TTG Asia
Asia/Singapore Friday, 19th December 2025
Page 2059

Bhutan’s visitor target achievable only with lower mandatory minimum spend: trade

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BHUTAN may fall short on its mission to develop long-term sustainable tourism that brings in at least 150,000 tourists a year if it maintains its current pricing strategy for international visitors, experts say.

According to Tourism Council of Bhutan (TBC), last year the destination received more than 110,000 international tourists, about 60 per cent of which were Indians, with most of the remaining 40 per cent – apart from citizens of Bangladesh and the Maldives – required to spend a minimum daily package of US$200-$250 depending on the season.

While the destination remains on the bucket list for many travellers, arrivals fall dramatically during its two low seasons – December to January and June to August – when many hotels achieve low double-digit occupancy rates.

Travel specialists are unsure the NTO’s targets can be reached with the current low-season slumps, saying the country would benefit from targeted campaigns that could reduce or waive the minimum daily package for specific niche groups, thus avoiding problems associated with mass tourism.

Anthony Hill, managing director, Adventure Travel, said he has suggested introducing a student visa to TCB as one option. “They could be selective who they give the visa to and have a cap on the number issued yearly,” he said.

Tim Christian Bilfinger, general manager, Le Meridien Thimphu, concurred: “There are many people from Europe or the US who would visit the country during the cooler low seasons, especially for trekking… (Bhutan) could reduce the minimum spend to attract such tourists.”

However, TCB spokesman Sonam Phuntsho said despite the lack of year-round jobs as a result of seasonality, which makes it hard to provide sustainable jobs in the industry and may see “us lose the best people from tourism”, the authorities have no plans to reduce the minimum daily package as part of targeted off-peak campaigns to attract “quality tourists”.

He said TCB would continue with the “high quality, low volume” policy and is confident of reaching its yearly target of minimum 150,000 tourists, by having “at least 50 per cent of them visiting parts of Bhutan currently (relatively) unvisited”.

Training and funding opportunities for Myanmar trade to promote innovation

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WITH an aim to help Myanmar’s tourism service providers create new and innovative products in order to compete with other destinations, the UK-funded Business Innovation Facility (BIF), with the support of Union of Myanmar Travel Association, recently held a seminar in Yangon offering related training and funding.

Two key activities required to enhance the competitiveness of the sector in Myanmar were announced at the seminar.

The first was a training programme in innovative product development that BIF will offer in May, covering innovative product design, marketing, finance and pricing, conflict sensitivity results management.

The second announcement pertained to a funding opportunity – up to US$450,000 over 2015 and 2016 – through the Package and Product Innovation Competition scheduled for June and July.

Companies can apply for up to US$20,000 to be spent within the tourist seasons, with the maximum award up to half the project cost for a new product that meets BIF’s criteria.

Winners will be expected to continue to offer and expand the product on a commercial basis following the piloting, and to provide sufficient information for BIF to be able to stimulate the market for others to develop innovative products.

Malaysia eyes South Asian destinations other than India

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MALAYSIA is stepping up promotional activities in other South Asian markets beyond India to increase tourist arrivals from the region.

As per the latest statistics of Malaysia Tourism Promotion Board, arrivals from Bangladesh, Nepal and Pakistan are growing, albeit from a small base.

Between January and October 2014, arrivals from Bangladesh, Pakistan and Nepal recorded a year-on-year increase of 54.1 per, 18.7 per cent and 12.7 per cent respectively, although Sri Lanka slipped a marginal 2.2 per cent. Indian tourist arrivals grew 20.7 per cent year-on-year to reach 643,335.

The NTO is targeting 1.2 million tourists from South Asia, including 800,000 tourist arrivals from India, this year.

On the sidelines of a press conference to promote Malaysia Year of Festivals (MYFest 2015) yesterday, Malaysia Tourism Promotion Board deputy director general (promotion), Azizan Noordin, revealed: “We will step up our trade and consumer promotional activities in these markets this year through tactical advertising with travel consultants and airlines as well as fam trips for the consultants and media.”

The board’s director, Manoharan Periasamy, added: “We are recording a good incentive movement from Pakistan. Our plan is to participate in all the tradeshows in markets like Bangladesh and Sri Lanka. We will intensify our joint marketing campaigns with travel consultants to showcase Malaysia as a family and business destination.”

