TTG Asia
Asia/Singapore Friday, 26th December 2025
Page 2145

[SPONSORED POST] Engage Asia’s Largest Congregation of Corporate Travel Professionals at CTW Asia-Pacific 2014

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MORE than 100 regional corporate travel professionals have been invited to attend one of Asia’s largest corporate travel conference and exhibition at Corporate Travel World (CTW) Asia-Pacific 2014.

This annual show attracts leading corporate travel procurement executives from around the region and they are applicants from leading multinational corporations Around Asia Pacific including Accenture, Bosch Group, Freescale Semiconductor, Emerson Network, OCBC Bank, and BNP Paribas just to name a few.

The show receives strong support from industry partners such as Association of Corporate Travel Executives (ACTE) in programme development. Start off the day with the insightful education sessions delivered by the esteemed industry partners.

That’s not all. End off the day by attending the various social networking functions and establish contact with the regional corporate travel executives.

Register here before 31 August 2014 and enjoy an early bird discount of 15% off the standard rate.

Sailing into new horizons

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For increasingly sophisticated Asian travellers, the lure of far-flung destinations has never been greater. We look at what’s hot and how travel experts can sell longhaul cruises more effectively

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From left: Celebrity Solstice sails week-long cruises to Alaska; the pool deck on Oceania Cruises’ Insignia, which recently underwent a multimillion bow-to-stern refurbishment 

Norwegian Cruise Line
Michael Goh, senior vice president – sales

How has the Asian demand for longhaul cruises grown? What’s driving it?
Sales for Norwegian Cruise Line’s (NCL) cruises by mid-2014 had exceeded the whole of 2013, which was more than double that of 2011. This demand is driven by growing affluence in Asia-Pacific.

Our main target is the rising mass middle class with high disposable income from Singapore, Malaysia, Australia, Japan, India and China.

Which destinations are hot?
Asian holidaymakers are becoming sophisticated travellers eager to experience destination-centric longhaul cruises. Popular destinations include the ice glaciers and wildlife of Alaska, new cities in Europe, and UNESCO World Heritage Sites in the Mediterranean and Caribbean.

Any new longhaul product offerings?
NCL guests can indulge in three new dedicated seafood venues by celebrity chef Geoffrey Zakarian on Norwegian Breakaway, and Carlo’s Bake Shop by TLC’s Cake Boss star and master baker Buddy Valastro on both Norwegian Getaway and Norwegian Breakaway.

Activities include the Aqua Park waterslides (featured on this issue’s cover), elevated rope course, Wii Wall, and interaction with Nickelodeon characters like SpongeBob SquarePants.

Entertainment offerings include Blue Man Group performances, Broadway hit musical Rock of Ages and Illusionarium’s Cirque Dreams & Jungle Fantasy dinner show on Norwegian Breakaway, and fireworks display on Norwegian Getaway.

How are cruise prices like?
NCL’s fly-cruise packages have become value-for-money due to excellent flight connectivity and dynamic rates. For example, a seven-day Western Mediterranean Cruise from Barcelona on Norwegian Epic starts from US$649, a seven-day Alaska Cruise from Seattle/Whittier/Vancouver on Norwegian Jewel/
Pearl/Sun starts from US$499 and a seven-day Hawaii Inter-Island Cruise from Honolulu on Pride of America starts from US$899.

What do travel agencies need to know to sell longhaul cruises better?
A consortium of travel specialists has been formed to offer a one-stop service to procure comprehensive NCL fly-cruise packages at preferential rates for their clients. Consortium members are provided regular training and the latest NCL information such as seasonal ship deployments, new entertainment and culinary options, and recreational facilities.

 

Princess Cruises
Farriek Tawfik, director of South-east Asia 

How has the Asian demand for longhaul cruises grown? What’s driving it?
We are seeing significant growth in longhaul cruise bookings especially for our Alaska, Mediterranean and Scandinavia itineraries among South-east Asian cruise customers. Our guests are usually middle-class, middle-aged experienced cruisers who prefer longhaul trips.

The increase in enquiries and bookings could be attributed to the booming consumer market and increase in purchasing power of the Asian middle class. Travel consultants are also becoming better educated in marketing cruise products, e.g. our consultants are trained to sell itineraries to different target segments through Princess Academy.

Other factors are the region’s increased capacity to handle larger and more ships, plus greater awareness of cruising due to trade shows, media coverage and the government’s publicity efforts.

