TTG Asia
Asia/Singapore Tuesday, 17th March 2026
Page 2099

HKTB paints bleak picture of 2015 tourism performance

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ALTHOUGH 2014 visitor arrivals hit a record 60 million with 12 per cent growth, the Hong Kong Tourism Board (HKTB) is not optimistic about this year given negative factors such as the impact of Occupy Central, depreciation of the Russian rouble and the uncertain global economy.

HKTB chairman Peter Lam said: “For sure, Occupy Central has affected tourism, and the recent street protests against Chinese visitors will continue to dampen tourists’ desire to come. The unprecedented drop (0.2 per cent) in 2014’s retail sales was a consequence and hoteliers have already cut rates to maintain occupancy.

“Therefore, we project 6.4 per cent growth for total visitor arrivals with only single-digit growth for China, shorthaul and new markets, while negative performance can be expected for longhaul markets.”

Hong Kong-based China Travel Services suffered a 20 per cent drop in profit from China MICE last year. Its general manager of business travel and MICE, George Kai, expects 2015 will be a challenging year from the lingering impact of Occupy Central.

“Some events in January were cancelled and what makes it worse is the sentiment against Chinese visitors by some local groups, which has tarnished the city’s image. To maintain business, we have shifted some of our business in outbound MICE from Hong Kong given the appreciation of the US dollar.”

However, ATI Travel managing director, Richard Woss, said: “We didn’t receive any cancellations during the Occupy Central, and though HKTB has forecast a drop in longhaul markets, I am positive about the German market.

“Still, I will leverage on the board’s waiver of travel consultants’ fee in overseas tradeshows this year. I used to do two shows but now intend to double them, because this means saving HK$200,000 (US$25,792).”

More China charters for this Philippines-based operator as travel ban eases

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LAND tour operator Luxus Pacific Travel and Tours in Makati City is planning to launch charter flights for China groups and FITs in July as China softens the embargo on travel to the Philippines.

Observing signs that the latest China travel advisory on the Philippines is easing, the company’s senior vice president for tourism business planning and development, Alex Stutely, said: “We were hoping to start operating charter flights from China to the Philippines at the end of last year, but due to the travel ‘ban’ and the political situation, we had to delay the launch.”

During the period the plan was deferred, and Luxus Pacific, subisidiary of the Hong Kong-headquartered Luen Thai Enterprises, served more China FITs.

“Up until last month and early this month, there had been very tight control over sending groups…but now it seems the China National Tourism Administration and the China government are easing up on the restrictions,” Stutely continued, adding that Luen Thai has brought 100,000 China tourists to Saipan, and the company “has plans in the region of 200,000 (visitors)” eventually.

“It’s a phased expansion. We’ll start with one source city in China, one source destination in the Philippines, add more, and expand over the course of two, three years,” he said.

After operating Hong Kong and China outbound tours for about 11 years and investing three years into expansions in Saipan where it operates three hotels as well as Guam, where it operates one, Luen Thai is now widening its Pacific island operations to Hawaii, Palau, and the Philippines, where it will also serve luxury clients.

Charter services for four- to five-day group and FIT vacationers will be hired from both source and destination carriers, Stutely said. Boracay is still the most popular destination, followed by Bohol and Palawan.

The three destinations are also the top recommendations for luxury clients, who will be offered vacations in El Nido and exclusive flight services from boutique inter-island carriers.

“The ongoing Chinese government crackdown on corruption and gambling will not have any significant impact on our plans,” Stutely emphasised. “Our focus is primarily on offering high-quality beach holidays for couples and families, not on selling gaming or casino-related packages.”

HelmsBriscoe makes foray into the Philippines

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US MEETINGS procurer firm HelmsBriscoe has entered the Philippine market, and is at work securing initial business with corporate accounts, religious events and product launches.

“It’s really a good time, as Asia-Pacific is no longer an emerging market,” said Marisa Crame, senior director for global accounts, HelmsBriscoe. Weddings, cruises and business seminars are some of the other events the company will pitch business for, she added.

HelmsBriscoe’s associates in the Philippines will cover any kind of event that guarantees at least 10 room nights of business for associations anywhere within the social, military, educational, religious and fraternal associations segments.

Butch Cabalu, manager for global accounts, HelmsBriscoe, predicts significant business in the Philippines from religious events, product launches within the entertainment segment, and corporate accounts. One of their biggest bookings so far is a 10,000-pax religious event in 2016, where 2,000 of the participants will be from overseas, he said.

