GERMAN carrier Lufthansa’s announcement of a 16 euro (US$18) surcharge on all bookings made through intermediaries is reigniting long-standing debates on the distribution model for travel.

The fee will take effect from September this year and applies to bookings on all airlines in the group, including Brussels Airlines and Swiss International Air Lines.

Distribution has been a bone of contention for traditional travel suppliers, including airlines and hotels, in an age where the Internet has spawned a raft of OTAs and price-comparison sites. GDSs have also been criticised for failing to live up to expectations.

Airlines and hotels have in turn pushed back and are now actively encouraging direct bookings.

The Wall Street Journal quoted Lufthansa chief executive, Carsten Spohr, as saying that despite shelling out more than US$100 million in annual fees to middlemen like Amadeus, the airline remains dissatisfied by the technology offered.

The same report said Lufthansa is not the first to implement such charges – US’ Spirit Airlines charges US$10 extra for tickets bought through third parties, while some carriers including Delta Air Lines are no longer selling on certain travel sites.

Air France-KLM is also mulling introducing a similar surcharge, said The Wall Street Journal.

GDSs Travelport and Sabre have meanwhile branded Lufthansa’s action as harmful towards the interests of the travelling public.

Indian travel consultants have also made clear their opposition to the new surcharge, with several intending to boycott sales of Lufthansa and other airlines belonging to the same group.

“Our managing committee is meeting this week to discuss the fallout of the Lufthansa move, which is very harsh on travel consultants. We are getting calls from large number of consultants,” said Travel Agents Association of India president Sunil Kumar in a press release.

STARWOOD Hotels and Resorts Worldwide yesterday announced the planting of its flag in South Australia with the signing of an Aloft property in the state capital.

Aloft Adelaide also marks the brand’s third property to enter the Australian market, following the recent signing of Aloft Sydney Pitt Street, slated to open in October 2016, and last year’s announcement of Aloft Perth Rivervale, set to open in early 2017.

The new-build hotel owned by local developer Sturt Land, a joint venture between local construction group Tagara and Melbourne-based developer Colvid, is slated to open in early 2018 as part of the phase two of mixed-use development New Mayfield.

Just 20 minutes away from Adelaide Airport, It will feature 200 guestrooms, an indoor glass bottom rooftop pool, a 24-hour fitness centre with a rooftop running track, and 500m² of flexible meeting space.

F&B offerings will include Aloft’s signature W XYZSM bar, grab & go outlet Re:fuel and a signature restaurant space.

Guests will also be able to use their smart phone as a key through Starwood’s SPG Keyless system, which will be available at select Aloft, Element and W Hotels worldwide by end-2015.

Andrew Taylor, director acquisitions and development, Starwood Hotels & Resorts Pacific, said: “Demand for Aloft is rapidly accelerating and the brand continues to aggressively expand as we near 100 hotels worldwide. We are experiencing growing interest from investors and developers in the Australian market, who are attracted to the brand’s DNA, which fills a void in the hospitality sector.”

David Bertram, director, Sturt Land, said: “The New Mayfield project will form a vibrant, social space in the heart of Adelaide creating an ideal platform to showcase Starwood’s design-led Aloft brand. With an overall injection of A$300 million, this development is going to take urban design and living to new levels and Aloft Adelaide will be the jewel in the crown.”

A NEW mixed-use development is coming to Ngwe Saung’s shores by end-2017, where it will raise luxury standards, room inventory and tourism infrastructure.

Developed by Karaweik Coast, a joint venture company by Hong Kong-based H&CO Real Estate Holdings and Myanmar’s Mya Bay Development Company, the project will come with 512ha of hotel space along 8km of beach in its first site.

The second phase will include 1,214ha south of Mya Bay for a mini city, jetty, golf course, hotels, restaurants, a private hospital and a playground.

Ngwe Saung, sitting on the Bay of Bengal, is a four-hour drive from Yangon and Myanmar’s second most popular beach destination after Ngapali Beach in Arakan state.

Ministry of Hotels and Tourism data showed that Ngwe Saung had 23 hotels with a total of 1,264 rooms as of end-2014.

GARUDA Indonesia is upping the flight frequency between Jakarta and Amsterdam from five to six times a week in order to meet rising travel demand to Europe.

The addition of the new thrice-weekly Jakarta-Singapore-Amsterdam service, starting July 22, will see the present Jakarta-Amsterdam-London Gatwick route reduced to three times a week.

Operated on the Boeing 777-300ER, the Jakarta-Amsterdam service via Singapore will be operated on Wednesday, Thursday and Saturday, while the route via London will fly on Tuesday, Friday and Sunday.

The inclusion of Singapore to the Jakarta-Amsterdam service is part of Garuda’s effort to develop the travel market from Singapore to Europe, as well as to offer another travel option for customers travelling to Europe from its Amsterdam hub.

Handayani, director commercial of Garuda, said the Indonesian flag carrier is increasing flight frequency on the Jakarta-Amsterdam route to keep up with the growing travel demand to Europe.

She added that London is another important destination in Garuda’s European network.

“In line with the airline’s route restructuring in Europe, Garuda is also developing codeshare agreements with various airline partners on the Amsterdam-London service to complement its three times a week schedule,” Handayani said.

“We will continue to enhance our London service in the future to meet increasing market demands.”

