GEG Travel, owned by GEG Europe and set up in 1988 by Chinese owners to cater to overseas Chinese travelling in Europe, is establishing a third office in China and expanding its European tour programme to include South-eastern Europe.
GEG will open in Guangzhou in September to tap outbound travellers from the province. Hong Kong-based director, Kenneth Tang, described Guangzhou as a market with “very big potential”, in particular for its mid- to high-end products and family charter tours.
GEG entered China in 1993 and operates one office each in Beijing, Hong Kong and Shanghai.
GEG, headquartered in Rotterdam, operates seat-in-coach European tours with guaranteed departures and is known for its five week-long, “hop-on, hop-off” itineraries covering different parts of Western Europe that allow travellers to join the looped tour at any designated city at a specified time and meeting point or combine different itineraries.
“Travellers just pay 68 euros (US$94) a day, which covers the coach transportation, a guide, a three-star hotel stay and breakfast. Hotels used include Holiday Inn, Holiday Inn Express, Park Inn by Radisson, Novotel, Ibis, Hampton Inn, Meliá, DoubleTree by Hilton, and Sheraton,” said Tang, who added that GEG also offered services such as transfers to and from non-designated meeting points.
GEG has partnered Obzor Putovanja Holidays, which represents Star Alliance member Croatia Airlines, in Zagreb to promote South-eastern Europe.
JAPAN National Tourism Organization (JNTO) launched its 14th overseas office in Jakarta yesterday in the hopes of creating better awareness and boosting traffic from Indonesia.
JNTO Jakarta Office executive director, Katsuhisa Ishizaki, said: “We will organise a MICE seminar in Jakarta in June, bringing in suppliers and convention bureaus from Japan to meet the trade here.
“We will also take part in travel fairs in Indonesia such as the ASTINDO Fair and Garuda Indonesia Travel Fair to reach out to consumers.”
In last week’s ASTINDO Fair, for example, JNTO invited Tokyo Disney Resort, Mitsubisi Estate Simon/Premium Outlets Japan, Gifu, Mitsui Fudosan, Waku Waku Japan, and Universal Studios Japan to participate.
The office will also work with outbound tour operators in creating brochures and has set up a Facebook page in Bahasa Indonesia.
JNTO president, Ryoichi Matsuyama, said: “Indonesia has a large population and it belongs to the G-20, (showing) good economic condition. It (holds) big potential for Japan.”
Last year, arrivals from Indonesia shot up 34.8 per cent year-on-year to 136,800. Between January and February this year, Japan saw 13,600 Indonesian visitors or a 17.2 per cent increase over the same period last year.
Asked about JNTO’s arrivals target for Indonesia from this year onwards, Matsuyama said: “We do not have the target breakdown per country, but we hope Indonesia and other ASEAN countries (Thailand, Malaysia, Singapore, the Philippines and Vietnam) will contribute significantly to achieving 20 million arrivals to Japan by 2020.”
Last year ASEAN contributed 1.1 million arrivals to Japan, an increase of 48.3 per cent from the previous year. Indonesia was Japan’s fourth largest market in South-east Asia after Thailand, Singapore and Malaysia.
“Our focus in developing (the Indonesian market) will not only be in the number but also quality of travellers. So, we are growing step by step, but with the large population we believe one day arrivals from Indonesia will be able to surpass Thailand, which is now our biggest ASEAN market,” remarked Matsuyama.
TOURISM is one of the seven priority areas for infrastructure development in Myanmar as the surge of arrivals in recent times threatens to overwhelm the country’s existing capacity.
Speaking at Myanmar Infrastructure Summit 2014 in Traders Hotel, Yangon last week, Hlaing Maw Oo, project director of Ministry of Hotels and Tourism, said: “Accessibility is the most important for the tourism sector and thus investors need to look at (putting their money there). Since the last two years, the number of international airlines flying directly to Myanmar is increasing rapidly but when we say accessibility, we also need to think about better road conditions. Our current road conditions are not favourable for tourism and infrastructure development needs to be upgraded.”
Infrastructure such as hotels, electricity, telecommunications and water supply were other areas Myanmar urgently needs to improve, he added.
“As the huge number of tourists flocking to Myanmar, we need to improve our hotels services and increase the number of hotels in our country… In terms of product development, we need to make sure attractions are easy to access and tourist-friendly,” Hlaing Maw Oo said.