The company will leverage partnerships with major international hotel chains and local boutique hotels as well those in major cities, starting with Metro Manila, Cebu, Davao and Cagayan de Oro.

It will not charge associations or groups contracting their services, but earns through standard industry placement fee of 10 per cent to partner hotels booking through them.

Associations are promised they will not receive higher quotes from hotels if they partner with HelmsBriscoe, while hotels partners will recover the investment they would have otherwise spent on marketing, Crame added.

Associations can also protect themselves from attrition – overbudgeting for events, coming short of room reservations – because HelmsBriscoe will tap its network of associates globally to fill in excess bookings, said Christopher Crame, manager for global accounts.

Lauding its partnership with HelmsBriscoe a “useful service to associations” in events organisation, Octavio Peralta, chair of board of trustees, Philippine Council for the Advancement of Association Executives, said that the tie-up will also be a key addition to the association’s ongoing activities including education, an awards programme recognising association activities and professionals, and formalising the curriculum behind the Philippines’ first professional associate certification system.

CNY break for e-Weekly

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TTGmice e-Weekly will be taking a break next week due to the Lunar New Year holidays and will resume the following week. We wish all readers a happy and prosperous Lunar New Year!

Resorts World Genting dangles sweet Elite C-Suites deal

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RESORTS World Genting MICE division introduced the Elite C-Suites Deal on February 1 exclusively for corporates.

Offerings for meeting planners include luxury limousine services, reserved car parks, golf, gourmet tea break menus and choice of hotel accommodation, among others.

Stella Sum, the resort’s assistant vice president MICE, said: “Elite C-Suites Deal was conceptualised after listening to meeting planners who told us they want more than just standard meeting packages of one lunch and two tea breaks.

“It has been well received because it is flexible and allows planners to pick any offerings that suit their needs and pay accordingly. We sold 42 Elite C-Suites the day it was launched.”

Arokia Das, senior manager, Luxury Tours Malaysia, said: “The new offerings will further enhance the quality of meetings. Elite C-Suites also makes it easier for us to promote Resorts World Genting to the high-end segment.

“As it is, Resorts World Genting has fantastic meeting facilities and the MICE team, from sales to operations, are very proactive. We’ve done a couple of events there, and they’ve all run smoothly.”

MyCEB adds more minds to Kesatria programme

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MALAYSIA Convention & Exhibition Bureau’s (MyCEB) Kesatria 1Malaysia Programme, which identifies industry leaders to be tasked with attracting global meetings and conferences to Malaysia, recently appointed six new kesatria (or knights).

The addition brings the total number of kesatria to 37, and hails from various key economic sectors such as science, medical, research and innovation, identified in Malaysia’s Economic Transformation Programme.

Zulkefli Sharif, CEO of MyCEB, said: “Since the programme was introduced in 2012, it has generated 71 business leads, attracting an estimated 124,958 delegates and contributing an estimated RM1.4 billion (US$39.2 million) to the country’s economy.

“Of these, 39 per cent of bids were won and supported with 28 events secured, amounting to approximately 50,800 delegates and RM371 million.”

International association conferences and events secured by the kesatria for up to 2020 include International Harm Reduction Conference 2015, International Federation of Freight Forwarders Association World Congress 2017 and World Federation of Hemophilia World Congress 2020.

Mohamed Nazri Abdul Aziz, minister of Tourism & Culture Malaysia, who is also chief patron for this programme, said: “These conventions will complement the efforts of the Ministry in achieving its target of 29.4 million arrivals and RM89 billion in tourist receipts for 2015, and will also raise Malaysia’s standing on a global scale, contributing to our business tourism target of RM3.9 billion in gross national income by 2020.”

SACEOS partners Nanyang Polytechnic in talent retention project

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THE Singapore Association of Convention and Exhibition Organisers and Suppliers (SACEOS) and Nanyang Polytechnic (NYP) signed an MoU last week with an aim to attract and retain talent within the local MICE industry.

Under the MoU, students enrolled in NYP’s Diploma in Hospitality and Tourism Management will receive exemptions of up to two days for two internationally accredited SACEOS courses of Professional Conference Management and Professional Exhibition Management.

NYP’s School of Business Management will work with SACEOS members to develop real business cases for students to work on and recommend solutions.

Industry professionals from SACEOS will also participate in a mentorship programme for final-year students.

