TTG Asia
Asia/Singapore Tuesday, 7th April 2026
Page 1361

Thai trade presses for relief steps to tackle declining Chinese arrivals

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Chinese tourists to Thailand are on a decline

Thailand needs aggressive remedial measures to woo the Chinese market back, with expectations that the decline in Chinese arrivals would persist into the first quarter of 2019 causing serious worry among travel agents in the country.

The destination recently sustained a series of setbacks to its core feeder, including the July boat accident off Phuket that killed 47 Chinese tourists, a dengue fever outbreak among Chinese travellers and a Chinese traveller hurt by an airport security guard.

Chinese tourists to Thailand are on a decline; Chinese tourist taking a selfie at Wat Phra Kaew in Bangkok

The Ministry of Tourism and Sports reported that arrivals from China started to drop in July with a total of 929,771 (-0.9 per cent year-on-year). Arrivals continued to decline, down 12 per cent year-on-year to 867,461 visitors in August, and down 15 per cent year-on-year to 647,664 visitors year-on-year in September.

The Association of Thai Travel Agents (ATTA) expects that the number of Chinese visitors to Thailand in the rest of this year will fall by 15 per cent per month unless the government rolls out aggressive promotions to counter the decline.

“We are now very worried about tourism in the first quarter of 2019. If we do not have any aggressive promotion to woo back Chinese travellers, the situation will extend into the first quarter of 2019. We will lose huge business opportunities to rivals,” said ATTA president Wichit Prakobkosol.

Wichit does not think Thailand will achieve its target to welcome 10 million Chinese travellers next year amid high competition.

This would also affect the overall tourism target of 2019 because the Chinese market accounted for one-third of Thailand’s total inbound tourism market, he said.

ATTA and members believed that the government acknowledges the situation, pointing to the upcoming visa-on-arrival fee exemption (worth 2,000 baht or US$61) as a demonstration of its commitment to woo back travellers, he added.

Deputy prime minister Somkid Jatusripitak plans to extend the visa-on-arrival fee exemption to travellers from 21 countries. The exemption is scheduled to start on November 15, 2018 and last until January 15, 2019.

According to Tourism Authority of Thailand (TAT) governor Yuthasak Supasorn, the waiver will help to woo Chinese travellers back and enable the country to achieve its previous target of 11 to 12 million Chinese tourists this year.

Yuthasak added that TAT allocated a budget of 50 million baht to marketing campaigns. It would include subsidies for charter flights from second-tier provinces of China to Thailand and promotions with travel agents.

AAPA lobbies for pressing aviation issues to be addressed

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Andrew Herdman speaking at the AAPA 62nd Assembly of Presidents

The Association of Asia Pacific Airlines (AAPA) has issued five resolutions in hopes of committing governments and other stakeholders to resolve regulatory issues concerning aviation safety, environment, infrastructure, passenger rights and wildlife trafficking.

Speaking at AAPA 62nd Assembly of Presidents in Jeju last week, director general Andrew Herdman explained: “Asia-Pacific carriers lead the development of the global air transport industry, but the long-term profitability and sustainability of the industry risks being undermined by inappropriate government legislation and short-term policy thinking.”

Andrew Herdman speaking at the AAPA 62nd Assembly of Presidents

To further enhance aviation safety, the first resolution asks governments and the industry to form regional and national safety teams within a ‘just culture’ framework outlined in ICAO’s Annex 19’s recommended practices for safety management.

The second resolution calls for the effective implementation of ICAO’s CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation). Reached in 2016, the CORSIA agreement is approaching a critical stage in implementation with carriers required to report full emissions starting January next year, Herdman noted.

While the industry shows full commitment to CORSIA, the association is “concerned that some governments are imposing variations or additional requirements, which could undermine the integrity and environmental effectiveness of the scheme”.

As more airport infrastructure are necessary for the growing passenger traffic and airline fleet, AAPA said “the capital-intensive nature of infrastructure investments raises important questions about planning and financing, and the necessity for appropriate regulatory oversight by government”.

