KAHA Group, a major Indonesian travel consultancy, is entering the e-commerce arena through Karya Harmoni Indonesia, a joint venture with former Wotif product director Thailand, Indonesia and Indochina, Yusuf Ijsseldijk, who has been appointed managing director and CEO of the new entity.

The company will launch its full-service online B2B and B2C travel sales engine, Goindonesia.com, in mid-November, catering to Indonesian domestic and outbound travellers.

“The fact that there is a fast-growing domestic business for online players like Agoda.com, which only accepts credit card payments, shows that the online market in Indonesia is maturing,” explained Yusuf.

“There is a huge market here (in Indonesia) but very few players. There are e-commerce sites, but they are not fully online.”

Goindonesia.com, which will initially feature hotel and transfer bookings and later airline and package tours, will offer a range of payment options such as Internet banking, closed-amount payments via ATM, and credit card transactions.

“There is a big opportunity for us to cater for those who have been thinking of (buying products) online, but are reluctant to use their credit cards because of fraud worries,” said Yusuf.

Commenting on the possibility of cannibalising KAHA’s business as a traditional offline travel consultant company, Yusuf said: “There will be a shift of market, but KAHA’s (offline) market will continue to grow in line with the growth of traffic in Indonesia.”

“Traditional travel business will continue to grow, but the online business will grow faster,” he added.

GREEN MICE practices took centre stage at this year’s EXCO Taiwan 2011, the third edition of the annual exhibition and convention-focused show.

Exhibition service providers participating at the event told TTG Asia e-Daily the adoption of eco-friendly practices in the exhibition and convention industry was a steadily growing trend.

According to Tom Yang, deputy general manager of Uniplan Taiwan, which went green with its own presence at the show by relying on iPads and projectors instead of printouts for presentations, 30 per cent of his clients adopt green exhibition technology, with automotive companies being the biggest supporters.

“Automotive companies are big polluters, and they are sensitive about their image,” he explained.

Yang believes that suppliers can play a big part in getting their clients to adopt green practices. “It is our job to convince our clients to use green (exhibition) technology, and we tell them that their customers will appreciate the effort,” he said.

Rick Chen of Taiwan-based Olily Exhibition Design, which counts HTC, Samsung, Hermes and Louis Vuitton among its clients, was another of the eco-friendly exhibitors on show.

All materials used by his company are reusable, Chen claimed, adding that he avoids using wood in the construction of booths.

Instead, the booths are created with custom-made steel fittings, bolted for easy dismantling, and lit using LED lighting—which reduces energy usage by up to 80 per cent, according to Chen.

By Glenn Smith

COMPETITION in the online travel retail space in Asia ratcheted up a notch with the launch of CheapTickets.sg on Monday.

CheapTickets, a B2C online travel-booking brand and the leading online travel player in Germany, is planning to expand aggressively in Asia, with Singapore having been designated as its regional headquarters.

The company opened offices in Bangkok and Hong Kong in October, with websites for both markets slated to go online by year-end. Plans are also on the cards to open offices in Indonesia, the Philippines, India and China next year.

Isabel Gonzalez, brand manager, CheapTickets.sg, told TTG Asia e-Daily that negotiations were ongoing with a potential local partner in China.

“If an agreement is signed, we will probably enter China by leveraging on (the partner’s) insider knowledge about the Chinese market, and by adopting the recommendations they make,” she said.

“We foresee that we will need to open two to three bases in the mainland.”

When asked if the online travel space in Asia was becoming saturated, Gonzalez said there was “definitely enough room in Asia for all players to secure massive growth potential”, especially in view of the increasing number of budget airlines already operating in or thinking of entering the region.

“In the meantime, consumer Internet penetration (in Asia) is on the rise,” she added.

Although it caters to the B2C market, Gonzalez pointed out that CheapTickets.sg would also appeal to travel consultants booking flights on behalf of corporate clients, due to its ability to display fares offered by scheduled as well as low-cost carriers operating within Asia-Pacific.

“CheapTickets’ ability for users to book low-cost flights to destinations not served by network carriers is one of the distinct features that marks us out,” she said.

Meanwhile, details for a CheapTickets affiliate programme are currently being worked out, said Gonzalez, adding that an initiative targeted at travel experts would not be ruled out once the website takes off.

ACCOR will add 10 new properties to its current crop of four in Malaysia by 2014, the majority of which will belong to its Ibis brand—which is making its debut in the country.