Currently, three major airports are slated to undergo renovation and construction works – Yangon International Airport, Mandalay International Airport and Hanthawaddy International Airport.
In order to solve the hotel shortages in the country, the ministry aims to issue more hotel licences in different destinations, though mostly in Yangon, Mandalay, Bagan and Inle.
Figures from the ministry as of December 2013 shows that Myanmar has 923 licenced hotels and approximately 34,834 rooms throughout the country.
UPCOMING central Vietnam destination Danang is witnessing rapid growth in the number of Japanese tourists and is taking steps to make itself more attractive to this market.
Da Nang Tourism Association chairman and Furama Resort Danang general director, Huynh Tan Vinh, said: “Last year, the number of tourists from Japan arriving to the city increased by 53 per cent year-on-year to 41,000, making it the third (largest) tourist market in Da Nang.”
Danang will welcome a new Vietnam Airlines service linking Danang International Airport to Tokyo’s Narita airport this July, with the route running four times weekly.
Nguyen Xuan Binh, director of Da Nang Tourism Promotion Centre, said in a press release: “In order to promote the opening of this air route, in May, Danang city will cooperate with Vietnam Airlines to welcome fam trips and press trips from Japan. We also have plans to organise a roadshow in Japan to promote the tourism sector in Danang.”
In anticipation of more Japanese guests this year, Furama Resort Danang has recruited Japanese relations officers, and translated its website and documents into Japanese. It is also offering Japanese cuisine.
Said the resort’s executive assistant manager, Nguyen Duc Quynh: “The air route is not only good for our city’s tourism sector but also for Japanese tourists who would love to discover the Central (region’s) UNESCO World Heritage sites and enjoy our world famous beach on the same occasion.”
Danang offers easy access to three UNESCO World Heritage sites: My Son sanctuary, Hue and Hoi An.
RADISSON Blu Plaza Hotel Bangkok will open in the Sukhumvit district of Bangkok come May 1, close to the city’s major business headquarters.
The hotel offers seven F&B outlets including Attico for rustic Italian cuisine, contemporary dim sum bar China Table, B/Sharp lobby bar and B/Sweet dessert lounge for cocktails and desserts, and Vintage for wine and a panoramic view of Bangkok from the 29th floor.
Guests looking to unwind can make use of the hotel’s gym, open-air pool and spa. The hotel provides free Internet access in all rooms and In Transit by This Works as its amenity line.
On-site meeting facilities found at the hotel include a 420m2 pillarless ballroom with a pre-function area giving floor-to-ceiling views of the city, smaller meeting spaces such as The Suite that comes with a built-in show kitchen and the multi-functional space The Gallery.
Radisson Blu Plaza Hotel is the first Radisson Blu property in the Thai capital.
TIGERAIR today announced an order for 37 Airbus A320neo planes powered by Pratt & Whitney engines that will be delivered in stages between 2018 and 2025.
The A320neos will gradually replace the airline’s current A320ceos, offering better fuel efficiencies and up to S$40 million (US$31.4 million) in savings a year based on current fuel expenditure.
This model’s longer flight range will open new destinations to Tigerair’s flight network as well. Tigerair’s press statement said the total transaction is valued at US$3.8 billion according to the manufacturer’s list price, although the negotiated price was “significantly lower”.
Tigerair’s recent purchase agreement also includes the option to increase its order by up to 13 additional aircraft and convert the A320neos into the larger A321neo model.
Furthermore, the LCC is terminating its existing order of nine A320s that formed part of a bigger order dated 2007 which dictated that the nine aircraft would be delivered between 2014 and 2015.
Tigerair’s Group CEO, Koay Peng Yen, said: “We have recalibrated our strategy and taken the necessary steps to reposition Tigerair for a brighter future. This deal effectively dissipates some concerns over a potential capacity overhang in the next couple of years. It also allows us to continue building on our leadership position in budget travel at a measured pace.”
REMOTE Lands and Amanresorts have teamed up to create a private jet tour across Asia which takes in eight destinations across four Asian countries.