The association is “concerned about the effect on user charges, and arguing for a more coherent debate on how such infrastructure is best funded and regulated in the future”.

It also asks government to ensure that consumer protection regulations “are designed from the outset to be non-prescriptive, practical, and cost-effective”, after identifying new challenges in the area of passenger rights where it says many governments have introduced aviation-specific consumer protection regimes that are often uncoordinated and sometimes inconsistent with existing international treaties.

“These results in confusion for consumers and operational difficulties for airlines particularly in instances of mass disruption due to extreme weather conditions or natural disasters, where the focus should be on wider service recovery efforts,” AAPA pointed out.

It added that “during periods of mass disruption, focus should be on wider recovery efforts to restore services to the travelling public” and governments and stakeholders jointly develop appropriate contingency plans for system recovery following major disruptions.

Likewise, AAPA is appealing for investments in education and training of future aviation professionals, as well as for the promotion of best practices in human resource development including further diversification of the workforce and gender equality.

ICAO forecast the need for 620,000 pilots, 1.3 million aircraft maintenance personnel and 125,000 air traffic controllers over the next 20 years.

Lastly, the association is lobbying governments and law enforcement agencies to commit more resources to combat illegal wildlife trafficking and to help raise the public’s awareness and monitoring efforts.

Oyo Hotels enters Indonesia with US$100m in investment war chest

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Oyo Hotels is planning to invest US$100 million in Indonesia and expand its presence to over 35 cities by 2019.

The India-based budget chain will start operations with 30 properties operated under leasing or franchise agreements in Jakarta, Surabaya and Palembang.

Oyo expands its brand into Indonesia; Oyo Rooms Thane Station, Mumbai pictured

It will also introduce its tech-based solutions for both guests and asset owners while generating job opportunities for locals in various fields including housekeeping, front office, F&B, general management, civil engineering and more.

Commenting on the developments, Ritesh Agarwal, founder and CEO, Oyo, said: “We’ve been at the forefront of the small and budget hotels revolution in India, China, Malaysia and Nepal, and have recently forayed into the UK and the UAE. Indonesia is one of the top choices for both global and Indian travellers, and with our market learnings and expertise we are ready to tap this opportunity.

“We intend to invest over US$100 million in this high growth market and plan to expand to the top 35 cities in Indonesia, including Yogyakarta, Bandung and Bali, over the next 15 months.”

These properties will be operated under models of manachise, lease with full inventory control, similar to other markets like India and China.

Rishabh Gupta, country head, Oyo Hotels, Indonesia, added: “Indonesia is an attractive market with sizeable Internet and mobile presence, which complements our approach. We’ve received an overwhelming response to Oyo Hotels offerings in the country since our soft launch and look forward to hosting more guests in the coming years.”

Ibu Lidya, asset owner of Oyo Sarkawi Residence, Indonesia, manchised her asset with Oyo Hotels four months back when it was “struggling with 28 per cent occupancy”, and has since seen the number rise to 92 per cent.

She shared that there are plans to buy a new asset for Oyo Hotels.

The Oyo chain is currently present in over 350 cities with over 12,000 asset owners spread across six countries including India, China, Malaysia, Nepal, the UK, the UAE and now Indonesia.

Touted the fastest growing accommodation chain in the world, Oyo Hotels has pioneered the world’s first full stack technology led hospitality model and has over 270,000 franchised and leased rooms as a part of the chain. Oyo Hotels host more than 125,000 stayed room nights on a single day.

Maya Beach closed, but Phi Phi Leh still open to tourists

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Maya Bay

With news of the indefinite closure of Maya Beach widely reported around the world, the Tourism Authority of Thailand (TAT) has issued a statement to clarify that Phi Phi Leh island – where the world-famous bay is located – remains open to visitors.

Maya Beach itself is off limits, but visitors can still enjoy the views of Maya Bay – now sans people – from a boat. They can also enjoy snorkelling in the front of the bay. Diving and snorkelling trips around Mu Ko Phi Phi are also running as usual.

