Victoria: PTAA is working to counter the fallout

IATA-accredited travel agencies in the Philippines have resigned themselves to a shorter airlines payment period beginning Friday despite strong objection from the trade.

Philippine Travel Agencies Association (PTAA) president Michelle Victoria stated in a memo to its members that IATA had given them “no choice but to accept” the new Express Weekly Remittance payment timeframe.

Under the new terms, agencies must credit airlines weekly instead of every 15 days.

“The weekly remittance is already being practised worldwide and the Philippines is among the last to adopt the change due to our continuous resistance,” said Victoria.

She added that there was “no cushion offered by IATA” for travel agents whose cashflow would be adversely affected. Some agency clients may have credit lines that are longer than the new remittance period, for instance.

Even the use of credit cards for payment, as suggested by some agencies, thereby extending credit lines through the banks, was not acceptable.

“The problem is not all airlines are in agreement,“ Victoria told TTG Asia e-Daily.

“We will continue to work on other options that can cushion the impact and soften the effect of this new scheme,” she added.

Murray Building

WHARF Holdings is redeveloping the iconic Murray Building in Central, Hong Kong into a “sophisticated urban chic hotel”, which is a near giveaway that the property will be branded Niccolo by Marco Polo.

The hotel, with 336 rooms, will open by the end of next year, but Marco Polo Hotels’ president, Jennifer Cronin, declined to confirm it would be flagged a Niccolo, only saying it would be “a new flagship for the group” and an “iconic, luxury landmark hotel in Hong Kong”.

Wharf, Marco Polo Hotels’ parent, acquired the building in November 2013 for HK$4.4 billion (US$567 million) through its listed subsidiary Harbour Centre Development.

The 27-storey majestic building with towering arches and a 50-year history is quite possibly the last remaining prime site in Central for a major hotel. It commands open green views over Hong Kong Park and is well-connected to other buildings in the neighbourhood and the MTR. The group is spending HK$7 billion to convert it into a “sophisticated urban chic hotel”, its website said.

This fits the bill of its Niccolo brand, which debuted at ILTM Asia in Shanghai last month with the announcement of further expansion in China and “ambitions to grow the brand beyond China”, said Philippe Schaetz, vice president sales and marketing of Marco Polo Hotels.

Currently, there is only one Niccolo in operation, Niccolo Chengdu, which is part of the International Finance Square (IFS) mixed use retail and commercial centre owned by Wharf. Three more Niccolo hotels are being developed in China, in Chongqing (opening 1Q2017), Changsha (4Q2017) and Suzhou (2018). As with the one in Chengdu, they are all part of a mixed-use retail and commercial complex.

Niccolo was conceived as a contemporary luxury brand to complement its classic sister, Marco Polo. The hotels tend to be smaller than Marco Polo Hotels, which usually have 300 rooms to 600 rooms, and are more suited to travellers who want understated luxury and are lifestyle-driven, explained Cronin. Niccolo Chengdu, she said, had successfully attracted captains of the industry and the high society, and positioned itself as the epicentre of fashion and business in Chengdu. Rooms are 45m² to 60m² in size; the art pieces in the hotel are one of its lifestyle offerings; and its focus of F&B and events has also been a big factor in drawing the crowds.

Cronin said Niccolo Chengdu, which recently celebrated one year of operation, shows the hotel group’s farsightedness and mantra to “build for tomorrow”.

“It also shows you don’t have to be a big brand with dozens of hotels in order to succeed,” she said.

Craig S. Smith, APAC president and managing director, Marriott International (left); Kwek Leng Beng, executive chairman, City Developments Limited

THE handing over of operations of self-managed hotel The South Beach Singapore to international hotel chain Marriott International was finally confirmed yesterday, after months of speculation, at a signing ceremony held at the iconic property designed by Philippe Starck.

This agreement sees Marriott convert the 634-room hotel into the JW Marriott Hotel Singapore South Beach, marking the JW brand’s debut in the citystate.

The hotel remains open during this refurbishment period and a relaunch is slated for November.

Marriott also announced it was bringing the Edition brand to Singapore. It will be an eight-storey, 190-room boutique luxury development located in the Orchard district called The Singapore Edition. A 2019 opening date was given.

