Malaysia Aviation Group prioritises safer operations by reducing flights
To ensure safe and reliable aviation operations, Malaysia Aviation Group (MAG) has reduced its network capacity by 20 per cent for flights on Malaysia Airlines and Firefly.
The reduced network involves 20 per cent of capacity in Malaysia, South-east Asia, North Asia, Australia, North Asia, Australia, New Zealand, Greater China, South Asia and the Middle East.
MAG managing director, Izham Ismail, said in a recent statement issued on August 29: “As air travel returned to normalcy, with airlines globally restoring capacity into the market, we had been managing our schedules proactively to mitigate post-pandemic challenges including supply chain disruptions.
“We made the decision to carefully restore our capacity taking into consideration the speed of supply chain support. This is also contributed by global shortages due to a lack of resources that are causing delays in the production of spare parts by aircraft and parts manufacturers (OEMs).”
This has led to longer turnaround times for engine overhauls and repairs for the MAG fleet, both of which rely on external partners for these services, resulting in the lack of engines for its operations.
“Despite these challenges, MAG has maintained the quality of its maintenance work, managing both internally and externally, even with the associated high costs and financial impacts,” shared Izham.
MAG is also working closely with its stakeholders, including regulators and OEMs, to effectively address operational challenges and ensure timely and reliable delivery of spare parts – encompassing adequate and high-quality spares and a robust aircraft maintenance programme.
Izham added that the global shortage of parts had affected the on-time delivery of new aircraft orders, which, in turn, has impacted fleet planning.
By 2024, MAG was scheduled to receive 17 new aircraft orders as part of its fleet modernisation programme and support growth requirements. However, to date, MAG has only received four Boeing 737-8 aircraft out of the 13 contractually agreed by 2024.
For the A330neo, MAG was scheduled to receive four aircraft but is now expected to receive three by the end of the year as committed by Airbus.
MAG has experienced attrition of skilled workforce as new MRO players, both local and international, have entered the Malaysian market.
To address this, Izham revealed that MAG is collaborating with partners to augment its manpower and increase the skilled engineering workforce – MAG has also improved remuneration packages to sustain a strong talent pipeline.
Klook survey exposes travel insurance gap in Asia
Klook has revealed key findings under a new research conducted by Klook Protect, its travel-first insurance arm, that explored consumer attitudes, behaviours, and lifestyles impacting travel insurance today.
The research, commissioned by Canvas8, was conducted among a sample of 2,500 respondents in February 2024 across Singapore, Malaysia, the Philippines, Hong Kong and South Korea.
The Travel Troubles Beyond Lost Luggage 2024 study looks into the gaps and dynamic protection needs of millennial and Gen Z travellers who are often exposed to higher risk than previous generations of travellers.
Klook Protect CEO Chuan Sheng Soong described millennials and Gen Zs as fearless adventurers who are tech-savvy and independent, which is why there is a gap in the market for different types of travel insurance that reflect their travel habits and elevate the quality of their holiday.
Travelling in 2024 comes with a few added layers of risk compared to previous years. Among many factors, climate change, economic pressures and health concerns have all led to disrupted travel plans and potentially impacting safety in certain destinations. Examples include deadly flight turbulence, increased crime rates in high tourist areas, and health risks such as climate-sensitive infectious diseases.
Key findings from the report include:
Traditional travel insurance fails to keep up with modern traveller needs
Millennials and Gen Zs have ushered in a new way to travel and among all surveyed, 21% expressed their desire for less traditional travel insurance because these products tend to follow a cookie-cutter approach that is now outdated. Specifically, 34.1% want the process of getting travel insurance to be enjoyable, followed by 12.7% and 8.1% who want a more progressive and transformational provider respectively.
Difficulties in making claims (25%), understanding what is covered (22%), and having processes that are too complex (22%) or too long (20%) were key factors in discouraging modern travellers from purchasing travel insurance. Considering that convenience and flexibility are high priorities for millennials and Gen Zs, the complexities behind traditional travel insurance do not even meet their basic preferences as a consumer. Furthermore, 75% of travellers prefer to book aspects of their trips (flights, accommodation, insurance) all in one place, with 28% of those respondents ‘strongly agreeing’.
