korea, Malaysia and Indonesia registered the highest increases at 45 per cent, 36.8 per cent and 29.2 per cent respectively.

Hotel performance indexes also looked good, with gazetted hotel room revenue estimated at S$163 million (US$118.4 million), representing an increase of 23.1 per cent compared to a year ago.

Average occupancy rate rose by 14 per cent over March 2009 to 87.1 per cent and average room rate increased by 3.3 per cent to reach an estimated S$205.

The Singapore Tourism Board attributed the growth to a “gradually improving economic climate, leading to an improvement in travel sentiment to Singapore”.

Mimi Hudoyo, Jakarta (2010-04-28)

INDONESIA'S Sunlake Group of Hotels has soft opened its five-star 301-key Merlynn Park Hotel in Jakarta.

According to the group’s regional general manager and COO, Maya Lilaani, this follows the success of sister hotels five-star Manhattan Hotel and four-star Sunlake Hotel in Jakarta and three-star New Metro Hotel in Semarang, Central Java.
 
Positioned as a MICE hotel, Merlynn Park has 20 meeting rooms for events with 24 to 2,000 people.

Lilaani said: “(Our USP) is that 14 of these meeting rooms (for 24 to 36 people) are equipped with karaoke facilities. Participants do not have to leave the room or suffer the Jakarta traffic to take a break and enjoy themselves.”

Two pool terraces are also available for outdoor events for up to 100 people each.

“MICE continues to grow in Jakarta and we are targeting 40 per cent of business from the meetings industry and weddings,” Lilaani said. 

The hotel is also going after corporate and family markets from domestic and regional Asia.

Sirima Eamtako, Bangkok (2010-04-27)

SOME 47 governments have issued travel warnings and advisories on Thailand as political tensions mount in the capital.

The UK government today upgraded its advice “against all but essential travel to the whole of Thailand”. The UAE, Saudi Arabia, Spain and China had also issued the same high level of warning.

Today, Portugal also told its citizens to avoid Bangkok. Germany did so yesterday and Hong Kong, Czech Republic and Taiwan issued similar advisories earlier.

About 21 countries, including Russia, the Philippines, Singapore, the Netherlands and Italy, had told their citizens to reconsider their needs to travel to Thailand.

Sirima Eamtako, Bangkok (2010-04-27)

INBOUND longhaul tour operators are working against time to facilitate tourist traffic while battling cancellations.

Go Vacation Thailand managing director Christoph Mueller said the German government's travel warning yesterday evening against Bangkok had prompted the company to immediately evacuate about 450 German tourists to other Thai destinations.

“For the next couple of days, all new arrivals for Bangkok will be offered the option of either going straight to the beach or cancelling bookings entirely.”

According to CEO Luzi Matzig, Asian Trails had to send more than 100 British citizens to Hua Hin on Sunday, who then returned to the airport at 04.00 the next morning, after the UK Government put a red flag on Bangkok.

“This is an over-reaction by some European governments. Why can’t tourists stay in a hotel in Bangkok when not all hotels are affected by the protests?” said Matzig.

According to him, Asian Trails’ headquarters, which is located on Ratchadamri Road near Ratchaprasong Intersection, had been operating as normal despite the protestors’ occupation of the areas since April 3.

Buffalo Tours, which also had to move its British tourists to nearby Ayuthaya province last weekend, has decided to cancel all new bookings for Bangkok next week for safety reasons, said CEO Tran Trong Kien.

Ollie Quiniquini, Singapore (2010-04-27)

MARINA Bay Sands (MBS), which soft opened today, is banking on its total entertainment concept to drive revenues.

Noting that less than two to three per cent of MBS floor space is devoted to gaming, Las Vegas Sands Corp chairman and CEO, Sheldon Adelson, said gaming would contribute only around 50 per cent of MBS' business. “The casino is an ancillary benefit,” he said.

“We expect revenues to be fairly balanced between four to five segments. MICE, corporate business, tour and travel and others,” said Adelson. “The MICE segment will grow the most dramatically over time, to around 50 per cent of business.”

Adelson expects the integrated resort to recoup its US$5.5 billion investment in around five years.

MBS opened 963 hotel rooms, parts of the shopping mall and convention centre, some restaurants and bars, the Event Plaza along Marina Bay and the casino today. To follow during the resort's grand opening on June 23 are the remainder of the property's 2,560 guest rooms, more shops and dining outlets and the Sands SkyPark.

MBS president and CEO, Thomas Arasi, believes the resort would welcome 70,000 to 80,000 people a day over its various facilities.

Bangkok (2010-04-27)

DESPITE numerous travel warnings and advisories issued by countries against travel to Thailand, the Tourism Authority of Thailand (TAT) is pushing through with its Amazing Thailand Road Show under the “Let’s take a break” campaign in South Korea from April 27 to 29.

TAT executive director for East Asia region Satit Nilwong said the board joined hands with Thai Airways International and the Thailand Convention and Exhibition Bureau to  take 40 Thai sellers to meet with about 230 buyers in Seoul and Busan.

He said the roadshow originally aimed at increasing the market’s awareness and interest in Thailand, would now also be used as a platform to restore confidence and understanding of the current Thai political situation.

Chicago (2010-04-27)

A LACK of commercially-viable landing and take-off slots at Beijing Capital International Airport from the Chinese authorities has put a dampener on American Airlines' launch of daily nonstop services between Chicago and Beijing.

In a press statement, the carrier said the services, orginally scheduled to launch today, will be delayed tentatively until May 4.

It said: "Until American receives viable operating slots, we will not be able to fly between Chicago and Beijing and thus cannot deliver air transportation services to the American and Chinese people. We are... hopeful that the slot issue can be resolved by that time.”

Meanwhile, American Airlines is rebooking customers on other flights to assist them in getting to their destination, offering full refunds or the opportunity to travel at a later date.

Prudence Lui, Hong Kong (2010-04-27)

THE EUROPEAN flight ban last week may have dampened attendance at the 107th Canton Fair in Guangzhou, from mid April to early May, but hoteliers say extended stays from stranded European guests kept occupancy buoyant.

Sunny Paw, general manager of Shangri-La Guangzhou, which suffered cancellations from European guests, said the recent gradual reinstatement of flights from Guangzhou to major European cities since last Wednesday were not enough to help stranded guests. Some have extended their stays and Paw expects more over the next few days.

Sue Gan, director of sales and marketing for InterContinental Grand Stanford in Hong Kong, which has been tapping regular stopover traffic from Europe enroute to Guangzhou, added that the “vacuum was easily filled up by the huge bookings from airlines' layover passengers, which have also has boosted the hotel's food and beverage revenues”.

Asked whether hotels in Guangzhou raised room rates, Paw explained that rates had to adhere to stringent rules set by the Guangzhou Municipality Price Control Administration. This year, standard rooms go for RMB1,990 (US$291); deluxe rooms for RMB2,200; and business rooms for RMB3,300.

S Puvaneswary, Kuala Lumpur (2010-04-27)

ROYAL Jordanian will resume its services between Amman and Kuala Lumpur from June 2, with thrice-weekly services via Bangkok on A330 aircraft seating 283.

The airline suspended its thrice-weekly services in 2005 after 19 years in service as the load factor from Amman to Kuala Lumpur was not strong, said Royal Jordanian sales manager Wilson Chan.

World Avenues executive director Ally Bhoonee said the airline would alleviate some of the seat shortage from Malaysia’s traditional Middle East markets such as Saudi Arabia and Kuwait during the peak summer holiday travel season as some travellers would travel to Kuala Lumpur via Amman. The peak Middle East summer holiday season this year will run from early July to early August and from mid-September to mid-October.

Outbound agency Malaysian Harmony Tours & Travel CEO Cooper Huang said the airline would also help alleviate seat shortage from Kuala Lumpur to Europe especially during the peak summer travel period. The carrier’s network covers 20 European cities.

The agency will also create new tour packages to Jordan, targeted at the Malaysian Muslim market.

Karen Yue, Singapore (2010-04-27)

HOSPITALITY organisation, The Leading Hotels of the World (LHW), is offering an enhanced reward package for MICE planners based in Greater China in a bid to grow bookings from this market.

MICE planners in Greater China will receive additional commissions and rewards when booking with LHW member properties, now numbering over 450 worldwide, between April and June for events happening within the year.

A one per cent rebate on meeting expenses will be given whenever hotel room spend exceeds US$10,000. In addition, planners in Hong Kong and Beijing will receive a Lane Crawford gift card worth US$125 for room spend of at least US$10,000, while planners in Shanghai will get a US$125 spa voucher from the new The PuLi Hotels and Spa.

