FORMER YTL Hotels president James McBride has become an entrepreneur, staking equity in several ventures, one of which is Zanadu.cn, China’s first by-invitation-only luxury travel website and online travel agency.

Since it went live six months ago, Zanadu, which has a 24/7 booking engine, claims a membership of 10,000 affluent Chinese customers and promotes lifestyle experiences to them. Membership is free, comprising urban, educated and upwardly-mobile 25-40-year-old Chinese individuals.

To date, Zanadu has curated about 200 luxury and boutique hotels around the world for its members.

Keen interest among luxury hotels and resorts worldwide to crack the affluent Chinese market will see the launch of Zanadu 360, a marketing, e-commerce and representation service, in January, said McBride. An executive director will come on board next month to oversee Zanadu 360.

“It’s a natural evolution. General managers (of luxury properties) used to make a beeline for New York and London (US and Europe are the largest luxury markets), and it’s a matter of time when they will go to Beijing and Shanghai,” McBride said.

Separately, McBride and partner Christopher Burch of Burch Creative Capital and founder of Tory Burch, have taken a stake in a small, exclusive resort hideaway on the Indonesian island of Sumba, 400 miles south of Bali.

Built in 1989 by Claude Graves, who remains a partner, Nihiwatu operates in conjunction with the Sumba Foundation, appealing to an increasing number of luxury travellers who want purpose-driven travel.

The property encompasses 175 hectares of tropical forest, rice terraces and grasslands, while its 2.5km of beachfront are protected by headlands that ensure total exclusivity for guests.

“It has one of the best surf waves in the world,” Mc Bride said, envisioning more Nihiwatu-type resorts – luxury with an element of adventure, be it surfing or mountain-climbing, with a foundation associated with it – in destinations like Fiji and the Maldives.

McBride is also involved in Burch’s latest retail concept, C Wonder, which offers “astonishing value” luxury clothing, accessories and home decor in an exciting setting and with an inspiring customer service concept.

BEST Western International is set to grow its portfolio in Indonesia with the opening of 25 new hotels in the next three years, beefing up its room count in the country from just over 600 now to almost 3,500 by beginning 2015.

The new developments will span nine destinations and two of Best Western’s brand tiers – the midscale Best Western and luxury Best Western Premier.

Glenn de Souza, Best Western International’s vice president international operations – Asia & the Middle East, said: “With the world’s fourth-largest population, a burgeoning middle class and an increased focus on both domestic and inbound tourism, Indonesia is one of the most exciting hotel markets in the world today.”

Currently, Best Western operates three hotels in Bali, a city hotel in Jakarta and a Best Western Premier hotel in Solo. By the end of 2012, this portfolio is expected to increase to six hotels, starting with the addition of a first property in Semarang, the 259-room Best Western Star Hotel.

Best Western’s Indonesian expansion will gather pace in 2013 with the opening of at least 11 hotels. Jakarta will be a key growth area with the addition of four new properties: Best Western Hariston, Best Western Serpong, Best Western Mall of Indonesia and Best Western Mansion Satrio in Jakarta Golden Triangle.

Also in 2013, Best Western Premier Candi in Semarang and Best Western Sun Heritage in Bali will grow the collections in these two destinations, while Best Western will also debut in five new Indonesian markets: Banjarmasin, Makassar, Bogor, Palu and Malang.

In 2014, Best Western’s Indonesian expansion will continue with the opening of hotels in Bandung, Manado, Samarinda, Balikpapan and Pontianak.

Finally in early 2015, Best Western will debut in Surabaya and Solo Baru.

SILKAIR is set to begin its fleet transition to Boeing aircraft, having sealed a deal with the aircraft maker for 54 planes totalling a hefty US$4.9 billion.

The airline’s order for 23 Next-Generation 737-800s and 31 737 Max 8s is the largest order in the airline’s history.

Both models are said to fly farther than competing airplanes, enabling the airline to open new routes. They also feature the Boeing Sky Interior, which has modern sculpted sidewalls and larger pivoting overhead stowage bins, among other highlights.

The 737 Max 8 builds on the Next-Generation 737 and comes with engines that deliver a 13 per cent fuel-use improvement rate over the most fuel-efficient single-aisle airplanes today and an eight per cent operating cost per seat advantage over future competitors, said a joint SilkAir-Boeing press release.

“The capability of the 737s will enable us to spread our wings to even more destinations and increase capacity on existing routes,” said SilkAir chief executive Leslie Thng.

AEROWISATA, the support services arm of Garuda Indonesia, has entered into a joint venture with Smailing Tour, forming Garuda Indonesia Holidays (GIH), a wholesale travel company selling domestic and outbound products within the airline’s network.

Formerly a full subsidiary of the airline, GIH was relaunched last week after Smailing Tour was chosen after a tender process.

Garuda Indonesia’s president and CEO, Emirsyah Satar, said Garuda Orient Holidays (GOH) would continue to create products for inbound tourists. “This is a concept we applied to GOH overseas, where we also partnered local travel companies,” he explained.

