Nowroz is The Amazing Mr Anderson

February 16, 2015

FORMER head of Travelport Asia-Pacific, Simon Nowroz, has set up The Amazing Mr Anderson, a consultancy that aims to eschew the usual dull and hands-off consultancy experience in favour of a ‘studio approach’ where clients are stirred to collaborate and innovate to generate growth and positive social impact.

The UK-based firm is preparing for a launch in Asia-Pacific and targets the travel and tourism private sector, which Nowroz believes needs this service the most.

Said Nowroz: “Travel is a big employer, but it is also a big polluter and land developer. These last two can have negative effects if not managed properly. Unchecked pollution can drastically increase health risks and drive climate change, while ill-thought through land development can destroy the local ecology, communities and cultures – the very things that make travel interesting. By innovating with local communities these risks can be better mitigated, ensuring a more sustainable and balanced approach to travel and tourism.

“Asia is particularly at risk because it generally has less government intervention, rules and regulations. It is also less ecologically aware (i.e. little by way of sustainability education, few reporting requirements on firms and less shareholder attention).

“Environmental and social sustainability in travel and tourism are the issues of the day, and the story that needs to be told. Our studio is focused on social sustainability (the people who make up the destinations that we travel to) and we want to help the travel sector to get better at social inclusion and innovation.”

The Amazing Mr Anderson is a member of the Global Sustainable Tourism Council and Social Enterprise UK. It does pro bono work with the Clinton Foundation and Hult University in community development, and is already working on bringing social innovation to the education, healthcare and media sectors.

“Most consultancies drive innovation through a dull and hands-off experience of power point slides and excel spreadsheets, with little emphasis on experimentation. As a result about 75 per cent of current innovation efforts fail in companies,” said Nowroz.

“We undertake innovation programmes in a studio environment, where our clients are encouraged to tinker and experiment with ideas and concepts. This hands-on process results in early prototypes, rapid market testing and quick iterations, and results in much higher success rates. Our studio methodology is rooted in the science of Stanford’s design school processes.”

Asked why he decided to to this, Nowroz said: “As someone fascinated by innovation, change and problem solving, sustainable commerce is the single biggest problem to be working on today. I am driven by the magnitude of change required, by the complexity of getting it right and the urgency to mobilise around solutions. I simply couldn’t be a spectator once I fully understood the challenge. So I’ve invested financially, emotionally and intellectually to create a place (our studio) where we can collective work through what we do next.”

According to Nowroz, the current model is “simply broken beyond repair” and the question is, what next?

“Destinations are being destroyed, cultures lost, societies destabilised, oceans polluted. The very resources that make travel attractive and successful are being undermined and quietly lost. Legacy firms have assets that are no longer fit for purpose (highly polluting), processes that are linear (instead of circular) and strategies that fail to deal with the pending risks. New firms carry less of the ‘20th century infinite resources’ mentality but need helping scaling,” he said.

“The planet cannot sustain how we live today, so we’ve already lost that debate. Now the question is, what next? The “what next” will take years to unfold…there are quiet voices that need to be heard, small experiments that need to be shared, and journeys that need to be encouraged.”

How to grow brand loyalty among today’s travellers

By TTG Asia

February 16, 2015

TO SUCCESSFULLY woo this generation, travel companies must recognise a new breed of traveller and what they expect from their reward programmes, says a new report.

In The Grand Wanderluster, reward and loyalty programme technology provider Collinson Latitude outlines the characteristics of The Grand Wanderluster, a new class of traveller spawned by the digital boom.

Members of The Grand Wanderluster generation are defined not by age or gender but instead by their behaviours, characteristics and interests, and reward programmes are key to cultivating and retaining brand loyalty.

“The current accessibility and mass availability of travel means that traditional demographic based approaches to audience segmentation are a thing of the past,” said James Berry, e-commerce director at Collinson Latitude, which is part of The Collinson Group.

