IN light of a greater proportion of mobile savvy FITs emerging from China, the Singapore Tourism Board (STB) has announced a bevy of digital services to better connect with and attract such visitors to Singapore’s shores.
While this is not the first time STB is penetrating China’s digital and mobile space, it is the most comprehensive initiative yet, comprising four first-time partnerships and two new product launches with current partners.
First-time partners are online travel services Alitrip and Tuniu, and social review sites Dianping and Mafengwo. All of them signed a MoU with STB on October 21, 2015, agreeing to curate and distribute content on Singapore, over a period of two to three years, to their users.
Meanwhile, current partners WeChat and Baidu have both launched new products. The digital partnerships will feature attractions such as the River Safari and Gardens by the Bay in a new YourSingapore WeChat account, while offerings at the Sentosa HarbourFront precinct will be detailed in a new Baidu Connect service. More partnerships will be announced at a later date.
Khoo Shao Tze, chairman of Sentosa Harbourfront Business Association, said: “We still utilise publicity tools through traditional media to access the Chinese market, but if Chinese tourists want to go deeper, then there is that limitation. Baidu Connect will allow that depth”.
Singapore has seen a 19 per cent year-on-year increase in Chinese arrivals in the January to August 2015 period, and the partnerships are aimed at fuelling this growth.
In 2014, 1.7 million visitors from China visited Singapore – the second largest contributor of international arrivals – and this contributed to tourism receipts worth US$1.8 billion. Out of the total number of Chinese visitors, 80 per cent were either FITs or free-and-easy travellers.
“We are seeing more Chinese FIT visitors in recent years. Besides the need for comprehensive information for trip planning, they also desire real-time useful tips, navigation, payment and translation tools to explore a destination independently,” said Edward Chew, STB’s regional director (Greater China).
Darren Oh, director of business development at Gardens by the Bay, is sanguine about the partnerships. He said: “Chinese visitors are among the top five markets for us and we are seeing a huge growth in that segment. For us, we have lesser resources compared to larger attractions in the country, so going onto online platforms will really help us get the message across.”
BANYAN Tree Hotels & Resorts has revealed its fourth and newest hotel brand, Dhawa, a casual and modern full-service concept, in conjunction with the group’s 21st anniversary celebrations.
According to Ho Kwon Ping, founder and chairman of the hospitality group, the new brand is targeted at a younger clientele, and is “hip, cool and contemporary”.
In line with the concept, bedrooms at the hotel are dubbed Cocoons, featuring plush beds, oversized pillows, movable bedside tables with built-in power plugs, and of course, internet connection. Bathrooms are called Pods, equipped with rain shower, LED mood lighting, spa-branded amenities and bluetooth music speakers.
There will also be communal spaces named Nest, which encourages strangers to interact and relax over complimentary refreshments such as hot beverages, sodas, snacks and ice-cream. The lobby, called Void, will offer relaxation pods, while the all-day restaurant and bar Nook provides an array of breakfast, lunch and dinner options. Other facilities include a spa, a fitness centre and kids club.
The first Dhawa-branded hotel will open in Bo’ao, China, in March 2016. Dhawa Bo’ao will be a 346-key establishment featuring the above amenities as well as banquet and meeting facilities. The 516-key Dhawa Cayo Las Brujas in Cuba will follow, slated for an opening in July 2016.
“We have signed projects for this fourth brand in China, in Pu’er, Leishan and Luo Yang, and we will likely open one of our own in Phuket,” added Ho.
Dhawa sits alongside the group’s sister brands Angsana, Banyan Tree and Cassia.
SWISSOTEL Resort Phuket is offering exclusive rates for the travel trade industry on two separate periods; the first running from October 15 to November 30, 2015 and afterwards from December 1 to December 20, 2015.
For the first period, the cost of a one-bedroom deluxe suite and a two-bedroom deluxe suite will be 1,700 baht (US$48) and 2,700 baht (US$76) per suite per night respectively. Following that, the cost would be 2,000 baht (US$57) and 3,000 baht (US$85) per suite per night respectively.
Rates are inclusive of complimentary daily breakfasts for two persons staying in the one-bedroom suites and for four persons staying in the two-bedroom suites.
The offer also comprises a 20 per cent discount on food and beverages as well as spa treatments. Complimentary stay for a maximum of two children under the age of 12 will also be included, plus a 25 per cent discount for kid’s room setup and a free diving trial.
Guests will be welcomed with a fruit or flower basket in their suites and early check-in and late check-out will be subjected to availability.