Additionally, NYP students will be eligible for SACEOS student membership at a discounted rate, gaining access to networking events that SACEOS organise for members.

SACEOS honorary secretary, Ong Wee Min, said: “The key to success is always talent, and that is the biggest problem we face. Our talent is not just sought after locally, regionally but also internationally.”

NYP deputy principal, Henry Heng, added: “Singapore is facing a significant leakage of talent at the graduate level for the MICE industry, meaning they go on into other career tracks or move on to higher education.

“We think that now, with the help that SACEOS will provide through this MoU, there is a good chance that we can encourage students to view this path as a significant avenue for them to pursue which hitherto, was not on their radar.”

Phillips India holds 1,600-pax mega event in Sri Lanka

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A GROUP of 1,600 delegates descended on Sri Lanka last month for meetings and leisure, the single largest MICE tour from India to Sri Lanka so far.

Handled by Sri Lanka’s largest DMC Walkers Tours, the 1,600-strong Phillips India group visited the island from January 16-19.

The group occupied more than 800 rooms at leading hotels in the capital and had simultaneous meetings and events per day, with special appearances by Indian cricket stars.

Vasantha Leelananda, executive vice president of John Keells Holdings, parent company of Walkers Tours, said: “With this experience we are now in a position to fully exploit the MICE potential in the Indian market and I am confident we will have many opportunities for conferences, meetings as well as large events including weddings in the future.”

Enthuse Answers, an event management agency from India, managed the group from India.

India is Sri Lanka’s largest source market and grew 16.3 per cent year-on-year to hit 242,734 arrivals, out of 1.5 million in total for 2014.

Pacto signs up for Euromic membership in drive for bigger MICE business

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LEADING Indonesian DMC Pacto has joined Euromic to make MICE a central focus of its business objectives for the next three years.

Explaining the move, Umberto Cadamuro, COO inbound of Pacto, said: “In terms of products, Pacto is strong in Indonesia. Our incentive groups and high-end incentive market have experienced strong growth last year.

“We had a buy-out of St Regis Bali last year and another buy-out of Kupu Kupu Barong Resort and Tree Spa this year, just to name a couple of events.

“We have the capacity to grow our market and we feel we have not marketed (our products and services) enough.”

Joining the non-commercial association is an efficient way of building business, he opined. “We have gone through different options to grow this segment, including the possibility of appointing overseas representatives or joining different networks, and in the end we believe joining Euromic is the best opportunity.”

Euromic has 38 DMC members worldwide with a comprehensive database that is accessible by members. Umberto remarked: “The good thing about this association is that there is only one DMC member per country, and each of us is only interested in bringing business to our countries. One partner winning an event will be an opportunity for others to grab the next time.”

The membership also allows Pacto to be part of Euromic’s participation at tradeshows and sales mission, and the DMC is collaborating with the Euromic Chicago office to reach out to the US market “now that the (international) image of Indonesia has improved”.

Developing the MICE sector will be the company’s focus in the next three years and Umberto expects business growth of 15 per cent per year.

‘Third generation’ of MICE companies in China?

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CHINA’S nascent MICE industry is coming into its own as MICE players ditch labour-intensive ways for modern tools, in what has been hailed as the birth of a “third generation” of MICE.

These comments were made at the formal launch of the China Smart MICE Group this week, with CEO David Chen expressing hope that his company will be a pioneer in a new generation of smart MICE industry players as it harnesses IT to provide holistic solutions for MICE businesses.

Chen commented that the first generation of MICE in China came about before 2002, when professional MICE companies did not exist and MICE travel was regarded as high-end travel.

But between 2002 and 2014 came the second generation that witnessed embryonic forms of MICE travel product, though the lack of service and product differentiation resulted in price wars.

However, while the absence of an effective regulatory mechanism is the main obstacle to the MICE industry today, Generation 3.0 will see a departure from labour-intensive and differential pricing-driven profit models and will incorporate the high-tech tools of today’s workplace – cloud computing, mobile technology and big data analytics – to understand consumers’ needs and provide cost-effective, legally compliant and holistic solutions.

Supported by Phoenix Travel Group and Legend Capital, China Smart will focus businesses in Beijing, Shanghai, Guangzhou, Chengdu and extend its reach to neighbouring cities to offer a range of services.

This includes MICE products, PR events, business customisation, auxiliary systems development and business network receptions.

Translated by Ong Yanchun from the original TTG China e-Daily, February 10, 2015 article

By Nadia Chung