TTG Asia
Asia/Singapore Monday, 30th March 2026
Page 2220

Room for economy, midscale brands in Cambodia hotel market: JLL

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THE limited representation of international hotel brands in Phnom Penh and Siem Reap provides a significant opportunity for hotel operators looking to expand in South-east Asia, according to JLL’s Cambodia Hotel Market Update for July 2014.

The hotel supply pipeline for Cambodia includes four hotels with 1,705 rooms to come online by end-2015. Most properties to debut in future are located within the upscale and luxury segments, leaving ample room in the branded economy to midscale segment.

Cambodian capital Phnom Penh is witnessing strong year-on-year growth in terms of arrivals, boasting 16.7 per cent growth in 2013 or 0.8 million visitors. Year-to-date statistics for April 2014 have shown a 10.9 per cent increase over the same period in 2013.

However, the city only has three international brands delivering 745 rooms, while the midscale/economy segment is populated by unbranded boutique and independent hotels that offer between 20 and 40 rooms on average.

Growth in ADR for the luxury segment slowed by four per cent to US$138 in 2013 due to political tensions, as did hotel occupancies that tumbled 35 per cent last year. Similarly, RevPAR fell 15 per cent in 2013.

However, JLL anticipates that occupancy will bounce back in 2014 as demand for accommodation grows with a modest increase in ADR soon because of a strong supply pipeline.

More visitors from China, planned infrastructure improvement initiatives and promotion of the Phnom Penh-Siem Reap circuit will also boost demand for hotels in Phnom Penh in future.

Meanwhile, Siem Reap is the country’s top international tourist destination. It welcomed 1.2 million visitors in 2014, a 17.5 per cent increase over 2012 while year-to-date figures for April 2014 have posted growth of 15.4 per cent over the same period in 2013.

The city has 188 hotels, 205 guesthouses and 19 resorts but only a handful of international brands, namely Sofitel, Le Méridien, Raffles, Anantara, La Residence (Orient Express), Park Hyatt, Amansara and Best Western.

Occupancies have hovered around 60 per cent from 2011 to 2014, while the luxury segment has seen a seven per cent increase to US$150 in ADR during the same period. JLL predicts growth in overall hotel performance due to the increase in the number of tourist arrivals outpacing additions to hotel inventory.

Cambodia’s top three source markets last year were Vietnam, China and South Korea.

Singapore’s Victoria Theatre and Concert Hall reopens today

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VICTORIA Theatre and Concert Hall, the grand dame of Singapore’s performing arts scene, will open its doors tonight to host its first concert following a S$158 million (US$127.1 million) refurbishment.

Opening ahead of the Singapore International Festival of Arts in August for which it will host number of events, the building’s external walls were restored without alteration to its original design though theatre walls were reinterpreted and built from scratch.

Victoria Concert Hall, which was first launched in 1862, now offers new public spaces, changing rooms, a loading bay and a central atrium as an additional area for activities, according to a report on Today Online.

However the venue has also had to give up seating capacity to accommodate the new facilities. It now seats about 600 pax from 900 before, and, in order not to compromise acoustics, the concert hall’s balcony has been made smaller and higher.

The Singapore Symphony Orchestra will stage its homecoming performance tonight at the Victoria Concert Hall, the first performers to take the stage at the refurbished venue.

It will also be holding an open house event this weekend, offering guided tours and performances for the public.

Glh eschews ‘dinosaur’ four-star product with limited service Every

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LONDON-BASED hotel group Glh has unveiled a new brand of four-star hotels that does away with extra, unnecessary amenities.

Glh, a subsidiary of Singapore-listed GuocoLeisure Group, will open the first Every brand hotel, Every Piccadilly, in November. It will be followed by openings in Hyde Park, Leicester Square and Bloomsbury.

Mike DeNoma, chief executive of Glh, said: “The four-star full-feature hotel product is a dinosaur for many cities around the world. We estimate half of all four-star hotels outside gateway cities have too many restaurants and barely used meeting facilities.

“The four-star sector continues to bury its long neck in the sand, in the face of changing customer needs. Every is our direct response to owners and developers burdened with legacy buildings, who are keen for a new four-star option that responds to the changing market”.

The Every brand was conceptualised through research, which showed four-star hotels beyond gateway cities had meeting and event spaces running at occupancies as low as 30 per cent even while room occupancies were double that.

Every therefore focuses on a four-star bedroom product to maximise yield to owners of new-builds and potential conversion properties. Like all other Glh property, Every hotels will come with fast and free Wi-Fi for guests throughout the hotel.

Ian Gamse, director at Otus & Co, specialist hospitality finance and strategy advisors, said: “The big old four-star hotels were designed to meet a demand that scarcely exists outside gateways cities. However much customers say that they like hotels with lots of restaurants, ballrooms, meeting spaces, spas, swimming pools and whatever – they hardly use those facilities. It’s so much wasted space. Property owners know this and are exasperated.

“So there’s clearly room for a brand that offers bedrooms with the same upmarket comfort and quality, but without needing the excessive investment and overheads that accompany extensive non-rooms facilities. It’s good for the customer, the hotel owner and the brand identity. And that’s the gap that we see Every filling.”