Meanwhile, the board is also looking to organise a luxury travel mart in India in 2H2015 to promote the concept of affordable luxury in Malaysia among Indian travellers. About 25 suppliers from Malaysia are expected to participate in the travel mart.

The board has embarked on a sales mission since yesterday covering New Delhi, Kolkata, Mumbai, Chennai and Hyderabad until February 17, to create awareness for MyFest2015. Twelve to 14 activities under MyFest2015, pertaining to shopping, sports and culture are being promoted.

Stringent airport slot rules might turn Qatar services away from Japan

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QATAR Airways is reportedly considering halting its daily services from Doha to three airports in Japan in a dispute over the timing of its arrival and departure slots.

A source claimed the airline is in “the final stages of deliberations” on withdrawing its flights to Tokyo’s Narita and Haneda airports, as well as its service to Osaka’s Kansai International Airport, Reuters reported.

“This is due to the restrictive policies over slot timings and runway limitations that prohibit the airline from operating at timings that provide economic benefits and optimal connectivity for passengers,” said the source.

When contacted by TTG Asia e-Daily in Tokyo and Doha, the airline declined to comment on the reports.

Restrictions on airlines’ access to slots at Japanese airports have long been a concern for the industry, even after the massive expansion of Haneda Airport.

“There are very strict regulations on airport slots here, with part of the problem the capacity of air traffic control to handle flights in and out of Japanese airports,” Geoffrey Tudor, an analyst for Japan Aviation Management Research, told TTG Asia e-Daily.

“Qatar Airlines is a fairly recent addition to the airlines serving Japan and there is substantial competition with other Middle Eastern airlines coming here,” he said, adding that airlines in the region have become increasingly popular as transit hubs for passengers travelling between the Far East and Europe.

Other airlines have long been calling for improved access to the most convenient – and therefore most popular and lucrative – slots at Japanese airports, which they claim are preferentially allocated to domestic giants Japan Airlines and All Nippon Airways to a degree that is unfair.

“The majority of airport slots are allocated very conservatively and are subject to a lot of local pressure,” said Tudor, pointing out that Tokyo’s Narita Airport is subject to a curfew between 23.00 and 6.00 due to concerns over noise pollution affecting nearby residents.

Be a positive agent of change

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xinyi1Be a positive agent of change
It is with anticipation that I read that the Asia-Pacific Network on Accessible Tourism is setting up country chapters to champion barrier-free travel for people with disabilities in the region (see page 7) – a movement that South-east Asia strongly needs.

Bangkok, where I now call home, may be a fascinating city that beckons repeat visitors year after year, but its non-integrated public transport systems and cracked pavements often leave me wondering how a family with young children and strollers in tow or a physically challenged traveller could properly navigate the capital. Such experiences are repeated across many Asian cities, unfortunately, and if travellers leave with a bad taste in the mouth, will they even want to visit the destination again?

But far from suffering from a broken tourism scene, South-east Asia is also fast becoming a fertile ground for novel and meaningful travel ideas. I can’t help but be inspired by a growing class of influencers and entrepreneurs shaping the region’s travel landscape.

Driven by a desire for a world with equal socio-economic opportunities, engineer turned social entrepreneur Somsak Boonkam founded LocalAlike (see page 9) to promote community-based tourism in Thailand. What impressed me was Somak’s rural background, which was not a deterrent but an impetus for him to empathise with disadvantaged groups and set up a platform for community-based tour operators to connect with world travellers and improve their livelihoods.

Somsak’s vision is laudable, and I sincerely hope that this start-up will retain its sustainable principles and make good progress in the days ahead to inspire more like-minded Asians to come forth and set up meaningful tourism entreprises too.

I strongly believe that tourism need not be a detrimental force, and everyone, whether a travel consumer or seller, can play a part to make travel more inclusive and make the world into a better place, one trip at a time. For travel sellers, obtainable ways would be engaging the services of responsible ground operators, may it be recommending restaurants that have implemented no shark’s fins policies or hotels that have pledged their stand as an ethical operator to oppose sexual exploitation of children in tourism. Lately, there has been a noticeable shift away from elephant rides in the industry, with Bangkok-based Asian Oasis being the latest tour operator to drop elephant rides from its tours to end animal cruelty in tourism.

