CHINA’S new tourism laws, specifically those that prohibit travel agencies from luring tourists with programmes that are priced unreasonably low and getting illegitimate gains by arranging shopping or providing tourism services that require additional fees, have started to impact some tourism sellers specialising in Chinese tour groups.

Commenting on the new restrictions which will come into play on October 1, Nanjing-based Enjoyingtour’s general manager, Sam Shen, said the Chinese outbound group tour segment would be “seriously affected” as about 80-90 per cent of tours comprised shopping.

Restrictions on the sale of optional tours also meant a loss of extra income, Shen lamented.

“South-east Asian itineraries will suffer the most because tours are often kept cheap and rely on shopping commissions and the sale of optional tours to boost earnings. Tour fares to that region will rise 50-80 per cent. Longhaul programmes, which are less reliant on shopping and optional tours, will cost only 30-40 per cent more.

“For instance, our Singapore/Malaysia/Thailand tour which used to cost RMB3,000 (US$490) will now be readjusted to RMB13,000,” he said.

Yea Hwa Park, director of South Korea’s Tai San Tours, a travel company that receives tour groups from China among its other businesses, also projected pricier group fares as a result of the new tourism laws. “Chinese travellers may now have to pay RMB8,000 instead of the current RMB4,000,” she said.

Beijing International Studies University, professor for tourism, Tony Zou, said: “The onset (of the implementation of the new tourism laws) will be most challenging for group tour sellers, as tour fares will be doubled and consumers will need convincing. However, the illegal practice of zero-fare tours and commission fees have plagued consumers for years and must be resolved with one fell swoop. Consumers will eventually get used to (pricier tour fares) as they had paid even more for tours that included shopping commissions.”

China’s new tourism laws also dictate that all information disseminated by travel agencies to draw clients must be true and accurate, and a guide be provided for tour groups. The latter is expected to further raise operating costs for tour companies.

Having aniticipated the impact of the new tourism laws, Enjoyingtour shifted its sales attention to the FIT segment last year. Shen said: “We are targeting young Chinese travellers who prefer free-and-easy trips to islands such as the Maldives. This is a growing segment and we are doing quite well.”

PATA Micronesia Chapter, which was established in 1986, has revitalised efforts in developing the region’s tourism sector, with a flurry of new initiatives launched since January.

The chapter’s chairman and Guam Visitors Bureau marketing manager, Pilar Laguaña, said the chapter had ceased to be sufficiently active over the years.

“Micronesia’s economy relies on tourism (but) many travellers don’t realise that the islands beyond Guam have a lot to offer,” she said.

Of the 1.6 million arrivals to Micronesia annually, some 1.3 million footfalls are received by Guam.

She added: “On top of that, these islands lack the resources to develop and promote (themselves).”

The Republic of Palau, for example, has more than 250 islands with world-class dive spots.

Although Micronesia comprises five different governments, Guam Visitors Bureau has taken the lead in building up the region’s tourism potential.

Armed with the authority to represent PATA Micronesia Chapter, the bureau has invited the islands to join forces in destination promotion efforts.

Marketing missions undertaken since the start of 2013 include driving awareness of all destinations within Micronesia in the marketplace and establishing Micronesia as a brand.

In May, the chapter launched a Facebook page and website – www.micronesiatour.com.

“We do not have a lot money and resources to hire a marketing agency, so we start with the website to reach out to the world,” explained Laguaña.

Training programmes have also been introduced to help local travel industry players sharpen their skills in customer service and new product creation.

“Guam has had a success story in developing tourism and (it is time) to also develop (the tourism potential of) the neighbouring islands. If they prosper, Guam will too,” she said.

With the new initiatives in place, the chapter has so far managed to grow its membership from 30 to 80. Laguaña expects membership to reach 111 by the end of this year.

She explained that growing the chapter’s membership is critical as membership dues fund marketing and product development.

Meanwhile, in anticipation of arrivals growth, the government of Guam has developed incentive programmes to attract international hotel investors and alleviate the destination’s room crunch.

INHABITANTS of Papua New Guinea’s (PNG) Miline Bay are “working round the clock” to welcome P&O Cruises’ maiden sailing there this November, which will double the province’s arrivals immediately.

Sailing from Brisbane to Miline Bay, the superliner Pacific Dawn will ferry over 2,000 passengers into Miline Bay, said Joel Keimelo, marketing officer at Papua New Guinea Tourism Promotion Authority.

During the 10-night sail, the cruise ship will call on provincial capital Alotau, as well as Doini Island and Trobriand Islands within PNG.

“We have about 300,000 people living in Miline Bay but this is the first time we are welcoming so many tourists into the province,” he said. Miline Bay welcomed under 1,000 arrivals for the full year of 2012.

Keimelo said buildings, shops and craft markets were being developed to the tune of five million PNG kinas (US$1.9 million) ahead of the cruise, adding: “We will definitely show them our traditional dance, and we have another surprise that we cannot reveal yet because we want to save it for our visitors.”

Pacific Dawn’s call at Miline Bay coincides with the traditional Canoe and Kundu Festival, where locals compete in canoe races, costume displays and cultural performances. “PNG brings tourists into a different environment altogether because of our rich culture. We have so many festivals every year.”

“With so many different provinces, every product is different culturally.”

Emphasising PNG’s adventure tourism potential, Keimolo said village tours, cultural festivals, bird watching, trekking and sea activities are popular tour products.

With 21 provinces in PNG, Keimolo hopes the cruise will build tourism awareness locally.

“Right now we have to educate our people to show them how and why tourism will benefit them directly, and it is important to involve everyone so tourists can leave the country with a lifelong memorable experience,” he commented.

CHENGDU Cultural Tourism Group (CDCTG) has signed a three-year strategic memorandum for cooperation with Ctrip, Visa Worldwide and TripAdvisor to promote the Chinese city on various platforms.

Under the agreement, Ctrip will take over international promotion efforts for Chengdu, especially in Taiwan and Hong Kong. Jennifer Lan, deputy general manager for Ctrip, said: “We have been working with CDCTG before, but this official partnership symbolises a long-term strategic partnership.

“We have established a special expert group to conduct multiple field research and come up with the first (themed) travel routes characterised by cultural features.”

Visa will bank on China’s new policies for 72-hour visa-free transits for international tourists in cities such as Beijing and Shanghai to roll out a marketing campaign with themed activities.

Meanwhile, TripAdvisor will launch a dedicated destination marketing organisation page on its website for Chengdu.