Asian travellers most influenced by social media for beach holidays

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SOCIAL media plays a crucial role in determining where Asian travellers go for a dose of sun and sand – more so than their Western counterparts – according to Expedia’s 2014 Flip Flop Report, which also reveals that users in this region are more active in sharing photos/videos while on vacation.

The report found that 60 per cent of Asian respondents felt social media platforms were ‘very/somewhat influential’ when choosing a beach holiday destination, compared to 39 per cent and 24 per cent for their North American and European counterparts respectively.

Other influencing factors include last-minute packages. Thais (67 per cent), South Korean (65 per cent) and Japanese (64 per cent) were most likely to be influenced by bargain deals.

Vikram Malhi, general manager for Expedia in Asia, commented: “Asian travellers are not just booking their travel on their devices, they are also sharing their travel experiences and researching on mobile more readily than their Western counterparts.”

“Mobile is a huge area of investment for Expedia, and the findings reinforce our aim to offer travellers a complete experience, from pre-booking to post-vacation, across devices.”

Expedia’s Flip Flop Report also documents how the devices are used on beach holidays.

Internationally, Indian travellers posted the most photos/videos while on vacation with 50 snaps per week, followed by Singaporeans with 37 and Americans with 35.

Furthermore, Asian travellers post photos for ‘nefarious’ reasons – to make their friends envious.

Overall respondents said they posted pictures to share their vacation experiences with friends (58 per cent), inspire friends with beautiful images (53 per cent), while only 18 per cent intended to make their friends jealous.

On the Asian side, an average of 29 per cent of respondents were baiting the green-eyed monster, with Hong Kong users being the most guilty (39 per cent), followed by Thailand (36 per cent).

Asian travellers were also fond of selfies. Some 53 per cent of Thai beachgoers, 40 per cent of respondents from India, 38 per cent of South Koreans and 35 per cent of Singaporeans said they would share selfies.

In contrast, the global average of respondents who said they would post selfies stands at 30 per cent.

The survey was conducted online from March 11 to April 2, and examines the behaviour and attitudes towards beach vacations among 11,165 respondents across 24 countries throughout the Asia-Pacific, North America and South America.

Look out for TTG Asia’s 08.08 issue

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TTG Asia’s 40th anniversary special edition will be released on August 8, inviting readers to journey through 40 years of Asian travel and tourism via a bumper 72-page publication packed with content that looks not only at the industry’s rich history and tradition, but also what lies ahead for it.

Highlights include incisive views from a string of industry leaders on a range of topics spanning the world of travel. Among them, Adam Goldstein, president and COO of Royal Caribbean Cruises, shares his thoughts on the shape of future cruise ships, while Brett Tollman, CEO of The Travel Corporation, discusses the future of traditional distribution.

Find out also what Starwood Hotels & Resorts’ president and CEO, Frits van Paasschen, thinks about the future of hotel management, or what the greatest integrated resort innovation has been in the eyes of Ho Kwon Ping, Banyan Tree Holdings’ chairman.

Read too the ‘Game changer’ sections where TTG Asia’s regional network of reporters has curated the products, airlines and airports that changed the travel game for destinations in Asia.

Another special section is ‘Under 40’ featuring the rising stars of the industry, many of them sons and daughters of entrepreneurs in the trade who are carrying the torch and brimming with new ideas on how travel should be sold and delivered.

The 40tude special edition is conceptualised by past and present TTG Asia editors, senior editor Raini Hamdi and deputy group editor Gracia Chiang, with the aim of saluting the industry’s development over the decades and celebrating its present and future leaders.

Airlines respond to growing business class demand on Indian routes

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INTERNATIONAL airlines are adding more business class seats on flights to India to meet the summer surge in demand.

Emirates will deploy Airbus A380 aircraft this August on Indian routes where the aircraft has not already been introduced, raising the number of business class seats from 52 to 76.

In June, Lufthansa started using Boeing 747-800 aircraft on the Mumbai-Frankfurt sector for 80 business class seats instead of 66; in May, Singapore Airlines (SIA) also began operating flights to Mumbai and New Delhi with the A380 (TTG Asia e-Daily, April 7, 2014).

David Lau, general manager India, SIA, noted that flights could be “a little full”, especially on weekends, even though SIA now offers 60 seats instead of 38. The carrier will configure its upper deck for all business class seating in future.

Aneel Guptaa, managing director, Anjali Tours Mumbai, said: “Business travel to Dubai has picked up by at least 20 per cent in the last few months…The increase in business class seats was essential as corporate clients demand confirmed seats on business class all the way through.”

Meanwhile Sanjeev Mehra, managing director, Aaryan Leisure & Holidays Kolkata, is witnessing a 15 to 20 per cent rise in demand for business travel but said Etihad Airways’ new routes to Kolkata would ensure sufficient capacity.

Singapore identifies first marine park

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VISITORS to Singapore can soon expect a new attraction in the form of a marine park in southern Sisters’ Islands.