The 18-day sky tour, which is limited to 18 travellers each willing to pay US$49,950 for the experience, runs from October 4 to 21 and will include stays in Amanresorts in Beijing and Hangzhou in China, Thimpu and Paro in Bhutan, Rajasthan and Ranthambore in India, and Galle and Tangalle in Sri Lanka.
Pointing to the programme’s unique aspects, Tim Russell, marketing manager at the luxury travel specialist, said: “(Clients visit) four countries in 18 days…(They travel) 100 per cent by private jet, (stay) 100 per cent at Amanresorts with a special farewell dinner in each resort, and it’s limited to just 18 people. It also includes special access to off-limits areas of Beijing’s Forbidden City as well as private tours in each destination.”
While the US is the key source market for the tour, Remote Lands is also targeting potential clients in Asia-Pacific, notably Australia, Hong Kong and Singapore, and is looking to sell the product direct to customers and through agencies on a first-come-first-served basis.
*This article originally stated that the tour in question is the first private jet tour in Asia, which has found to be inaccurate. The article has been corrected for clarity.
UNDETERRED by the upcoming national elections and weak local currency, the Indonesian travel industry put up a strong showing at the Association of Air Ticketing Companies in Indonesia (ASTINDO) Fair 2014 over the weekend.
ASTINDO president Elly Hutabarat said the organising said: “The 4,000m2 (exhibition) space was sold out within 24 hours after we launched the fair to sellers last January. This year, 50 travel companies, 10 airlines and 17 NTOs overseas and Indonesia regional tourism offices, plus hotels and media participated at the show.”
The three-day show was aiming for 75,000 visitors and a total transaction of Rp82 billion (US$7.2 million), a 20 per cent increase over 2013. Some 70 per cent of the ASTINDO Fair total sales last year were outbound.
“This is a challenging target as Indonesia is facing the elections (and travellers might refrain from travelling) and although the rupiah is stronger it has not reached the level it used to be (in early 2013), but with better promotions and support from our partners, we hope to achieve it,” said Elly.
Figures from the show were still being generated at press time, but anecdotal evidence suggests that sales were positive.
Bank Central Asia’s (BCA) bank senior general manager head consumer card, Santoso, said the decline of the rupiah in the last five months of 2013 prompted some market segments to switch to cheaper destinations and pick lower categories of accommodations.
“However, we have seen that since the beginning of the year, the interest to travel has grown again. I would expect the number of travellers and spending will be up again this year and travel fairs such as ASTINDO Fair, where travellers can get special airline fares, packages and the benefits of payment in instalments, cashbacks and other promotions are sought after,” said Santoso.
BCA cardholders’ overseas spend increased from roughly 10 per cent of total spend in 2012 to 15 per cent in 2013, while for premium cardholders this rose from 30 to 50 per cent.
Singapore, Malaysia, Hong Kong were the major destinations where travellers were spending, but South Korea and Japan were becoming more popular, said Santoso.
THE impending upward adjustment of Japan’s consumption tax from the current five per cent to eight starting this April is not expected to affect Okinawa Convention Center’s (OCC) business, according to the venue’s MICE coordinator, Naomi Nakaza.
With a long history of 27 years as well as being the biggest convention space in Okinawa, OCC has its source markets from mainland Japan and overseas, especially Taiwan, Hong Kong, China and South Korea.
The centre has a discount policy that has been offering special rates to event organisers, such as 20-70 per cent less for international events with more than 10 attendees, and 10 per cent less for the rental of all OCC facilities for large-scale events.
Nakaza said the discount policy will continue albeit the implementation of the higher consumption tax in the country’s new financial year, but adjustments to the qualifying criteria can be expected, such as a minimum of 20 attendees may be required for events to enjoy the same 20-70 per cent discount.
Asked if OCC would expect business to suffer as a result, she said: “Previously, when the same tax was raised from three to five per cent – and in a short space of time – we did not lose much business.
Therefore this time, we believe we will continue to do well especially with support from our regular customers who believe in our offerings. We also expect that Japan’s economy will improve from now.”
OCC offers 10 conference rooms of varying sizes in two separate buildings, a 2,500m2 exhibition hall and a 1,709-seat theatre hall. Other supporting facilities include dressing rooms for performances and a tatami room for resting.
While maintenance and minor enhancements are regularly carried out in the premises, the centre’s most recent renovation was a massive repair work to its theatre hall following a typhoon that shattered the space’s glass wall, a spectacular stage backdrop that brings in panoramic views of the ocean.