Maya Beach is closed, but the island and its surrounds like Maya Bay (pictured) are still open.

The Nopparat Thara Beach-Phi Phi Islands National Park has reported sightings of blacktip reef sharks swimming in Maya Bay last week, which it said was as a good sign of the improving biological system since Maya Bay was closed to visitors four months ago.

Yuthasak Supasorn, TAT governor, said: “For many years, the local community at Mu Ko Phi Phi has been undergoing a regular beach and underwater clean-up aimed at helping to preserve the marine ecosystem as well as the coral reef system, which are the reasons why tourists and divers return to the area year after year.”

“TAT is ready to support all stakeholders to work together to achieve common goals towards socially and environmentally sustainable tourism,” he added.

An expanding Centara hires Andrew Langston as business development SVP

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Centara Hotels & Resorts has appointed hospitality veteran Andrew Langston as senior vice president, business development, to help execute its five-year expansion plan.

The British national, who has over 34 years’ experience in hospitality management and development, will report to deputy CEO Markland Blaiklock.

Langston was most recently executive vice president, strategic advisory & asset management, at Jones Lang LaSalle Hotels & Hospitality Group, working throughout Asia from the company’s Thailand base.

He has also held senior management positions with major hotel groups such as Banyan Tree and Intercontinental Hotels group.

Earlier in his career, he served the British royal family as a footman at Buckingham Palace, a role which included looking after the Queen of England, Diana the Princess of Wales and Prince William, among others.

Passengers receive CEO service on board Garuda flight

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Last Sunday, passengers onboard Garuda Indonesia’s flight GA421 between Denpasar and Jakarta were surprised to find airline’s president and CEO Ari Ashkara among the cabin crew.

Ari welcomed passengers at the flight door and served them food and drink, while Garuda’s executive vice president of operations, captain Bambang Adisurya Angkasa was the flight’s chief pilot.

Ari and his management team were “on duty” as part of the CEO on Board programme to gain insight into what passengers want from the flight experience as a way of further refining customer service. This would also go towards demonstrating the importance of passenger feedback.

On the occasion, Ari talked to the passengers and listened to their input on services and expectations from the managements going forward.

Ari said: “Customers’ characteristics are getting more varied, and the standard of service satisfaction is also increasing. Therefore, we expect that a more direct approach to customer service can support our ongoing efforts to improve loyalty (to Garuda).”

In the airline’s first time running the CEO on Board programme, the Sunday evening Denpasar service was chosen as it was the busiest domestic route with more than 300 passengers.

Langkawi opens fourth geopark trail

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A boat ride during the Bio

Langkawi has launched its fourth geopark trail, BioGeoTrail Kubang Badak, taking visitors on a gentle three-hour tour of the Malaysian island’s biodiversity.

Langkawi Development Authority and Langkawi Research Center spent more than a year developing the bio-geo trail in the north of the island, which includes geographical, biological and cultural elements.

A boat ride is part of the BioGeoTrail Kubang Badak

The trail incorporates 13 spots of interest, varying from taking a boat through pristine mangroves, exploring an ancient cave that is home to the largest number of bats on the island, hiking through dense forest to discover the diversity of wildlife and standing on the summit where the first Thai communities settled after migrating to Langkawi about 200 years ago.

Ibrahim Komoo, managing director of GeoSight, which helped lay the trail, said the aim is to showcase more of Langkawi’s natural beauty while alleviating the increasing burden of tourists from the existing three trails.

The trail starts at Jeti Kubang Badak, with an information booklet provided for visitors to navigate themselves.

Lombok’s recovery makes headway as government, trade pledge strong support

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Officials say the majority of hotels were not damaged in the earthquakes

Hit by two devastating earthquakes in July and August this year, Indonesia’s Lombok is determined to rebuild traveller and trade buyer interest, including a strong representation at ITB Asia 2018 last week to achieve this goal.

More than 10 destination stakeholders attended the show to put forth a united front in convincing trade buyers that most parts of Lombok are unaffected and safe for travel.

