TTG Asia
Asia/Singapore Tuesday, 16th December 2025
Page 1781

Langkawi to impose tourist levy from July 1

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THE Langkawi Municipal Council will be imposing a levy on domestic and foreign tourists starting July 1.

Known as the Langkawi Tourism Promotion Levy, the fee will range between one ringgit (US$0.25) and nine ringgit for each day of stay, depending on the traveller’s accomodation type.

Tourists staying in one- and two-orchid (star) rated accommodations will be charged one ringgit per room per night; three ringgit for three- and four-star hotels; five ringgit for five-star accommodations; seven ringgit for six-star accommodations; and nine ringgit for seven-star accommodations.

When asked to explain what was meant by six- and seven-star accommodations when the Ministry of Tourism and Culture Malaysia classify hotels only up to five-star, Mohd Rawi Abdul Hamid, Kedah state tourism committee chairman, said: “In the future, there may be.”

He added that the funds collected would reduce Langkawi Municipal Council’s dependency on funding from the state government to carry out projects. Plans are for the levy to go towards beautification works on Langkawi island.

“If you go to Phi Phi Island, there is a tourist charge. Penang has also imposed a bed tax. These are all income to carry out projects for the further enhancement of tourism,” he explained.

However, the levy has ruffled some feathers. Ally Bhoonee, executive director of World Avenues, said: “I am not against the levy but communication of this new levy is very sketchy. Who is responsible for informing the international travel community? Is it the Langkawi Development Authority?

“Right now I have to inform agents for every new booking which is a lot of work for us. If we forget to include this information, we can be threatened with lawsuits, even though the amount is small. The authorities should have planned way in advance and made announcements last year in lieu of this impending levy.”

APG now Vietnam Airlines GSA in six more countries

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AIRLINE distribution intermediary APG and Vietnam Airlines have entered into another GSA agreement in six additional countries.

The partnership will see APG providing full sales and marketing services as well as call centre and ticketing facilities in Belgium, Netherlands, Denmark, Norway, Sweden and Turkey.

APG was also recently appointed GSA for Cambodia’s national carrier Cambodia Angkor Air (May 2016) in nine countries across the US and Europe, and for Xiamen Airlines (June 2015) in four new countries.

APG currently has presence in 176 countries and commercial relationships with 180 airlines.

ezTravel integrates Sabre’s low-cost fare finder solution

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Screenshot of ezTravel’s website homepage

TAIWANESE OTA ezTravel Travel Services has committed to a multi-year content and technology agreement with Sabre, at the same time adding Bargain Finder Max, a low-fare search technology into its suite.

Sabre’s Bargain Finder Max provides users itinerary options based on price point and custom search criteria in a bid to better serve online consumer needs.

Commenting on the solution roll-out, Jack You, CEO of ezTravel, said: “Our core service has been built around the ability to combine rich, low-cost content with a highly convenient and personalised online travel service.

“We’re introducing Sabre’s search and automation technologies to further enrich the traveller experience and maintain the leading online position we’ve established.”

Bailey resigns from Centara after 12 years

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Bailey: My focus remains in South-east Asia

CHRIS Bailey has resigned from Bangkok-based Centara Hotels & Resorts after 12 years of service with the company, during which he rose to be chief operating officer of the fast-expanding chain.

“It has been a hugely difficult decision and indeed a while in the making for me. I have enjoyed over 12 years with the company but feel I cannot add much more to their current journey and so the time is right to seek the next step in my career plan.

“As such I have taken the decision to resign and seek new opportunities available to me. After more than 20 years in the region, my love and focus remain here in South-east Asia and am currently exploring various opportunities although nothing is finalised,” he told TTG Asia e-Daily in an email interview.

Bailey will leave at the end of September. “It’s business as usual now and thereafter as the wonderful team that has grown with me and supported me so well remains in place and very much active,” he added.

Who offers the cheapest fares – OTAs, metasearch or direct?

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Panelists from Scoot, Momondo Group and Kiwi.com on stage at the EyeforTravel Asia Summit 2016

THE question, “who offers the cheapest fares?”, was tackled by a panel made up of representatives from Scoot, Momondo Group and Kiwi.com held during the EyeforTravel Asia Summit 2016 last week.

While the relationship between airlines, OTAs and metasearch engines can seem tenuous at times, the panelists have come to the conclusion that partnering with each other is more crucial than ever before despite their constant competition for the same travel dollars.

Addressing the question head on, Zdenek Komenda, vice president business development at Kiwi.com, said: “It depends on the market and the airline, but from our perspective, when we connect different airlines together, we create itineraries and we can offer the cheapest fares because we (are able to) combine airline (connections) that don’t operate together.”

The added value OTAs bring for airlines is not lost on Trevor Spinks, head of sales and distribution at Scoot.

He said: “As we get more and more competition, we really got to reach out and seek opportunities. So for instance, we will work with OTAs and offer them special promotional fares because different markets will have different competition.