Several of the centre’s conference spaces also boast a feature glass wall with an ocean or garden view, a unique offering that has been drawing event organisers and the wedding market from mainland Japan.
Rising tourist scams and accidents add woe to Thai travel trade
Raini Hamdi
Thailand’s image as a safe and secure destination for international visitors is being tarnished by an increase in reports of crime targeting foreign tourists and a spate of road, rail and boating accidents over the past year or so.
Travel operators said while the country has always had a poor transport safety record – it has the second highest incidence of road deaths per capita in the world – the rise in accidents involving tourists is a serious concern. More worrying is the spike in number of crimes targeting foreign visitors, which range from scams to violent robberies and even murder.
Traditionally, the travel trade prefers to stay quiet on the issue. As a senior executive at a regional DMC, speaking on condition of anonymity, said: “Most people in the industry won’t want to talk about it because everyone wants to promote an image of Thailand as a safe, secure and welcoming destination.”
That changed in November when several coach accidents involving Russian tourists happened over a couple of weeks, at least one of which was fatal. As a direct result, the Russian Union of the Travel Industry issued a letter to the director of Tourism Authority of Thailand (TAT)’s Moscow office, demanding that Thai authorities take immediate action to improve the safety of Russians visiting the kingdom or face cancellations from the association’s 5,000-plus members.
According to people familiar with the Russian market, this unprecedented warning was met by inaction from TAT (which also did not respond to questions on the matter from TTG Asia) and the Ministry of Tourism and Sports, to which the letter was addressed.
Kubilay Atac, general manager of Pegas Touristik Thailand, the main player in the local Russian market and one of the largest inbound operators in the kingdom, would not comment directly on the issue. He did say, however, that general security of his clients was a prime concern.
Russian visitors are common targets of criminals and conmen in crime hotspots such as Phuket and Pattaya. In a recent case, local media reported in late January a jet-ski rental company acting in collusion with two municipal officers had extorted 113,000 baht (US$3,473) from five Russians tourists in Pattaya for allegedly damaging the jet-skis they hired.
Kubilay said although the incident in question did not involve Pegas’ customers, it was indicative of a general trend for tourists to be ripped off by scam artists operating with seeming impunity.
“When problems happen they are communicated instantly,” he said. “If authorities do not address the issue it will have a huge effect on (Russian tourism) business in Thailand.”
Pegas has put contingencies in place to protect its clients. “We tell them to call us on a special number if they have problems,” said Kubilay. “We’ll immediately send staff to help them. We can’t make the problem go away completely, but we can normally help negotiate the ‘fine’ down from tens of thousands of baht to a couple of thousands (in the case of jet ski scams).”
Commentators put the general lack of response from police and other authorities down to corruption and complacency. But it has been shocking in some high-profile cases, such as the case of seven tourists who died after staying at The Downtown Inn in Chiang Mai in 2011. Some analysis blamed the use of pyrophus, a pesticide, in the property, which was owned by a former city mayor. To date no one has been held responsible for the deaths and the property has been demolished.
While the vast majority of tourists visit the kingdom without having any significant problems, authorities are unlikely to tackle problems that do exist unless the travel trade collaborates and applies more pressure, said Andre van der Marck, general manager, Khiri Travel Thailand.
“We should make a difference by speaking out more on the subject,” he said.
According to the UN World Health Organization’s Global Status Report on Road Safety 2013, Thailand has the second worst road safety record in the world after Niue, an island in the South Pacific. That year the kingdom had 13,365 reported fatal road traffic accidents from a global total of 1.2 million – equivalent to about 38.1 road deaths per 100,000 population.
It’s not only the roads that seem risky. There were 13 train derailments on Thailand’s northern tracks alone from January to September last year, according to Bangkok Post, and 114 accidents across the network within that period.
Pornthip Hirunkate, a vice president at the Tourism Council of Thailand, said all stakeholders, especially the authorities, have a responsibility to help improve the situation. “It is imperative that Thai authorities enforce all the relevant terms and conditions pertaining to the licensed operators,” she said. “We would like to see frequent checks in order that everyone operates within the conditions set out by the licence/permits – which in turn ensures security and safety for all concerned.”