“Travel brands need to reinvent how they engage with the Grand Wanderluster generation or risk losing them to the competition.”

The report further breaks down The Grand Wanderluster into six separate personas based on their priorities during travel and advises how to attract each group.

The Aspirationals are today’s reinvented frequent flyers who want quick and easy online redemption. Travel brands should find out and offer rewards relevant to their interests.

The Balancers, believers of work-life balance, want the most value from their choices. To win them over, communicate more with a variety of non-travel related rewards.

Family-oriented Nesters will pay attention to online awards and redemptions that can be used to enhance family holidays, and communication is key for them.

Fourth, combine a personal touch and rewards featuring the diversity of activities they enjoy to get through to the high-earning Safeguarders.

The On-demanders are the career-oriented looking for instant gratification. Travel brands should make their reward programmes device-friendly and let them choose their own reward categories, including luxury products.

Lastly, the sceptical and disinterested Individualists are rarely the target of travel brands, reaching out to and giving them more ways to earn and redeem rewards is the first step to bringing them on board.

Research for this study was conducted by Vanson Bourne in October 2014, using a sample of 4,000 consumers from the UK, US, Middle East and Singapore.

Making travel inclusive

By S Puvaneswary

February 16, 2015

Poor infrastructure, services and attitudes towards travellers with special access needs is preventing the Asian tourism sector from seizing an important niche market

While the concept of accessible tourism for senior and disabled tourists has emerged in various parts of the world, the needs of this niche market remain unaddressed and under-served in Asia despite its strong potential to contribute to tourist arrivals and revenue.

The World Health Organisation Report 2011 estimates that 15 per cent of the world’s population has a disability and more than one billion people with special needs worldwide, of which an estimated 80 per cent live in developing countries.

According to HelpAge International, by 2050, nearly one in five people in developing countries will be over 60. United Nations Economic and Social Commission for Asia and the Pacific projects that Japan, South Korea, Singapore, China and Thailand will become the five leading countries in Asia with an ageing population of 60 years and above in 2050.

The Asia-Pacific Network on Accessible Tourism (APNAT), which is headquartered in Malaysia and currently in the process of being registered as an association, will soon see the establishment of country chapters to champion barrier-free travel for people with disabilities in the region.

Sia Siew Chin, pro tem committee chairman of APNAT, said: “Through APNAT, we would like to be able to reach out to governments, people in the tourism industry and service providers to provide for the access needs of everyone in society, in particular people with disabilities.”

Advocating that the creation of barrier-free travel can improve a country’s tourism competitiveness, Joseph Kwan, global chair, International Commission on Technology & Accessibility, Rehabilitation International and advisor to APNAT, said: “Making changes need not be too costly. When transportation such as old buses and cars need replacement, transport providers can look at buying vehicles that are user-friendly and accessible to the elderly and people with disabilities, thus increasing ridership and in turn, revenue.

“Costs in making appropriate changes to building structures and facilities that are accessible to all can be reduced by getting advice from specialist access architects and from organisations dealing with people with disability.”

Several enterprising travel organisations in the region have already identified the market as ripe for picking.

For Antony Leopold, managing director of Kuala Lumpur-based Ace Altair Travels – which caters to the special needs of disabled travellers from the point of arrival to the point of departure – his interest in providing such travel services is a personal one, as he suffers from polio.

Leopold said: “We ventured into this segment in 2013 when we fitted our new van with a hydraulic wheelchair lift. That year, we had three physically challenged clients. In 2014, we had 26 clients, ranging from families with a member needing a wheelchair, to couples and friends with special needs travelling together.

“(This) year, we will fit another van with two hydraulic wheelchair lifts as we get many requests from people travelling in pairs,” he added.

Ace Altair Travels’ services include providing trained personnel; recommending disabled-friendly hotels, restaurants and attractions; and offering special equipment such as wheelchairs, ramps, shower chairs and portable commode.

