Craig Bond has been appointed executive vice president of operations at Bangkok-based Onyx Hospitality.
Prior to joining Onyx, Bond held the role of vice president of operations with Oakwood Asia-Pacific, overseeing the group’s regional portfolio and supporting the opening pipeline of properties.
Bond has also held leadership roles with Pan Pacific Hotels, Mirvac and Saville Hotel Group across Australia and the Oceania regions.
Airline ancillary revenue is projected to increase 22 per cent to hit US$82.2 billion worldwide this year, US$57 billion of which comes from a la carte fee activity, according to research by IdeaWorks Company and CarTrawler.
This represents a 264 per cent increase from the 2010 figure of US$22.6 billion, the first annual ancillary revenue estimate by the two companies.
With few exceptions, the research shows airlines all over the world are moving to a la carte methods to provide more choices for consumers while boosting ancillary revenue.
A joint statement by IdeaWorks and CarTrawler stated that the pace of ancillary revenue activity quickens when major alliance members, such as Air France/KLM, American, Lufthansa, Qantas, and United embrace ancillary revenue methods. The changes have a ripple effect through the oneworld, SkyTeam, and Star Alliances which encourage member airlines to adopt the same methods to smooth commercial and operational connections.
This partially explains why the largest share of the 2017 increase came from the world’s traditional airlines at US$6.1 billion, or 41 per cent of the total increase.
For example, throughout North America, Europe, and Australasia, basic economy fares are now prevalent for short and mediumhaul travel. Airlines using this a la carte approach usually find more than 50 per cent of passengers select higher-priced bundled options. When this activity is matched by an ever-growing pool of airlines, the result is billions more ancillary revenue.
IdeaWorks and CarTrawler further stated that “it’s reasonable to suggest ancillary revenue will someday exceed the airline industry’s annual fuel bill”.
Danang Hotel Association is starting a training and assistance programme in December to guide one- and two-star hotel members on transforming their business to attract a more lucrative clientele, in a bid to ensure Danang maintains her reputation as a quality destination.
In an interview in Singapore, Nguyen Duc Quynh, deputy chairman for the steering committee of the Danang Hotel Association, who is also deputy general director of the luxury Furama Resort Danang, said: “The biggest issue we have in Danang is the large supply of one- and two-star hotels. There are 25,570 hotel rooms in Danang, 40 per cent of which are one- and two-star hotels. These hotels tend to attract lower-end tourists who may bring with them certain social issues that will ultimately influence Danang’s destination reputation. Danang needs to be a destination for quality tourists.”
As a solution, Nguyen is recommending that the one- and two-star hotels “convert into long-stay properties that are suitable for business travellers and domestic family groups on holidays”.
He explained: “Following the APEC meetings (in Danang from November 4 to 11), trade and foreign investments will pick up in Danang, which will result in more foreigners coming in for business projects. They will need a place to stay, and one- and two-star hotels could provide that by scaling up their facilities and changing their business structure.
“Going after the long-stay market will also help alleviate these hotels’ poor business during the winter low season.”
The association will provide guidance on business transformation and training on critical knowledge such as revenue management.
When asked where the association will get its funding for these activities, Nguyen said: “They will come from membership fees and sponsorship from businesses that have an interest in our members, for example hotel booking technology companies that hope to introduce their solutions to these one- and two-star hotels.”
An increase in air links is boosting arrivals to Okinawa, with the southernmost island chain in Japan looking at continued growth next year with the opening of a third international airport.
Okinawa Convention & Visitors Bureau’s overseas team producer Shinji Murakami, in Madrid on a tour of European cities, said arrivals are expected to increase from 2.07 million in 2016 to 2.6 million this year.
While most of the visitors are from neighbouring countries in north-east Asia – led by Taiwan, and followed in descending order by South Korea, Hong Kong and China – Murakami said the destination has sights on other feeder markets.
Murakami said the CVB hopes to leverage the archipelago’s reputation as the home of karate to attract more non-Asians, in addition to its main sales pitch on natural marine beauty and being “sub-tropical Japan”,
”We are now looking for more people from Europe, a market that is about 20 per cent of the total,” he said.
“Instead of them visiting Japan, then adding on a beach holiday in, say, the Maldives, we are encouraging them come to Okinawa. We are already getting more requests from European operators.”
The main Asian source markets also serve as effective transit points in bringing Europeans to Okinawa, with Hong Kong two and a half hours away, Shanghai two hours and now with a thrice-weekly service launched from Singapore in November.
Work has already started on a third international airport on the middle island of Miyako, which involves the adaptation of an existing aerodrome and is expected to be ready in autumn 2018, he said.
Also, a new runway is being built at the prefecture’s main gateway airport at Naha, which is due to open in 2020.