There is no lack of positive initiatives in this part of the world; what we need is the support of trade members to share these meaningful tourism products with a greater audience.

Hopes high on Philippines’ second connection to Europe

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CEBU Pacific has been given the go-ahead to serve its first longhaul destination, Rome, and the travel trade hopes its transition from a budget to hybrid carrier will lure the much-coveted European tourists into the Philippines.

Said Gigi Barcia, general manager, TravelSerivces: “Initially, a majority of the passengers will be overseas Filipino workers, but eventually if its performance is good, it will pick up for foreign tourists as well.”

Carmelo Arcilla, executive director of Philippine Civil Aeronautics Board, told TTG Asia e-Daily today: “Yes, Cebu Pacific is given the authority to fly to Rome, subject to compliance with all requirements.”

The board had originally intended to decide at its February 23 board meeting whether to grant the airline’s application to take seven of the 14 weekly flights to Italy that were given to, but not being used, by Philippine Airlines (PAL).

PAL’s new management had earlier said it will hold plans to fly to Rome and Milan. PAL’s Manila-London service, which started in November 2013, is currently the only direct flight to Europe from Manila.

Kristine Mariano, sales and marketing supervisor, Amkor Travel and Tours, said the advantage of having a longhaul LCC is the reasonable airfares, especially as “not all European foreigners can afford to travel longhaul to the Philippines”.

Eugene Tamesis, director of sales and marketing, Fairmont Makati and Raffles Makati, agreed: “Even if this is a budget airline connection, it still is a direct flight which can only benefit the Philippines as a destination, and pave the way for other airlines to follow, depending on the success of Cebu Pacific.

“With very limited direct flights to and from Europe, this will open up new potential source markets for the Philippines.”

He added that the service will be a good springboard from Europe to Manila, as observed through Cebu Pacific’s connectivity in Asia that made it easier for European travellers to visit the Philippine islands.

However, industry sources also hope that Cebu Pacific will not be overbooked, as it did during the high Christmas season last year, causing flight delays and cancellations that forced the government to slap the carrier with a 52 million pesos (US$1.2 million) penalty.

Also on their wishlist is that transit passengers to Rome will be allowed to embark even for a few hours without a transit visa. Cebu Pacific had encountered problems with its new Australian flight because the Philippines has no internal agreement with Australia that allows transit passengers at Sydney’s airport.

This story was updated on February 10, 2015 upon our receipt of the confirmation that Cebu Pacific has indeed been granted permission to fly to Rome.

Shangri-La opens doors to new hotel in China’s Nanchang

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CHINA’S north-eastern city of Nanchang yesterday welcomed the launch of a new Shangri-La property.

Located on the west bank of the Ganjiang River in Honggutan, the new central business district, the 473-room Shangri-La Hotel, Nanchang is a five-minute stroll from Qiushui Square and within 30 minutes’ drive to the train station and Changbei International Airport.

The guestrooms and suites, ranging from 45m2 to 149m2, are equipped with in-room entertainment and free Wi-Fi, while the Horizon Club Lounge offers express check-in and check-out, complimentary breakfast buffet and evening cocktails, and full concierge service.

The private space on level 32 is designed with commanding 180-degree vistas and an airy outdoor terrace.

F&B outlets include the all-day dining Café Hong, Chinese restaurant Zi Yu Xuan offering eight separate dining rooms for private functions, and the Lobby Lounge featuring sweet and savoury options, as well as live entertainment for informal meetings.

Recreational facilities span a multi-purpose gym, 25m indoor pool, Jacuzzi, steam and sauna room, beauty salon and spa.

The 3,880m2 of event space for up to 1,800 guests includes a pillarless grand ballroom attached to an expansive foyer with a river view, a junior ballroom and five other function rooms.

Wyndham property to greet guests in Yangon by 2017

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WYNDHAM Worldwide Hotel Group has officially entered Myanmar following the inking of an MoU early this month with Asia Myanmar Shining Star Company, a joint company of Yangon-based Asia Myanmar Consortium Development Company and Hong Kong-based Shining Star Investment Company.

Under the agreement, the five-star Wyndham Grand Yangon Royal Lake Hotel will be part of the US$157 million mixed-use Kantharyar Centre Project at the southern fringe of Kandawgyi Lake, said Kyaw Khaing, managing director of Asia Myanmar Consortium Development Company.

