TTG Asia
Asia/Singapore Saturday, 17th January 2026
Page 1999

2H2015 optimal time to travel, says Expedia-ARC report

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TRAVELLERS will enjoy high cost savings if their trips, especially vacation packages, are planned for the second half of this year, according to a collaborative report of the Expedia group and Airlines Reporting Corporation.

The Travel Check-Up: Air Travel Trends for the First Half of 2015 has found that air ticket prices declined about seven per cent for travellers originating in Asia-Pacific as compared to the average of two per cent across North America and Europe.

In Asia-Pacific, Malaysian travellers heading to Australia and Thailand enjoyed the largest ticket price decline, at 22 per cent and 10 per cent respectively.

Additionally, based on data on package deals booked for travel between June and September 2015 that included air and hotel, the report determined that travellers can save up to US$648 across all destinations.

Of travellers’ favourite cities worldwide offering major package savings, London tops with 30 per cent or US$1,424 savings.

As regards length of stay, one clear trend is Asia-Pacific travellers are reducing their stays significantly in Europe this summer and shifting travel plans to North America, likely due to the Chinese yuan gaining strength against the US dollar.

The report also found some great deals for Singapore travellers heading to other Asia-Pacific cities, with Thailand’s Phuket offering the greatest savings at 20 per cent.

Greg Schulze, senior vice president, Expedia Global Tour & Transport, said: “An analysis of air industry data suggests that, with smart planning, the second half of this year will be an optimal time to explore the world.”

The full report can be downloaded here.

Vietnam grants 5 countries free visas

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EFFECTIVE July 1, 2015, visa-free travel to Vietnam for residents from five countries will be available. The countries whose residents will not require a visa to travel to Vietnam are the UK, France, Germany, Italy and Spain.

The announcement was made at the Mekong Tourism Forum held in Danang City and made official by a signed statement released by prime minister Nguyen Tan Dung on Thursday, June 18.

The visa exemption policy is valid till June 30, 2016.

‘Gen Z a unique breed of tourism consumers’

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AND you thought Millennials were a handful. According to travel marketing firm MyTravelResearch.com, Gen Z, born after 1995, is a whole new ball game and travel entities need to adapt to their expectations different to generations before.

In her 20-minute Gen Z and Tourism Marketing presentation, co-founder Carolyn Childs explains that Gen Z – consumers in their teens – are 100 per cent digital natives grown up in an era of mobile devices and smartphones.

They are multitaskers with short attention spans, so marketers will have a much better chance of reaching them if they “game-ify” their offer. If marketers don’t grab them quick with their marketing pitch, they will lose them in a flash, warned Childs.

Heavily influenced by post-financial crash values, Gen Z members also like engaging with brands and new causes for the collective good. They respond well to visual media, can process information quickly and demand results immediately.

One of the challenges facing tourism marketing players trying to woo Gen Z members is how to market nature and outdoor experiences to a generation for whom “playing in the street has gone”.

For greater insight into marketing tourism to the Gen Z consumer, watch Childs’ video here.

Thailand confirms first MERS case

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THAILAND has become the fourth Asian country to register the MERS, with its health minister announcing yesterday that a businessman from Oman has tested positive for the deadly virus.

The man, along with with 56 people being monitored for the virus and three under quarantine, are warded at the Bamrasnaradura Infectious Diseases Institute in Nonthaburi province, reported Reuters.

“We are confident that we can control the outbreak,” said government spokesman major general Sunsern Kaewkamnerd in a statement, adding that the health of the man’s three family members who accompanied him to Thailand would also be monitored.

Authorities will also regularly telephone those who came into contact with the man and request them to stop work temporarily. Their conditions will be monitored over the next two weeks, the Bangkok Post quoted Thanarak Phaliphat, director of the epidemiology bureau under the Disease Control Department (DCD), as saying.

Pratana Pattanasiri, Thai Airway’s vice-president overseeing aviation safety, security and standards, said the airline has set out seven strict measures to deal with the MERS situation, including screening passengers before checking in and observing their health conditions during the flight.

The airline is also disinfecting airline cabins and monitoring the hygiene of airline staff, he added.

The DCD has told all hospitals in the country to be on alert and to thoroughly check those who came back from the Middle East and South Korea. It is also screening travellers at 67 points of entry from land, sea and air.

