TTG Asia
Asia/Singapore Saturday, 3rd January 2026
Page 2683

Indian inbound yet to match expectations

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DESPITE setting a target of 10 million international arrivals by 2015, India’s inbound market has so far failed to live up to expectations.

The country received 6.29 million overseas arrivals in 2011, an 8.5 per cent hike over 2010. However, the rate of growth was lower than the 11 per cent registered in 2010/2009.

The economic slowdown in European source markets and India’s lack of infrastructure to justify the relatively high product and service prices have been blamed for the dampened rate of growth.

Ratanpreet Kaur, travel counsellor of Holidays of India, a subsidiary of Kuoni Travel Group India’s SOTC, said: “Usually at this time we are deluged with requests, but this year it is surprisingly dry from our European and British clients. We expect it may pick up in April, but one cannot be sure”.

Rajat Sawhney, managing director of New Delhi’s Rave Travels & Tours, said: “We must create new value-for-money products like luxury train journeys, Buddhist pilgrimage routes, soft adventure options and round-the-year destinations to sustain the ambitious growth that India is looking at.”

Meanwhile, Asian markets have been providing a welcome respite for companies like Le Passage to India. Kumar Gumar, head of sales-Malaysia, Singapore and Indonesia of its inbound division Go India Journeys, said business from the three South-east Asian countries had grown steadily due to the increasing number of air connections in the last year or so.

“Singapore has seen 10 to 15 per cent growth, Malaysia, 15 to 20 per cent, and Indonesia is picking up,” he said.

Gumar was also hopeful of Garuda’s impending launch of services from Denpasar to New Delhi this year, adding that he was planning to develop pilgrimage tours to cater to the large number of Hindus living in Bali.

Vietnam’s Lac Hong Voyages executive director, Jonathan Tran, has also found it easier to sell India as a leisure destination ever since Vietnam entered the visa-on-arrival scheme last year.

According to Tran, Lac Hong Voyages handled around 500 Vietnamese travellers to India in 2011, and it intends to promote new areas such as the south and east this year. He added that one hindrance to selling more Indian holidays was the mandatory two-month gap between visits.

Additional reporting by Grace Chiang

India’s travel trade pin hopes on umbrella body

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THE FEDERATION of Associations in Indian Tourism & Hospitality (FAITH) has been formed to unite India’s travel associations on a national level, giving the industry the common voice it needs to move India tourism forward.

Travel Agents Association of India (TAAI) president Iqbal Mulla said: “The aim is to have a bigger and stronger voice, with a coherent body to work for the interests of the industry.”

FAITH consists of 10 of India’s travel industry associations, including the Indian Association of Tour Operators (IATO), Association of Domestic Tour Operators of India (ADTOI), TAAI, Travel Agent Federation of India, Federation of Hotel and Restaurant Association of India, Adventure Tour Operators Association of India (ATOAI), India Heritage Hotels Association, Indian Tourist Transport Association (ITTA), India Convention Promotion Bureau, and Hotel Association of India (HAI).

A four-member interim group consisting of ADTOI’s Subhash Verma, Nakul Anand of HAI, Tejbir Singh of ATOAI and ITTA’s Sarabjit Singh will work on the process of registering FAITH as a formal society within the next few days.

FAITH aims to become active before December, when India launches the inaugural Global Travel and Tourism Mart.

IATO president Subhash Goyal said: “FAITH will create a lobby along with media to fight common issues faced by the industry. Visa on arrival for more countries and introducing e-visas to encourage easy access will be among the first issues to be taken up with the government.”

By Anand & Madhura Katti

Asia remains hot for Indian outbound

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INDIA’S outbound market will continue on its expansion trajectory in 2012, but there are signs of fragility that could hurt longhaul destinations and benefit its Asian neighbours.

Rajiv Duggal, managing director of Kuoni India, which operates key outbound travel brand SOTC, said Indian travellers were not committing to long and expensive holidays due to factors such as a fluctuating rupee and an uncertain economic and political climate.

“Even if Indian travellers are going longhaul, durations are shorter. What will hurt are Europe and the US, which are money-making for us. Hence we need to be more aggressive and sell more in order to make the same amount (as last year),” he said.

Duggal listed several immediate areas that SOTC would look into to maintain a healthy bottom line, including distribution and purchasing. With already 250 sales outlets across the country, the company will open another 50 outlets this year. It will also pursue more direct contracting with hotels instead of going through groundhandlers.

“Weekend getaways are getting important, while the Far East and Dubai are the flavours (of the month),” said Duggal. Smaller products such as Singapore/Bintan, Hong Kong/Macau and Thailand were more popular now, he observed.

Subhash Goyal, chairman of one of India’s largest wholesalers, STIC Travel Group, noted that the fastest-growing destinations were the Philippines, Turkey and Sri Lanka.

“Indians are looking for new destinations,” he said, explaining that the Philippines and Turkey were both aggressively marketing to Indian travellers.

Cox & Kings head of relationships and supplier management, KS Anand, added that countries in the region were selling well, such as Thailand, Malaysia, Singapore, Hong Kong, Macau, Sri Lanka and Nepal, although he had not seen any slowdown in longhaul outbound bookings.