“There are different levels of disability,” stressed Leopold. “Once we get a request from a client, we will first have to find out what is the level of their disability, what they are able to do and not do. If the person requires a wheelchair, we will find out the size and whether they want a motorised one or not.”

Leopold also drew attention to the state of disrepair of sidewalks and high curbs in Malaysia, where wheelchair users frequently find their path of travel obstructed by poorly designed narrow sidewalks, parked cars, motorcycles, fences, stairs and trees, reflecting an accessibility issue that is repeated across other South-east Asian cities from Bangkok to Jakarta.

“In many areas of the city, it is virtually impossible to travel without an assistant,” he added. “We hope our effort will make accessible tourism a reality in Malaysia, which presents a great challenge for travellers with mobility impairments.”

In Singapore, want2travel (www.want2travel.com.sg) was started by Patrick Ang, a paraplegic, in July 2012 to encourage families to involve disabled or elderly members with mobility issues in their travel plans instead of leaving them behind.

He said: “There is a lot of additional work when it comes to providing travel services for the disabled. For example, we will find out the extent of the disability and then try and match accommodation and services to suit the client’s needs.

“Many hotels claim they are disabled friendly because they may have ramps leading to the entrance, but the disabled room may not have a toilet that is disabled friendly (with) handrails or enough space to manoeuvre a wheelchair, thus we do a thorough check first before recommending a hotel or providing advice to a client.”

Non-profit organisations are also keen to make tourist sites more accessible.

With an aim to make the state’s Sungai Liam Waterfall in Ulu Yam accessible to all, the Waterfall Lovers Association of Selangor is raising funds through corporate sponsorship to build parking areas for the disabled, ramps linking the parking area to the waterfalls, disabled-friendly toilets and special wheelchairs for use in water.

This ambitious project, scheduled to be completed in 1H2015, will be replicated at other waterfalls too, said Mohd Ridzuan Gunasegaran Abdullah, secretary general of the association.

Elsewhere in the country, National Council for the Blind Malaysia will join hands with George Town World Heritage to develop a three-hour audio descriptive guided walk around the UNESCO World Heritage site of George Town in Penang, catering to the visually impaired. The trail is targeted to be launched in July.

Meanwhile, the Taiwan Access For All Association had recently developed a mobile app for inclusion and assistance for disabled and senior travellers. The app provides a listing and photographs of accessible restaurants, tourist sites and hotels, and users can also share their experiences on accessibility. There are plans in future to develop this site in English, according to the association’s secretary-general, Jacky Hsu.

This article was first published in TTG Asia, February 13, 2015 issue, on page 07. To read more, please view our digital edition or click here to subscribe.

Premier Inn adds 4 hotels in Indonesia

By TTG Asia

February 13, 2015

PREMIER Inn has added four hotels to its pipeline in Indonesia, as part of the next phase of its expansion plan that will see the group having 10,000 new hotel rooms in Singapore, India, Indonesia, Thailand and the Middle East by 2018.

With the addition of the four new properties in Bali, Bandung, Jakarta and Sentul, this will bring the total count of Premier Inn-owned properties in Indonesia to 1,921 rooms and 14 hotels.

The first of the four hotels to open, the 112-key Premier Inn Bandung will start operation in 2H2015. It is situated near the Braga City walk entertainment complex and is a 15-minute drive away from Husein Sastranegara International airport. It also boasts a ballroom that can accommodate up to 500 guests.

Expected to open in 2H2016, Premier Inn Sentul will have 153 rooms and is situated near the Jungle Land Theme Park, Sentul Circuit and Sentul Convention Centre. It is a 60-minute drive from Soekarno-Hatta International Airport.

The 120-key Premier Inn Bali Legian is scheduled to be ready for business in 2017. It will have meeting facilities, a bar, multiple dining options, a fitness centre, swimming pools and a spa. Guests can walk to the nearby Kuta beach.

The 84-key Premier Inn Jakarta Gajah Mada is also expected to open in 2017. It is situated in Central Jakarta, near the city’s business and commercial districts, and will be a 30-minute drive from Soekarno-Hatta International Airport.