These benefits come on top of LHW's existing Leading Travel Gift Boxes that offer planners incremental rebates on room spend.

An LHW spokesperson said: “There are already sales out of Greater China, but the potential here is vast and LHW is looking to partner (MICE) organisers on a long-term basis by developing such schemes.”

Further, LHW's MICE team provides support for MICE planners in terms of consolidation on destinations, event house and MICE activity options.

Jakarta (2010-04-27)

INDONESIA'S Sriwijaya Air has placed an order for 20 Boeing 737-800NG worth US$800 million as part of its plan to open routes overseas.

Sriwijaya Air president director Chandra Lie told local media that the aircraft will arrive in stages between this October and 2015. Three will be delivered this year.

Sriwijaya Air now operates Jakarta-Singapore and Penang services and is studying the viability of commencing services between Denpasar and Perth. The airline is also eyeing China, but no details on the plan are available yet.

In the meantime, Sriwijaya Air will open its own pilot school, the National Aviation Management, in Bangka in May. The school aims at creating the manpower needed in accordance with the airline’s development.

Sirima Eamtako, Bangkok (2010-04-26)

HOTELS in Bangkok's Ratchaprasong district, which closed for business last week, have extended their service suspension until Wednesday as anti-government protestors' occupation of the area enters its fourth week.

InterContinental Bangkok, Holiday Inn Bangkok, Four Seasons Hotel Bangkok and Grand Hyatt Erawan Bangkok have announced plans to re-open on Thursday although they were slated to resume services today. Only Dusit Thani Bangkok on Silom Road, which saw occupancy plunge from close to 40 per cent at the end of last week to below 30 per cent today, has decided to accept bookings again from today.

Grand Hyatt Erawan Bangkok executive assistant manager Sammy Carolus said the hotel would review its decision every four days. He added that some group bookings for May and June remained intact as customers adopted a wait-and-see approach on the current political situation.

Meanwhile, Exotissimo Travel Group resumed operations today at its headquarters next to the Dusit Thani Hotel, after operating from another branch last Friday.

Business development director Hamish Keith said the company has suffered heavy cancellations – 80 per cent for the first half of May and 50 per cent for the second half.

S Puvaneswary, Kuala Lumpur (2010-04-26)

RESORTS World Genting has stopped accepting third-party bookings at its call centre since April 22. This has Malaysian agents up in arms over their inability to book rooms for their clients.

The Malaysian Inbound Tourism Association (MITA) has called for a meeting with local agents tomorrow (April 27) to see what could be done about Resorts World Genting rejection of bookings for overseas clients.

MITA does not rule out the possibility of boycotting the highland integrated resort if an amicable solution with the management could not be reached.

When contacted, a source from Resorts World Genting said three properties - Highlands Hotel, Genting Hotel and First World Hotel – were currently undergoing renovations. The reduced hotel inventory had led to the current room crunch, which is expected to be alleviated by the end of the year when the renovations are completed.

?However, Adam Kamal, MITA secretary-general and Tina Travel & Agencies managing director, said he was not informed of the renovations.

 – Full story in TTG Asia, April 30 issue

New Jersey (2010-04-26)

HERTZ Global Holdings and Dollar Thrifty Automotive Group have signed a definitive agreement for Hertz to acquire the latter.

Hertz chairman and CEO Mark Frissora described both companies as “an excellent strategic fit”.

“Dollar Thrifty (has) more than 1,550 corporate and franchise rental locations worldwide which, when combined with our global network, will serve rental customers on six continents from approximately 9,800 locations.Together we will be able to compete even more effectively and efficiently against other multi-brand car rental companies, offering customers a full range of rental options in the U.S. between the Hertz, Dollar, Thrifty and Advantage brands,” Frissora said in a press statement.

It is not known yet if Hertz will operate Dollar Thrifty under the same name or under the Hertz brand after acquisition, or whether Hertz would bring Dollar Thrifty to the  Asia-Pacific region.

Jakarta (2010-04-26)

FIREFLY, a subsidiary carrier of Malaysia Airlines, is set to open an office in Indonesia with an individual local partner holding a majority share.

Director general of air communications Herry Bakti Gumay, however, declined to name the Indonesian partner, who is an individual investor.

Gumay said the airline would hold a 48 per cent share, as an earlier application for a license with a 50-50 share composition with the Indonesian investor was thrown out.

If everything goes according to plan, Firefly would be the second regional LCC, after Indonesia AirAsia, to set up a company in Indonesia.

Firefly presently flies from Malaysian cities to various regional destinations, including Banda Aceh, Pekanbaru, Medan and Batam.

Shanghai (2010-04-26)

SHANGHAI-based China Eastern Airlines plans to join the SkyTeam Alliance in mid-2011.

China Eastern Airlines chairman Liu Shaoyong said the move to join SkyTeam was part of the carrier's “strategic deployment”.

“Joining SkyTeam... will provide (China Eastern Airlines) wider space for growth. It will offer rare opportunities to absorb successful experiences and realise (leap-frog) developments.”

Singapore (2010-04-26)

CAPITOL Hotel Tokyu, opening in October, will be Preferred Hotels and Resorts' second member in Tokyo.

The new flagship of Tokyu Hotels will have 251 rooms, most of them located from the 18th to the 29th floors. The hotel will also have five F&B outlets, five banquet spaces and extensive fitness facilities.

Sirima Eamtako, Bangkok (2010-04-23)

POLITICAL unrest in Bangkok has caused revenue losses of 594.3 million baht (US$18.4 million) between March and May from 18 events, with 8,200 delegates, that were either cancelled or postponed.

The Thailand Convention and Exhibition Bureau (TCEB) said an estimated 68,200 visitors and 13.5 billion baht in revenue could be lost this year should the unrest continue.

TCEB has thus revised its marketing strategy and allocated 200 million baht to retain events and restore confidence.

TCEB president Akapol Sorasuchart said another 200 million baht stimulus – 110 million baht in incentives to event planners and 90 million baht for an event insurance coverage scheme –  would be proposed to the government.

Trade Exhibition Association president Patrapee Chinachoti said, “(while insurance coverage wasn't popular in the past,) it's needed now. Government backing of the scheme would help ensure confidence.”

Rose Garden Riverside chairwoman Suchada Yuwaboon said the political situation had hurt incentive bookings from July onwards. The resort is working with TCEB to retain an 800-person incentive from Japan in end-August.
 
Royal Cliff Beach Resort managing director Panga Vattanakul said a 1,000-person Ad Fest due end-March/early-April had been postponed to May. It was unclear whether it would be postponed again.

Karen Yue, Singapore (2010-04-23)

YESTERDAY'S violent outburst by protestors in Bangkok has alienated the Singaporean travel market, said leisure agents.

AD Travel's bookings for the whole of Thailand have fallen 70 per cent since the rallies started in late-March. Director and general manager Joe Lim said: “Even Phuket is no longer attractive for families. Krabi is the only Thai destination to see some movement, but even that is small.”

CTC Holidays senior vice president (marketing & PR) Alicia Seah said Phuket and Chiang Mai were starting to see ”very few bookings”. Some school groups due to visit Chiang Mai have diverted their travel to Cambodia. Leisure travellers have also switched to Hong Kong, Bali, Vietnam and Malaysia.

Seah described the present situation in Bangkok as “very disruptive and destructive” compared to previous protests, but was confident interest would return once the problems were over and promotions were introduced.

As interest and security in Thailand wanes, travel agencies have ceased promotions for the destination.

Lim said: “Hotel promotions are useless in such situations because traveller confidence is missing. We'll probably see a stronger wave of hotel promotions once the protests die down and during the quieter months of August and September.”

Australia (2010-04-23)

THE Tasmanian Convention Bureau is now Business Events Tasmania.

According to its press statement, the new brand represents “the broader and more dynamic nature of the business events industry” and will cover all aspects of MICE, not just the conventions business.

Business Events Tasmania CEO Stuart Nettlefold said: “The role of the Tasmanian Convention Bureau was not well understood. That is something we intend to change. The new brand is the first step in the process.”

All promotional materials, including the new 2010-11 Meeting and Incentive Planners Guide, will now carry the new branding.

Jakarta (2010-04-23)

THE ASCOTT Limited has secured a contract to manage its second Citadines-branded serviced residence in Indonesia.

The 135-unit Citadines Jakarta Rasuna, which is expected to be completed in 2011, makes Ascott the largest international serviced residence owner-operator in Indonesia with more than 1,600 apartment units in eight properties in Jakarta and Surabaya.