Which destinations are hot?
High in demand are our Alaska itineraries, which include a season of seven-day voyages on Grand Princess and Crown Princess. Also popular is our Scandinavia and Russia itinerary featuring 11-day sailings on Royal Princess, and our Grand Mediterranean itinerary featuring seven-day voyages to Barcelona, Venice and other European destinations on our newest ship, Regal Princess.

How are cruise prices like?
Due to economies of scale, as cruise ships boast larger capacity, cruise holidays are becoming more affordable. A seven-day cruise of Alaska is priced from S$1,060 (US$850) per pax; a 12-day Grand Mediterranean cruise is S$2,749; and an 11-day Scandinavia sailing costs S$2,874.

What do travel agencies need to know to sell longhaul cruises better?
Certain nationalities require visas to enter European or North American destinations so travel agencies need to be able to facilitate visa applications and advise guests on getting visa approval for all ports of calls.

Guests should arrive at the starting city four to eight hours ahead of the cruise departure time, and book flights home that are four to six hours after the arrival of the cruise ship at the end destination.

They should also prepare sufficient amounts of currency for respective ports of calls. The US dollar is the official currency accepted on the ships but money exchange services are available on board too.

 

Costa Cruises
Buhdy Bok, senior vice president, Pacific Asia & China 

How has Asian demand for longhaul cruises grown? What’s driving it?
Longhaul cruise demand has increased greatly, and we envision the rising demand will continue and has the most potential among Asia’s middle-class segment. Asian guests started from shorthaul cruises and have gradually broadened their experience to longhaul cruises.

Our biggest Asian markets are from China and Japan. Our customer profile are families, couples and individuals aged 35 and above.

Which destinations are hot?
Barcelona, for its extraordinary architecture such as La Sagrada Familia, Parc Guell, Casa Batllo and Casa Mila; Marseille, for its historical sights; and Santorini, popular with honeymooners.

Any new longhaul product offerings?
Around-the-World cruise on Costa Atlantica will visit 28 popular destinations in 18 countries in 86 days. This new product offering is specially created for Greater China and Asian guests, with Chinese-speaking crew members on board, and Asian cuisines and entertainment activities.

How are cruise prices like?
Costa Cruises’ fares have always been great value for money. For example, fares for Costa Atlantica’s first Around-the-World cruise starts from US$17,742 per pax.

What do Asian travel agencies need to know to sell longhaul cruises better?
Costa Cruises works closely with our preferred travel consultants around the world and provides continuous training and familiarisation trips for them to fully understand and experience Costa Cruises’ products.

 

Crystal Cruises 
Marnie Whipple, director of international sales

How has the Asian demand for longhaul cruises grown? What’s driving it?
Our growth is strongest from Hong Kong, Malaysia, Indonesia and the Philippines while remaining solid from other countries in South-east Asia, with family groups leading the growth. Notably, 41 per cent of our guests are moving up from premium brand to luxury experiences.

Which destinations are hot?
The Mediterranean is the most requested destination for our Asian guests, with voyages offering overnights in marquee ports such as Barcelona and Rome.

Any new longhaul product offerings?
This year, we welcomed six new themes  on board 23 Crystal Symphony and Crystal Serenity voyages. They are Extreme Thrill Seekers, featuring shark divers, underwater photographers and deep-sea treasure hunters; Explorations Elegance, where auction house experts share insights on jewels, wines and real estate; Gladiators & Empires, exploring the Roman Empire civilisation through Italy’s ruins and museums; Up Close & Magical, with shows and classes by maestros from Hollywood’s members-only club, The Magic Castle; Maritime: Past, Present & Future, a trans-Pacific sailing with maritime experts and historians; and Wine & Food: Microbrews, where guests enjoy tastings and cuisine pairings with experts.

How are cruise prices like?
All-inclusive fares for 2014 theme cruises start at US$1,995 per pax, with additional savings available for groups of six or more. Generally our ships are selling out months earlier in recent years.

What do Asian travel agencies need to know to sell longhaul cruises better?
We encourage consultants to be active in the selling process by listening to their clients’ wishes and presenting products clients may not have tried. Remember to sell to the guests’ dreams and match products to their lifestyle and aspirations – not what you find interesting. Keep track of where your clients have been and help them plan what’s next on their wish list.