“We will work with an OTA that has a very strong penetration in a market (and they may have) fares that could be cheaper than our own website based on dynamic pricing. You have to see what drives each market and (see what works).”

Meanwhile, Bibi Laegaard, head of meta sales at Momondo Group is poignant to point out that metasearch engines like theirs don’t set the prices, but merely aggregate them. They do, however, help OTAs by tackling markets often difficult for them to do so.

“OTAs weren’t fond of metasearchers but now they see us as a necessity. We realised that working together will benefit us all instead of seeing metasearchers as an evil necessity. So there’s been a change in perception in the last five to 10 years,” she said.

Agreeing with Laegaard, Spinks said: “This question (who offers the cheapest fares) is a good one and I think the answer has changed over time. Five years ago I will always say it’s the LCCs and nobody else. But it has changed in Europe and it is changing here (in Asia).”

ATPI acquires Business World Travel in New Zealand

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Graham Ramsey, CEO of ATPI

ATPI Group has acquired New Zealand-based Business World Travel, expanding the group’s reach in the travel management and events business in the region.

With this, ATPI now has 34 wholly-owned offices spread across 18 countries worldwide.

Expansion in the Asia-Pacific region for ATPI has recently included the acquisition of Australia-based Voyager in January 2014, the purchase of DTC Travel in Malaysia in October 2015, as well as new expanded premises in Singapore to accommodate a growing team. The company also launched ATPI Sports Events in Australia earlier this year.

Grant Bevin, founder of Business World Travel, will continue to lead his company’s operations from New Zealand.

Commenting on the acquisition, Graham Ramsey, CEO of ATPI, said: “The purchase of Business Travel World is a significant milestone for our global business. As part of our growth strategy over the last two years we have focused on extensive investment and acquisitions.

“Through this most recent deal, we have a new exciting venture that reinforces the high standards of client service that are a cornerstone of our business. In turn, Business Travel World and its clients will benefit from ATPI’s bespoke technology, purchasing power, and comprehensive people development and training.”

Trade welcomes India’s new civil aviation policy

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India’s national air carrier, Air India

THE Indian government last week approved a new national civil aviation policy, introducing a slew of changes that encourages more connectivity and enables carriers to expand operations faster.

“The long-awaited civil aviation policy has some changes that should unlock regional connectivity as well as open up opportunities for carriers entering India,” said Sharat Dhall, president, Yatra.com.

“(The policy) should really drive growth in the hugely under-penetrated domestic air market and catalyse economic growth in the secondary and tertiary destinations.”

Agreeing, Kousik Bhattacharya, head of marketing and B2C at VIA, said: “We predict an increase in airline bookings and a spurt in flight movement from tier 2 and 3 cities. This clearly spells better business opportunities for OTAs as well.”

One of the major changes is the abolishment of the 5/20 rule, where a domestic airline is allowed to operate internationally only after flying for five years domestically and operate at least 20 aircraft.

The new formulation allows airlines, both new and old, to commence international operations if they operate 20 aircraft or 20 per cent of total capacity, whichever is higher, for domestic operations.

“The move from 5/20 to 0/20 is a focussed initiative aimed at encouraging fresh entrants and infusing fresh blood into the aviation industry, ensuring a catalysing effect for travel and tourism as a whole,” commented Indiver Rastogi, president & country head – corporate travel, Thomas Cook India.

Also positive with the changes is Amber Dubey, partner and head, aerospace and defence, KPMG India, who said: “If the government and the industry work together keeping national interest in mind, there’s no reason why India can’t achieve its vision of becoming the third largest aviation market by 2020 and the largest by 2030.”

The psychology behind the click

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To better understand how and why people pick vacations, Expedia gets into the head of its potential travellers – literally.

Utilising eye-tracking and facial-movement sensors, a team of researchers at Expedia’s Innovation Lab in Bellevue, Washington, hope to find out what makes a person happy or upset while browsing the Expedia website. These sensitive sensors, placed on the faces of volunteers, will detect any changes in their facial expressions that hint at feelings of happiness, frustration or anxiety.

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During the 45-minute test, volunteers navigate through the Expedia website just like how a typical traveller would, trawling through hotels, flights or tour packages.

Meanwhile, researchers will be standing behind a two-way mirror and closely monitoring the data to evaluate a user’s Expedia online experience.

Scott Jones, Expedia’s vice president, global product design and user experience, said: “We want to understand the emotional pieces behind their experience. It is like a lie detector test for emotions.

“When we combine electromyography with eye-tracking technology, it is really powerful because we can identify what the users are looking at and also see what they are emotionally experiencing.”

Since starting the study three years ago, Expedia would make changes to the website based on the findings.

For instance, Jones said that they have learnt that travellers particularly liked having high-resolution images because volunteers smiled more when viewing hotel pictures. Hence, they shared this feedback with the hotels, and requested for a wider selection of quality images.