Ascott managing director for Southeast Asia and Australia Alfred Ong said: “Our properties are performing well with an average occupancy of about 80 per cent.”

The group will open its first Citadines property in the country, the Citadines Jakarta Quarter, in the second half of this year.

Located in the city centre near the Kuningan Stadium and several embassies, Citadines Jakarta Rasuna is part of the 30-storey The H Tower urban development.

Bangkok (2010-04-23)

THE AETAS Bangkok hotel, on Sukhumvit Road, is proceeding with its official opening on May 16, despite an escalation of violence in the anti-government protests yesterday.

The high-end hotel offers 216 rooms and suites, outdoor pool, spa and fitness facilities and fine-dining outlets to business and leisure travellers.

To encourage bookings, the hotel is dangling an opening promotion of 2,750 baht (US$85) per night in a superior room, with complimentary upgrade to a deluxe room for minimum stays of three nights, and 4,750 baht per night in an executive suite. The deal, which comes with a host of benefits, is valid until October 31.

Singapore (2010-04-23)

LOW fares airline Jetstar will commence Singapore-Taipei-Osaka services from July 5, the first budget connections between the three airports.

The new daily service forms part of Jetstar's 46 per cent jump in capacity from Singapore over the past year as the airline turns Changi International Airport into its largest hub in Asia for short- and longhaul operations.

Sirima Eamtako, Bangkok (2010-04-22)

THE FEDERATION of Thai Tourism Associations (FETTA) is urging the government to allocate another five billion baht (US$155 million) for a loan stimulus programme and extend a scheme waiving debt repayments for another year.

The move came as FETTA estimated a 40 to 50 per cent drop in visitor arrivals from April to September and a 70 to 100 billion baht dip in revenue if the current political unrest continued into May.

FETTA spokesman and Thai Travel Agents Association president Charoen Wangananont said a new round of loan stimulus and an extension of the repayment scheme would help small and medium-sized tourism operators stay afloat.

The first loan stimulus programme, with a five billion baht kitty, was approved early last year. Debtors were exempted from capital repayment, paying off only the interest from then until this month.

Sirima Eamtako, Bangkok (2010-04-22)

THE THAI Cabinet has endorsed a plan for Thailand to bid for the World Expo 2020.

The kingdom is expected to officially announce its intention in June at the Shanghai World Expo.

The Thailand Convention and Exhibition Bureau (TCEB) has been tasked to work with the Office of the National Economic and Social Development Board to produce a project feasibility study within 60 days.

TCEB president Akapol Sorasuchart said the study, which would have to be submitted for endorsement, would include the theme, location and proposed investment budget for hosting the event.

The bureau initially estimated that Thailand would need around 20 billion baht (US$600 million) to stage the event, which would in turn generate more than 160 billion baht in direct income.

Akapol said: “We plan to officially announce Thailand as a contender in 2011.”

S Puvaneswary, Kuala Lumpur (2010-04-22)

UNDETERRED by Brunei's strict policy on alcohol consumption, MICE operators in the sultanate have come up with creative promotions that somehow even capitalise on this fact.

Sunshine Borneo Tours & Travel has created health- and nature-based packages that tie in with Brunei Tourism's positioning of the sultanate as a safe and peaceful destination, ideal for productive meetings and incentives.

Managing director Anthony Chieng expects a 10 to 15 per cent increase in bookings to Brunei this year, mainly from regional markets with direct access to the country.

MegaBorneo Tour Planner is promoting Brunei as 'the cradle of Borneo civilisation' and combines it with Sabah and/or Sarawak. Managing director Khirul Zainie said this strategy has reaped rewards in the German and Swiss incentive markets, which have already yielded six groups so far this year.

Zainie said: “Meeting planners from Europe are moving away from mono destinations, choosing instead to include two or three destinations in the itinerary to maximise delegate experience and reduce overall costs.”

Meanwhile, Freme Travel Services is pushing Brunei as a meetings destination for Muslim associations based in Malaysia, Indonesia and Singapore.

Prudence Lui, Hong Kong (2010-04-22)

HONG KONG agents appointed to sell the World Cup are meeting with varying degrees of success.

"The response hasn't been good and way (behind on) our expectation. It's not a price issue as soccer fans don't mind paying for this kind of international event," said Eliza Li, senior manager of marketing and product at Wincastle Travel, one of nine agents handling sales in a joint promotion with Emirates.

Li believes the destination, perceived as unsafe and recently hit the headlines following the murder of an infamous white supremacist leader, may account for the slow sales. "There were enquiries shortly after the initial launch and series of promotions last January but it didn't last long. We don't plan to push it further as the package offer ends in mid-May."

Miramar Travel, however, saw a 50 per cent increase in bookings over the previous World Cup due to the soccer fan base the agency had built over the years.

"They come back to us every four years for World Cup packages. Some pay HK$300,000 (US$38,645) to enjoy key semi-final or final matches," said general manager Alex Lee, who noticed more female fans travelling to the event this time around.

Hong Kong (2010-04-22)

ENCORE Macau, an all-suite boutique hotel, opened its doors yesterday but without the usual ceremony out of respect for China’s national day of mourning for victims of the recent Qinghai earthquake.

The US$600 million boutique extension to Wynn Macau – described by casino mogul Steve Wynn as “the most beautiful thing we have ever built” – has 414 suites and villas, two restaurants, a bar, retail and a spa.

The spa has eight private suites, each with its own steam room and sauna.

Guests will also be able to use the facilities of the adjacent Wynn Macau.

Encore is Wynn Resorts' second hotel in the enclave, with a third in the works for opening in 2013 on the Cotai strip, home to rival Las Vegas Sands Corporation and City of Dreams’ casino resorts.

Singapore (2010-04-22)

STANDARD Online Tourism Architecture (SOTA) has launched PayPal payment solutions for all its travel agents.

Rohizam Md Yusoff, CEO of Creative Advances Technology, which developed the SOTA platform, said travel agents could now use PayPal to receive online payments in 24 different currencies effortlessly and securely from customers anywhere in the world.

“The PayPal payment solution does not require paying any setup or monthly fees,” said Rohizam.

PayPal will provide a secure payment system for travel agents to receive online payments from their customers through SOTA, which is being used by over 16,000 travel operators.

Business as usual for MICE events in Singapore

MOST business events planned in Singapore this week have escaped unscathed from European airport closures that derailed travel plans and created a massive backlog of stranded passengers around the world.

The organiser of Asia Trader & Investor Convention, which will take place in Suntec Singapore on April 24 and 25, said its Canadian delegation was already in Singapore and the event would take place as planned.

Food & Hotel Asia 2010 (FHA2010), which opened yesterday as planned at the Singapore Expo, has 22 per cent of exhibitors from the European Union.

Stephen Tan, chief executive of Singapore Exhibition Services, the organiser for FHA2010, said: “We estimate that two-thirds of EU exhibitors are not affected by the (flight) disruption. Some (of them) had either travelled (to Singapore) from outside Europe or had already arrived in Singapore (before the incident). Many of these companies also have employees, distributors and agents based in Asia who took on the staffing duties at the exhibition.”

Spokespersons of Singapore's two key MICE venues, Suntec Singapore and Singapore Expo, told TTG Asia E-daily that there had been no cancellations or postponement of corporate events.

Cathay stops new bookings to clear backlog

CATHAY Pacific will stop taking bookings for Europe-bound departures on or before May 10 to clear a backlog of stranded passengers.

Senior executives yesterday described the European airport closure as “a crisis on an unprecedented scale in modern aviation” and added that the partial lifting of the no-fly ban had been complicated by a fresh eruption of the volcano.

“We are in the planning stage for recovery. We have stopped connecting passengers from coming to Hong Kong, we are hoping to add extra sectors where possible, upgrading to larger aircraft where we can on critical routes, appealing to passengers on non-essential flights to postpone their travel and working out a priority system for when services begin to return to normal,” said a Cathay executive.

Yesterday, the airline cancelled seven flights to Europe, including four services to London, and upgraded the A340 Rome service to a B747-400 flight, giving it an extra 96 seats.

Disaster underscores need for travel risk management

THE ONGOING airport closures across several European cities that have upset travel plans have once again underscored the importance of travel risk management, said Tony Ridley, director of security services for Asia-Pacific with International SOS.

A company that had invested in travel risk management would have incurred “minimal disruption” and endured “a less invasive and expensive cure”, said the senior executive of the global provider of medical assistance, international healthcare, security services and outsourced customer care.

Unplanned risk evacuation for two people could set a company back by between US$50,000 and US$100,000.