AirAsia has announced plans to capitalise on data from its operations at Changi Airport T4 to increase and improve digitalised airport processes.
This is also set to raise the profile of Changi’s T4 as a model airport for other LCCs, reported Future Travel Experience.
The newly opened terminal boasts a fully automated Fast and Seamless Travel (FAST) system from check-in to the boarding gate. AirAsia Group moved its Singapore operations here from Terminal 1 on November 7.
AirAsia Group’s CEO, Tony Fernandes, was quoted as saying: “Moving (into) T4 is another step in our journey to become a digital airline… We are moving on to the digitalisation of our airport experience.
“The improved savings and efficiencies from FAST align perfectly with our quest to maintain the lowest cost structure as well as our vision of seamless travel, which means lower fares for our guests and more traffic for Changi.”
The group has so far invested in a range of digital products, such as e-commerce platform ROKKI as well as loyalty programme and virtual currency BIG Loyalty.
Fernandes shared that to complement its increasing digitised airport processes, AirAsia also plans to work with software company Palantir to “develop a secure entry system for trusted travellers to speed up immigration at airports within ASEAN”.
As well, the group hopes to improve internal operational, safety and commercial processes by integrating data from multiple sources using Skywise by Airbus, added Fernandes.
Travlr, a travel recommendation and booking site by the founders of The Bali Bible, has raised US$5 million in its Series A round of funding.
It secured its first round of funding from a syndicate of New Zealand investors via Suubee, a platform connecting investors, traders, venture capitalists and entrepreneurs.
The start-up, which now operates in Bali and Fiji, plans to launch into New Zealand, Seychelles, Indonesia and Ibiza.
It is looking to integrate blockchain functionality, artificial intelligence and augmented reality to the travel planning and booking experience going forward, said a press release.
The platform now curates huge volumes of recommendations, personalises these to specific interests and allows planning, booking and sharing.
InterContinental Hotels Group (IHG)’s Hotel Indigo brand will debut in Japan with an opening in the hot spring town of Gora slated in 2019.
The debut is the result of a partnership between IHGA Hotels Group Japan – IHG and All Nippon Airways joint venture – and GHS K.K. and Daiwa House Industry.
Hotel Indigo Hakone Gora will feature about 100 guestrooms and suites, each with an open-air onsen (natural hot spring) tub on the balcony, in addition to a Neighbourhood café, a bar, spa treatment rooms and a health club.
It will be located 10 minutes’ walk from Gora terminus on the Hakone Tozan Train, or two minutes from Miyaginobashi bus stop on the Hakone Tozan Bus.
The location is seen as a good fit for Indigo’s neighbourhood-story concept, with the hot springs of Hakone dating back about 1,200 years ago to the Nara period, according to IHG.
Thailand’s Cabinet reshuffle on November 24 sees the return of former minister of tourism and sports, Weerasak Kowsurat, to the role, replacing Kobkarn Wattanavrangkul who held the post for three years.
Weerasak was also chairman of the Thailand Convention & Exhibition Bureau.
In general his appointment received positive nods from economic analysts who referred to his experience with the tourism and MICE industries as a big plus. However, sentiments showed that Kobkarn would be sorely missed.
“Great pity. She stood head and shoulders above most ministers of tourism in the region. She had a passion and knowledge of her subject that really set her apart. Plus she was so easy to engage, happy to take on board criticism as well as platitudes, and gave the impression she listened,” said David Kevan, a director at Chic Locations based in London.
Kobkarn’s last public trade appearance was at the World Travel Market, her fourth, during which she recapped a few of the key achievements of Thai tourism industry this year. This included the successful hosting of WTTC in April, and the recognition that sustainable tourism development was needed for the country.
“The good news is that the number of foreign tourists visiting Thailand rose nearly nine per cent to 32.6 million in 2016, bringing in 1.64 trillion baht worth of business, up nearly 13 per cent from 2015. Those are undoubtedly impressive figures and ones that give me, as minister for tourism and sports, enormous satisfaction because it reflects consumer confidence in our products, services and most important, our people.
“On the other hand, we have to accept that this growth is putting enormous pressure on our infrastructure and our environment. This is what will be at the forefront of our tourism development agenda in future,” she said.
Thailand 4.0 national development strategy would focus on health and wellness, food and agriculture, smart devices and robotics, digital technology and the Internet of Things, and creative, culture and high-value services.
“To complement the government’s vision of Thailand 4.0, we need to strike a balance on three fronts. Of course, we aim to maintain the growth in tourist numbers and revenue. At the same time, we need to ensure that our product remains worth buying across all fronts. This means preserving our heritage, ensuring safety and security, protecting the environment and much more. Visitors do not want to come to Thailand to experience rubbish-strewn beaches and burned-out forests that have been harvested by villagers who have not benefited from the tourism windfall,” she had said.