On the contrary, travellers became frustrated when they were presented with multiple price options for the same hotel room during the booking process. Such frustration and anxiety levels could be detected from their frowning.

He explained: “It could be that the hotel room and booking conditions for having to pay more or less are not stated clearly.”

As such, Jones said they would take this knowledge into consideration accordingly when designing the website.

While current tests are conducted based on the US market, Expedia has not forgotten about its Asian audience. According to Jones, Expedia will soon be introducing this sophisticated technology to Singapore, when they open another Innovator Lab in end-2016.

This article was first published in TTG Asia, June 3, 2016 issue, on page 10. To read more, please view our digital edition or click here to subscribe

Race to the top

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Hospitality players and tour operators in Kuala Lumpur are priming the city with a renewed sheen of luxury, keeping pace with efforts by the tourism bureau to court visitors from the high-end segment.

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Kuala Lumpur Tourism Bureau (KLTB), set up in November 2015, aims to make the city an attractive luxury travel destination as the city’s supporting infrastructure takes shape.

The bureau, which oversees the implementation of the Kuala Lumpur Tourism Masterplan 2015-2025 among other objectives, has rolled out strategies to attract more high-yield tourists.

Since the beginning of this year, KLTB has been conducting hospitality seminars for taxi drivers and has groomed 80 tourism ambassadors in the city.

Noraza Yusof, general manager at KLTB, said: “In the second half of the year, we will publish a luxury tourism product directory and introduce luxury packages.

“We also wish to attract the rich by positioning the city as the gastronomic hub of Asia. One of the initiatives is weekly cooking classes for international tourists and spouses of MICE delegates.”

KLTB is also promoting sky dining experience which feature restaurants such as Atmosphere 360, Marini’s on 57, Nobu and Heli Lounge Bar, all of which are located in the city centre.

Manfred Kurz, managing director, Diethelm Travel Malaysia, said: “Sky dining options cost relatively more but Western tourists are willing to pay for the unique dining experience and great bird’s-eye views of the city.”

Luxury Tours Malaysia saw Asian luxury FIT bookings doubling this year from the monthly average of three to four requests in 2014, an improvement that senior manager Arokia Das attributes in part to Tourism Malaysia’s overseas promotional efforts.

He added: “It becomes easier to attract high-end tourists when you have supporting infrastructure also in place, such as high-end restaurants with scenic views, chartered helicopter rides to see the city skyline and high-end accommodation.”

St Regis Kuala Lumpur, which soft-opened in May this year, stands out for having the largest standard guestrooms in the city at 63m² and a grand ballroom with a 270-degree LED digital canvas skirting the venue.

With more international luxury brands the likes of W and Four Seasons debuting in the city over the next few years, existing hotels are finding the impetus to revamp amid growing competition.

For instance, the 19-year-old Ritz-Carlton Hotel, Kuala Lumpur, recently underwent its first major renovation to “keep up with the times and to make the property memorable to guests”, the hotel’s director of sales and marketing Yannick Mauchle told TTG Asia.

Commenting on the city’s transformation, Ally Bhoonee, executive director of World Avenues, said: “In the past, Kuala Lumpur was not perceived as an upmarket destination as it had limited products. It was also difficult to market the destination to high-end tourists from the Middle East who would rather go to Europe.

“But with these new brands coming into the marketplace, it will improve the image of the city and make it easier to promote the city as an upmarket destination,” he added.

Tourism players are also strategically packaging complementary products in the state of Selangor – which surrounds the Malaysian capital geographically – to further enhance Kuala Lumpur’s luxury appeal.

Arokia said: “Luxury tourists are not content staying in high-end accommodation and being surrounded by tall buildings – they want to have local experiences as well.

“Thus we take them on chauffeur-driven vehicles to visit the Mah Meri aborigines on Carey Island, an hour’s drive from the city.”

Another attraction that fits the bill, he said, is the Royal Selangor Visitor Centre, where tourists can view pewter craft or create their own souvenirs.

Diethelm’s Kurz added: “High-end Europeans to Malaysia love nature. Yet, they would rather not spend a whole day jungle trekking in a real forest.”

He pointed out that the sweet spot lies in arranging day trips to the Forest Reserve Institute Malaysia, where clients can go on treks and canopy walks, before returning to the city’s comforts in the evening.

This article was first published in TTG Asia, June 3, 2016 issue, on page 28. To read more, please view our digital edition or click here to subscribe

Sabre appoints North Asia regional director

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SABRE has appointed Daver Ka Fai Lau as regional director for Sabre Travel Network North Asia, to be based in Taiwan.

In his new role, he will be responsible for business expansion and relationship development in the North Asia region, as well as driving local product and support initiatives for customers in China, Hong Kong, South Korea and Taiwan.

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A GDS and travel technology veteran, Lau has held various management roles in Asia-Pacific over the last 19 years, most recently serving as general manager for Amadeus Taiwan.