 

Royal Caribbean Cruises
Jennifer Yap, managing director, Singapore and South-east Asia

How has Asian demand for longhaul cruises grown? What’s driving it?
We are seeing a gradual growth in demand across our markets in Asia for our longhaul cruises outside of Asia.

Which destinations are hot?
Most popular are Alaska and Europe – demand for these two destinations has been greater especially with the arrival of Celebrity Cruises’ Solstice-class ships in the region in recent years. With Royal Caribbean International’s Allure of the Seas and Anthem of the Seas sailing in Europe next year, we expect these new ships to significantly drive Asia’s demand for our Europe cruises as well.

Any new longhaul product offerings?
For 2015 and 2016, Celebrity Cruises has created special cruises around world cultural events such as the Cannes Film Festival, Rio Carnival and British Open.

How are cruise prices like?
Our cruise fares have been similar these last few years, although the early-bird prices (nine months to one year ahead) are always the most attractive as they are about 20 per cent cheaper.

Our Europe itineraries are most popular with Asians and have a minimum of seven nights, with fares starting around S$900+ per pax (US$723). For Alaska, most of our itineraries are seven nights long and fares start from S$1,100 per pax.

What do Asian travel agencies need to know to sell longhaul cruises better?
We encourage our consultants to personally experience such cruises and the whole journey to know the product well. A 
good knowledge of flight availability and timing to coordinate with the sailings, plus seasons and weather conditions, is also vital.

 

Holland America Line
Jerrol Golden, international public relations manager

How has Asian demand for longhaul cruises grown? What’s driving it?
As Holland America Line is not in the short-cruise market within Asia, all of 
our sales from Asia would be considered longhaul. Our guests tend to be experienced cruisers who have been on local Asian cruises before and/or cruised longhaul with other cruise companies. A number of our guests travel in escorted groups, particularly from China, Taiwan and Japan.

Which destinations are hot?
Europe cruises are by far the most popular among Asians, with the Mediterranean most often booked. Alaska is our second most popular destination.

Any new longhaul product offerings?
We are the leader in longer, more exotic voyages. For example, this fall, Rotterdam is offering an 84-day circum-navigation voyage around Africa.

How are cruise prices like?
Our cruises range from US$59 per pax for a 1N Pacific Coast on Westerdam to US$3,499 for 19N South America/Antartica on Zaandam.

What do Asian travel agencies need to know to sell longhaul cruises better?
Asian markets tend to book much closer to the departure date than other markets. Longhaul cruises have guests sourced from worldwide, thus travel agencies used to finding space a few months or even weeks before departure might be surprised that the requested stateroom category or even the sailing is unavailable for a last-minute client. This is particularly true for groups as group space is recalled about three months before departure.

We are happy to work with travel agencies to produce custom shore excursions for their groups too.

 

Oceania Cruises & Regent Seven Seas Cruises
Constance Seck, director of international sales, Asia, Prestige Cruise Holdings 

How has Asian demand for longhaul cruises grown? What’s driving it?
With the arrival of Marina in 2011 and Riviera in 2012, Oceania’s profile has been raised considerably. Regent Seven Seas is seeing significant buzz for the investments made to the ships and on-board products.

Our Asian guests fit into the same profile as their global counterparts. They are mature, affluent, well-travelled, and enjoy fine food and wine, history and unique cultural experiences. They gravitate to upscale lines like Oceania and luxury products like Regent Seven Seas because they want an exeptional culinary offering, warm and personalised service, and best-in-class destination experiences.

Which destinations are hot?
Europe is our most popular destination for both brands. Northern Europe, including the Baltics, and the French and Italian Rivieras are perennial favourites.

Any new longhaul product offerings?
Almost all our 2015 European itineraries are new. Oceania has voyages to the British Isles, Iceland and Greenland, plus 
our first-ever Around The World cruises. Regent Seven Seas journeys into the Norwegian fjords, Arctic Circle and Solovetsky Islands, with longer Grand Voyages of up to 85 days.

How are cruise prices like?
For a seven-day 2015 Europe sailing covering Barcelona and Rome, Oceania fares start from US$1,049 per pax. For Regent Seven Seas, all-inclusive fares start from US$4,259 per pax for a similar itinerary.

What do Asian travel agencies need to know to sell longhaul cruises better?
It’s best to book as early as possible to secure clients’ preferred suite or stateroom, and their preferred air routes and 
carriers. We release itineraries approximately 12-14 months in advance, which sync up with the release of air schedules and fares.