Amid mounting flight cancellations and an extended airport closure, Indonesia’s tourism minister Arief Yahya is urging the travel industry in Bali and Lombok to handle stranded travellers with care. And Bali industry players are doing just that.
“It is not their wish to extend their stay (beyond their plan). This is a force majeure that we cannot avoid, so I urge the travel industry to help ease their burden,” Arief said.
The minister is also recommending airlines and hotels to make concessions for travellers stranded in the destination.
“Let the stranded passengers return to the hotels, give them one night free and 50 per cent discount the following night,” he urged.
For airlines, especially LCCs, he recommends for cancellation fees to be waived.
“If the tourist visas are expired, the immigration office should give an automatic extension of one month stay. (Travellers) should be given ease and comfort in processing their visa (extension),” he added.
Such measures are important if tourism stakeholders in the destination want the affected travellers to return, he said.
The regional authority has also provided free land transportations to Mengwi bus station for those who opt leaving Bali on roads to Surabaya or Banyuwangi (on Java Island).
As well, the Bali Tourism Board (BTB) and Badung Regency have spent two billion rupiah (US$154,000) to assist passengers stranded at the airport yesterday with free accommodation for two nights.
Ida Bagus Agung Partha, chairman of Bali Tourism Board, told the media yesterday: “No passenger should sleep at the airport, so BTB and Badung regency are providing the accommodation for them for tonight (November 27) and tomorrow (November 28) night, should the airport still be closed.”
Meanwhile, the closure of Bali’s I Gusti Ngurah Rai International Airport has been extended by another 24 hours until 06.00 on November 29, according to Angkasa Pura I, the Bali airport authority.
The decision was made following the meteorological watch office released observation by the Darwin Volcanic Ash Advisory Centre that volcanic ashes were bursting as high as 30,000 feet, moving south-southwest at a speed of five to 10 knots towards the airport.
“Please, do not go to the airport to avoid congestions,” the statement released this morning read.
At least 445 of flights were cancelled and 10 flights were redirected due to the closure of Bali airport yesterday.
Airlines and travel companies are “doing all they can” to help their stranded passengers.
Garuda Indonesia last night announced 49 arriving and 46 departing flights to and from Bali were cancelled today. Similarly 11 flights from and 11 flights to Lombok will also be cancelled, although the airport which was closed for the second time after the eruption yesterday had been reopened this morning.
Henky Heriandono, Garuda vice president corporate secretary, in a press statement said: “Garuda is giving passengers affected by the cancellations choices of rescheduling their flights, extending their ticket validity up to six months since the force majeure, rerouting, changing passenger’s name in the ticket once, or full refund.”
Citilink announced last night it would cancel all its flight to and from Bali and Lombok today and the airline is offering refund and reschedule of booked tickets.
PACTO, which has some 400 passengers from India and 150 passengers from Europe, claimed it had prepared for the situation and are protecting their clients with an extended hotel stay.
“This is low season, so, considering the volume we are used to handling, the situation is manageable,” according to Umberto Cadamuro, its COO inbound.
He said: “As in all force majeure events, the departure schedule will depend on airline planning, so we are not rushing towards other airports but carefully coordinating with the airlines while our guests can comfortably relax in the hotel awaiting further developments.”
Celebrity Cruises, the luxury cruise brand operated by Royal Caribbean Cruises, is looking to grow longhaul demand between Singapore and destinations such as Europe, the US and the Galapagos Islands.
To tap fly-cruise demand in and out of Singapore, it plans to deepen its footprint in the city by collaborating with the Singapore Tourism Board, hotel groups and airlines here.
It is currently working with brands such as Shangri-La Hotels and Resorts and Singapore Airlines to promote its itineraries to target markets, said Jo Rzymowska, vice president & managing director, UK & Ireland and Asia, Celebrity Cruises.
She explained that the cruise line is seeing rising inbound traffic into Singapore from the UK, America and Europe.
To stretch its mileage in these markets, Celebrity Cruises will also begin including Singapore as a port-of-call in more itineraries. The island’s “incredible” connectivity and accessibility to local attractions is one of the reasons that encouraged this demand, added Rzymowska.
The luxury brand recently launched its newest and highest-tier vessel, Celebrity Edge, the first of which will begin sailing in the summer of 2019 and call at ports in the eastern and western Caribbean, Spain, France and Italy.
Rzymowska said that with a total of five Celebrity Edge ships, Celebrity Cruises will be watching the growth of the brand and demand in its markets to consider where the remaining four vessels will sail.