Most hotels are operating as usual after the earthquakes

Lalu Abdul Hadi Faisal, deputy chairperson of West Nusa Tenggara Tourism Promotion Board and chairman of Indonesia Hotel and Restaurant Association West Nusa Tenggara Chapter, said most hotels in Lombok are operating as usual, with only some closed for renovations.

Lalu added that 80 per cent of hotels and homestays in the popular Gili Trawangan, Gili Air and Gili Meno areas are gradually recovering, while the rest are unaffected by the disaster.

He detailed a two-pronged recovery plan: phase one, running from September to December, focuses on rebuilding market confidence in Lombok; phase two, from January to December 2019, emphasises on selling activities.

He said: “In September we invited travel agents from (Indonesia) for fam trips, and this month we will have agents from South-east Asia, Australia and the Middle East to come and see for themselves the conditions in Lombok.”

Masruroh Arifin Nurdin, director for marketing development-Singapore, Thailand and Indochina with the Indonesia Ministry of Tourism, said Lombok’s presence at ITB Asia 2018 was part of a larger destination recovery effort.
The national government is committed to bringing Lombok back on its feet, with support programmes and a recovery budget valued at Rp20 billion (US$1.3 million).

Indonesia’s minister of tourism, Arief Yahya, who formed a post-quake working team, said the authorities have a strategy to promote the unaffected parts of Lombok and to aid recovery in affected areas.

In addition to a presence at ITB Asia 2018, the tourism ministry is taking a sales mission to Singapore on October 26, and to Thailand on November 4.

While serious recovery efforts are in place, Masruroh is quick to point out that they were not due to dented tourist arrival numbers. She explained that the government regards Mandalika resort area in Lombok as a priority destination, and is determined to build the collective region of Lombok up as one of the leading tourist lures of Indonesia.

Indeed, ITB Asia buyers told TTG Asia that they are still eager to sell Lombok.

Although SH Oei, director of Asfalea, the Netherlands, is “skipping Lombok for now and recommending clients to visit Bali or Flores and Komodo instead”, he hopes to visit the destination by early 2019 to assess the ground situation.

Shwee Zin Htet, business development associate of Spreetrip in Singapore, said: “We have been sending travellers to Bali and are looking for a new destination. We are interested in Lombok as the next destination to offer.”

Shwee is looking forward to seeing more attractive packages in the marketplace as Lombok’s promotion resumes, as she feels Bali is becoming more expensive.

– Additional reporting by Mimi Hudoyo and Xinyi Liang-Pholsena

BeMyGuest launches booking system targeted at Asia’s travel operators

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XXX

BeMyGuest has launched Xplore, a booking system and channel manager software, specifically tailored to the needs of Asian attractions, tours and activity operators.

Xplore is available in multiple Asian languages that enables operators to capture online transactions, collect payments in multiple Asian currencies and run promotional campaigns. It also has a module that lets suppliers deliver electronic tickets to B2B customers, in bulk to traditional travel agents, and via a booking and content API to the operator’s OTA partners.

BeMyGuest launches Xplore for Asia’s travel suppliers

Despite the “massive shift” seen in the attractions, tours and activities space, the Asia market remains “fragmented” and “largely offline”, said Clement Wong, CEO and founder of BeMyGuest, who saw it “as a matter of urgency” to bridge the technology gap for experiences suppliers.

“With flights, hotels and car hire being sold on an instant confirmation basis for years, today’s online travel shoppers expect travel experiences to be sold similarly. Attractions, tours and activity products that are not readily available for booking in real-time and on a same-day basis are missing out on the fastest growing customer audience. This is especially so in Asia where mobile booking and payment behaviour prevails,” said Blanca Menchaca, COO and co-founder of BeMyGuest.

She added: “Our objective has been to help suppliers – who have neglected technological solutions for a very long time – sell products and grow their business online.”

Xplore, for example, would now enable a hot air balloon operator in Myanmar to collect vital information such as weight during the booking, instead of collecting the customers to collect this information, Menchaca explained.