Malaysia (36%), Singapore (34%), and Hong Kong (21%) are the top markets with travellers highlighting difficulty in making claims. At the same time, the Philippines has a whopping 40% of travellers who are more value-conscious, ranking price as the top reason.
Millennials and Gen Zs need different protection and preparation as they are exposed to higher risk
About 48% of travellers under the age of 35 are often drawn to adventure travel, and exposed to more risk during vacation due to solo or unplanned ventures. This includes activities like extreme sports, off-the-beaten-path destinations, and physically demanding experiences. Although exciting, these activities inherently carry a higher risk of injury or accidents, when compared to more traditional sightseeing. Furthermore, the disappointment of unwanted, unexpected moments or lack of achieving travel goals can ruin an entire trip.
Up to 46% of those surveyed take a leisure trip at least once every three months, which could be anything from an overnight stay to a backpacking trip. This causes some to prioritise budget travel which could involve staying in less-regulated accommodations or transportation options with lower safety standards.
Besides travelling on a whim, millennials and Gen Zs heavily rely on technology for navigation, communication, and even booking activities. Dependence on phone battery life or limited internet access in remote locations could pose further challenges in emergencies. Other new risks such as ride-share scams, misrepresentation of accommodation on websites, and poor safety standards from adventure providers, will increasingly drive demand for protection against them.
Majority of travellers are unmotivated to buy travel insurance
Despite the culture of over-preparedness and meticulous planning in Asian households, travellers from Hong Kong, Malaysia, the Philippines, as well as Singapore who lead the way in frequent travel, wait less than a month prior to make decisions on travel insurance. It is also found that Singaporeans (30%), Hong Kongers (36%), Malaysians (37%) and Filipinos (36%) buy coverage just days to a week before their trips.
One-fifth expressed concerns over the complexity of making insurance claims, while 32% indicated a strong preference for seamless, easy-to-claim policies. These findings underscore a much bigger opportunity in the market.
Sharing what can be done to change the rigid state of travel insurance today given the heightened risk factors, Soong said: “Travel insurance definitely needs to be modernised for a better travelling experience. There is a need for new travel insurance standards, as travellers are dragging their feet to purchase travel insurance, feeling overwhelmed by options and still not finding what they need.
“Our research has made us aware that adventure seekers in particular, have had bad experiences with travel insurance in the past due to their claims falling out of the insurance coverage scope, or difficulties in finding suitable insurance in the first place. There is a gap in the market for travel insurance that can address such needs, and people deserve to have insurance that allows them to enjoy the adventures that they want without having to worry about the aftermath.”
Klook Protect offers insurance that caters to millennial and Gen Z travel habits – these help travellers make smarter choices that enrich their holiday experiences with insurance solutions that can understand and anticipate travel that is centred around fun activities and meaningful experiences.
The research, commissioned by Canvas8, was conducted among a sample of 2,500 respondents in February 2024 across Singapore, Malaysia, the Philippines, Hong Kong and South Korea.
Klook Protect’s Travel Troubles Beyond Lost Luggage 2024 White Paper can be accessed here.
Aman appoints Novak Djokovic as global wellness advisor
Aman has named tennis champion Novak Djokovic as its first global wellness advisor, enhancing the wellness resort’s offerings through exclusively designed programmes and events that draw on his mental and physical well-being experience both on and off the court.
Djokovic will play an adversarial role with Aman Essentials, specifically focusing on future product development and extensions of the brand, in relation to overall well-being.
The multi-year partnership will grow and develop year-on-year, with early plans across the brand’s properties including (but not limited to); special events for Aman Club and Residence owners; annual hosted wellness retreats; and specially curated programmes available to guests year-round.
“To remain competitive at the highest level, over an extended time period, demands far more than skill,” shared Djokovic. “Over the years, I have cultivated a comprehensive daily wellness routine, combining mental health, nutrition and fitness, that has enabled me to achieve sustained success both on the global stage and in my personal life. Sharing those learnings with Aman guests will be both a privilege and a pleasure.”
In 2023, Aman named Maria Sharapova as an Aman Global Wellness Ambassador, and she is set to host Building Resilience: A Maria Sharapova Retreat at Amanzoe in Greece from September 23 to 26. Sharapova’s exclusively curated, half-day Strength and Recovery programme is currently available as part of Aman New York’s daily spa programming.