Meanwhile, South Korea is experiencing a deluge of flight cancellations worldwide as travellers fear the spread of the virus.

Nevertheless, South Korea’s ambassador to Singapore, Suh Chung Ha, told local broadsheet The Straits Times that Singaporean travellers need not worry about catching MERS there.

Citing findings by the World Health Organization, he said those who caught the virus visited health facilities such as hospitals and there is no evidence that it circulated in the community.

MERS continues to claim lives in South Korea, though the number of daily new cases has been slowing down. As of press time, South Korea has 166 confirmed cases and 24 deaths from the virus.

Malindo to ply Ipoh-Singapore route

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MALAYSIA’S hybrid airline Malindo Air today announced it would commence Ipoh-Singapore-Ipoh daily services from July 14, 2015, deploying its first Boeing aircraft, B737NG.

The daily service will depart from Changi Airport (Terminal 3) at 10.00 and arrive at Sultan Azlan Shah Airport, Ipoh at 11.25. From Sultan Azlan Shah Airport, the flight will depart at 12.10 and arrive at Changi Airport (Terminal 3) at 13.30.

The new Ipoh-Singapore sector is a part of the airline’s route expansion and enhancement plan with the delivery of two B737NG aircraft, which will boost the fleet size to a total of 21, comprising 10 Boeing aircraft and 11 ATR 72-600. Six more B737NG jets are expected to be delivered by December 2015.

Malindo Air CEO, Chandran Rama Muthy, said: “The airline is fast expanding with its plan to connect to more domestic and international cities. We would be adding new aircraft to the fleet, where two out of eight aircraft orders have arrived and we are immediately adding frequencies and deploying them to new regional routes.”

Ticket sales are now open, with promo fares from RM128 (US$34) one-way inclusive of 20kg baggage allowance, in-flight entertainment and light refreshments.

Just last month, Tigerair too, inaugurated its Singapore-Ipoh route with four-weekly services.

Fujita Kanko adds two Gracery properties in Kyoto

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HOTEL firm Fujita Kanko has announced plans to open two new properties in Kyoto to meet growing demand for tourist accommodation in the ancient Japanese capital.

The new additions to the company’s Hotel Gracery brand will be the 97-room Kyoto Teramachi, due to open in 2016, and the 128-room Kyoto Shinkyogoku to open in 2017.

The two new hotels are to be constructed close to each other in the traditional Shinkyogoku shopping district, which also has a wide array of tourist sites.

“We are looking to appeal to both domestic and overseas travellers, particularly because there are so many foreign tourists coming to Japan at the moment,” Yasuko Kitahara, a spokeswoman for Fujita Kanko, told TTG Asia e-Daily.

According to the Kyoto City Tourism Bureau, the number of international visitors to the city increased 35 per cent in 2013 from the previous year.

Fujita Kanko is conducting an ambitious expansion plan, opening new hotels at home as well as offices in other countries as it explores overseas opportunities.

It opened the Gracery Shinjuku earlier this year, as well as its Washington-brand properties in Sendai and Hiroshima late last year.

In 2015, the company opened offices in Jakarta and Bangkok.

Just a so-so campaign

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2015 Discover Thailand is going into to the annals of Thai tourism history as just an average campaign – at a time when Thailand badly needs an amazing one

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Tourism Authority of Thailand (TAT)’s 2015 Discover Thainess is an average campaign, when what is needed is something extraordinary, according to the trade.

The campaign was launched at the end of last year, after the imposition of martial law in May, nationwide curfews and a government comprising unelected men in green had damaged Brand Thailand. International arrivals suffered their greatest decline in recent memory, falling 6.6 per cent to 24.7 million by end-2015.

In that light, what many felt was needed to restore confidence was a dynamic initiative reminiscent of the highly successful Amazing Thailand, which made the kingdom a leading destination in the region. Thailand, after all, is the mastermind behind the Visit Year, which is imitated across the world even today. Alas, Discover Thainess has not brought such buzz

‘Thainess’ is an obscure, politicised and hard to define concept in concrete terms let alone base a national tourism strategy on. It has been used repeatedly in the past, when it was also criticised for being vague and ephemeral. Thawatchai Arunyik, TAT governor, gave a more focused explanation at the campaign’s launch when he said its aim was to showcase “the distinct character of the Thai people and our unique culture”, and to attract 28 million visitors generating an estimated 1.35 trillion baht (US$40 billion).