Additional reporting from Mimi Hudoyo, S Puvaneswary, Gracia Chiang, Caroline Boey and Kathy Neo

This article was first published in TTG Asia, August 22, 2014 issue, on page 10. To read more, please view our digital edition or click here to subscribe. 

The next-gen travel leaders – part 2

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Young, ambitious and ready to rev up their business to greater heights, here are some of Asia’s next-gen CEOs. Read also The next-gen travel leaders – Part One to meet other young CEOs leading Asia into the future

Singapore | Clifford Neo, 38, managing director, Dynasty Travel

22-august-clifford-neoWith technology making huge strides and revolutionising the travel space, many critics have viewed traditional travel agencies as a ‘sunset’ industry. But Clifford Neo, managing director of Dynasty Travel, begs to differ, and is using innovative technology to drive the growth of his agency.

He said: “Technology is the rage today, and I have spearheaded many new initiatives and scored an industry breakthrough with our own iPhone travel app, iDynasty, in 2012.”

With this app, customers are able to browse travel package details and even redeem their after-travel rewards points for shopping/food/travel vouchers and cinema tickets – on the go.

Keeping in mind customers’ evolving travel needs, he added: “We want to slowly steer our sales consultants away from the traditional paper-and-pen tour agency norm.”

This year Neo launched an iPad mini booking system, which enables all frontline staff to conduct their sales pitch anytime, anywhere.

In pursuit of brand excellence and customer satisfaction, Neo said the company is always looking to improve and differentiate itself from the rest of the industry by creating unique travel experiences.

Looking forward to the future, he said: “We are intending to capitalise on the surging tourist traffic from wealthy (markets) with special luxury travel package offerings.

“We are also looking to expand the business regionally via B2B collaborations with key partners in the region in countries such as Malaysia and Indonesia in the next two to three years to grow the business even further,” he added.

By Paige Lee Pei Qi

 

Sri Lanka | Chaminda Dias, 38, managing director, Luxe Asia

For a 38-year-old, Chaminda Dias seems to already boast close to half a lifetime of experience in the travel and hospitality sector.

Dias started his career as a management trainee at the Hilton Colombo, then moved to United Holidays to handle destination marketing before founding Luxe Asia five years ago with financial backing from Expolanka Holdings, a diversified conglomerate in Sri Lanka.

Operating in Sri Lanka with a presence in the Maldives, the Colombo-based DMC’s core business is predominantly B2B but it has ventured into B2C initiatives in certain mature markets such as the UK, according to Dias.

Dias, who continues to head Luxe Asia as managing director when the company came under the ownership of Galle Face Hotel Group in January, believes that the new owner’s inventory of 800 rooms across Sri Lanka will give the DMC further flexibility and edge in the market.

With his sights set for Luxe Asia to be “among the best travel groups” in Asia, Dias sees Luxe Asia as a well-established brand in five years’ time, and one which leverages technology as a potent weapon to stay ahead.

“With the right technology platforms we can be anywhere we want; we can bring travellers from anywhere to anywhere (they want),” he said. “Innovation is changing the travel industry. Clients have access to products and are constantly searching for new packages, new ideas. That’s where we want to pitch in and provide niches.

“For example Luxe Africa could be a possibility – anything is possible once we get our technological platforms. Africa is kind of a virgin territory and I would like to exploit that market,” he added.

Mauritius, the Seychelles and Bali are also on Luxe Asia’s radar within the next three years. Said Dias: “If they (travellers) trust you in Sri Lanka and the Maldives, they will trust you to get the product right in other places as well.”

By Feizal Samath

 

Maldives | Shafraz Fazley, 34, managing director, Viluxur Holidays

22-august-shafrazfazleyShafraz Fazley, managing director of Viluxur Holidays, has set a five-year timeline to achieve his goal of turning the DMC into Asia’s leading luxury travel consultancy.

Within three short years since its inception in 2010, Viluxur Holidays now boasts a US$40 million annual turnover in the Maldives, with more than 100 staff across its four offices in Sri Lanka, Maldives, China and Singapore. The company recently moved its headquarters to Singapore and started B2C operations last year.

A GSA for many resorts in the Maldives and Sri Lanka alike, Fazley aims to launch one new inbound destination per year for Viluxur Holidays, with Mauritius, Seychelles and Bali being next on the radar.

“The key to entrepreneurial success is innovation, the confidence to take risks, healthy competition and the love to overcome obstacles,” said Fazley.