When asked what benefit an external operator such as Marriott brings for hotel developers, compared to being self-managed, chairman of City Developments Limited (CDL) Kwek Leng Beng cited the pending merger between Marriott International and Starwood Hotels & Resorts, greater operational transparency and revenue optimisation as factors considered.

Referring to projects between CDL and Marriott in Hong Kong, Kwek said: “We have good experiences with Marriott in Hong Kong. They are very professional. (Plus they) have a good base of over 1.1 million rooms (worldwide) in 5,000 over hotels.”

As for Marriott, its Asia-Pacific president and managing director Craig Smith, said: “When you look at a partnership, you look at what each party can bring to the table and how you differ. We saw (Kwek) as someone who knows the hotel business, been very successful, and he has a very diversified business. He knows the hotel business in many parts of the world, not just in Asia, so we see him as a great partner.

“About what we can do for CDL, Marriott is one of the strongest hotel operators in the world and we have a pending merger with Starwood, which will make us the largest hotel operator in the world. Today we do US$10 billion in direct sales through our website, ranking it in the top 10 retail websites in the world, and that’s impressive.

“Obviously, there’s a lot of people booking through our systems and getting in our loyalty programme, which is also about to become the biggest hotel loyalty programme in the world.”

But a lingering question remains as to whether the JW brand is a good fit for the current design of South Beach. When asked what the renovation works over the next few months will entail, Smith said little would be done to the rooms while the spa would be renovated and the lobby expanded. Three new restaurants, including one helmed by renowned chef Akira Back, is also in the works, expanding total F&B offerings there to nine.

Speaking about future business plans, Kwek added: “My balance sheet is not highly leveraged, it is very lowly-geared. I got firepower and I am very confident about what is going on. If any (developer) can offer me something cheap (to buy over)…I’ll get Marriott to operate it.”

An SHC docent gives a tour of the bunker. Photo: SHC

THE Battlebox, a preserved military command facility and museum in Singapore, was relaunched yesterday nearly three years since coming under the management of the Singapore History Consultants (SHC).

The facility was in 1942 used by Allied forces to plot their battles after Singapore was attacked by the Japanese imperial army, a brief but turbulent period famously termed the Fall of Singapore. It was also here where the decision was made to surrender Singapore to the Japanese.

Today, nearly a decade after the site became a museum in 1997, SHC is hoping to raise it back into prominence.

The revamped museum will bring a fresh focus on “military strategies and tactics and the causes for military defeat”, shared Jeya Ayadurai, director of SHC.

In addition, the site received massive infrastructural improvements with support from the National Parks Board.

New exhibits include commissioned videos and artwork. Artefacts, such as those recently uncovered by archaeologist Jon Cooper from the final 1942 battle site of Adam Park, have also been added.

Meanwhile, SHC has retained mannequin impressions of the bunker’s military inhabitants inherited from the museum’s prior operator.

“The Battlebox is now poised to become an important heritage and educational site of relevance to a varied audience from local students to tourists to military professionals,” said Winston Choo, retired lieutenant general of the Singapore Armed Forces and Guest of Honour at the relaunch event.

Since the soft launch of the Battlebox tour in February, number of visitors has totalled about 7,000.

Darshini Tamilselvan, assistant manager at SHC, said: “We have seen greater interest from tourists as well as group bookings from government bodies and schools.”

Moving forward, the museum has plans to incorporate handheld multimedia devices, interactive activities and content on the post-war period, according to an SHC statement.

The museum runs three one-hour tours on Mondays between 13.30 to 17.00. For all other days of the week, five slots are available from 09.45 to 17.00. Prices start from S$18 (US$13.30) for adults and S$9 for children.

COSTA Cruises has partnered Singapore-based agency CTC Travel to offer a Christmas cruise package onboard the Costa Victoria, which sets sail from Singapore starting December 22.

The 5D4N sail from Singapore to Phuket and Langkawi will include a special entertainment lineup featuring performances by pop artistes Nicholas Teo, Z-Chen Chang and Taufik Batisah; a Michael Jackson tribute show, Feel the beat; and the Sapori d’Italia song and dance.