ACCORHOTELS has chosen Garth Simmons to replace Gerard Guillouet as the new chief operating officer in Malaysia, Indonesia and Singapore.
Simmons has been with the company since 2007 and has more than 30 years of experience in the hospitality industry.
In his earlier positions, he was the regional general manager for AccorHotels NSW and ACT properties before he became senior vice president New Zealand, Pacific Islands and Japan.
“I look forward to being part of our excellent teams in Asia and to building our position as the largest and most dynamic hotel group in these countries,” said Simmons.
BEST Western Hotels & Resorts has signed an agreement to launch its first boutique hotel, Vib, in South-east Asia in 2018, to be located in Vientiane, capital of Laos.
“When we first revealed the Vīb concept to the world earlier this year, it was clear that this unique, contemporary product would work extremely well in South-east Asia – one of the world’s most dynamic regions,” said Olivier Berrivin, managing director of international operations, Asia at Best Western Hotels & Resorts.
Located in the centre of Vientiane and close to the night market, Lao National Museum, Black Stupa and Patuxai Arch, Vib will feature 70 rooms with free Wi-Fi . In addition, a social lobby area, “grab n’ go” snack station, and a “zen zone” for relaxation will also be offered.
“Vīb is an incredibly exciting new concept for Best Western, and we have seen a high level of interest from developers across the world,” said Ron Pohl, senior vice president of brand management at Best Western Hotels & Resorts.
“We are delighted to have signed our first Vīb hotel in South-east Asia, and I am confident this will mark the start of a strong regional roll-out for the brand.”
CARNIVAL Corporation has formally entered into a joint venture with China State Shipbuilding Corporation (CSSC) and China Investment Corporation (CIC) to launch the first world-class, multi-ship domestic cruise brand in the Chinese market.
With this new agreement, Carnival Corporation and CSSC plan to purchase and operate both new and existing cruise ships to homeport in China.
Meanwhile, the CIC will be involved as a significant investor, hence reinforcing China’s commitment to expanding the Chinese tourism market.
“This cruising joint venture is a significant step forward for the cruise industry in China and a tremendous opportunity for us to work together with CSSC and CIC to grow awareness, interest and demand for cruise vacations among domestic Chinese travellers,” said Buckelew, global COO for Carnival Corporation.
He added: “Cruising is a relatively new vacation experience in China, and we believe this collaborative approach with our partners is critical to not only developing the country’s domestic cruise business, but also supporting China’s goal to become one of the world’s leading cruise markets in coming years.”
The joint venture comes in the wake of recent news that Carnival Corporation is extending its overall market presence in China in the next two years.
VISIT Finland aims to build “solid” tour operator and travel agency partnerships in Asia to develop Finland as a stopover destination for Asian passengers travelling via Helsinki Airport to other destinations in Europe.
It will be introducing a new Stopover Finland programme by May 2016, consisting of 50 attractive packages in Helsinki and beyond that range from five hours to five days. The NTO also plans to increase its visibility at ITB Asia in 2016 in order to build trade partnerships.
Visit Finland’s Stopover Finland programme director, Heli Mende, said: “The success of Stopover Finland requires solid tour operator and travel agent partnerships. By investing in the visibility at ITB Asia 2016, Stopover Finland wants to invite new partners to consider selling Finland as a stopover destination to their clients travelling from Asia to Europe.”
Travellers can experience Finnish highlights from Northern lights to midnight sun, relaxing in Finnish forests, lakes and sauna, shopping for Finnish design items, and meeting popular characters like Moomins and Santa Claus.
Finland’s two largest Asian markets, China and Japan, which accounted for six to seven per cent of total arrivals in 2014, are expected to grow further when Finnair adds two new routes to North Asia in summer 2016.
Starting from May 7, 2016, Finnair will launch a thrice-weekly route to Fukuoka, Japan. In addition, there will be a four-times weekly service from Helsinki to Guangzhou, China, but that seasonal route will operate only from May 6 to October 29, 2016. The two new routes will both use the Airbus A330-300.
Fukuoka will be the fourth Japanese city that Finnair flies to, after Tokyo, Nagoya and Osaka. Guangzhou is Finnair’s sixth destination in Greater China after Beijing, Chongqing, Hong Kong and Shanghai and Xi’an.
Finnair will also take delivery of its first four A350 XWB orders this year, while another seven will be delivered over the next two years. For its Asian network, the A350 XWB will be deployed to Shanghai from November 21, progressively to Beijing and Bangkok by the end of 2015, and to Hong Kong and Singapore by the first half of 2016. The Airbus A350 XWB will replace the A340s currently plying these longhaul routes.