“I also relish the opportunity for constant growth.”

Viluxur Holidays’ current strengths lie in China and other emerging markets in niche luxury segments such as wellness and photography travel, carefully identified by Fazley after a thorough analysis.

The ambitious entrepreneur wants to focus on creating theme-based experiences for discerning clients seeking meaningful travel.

“During our routine brainstorming sessions, great suggestions include tweaking responsible tourism experiences to enhance the satisfaction of the traveller,” he said.

Activities like coral adoption, whale shark and manta ray protection, and local charitable missions will be implemented as innovative segments for Viluxur’s destinations.

Recognising travellers’ increasing willingness to pay a premium for specially designed trips, Fazley elaborated: “We can tap a few associations with certain interest and invite their members on a special tour. The idea is to incorporate their hobbies into their holidays.”

By Feizal Samath

 

Macau | Lawrence Cheng, 34, manager-MICE & inbound, Meg-Star International Tours

22-august-lawrence-chengWhen he first enrolled in Macau’s Institute for Tourism Studies, Lawrence Cheng was not certain if he would pursue a career in the tourism industry.

However, a stint as a tour leader after graduation convinced him that interacting with travellers and being able to meet their needs would give him immense job satisfaction.

Cheng then spent a year in ground operations at the Macau International Airport and three years in sales at Macau Fisherman’s Wharf, further beefing up

his portfolio by handling MICE and inbound operations at EGL Tours and business development at the Westin Resort Macau before joining the seven-year-old Meg-Star International Tours earlier this year.

“Meg-Star used to focus on selling hotels and air tickets, but saw the opportunity to establish a MICE & inbound department (in 2014),” Cheng said, adding that there are only about 10 DMCs in Macau.

Having cut his teeth organising Junior Chamber International Macao events, Wong jumped at the chance to join Meg-Star’s newly launched department and incorporate new ideas into teambuilding activities.

“For example, we have added the element of a food treasure hunt in a Portuguese cooking class. The teams are given the recipe and have to go around Macau to find the ingredients; in the process learn more about the places they visit,” he said.

“Each programme is tailormade,” Cheng continued. “The sales conference for a telecommunications company of 250 international attendees was based on the Amazing Race (reality show). But it included the challenge of finding a piece of puzzle at the various checkpoints (in order) to create the company’s logo at the finish line.”

By Caroline Boey

China | Yates Fei, 34, general manager, HRG China

22-august-yatesfei

Yates Fei first joined HRG in 2005, assuming his present role as general manager in October 2013 responsible for developing and executing HRG’s overall business strategy in China.

Apart from playing a key role in winning a number of lucrative accounts for HRG, Fei successfully migrated more than 60 per cent of HRG China’s clients onto a card platform as well as implemented the company’s online strategy for a number of large multinational accounts.

“When HRG first entered the China market a decade ago, the concept of a TMC managing the travel needs of organisations based here was a fairly new concept,” said Fei.

“HRG had to work hard to change mindsets, deliver tangible results and win new business by educating new clients on the concept of travel management via programmes that projected clear dollar values.”

HRG was the first foreign-owned travel company to establish the corporate travel market in China through a majority share joint venture with Jin Jiang International in 2004.

The company has also grown from just 20 employees to over 280 based in the key locations of Beijing, Guangzhou and Shanghai, according to Fei.

He added: “During the last 10 years we have seen significant changes within the corporate travel industry including the introduction of dynamic online booking tools and the widespread use of mobile apps; payment methods moving from invoice to credit card platform; and a shift of focus from air spend management to wider consolidation and process engineering.

“China is set to become the largest corporate travel market in the world, and the average Chinese business traveller has embraced technology and the use of online booking tools or travel apps.”

On what motivates him in his job, the avid traveller replied: “My main objective is to deliver proven value to our clients. Once we deliver the savings, turn around perceptions and help the clients to achieve better compliance, I feel very rewarded.”

By Caroline Boey

Laos | Markus Neur, 36, owner, Tiger Trail

Born in Germany, 36-year-old Markus Neur found his calling on the other side of the world in Laos.

Neur joined Tiger Trail in 2005, taking over the Luang Prabang-based tour operator in 2008 as owner. The company now employs 56 full-time staff members in Luang Prabang and six staff in a franchise office in Thailand’s Chiang Mai.