Many in the trade agree with the governor that the friendliness of Thais and the place itself are key reasons why people visit Thailand. The missed opportunity is over the messaging.

Ken Scott, managing director of Scott Asia Communications, which specialises in travel, said: “All 25 million visitors to Thailand have their own expectations and hopes of ‘My Thailand’. The TAT should conduct a campaign from the perspective of the visitor, not about a visitor discovering a rather impersonal thing, ‘Thainess’.

In a TTG Asia straw poll of seven senior executives at Thailand-based DMCs and operators, when asked how the concept ‘Thainess’ resonated with their international clients (with 1 being “not at all” and 4 meaning “very well”), the result was 2.17. Similarly, questions on the effectiveness of the campaign promoting the destination on the consumer and trade fronts scored just 2.17 and 1.67, respectively.

Chote (Tony) Soorangura, associate managing director, NS Travel & Tours, who said business got worse after the coup and who is critical of the current government for lacking the “business mindset”, feels the campaign lacks a much-needed contemporary message.

“When we communicate how good we are in terms of natural resources and culture we really miss out on telling people how modernised we are, or what our city life is like. Just recently agents from Japan and Norway told me how Thailand, especially Bangkok, is much more modern than they had thought.

“But some people still think coming to Thailand means they will see elephants on every street. This is because of the message we send to foreigners. We need to provide a bigger and more extensive picture (of what Thailand really is).”

To be fair the TAT has been in overdrive issuing a raft of press releases each day, many of which promote more dynamic tourism ideas, though a few unorthodox propositions have slipped through the net, such as one endorsing “martial law tourism” last October and a May release about “couple therapy” suggesting those in failing relationships come to rediscover each other in Thailand.

Beyond its focus on people and culture, a core initiative of Discover Thailand is to market the so-called “12 hidden gems”, provinces that are not major tourism destinations but are renowned for their unique history, culture and lifestyle. This initiative has its firm supporters.

“The 2015 Discover Thainess campaign is essential after the challenges of 2014,” said Debrah Pascoe, senior vice president sales and marketing of ONYX Hospitality Group. “With the campaign focusing on the lesser-known destinations in Thailand, it allows for visitors to rediscover Thailand outside of the beach and city destinations the country is already well-known for.”

Hans van den Born, managing director of Diethelm Travel Thailand, said developing other destinations can also aid the industry’s sustainable development. “Revamping existing destinations and highlighting the unique character is not a bad idea as such. The question is whether the tourism infrastructure is up to the standard of the ever increasing and demanding customers’ expectation levels,” he said.

Overall, Willem Niemeijer, CEO, Khiri Group, said the campaign is “quite good”. “The TV spot drives it home. After all, tourists come here in large part because of the natural hospitality, quirkiness and charm of the Thais. However, I think ‘Discover Thainess’ is a little clumsy. The Thai language version is Tee-ow Witti Thai or ‘Travel the Thai Way’ – that would connect better in English,” he said.

And therein lies the rub: Thailand’s febrile political situation leave little room for clumsiness. A more surefooted tourism strategy is needed.

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This article was first published in TTG Asia, June 19, 2015 issue, on page 8.
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Now arriving: A new generation of airport hotels

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A new breed of airport hotels are evolving in parallel with the next-gen airports, shedding their utilitarian image in favour of sleek design, innovative services and lifestyle amenities

22may-crowne-plaza-sg-facadeGone are the days where airport hotels are viewed as staid, characterless properties that generate business from flight crew, early fliers or stranded passengers. In the past decade, airport hotels have undergone a dramatic transformation, carving out a new accommodation style that caters to the bleasure-seeking corporate warrior on the road as well as leisure travellers drawn to its lifestyle and tech-savvy amenities.

A destination in its own right
With global business and leisure air travel set to soar, many airports are now spearheading redesign projects to expand their itinerant roles into the retail and lifestyle sectors, and this increasing focus on the destination experience has propelled a makeover of accommodation in the proximity of these transportation hubs too.