Finnair’s country sales manager, Singapore, Malaysia and Indonesia, Nick Naung Naung, said: “The A350 XWB aircraft is 25 per cent more fuel efficient and quieter than the A340s, and the extra wide body of the A350s offers more space and wider seats for greater passenger comfort. The Finnair A350 XWB has 297 seats – 46 in business class, 43 in economy comfort and 208 in economy class.”
INDEPENDENT airport lounge operator Plaza Premium Group, which has been widening its portfolio into airport-related services, now boasts a new feather to its cap – airport accommodation.
Marking the global debut of the group’s new airport transit hotel brand, Aerotel Singapore has just soft-opened in Changi International Airport this week. A second hotel will open in Abu Dhabi International Airport by this year-end and a third in London Heathrow Airport in 2016.
Speaking exclusively to TTG Asia e-Daily, Song Hoi See, founder and CEO of Plaza Premium Group, said: “People don’t have high expectations of airport hotels but we have…We want to fill up the inefficient gaps in airports to provide seamless services for travellers.”
The first Aerotel will offer “five-star hardware at three-star prices”, featuring a resort feel with such amenities as an outdoor swimming pool, jacuzzi, gym and library lounge, plus a customised pillow menu.
Rates at Aerotel are charged based on a six-hour block, beginning from S$90-S$130 (US$65-US$94) depending on the room sizes, with every subsequent hour priced at S$20 each.
The Hong Kong-based company will also roll out its Premium Lounges in airports in Phnom Penh, Siem Reap, Taiwan Taoyuan, Salalah and Brisbane within this year, and Rio de Janeiro by April 2016 in time for the 2016 Olympics, revealed Song.
He added: “Our plan by 2018 is to launch 200 outlets and we have allocated over US$100 million for our (overall) expansion, with US$56 million budgeted for Premium Lounges, up from US$40 million.”
Seeking to change the perception that airport lounges are reserved for just first and business class passengers, Song remarked: “We take care of passengers not taken care of by airlines, i.e. the remaining 85 per cent flying on coach.”
As well, the group is launching its airport meet-and-greet service, Allways, in phrases in seven airports worldwide, beginning with Toronto Pearson International Airport and New Delhi’s Indira Gandhi International Airport, followed by airports in Singapore, Kuala Lumpur, Macau, Muscat and Heathrow.
Providing conveniences such as customs clearance, pick-ups and baggage handling, Allways will be suitable for corporate VIPs, families and first-time travellers, Song added.
It has been a year since Tourism 2025 was first announced at TRENZ 2014. What has TNZ achieved so far in aligning its activities to the goals of the framework?
It is very important to first understand that Tourism 2025 is owned by the industry and co-created by the industry along with the government. It is unusual in that aspect as most tourism strategies are government-led. It is a good thing though, as we now have the private sector understanding that they need to own it and the framework will outlive political cycles.
Kevin Bowler
What have we achieved? Firstly, to achieve the framework’s objectives, we need to maintain a growth rate of about six per cent, and in the last 12 months we’ve had about 20 per cent growth in international visitor spend and about 6.9 per cent increase in the number of visitors. We’re in pretty good shape.
One of the components of the framework is to foster air connections and that has been going very well. I think this is a chicken and egg situation. We have the demand so the airlines are supportive, and their support is in turn driving more demand and making airfares more competitive. We have seen great growth since the joint venture between Singapore Airlines and Air New Zealand.
Air New Zealand will add year-round services to Houston and Buenos Aires this December, so this air connectivity piece is going strongly for us.
The second component is to achieve high-value visitors, and our growth in value is exceeding our growth in volume.
Another component is visitor experience, and we are making headway in adjusting for new markets. Our China readiness focus for the industry is an example of efforts we’ve taken.
The fourth focus in the framework is productivity. We are emphasising the shoulder season now, which is a big change from what we’ve been doing. If we can increase demand during the shoulder season when there is excess capacity, we will increase productivity considerably. To achieve this, we are focusing on markets that have a lower high season profile. India is a great example: the peak travel season for Indian travellers to New Zealand is November to December and then April to May, which fits perfectly with our shoulder season.
We are also investing in MICE and special interest markets like golf and cycling, which tend to be outside peak (period).
The final point is the insights. There has been a big programme on improving market data but there’s still much to be done before we can come out and say we’ve got great insights.
Tell us more about what you are doing to get ready for China.