Since its beginnings in 2000, the company has always offered socially responsible and adventurous travel, developing its own Fair Trek brand to support local tourism initiatives.

Neur saw great potential in the adventure travel sector, implementing a ‘We are Laos’ ethos to hire predominantly Laotians and a small number of expats who know the destination. He is still excited today by the prospects of discovering remote landscapes in Laos and witnessing ongoing development in its towns.

From an agency offering short adventure tours and multi-day excursions, Tiger Trail now primarily operates as a DMC handling full country services for tour operators worldwide. While still assisting walk-in backpackers looking for a homestay, the majority of clients are expats living in Indochina, and markets from the Americas and Australia.

“Present marketing activities are heavily aimed at social media, including what is perhaps the largest picture database of Laos on Flickr,” Neur commented. “Great focus is also placed on regular engagement through Facebook, our habitual blogs, newsletters and after-sales customer care to (travel consultants) and individuals.”

Brand awareness among hotels, suppliers and visitors in the local region is being strengthened through a free Luang Prabang mini-guide, with the first edition published last year and the second due in October. Suppliers can also advertise their products by adding their branding to Tiger Trail’s online video projects.

By David Andrews

Cambodia | Nick Reth, 26, operations director and owner, Apsara Tours

For 26-year-old Nick Reth, the travel industry is all he has ever known. Born and raised in Cambodia, his growing up years also paralleled the development of tourism in the country. Reth is now the operations director and owner of Apsara Tours, which was established by his parents in 1991.

Apsara Tours was the first inbound operator to launch in Cambodia after the country opened its doors to foreign tourists following the dissolution of the Khmer Rouge party. The elder Reths saw great potential as few travellers at that time knew what Cambodia could offer and even fewer knew about the business of travel.

Now a full-fledged travel company with 50 full-time staff, Apsara Tours remains committed to a ‘can do’ attitude that has defined the company since day one.

A new website due for launch in mid-2014 will feature an integrated booking engine and enhanced user experience with the ability for clients to rate products, write testimonials and share videos and photos. Social media channels like Facebook, Instagram and Twitter are used to promote new products and steer traffic to the company website.

This year, Apsara Travel is developing more products and appointing more sales representatives in Europe, North America, India and China, the latter of which is a new market it is aiming to grow.

By David Andrews

This article was first published in TTG Asia, August 8, 2014 issue, on page 5. To read more, please view our digital edition or click here to subscribe.

MAS to form new company by year-end, axe 30% of workforce

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KHAZANAH Nasional today rolled out a 12-point plan to rescue ailing national carrier Malaysia Airlines (MAS) and return it to profitability by 2017, which will involve terminating 6,000 staff, among other measures.

The state investment fund’s blueprint for a comprehensive overhaul of MAS was unveiled this afternoon at a press conference, after shares were suspended this morning.

At its core, the plan involves the creation of a new company. It also includes details of the strict conditionality attached to restructuring and further Khazanah investment into the new company, amounting up to RM6 billion (US$1.9 billion) over a three-year period.

The plan, entitled Rebuilding A National Icon – The MAS Recovery Plan, details recovery in stages: delisting MAS and announcing leaders of the new company by end-2014; formal transition to the new company by July 1, 2015; new company achieving profitiability by end-2017, three years after delisting; new company relisting between 2018 and 2020.

Azman Mokhtar, managing director of Khazanah, said: “The combination of measures announced today will enable our national airline to be revived. While funds have been made available, they come with strict conditions, so as to ensure that MAS truly resets its business model and cost structures, in order to be truly sustainable.”

This announcement comes one day after MAS published its financial results for the second quarter of this year, predictably taking damage from the MH370 disaster.

MAS’ losses during the quarter totalled RM307 million, close to double the figure from the same period a year ago. Revenue fell five per cent to RM3.6 billion year-on-year.

It attributed this to a nine per cent capacity increase despite seat factors recording a fall of 6.7 percentage points, a 10 per cent rise in fuel expenditure for the quarter, and the weakening of the ringgit against the US dollar.

Group CEO, Ahmad Jauhari Yahya, said in a press statement yesterday: “We operate in a harsh business environment of stiff competition from regional and global carriers, and high operational costs. Coupled with the impact of the two tragedies which have damaged our brand, the need to restructure the company was accelerated. The full financial impact of the double tragedies of MH370 and MH17 is expected to hit MAS in the second half of the year.”