Philippine Airlines rolls out low fares with seat sale
Philippine Airlines (PAL) has kicked off its Ultimate Seat Sale, offering travellers lowest fares of the year on select international and domestic destinations from now to September 20.
Fares start as low as US$50 for round trip base fare for international travel, and 209 Philippine pesos (US$21) one-way base fare for domestic travel.
Travel period is from August 30, 2024 onwards.
For more information, visit Philippine Airlines.
New Zealand to increase tourist levy to NZ$100
Travellers to New Zealand will soon have to pay nearly thrice the amount in entry fees from October 1, a move by the government that has sparked criticism from the key tourism sector that the higher levy will deter visitors.
The international visitor and conservation and tourism fees will be raised to NZ$100 (US$61.88) from $35 to “ensure visitors contribute to public services and high-quality experiences while visiting New Zealand”, according to the New Zealand government.
The decision was made after the NZ$35 fee, which was first introduced in July 2019, proved insufficient to cover the costs incurred by the impact of tourists on the natural environment.
The government said the fee was competitive and it was confident New Zealand would continue to be seen as an attractive visitor destination.
However, tourism stakeholders believe the sharp increase in levy will discourage visitors, as the country is still struggling to recover from strict border closures implemented during the Covid-19 pandemic.
In addition, the New Zealand government has recently increased the costs of visitor visas, and plans to also increase charges on regional airports.
“New Zealand’s tourism recovery is falling behind the rest of the world, and this will further dent our global competitiveness,” said Rebecca Ingram, chief executive, Tourism Industry Association.
For NZ Airports chief executive Billie Moore, the government’s decision is “a triple-whammy for our sector, which is trying to work hard for New Zealand’s economic recovery”.
Sentosa’s Tanjong Beach reopens to public
Tanjong Beach in Sentosa, which was most impacted by the oil spill on June 14, is now reopen for swimming and sea activities, announced Sentosa Development Corporation, ahead of the expected three months for clean-up and restoration.
The reopening has been carried out in accordance with the relevant national guidelines to ensure that water quality at Tanjong Beach has returned to normal and stable levels through regular monitoring.
With all three beaches now reopened, swimming and water activities have resumed for all visitors.
Nepal highlights lesser-known destinations in new campaign
PATA Nepal Chapter has launched a marketing campaign to introduce new products and promotions as well as raise awareness for lesser-known destinations, such as the western, eastern and northern parts of Nepal, where there are already wildlife, mountains, and cultural attractions.
Narendra Bhatta, general secretary of PATA Nepal Chapter and managing director of Heritage Tours and Travels, told TTG Asia that Nepal stakeholders recently invited a number of tour operators and DMCs from India to visit the far west of the country, where wildlife-sighting, rafting, trekking and pilgrimage programmes were introduced.
Similar fam trips will be held next year to help more overseas tour operators develop new programmes to attract travellers to Nepal.
To facilitate access, Nepal Airlines plans to launch a new service between Kathmandu and Sydney, Australia in the next few months, operated on an Airbus 332 with 274 seats in two classes. This would be Nepal Airlines’ first regular scheduled flight to Australia.
The airline previously operated chartered flights to Australia on a scheduled twice-weekly service.
Meanwhile, the Buddhist Circuit company, which organises spiritual tours connected with Buddha’s life, has launched the first Women Empowerment Spiritual Sports Run – Mother Maya Devi Maternity Route Marathon. The run starts from Lumbini and ends at Kapilvastu Palace, tracing the route Buddha’s mother, Mother Maya Devi took to birth the prince. The three-day marathon will take place across Enlightenment Day, Mahaparinirvana Day, and Vesak Day.
Having organised the Mount Everest Marathon for the last 20 years, Bikram Pandey, founder and owner of Buddhist Circuit, said: “This is the first women empowerment run dedicated to the queen who gave birth to Buddha. The programme will not just be for runners; visitors can also participate in a pilgrimage or a holy walk, guided by a nun or priest.”
South Korea’s Gangneung City adds more target markets
Gangneung City, located in Gangwon Province, South Korea, has long been a powerhouse in domestic tourism. Now, the city is setting its sights on the international market, with a particular focus on Taiwan and Japan due to their geographic proximity.