Ridley said: “ Productivity, efficiency and safety are benefits of an effective travel risk management strategy (that is) supported by... actionable plans. Lack of such plans deserve their predictable outcomes, widespread disruption and unchecked costs.”

“If the level of support and response was identical to that of a (leisure) tourist, you may find executives reconsidering their future with the company or at the very least, the company being considered as a less favourable employer of choice in the war for talent.”

Singapore Airlines slowly resumes flights

SINGAPORE Airlines (SIA) is progressively reinstating flights to and from Europe, with eight more flights set for today as Europe slowly reopens its airspace, according to the carrier's press statement issued this afternoon.

Three flights to London will take off this afternoon from Singapore, and a flight each from Amsterdam, Paris, Zurich, Rome and Barcelona (bypassing Milan) to Singapore will take off throughout today.

The airline will also reinstate a flight each to Houston via Moscow, Zurich, Copenhagen and Rome tomorrow.

In the statement, SIA said “further reinstatement of flights will be made on a daily basis, with consideration of weather conditions and airspace restrictions”.

Sharon Desker Shaw, Hong Kong (2010-04-21)

TWO hotels opening at Beijing Capital Airport’s Terminal 3 plan to work together to market the location to capture room and MICE business from a nearby exhibition centre and an expanding industrial zone.

The Langham Place and Hilton are both gearing for a mid-August opening and will add nearly 700 rooms and sizable MICE inventory to the airport.

Langham Place’s director of sales and marketing Simon McHendry said the hotel had MICE on its radar partly due to the proximity of the New China International Exhibition Centre, the venue for this month’s Auto Show, and the Tianzhu industrial park, home to major multinationals such as Airbus, Pratt & Whitney, UPS and Panasonic.

The hotel will target transit guests and corporate travellers on short trips.

Langham Place will launch with 2,735sqm of meetings space, while a 1,800sqm exhibition centre will come online in a second phase next August.

The hotel will also have one of the largest executive lounges, a two-level venue with four zones – Relax, Refresh, Replay and Revitalise. The zones will be furnished with a pool table and Wii console games, massage chairs and his and her rooms for guests either checking in early or leaving late.

Mimi Hudoyo, Jakarta (2010-04-21)

SWISS-Belhotel International is expanding its presence in Indonesia with seven four-and five-star properties due to open over the next two years.

The chain kicked off its expansion with the four-star 109-room Swiss-Belhotel Kendari on April 19. The 111-room Swiss-Belhotel Ambon will follow on May 1, while the rest are now under construction in Bali, Papua, Kalimantan and Bogor.

Swiss-Belhotel International senior vice president for operations and development Emmanuel Guillard said the chain is expanding its four- and five-star hotel portfolio to establish its brand internationally.

Explaining the rise in demand for high-end accommodation in secondary cities in Indonesia, Guillard said: “Take Ambon as an example. Its economy is getting better and new property developments are entering the city. The mining industry has provided opportunities for upmarket accommodation and meeting facilities there.”

Dispelling misperceptions that the buying power in such destinations was low and that only mid-range hotels were needed, he said the group’s hotels outside Java are profitable.

Still, Guillard acknowledged the potential at the lower end of the market in Indonesia and the chain would develop its mid-range and low-end brands after the top tier brands had gained a foothold.

Singapore (2010-04-21)

SINGAPORE-BASED Banyan Tree Holdings, which has a portfolio of properties worldwide, will finally open a Banyan Tree Spa on home ground.

It will design and operate a 1,858sqm Spa and Health Club on the 55th floor of Marina Bay Sands integrated resort.

The spa will consist of 15 treatment rooms, a gym and cardio corner, pilates and yoga studios and a juice spa.

The Health Club at Marina Bay Sands will open first in mid-2010, followed by the Spa. In addition to hotel guests, the facilities are looking at offering exclusive memberships to selected clients.

Indonesian operators cry foul over cancellation charges

INDONESIAN inbound operators are crying foul over cancellation charges imposed by some domestic airlines and hotels on no-show European travellers affected by Europe’s airport closures in the wake of Iceland’s volcanic eruption.

Operators said cancellation charges should not apply as this was a force majeure situation.

Although cancellation numbers are small – this is the low travel season for Europeans – agents said they were feeling the pinch of cancellation charges.

“Many (airlines serving) domestic routes... are sticking by normal (cancellation) rules although the situation is beyond anyone’s control. Our hotel partners in Bali are understanding and more flexible, but one in Jogjakarta chose to charge us,” said Agnes Priyanti, product and marketing manager of Dewatha Sakti Tours & Travel. The agency has seen 29 French passengers cancel and bookings for April 24 onwards put on hold.

Marintur executive director Ismail Ali said that while EU carriers offered refunds, non-EU airlines did not.

He added that although international air tickets were not included in packages provided by ground handlers, the latter would still need to bear the cost of lost business from airline cancellations.

Stranded passengers send room demand soaring

MANY city hotels in Singapore that have been experiencing strong occupancy this month are having trouble accommodating visitors who are stranded by Europe's flight ban.

Rendezvous Hotel Singapore, which was running at 99 per cent occupancy before the Iceland volcano eruption last week, has been unable to accommodate all requests from corporate guests.

The Ritz-Carlton, Millenia Singapore, where occupancy has been running at its peak since the past fortnight, has tried to grant extensions to in-house guests. It also offered to waive cancellation charges for guests whose travel plans were affected by flight disruptions.

Local economy hotel chain, Hotel 81, said demand had been “unbelievable” so far, with some of its hotels fully booked, said its spokesperson, Chu Poh Yong.

Singapore’s tight room supply has led local agents to turn to hotels across the causeway and in nearby Bintan island to accommodate stranded guests.

Nirwana Gardens resort on Indonesia’s Bintan island said it received enquiries for rooms to house visitors stranded in Singapore and is ready to extend a flat rate to stranded European visitors.

Hong Kong counts cost and upside of ash attack

HONG Kong operators have lost out on incoming European business but the city’s hotels have enjoyed a hotel rate boom as stranded Europe-bound passengers struggle to find affordable accommodation in what is a peak season.

PC Tours & Travel reported a cancellation by a group of more than 200 leisure travellers from France. General manager Cary Chiu said: “There were extensions for hotel rooms last week (from clients stranded in Hong Kong) with rates based on what the client paid the previous night.

“However, hotels (are now) full and some are increasing rates according to supply and demand. The (increment) is not aggressive, though.”

Travel Asia president Owen Yau said fluctuating hotel rates were forcing stranded passengers to trade down from five- to four-star hotels, as rates grew by more than 10 per cent.

Holiday Inn Golden Mile declined to disclose rates but said it was able to accommodate an estimated 30 guests who asked for extensions over the last weekend, which made up for the cancellation of 50 roomnights by passengers unable to fly from Europe.

“April is a peak season for business travellers as there are three big trade fairs – Hong Kong Electronics Fair, Houseware Fair and Gifts & Premium Fair,” said the hotel’s director of sales and marketing, Daisy Leung. “We forecast around 86 per cent occupancy this month.”

Slow return to disrupted route networks

FLIGHTS to and from Europe are resuming slowly, with Europe's air traffic control group, Eurocontrol, predicting that flights over the continent could return to normal by this Thursday.

Yesterday, three KLM flights carrying passengers left Amsterdam-Schiphol airport for Shanghai, Dubai and New York, while Lufthansa announced the immediate resumption of all its longhaul flights.

Singapore Airlines operated two flights from Singapore to Barcelona today, while Japan Airlines (JAL), which had cancelled 47 scheduled flights between Japan and various European cities including London, Paris, Frankfurt, Rome and Moscow since April 15, resumed with one flight each from Rome and Moscow to Tokyo yesterday.

JAL will operate one flight from Narita to Rome today. Flights to London, Amsterdam, Paris and Frankfurt are still suffering from disruptions.

Bali hotel group outlines plan to help stranded guests

BALI Hotels Association (BHA), representing more than 100 hotels on the island, has issued guidelines on the recommended course of action members can take in handling travellers affected by the closure of European airports.

Its press statement called on member hotels to offer the best available rates to travellers who approached the hotel directly for extensions, while contracted rates were recommended for bookings made through a third party.

BHA has also recommended that member hotels help affected travellers re-book their stays at no extra charges, subjected to availability and room rates during the requested period, until end of 2010.

BHA chairman Jean-Charles Le Coz said in the statement:  “BHA stands together with the travellers affected by the disruption caused by the Icelandic volcano ash (clouds) and (it) does not wish to take advantage of the unfortunate situation. (We) look forward to a better situation that will allow all travellers to enjoy their trip to and from (Bali) in a non-disruptive environment.”

