Boutique hotels that use SiteMinder, such as Arrive Hotel, Palm Springs (pictured), can now be listed on Airbnb
Airbnb has entered into a new partnership with cloud-based distribution platform SiteMinder to allow hotels and accommodation providers to list on the site through their existing property management systems.
This partnership is expected to enhance Airbnb’s support for traditional hospitality businesses such as boutique hotels and bed and breakfasts, which could be listed on the site independently in the past but not through third-party distribution service.
Boutique hotels that use SiteMinder, such as Arrive Hotel, Palm Springs (pictured), can now be listed on Airbnb
Under the partnership, businesses that use SiteMinder and meet Airbnb’s hospitality standards will be able to list rooms on the platform.
“Small hotels and B&Bs have long used Airbnb and now we’re building new tools and partnerships to help these local businesses thrive,” said Cameron Houser, Airbnb’s program manager for hotels.
SiteMinder’s more than 28,000 clients include leading boutique hotels, hotel ownership groups, and many other hospitality providers globally.
The period after the December-January break is when people start dreaming about their next holiday, says MyTravelResearch.com, providing an opportunity for travel marketers to inspire dreamers into making bookings.
“Many tourism businesses don’t enjoy marketing,” says Carolyn Childs, co-founder and strategist for the company. “They prefer to focus on delivering the experience. But to the potential customer, the first touch point is part of the experience. If a travel brand is not there at the dreaming stage, they will likely miss out altogether.”
Targeting dreamers with the right content
MyTravelResearch.com defines the “path to purchase” as dreaming, planning, booking, anticipating, en route, at destination, and post-holiday sharing. It’s not often as linear as that, but travel destinations need to make their presence felt at each step.
At the dreaming stage, Childs says the more emotional and engaging content is, the more it will prove “sticky” and get travellers to move from dreaming to planning and booking.”
Childs shows that ideas and actions on the path to purchase can loop back. For example, there are three ways people enjoy a holiday: anticipating, experiencing and remembering. The remembering part drives future behaviour (such as return visits) or inspires dreaming about travel among friends and colleagues.
With the early dreaming stage marketing visuals critical, the company says travel promotion needs to evoke a positive emotion. Research shows that enticing colour in marketing images often acts as a trigger to book. Citing research by Xerox, MyTravelResearch.com shared that coloured visuals increase a person’s willingness to read content by 80 per cent. Colour boosts recall by 82 per cent.
The link between videos and dreaming is clear, MyTravelResearch.comsays. A Google/ICT Ipsos study shows that 51 per cent of leisure travellers are inspired by online travel videos, 69 per cent of business travellers and 55 per cent of affluent travellers.
The company further stresses that the time frame between dreaming and booking varies. For major trips it can be months. For short breaks the dreaming to booking phase may take place the same day. Sometimes a booking can be triggered by a hot deal, but the person has to have been dreaming about the destination to some extent beforehand.
More ATRs for regional expansion; Bangkok Airways' Anawat Leelawatwatana (left) and ATR's Christian Scherer
Bangkok Airways on Wednesday signed a contract to purchase four ATR 72-600 aircraft, valued at more than US$10 million, for the airline to develop its domestic and regional networks.
Anawat Leelawatwatana, its senior vice president – finance and accounting, confirmed at Singapore Airshow 2018 that the airline is looking to expand its reach in the Indochina region.
More ATRs for regional expansion; Bangkok Airways’ Anawat Leelawatwatana (left) and ATR’s Christian Scherer
“We’d also like to increase the frequency (of flights) to some of our existing destinations,” shared Anawat. Bangkok Airways flies to more than 20 destinations in Thailand and Asia, including Koh Samui, Phuket and the Maldives.
The airline has considerably increased its fleet strength, from eight aircraft in early-2014 to the current fleet of 15.
This includes the four new additions, comprising a total of nine ATR 72-600s and six ATR 72-500s being progressively replaced by the former.
Artist impression of Fraser Suites Akasaka (left) and Capri by Fraser, Ginza
Frasers Hospitality, a member of Frasers Property Group, has invested S$250 million (US$188 million) to develop two new serviced residences in Tokyo’s Ginza and Akasaka districts.
