LAO Airlines plans to start Vientiane-Luang Prabang-Yangon services, as part of efforts to clinch the international market’s growing interest in Myanmar.

Said Lao Airlines’ director of commercial department, Saleum Tayarath, who expects the service to launch in October: “We are in the process of forming an interline agreement with Myanmar Airways International, and aim to launch a codeshare agreement at a later stage.

“We have also been talking to tour operators to develop packages between the two countries.”

Private carrier Lao Central Airlines plans to fly between Vientiane and Yangon too, according to Ket Thipphachanh, managing director, Visit Asia Travel Laos.

Ket said: “We are excited that there will be two airlines connecting Laos and Myanmar. The direct service will help us capture the longhaul market better.

“As a country in the middle of the Mekong Subregion, we are lucky to get our (arrivals) from our booming neighbours. Our longhaul market initially came via Thailand, then Vietnam. And now Myanmar is growing, so we hope to capture some market from there too.”

Also anticipating the new air links is Austria’s Columbus Travel exclusive individual and group director, Maria-Luise Wess: “This will make it easier for clients (to combine both countries), otherwise they need to go back to Bangkok from Myanmar to connect to Luang Prabang, which means losing one day.

“Myanmar and Laos will make a good combination as both are (emerging) destinations.”

–       Read more in TTG Show Daily – ITB Berlin

GERMAN tour operators are banking on another four to five per cent increase to Asia this year ­– the same rate of growth as in the past few years – with no major surprises expected.

Michael Frese, CEO of Dertour and Meier’s Weltreisen, said forward bookings to date show German travel to Asia is up six per cent. This is based on access to data of some 2,000 German travel agencies, which sell wholesalers’ products.

Dertour and Meier’s growth was in line with the figure, Frese said.

“Asia is doing well. Although the largest increase in the longhaul is for (East and South) Africa, up 16 per cent, Asia’s volume is twice as large as Africa,” he added.

Frese expects the booking trend to remain steady. “Germans do not seem hesitant to travel. Unemployment is at its lowest ever, salaries are increasing, with some unions succeeding in getting a six per cent rise, and interest rates are almost zero.

“Germans are not buying new cars as the government had incentivised them three years ago to buy new cars in order to support the automobile industry. So there is enough disposable income – no reason why the booking trend should not continue.”

Meanwhile, Holger Baldus, managing director of Marco Polo Reisen, expects less than five per cent growth this year. “It’s going to be an average year, just like last year. The Eurozone debt crisis is not impacting Germany too badly. Germans are still travelling, and we’re seeing greater demand from younger customers who want to enjoy themselves, explore and learn.”

Marco Polo has launched a new product for small groups of six to 12 pax (compared with 22 pax for its classic series). The product reaches to adventurous travellers who want to gain real insights into a destination. It offers activities such as cycling by night in Bangkok, exploring street food in Delhi and staying in boutique properties.

–       Read more in TTG Show Daily – ITB Berlin

UK tour operators are reporting phenomenal increases for Danang in central Vietnam, but waning interest in Bali for summer business.

Both resort destinations are best visited March to October. But while Danang is developing nicely – more hotels, direct services from Gatwick and a new Central Coast Vietnam Destination Marketing Organisation (DMO) – Bali is “a commercial death wish”, said David Kevan, director of Chic Locations UK.

Said Kevan: “I am saddened by the way the island is developing, with no consideration to longevity or regard for the traditions that have brought thousands of visitors to Bali.

“Because Bali’s bed inventory is probably at least 30 times bigger than Danang, we will still send more clients to Bali, but I do see Bali gradually decreasing and Danang rapidly increasing.”

Darren Lancaster, Kuoni UK’s contracts manager, said Kuoni was seeing a “reasonable” start to bookings for Danang, which was recently added to its 2013 programme.

However, he said that the hotel deals that were being launched due to oversupply were targeted mainly at the domestic/regional markets. “(Moreover), Danang contracts are structured to appeal to short-stay clients…Therefore you do not find the strong bonus nights, long-stay offers and early-bird incentives that attract clients, particularly in off-season,” said Lancaster.

He also pointed out that Bali had a well-developed tourism infrastructure while Danang itself had little by way of friendly bars, cafes and restaurants, beyond the occasional dip to nearby Hoi An.

“As such, the threat to Bali is minimal at the moment. That said, the establishment of the DMO is a welcome move, as Danang needs a huge awareness push on the UK market,” added Lancaster.

David Carlaw, Premier Holidays UK’s head of longhaul product, said there was still big demand for Bali, but noted that there were more hotel openings in Danang, and they were more “switched on to the UK market”.

–       Read more in TTG Show Daily – ITB Berlin