CHINA is a notoriously tough nut to crack for international travel companies, but the Priceline Group this week upped its stake in Chinese OTA Ctrip.com International in a show of faith for the world’s largest outbound market.

A Priceline press release said the company is injecting another US$250 million in Ctrip via a convertible bond, and has also received permission to increase its stake in China’s leading online travel company to 15 per cent.

This builds on Priceline’s US$500 million investment in Shanghai-based Ctrip last year. Assuming the conversion of both bonds, Priceline will own roughly 10.5 per cent of Ctrip’s shares.

The news comes only a few days after rival Expedia announced it was selling a 62 per cent stake in eLong, another Chinese OTA, to Ctrip.

Commenting on the deal in a statement, president and CEO of the Priceline Group, Darren Huston, said: “We consider Ctrip a market leader in China and we’re investing in a company and a team that we believe fits well with our long-term view of China as a market and the Chinese people as global travellers.”

EMERGING destinations around the world can snag themselves a free advertising campaign on TripAdvisor this year, if they win the PATA CEO Challenge 2015.

Announced today, PATA said it was working with TripAdvisor to award an advertising campaign worth US$500,000 to two worthy destinations to showcase their stories to the world.

Sarah Mathews, head of destination marketing APAC, TripAdvisor, outlined what destinations stand to win: “Our global team will work with the two winners to develop a great digital campaign. It is our aim to support each destination with our knowledge on how travellers are inspired, research and book online and therefore to help the destination to paint their digital story to our global audience.”

Besides that, winners will be presented the PATA CEO Challenge 2015 Top Destination Award during a ceremony to be held at the PATA Aligned Advocacy Dinner in London this November, just ahead of the World Travel Market 2015.

The PATA CEO Challenge 2015 aims to promote and enhance the number of visitors to emerging destinations including regions, states, or provinces, and second-/third-tier cities, whether they are a PATA member or not. Countries and first-tier cities are not allowed to participate.

To win, entries must demonstrate that the destination’s marketing campaign is contributing to the sustainable growth of tourism and empowering local communities.

Mario Hardy, CEO, PATA, said in a statement: “There are hundreds and thousands of destinations that are known, visited and experienced by world travellers. However, there are even more destinations that are ready to be discovered and deserve to be recognised for their authenticity and beauty. PATA, through the PATA CEO Challenge 2015, is honoured to highlight these new and emerging destinations.”

More information about the PATA CEO Challenge 2015 can be found atwww.PATA.org/PATAceochallenge.

THE Asia Premium Travel Mart (APTM), the first high-end B2B tourism event in South-east Asia, is throwing the spotlight on the Philippines as a luxury travel destination and organisers have outlined a strategy for the show for the next three years.

Edwin Villanueva, director of S8 Exhibition, the show’s organiser, pointed out that the Philippines is a johnny-come-lately whose luxury market is small compared with those of Thailand, Bali, Maldives and Bhutan.

But the company’s president, Fe Abling-Yu, is convinced that the country can catch up with its neighbours quickly. “(We) have an expanding number of luxury properties, service-oriented people, exclusive destinations, and experiential holidays.”

In order to bring the Philippines up to speed, five travel consultants including Abling-Yu, also general manager of Arfel Travel and Tours, and Villanueva, general manager of Light Miles Travel, formed S8 Exhibition.

Villanueva told TTG Asia e-Daily that a “layered strategy” will be adopted in staging APTM, with more target markets added each year. For 2015, APTM is focusing on the luxury leisure market and targets bringing 10,000 arrivals to the Philippines.

Next year, the show will add a MICE component and aim for 30,000 tourists, while medical tourism and a total of 60,000 tourists are the targets for 2017’s edition.

A NEW workshop series on tourism marketing will be launched at this year’s Mekong Tourism Forum to empower Greater Mekong Subregion (GMS) countries to better promote secondary destinations and multi-country holidays.

During the inaugural workshop on June 15, adventure travel, food tourism, community-based travel, and river and ocean cruising will be analysed in separate breakout sessions.

In fact, the promotion of adventure travel will take centre stage at the workshop, which was initiated by the Bangkok-based Mekong Tourism Coordinating Office (MTCO) in collaboration with UNWTO and PATA.

In 2013, the segment was estimated to be worth US$263 billion globally, an increase of 195 per cent since 2011, according to the Adventure Travel Trade Association (ATTA).