Ahmad Jauhari will continue to lead current company as group CEO during this period, until July 1, 2015, when the new company is envisaged to come into force.

What do Gen X travellers want?

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SINGAPOREANS aged between 34 and 54, otherwise known as Generation X, demonstrate a dimension of pragmatism in travelling that combines both functional and comfort factors.

This was revealed in a nation-wide study on Gen X conducted by Brand Alliance Group in the first half of 2014 to discover this demographic’s consumption habits. While Gen X has higher purchasing power due to their stage of life and careers, they are looking for a balance between “discretionary and necessity spending”.

When it comes to holidays, Gen X hopes to visit more developed destinations including Japan, South Korea, Australia, Taiwan and Hong Kong.

To get there, this group has shown a preference for travelling on Singapore Airlines, Cathay Pacific Airways and Qantas. Scoot and Jetstar are their favoured LCCs.

Pricing aside, this group said flight timing and in-flight experiences were cruicial factors in picking which airline to travel on, indicating a mixture of both functional and comfort factors.

These ‘digital immigrants’ are getting the hang of their mobile devices. While print sources are still a major source for news, Gen X consumers are increasingly turning to online and social platforms as their go-to news providers.

Brand Alliance’s advice for brands seeking to reach this target group is to increase reach through other platforms such as print and outdoors in addition to online platforms to engage them at different stages of their daily lives.

Tigerair bounds into China’s city of springs

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JINAN in Shandong Province is the latest destination in Tigerair Singapore’s network expansion, with the LCC to launch first flights between Singapore and the provincial capital on September 16.

The weekly service leaves Singapore on Tuesdays at 12.30, arriving in Jinan at 18.40. Return flights take off from Jinan at 07.30 on Wednesdays, touching down in Singapore at 13.10.

Jinan is Tiger’s 10th destination in Greater China.

Ho Yuen Sang, managing director and COO of Tigerair, commented: “Jinan is another historical Chinese city that we’re pleased to be flying directly to from Singapore. Already an economic and cultural hub, Jinan will have a bigger role to play in Shandong’s growth through further integration with its neighbouring cities, leading to a growing affluent population who might see Singapore as a preferred holiday destination.

“Its prosperous modern city surroundings aside, Jinan also possesses some 2,000 years of abundant historical relics, and visitors from Singapore and the region can take the opportunity to relax in the acclaimed city of springs.”

To celebrate the launch of the only direct flight between Singapore and Jinan, Tigerair is offering a one-way fare of S$155 (US$124), including 15kg in pre-paid luggage allowance, a hot meal onboard, and tax from Singapore.

The deal is valid for travel between September and October 2014, available onwww.tigerair.com.

Philippines launches online training for Indian trade

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THE Department of Tourism (DoT) last week soft-launched in New Delhi and Mumbai an online education programme, which will also come with a reward and incentive system for high-performing travel consultants.

The eight-module Philippine Specialist Programme (PSP) will be formally launched in January next year and gradually expanded to cover other areas in India.

Glen Agustin, chief tourism operations officer, DoT, said: “PSP is an education certification tool with lots of imagery and facts, including visa requirements and processes, and is specifically designed for Indian travel consultants to become experts in the Philippines.”

Indian travellers are tech-savvy and search for information on the Internet. “But when they plan their trips, especially the first-timers, they speak to travel consultants,” he noted. “Travel consultants are influential enough to sway or convince them to travel to the Philippines.”

Agustin said the Indian market is on a growth path despite Philippine Airlines’ pull-out from the market last year, and the Indian presidential election that took a toll on outbound travel.

Agencies can access the programme at www.psptraining.in.

Amadeus’ UnionPay integration helps trade tap Chinese tourism

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TRAVEL providers, including airlines and OTAs, will be able to offer UnionPay as an online payment method directly via the Amadeus Payment Platform after a new agreement signed between the Chinese cross-border payment service provider and the technology solutions provider.

With this agreement, Chinese travellers will now find it easier to travel overseas as they pay with their preferred payment card, allowing travel providers to gain a strong foothold into Chinese outbound and domestic tourism.

Celia Pereiro, head of Amadeus travel payments, said the new agreement offers travel providers a quick and easy link to UnionPay’s large base of cardholders in China.

UnionPay is the biggest card scheme worldwide with over 4.3 billion cards in circulation, supporting every major Chinese consumer bank. Last year, the UnionPay network accounted for 80 per cent of total payments made by outbound Chinese tourists.