TNZ has been very active in running workshops around New Zealand to help operators understand the needs of the Chinese market – not just travellers from China, but those from other parts of Asia too – and what changes should be made in terms of food, language and activities.
The Chinese love shopping and they often say to us that the shops in New Zealand open too late and close too early. We are increasingly conscious about having to adjust that. We are also aware of the need to adjust food service that suits the Chinese. Here’s a good example: we are working with our premium golf courses to provide hot lunches because wealthy Chinese golfers like to have a little hot meal whereas New Zealanders will be quite happy to grab a sandwich.
The Hurun Report recently noted that young, wealthy Chinese prefer experiential travel and exotic destinations. This should excite TNZ since it wants to grow its value of tourism.
I must say that the rate of change in China is extraordinary. Five years ago most of our Chinese travellers came for low-value shopping trips, mostly on Australia and New Zealand itineraries.
We are getting a different profile these days although only a few of them are in the ultra-premium segment – less than two per cent of the business at our luxury lodges are from China.
Frankly, the expansion of our focus on high-end travellers hasn’t really extended to China. Where we are getting our value improvements from China is from longer-length stays and more travelling around the country. I think part of this is because the ultra high-end Chinese customer is still looking for traditional luxury accommodation as opposed to lodges which are more rural. New Zealand has a more rural perspective around luxury accommodation which may not be what everyone is looking for. Some of these lodges are very small, with only six rooms, quite different from a six-star hotel in the Middle East.
Our view is that our high net worth traveller market will develop and (our luxury lodges will) target travellers who like outdoor activities. Now we are still at the very beginning of that phase.
The other challenge we have (in attracting high net worth travellers) is that because these lodges are small, they sell out pretty fast. I’ve been informed that they are almost all taken for the next summer peak period, mostly by US visitors who really like this experience.
Wealthy Indians are also desiring the same. Are you seeing the same shifts in this market yourself?
Oh yes, a little bit more so for the Indian market. We are already catering strongly to the Indian market, especially the honeymoon segment which favours our luxury lodges. We are very encouraged by the results in India – we’ve almost doubled our Indian arrivals in the last five years.
We’ve just co-hosted the 2015 Cricket World Cup with Australia and that gave us a boost. Indians love cricket, and there are a number of New Zealand coaches in India. We have a little bit more of a cultural connection with India that way.
Which other Asian markets are top performers for New Zealand’s high-end travel segment?
Japan and Singapore. While these markets will remain strong, we feel that China will become a much more important source over the next five years.
Many Asian destinations are courting these source markets too. How will New Zealand stand out in the region?
New Zealand offers such different experiences from the rest of the region that we are probably more up against Africa or even South America. Africa’s luxury lodges and safaris, for instance, are the sort of products that we are competing with.
What drove the creation of TNZ’s Every day a different journey campaign and how does it serve the new framework?
It is an evolution of a campaign that has lasted for 16 years. 100% Pure New Zealand has a long history now and over the period of its life we’ve been able to continue to keep it contemporary and move messages to the opportunities we see. The most recent one was connecting New Zealand with Middle Earth. We had three years of emphasising how Middle Earth was 100% Pure New Zealand. We’ve been very successful. Of course, with the three movies all out, we needed to think what our next message would be.
Our research told us that a large number of people liked the idea of visiting New Zealand but there was quite a low level of awareness about the variety of things that could be experienced and as a consequence of that, we’ve done a campaign which emphasises the variety and diversity of activities one could do.
Our research has also found that different activities, places and things appealed to different key markets, and that drove the prioritisation of which ads are shown. They range from walking on ice glaciers, to swimming in subtropical beaches.
We use the line Every day a different journey to bring all that to life.
When you boil down the things that make New Zealand different from other parts of the world, two things stand out: diversity of activities and how easily accessible they are, and our indigenous culture.
Hence, the other part of our new campaign is to work closely with our Maori community to find ways to visually distinguish us from other destinations. We’ve worked with a Maori carver who’s carved our logo out of timber. The reproduction of our logo now comes from this wonderful piece of wood, allowing the grain to show up. The logo will appear on everything that we print and produce. It will be a lovely and more distinctive connection with New Zealand.
How is TNZ deploying this campaign to spread demand to shoulder season?
While we usually begin our media investments in September, this year we are running it from July to promote spring and autumn travel. In fact, 80 per cent of our efforts will now focus on the shoulder season. Previously, it was about 20 per cent.