Best Western International (BWI), senior vice president of brand management & member services, Ron Pohl, noted: “This (airport hotel) trend matches the evolution of airports themselves. Many modern airports have turned into shopping and entertainment hubs, so travellers may prefer to stay at a nearby hotel to give themselves more time to sample these facilities.”

Ivan Tan, senior vice president, corporate & marketing communications, Changi Airport Group, said: “As the airport grows in capacity, the airport hotel is an essential offering that a discerning traveller would expect. This is especially so for a hub airport like Changi Airport. Not every passenger who arrives at Changi is visiting Singapore; about 30 per cent of Changi’s passengers are en route to another destination.

“Being directly connected and conveniently accessible, a passenger’s experience begins the moment they arrive. Being located in the vicinity of the airport means more time to rest and rejuvenate for passengers, making the overall airport experience even more enjoyable and memorable, easing the stress of travel.”

With Regal Airport Hotel, Hong Kong SkyCity 22may-regal-airport-hotel-exterior-night-shotMarriott Hotel and Novotel Citygate Hong Kong already in its vicinity, Airport Authority Hong Kong has planned more airline hotels in the pipeline “to capture the continuous growth of airport users as well as the commercial opportunities presented by the opening of the Hong Kong-Zhuhai-Macao Bridge”, a spokesperson revealed.

As well, Asia’s booming budget aviation scene has fuelled the entry of the no-frills airport lodging in Japan.

“The emergence of domestic LCCs (in Japan) in 2012 has diversified the styles of travel,” Ayako Homma, a research analyst for Euromonitor, told TTG Asia. “To target such passengers, new concepts of hotels are entering the airport market, such as capsule hotels (see page 14).

“These capsule hotels are designed to provide hourly or overnight accommodations with basic amenities at more economical prices versus regular airport hotels,” said Homma. “Their concept attracts both leisure and business travellers, especially those who are waiting for connecting flights and/or early morning flights.”

From pit stop to full stop
Amid intense competition in the hospitality sector, airport hotels have been reinventing the cheerless layover stay experience, rolling out a full suite of services and activities to drive more room nights and meetings business.

Sunshine Wong, general manager at Crowne Plaza Changi Airport, observed: “(Airport hotels) were previously conceptualised out of practicality and used to serve a strictly functional purpose: providing travellers with a place to rest in between longhaul flights. This has changed as more airlines, flights, apps and services make travel even more accessible and affordable.”

Patrick Basset, COO for Accor Thailand, Vietnam, South Korea, Cambodia, Laos, Myanmar and the Philippines, said: “Airports hotels have evolved beyond their functional role of convenience. Today, they offer many of the amenities and comforts traditionally limited to city hotels and resorts; these include dining, fitness, spas and swimming pools. Guests now want to find complete leisure and business facilities at an airport hotel, expecting their experiences to mirror those of a city hotel or resort.

“We’ve also gained increased revenue from businesses located near the airport. Guests are willing to spend a bit more for the convenience of an airport hotel as they offer less risk. Their proximity decreases the likelihood of missing a flight, yet they offer the same facilities and comforts as city hotels and resorts,” he added.

Michael Gnaegi, general manager, Langham Place, Beijing Capital Airport, agreed: “We also have regular family guests. As most Chinese families travel by agencies with limited flight choices, these families will stay at our hotel the night before and enjoy a relaxing dinner at our Ming Court Chinese restaurant with views of the runway and lake. They are able to have a good night’s rest, park their car at the hotel garage and leave at their leisure to catch their flight instead of camping at the terminal.”

More airport properties are also playing up the wellness card, mirroring the growing wave of health-consciousness among travellers.

Citing Best Western Premier Amaranth Hotel Suvarnabhumi Airport in Bangkok as an example, Pohl commented: “This luxury resort offers multiple options for leisure travellers, including a spa, sauna an outdoor pool, and is close to local golf courses. This (property) has turned into more than just a one-night stopover for travellers – it has become a destination in its own right.”

Similarly, the JW Marriott Mumbai Sahar, which opened in April 1km from the Chhatrapati Shivaji International Airport, is the second property worldwide to feature the brand’s new Spa by JW concept with Ayurvedic, steam, make-up rooms and Jacuzzis.

John Alexander Girard, vice president development, area general manager, Regal Hotels International Hong Kong and general manager, Regal Airport Hotel Meeting & Conference Centre, highlighted the need for airport hotels to be “truly 24 hours in operation in all areas”, be it all-day dining or offering workout rental gear for guests to continue their healthy exercise practice any time during their stay.