Premier Inn had earlier announced its debut in Singapore in mid-2016 with a 300-room hotel.

Expedia muscles up with Orbitz acquisition

By TTG Asia

February 13, 2015

EXPEDIA yesterday announced it has entered into an agreement to acquire Orbitz Worldwide, a move that will bring well-known online travel retailers such as CheapTickets under the same roof as Expedia’s Wotif and Hotels.com.

The acquisition, including all of Orbitz’s brands, totals to approximately US$1.6 billion and remains subject to approval by the shareholders of a majority of Orbitz’s common stock and other customary closing conditions, including applicable regulatory approvals.

Said Dara Khosrowshahi, president and CEO, Expedia: “We are attracted to the Orbitz Worldwide business because of its strong brands and impressive team. This acquisition will allow us to deliver best-in-class experiences to an even wider set of travelers all over the world.

“From the flagship Orbitz.com brand, to other well-known consumer brands such as CheapTickets, ebookers and HotelClub and the business-to-business brands Orbitz Partner Network and Orbitz for Business, Orbitz has built a devoted customer base and we look forward to welcoming the team to the Expedia family.”

This follows Expedia’s acquisition of Wotif in July last year as the group aims to secure a position in Asia.

Bintan Resorts intensifies promotions in India

By Rohit Kaul

February 13, 2015

BINTAN Resorts is stepping up efforts in India this year, having kicked off a two-city roadshow in Mumbai and New Delhi on February 10 and 12 respectively.

Said Asad Shiraz, director of marketing for Bintan Resorts International: “It was about four years ago when we last organised a roadshow in India. I think there is not enough awareness about Bintan here.

“The fact that Singapore and Bintan are so close to each other and yet so different, makes it a good proposition for India travel consultants to promote Bintan as a twin destination with Singapore.”

Having identified key partners for joint promotion and marketing, he added the company is seeking various ways to engage with India travel consultants, such as sending them direct mailers.

“We are also mulling hosting of office bearers of some key travel consultant associations, apart from giving presentations to their members, and participating in major tradeshows in India,” he shared.

Bintan Resorts recorded 17,528 tourist arrivals from India, a year-on-year increase of 8.9 per cent. However, the numbers from India stood at 21,150 in 2012.

Bintan Resorts has also partnered with the Changi Airport Group to emphasise the twin destinations concept. To this end, all Indian visitors to Bintan Resorts will enjoy a S$30 (US$22) voucher while on transit at Changi Airport, along with a free Mangrove Discovery Tour.

“We will distribute the voucher either through the inbound travel consultants in Singapore or from our ferry counters. This year many of our new facilities and products will be available, so we want to reintroduce Bintan and educate Indian travellers about our new developments.”

Manas Sinha, director, regional marketing office, Banyan Tree Hotels & Resorts, said: “We are looking to tap MICE, wedding and family segments in India. We expect to see at least 15-20 per cent growth in Indian arrivals in 2015.”

Within Bintan Resorts’ Lagoi Bay mega development, The Sanchaya resort opened in January, while the Lagoi Swiss-BelHotel and shopping mall Plaza Lagoi are expected to open in March.

A 100-year-old museum ship hotel, Doulos Phos, is expected to open this Christmas, apart from another shopping facility, Bintan Market Place, in 2H2015.

Bintan Resorts also expects to open its own international airport in early 2017.

5 global trends that will benefit Asia-Pacific’s tourism in 2015

By TTG Asia

February 13, 2015

FORGET the tumultous 2014, Asia-Pacific can look forward to a good 2015 with socioeconomic forces working in tourism’s favour. EyeforTravel identified five distinct forces that will influence international tourism in a white paper recently released.

First, the sustained dip in oil prices spells good news in terms of a lower overall cost of living, from potentially lower air fares to deflationary pressures increasing average disposable income.