This latest development rides on the back of Amadeus’s recent agreement with Alipay, one of China’s leading online payment service providers that accounts for nearly 50 per cent of all online payments, according to Pereiro.

She said: “With (Alipay and UnionPay), we help our customers to target new segments that are already paying with this method of payment. We can now integrate the process of payment with this new method in the selling process, which facilitates the whole process and makes it faster and more efficient.

“Our customers will have a shortcut to the Asian giant (China) by offering millions of potential Chinese travellers the option to pay with their preferred payment methods. They are not limited to Chinese outbound travel – they will also be able to access Chinese consumers who live outside China,” Pereiro added.

China was ranked by UN World Tourism Organization as the world’s top-spending tourism market in 2012.

Hotel Clover to sprout across Asia

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HOMEGROWN brand Hotel Clover is looking to expand in Asia, with a target to open 10 new properties overseas within the next three years.

This two-year-old boutique hotel chain, which aims to provide an “alternative experience” currently has four properties to its name, with the newest being the 88-key Hotel Clover 33 Jalan Sultan that opened earlier this month.

According to Hotel Clover’s CEO, Teo Kok Hwee, the brand is set to open its fifth hotel in Singapore by 3Q next year and will focus efforts overseas thereafter.

Each Hotel Clover is furnished according to a unique theme. The brand’s first property, Hotel Clover 769 North Bridge Road, is branded as a vintage-themed hotel. Its second, Hotel Clover 5 Hong Kong Street, is a modern business hotel, while its third, Hotel Clover The Arts, is an art-themed hotel.

General manager of the one-month-old Hotel 33 Jalan Sultan, Karis Sun, said: “The theme in this hotel is all about creating a serene urban sanctuary to make our guests feel relaxed in the woods and greenery.”

Occupancy rates have been highly favourable at 90 per cent since opening, with most guests coming from South-east Asian countries, shared Sun.

However, new measures implemented by the Urban Redevelopment Authority in July to prevent the proliferation of hotels, boarding houses and backpackers’ hostels in areas not intended for hotel use has put a damper on Teo’s plans to open more boutique hotels in historic areas, encouraging Hotel Clover to look beyond Singapore.

Two new four-star hotels in Shanghai and Bangkok are set to open in 2Q 2015 and early 2016 respectively, but unlike their local counterparks, both will offer over 300 rooms each.

Teo said: “It is also appropriately timed as now that we have established ourselves in Singapore, we can take the brand to greater heights overseas like in Thailand, Malaysia, China, Indonesia and even Japan.”

PATA Malaysia’s forum to tackle issues surrounding AEC

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PATA’s Malaysia Chapter is organising a hub city forum in Kuala Lumpur to address the challenges and opportunities arising from the implementation of the ASEAN Economic Community (AEC) next year.

This one-day forum on October 15, themed ASEAN Economic Community 2015 – Where is Tourism Heading?, is expected to attract around 250 delegates, comprising government officers and tourism industry players from the private sector.

PATA Malaysia Chapter chairman, Azizan Noordin, said: “During this forum, we will get expert views from invited speakers from the European Union on the challenges and opportunities faced by the European community.  Issues raised at the forum will be brought to the attention of the Ministry of Tourism and Culture Malaysia as well as ASEAN Summit 2015, where Malaysia is the chair.”

Three panel discussions are scheduled:
–       Tourism Development Policies under AEC2015, which will explore the role of policies and regulations, and how it can facilitate the industry’s development in 2015 and beyond
–        ASEAN Implementation Plan, which looks at improving connectivity, crisis management and recovery, multi-country thematic circuits, integrated products and aligned accreditation
–       Embracing AEC New Opportunities, centred around the importance of regional partnership, branding, human capital development and sustainability in the rapidly growing ASEAN market.

Panellists will include representatives from NTOs including the Singapore Tourism Board, Tourism Authority of Thailand and Department of Tourism Philippines, as well as Alexander Kesper, team leader, ASEAN – EU Management Programme, and Klaus Geil, head of sector, external aviation policy, European Commission.

M Ali, honorary secretary of PATA Malaysia Chapter, said: “It is timely to have this forum as AEC 2015 is just round the corner. While it is a game changer that will enhance travel facilitation and connectivity within ASEAN, many issues need to be addressed such as free flow of tourists into the region, free movement of coaches and free movement of tourism personnel.”