“It’s a rapidly growing segment that speaks to the trends of authenticity and meaningful experiences,” said Shannon Stowell, president and CEO of ATTA, who described the sector as “high value, low impact” when done right.

Food tourism as a prime reason to travel will also be part of the workshop.

“Given that the GMS has such a rich diversity of food produce and culinary preparation styles, it makes sense to consider how this interest can be best leveraged to attract visitors to both the rural and urban centres of the GMS,” said John Koldowski, professor at the College of Innovation at Bangkok’s Thammasat University.

Meanwhile, UNWTO will host the session on river and ocean cruise tourism based on two UNWTO publications: ASEAN River-based Tourism Development and Sustainable Cruise Tourism Development Strategies: Tackling the Challenges in Itinerary Design in South-east Asia.

“We want to position the GMS as a single tourist destination in a very competitive global tourism landscape,” said Jens Thraenhart, executive director of MTCO.

He added that the workshop should become an ongoing activity, adaptable to changing consumer demands, while developed in consultation with the region’s tourism industry.

This year’s Mekong Tourism Forum takes place at Hotel Novotel Danang Premier Han River from June 15 to 19.

All senior travel industry members from public and private sectors are invited to attend the workshop for free. Attendance to the forum is free to travel industry stakeholders who register online.

INTERCONTINENTAL Hotels Group (IHG) has signed a management agreement with Adyar Gate Hotels for the InterContinental Chennai Mahabalipuram Resort, which will launch later this year.

Located along the picturesque beachfront on East Coast Road in the south of Chennai, the 106-key luxury resort is just 30km from Chennai International Airport.

It will offer three F&B outlets, including an all-day dining restaurant, a specialty restaurant and bar, as well as a spa, health club, outdoor pool and banquet facility for large events.

The new hotel becomes the second InterContinental hotel in India after InterContinental Mumbai Marine Drive and the fourth in the IHG pipeline for Chennai, which also includes the recently announced Crowne Plaza Chennai Adyar Park.

Shantha de Silva, head of south west Asia, IHG, commented: “With its growing popularity as a tourism destination, the Tamil Nadu capital is a key growth city for us and, with its proximity to both the business district and tourist attractions such as the UNESCO world heritage site at Mahabalipuram, the location of the new InterContinental Chennai Mahabalipuram Resort is second to none.”

THE ringgit may have fallen in value against major currencies since one year ago, but the longhaul incentive business to Europe is stronger than before despite predictions of a drop in business this year.

Kelvin Ong, general manager of Aviareps Malaysia, which represents Chic Outlet Shopping in Europe, said there has been a 30 per cent year-on-year increase in MICE business from Malaysia to Chic Outlet Shopping facilities across Europe in 1Q2015.

He elaborated: “Some companies that postponed their trips in 2014 because of the aviation disasters last year fulfilled them in 1Q, while others chose to travel in 1Q before the government implemented the GST on April 1.

“We’re also forecasting a minimum of 25 per cent growth in the number of business events from Malaysia to Chic Outlet Shopping in 4Q.”

Premium Incoming’s managing director, Peter Javorkai, who is based in Budapest, said growth from Malaysia, Singapore and Indonesia is skyrocketing, and incentives from these markets usually combine Prague and Budapest in an itinerary ranging from four to six nights.

He added that the weak ringgit is not impacting demand from companies in the insurance, banking, automobile and telecom industries.

Both Aviareps Malaysia and Premium Incoming were exhibitors at a MICE roadshow in Kuala Lumpur yesterday, organised by Sette Reps and sponsored by Etihad Airways and Chic Outlet Shopping.

The roadshow also saw representation by DMCs in other markets, including Russia, which has been pegged as an increasingly popular incentive destination.

Fernando Tome, general director of Russian DMC GoingRussia, described demand from South-east Asia as “going up strongly” especially among corporates that have already done incentives in other parts of Europe.

Agreeing, local outbound travel agency, BMC Travel’s sales director – outbound, Esther Loo, credited this to the increasing number of flights to Russia.

“Middle Eastern carriers such as Etihad and Emirates with their direct connections and large seat capacities have made it possible to do incentives to Moscow, and combine it with St Petersburg for medium sized groups.

“Sectors such as insurance and direct-selling companies are always looking for new destinations in Europe to reward their top-tier qualifiers.”