“Longhaul is growing; midhaul and shorthaul too. We expect to maintain revenue growth at about 25 per cent,” he said.

Resorts World Sentosa to unveil newest luxury stay options

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RESORTS World Sentosa (RWS) will open the doors to two new luxury properties on February 16—the 172-key Equarius Hotel and 22 exclusive Beach Villas.

Targeted at high-end guests from South-east Asia, the Middle East and Russia, the launch of the two properties will mark the completion of all accommodation offerings in the pipeline for the 49-hectare mega resort.

At a press conference held on February 13, Roger Lienhard, senior vice president, Hospitality Development and Projects, RWS, told the media that Equarius Hotel and the Beach Villas were positioned as urban getaways “which give guests the opportunity to experience a tranquil setting close to nature just minutes away from the fun at RWS, and the hustle and bustle of the city”.

No specific, independent marketing initiatives are in the works for either Equarius or the Beach Villas for now. Indeed, Lienhard believes that the “villas will sell themselves”. Both hotels will be marketed as part of the whole RWS development, with their “unique elements and characteristics on show,” so that potential guests can decide for themselves which property suits them best, he added.

Rack rates at Equarius Hotel start at S$800 (US$632) for a 51m2 deluxe room per night and S$900 for a 139m2 deluxe garden room, which comes with access to a private shared garden or pool. One-bed suites (102m2), of which there are six, start from S$1,600 per night. The Beach Villas conversely, cost from S$1,200 per night for a 62m2 one-bed villa, to S$15,000 per night for the 731m2 four-bedroom palace, which comes with its own pool, karaoke room, kitchen and outdoor space. Personal butlers service both hotels, which are expected to cater to VIPs.

Other facilities include seven meeting rooms, an event pavilion, a gym, a swimming pool and a 150-seat restaurant aptly named Forest, helmed by celebrity chef Sam Leong. The restaurant, encased in a glasshouse adjacent to the Equarius Hotel lobby, is managed by RWS, and will serve Chinese cuisine with a distinctive Thai influence.

The two properties will be just steps away from the resort’s upcoming destination spa, ESPA, which is scheduled to open sometime in May.

Lienhard projects that average occupancy for both properties will hit the 70 per cent mark within the first three months of operation, although RWS hopes to eventually reach 90 per cent occupancy, a similar figure to that of other hotels at the resort.

Special packages for both hotels will be available through RWS and authorised travel consultants from February 16 till March 31.

Mövenpick’s boutique Phuket resort lucks out on high-end MICE

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MÖVENPICK Resort Bangtao Beach Phuket, a 40-key suite and penthouse boutique resort that opened in Q2 2011 targeting the leisure segment, is pulling in unexpected bookings from high-level meeting and incentive groups.

“That came as a surprise, as we did not see the property as a MICE hotel at first,” said Craig Fong, director of sales & marketing, Mövenpick Resort Bangtao Beach Phuket and Mövenpick Resort & Spa Karon Beach Phuket, on the sidelines of Mövenpick Hotels’ roadshow in Singapore last week.

“We eventually realised that the layout of our three-bedroom penthouses was suited for teambuilding, as participants could come together in a single venue to interact and bond,” he said.

“The three-bedroom Royal Jacuzzi Penthouse is especially popular with high-power board meetings. Its massive living room would be converted into a meeting room, and the CEO would spend the night at the penthouse, while the rest of his management would stay in the other suites.”

Fong said most of the business event bookings came from overseas clients.

Offering event planners an additional unique venue option for dining events and outdoor functions is the resort’s Palm Beach Club, which opened on New Year’s Eve.

Argentina sets out to woo Indian tourists

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ARGENTINA is making moves to court the Indian outbound market, with the Argentinean National Institute of Tourism Promotion planning to participate at all major trade events in India this year and sponsoring a series of fam trips for key industry players.

Ten travel companies representing various Argentinean products, accompanied by their NTO chief Leonard Boto and the secretary of Tucuman tourism, Bernardo A. Racedo Aragon, showcased products at the Argentina pavilion at SATTE 2012 in New Delhi last week, a first at any trade event in India. The team will also be meeting outbound tour operators in Mumbai, where Argentina has just concluded an information workshop for travel experts.

Medha Sampat, head of Knack Marketing, the country representative of Condor Travel, the largest DMC in Argentina, Peru and Chile, is bullish about the growth of Indian outbound to Argentina. “The attractions in Argentina are huge, including Patagonia, Iguassu and Buenos Aires itself, with trips to glaciers and vineyards,” he said.

Ashwini Gupta, managing partner of Amritsar-based Dove Travels, said: “Argentina needs to be packaged with say Brazil, or Chile and Peru, for a two- to three-week tour as longhaul flights from India are limited to South America and flights are expensive.”

The best connections being offered at the moment are on Emirates via Dubai, Qatar Airways via Doha or South African Airways via Johannesburg. Turkish Airlines intends to offer another link by year-end.