Sirima Eamtako, Bangkok (2010-04-20)

THE closure of several European airports has compounded the impact of Bangkok’s political impasse on tourism and could now be putting industry jobs at risk.

Centara Hotels and Resorts senior vice president sales and marketing Chris Bailey said the impact of the more than five-week Thai political turmoil was reaching a point where jobs were in jeopardy.

He said all Centara resorts, which were running at peak occupancy despite the protests, were now affected by flight cancellations and mounting worries among Australians over news that rival yellow-shirt protestors were also planning to take to the streets.

While hoteliers interviewed had yet to implement unpaid leave or layoffs, staff of hotels in the Ratchaprasong protest areas had been asked to clear annual leave this week.

Grand Hyatt Erawan Bangkok executive assistant manager Sammy Carolus said the hotel had encouraged operation staff to clear leave while marketing staff were asked to stayed on to handle queries.

Group bookings for April and May were either moved to other Hyatt locations regionally or postponed to later in the year, he said.

However, Accor, which saw its properties in the inner parts of Bangkok running at lower than 50 per cent occupancy, said the situation was not entirely bleak.

Its vice president operations for Thailand, Laos and Cambodia, Oswald Pichler, said hotels in the outskirts of Bangkok were performing well, while Hua Hin and Phuket hotels were running high occupancy rates.

Jakarta (2010-04-20)

BEST Western International has terminated its association with New Kuta Condotel with immediate effect.

No reason was provided by the chain for the termination.

In a press statement, Best Western International Indonesia business development consultant for operations Winston Hanes said the group would, however, continue its expansion plans in Indonesia.

Best Western presently operates the Best Western Premier Solo and Best Western Resort Kuta in Indonesia. It is planning on opening the Best Western Mangga Dua Hotel and Residence later this year and eight more in the next two years, which will give the brand almost 1,100 hotel rooms throughout the country.

Hong Kong (2010-04-20)

THE HONG KONG-Moscow route will have another player with Hong Kong Airlines’ launch of scheduled services following Cathay Pacific’s earlier announcement of flights to the capital of the Russian Federation capital.

Hong Kong Airlines will fly four times a week to Moscow from June 23, and the service will be followed weeks later by Cathay’s three services a week to the Russian city in July.

The former carrier plans to use a brand new Airbus A330-200 aircraft on the route, with a similar two-class configuration as Cathay.

Hong Kong (2010-04-19)

THE Centre for Asia-Pacific Aviation (CAPA) has forecast the cost for the global aviation sector from Iceland’s volcanic ash fall at well over US$2 billion, while also predicting structural shifts in consumer behaviour from the disaster.

CAPA added another US$1 billion plus and rising with each day of disruption to cover lost ancillary revenue and the cost airlines would incur for rerouting aircraft and caring for stranded passengers and aircraft.

A more dire forecast was the prospect that changing consumer behaviour, building on the increasing attractiveness of teleconferencing and improvements in such technologies during last year’s recession, could become entrenched.

“This event will undoubtedly have the teleconferencing lines running hot – and much of it will persist,” CAPA observed, noting that even when flights do resume, much of airlines’ networks were likely to be patchy and uncertain and would depend on conditions in a particular zone.

Noting that several European airlines were discussing emergency staff layoffs, CAPA believed that the event “may even be the final blow for some” as the battered aviation sector struggled with the latest disaster.

Karen Yue, Singapore (2010-04-19)

THE smothering volcanic ash cloud from Iceland's Eyjafjallajokull volcano, which has led to the cancellation of 120 flights between Singapore and Europe since last Thursday, is hampering Europe-bound traffic out of Singapore.

Tour East Singapore has close to 400 Europe-bound customers stranded in the city.

The agency's group vice-president, sales and marketing Judy Lum said: “Food & Hotel Asia in Singapore this week has taken up room supplies so we have to bus affected customers to Johor Bahru for accommodation.”

At the same time, five leisure groups from the UK, Germany and France, as well as “a number of FIT travellers” from Holland were also unable to fulfill their travel plans to Singapore, Lum said.

Robin Yap, regional director Asia for Insight Vacations, which specialises in European tours, said it was “somehow fortunate” the disaster came before the peak season that runs from May to July. Only three tours were affected so far. “Only 10 passengers from the Philippines and four from Malaysia are unable to proceed with their tours.”

Affected Insight Vacations customers are allowed to change their travel plans without any penalties, as long as they rebook by May 17 for travel within this year. Full cancellations, however, will be subjected to cancellation charges.

But with news that the ash cloud was unlikely to dissipate anytime soon, Yap acknowledged that the travel industry could suffer the same effects as the A/H1N1 outbreak had inflicted in the past year.

Sirima Eamtako, Bangkok (2010-04-19)

HOTELS in Bangkok’s Ratchaprasong district are keeping their doors open despite rising losses as anti-government protestors’ occupation of the area enters its 17th day.

Centara Grand, which can be accessed through Prathunam Road, has chosen to continue accepting new bookings although it is running at 10 to 12 per cent occupancy today, according to Centara Hotels and Resorts sales and marketing senior vice-president Chris Bailey.

Grand Hyatt Erawan Bangkok is also open, although some F&B outlets are closed. It will continue to accept new bookings, but has limited access to in-house guests.

Long-stay corporate guests are still staying put at the Anantara Baan Rajprasong Serviced Suites, which saw occupancy plunge by half to about 40 per cent. The fall came mainly from its key leisure markets - Singapore, Hong Kong and Japan.

However, InterContinental Bangkok and Holiday Inn Bangkok spokesperson Panasporn Nopasri said management had closed Holiday Inn on Sunday after its last guest checked out. Novotel Bangkok on Siam Square has reportedly stopped taking new bookings until April 20.

Both the Holiday Inn and the InterContinental Bangkok, which will close from tomorrow, are scheduled to reopen on April 26.

Prudence Lui, Hong Kong (2010-04-19)

A 60-DAY Round-The-World tour with a hefty HK$500,000 (US$64,400) price tag has been launched by an agency group led by China’s online agency giant Ctrip.

Only 20 seats are available with bookings on a first-come-first-served basis beginning noon on April 20 for the tour, which departs Hong Kong on February 5, 2011.

This is the first cooperative venture involving Ctrip and its majority-owned agents – Hong Kong’s Wing On Travel and Taiwan’s ezTravel.

Wing On’s general manager Jo Jo Chan said: “The itinerary caters to a niche market... we already have four clients booked. The response is better than we expected. Though the profit margin is attractive, there is no plan for another departure at this stage.
“While we serve as an offline sales channel, both Ctrip and ezTravel will tap online bookings,” said Chan, adding that the deal was a brand-building exercise by the three.

All three worked together on itinerary planning while ezTravel spearheaded the operational aspect of the tour, which will cover iconic landmarks in five continents and 27 cities.

Travel will be business class all the way with stays in iconic hotels such as the Oberoi Amarvilas in Agra, Four Seasons in Sydney, Hotel Monasterio in Peru and Dubai’s Burj Al Arab plus an option to travel on Silversea Cruises’ luxury vessels.

S Puvaneswary, Kuala Lumpur (2010-04-19)

BRUNEI Tourism is working hard to reverse last year’s 30 per cent shortfall in arrivals, tying up golf tourism with event-based marketing.

The destination is banking on its golf promotions to bring arrivals back to 2008 levels. It believes efforts such as its hosting of international level professional tournaments such as the Aberdeen Brunei Senior Masters, the European Seniors Tour and The Brunei Open will be key to the recovery.

“Such events always get international coverage and it results in attracting more golfers to the destination,” said Brunei Tourism’s director of marketing and promotion, Jean Christophe Robles Espinosa.

Brunei Tourism is also working with Tourism Malaysia to create an Islamic Trail package combining the destination with Malaysia. It is in the process of discussing with religious authorities in Brunei to make available to visitors the rare collection of Islamic artifacts, which would be key to developing an educational tour package, said Espinosa.

As part of its recovery drive, the NTO plans to appoint overseas marketing representatives this year in its key markets – Asia-Pacific and the UK.

Hong Kong (2010-05-19)

SHANGRI-LA Hotels and Resorts has inked an agreement with Tanriverdi Holding Company, a Turkish company that deals in curtain manufacturing, real estate and energy, to manage the hotel chain's first property in Turkey.

The 200-key Shangri-La Hotel, Istanbul, due to open in April 2012, will be located within the Besiktas shopping and transportation hub of Istanbul and near the Istanbul Convention and Exhibition Centre.

It will be surrounded by a number of historical and cultural sites, including the Istanbul Concert Hall, the newly restored Akaretler complex of neoclassical buildings, palaces from the Ottoman Empire period, and several theatres.