STARWOOD Hotels & Resorts Worldwide has announced its first St Regis hotel in India, to be opened as the St Regis Mumbai in 3Q after an extensive rebranding.

Owned by Pallazzio Hotels & Leisure, the property that once was Palladium Hotel is located in Lower Parel in Mumbai, less than 30 minutes from the international airport.

The hotel is adjacent to the city’s only luxury retail shopping centre, the Palladium, and offers easy access to upscale restaurants, offices and retail outlets.

 With 386 guestrooms including 60 suites, St Regis Mumbai will also feature an all-day dining restaurant, four speciality F&B outlets, a club lounge and three bars.

 Other leisure facilities include a swimming pool, fitness centre and more than 5,200m² of meetings and events space, including a 4,200m² grand ballroom.

 St Regis Mumbai is the latest addition to Starwood’s portfolio in India, where it operates 43 hotels with another 37 on the way.

THE lack of marketing and promotions is hindering agri-tourism from realising its full potential in the Philippines, say travel consultants in this field.

Agri-tourism encompasses visits to farms and plantations for leisure as well as educational or technical aspects, and ironically receives scant attention in a primarily agricultural country.

“The market isn’t that exciting yet, but (it is a new product that) has great potential if the government will help,” commented Fe Abling Yu, general manager, Arfel Travel and Tours, who pointed out that in contrast, beaches are “properly promoted” now.

TTG Asia e-Daily understands that the Department of Tourism is not currently marketing agri-tourism. Former tourism secretary Alberto Lim attended an agri-tourism fair in Italy in 2010, but his short one-year tenure was the last mention of this niche segment since.

Edwin Villanueva, general manager of Light Miles Travel, said the Philippines has vast tracts of farmlands, plantations and gardens while its over 7,100 islands make it a natural for fishery and aquaculture.

As the only Philippine member of the Agricultural Tour Operators International, Light Miles Travel gets mixed leisure and agri-tourism groups from Australia, the US and Canada.

Its itinerary for a 30-pax group from the US last year included visits to tuna processing facilities in General Santos in Mindanao as well as to fish markets in Cubao and Valenzuela, both in Metro Manila.

But he also appealed for government support: “The market is tough and the Philippines faces competition from our neighbours like Vietnam, Thailand and South Korea.”

On the other hand, Florence Adviento, COO of Route 63+ Travel, understands why the government is not as keen on agri-tourism as mass tourism.

“Agri-tourism is still a niche market…even more specialised than (other niche products),” Adviento explained.

However she has noted interest in agri-tourism, at least for her company’s packages to the UNESCO-listed Banaue rice terraces and Sagada where clients can plant and harvest crops, though farming remains secondary to the area’s cultural and natural appeal.

THE US Embassy in Tokyo has issued a warning to visitors to the Japanese capital to beware of spiked drinks, credit card fraud, extortion and even assault in two of the city’s busiest entertainment districts.

The caution, posted on the embassy web site in early June, identifies Roppongi and Kabuki-cho as “high-risk areas for crime” and offers tips on how to avoid problems, including carrying limited amounts of money, securing valuables in a hotel safe, avoiding offers of a free drink, etc.

But the embassy said that Tokyo generally remains a safe place to visit. “Still, as in other big cities around the world, visitors to Tokyo sometimes become victims of crime, so it’s important to exercise caution. Crimes against US citizens in Japan often involve theft or fraud,” it warned.

There have been numerous reports in the last 18 months of customers in bars being given a free drink, only to wake up several hours later with their wallets gone or being menaced for an extortionately large bill.

“Roppongi, in particular, is a popular place for foreign visitors for its bars, restaurants and nightclubs,” said Motohisa Tachikawa, a JTB spokesman.

“And while I think people who know Tokyo would say that a visitor needs to be a little more careful around Roppongi and Kabuki-cho, I would not say they are dangerous,” he said, adding that JTB often gives groups advice on where to go and not go on their own free time.

GRAND Hotels International is gearing up to officially open its two new properties in the heart of the city – Hotel Chancellor@Orchard and Hotel Grand Central by October this year.

Both located on the corner of Cavenagh Road and Kramat Lane, the 488-room Hotel Chancellor@Orchard soft-opened in May while the adjacent 264-room Hotel Grand Central will be ready in the next few months.

Speaking to TTG Asia e-Daily, Danny Koh, hotel manager of Grand Hotels International, said the two hotels will set their sights on business travellers, which is the “current rising trend”. Occupancy is expected to hit at least 80 per cent.

Koh said: “We started with a vision to be a no-frills hotel for the business traveller, but we went beyond that to provide additional amenities like meeting rooms and a rooftop pool at both hotels.”

According to Koh, room rates for both hotels will start around S$180 (US$133). Room sizes average at 18m² and 20m² at the 3.5-star Hotel Chancellor@Orchard and four-star Hotel Grand Central respectively.

“We are the rare hotels along the Orchard Road belt that are below the five-star rating, that can provide affordability and comfort at the same time. The large number of rooms that both hotels can provide together will be useful for big groups too,” he said.

While the hotel is targeting an international audience, Koh said top source markets are currently from South-east Asia, with most groups coming from Indonesia and Thailand.

Over at the Hotel Chancellor@Orchard, there are four meeting rooms available –two of which can been combined to fit 100 pax in a theatre setting. Hotel Grand Central has two board meeting rooms that can seat between 10 and 20 pax.

Both hotels provide free Wi-Fi throughout the premises as well.