Capri by Fraser, Ginza / Japan, to launch under the group’s millennial-focused hotel residence brand Capri by Fraser, will have close to 200 rooms, as well as social spaces such as a lobby bar. It will be situated near Ginza, with the Chuo-dori shopping street, Shimbashi Station and the Shiodome City Center located in the vicinity.
Artist impression of Fraser Suites Akasaka (left) and Capri by Fraser, Ginza
Fraser Suites Akasaka, designed by Hirsch Bedner Associates, will offer luxurious studio- and one-bedroom apartments at a central downtown location surrounded by Tokyo’s main transportation hubs and foreign embassies.
Both properties are scheduled to open in 2020.
“Frasers Hospitality is no stranger to the Japanese market. We opened Fraser Residence Nankai, Osaka in 2010. The country continues to be a priority market for us and we are looking to extend our footprint not just in Tokyo but also other key cities in Japan,” said Choe Peng Sum, Frasers Hospitality’s CEO.
Frasers Hospitality’s global portfolio, including those in the pipeline, stands at more than 145 properties in over 80 cities with close to 23,000 keys.
New World Petaling Jaya Hotel
New World Hotels & Resorts’s first Malaysia property is now open in Petaling Jaya. All of its 300 guestrooms feature bamboo flooring, as well as Malaysian-themed artwork. Rooms start from 36m2 for Deluxe to 73m2 suites, of which there are only 20 of. Recreational facilities include a 300m2 infinity pool on Level 30, whirlpool, fitness centre and three F&B options. For meetings and events, the hotel has a 1,700m2 pillarless grand ballroom capable of accommodating up to 1,000 guests, as well as eight meeting rooms.
U Janevalla Bandung
The 119-key boutique luxury property is set to open on March 15. Hotel facilities include the Wrap & Roll all-day-dining restaurant, a library, rooftop pool bar, gym, five meeting rooms and one boardroom. The brand’s concept of service allows guests to enjoy their room for 24 hours from check-in, as well as breakfast whenever/wherever during their stay, and pre-selected amenities from the online U Choose programme. Bookings are now open.
Sheraton Grand Danang Resort
The 258-key Sheraton Grand Danang Resort has opened on Non Nuoc Beach in Vietnam. Every guestroom or one-, two- and three-bedroom suite feature the Sheraton Signature Sleep Experience with views of the ocean or the infinity pool. Other facilities include Shine Spa for Sheraton, and seven restaurants and bars. The Conference Center building offers more than 3,300m2 of space across 14 separate indoor function spaces, including the 1,263m2 Sheraton Grand Ballroom. Additional scenic pool lawn and prime beachfront locations are also available for outdoor events.
Zazz Urban Bangkok
Located within TC Green on Rama 9 Road, this boutique property offers 33 standard rooms with square-shaped bathtubs, 13 premium rooms and two lavish suites, all of which come furnished with a flatscreen TV and minibar. There are also two F&B venues onsite: Day’Li, the all-day dining restaurant; and Zook rooftop bar – also available for private hire.
Le Méridien Shenyang, Heping
Le Méridien Shenyang, Heping, has opened its doors in north-east China with 296 rooms and suites, each furnished with a deep-soaking tub and 55-inch flatscreen TV. Aside from several meeting venues totalling 1,000m2, other amenities include a spa, swimming pool, fitness centre, two restaurants and a lounge bar.
Oakwood Worldwide has appointed Yasuko Sugiyama as general manager of Oakwood Hotel & Apartments Shin-Osaka – scheduled to open in summer 2018.
Prior to joining Oakwood, Sugiyama was area manager for Booking.com, where she managed the offices in Sapporo, Osaka, Fukuoka and Okinawa.
The hospitality veteran has more than 25 years of experience across the serviced apartment and hotel sectors in Indonesia, Vietnam, Myanmar, Cambodia and Japan.
The traditional winter destination of Niseko and its surrounds are working to draw more tourist footfalls during other quieter seasons, and there will be a higher chance of success should the government help with destination awareness and easier access.