The hotel will offer several restaurants and bars including a rooftop restaurant, a health club, spa, swimming pool, business centre, ballroom, and conference and meeting room facilities.

Hong Kong (2010-04-19)

WYNDHAM Hotel Group has clinched deals for another four hotels under its Wyndham Grand Collection brand in China following the recent addition of properties in Shanghai, Changsha and Hangzhou.
The newcomers are a 420-room hotel in Chengdu, a 311-room property in Suzhou, a 374-key property in Kunming and a 321-room hotel in Shanghai.
The Wyndham Grand Plaza Royale Palace Chengdu will be the first off the block, opening in late spring this year. It will have 12 meeting rooms to accommodate up to 800 people, three restaurants and a cigar and wine bar.
The Collection brand is one of several operated by the group in China. The group has 207 hotels representing 33,336 rooms under the Wyndham, Ramada, Howard Johnson, Days Inn and Super 8 brands on the mainland.

Ollie Quiniquini, Delhi (2010-04-16)

  NEW room supply in Delhi and the accompanying introductory rates are likely to spark further room rate declines in the city.  Radisson Hotel Delhi vice president and general manager Javed Ali said the property’s average rate, from 10,500 (US$236.88) to 11,000 rupees last year, would probably fall by five to 10 per cent this year. Last year’s average was already 20 per cent lower than 2008 rates.  Occupancy has recovered somewhat since the Mumbai attacks and the global economic downturn but rates have yet to return to previous levels.   “Demand for Delhi is quite flat. It is not growing at the same rate as supply, which is expected to grow by 20 per cent in the next couple of years. This is part of a cycle, which is presently down, but the slowdown is slowing down,” said Ali.  Meanwhile, Radisson Hotel Delhi continues to invest in its first major renovation since its opening in 1998. Some 700 million rupees have been spent to renovate all the public areas, pool, restaurants and 54 of the hotel's 256 rooms. Another 70 rooms will be upgraded by September, with the rest to follow next year along with the bar and banquet facilities.

Karen Yue, Singapore (2010-04-16) 

BELEAGUERED Japan Airlines (JAL) continues to enjoy travel agents’ support in Singapore despite its move to abolish its three per cent travel agent commission from April 1.  JAL flight bookings out of Singapore have not been affected by its bankruptcy filing in January this year with debts of US$25 billion and plans to suspend services on several international routes, including Hangzhou, Hanoi and Kuala Lumpur, domestic routes and close four overseas offices and two domestic offices.  Flights between Singapore and Tokyo have not been affected, although Kuala Lumpur-Singapore-Osaka services have been suspended as of January 17.  Travel agents here said JAL’s commission cutback would not dent their earnings.  Hong Thai Travel Services said it is still using JAL flights for most of its Japan tours and customers were no longer worried about JAL’s stability after the carrier ran frequent announcements in Singapore’s mainstream media promising to continue services from the city.  The head of corporate leisure with a leading local travel agency said: “Frankly, most clients are not even aware of JAL's bankruptcy. Perhaps it is a sense of security one gets from knowing that JAL is the national carrier of Japan. That said, Singapore Airlines and All Nippon Airways (ANA) are the preferred choices for most of our corporate clients, although JAL fares are almost the same as ANA's.” 

Ollie Quiniquini, Delhi (2010-04-16)

LE PASSAGE to India intends to expand its product range by creating three more specialist brands.  Managing director Arjun Sharma said the company, which already has seven niche brands, planned to eventually launch product lines for the adventure, events and gay and lesbian market segments.  The adventure travel division, according to Sharma, will most likely be launched next year.   “We are constantly germinating ideas and looking out for opportunities. We already have business in these segments but once they are fully incubated and reach critical mass, we can create a new brand for them and let them behave like small independent businesses as part of our 'string of pearls' strategy,” he explained.  In the events division, Le Passage to India is already handling the Commonwealth Games Travel Centre, as well as the Jaipur Literary Festival, the Bhutan Literary Festival and the Cricket World Cup.  The company has also forged strategic alliances with Malla Travel and Trek Services in Nepal and Druk Travel Services in Bhutan. The longterm plan, said Sharma, was to be not just an India-centric but a global DMC.

Karen Yue, Singapore (2010-04-16) 

THE National Association of Travel Agents Singapore (NATAS) is in talks with the Singapore Tourism Board, which issues travel agent licenses, for the creation of an accreditation system for all agencies and their staff in the city.  This move follows a recent rise in new travel agencies being formed in Singapore, as the city-state expands its tourism product offerings.  NATAS president William Tan had earlier expressed his concerns that the presence of too many new travel agencies that were neither NATAS members nor possessed service quality could mar Singapore's tourism image.  According to NATAS CEO Robert Khoo, there are over 900 travel agencies operating today, but only 330 are NATAS members.  Khoo said NATAS intended to heavily subsidise the accreditation programme.  “All our initiatives this year, including our S$200 (US$146) training vouchers giveaway for all NATAS members, will cost us S$150,000. It is an investment we have to make to raise the value of our membership, which, by the way, has not risen its fees for the past 20 years.” Khoo said.

Ollie Quiniquini, Delhi (2010-04-16) 

THE INDIAN government may be expecting around 150,000 visitors for the Commonwealth Games (CWG) in Delhi this coming October but the trade is not as ecstatic.  Indian Tour Operators Association president Vijay Thakur said the country was not capitalising properly on the event. “We did not prepare the infrastructure early and now it remains to be seen whether all these will be ready (in time for the games). There also hasn’t been much promotions, unlike the 2008 Beijing Olympics where promotions started way back in 2001.”  Radisson Hotel Delhi vice president and general manager Javed Ali said the CWG would provide a momentary spike in arrivals but was unlikely to be a driver of either occupancy or investment. “I have allocated 100 rooms for the games but this is more a show of support than a business opportunity.”  But Le Passage to India, which runs the CWG Travel Office, begs to differ. Managing director Arjun Sharma admitted bookings were off to a slow start but was confident of a pick-up closer to the games.  “Delhi will put up a great show. The most important aspect would be the games' legacy of infrastructure for the country,” said Sharma. 

Hong Kong (2010-04-16) 

GLOBAL market research organisation Esomar has moved its Asia-Pacific conference slated later this month from Bangkok to Kuala Lumpur after anti-government protests turned violent last weekend.  Originally booked at the InterContinental Bangkok, the April 25-27 event will now be held at JW Marriott in the Malaysian capital.  “...events in Thailand over the past weekend escalated to a point where there is now too much uncertainty regarding Esomar’s ability to ensure the safety of all attendees,” director general Finn Raben said in a statement on the group’s website.  Raben said InterContinental agreed to cancellations without penalty for bookings made for the conference.

Jakarta (2010-04-16) 

THE Indonesian Government’s decision to raise a tax on imported alcoholic beverages by as much as 214 per cent has raised concerns of the Indonesian Hotel & Restaurant Association (IHRA).  The increase came into effect this month when the finance ministry initially scrapped a luxury tax on alcoholic beverages only to replace it with a sharp hike in excise levies of between 100 and 214 per cent on imported alcoholic drinks.  IHRA chairman Yanti Sukamdani said: “The huge increase of the tax will have significant impact on hotels and restaurants, especially in tourist destinations. They will be forced to increase the prices of drinks and travellers will be unhappy about it.”  Sukamdani said IHRA had submitted the appeal to the government for reconsideration and reduction of the tax.   The tax on beverages with less than five per cent alcohol has risen by 214 per cent from 3,500 rupiah (US$0.39) to 11,000 rupiah, while drinks with five per cent to 20 per cent alcohol has gone up 200 per cent, from 10,000 rupiah to 30,000 rupiah. Beverages with 20 per cent to 55 per cent alcohol increased by 214 per cent from 26,000 rupiah to 75,000 rupiah.

Hong Kong (2010-04-16) 

SOFITEL Luxury Hotels will bring its hotel count in Guangdong to five by year-end with the opening of its first property in Guangzhou and its third in Dongguan, giving it 1,671 rooms in the southern China province.  The 493-room Sofitel Guangzhou Sunrich will open in October in Guangzhou’s emerging CBD in Tianhe district and has its eye on a predominantly business travel market.  “Most of the big multinationals are within three to five kilometres of the hotel,” said general manager Christophe Lauras, citing companies such as Procter & Gamble, Siemens, Sony and Toyota.  The hotel will have three restaurants and three bars, with a Michelin star chef heading the all-day dining outlet, as well as 3,000sqm of meeting space, spread over a ballroom and 16 meeting rooms, which includes a circular-shaped forum with 53 seats, each equipped with individual screens and plug-in computers.  Sofitel Dongguan Humen Oriental will open on May 15, offering 409 rooms, ranging from 55sqm to 80sqm, in the city’s garment district and CBD. The hotel will have four F&B outlets and will offer an introductory rate of RMB 588 (US$86)  + 15 per cent.