OVER 80 per cent of Singaporean families are headed abroad this June holidays, whose conscientiousness when hunting down the best travel deal presents an opportunity for travel agencies, says a recent study on the travel habits of Singaporean families.

According to a first-time survey by theAsianparent Insights, over half of these travellers are ready to spend a tidy sum on their holidays – S$500 (US$372) to S$1,499 per person – with the top destinations being Australia, Hong Kong, Taiwan, Malaysia and New Zealand.

Plus, theAsianparent’s survey also indicated that Singaporean travellers are not entirely convinced by travel websites and aggregators.

While 53 per cent of respondents book transportation services such as airline and bus tickets directly through company websites, only 38 per cent of respondents book accommodation directly through hotel or holiday home websites.

Aggregators in the accommodation sector fare better in terms of trust and reliability, with 45 per cent of travellers choosing to book through travel deal and comparison sites such as Groupon, Zuji and Agoda, and the rest booking through travel agencies.

For excursions, 49 per cent book directly from the company’s website.

“Singapore families are conscientious travellers. They’re travel savvy enough to know where to search online for the best deals that cater to the entire family. While mums and dads may be willing to spend more than S$500 per family member, they’re spending wisely,” said Neetu Mirchandani, regional vice president of strategy and insights at theAsianparent Insights.

“Based on this study, travel service providers may want to take a closer look at their current efforts for engaging Singaporean families.”

In 54 per cent of the families surveyed, parents remained the key decision makers when planning family holidays, with only 22 per cent involving their children in decision-making.

And what should hotels provide? The survey revealed that the top must-have amenities for the Singapore holidaymaker are: free Wi-Fi, kids amenities, complimentary breakfasts and close proximity to local attractions.

Over 79 per cent of Singaporeans are cautious and choose to purchase travel insurance, so companies that bundle insurance into travel packages and solutions stand to gain.

THE Tourism Promotions Board (TPB) is mulling reducing its marketing spend in China, a source market stagnated by its travel advisory against the Philippines, and channelling funds to other growth markets.

Domingo Ramon Enerio, COO of TPB, said that China eats up 16 per cent of the country’s annual marketing and promotions budget.

“We have lessened our exposure particularly in trade fairs, travel shows and consumer activities but we encourage the private sector to (continue),” he said.

Enerio remarked: “We are keeping our options open because it might be useless to spend in one market and there are other markets that have been showing high support.”

He cited Australia, South-east Asia, India, the Middle East, and Europe outside of Germany, France and the UK, as examples.

The TPB’s train of thought has found favour among other trade players. Eleanor O Ng, director of tourism services, Marsman Drysdale Travel, said: “China really slowed down for the last year or so. It stagnated unlike before when it would grow by 20 to 30 per cent every year; this year it’s less than 20 per cent.

“It would be regrettable if we overlook the opportunity to tap newer markets, the ones that are at least not price-sensitive and can stay longer.”

One instance of a market with possibilities is Turkey, with Turkish Airlines having recently started direct Manila flights. Ng said she had received many inquiries for the country even before the service began. “It would be good if TPB puts a part of the budget there,” she commented.

Agreeing, Shan David, head of Corporate International Travel and Tours, said luxury source markets like Australia, Europe and Japan could benefit from more marketing dollars as they spend four times more than the average tourist.

SRI Lanka is planning to adopt an open skies policy to boost tourism numbers as it guns for 2.5 million arrivals in 2016, but aviation and travel experts are urging the government to proceed carefully.

Speaking at the ongoing Hospitality Investment Conference Indian Ocean in Colombo, finance minister Ravi Karunanayake said: “We are adopting an open skies policies similar to the Maldives to attract more visitors and encourage more investments.”

Although Sri Lanka does not formally have an open skies policy, in recent years it has granted more frequencies to foreign airlines. National carrier SriLankan Airlines currently accounts for over 60 per cent of flights.

Suresh Mendis, CEO at Classic Travels, expects the move to boost tourism and grow business but was unsure if the policy would have an effect without a reciprocal arrangement for SriLankan Airlines flying to other destinations.

Meanwhile, Sunil Peiris, aviation veteran and director of Jetwing Travels and Jetwing Air, warned that Sri Lanka needs to be cautious about the effect open skies has on national priorities.

“While the third and fourth freedoms, which apply to point-to-point travel is okay, the fifth and sixth freedoms have to be reciprocal, otherwise Sri Lanka could suffer,” he said.