The Ibis properties slated to open include the 500-key Ibis Styles Fraser Business Park Kuala Lumpur (2012), 156-key Ibis Styles Cheras (2012), 179-key Ibis Styles Johor Bahru (2013), 165-key Ibis Styles Kota Kinabalu (2013), 108-key Ibis Styles Lahad Datu (2013) and 118-key Ibis Styles Ipoh (2013).

Other properties on the cards include the 513-key Pullman Kuala Lumpur (2012), 318-key Pullman Port Dickson (2014), 320-key Novotel Melaka (2013) and 187-key Novotel Klang (2013).

Accor’s existing portfolio in Malaysia includes Pullman Putrajaya, Pullman Kuching, Novotel Kuala Lumpur and Novotel Kota Kinabalu.

Malaysia tourism minister, Dr Ng Yen Yen, welcomed Accor’s expansion plans.

“Malaysia still needs more high-end hotel rooms to cope with the current influx of tourists into the country,” she said.

“While we have 87 five-star hotels and 135 four-star hotels, they are usually fully booked during peak travel seasons.”

Meanwhile, Accor has also launched its own Destination Malaysia website.

“This is to provide a platform for online visitors and customers to learn more about our network in Malaysia,” said Gerard Guillouet, vice president for Accor Malaysia, Indonesia and Singapore.

“Accor will collaborate with Tourism Malaysia through content syndication and by linking partnership activities.”

By N. Nithiyananthan

TRAVELPORT has introduced a new hotel booking programme that gives Travelport GDS-connected travel agents guaranteed access to the lowest publicly available rates from a wide range of international hotel groups.

Agents booking via Travelport’s Lowest Public Rate Programme have the ability to source and book the lowest public rate of the day offered anywhere by the participating property, including pre-paid rates and special promotional offers, regardless of whether the rate is flexible or has restrictions.

“By offering complete rate parity, hotels participating in ‘Lowest Public Rate’ stand to boost their brand awareness and loyalty among travel agents, many of whom prefer booking through the GDS channel,” said Niklas Andreen, group vice president, Hospitality & Partner Marketing, Travelport.

“This is a win-win partnership that enables our hotel partners to expand their sales opportunities, while giving agents confidence that they have secured the lowest rate of the day.”

Launched recently on both the Galileo and Worldspan GDS, the programme has already roped in more than 40 participating hotel brands, including InterContinental Hotels Group, Preferred Hotel Group, Leading Hotels of the World and Marriott International, with other chains expected to join by year-end.

The introduction of the programme follows the launch in July of Travelport Rooms and More (TTG Asia e-Daily, June 29), a hotel booking engine that allows agents to compare deals and commissions across multiple aggregators.

THE MALAYSIA Convention and Exhibition Bureau (MyCEB) has embraced a new brand identity, Asia’s Business Events Hub, which will position the country as an entry point for international organisations wanting to engage with Asian businesses and professionals through events.

A revamped standalone website showcasing MyCEB’s new branding, as well as a Quick Response (QR) code which directs smartphone users to the website when scanned with a QR reader, were unveiled at a launch event in Kuala Lumpur yesterday.

Ho Yoke Ping, general manager-sales & marketing, MyCEB, told TTG Asia e-Daily that the new branding and website would enable the bureau to clearly demarcate its role, and distinguish its efforts from Malaysia’s broader tourism promotion initiatives.

“The focus of this major branding exercise is to communicate our value proposition to the market, and to give MyCEB and Malaysia a competitive edge,” she said.

“Our ultimate goal is to position Malaysia as one of the top five destinations in Asia-Pacific for international meetings, and to hit a target of 2.9 million business arrivals by 2020.”

Ho added that the website would be constantly updated to inform meeting planners of Malaysia’s latest MICE-related service and facility offerings, and would be linked to a customer relationship management (CRM) system developed in partnership with Simpleview, a US-based CRM solutions provider.

Other MICE initiatives due to be rolled out include an Association Ambassador Programme, which will enable MyCEB to identify and train potential local hosts for international conventions, and a certification programme for Malaysia’s MICE industry stakeholders, which is still under development.

MyCEB will also be increasing its sales representation in Europe, followed by North America, Australia and key markets in Asia. The move will strengthen MyCEB’s bidding activities, promotions, lead generation process and marketing programmes in these markets.

The Ministry of Tourism has allocated a budget of RM50 million (US$16 million) to MyCEB for 2012, half of which will be channelled into the bureau’s existing subvention programme.

GARUDA Indonesia posted revenue of 6.9 trillion rupiah (US$775 million) for the third quarter, a 40 per cent jump over the same period in 2010.