Summer is a time for flowers to bloom; sunflower field in Niseko
Acme Wu, marketing manager of Niseko Promotion Board, said: “We have been generating marketing collaterals such as videos, and have been organising more events in the summer, such as the Niseko Classic bicycle race, and the music and food festival Niko Niko Niseko Village Festival.”
In addition, Wu pointed out that “accommodation is cheaper, and is normally half (the price) of winter”.
But Chihiro Tamao, Hilton Niseko Village’s director of sales, pointed out that these summer activities are “not well introduced to the market, and information is limited”.
In order to lure these visitors out to Niseko, Tamao shared that the property does sales calls and participates in tradeshows, as well as works closely with travel agencies and land operators – based in Tokyo and Niseko – who have partners in other countries.
Thirty minutes away from Niseko is The Westin Rusutsu Resort, which shares in the summer-season woes.
Yuta Yoshio, the hotel’s director of sales, told TTG Asia: “From mid-December to the beginning of April, occupancy is more than 90 per cent. But from end-April to mid-July, it’s only 50 per cent. Then it’s the school holidays, so occupancy goes back up to 90 per cent. But from mid August to beginning of November, it’s back to 50 per cent.”
Moreover, he opined that Hokkaido is well-known for winter, but foreigners don’t think of it as a destination to see cherry blossoms – for example – and they head to Tokyo instead.
“Business is good during winter, but during the green season it is very challenging. There are actually many outdoor activities that can be done,” said Yoshio.
Tamao added: “I think Hokkiado as a destination is already well-known internationally. But flight connectivity to Chitose airport is a challenge; travellers would prefer not to transit in Osaka or Tokyo (if they are heading directly to Hokkaido).”
“Airports in smaller cities – such as Hakodate in the south, or Asahikawa in the centre, or a smaller airport in Eastern Hokkaido – should be opened up to receive more international or chartered flights. By doing so, travellers will be able to move within Hokkiado and spread demand, instead of having to leave and depart from Chitose,” she pointed out.
Hotels in the touristy cities of Bangkok, Phuket and Pattaya have had their rates suppressed for a number of years due to the oversupply of rooms.
Both international and local brands, especially in Bangkok, have had their rates frozen for some 10 years despite the increase in operational cost, said David Barrett, chief executive at Bangkok-based Premier Incoming Group Services.
Room rates in Bangkok are suffering due to an oversupply
According to statistics from Thailand’s Ministry of Tourism and Sports, the average occupancy rate of accommodation in the Central region – which includes Bangkok and Pattaya – in the first eight months of 2017 was 74 per cent. Meanwhile, in the south which includes Phuket, the average occupancy was 70.9 per cent.
Shreyash Shah, director of sales, MICE & leisure at Royal Cliff Hotels Group in Pattaya, said: “We would like to increase rates by five to seven per cent annually due to product upgrades and new facilities, but our rates have been stagnant for the last five years. Our selling rate is US$140++, but we wish we could sell at least 30 per cent higher. Our competition is the many unlicensed hotels in Pattaya. They are able to charge lower rates as they don’t pay licensing and hotel association fees.”
Bangkok Marriott Marquis Queen’s Park cluster assistant director of sales – Indian Subcontinent, Arjun Sood, said: “The market is so competitive that a hotel can lose price sensitive groups to a competitor for a mere 300 baht (US$9) difference.
“We are at an advantage as we have a monopoly for groups that require 300 to 400 rooms as we have an inventory of 1,360 rooms. However, there is competition for mid-range groups that are looking for 100 to 150 rooms,” he added.
Barrett opined: “A solution could be to regulate new hotel development. However, I can’t see that happening, given the fairly relaxed approach by authorities. It’s also impossible for hotels to regulate rates among themselves, and undesirable, too.”
Berjaya previously competed with full-fledged airlines, but is now offering flights as part of resort package
Berjaya Hotels & Resorts announced at Singapore Airshow 2018 that it has acquired two pre-owned ATR 42-500 aircraft to run twice-daily flights between Kuala Lumpur’s Subang Airport and Redang Island starting this June.