In a speech at the launch of the Festival of Biodiversity 2014 on Saturday, minister of state for national development, Desmond Lee, revealed that the new park will span about 40ha, around Sisters’ Islands and along the western reefs of St John’s Island and Pulau Tekukor.

The National Parks Board (NParks) is working with marine nature groups on guided intertidal walks and dive trips featuring a variety of coral, fish and other marine life.

For a start, from next month, guided walks will be organised at Big Sister’s Island, one of two Sisters’ Islands.

NParks will also put in place basic facilities for outreach and education activities on St John’s island, such as storyboards and classrooms for conducting workshops, talks and camps.

Lee also revealed that nurseries will be established to conserve marine organisms such as giant clams and corals and reintroduce them into Singapore’s waters.

The park will be used, too, for research on tropical marine ecosystems to further NParks’ understanding on marine environment conservation.

The Straits Times quoted National Biodiversity Centre director Lena Chan as saying that there are plans for downloadable trail guides, explanatory signs and live streaming of the islands’ wildlife.

The centre’s coastal and marine deputy director, Karenne Tun, was also quoted as saying that NParks will be doing a feasibility study to fully map the islands, take a census of reef life and work out how many visitors can be allowed without harming wildlife.

Fresh escalation of violence in Sabah

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IN THE fourth incident of its kind since April, Sabah waters last Saturday saw another kidnap case that resulted in the death of a policeman and another abducted.

The Star/Asia News Network and Agence France-Presse reported that the shootout on top diving hotspot Mabul island, at about 23.00, involved six to eight masked gunmen believed to be from the Philippines’ Sulu islands.

The men are thought to have rowed into the area, climbed up the jetty of Mabul Water Bungalows Resort, and shot randomly at the restaurant, reception office and jetty office.

Home minister Ahmad Zahid Hamidi told news agency Bernama the ambush was motivated by revenge and anger at the tightened control of Sabah waters by the Eastern Sabah Security Command (TTG Asia e-Daily, June 10, 2014).

The Malaysian security forces are hunting for the gunmen in the area.

Philippines unveils ‘power branding’ strategy

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THE Philippine Department of Tourism (DoT) has rolled out the next phase of the It’s More Fun in the Philippines campaign, with new print and TV ads to strengthen awareness of key destinations.

Last weekend, DoT unveiled three new commercials for Davao, Manila and Cebu, adding to the Boracay commercial launched earlier this year, tagging the destination as Asia’s 24/7 island.

Manila is branded The Capital of Fun; Cebu, World Class Diving Sites and Sounds; and Davao, Explore. Relax. Repeat, highlighting adventure, nature and relaxation.

Chicoy Enerio III, Philippines Tourism Promotions Board COO, said: “It’s what we call power branding – for different destinations that are already strong in the marketplace.

“The next batch of destinations to be promoted are either part of the APEC Summit venues for next year, like Iloilo, or up and coming destinations like Legazpi and the Albay region.”

The media campaign is scheduled to run until December for both travel trade and consumer promotions, including roadshows, missions and fairs.

DoT assistant secretary for market development, Benito Benzoin Jr revealed the rollout has been done very gradually and in secret, and the travel trade would soon be “let in” on the strategy, “because the competition has been watching us very closely”.

On the overall campaign so far, Marjorie Aquino, inbound sales and marketing manager, Blue Horizon Travel and Tours, said: “It did create a buzz, but it wasn’t that strong and we can push it some more.

“Other markets are not yet that knowledgeable about what we have to offer, and which destinations. We have to educate them one by one.”

Air France begins daily Jakarta service via Singapore

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AIR France last week launched a daily service between Paris-Charles de Gaulle and Jakarta via Singapore.

Deploying a Boeing 777-300, with 303 seats in four classes, the service is operated at night for both outbound and inbound flights, and adds to KLM’s daily service from Amsterdam-Schiphol via Kuala Lumpur to Jakarta.

Patrick Roux, executive vice president Asia-Pacific, Air France-KLM, said: “In total, the two airlines offer 14 weekly flights between Europe and Jakarta, thus responding to Indonesian and European customers’ demand.”

Longhaul travellers can make a connection on KLM’s daily Singapore-Bali flight, while travellers from Singapore can travel on Air France between Singapore and Jakarta.

The daily service will make it convenient for business travellers in particular, while also serving the market for short trips between Singapore and Jakarta, Bali or Surabaya, he added.

Roux also revealed that from end-September, Singapore and Jakarta would be the first destinations to welcome the airline’s new luxury La Première suite.

Following the launch, Air France and Garuda Indonesia have signed a codeshare agreement for flights between Singapore-Surabaya and Amsterdam-Nantes.

Between June 17 and August 30, Air France passengers can also enjoy additional frequencies to Singapore. For the 2014 summer season, the airline is adding three services between Paris-Charles de Gaulle and Singapore, using Boeing 777-200, offering a total of 10 weekly flights.

Air France-KLM now offers eight destinations in the region with more than 90 departures weekly from Amsterdam-Schiphol and Paris-Charles de Gaulle. Some of the flights are operated by Malaysia Airlines, Vietnam Airlines and China Airlines.