Sharon Desker Shaw, Hong Kong (2010-04-15)

SOFITEL will open its first Asia-Pacific property under its new So By Sofitel sister brand, which reinterprets boutique hotels, in Bangkok in the first quarter of next year.

In line with So’s positioning emphasising style and creativity, the 238-room hotel has taken the unusual step of having four Thai design firms to handle interior design for each bloc of a little more than 50 rooms, a fifth to work on restaurant concepts and the sixth for public spaces.

“It’s truly out-of-the-box,” said Markland Blaiklock, senior vice president, Sofitel Asia-Pacific, of the Bangkok property, the line’s second in the world after Mauritius.

The launch of So – aimed squarely at trend-conscious customers – and Sofitel Legend, a collection of  “character properties”, emerged with Sofitel’s repositioning as a luxury brand in 2006. As part of the relaunch, the portfolio will be whittled down from 205 properties in 2006 to 130 in 2012.

According to Blaiklock, the group has its “eye on a couple of Sofitel Legend” prospects in China. A historic building in Xian that sits across from the Sofitel hotel has been identified as an ideal conversion candidate.

The main Sofitel brand has its largest regional presence in Greater China, home to 25 properties, but Blaiklock also pointed to hotels exiting the network because “sometimes in China it is not easy to rebrand in the same group”.

Among them, Sofitel Hefei is to be rebranded as a Pullman, but openings in Dongguan and Hangzhou this year followed later by Qingdao, Haikou and Lianyungang projects will make up for the five to six departures expected in the China network.

Mimi Hudoyo, Jakarta (2010-04-15)

A 278-KEY four-star condotel, a hotel with apartment-styled facilities, is planned for Bali’s Kuta district, near Discovery Mall, Kuta Centre and dining and entertainment outlets.

Set to open in early 2012, The Eden Hotel Kuta will be developed at a cost of 150 billion rupiah (US$16.1 million) by Property21 and will be managed by Indonesia’s Tauzia Hotel Management group.

Property21 chairman Roy Sindhunirmala said: “The (property) has from the beginning been designed as a hotel not an apartment-turned-hotel... rooms are of a hotel-room size, which is smaller than most apartment rooms. This will minimise maintenance cost and at the end of the day the room rates will be competitive.”

Buyers can purchase units at between 350 million rupiah and 700 million rupiah per unit, while Tauzia will also market the rooms as a hotel, setting an average rate of US$80 and 70 per cent average occupancy as targets.

Tauzia’s president director Marc Steinmeyer said: “Bali hotels now run between 75 per cent and 80 per cent. Should the trend continue, (the property) will perform well (especially since) it is a mid-scale property with 90 per cent of the rooms in the standard category, so it is easy for tour operators to sell.”

He identified the domestic market, ASEAN, China and India as target markets.

Beijing (2010-04-15)

AIR access to the famed Jiuzhaigou National Park in the north of China’s Sichuan province will receive a boost when Air China begins direct daily flights from Beijing from April 25 and Shanghai from May 10 this year.

Flight times will be cut by four hours, and passengers can save more than RMB1,000 (US$146) on tickets as the B757 services will bypass Chengdu, the provincial capital.

As part of launch promotions, Air China will offer air and hotel packages from Beijing and Shanghai at RMB2,500 and RMB1,890, respectively.

London (2010-04-15)

LAS VEGAS Convention and Visitors Authority (LVCVA) will host the World Tourism Council's (WTTC) Global Travel & Tourism Summit from May 15-19 next year at the ARIA Resort & Casino.

The summit – following on this next month's 10th summit in Beijing – allows for direct, informal dialogue with public sector leaders in tourism, international media and academia.

WTTC president and CEO Jean-Claude Baumgarten said support from members in Las Vegas had "been overwhelming" and the team would "make the most of the more than 12 months between now and the Las Vegas event to promote the importance of travel and tourism, and also its wider impact on other sectors, in the United States".

In announcing its decision, WTTC said Las Vegas had submitted a strong bid with support from local and regional governments and key industry bodies, such as the US Travel Association.

Mumbai (2010-04-15)

MARRIOTT International has signed four additional properties in India, bringing its total count of hotels in the country that are either under construction or in planning to 29.

When all these properties are opened by end 2013, the chain will have 40  hotels under management in India.

The four new properties are the 510-key JW Marriott Hotel New Delhi International Airport hotel, the 250-key Bengaluru Marriott Whitefield Hotel, the 365-key Jaipur Marriott Hotel and the 200-key Courtyard by Marriott Hotel Hyderabad Hitec City.

Da Nang (2010-04-15)

THE 169-room Life Resort Da Nang has opened on a prime beach lying between Da Nang and Hoi An, near three UNESCO World Heritage Sites, two world class golf courses, the city centre and the airport.

Fronting Bac My An beach, the resort is the first to open in that locale since the global recession hit. The property noted that crisis had not delayed construction.

Accommodation choices are split between 158 superior and deluxe rooms, each with balconies, and 11 one- and two-bedroom villas with living rooms, private gardens and luxury stone baths.

The resort has a lobby bar, a pool bar, Senses Restaurant, which serves fusion cuisine, a spa, fitness centre, a pool, tennis courts as well as meeting facilities that can accommodate 20 to 750 delegates.

Lesser-known Indian destinations on the radar

DELHI remains the top destination for foreign tourists to India but the lesser known north-east states are slowly but steadily making their mark as well.  A  Federation of Indian Chambers of Commerce and Industry (FICCI)-Evalueserve study on India Inbound Tourism had Delhi, Maharashtra, Tamil Nadu, Uttar Pradesh and Rajasthan as the top five destinations for foreign tourists. The capital attracted some 2.3 million foreign visitors in 2008.   Tourism development initiatives are in full steam in the seven north-east states, namely Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland and Tripura. Sikkim and Assam pulled in the bulk of foreign tourists to the north-east, at 19,154 and 14,426 respectively, with very few heading to the other states. This is expected to change in the coming years as all seven states highlight their leisure, rural and adventure options.

India forecasts 2010 inbound boom

INDIA is poised for massive inbound growth this year, report tour operators at the Great Indian Travel Bazaar (GITB) 2010 that ended yesterday in Jaipur.  The country is shaking off the effects of the 2008 Mumbai terrorist attack and the 2009 global economic downturn, if first quarter 2010 results are anything to go by – a 12.8 per cent jump in foreign arrivals over the same period last year, according to Indian Minister of Tourism, Kumari Selja.  The strong showing of the first three months of the year is putting tour operators on a steady footing towards reaching their 2010 goals.  Trail Blazer Tours India is looking to double volumes this year, while Indian Horizons managing director Raman Taneja pegged growth this year at 20 per cent over 2009, due partly to the Commonwealth Games in the last quarter and the Incredible India campaign.  Kiran Joti, vice president and business head of Indian Routes, had a good first quarter but believed full recovery would take place next year.  One indication of the return of demand for India was the final tally for GITB 2010 – 209 foreign buyers from 49 countries, compared to last year's 178 buyers from 42 countries.

Sharon Desker Shaw,Hong Kong (2010-04-14)

ACCOR has added two new Pullman projects to its China pipeline, a brand "that is really taking off" in the mainland, according to the group's regional chairman and chief operating officer Michael Issenberg. The new signings are a 482-room Pullman Zhangjiajie in northwestern Hunan province, opening in the second quarter, and the 2012 launch of a 280-key Pullman Dongguan, the third in southern China. "The Pullman is positioned exactly where the China market is – that is, a five-star hotel with a lot of restaurants, meetings and other facilities and backed by strong distribution," said Issenberg, who was in Hong Kong on the first stop of the regional World of Accor roadshow. The group has 15 Pullman projects in its China pipeline to open before 2013, including launches in Sanya and Lijiang. He said the group's other brands were also enjoying a strong growth momentum in China, particularly economy chain Ibis, with 36 hotels in operation and another 11 opening this year. Ibis has gone down well with owners and guests, according to Issenberg, noting that Ibis Club, the brand's only market-specific loyalty programme, had signed 250,000 members since its launch last October.
Issenberg is confident China will, in two to three years, overtake Australia to become Accor's largest market, given the 48 hotels across its brands committed to open in the new few years on top of the 88 in operation. Three-tower Mercure soft opens in Beijing

Hong Kong (2010-04-14) 

A NEW-BUILD 373-room Mercure with rooms and facilities spread across three low-rise buildings has soft-opened in Beijing’s expanding CBD.  The design provides a hotel-within-a-hotel ambience for the property’s 96 executive-level rooms, suites and facilities, said Mercure Beijing Downtown sales manager Peter Li.  The hotel’s 1,115 sqm meeting facilities, which include a ballroom and 10 meeting rooms, and Chinese restaurant are housed in another tower, while the rest of the room inventory is contained in the third building. 
The four-star property, which will have its official opening on April 20, charges RMB585 (US86) per night, excluding breakfast and taxes.