According to Basset, The Novotel Bangkok Suvarnabhumi Airport has developed concepts such as the 24 Hour Flexi package, which allows guests to stay for a 24-hour duration irrespective of their check-in time, as well as the Flexi Meal programme that enables guests to choose the meal for which they wish to redeem their breakfast voucher.

Connecting the business, MICE crowds
More airport hotels are training their sights on the business and meeting crowds, as a sizable number of corporate travellers are increasingly keen to fly in, meet and fly home, instead of spending time to get to crowded downtown districts.

Langham Place, Beijing Capital Airport’s Gnaegi added: “We have regular business travellers flying from different cities in China to our hotel…(they) have business meetings such as signing of a contract within one hour, then take a return flight back to their own cities, saving time and cost.”

Sharing similar observations, Accor’s Basset added: “The rise and ease of regional air transport has led to more intra-regional meetings organised at airport hotels. People take an early morning flight, arrive for a full day of meetings and then fly out in the evening. Companies are able to bring together participants from the region for a one-day meeting, while saving on accommodation costs.”

Meeting facilities have become an important aspect of the business for Crowne Plaza Changi Airport, which often hosts trainings, seminars and events of companies located in its vicinity, shared Wong.

“Where we see great opportunity is in the niche market of meetings and events with attendees of up to about 100 to 120 people. We are looking at events held by Singapore-based MNCs here which require their delegates, representatives or clients to fly in,” he added.

“We do have corporate business and, contrary to popular belief that not many people would book or hold events at airport hotels unless they are on transit, we see more than 150 wedding events in our function spaces a year.”

Unlike downtown locations, which usually bustle with activity, airport hotels’ quieter atmosphere offers less distractions, which could be a benefit for meeting planners, added Wong.

The advantages of being located near Hong Kong International Airport are likewise apparent to Regal Airport Hotel. Said Girard: “MICE contributed to our room revenue with robust growth (in 2014), and remains the key driving factor…In the past two months, we got a few major MICE conferences in-house and experienced high traffic of check-in due to exhibitions and trade shows at AsiaWorld-Expo convention centre nearby.”

A transient or permanent trend?
While a new wave of airport hotels have brought out the design bells and gustatory whistles, some trade players point out that not all travellers are biting though, as a portion of their clientele seeks only a clean bed and easy access to their departure gates.

Acknowledging the more comprehensive service offered by a new crop of airport hotels, Destination Asia group business development director, Victoria Sertic, noted that airport accommodation is still perceived as a “functional choice” among her clients in the region.

“For early morning departures and sometimes arrivals, airport hotels are requested by our clients, but most clients would not chose to stay for long periods of time in an airport hotel,” she remarked. “Traffic and proximity to the airport in many countries is not an issue so both leisure and meetings clients and incentives opt for non-airport hotels.”

Jane Le Gall, product & marketing leader at FCm Travel Solutions Singapore, opined: “It really depends on the length of the layover, not many routes now have overnight layovers. The transit times have been drastically reduced by airlines. The First, Business and airport lounges now offer full shower and changing facilities, so business travellers will utilise these services.

“A traveller who is meeting another party whilst in transit would make use of an airport hotel from a meetings perspective. Often a business traveller might take an air route that factors in a longer layover in order to maximise his business travelling time to meet with a customer or company counterpart en route to his main destination,” she added.

However, the value of airport hotels remain underappreciated, several industry members remarked.

Todd Arthur, managing director, Asia-Pacific at HRS – The Hotel Portal, said: “The real value of airport hotels has long been underestimated by (travel) agencies and MICE planners – it is no doubt that the biggest advantage of airport hotels is convenience. Travellers can simply relax more easily and travel with far less stress.”

He continued: “Besides, being connected to the terminals, these hotels provide direct access to public transport services, which save the travellers from long taxi queues should they wish to visit local office or sightseeing.”

Go Vacation Thailand director business development, Tobias Fischer, believes that hotels in the neighbourhood of international aviation hubs, such as the recently launched Le Méridien Suvarnabhumi, Bangkok Golf Resort & Spa, which offers a golf course and proximity to the Bangkok International Trade & Exhibition Centre, has potential to attract FITs and groups.