In the coming year, Gangneung City aims to expand its target markets to include South-east Asia, a region that is increasingly captivated by K-culture – Korean music, dramas, and films, shared Um Kum Mun, tourism policy department director, Gangneung City.
The city was the film site for popular dramas such as Goblin and The Glory.
Meanwhile, the city’s business events infrastructure is expanding. A yet-to-be-named convention centre is being built in the Olympic Park. This is scheduled for completion in 2026, in time for the 32nd ITS World Congress in October. The high profile event on smart mobility and digitalisation of transport is expected to attract participants from 100 countries.
It is the first purpose-built convention centre for the city, which has set its sights on the business events industry. It intends to grow inbound corporate incentive events as well.
With Gangneung City being connected to Seoul by a three-hour ride on the KTX high-speed train, Um said his destination would be attractive for twin-city leisure and MICE itineraries.
IHG, Hotel Management International take ANA Crowne Plaza brand to new destinations
IHG ANA Hotels Group Japan (IHG) has joined forces with Hotel Management International (HMI) to expand its footprints by rebranding three hotels in Japan to the ANA Crowne Plaza brand.
Totalling 539 rooms, the three Crown Palais hotels will undergo extensive renovations as they convert to ANA Crowne Plaza Kochi, ANA Crowne Plaza Chiryu and ANA Crowne Plaza Hamamatsu. Opening in 1H2026, these three hotels will join a 20-strong ANA Crowne Plaza portfolio in Japan that includes ANA Crowne Plaza Osaka and ANA Crowne Plaza Kanazawa.
Abhijay Sandilya, CEO of IHG ANA Hotels Group Japan and managing director of IHG Hotels & Resorts Japan & Micronesia, said: “Converting these properties reflects the attractiveness of our brands, the value of IHG’s global enterprise backed by our strong in-market team with ANA’s support. Expanding the brand’s presence and adding three new destinations – Kochi, Chiryu and Hamamatsu – to our extensive portfolio across the country offers guests new experiences and options whether they are travelling for leisure, business or blended travel.”
Ryuko Hira, president of HMI, added: “With a long history of operating hotels for more than half a century across Japan, we are confident that the power of IHG and the ANA Crowne Plaza brand will enable us to strengthen our offering and expand our business, attracting a wider range of travellers to our hotels.”
ANA Crowne Plaza Kochi, ANA Crowne Plaza Chiryu and ANA Crowne Plaza Hamamatsu will add to IHG’s growing presence in Japan which currently sits at 47 open hotels with 15 in the pipeline.
The Indonesian Ministry of Tourism and Creative Economy (MoTCE) recently conducted its 2nd Indonesia Health Tourism Exchange Forum (IHTEF) in Jakarta in a bid to expand the country’s health and wellness offerings.
The event’s B2B meeting component attracted 20 local wellness providers that showcased health products and activities as well as 40 local travel companies attending as buyers.
The event educated attendees on the wide range of wellness products, including cultural elements like traditional dances, that can enrich the overall experience. Highlights included the Sanggar Tari Kinanti Sekar healing dance, Rumah Atsiri’s aromatic wellness journey and destination, and Bali Medical Tourism Association’s Balinese wellness local wisdom.
Data from The Global Wellness Institute found that the Indonesian wellness economy has grown from US$35 billion in 2017 to US$36.4 billion in 2020. Despite this, Indonesia still ranks 19th globally and seventh in the Asia-Pacific region.
Itok Parikesit, director of special interest tourism at MoTCE told TTG Asia that while Balinese and Javanese massage techniques are well-known and often associated with the country, Indonesia lacks a strategic approach to wellness tourism. Going forward, MoTCE aims to make Indonesia a global wellness tourism destination by establishing a wellness travel trend through the IHTEF event.
Itok emphasised that “Indonesia’s strength lies in wellness products that are sourced from tradition and local wisdom”.
Kinanti Sekar, founder of Sanggar Tari Kinanti Sekar, shared that her studio often received tour groups seeking to learn dance as a cultural experience, through which they discover that dance is part of the healing process. That inspired her to expand her services to focus on healing through dance.
For Andi Alwani, chief operating officer of Kelas Piknik Tour, IHTEF inspired him to create special wellness packages to grow his business. He noted that clients “always request (for) wellness programmes in their tour packages”.