S Puvaneswary, Bandar Seri Begawan (2010-04-14)

THE overseas wedding segment has emerged as a new market opportunity for some of Brunei’s inbound tour operators.  Goodmiles managing director TC Chun said he started promoting mass wedding packages for the China market in September 2009 through his mainland partners. The package includes a hotel venue for the wedding banquet and the canopy walk in Ulu Temburong National Park for the exchange of nuptial vows.  Although there have been no takers to date, Chun is hopeful business will begin streaming in for September and October, which represent the eighth month of the Chinese lunar calendar, an auspicious period favoured for weddings and other celebrations.   Ken Travel & Trading inbound tour coordinator Mohd Izz Amin said he is working with three hotels to develop pricing for wedding packages that he hoped to launch by year-end. Malaysian and Singaporean markets are his targets due to their proximity to Brunei and charter flights can be arranged on request. 

 Jakarta (2010-04-14)

GARUDA Indonesia plans to launch a Jakarta-Tokyo (Narita) direct service in November to capture a market that has been left unserviced since the bankruptcy of Japan Airlines (JAL) early this year.  The service, if launched, will be in addition to Garuda's current daily services between Jakarta and Narita via Bali. The carrier will use its new Airbus 330-200 aircraft for the service.  Garuda vice president corporate secretary, Pujobroto, said the airline had started planning the direct service after JAL filed for bankruptcy in January this year.  The airline is currently awaiting licensing from the Japanese aviation authority.  Pujobroto said the new service would target business travellers.

Singapore (2010-04-14)

IN the Checking In section, TTG Asia March 5-11, the room rate for Holiday Inn Singapore Orchard City Centre was reported as S$180++. Room rates for the hotel are from S$180++.

India acts to plug product gaps

ACKNOWLEDGING that support infrastructure in India still had much room for improvement, a top government official outlined a three-pronged strategy to enhance tourist experience in the country.

Sujit Bannerjee, secretary of the Ministry of Tourism, said the government had launched an extensive programme to improve wayside facilities, turn heritage sites into world-class attractions and encourage a one-point contact for visitors.

"There is a life of discovery in India. Things are not yet at world-class standards, but it is my priority to eliminate the hassles faced by a foreign tourist," said Bannerjee.

Tour operators echoed the sentiment. Indian Horizons managing director Raman Taneja said: "The government is pushing infrastructure development now but there is an immense need for improvement, particularly on the Buddhist circuit. Road facilities can also be upgraded."

At the same time, some players are working this to their advantage by pushing 'experiences' (TTG Asia e-Daily, April 12). Indian Routes vice president and business head Kiran Joti said: "The image of India has changed so much in the last few years that tourists, even if they're staying at five-star hotels, still want to experience the real India through local interaction and immersion."

Singapore pips rivals for Indian MICE favour

TRAIL Blazers Tours (TBi) India is seeing demand from local corporates shifting to Singapore as the city-state unveils its integrated resorts.

Homa Mistry, CEO of TBi, said Singapore had taken over the lead from top MICE destinations Bangkok, Hong Kong and Macau. "All our MICE movements comprise individuals who travel with their families. The integrated resorts' many attractions are ideal for them. Macau, in particular, has been losing out tremendously since the Resorts World Sentosa opened."

Bangkok, from both the inbound and outbound perspective, is no cause for worry for TBi. Mistry said, on the outbound front, the company did not have any groups in the city during the recent troubles and has none scheduled for the time being. As for inbound, TBi is working on a bid for a Canadian incentive, scheduled for June, that wants to shift to India instead of sticking with its original Bangkok plan.

Prudence Lui, Hong Kong (2010-04-13)

TRAVEL into Bangkok from China, Hong Kong and Macau have ground to a halt with the cancellation of mainland charters and a decision by Hong Kong agents to suspend tours following the weekend outbreak of violence.

Fifteen Hong Kong agents decided yesterday to suspend all tours to the Thai capital until April 21 after the government raised the travel alert to black, its highest level, while similar action is underway across the border.

Oriental International Travel Service Shenzhen said it halted travel yesterday on the advice of the city’s tourism bureau. The agency had tours leaving for Bangkok every Saturday and 66 seats had been snapped up for its last departure.

“We have no idea when tours will resume. For sure, the next two weekend departures will be affected,” said outbound travel department supervisor Fung P P, who said the company had postponed nine tours, including charters, to May.

CITS Shenzhen general manager Zhang Jun said clients had requested a switch to Singapore.

After weeks of anti-government protests, agents had hoped to see a rebound this week for Thailand’s Songkran festival. Instead, agents such as Kunming Comfort Travel Service, which booked 10 charters and made payment in February, have been left out of pocket as airlines are not making refunds.

S Puvaneswary, Kuala Lumpur (2010-04-13)

MIDDLE East specialists fear the traditional room crunch in Penang and Langkawi during the upcoming peak Middle East season will affect business.

Asia Experience account manager Solihhene Abdullah said Middle East agents had been selling Kuala Lumpur and Phuket packages instead of Langkawi and Penang because of the feared room shortage for the upcoming summer travel season.

To counter the room crunch, which has led hotels in the two Malaysian resorts to impose a surcharge on Middle East guests, agents such as Destinations of the World Malaysia have introduced Kota Kinabalu, Kuching and Pangkor Island as alternatives.

Malaysia’s inbound operators have also started diversifying marketing efforts beyond the traditional Gulf Commonwealth Countries (GCC) but for different reasons.

World Avenues executive director Ally Bhoonee said the company was developing Oman and Egypt as new substitute market sources to the United Arab Emirates, where business had fallen 38 per cent last year and had yet to pick up.

Solihhene said repeat travellers from GCC countries tended to only purchase hotel rooms from agents, and were sightseeing on their own, prompting the agency to develop new markets in Morocco, Algeria, Tunisia and Egypt.

S Puvaneswary, Kuala Lumpur (2010-04-13)

SHAH Alam Convention Centre (SACC) in the Malaysian state of Selangor will officially open on April 27.

The venue will be the state capital’s first convention facility and will feature a ballroom which can accommodate 1,800 people for banquets and nine meeting rooms which can seat between 45 and 110 people in a classroom setting.

Its director of sales Ali Ibrahim Ahmad said SACC was targeting international MICE businesses for 2011 onwards, with Europe and the Middle East identified as key targets.

He said: “SACC's unique selling point is that it has 2,000 hotel rooms within a 10-minute drive. We want to attract MICE planners who are looking for venues away from Kuala Lumpur and its distractions and heavy traffic.”

The convention centre is wholly owned by the Selangor State Development Corporation and managed by Siera Management. 

Kuala Lumpur (2010-04-13)

AIRASIA will increase its frequency from Bali to Perth from two to three direct daily flights effective June 1.

In addition, AirAsia X will increase its frequencies from one to two daily flights for its Melbourne and Perth services from July 1. The airline currently serves the routes with one daily direct flight.

India demand rebounds sharply but caution rules longterm

INTEREST in India is returning strongly, with tour operators at the Great Indian Travel Bazaar  reporting record-high bookings in the first quarter, but currency fluctuations, if prolonged, could slow down the uptrend.

SITA vice president Prabhat Verma said business in the first quarter broke all records, indicating that India was back in demand. “We have had requests from markets that never sold India before…markets such as Tunisia, Brunei, Malta and Jordan. The Incredible India campaign has been very successful in pushing demand.”

Le Passage to India had an equally positive January to April showing, albeit coming on the back of a weak 2009 with recovery only kicking in the last two months, according to managing director Arjun Sharma. “Japan is recovering. South Africa, Germany, Italy and Spain are all coming back. People who didn’t travel last year are travelling now but they are booking late and trading down slightly.”

Sharma, however, said the strengthening of the Indian rupee against the euro and the US dollar could be a cause for concern. “Concerned markets might see India becoming more expensive because their currencies have weakened a lot. The recession could be a factor still.”