“When people hear ‘airport’ they generally think the location is far with limited facilities, which is not true,” remarked Gnaegi, who pointed out that the Langham Place Beijing Capital Airport has over 400 pieces of contemporary artwork within its premises.

Additional reporting from Xinyi Liang-Pholsena, Paige Lee Pei Qi, Julian Ryall

Cancellations of flights to Seoul spreads across Asia

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Source: ForwardKeys

THERE have been more cancellations than bookings for flights to South Korea across Asia, according to ForwardKeys’ latest figures for the week of June 6-12, as the country continues to battle its outbreak of MERS.

Net bookings – derived from the total number of bookings for the week after taking away cancellations – plunged by 188 per cent from North-east Asia and by 131 per cent from the rest of Asia, while net bookings for all other continents fell by over 60 per cent.

During the same period, Taiwan, Hong Kong and China continued to lead the cancellation trend, with declines in net bookings at 329 per cent, 298 per cent and 182 per cent respectively.

Japan is the only country in Asia that has seen a rise in net bookings.

Travel in July is also seeing some impact with three per cent fewer net bookings year-on-year.

Outbound MICE consultants in Malaysia told TTG Asia e-Daily that there have been no new bookings for South Korea. People will not want to take unnecessary risks, remarked Jill Sin, senior manager, MICE at Panorama Tours Malaysia.

Nevertheless, John Chan, business consultant at Kris International Traveltours, believes demand will pick up once the outbreak has been contained, since South Korea has always been a popular destination for leisure and business.

For corporate and business trips however, Todd Arthur, managing director Asia-Pacific at HRS, thinks that MERS will have minimal impact. “While the ongoing MERS health scare is having some impact on the level of leisure travel to South Korea, we’ve yet to see a significant negative impact on corporate travel to the country. In terms of hotel bookings, there haven’t been a large number of cancellations.”

“Government agencies in Korea have been handling the crisis reasonably well, working quickly and in an open and transparent manner to bring the situation under control,” Arthur continued.

In a bid to reassure travellers, South Korea’s Ministry of Culture and Tourism has announced that foreign visitors will be automatically insured against the risk of contracting MERS in the country, though the extent of coverage or when the plan will go into effect has not been revealed, reported Reuters.

At press time, there are 165 confirmed cases of MERS in South Korea and 23 deaths from the disease.

Cabin not OK: IATA reviews carry-on baggage initiative

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LESS than 10 days after the launch of IATA’s Cabin OK initiative, the global airline body has announced a pause in roll-out to conduct a “comprehensive reassessment” of its recommendation.

Called Cabin OK, the new set of guidelines launched on June 9 proposed a voluntary Cabin OK label that passengers could use on their bags as long as their luggage are within the dimensions of 55cm x 35cm x 20cm or 21.5” x 13.5” x 7.5″ inches.

Airlines would therefore be able to immediately recognise the bag as compliant with maximum size requirements and be given priority to remain in cabin on full flights where storage capacity has been exceeded, should the airline choose to participate and adopt IATA’s suggestions.

However, the size proposed by IATA is 21 per cent smaller by volume than what most airlines currently allow and though the number of airlines expressing interest in the programme is growing, Cabin OK has been met with some backlash from the industry, particularly in North America.

According to the Chicago Tribune, Airlines for America this Wednesday said US carriers are rejecting IATA’s standards “because it is unnecessary and flies in the face of the actions the US carriers are taking to invest in the customer experience — roughly US$1.2 billion a month — including larger overhead bins”.

Nicholas E Calio, CEO of Airlines for America, was quoted as saying that the initiative is “unnecessary” given that airlines already have guidelines for carry-on baggage.

IATA is hoping to address concerns and has pointed out that Cabin OK is “a guideline for an optimally sized cabin bag, not an industry standard”.

In a statement, the global airline group said it does not seek to limit the size of cabin baggage as that is up to the discretion of the individual airline.

Tom Windmuller, senior vice president, airport, passenger, cargo and security, commented: “This is clearly an issue that is close to the heart of travellers. We need to get it right. Today we are pausing the roll-out and launching a comprehensive reassessment of the Cabin OK programme with plans to further engage programme participants, the rest of our members, and other key stakeholders.”