Smailing Tour CEO Anthony Akili, also GIH president and CEO, said: “We have seen the success of Qantas Holidays, Cathay Pacific Holidays and Emirates Holidays. Their products sell so well. If (Garuda) can achieve double-digit growth in passenger traffic (every year), why not its holiday products?”

He said GIH would be helpful for travel consultants who may be able to access airline seats, but not hotels, adding that the company has some 140,000 hotels worldwide, with 1,500 to 2,000 within Indonesia, that allow instant confirmations.

GIH products will be available to consultants who enrol as GIH retailers, and the company is aiming to sign on 1,000 retailers within a year. Products range from land content only to free-and-easy air tickets and accommodation to all Garuda destinations. Special interest products such as culinary and cycling tours will also be offered.

There are also plans to cross-sell products with GOH at a later stage.

Asked if there was a conflict of interest for Smailing Tour, Akili said GIH’s products only feature Garuda airfares, while Smailing also sells packages with other airlines.

CHINA will be Small Luxury Hotels of the World’s (SLH) top priority in 2013, as the marketing group continues to court customers in the Asia-Pacific region.

“Our main goal for 2013 can be summed up into these two words: Go China. China is our fastest growing source market and we’ve just literally opened our office in Shanghai to capitalise on the phenomenal Chinese appetite for luxury accommodation,” said SLH’s CEO, Paul Kerr.

He added that plans are in the works to create a Mandarin website and iPhone app, and to grow the number of Chinese members in SLH’s loyalty programme, The Club, to around 60,000 by end-2013 from approximately 5,000 now. Tie-ups with Shanghai-based luxury clubs, which will give SLH direct access to the city’s elite, are also in the pipeline.

Beijing is another key segment SLH plans to woo, although there are no immediate plans to open an office there.

Kerr also hinted that SLH is set to unveil a group of exclusive-use properties worldwide, including ski lodges and villas, in the first quarter of 2013.

Its travel consultants website was also recently relaunched, and plans are also on the cards for an extensive B2B marketing blitz in the new year.

Kerr said that despite the group’s intense focus on China, it would still be keeping a watchful eye over other markets in Asia and the Pacific.

He said: “All signs point to the fact that we can still expect major growth in this region despite the less than ideal economic conditions, and we believe that in order for SLH to truly benefit from this growth, we have to remain true to the tenets of our brand by continually providing unique, exceptional experiences for the most discerning of leisure travellers.”

SLH currently has a collection of 115 hotels in the Asia-Pacific region, which accounts for almost a quarter of all of its properties worldwide, compared to under five per cent in 1992.

THE opening of The Stones Hotel Legian, Bali last week heralded the arrival of Marriott International’s Autograph Collection in the Asia-Pacific.

The Stones is the 36^th hotel to join Marriott’s exclusive portfolio of independent properties, which boasts hotels across the US, the Caribbean, Latin America, Europe and Asia.

Each hotel within the Autograph Collection possesses its own identity and can access Marriott’s global sales and marketing channels, including the Marriott Rewards loyalty programme.

“We are thrilled to introduce Autograph Collection to Asia. Bali represents the ideal location to launch this dynamic new concept for Marriott International, developed for guests who seek an extraordinary independent hotel experience,” said Simon Cooper, president and managing director of Asia Pacific, Marriott International.

Located on Legian Beach, The Stones offers 308 guestrooms and 22 suites, including a three-storey Presidential Suite. Other facilities include a 3,000m² pool, F&B options and a spa.

The hotel is 20 minutes from Ngurah Rai International Aiport and within walking distance of shops, restaurants and leisure activities in Kuta, Legian and Seminyak.

THE Association of Asia Pacific Airlines (AAPA) has responded with a “cautious welcome” to news that the inclusion of international aviation in the European Union Emissions Trading Scheme (EU ETS) has been suspended, but remains wary that the move “may not go far enough”.

The European Commission on Monday “stopped the clock”, implementing a year-long suspension of the ETS for international airlines, which means they will not have to surrender allowances next April for carbon emissions produced flying in and out of Europe during 2012. Flights within the EU, however, will still be charged.

AAPA director general, Andrew Herdman, said in a press statement: “In making this long overdue move, the EU has finally bowed to the inevitable, in effect acknowledging that it cannot unilaterally impose the scheme on non-EU airlines without the consent of other governments.”

He added: “Temporarily suspending the scheme is obviously a positive gesture by the EU, but may not go far enough. The implied threat of an automatic snapback in a year’s time means that the EU will still be seen by some as negotiating with a gun on the table.”

The move follows recent scathing criticism from the association at its 56^th Assembly of Presidents (TTG Asia e-Daily, November 9, 2012).

AAPA, which has argued that an international industry such as aviation requires a coherent global policy framework on emissions, said it would continue to work with other stakeholders to encourage the development of proposals for consideration by the ICAO Assembly in September next year.

Connie Hedegaard, European Commissioner for Climate Action, urged all parties to ICAO to make full use of this window of time to take action towards creating an international framework to govern emissions.

She said: “Let me be very clear: if this exercise does not deliver – and I hope it does – then needless to say we are back to where we are today with the EU ETS. Automatically.”