Travel Corp looks east for growth

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THE TRAVEL Corporation has kicked off its five-year Look East For Growth strategy that aims to tap into Asia’s burgeoning outbound boom to grow bookings for tour programmes under its brands, which includes Insight Vacations, Trafalgar Tours, Contiki Holidays and Uniworld Boutique River Cruises.

In an interview with TTG Asia e-Daily, Robin Yap, managing director Singapore at The Travel Corporation said Asia would “outperform many markets in terms of travel”.

The company has prioritised China and India for development. In early February, Darshan Maheshwari was appointed as its country manager for India (Hot Moves, February 10, 2012). The firm will open an office in Shanghai next month.

“We are seeing growth in China, and with the opening of the Shanghai office, we will duplicate the success we had in Singapore there. It took Singapore 10 years to grow into luxury travel products, but the Chinese will get there sooner,” he said.

He added that Indonesia was also on his radar, especially for Insight Vacations products, and an exclusive partnership with Indonesia’s Vayatour has been formed to market and retail The Travel Corporation’s products across the country. A training programme for 62 branch managers of Vayatour concluded just recently.

According to Yap, Singapore and the Philippines are the company’s key performing markets in Asia. Forward bookings out of Singapore for Trafalgar products have doubled, while bookings for Insight Vacations and Contiki programmes have grown 22 per cent and 10 per cent year-to-date respectively.

The Philippines chalked up a 290 per cent increase in year-to-date bookings for Trafalgar, while Insight Vacations hit 71 per cent and Contiki, 86 per cent.

In addition, The Travel Corporation is growing its product portfolio, with the introduction of new tours to India, Bhutan, Sri Lanka and Nepal this year under the Insight Vacations label.

SilkAir-Bangkok Airways codeshare to enhance multi-destination travels

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CODESHARE arrangements between SilkAir and Bangkok Airways on selected flights between Singapore, Koh Samui, Phuket and Chiang Mai will come online tomorrow, allowing travellers greater ease in multi-destination travels within the country.

The arrangements will impact eight daily flights to Phuket, four-weekly to Chiang Mai and five-weekly to Koh Samui out of Singapore by SilkAir, as well as daily flights on the Singapore-Koh Samui, Koh Samui-Phuket and Chiang Mai-Koh Samui routes by Bangkok Airways.

Puttipong Prasarttong-Osoth, Bangkok Airways’ president, said: “The arrangement allows passengers of both airlines to benefit from greater connectivity and flexibility when making their travel plans. From a business perspective, the agreement enables both (airlines) to expand their respective networks and grow both inbound and outbound passenger flows.”

SilkAir’s chief executive, Marvin Tan, said: “Travellers can, for example, choose to fly into Chiang Mai for a trekking adventure through its hills, followed by a weekend of pure relaxation on the beaches of Koh Samui.”

AirAsia introduces Kuala Lumpur-Semarang flights

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AIRASIA has launched daily services between Kuala Lumpur and Semarang, the capital of Central Java, bringing 160 passengers on its maiden flight on February 6.

AirAsia Indonesia president director Dharmadi said: “(Semarang) marks AirAsia’s fourteenth destination (in Indonesia) from Kuala Lumpur.”

The carrier also connects Kuala Lumpur to Jakarta, Surabaya, Medan, Jogjakarta, Bandung, Denpasar, Solo, Balikpapan, Palembang, Aceh, Perkanbaru, Padang and Makassar.

Dharmadi said the Kuala Lumpur-Semarang route had the potential to galvanise the Malaysian outbound market to Semarang, and added that AirAsia was also looking to target transit traffic from China, South Korea and Japan.

“We are working on the China market (especially from) Beijing. In fact, there were passengers from Guangzhou on our maiden flight,” he said.

Meanwhile, AirAsia is scheduled to start twice-daily Jakarta-Semarang services from March 9.

Creative Travel opens in Nepal

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LEADING Indian DMC Creative Travel will launch its third venture outside of India on February 20, going into a 50:50 ownership model with Nepalese tour operator Yeti Holidays to set up Creative Travel Nepal.

Although the company already offers Nepal as part of its programmes, it has been more of an “add-on destination to India”, said Creative Travel’s joint managing director Rohit Kohli. Over 90 per cent of itineraries are combined with India.

Kohli explained that the DMC was not jumping into the market to poach business from local competitors, but to widen the pie.

“A lot of tour operators around the world are not selling Nepal at all. As long as Nepal remains stable, it will grow. We want to leverage on our brand and grow Nepal as a destination,” he told TTG Asia e-Daily, adding that Creative Travel Nepal could ride on the company’s network of 15 overseas sales offices.

Staffed by Creative Travel employees, all existing business to Nepal will be handled by the new set-up, while will be marketed as a separate entity. Creative Travel already has a similar operation in Sri Lanka, and half of its itineraries feature the country as a standalone destination.

In a separate development, Kohli revealed that Creative Travel had signed on premium tour operator Insight Vacations, which recently added India to its 2012/2013 programmes, devoting a 24-page brochure towards the destination. About 3,000 passengers are expected in the first year, with tours beginning in September.