Apart from the 258-room hotel, the project also includes a 132-room residence tower, 168-room office tower, serviced apartments and retail centre.

Wyndham Worldwide will be operating the hotel as well as the serviced apartments, said Kyaw Khaing.

He added: “We believe in the management experience of Wyndham Worldwide Hotel Group. We will invest about US$70 million in the hotel. So far, the ground work for Phase 1 is completed and we hope to complete the whole project by 2017.”

Phase 1 includes the completion of the office tower, Phase 2 will include the retail centre and serviced apartments, and Phase 3 will include the hotel and residence tower, he revealed.

Leverage technology for better product quality

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WHILE technological developments enable travel companies to better connect with both the consumer and trade, ensuring product quality will be key to any platform’s success, specialists say.

AdventureLink, an online platform that sells adventure travel, recently signed a deal with WayBlazer, which uses cognitive technology – also known as artificial intelligence – to revolutionise the way in which travellers research and purchase tours.

Said Kelly Tompkins, CEO of AdventureLink: “WayBlazer is using IBM Watson (processing technology) and working with a (content) partner to use cognitive technology to recommend trip packages, based on a user’s evolving reading pattern.

“It tracks what you’re interested in; knows what cuisine you like; where you’ve travelled to; whether you like hiking, cycling, paragliding; and more. Then it suggests new stories for you to read and recommends travel and tours.”

As a partner, AdventureLink provides WayBlazer with select adventure tours from some 1,200 DMCs and local and international operators.

Said Tompkins: “We help manage sales, revenue elasticity, supply and demand for clients. Clients can also use AdventureLink for targeted promotions when they have excess supply for a tour. This is all unbranded so there’s no cannibalisation.”

Meanwhile, Australia-based Adventure Travel will in April launch a dynamic packaging platform that enables consumers and travel consultants to build packages for FIT travellers, including transport, accommodation and tours.

Its managing director, Anthony Hill, told TTG Asia e-Daily: “There will always be tours, but the growth will be in FIT travel. We’ve developed the system to reduce the time people waste putting their trips together.”

While both companies emphasise product quality, the process is more complex within the FIT market.

“My team (and I) have personally checked every property and most of the tours,” said Hill. “Our typical customer is an 18-year old Scandinavian women who is travelling alone, so we make sure that every hotel is within easy walking distance of the local bars and restaurants.”

Aim for sustainability, not numbers: Myanmar trade

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MYANMAR’S Ministry of Hotels and Tourism is targeting 2015 arrivals to surpass last year’s over three million visitors, but the trade is urging for a tourism development approach that focuses more on sustainability than numbers.

Speaking on the sidelines of the ASEAN Tourism Forum in Nay Pyi Taw last month, tourism minister Htay Aung had said that Myanmar hopes to attract 4.5 to five million tourists this year.

Calling the focus on generating numbers an old-fashioned approach to tourism development, Andrea Valentin, director of Yangon-based NGO Tourism Transparency, said: “The authorities should focus on what they said they would do when they passed the Responsible Tourism Policy in 2012 and the Community-Involved Tourism Policy in 2013.”

Referring to the government’s recent announcement on the construction of 20 new hotel zones nationwide, she said: “Creating high-end luxury hotel zones without meaningful stakeholder consultations with the affected people who will have to make way for such developments stand in direct contrast to the responsible tourism pledge.

“Also, are the tourism infrastructure needs being defined according to what’s needed? Of course we need more and better hotels, but we also need small guesthouses.”

She added that such a development not only benefits merely a small tourism elite, neglecting the needs of people on the ground, but may also lead to over-capacity, which in turn could cause a price war, affecting Myanmar’s image as a unique tourism destination.

“The voices of those directly affected by hotel constructions absolutely need to be taken into account,” she opined.

Concurred Marek Lenarcik, general manager of Thahara: “Focusing on increasing tourism numbers is never a sustainable approach, especially as it seems last year’s three million visitors included all border crossings, even if the visitor spent less than 24 hours in the country.”

He suggested: “The more sustainable approach would include promoting parts of Myanmar as year-round destinations, extending an average length of stay and encouraging investors to develop hospitality services beyond the major destinations.”