The new service will enable the Malaysia-based hotel operator to fill its rooms in Redang Island, where it operates Taaras Beach & Spa and Redang Island Resort. “The flights are a catalyst to drive business to the hotels,” said Hanley Chew, CEO, Berjaya Hotels & Resorts.
Berjaya previously competed with full-fledged airlines, but will start offering flights as part of resort package
Operated by the group’s sister company Berjaya Air, the flights reduce travelling time between Subang and Redang from five hours to an hour, Chew said. The aircraft will be refurbished with new interior and offers 36 passenger seats each.
When Berjaya tested the Subang-Redang flights last year, every 10-seater flight saw at least 80 per cent occupancy, he shared. There is demand for Redang holidays, he stressed, but the island currently does not enjoy as much connectivity as other Berjaya locations such as Langkawi.
He explained that Berjaya is now running flights solely to fill their resorts, rather than competing with full-fledged airlines as they previously did with flights to Penang, Langkawi and Koh Samui.
Flight tickets will be sold with all-inclusive resort packages, which include a three-day, two-night stay in a twin-sharing suite and will cost upwards of RM3,500 (US$897), confirmed Chew.
Guests can check into their rooms in the Subang lounge before boarding the plane.
Chew added that Berjaya will collaborate with travel agents to feature these packages as “a pre- or post-trip extension of tours in Kuala Lumpur and Singapore”.
The company is currently working with agencies in Germany, Italy, the UK, Japan and Singapore, and is seeing a pick-up in demand from the latter two, shared Chew.
He also revealed that Berjaya is now “in talks” to establish connections between Redang and Seletar Airport in Singapore. This route is expected to be introduced around end-2018 to early-2019 with a new aircraft.
Tourism industry players say Chinese businesses are making inroads, sometimes improperly
While Sri Lanka has become a magnet for scores of Chinese visitors, it has also attracted the illicit business practices of some Chinese outbound tourism players.
Some Sri Lankan agencies have lost hefty sums as a result of their Chinese counterparts defaulting on payments.
“We have lost over US$800,000 over the past two to three years and spent another US$25,000 on costly litigation,” said Cammy Gunesekera, director at Viluxur Holidays Sri Lanka, one the biggest local agents handling the Chinese market.
Tourism industry players say Chinese businesses are making inroads, sometimes improperly
Viluxor says it is now more cautious in dealing with agents in China, while also shifting its focus to Europe.
Industry sources place the total amount lost in dues from defaulting Chinese agents who operated tours on 180-day credit terms at around US$6 to US$8 million over the past few years. Around 40 to 50 Sri Lankan travel companies handle the Chinese market.
Harith Perera, president of the Sri Lanka Association of Inbound Tour Operators, acknowledges the problem but points out that half of the victims are not their members. “We have urged our members to be cautious in dealing with dubious agents. Agents should sort out this creditworthiness amongst themselves,” he said.
A larger problem, he noted, is the influx of unofficial Chinese guides accompanying a tour group, often using a small-time local agent as a smokescreen. They are not licensed, as required by Sri Lankan law, and their earnings go untaxed.
“This is a serious problem and we have even complained to the Chinese Embassy here. These unofficial Chinese tour guides are rampant,” said tourism minister John Amaratunga. “They are coming on visit visas and working as unlicensed guides, and taking away the business of licensed local guides.”
The industry has also been complaining about Chinese tourists entering into the country on short-term visas and setting up travel agencies fronted by a Sri Lankan.
Udaya Nanayakkara, an industry veteran who stepped down earlier this month as chairman of the Sri Lanka Tourism Promotion Bureau, also highlights a “nil revenue” ruse by Chinese agents, similar to the zero-fee tours in Thailand which have been banned by the Chinese and Thai authorities.
“Other than a free air ticket to the agent (who acts as an unofficial guide), there is no other fee. The agent comes along with the group, takes them to local shops and gets a huge commission, sometimes as much as 50 per cent. This is the agent’s revenue and all that money goes back,” he explained.