I think it is the natural things that will also help us (achieve more footfalls in the other months). Prices will be more reasonable during the shoulder seasons and availability will be much better as well.
New Zealand is loved for its natural environment and rich culture. How does TNZ ensure that tourism development does not erode all that?
We have been fortunate there, as our arrivals are small compared to our land area. We have almost the same land area as Japan, four million inhabitants and about three million visitors. Furthermore, we have a strong legislative framework for protecting the environment. Expansion of businesses require a lot of permission, and a lot of care and consideration for the environment go into these decisions.
We are also a majority shareholder of a company called Qualmark, which deals in quality assessment of local businesses and issues the Enviro Award which encourages operators to accomplish a higher level of sustainability. We’ve had that programme for about seven years and are just reviewing it now. We may lift its standards further. We will know the outcomes of this review a year from now.
It is great that there are a lot of sustainability ambitions and aspirations in the industry. We are working very closely with industry players and getting excellent encouragement to continue to raise the benchmarks on sustainability.
How is the reconstruction of Christchurch coming along, and what other infrastructure developments are worth watching out for?
We are well into rebuilding Christchurch, but are probably four or five years away from restoring (its pre-earthquake) accommodation capacity. Once work is completed, Christchurch will be our most modern, most beautiful city.
Because of the nature of the earthquake, a lot of services that run underground such as storm water, sewage and electricity have taken many years to rebuild. We are only now starting on the buildings.
We are keeping the Christchurch airport operating at 100 per cent capacity so there is still a gateway to the South Island.
One of the biggest development to come is our convention centre in Christchurch, and that will stimulate the emergence of more hotels. It should be announced this year along with a completion date.
We have another convention centre in Auckland. It is in the design phase now, and will open in 2019 or 2020. It will have capacity for 3,500 people – the biggest that we’ve got at the moment.
The local trade has much to rave about and promote for the city-state’s Golden Jubilee
In a bid to reverse slowing visitor figures, the Singapore Tourism Board (STB) has launched a S$20 million (US$14.8 million) global marketing campaign to ride the wave of interest on the nation’s 50th founding anniversary.
Lynette Pang, assistant chief executive of STB’s marketing group, said: “2015 is not only a tremendous milestone for Singapore, but also an opportunity for STB to leverage the international attention to ramp up marketing efforts for destination Singapore. SG50 is a once-in-a-lifetime event for Singapore and has caught the interest of the world, placing us on numerous lists of top places to visit.”
Inbound tour operators and hotels in Singapore have been eager to roll out packages in conjunction with the nation’s 50th birthday.
Judy Lum, Tour East’s group vice president of sales and marketing, said: “We are currently looking at reiterating SG50 to convey the message that some packages come once in 50 years. For instance, tourists would be more compelled to retrace the Singapore history during the World War II with visits to the Changi Chapel and Museum and Kranji War Memorial.”
More than 35 hotels, including Park Hotel Group and Sheraton Towers Singapore, have already committed to offering a Pay Two, Stay Three offer, while children will have complimentary access to several Singaporean attractions.
The Pan Pacific Hotels Group (PPHG) has launched a SG50 promotion at its two Pan Pacific and three Parkroyal hotels in Singapore to offer selected travel consultants who book through the group’s website 50 per cent savings.
Timur Senturk, PPHG’s vice president, operations, ASEAN, said: “With many large-scale celebratory events planned throughout the year, we see SG50 as a great opportunity to heighten awareness and excitement of Singapore.
“We will be unveiling more rooms and dining promotions throughout the year that can be enjoyed by both Singaporeans and visitors to the country,” he added.
Over at the Ritz-Carlton, Millenia Singapore, a new Celebrate Singapore, Celebrate You room package was rolled out at the beginning of the year “to leverage the jubilant nationwide atmosphere”, said Andreas Kohn, director of sales & marketing, The Ritz-Carlton, Millenia Singapore.
Kohn said: “To date, the performance of our Celebrate Singapore, Celebrate You room package has exceeded the projected annual number of room nights. In the month of August alone, the total number of bookings for the month outperformed the total number of bookings in the preceding seven months of the year.
“This is likely attributed to the four-day National Day jubilee weekend which made it an additional incentive for locals to book a staycation at our hotel in order to enjoy the fireworks and fringe festivities in the Marina Bay area,” Kohn explained.
SWISSOTEL Resort Phuket is offering exclusive rates for the travel trade industry on two separate periods; the first running from October 15 to November 30, 2015 and afterwards from December 1 to December 20, 2015.
Credit: Carnival Corporation