The airline’s heightened earnings resulted in correspondingly healthier profits of 437 billion rupiah during the interval, a massive 472 per cent jump over last year’s 127.6 billion rupiah loss.

Growth in Garuda’s domestic and international flight frequencies—boosted in the third quarter by 24.8 per cent to 33,613 flights, as well as a healthier average load factor—up by 1.81 per cent to 78.25 per cent, contributed to the gains.

Between January and July, domestic air traffic in Indonesia saw a 15 per cent increase, while international air traffic was up by 14 per cent. Garuda’s domestic and international passenger numbers saw a 39 per cent and 32 per cent hike during the same period, respectively.

Garuda spokesperson Pujobroto noted: “These achievements mean a lot (to the airline) as it took place amid the global economic situation, the political situation in the Middle East, the earthquake and Tsunami in Japan, and increasing fuel prices.

Meanwhile, Garuda will continue to boost its aircraft numbers through the five-year Quantum Leap expansion programme first announced in 2009.

The flag carrier will grow its fleet from the current 89 aircraft to 154 aircraft by 2015. The new planes will consist of B737-800NG aircraft for domestic and regional services, A330-300 and 200 planes for mediumhaul routes, and B777-300ERs for longhaul flights.

INDIA has started cracking down on excessive baggage charges being imposed by international airlines on its US- and Europe-bound travellers.

The country’s Directorate General of Civil Aviation (DGCA) has asked international carriers operating services between the US/Europe and India to halt the practice of charging economy-class passengers for the second bag – an extra US$75-150 for a one-way trip – and revert to the original allowance of two pieces of luggage, within the weight limit of 23 kilos each.

The international carriers adopted the ancillary fees to increase revenue during the start of the global economic slowdown in 2008-2009. In comparison, Indian carriers still allow two free checked-in bags of 23 kilos each for flights between the US/Europe and India.

“Most Indian tourists go to the US for two to four weeks and carry heavy warm clothes for themselves. They also shop for themselves and their families, which necessitates carrying of a second bag,” said Anil Punjabi, chairman – east India, Travel Agents Federation of India.

“Reverting to a free second bag will positively impact tourist traffic to North America and Canada.”

The DGCA has requested an affirmation of compliance within one month.

THE MALDIVES has adopted a new tourism branding, Maldives – Always Natural, replacing The Sunny Side of Life, which it has used for the past 11 years.

The state-owned Maldives Marketing and PR Corporation (MMPRC) launched the environmentally themed slogan and logo after a year-long consultation, research and design process involving industry and government representatives.

MMPRC chairperson Thoyyib Mohamed said in a statement: “The slogan and logo are designed to underscore the outstanding natural beauty of the Maldives, which tourists from all segments of the market consistently rate as one of their main reasons for visiting the country.”

Shafraz Fazley, managing director of Male-based Viluxur Holidays, said the new branding would draw extra attention to the conservational efforts of the Maldives over the next 10 years, especially with travellers showing growing interest in eco-friendly destinations.

Michelle Flake, contracting & marketing manager at Scaevola Travel, agreed there was a need to protect the Maldives and its natural beauty.

“I hope with this new slogan, Always Natural, we can bring more awareness to the tourists and show them how committed we are to protecting something so special,” she said.

MYANMAR Airways International (MAI) will expand its services to Cambodia from today, with its twice-weekly Yangon-Siem Reap flights launched on February 23 (TTG Asia e-Daily, February 15) being extended to serve Phnom Penh.

The adjusted Yangon-Siem Reap-Phnom Penh service will be operated using MAI’s new 220-seat Airbus A321 aircraft, which was delivered on October 25.

Foreigners arriving on MAI’s flights from Cambodia to Yangon will be eligible for a visa-on-arrival (VOA).

MAI marketing and commercial executive, Aye Mra Tha, said the airline was expecting to attract more passengers on the extended route, since Phnom Penh was the business centre of Cambodia.

According to Aye, the flag carrier is also trying to persuade authorities to extend the VOA to arrivals from other destinations, including Bangkok, Singapore and Kuala Lumpur. “We are still waiting for an approval,” she said.

Meanwhile, MAI is planning to operate five charter flights to Jeddah in Saudi Arabia during the Hajj pilgrimage this month, as well as an additional flight, up from two-weekly, to Gaya in India during the Bodhgaya pilgrimage season.

The airline will also operate five charter flights to Palembang in Indonesia during the upcoming South-east Asian Games, and 14 flights from Guangzhou to Yangon during the gem emporium in Nay Pyi Taw.