Next, tourism stakeholders can compete well with the judicious use of social, good apps and mobile services to connect with the continuing force of digitally driven, well-informed, and social consumers.

The third trend pertains to China’s continuing influence, with AttractChina projecting 140 million Chinese tourists spending US$188 billion abroad in 2015. Localised issues such as Thailand’s political unrest and Malaysia Airlines’ flight disasters last year had limited impact, given that Chinese arrivals to the region began to rise again end-2014.

Meanwhile, the low-cost longhaul market has hugely untapped potential and is expected to grow, and the region could well leverage the fact that its potential longhaul audience is sited in an area of high population density comprising multiple nations.

Finally, there is evidence that inbound tourism will grow from further afield, although the majority of longhaul customers are expected to come from China, Australia and India. The US, for example, is projected to increase outbound travel by six per cent in 2015 – albeit not much of this to Asia-Pacific – the region can well tap into this market through a deal of communication work.

25% of Singapore travellers regret not buying travel insurance for holidays

By TTG Asia

February 13, 2015

A QUARTER of all Singapore travellers who did not buy travel insurance have regretted their decision, according to a study detailing the top travel mishaps to befall this group.

According to ACE Insurance’s online travel survey conducted with 525 Singaporeans in 4Q2014, 78 per cent of the respondents have experienced a travel mishap, with the top three mishaps being flight delays (54 per cent), falling ill (39 per cent) and baggage loss (19 per cent).

Although over 80 per cent travelled abroad for leisure more than twice a year, nearly one in four have regretted not buying travel insurance for their leisure travel.

While biggest travel worries included being injured in an accident (24 per cent), falling ill (23 per cent) and having valuables or travel documents stolen (15 per cent), the least concern was about political uncertainty and terrorism (nine per cent).

Interestingly, those aged 30 and below are more worried about loss or delay of luggage than those above 40 years old, who are more worried about being injured in an accident.

About 79 per cent of the younger respondents are also not likely to buy travel insurance for short trips, yet they travel more than any other age groups, with 64 per cent travelling more than twice a year.

ACE Singapore country president, Mack Eng, commented: “As more Singaporeans become avid travellers, there is a need to advocate ‘travelling smarter’ and to ensure that they are adequately protected.

“Travel insurance purchase is so convenient these days with the Internet and secured online payment. It is not surprising 65 per cent of respondents from all age groups who buy travel insurance, buy it online.”

The survey involved 525 participants in a study of their travel behaviour.

‘Bank on fuel efficiency, not fluctuating oil prices’

By Paige Lee Pei Qi

February 13, 2015

EVEN as global oil prices continue plummeting to a historic low, airlines are unlikely to benefit immediately due to fuel hedging, which is practised by most major airlines.

Speaking at the opening panel of the Aviation Festival Asia, Shakeel Adam, manging director of international aviation consultancy Aviado Partners, said: “Many airlines cannnot benefit in the short term because they are hedged up to 80 per cent, years in advance. So those who will benefit are often the cash-rich ones.”

According to International Air Transport Association, while fuel costs account for a third of airlines’ operating costs on average, the savings on fuel relative to the oil price decline are not as straightforward.

Sharing similar sentiments, Finnair COO, Juha Järvinen, said: “We are hedged from 60 to 80 per cent so possibly we will see more impact in the second half of the year rather than the first half.”

Adam suggests it is instead more viable for airlines to look at using fuel-efficient aircraft, pointing to Finnair as an example. Last December, the airline announced the additional order of eight A350 XWBs, which would provide at least 25 per cent improvement in fuel efficiency.

Järvinen said: “Fuel prices will go up and down. At the end of the day, it is the fuel efficiency savings and the unit cost that is the key.”

Separately, Singapore Airlines (SIA) yesterday announced it will reduce fuel surcharges for tickets issued on or after February 26. The reduction will apply to SIA and SilkAir flights, representing a decrease of US$5 to US$83 per sector, depending on the distance and class of travel.