“The system digitises such complex check-out options as well as capacity and time-slots, immediately transforming products previously unavailable to be instantly booked,” she commented.

Xplore also connects with BeMyGuest’s distribution network which currently consists of over 50 API connections with travel sites in Asia such as Traveloka in Indonesia, Ctrip in China, Naver in Korea, in addition to 500 traditional travel agencies accessing BeMyGuest Agents Marketplace.

IHG relaunches Regent as it seals deal to open brand in KL

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Steven Hsu, Legal Counsel Steven Pan, Executive Chairman, Farmosa International Hotels Corporation Tan Sri Dato’ Koo Yuen Kim, Director of Multibay Development Sdn. Bhd Kenneth Macpherson, CEO, IHG - Europe Middle East Asia & Africa (EMEAA) Keith Barr, CEO, IHG Justin Channe, Managing Director, Regent Hotels & Resorts

Following the acquisition of a majority stake in Regent Hotels & Resorts in March and appointment of Justin Channe as managing director in May, the InterContinental Hotels Group (IHG) has relaunched the iconic luxury brand alongside the signing of Regent Kuala Lumpur.

Speaking at HICAP in Hong Kong last week, Channe said: “Our current growth is predominantly observed in Asia but there is interest from Europe. My priority is to bring the existing Regent portfolio and all our embedded hallmarks, service behaviour and brand promise into these hotels. Then, we’ll look how to work with owners on bringing these hotels up to the design standard of Regent, while at the same time prepare to close the Hong Kong property for full renovation and reopen it as a flagship hotel in 2021.”

From left: Legal counsel Steven Hsu; Farmosa International Hotels’ Steven Pan; Multibay Development’s Koo Yuen Kim; IHG’s Kenneth Macpherson and Keith Barr; and Regent Hotels & Resorts’ Justin Channe

The company last week announced its signing with Multibay Development to build a Regent hotel in Malaysia. Slated to open in 2022, the 250-key Regent Kuala Lumpur will be located next to Tun Razak Exchange, a 28ha mixed-use development.

“In addition to Kuala Lumpur, you will see Regent in Phu Quoc and Jakarta to be rolled out 1Q2020. Both properties are new buildings,” Channe revealed.

Positioned in the top end of IHG’s brand portfolio, alongside Kimpton, Regent is expected to grow from the existing six properties to 40 in gateway cities with strong luxury demand, he added.

“As a heritage brand, it’d be branded out in a management contract model so our partners need to understand luxury. It’s vital for us to capitalise on the brand by bringing in new design and a bit of innovation. We work closely with owners so they are aligned with our concepts when bringing the brand alive.”

Tom Rowntree, IHG’s vice president global luxury brands, pointed out three key factors driving the segment’s growth. He said: “Firstly, it is the continuous growth in traditional luxury markets like Europe and North America where we see consistent drivers of luxury travel such as the multi-generation family. Then, it is the incredible growth of Chinese travellers both domestically, intra-regionally and internationally. Thirdly, the rise in millennial customers today accounts for just over 45 per cent of all luxury consumption.

“Over the last few months since the deal closed, we did a lot of consumer research throughout the world as well as specific key markets working with taste makers and looking for interesting insights. For example, we spoke with design directors to see how technology come together. We dug deeply into the heritage and history of the Regent brand which was founded in 1971. At that time it created a new style of luxury and focused on very best Asian service and hospitality together with western design and innovation,” Rowntree shared.

IHG’s CEO for Greater China, Jolyon Bulley expects Regent’s strong heritage to attract interest from partners with an Asian base.

“Certainly there is interest from South-east Asia, Chinese owners as well as a lot of outbound capital flow to Europe and the US. We even have interest coming from the Middle East where Regent doesn’t have a history,” he commented.

“We are being very selective on how we grow, in micro-locations or key gateways. We also have interest from InterContinental hotel owners who would like to go for Regent but that would involve selective conversations in respect to micro-location and capacity of the hotel to manage it. There would be a selected few, probably in the range of three to four, but no plan at this time for further conversions.”