Bookings made before June 30 are entitled to deals such as the 4-to-Go promotion starting from S$363 (US$267.80) per person (pre tax, excursion fee and other charges) and a free upgrade from the Inside cabin to Oceanview cabin.

CTC Travel Club members are also entitled to further promotions.

Boracay, the Philippines

DIFFICULTY obtaining visas and insufficient marketing are the main hurdles facing agents when trying to attract more Chinese tourists to the Philippines, according to those interviewed at the recent Asia Premium Travel Mart held in Manila.

“It’s very, very difficult for Chinese travellers to get a visa to the Philippines because of the tedious application and processing requirements. It’s easier for them to get a visa to the US,” commented Gary Mo, director of marketing for Guangzhou-based All Perfect Tour.

He added: “China is very big but the Philippines only has a limited number of consulate offices there.”

While agreeing, Liu Lulu, operations manager of Beijing-based U Plus Club, said it helps that the Philippines now allows visa-on-arrival for Chinese nationals who were granted visa to the US and some other countries before.

Mary Ann Ong, general manager of Manila-based Luxus Pacific Travel and Tours, also pointed out that while the Philippines already grants group visas to the Chinese, there’s no need for that in other destinations like Malaysia, Singapore and Thailand as they offer the more convenient visa-on-arrival facility.

Meanwhile, marketing spend was reduced last year owing to political tussles between the two countries.

But travel agents are clamouring for more Philippine visibility in China. “There must be increased promotion especially on social media,” said Liu.

Ong concurs, saying that except for Boracay, Philippine destinations aren’t that well-known in China. “We’re not allotting enough budget for marketing,” she asserts.

For Mo, who also believes that more needs to be done, his agency has taken matters into their own hands by chartering flights to the Philippines and launching his own marketing campaigns in China without any support from authorities.

Jeju island, South Korea

THE Association of the Indonesian Tours and Travel Agencies (ASITA) and Jeju Tourism Association (JTA) have signed an MoU during the Bali and Beyond Travel Fair (BBTF) 2016 held in Bali last week.

Under the agreement, both parties will cross-sell to boost arrivals in Jeju and Bali.

Kim Yeong-Jin, chairman of Jeju Special Self-Governing Provincial Tourism Association, said that Bali and Jeju share similarities that enable both destinations to grow in traffic.

He said: “Bali is one of the most popular destinations in the world, and so is Jeju island. Like Bali, Jeju is also the land of the gods and goddesses. With this MoU, JTA becomes the marketer for Bali, promoting the destination to Jeju travellers.”

Kim said the next step would be to work on the chartered direct services between Jeju and Bali to facilitate the traffic.

Ketut Ardana, chairman of ASITA Bali Chapter said this MoU was a follow-up of an umbrella agreement between JTA and ASITA National Board last year for the development of travel between Jeju and Indonesia.

Said Ketut: “Apparently, Jeju sees Bali as the launch pad for growing arrivals. Some of the programmes we (hope to) organise include a sales mission to Jeju. We will also ask JTA to bring buyers to BBTF 2017.

“On the other hand, we will support their sales missions here and bring outbound operators from here to visit Jeju and develop packages.”

Inside of Istanbul Atatürk Airport after the attack. Credit: Conflict News

THREE gunmen assaulted Turkey’s busiest airport Tuesday evening, killing at least 36 and injuring 147 more.

The three men opened fire with their AK-47 automatic rifles before committing suicide bomb attacks at Istanbul Atatürk Airport. Details are unconfirmed, but Turkish prime minister Binali Yildirim said that terror group ISIS is behind the attack and that foreigners are among those killed. However, ISIS has yet to officially claim responsibility.

All flights at the major European gateway were also suspended after the attack, but has since resumed this morning.

International media reports based on leaked video footage indicated that one of the blasts took place at the entrance of the terminal. Local witnesses also saw body parts and blood strewn and splattered on the airport floor and walls.

One of the terrorists was also shot by a police officer but managed to detonate his suicide bomb as he fell to the ground.

This is the worst terror attack to have hit Turkey this year, having suffered two other suicide bombings in tourist areas of Istanbul and two car bombings in capital Ankara.

Brussels airport was also attacked in March this year, killing 16.