Towards worry-free travel - TTG Asia

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Towards worry-free travel - TTG Asia
PPS 619/02/2013(022926)

                                                                                                 Year-end
                                                                                                   issue

                                                      Towards
                          No. 1741/December 2016

                                                     worry-free
                                                         travel
                                                     In a sector constantly fraught with challenges and
                                                     issues of all kinds, how can travel be the seamless,
                                                   safe and joyful affair that it’s supposed to be? Worry-
                                                      free travel is what we at TTG Asia wish for in 2017.
                                                                 Have a happy holiday season everyone!

                                                                                                             Chinnapong/shutterstock
Towards worry-free travel - TTG Asia
Year-end 2016 TTG Asia 2
                                                                                                                             Want to read us on the go?
Foreword

Towards worry-free travel                                                                                                                                 EDITORIAL

                              L
                                                                                                                                                    Karen Yue Group Editor
                                   ooking back at 2016, safety & security was a key issue. We had horrible terror                                   karen.yue@ttgasia.com
                                   attacks targeting tourists (e.g. Brussels airport, a series of bombs in popular                          Xinyi Liang-Pholsena Editor, TTG Asia
                                                                                                                                                    liang.xinyi@ttgasia.com
                              Thai resorts), viral outbreaks (Zika), air accidents (FlyDubai, Egyptair), natural                         Paige Lee Pei Qi Assistant Editor, Singapore
                                                                                                                                                      lee.peiqi@ttgasia.com
                              disasters that affected tourism (New Zealand earthquake), political impacts (Brex-                           S Puvaneswary Editor, Malaysia/Brunei
                              it, US presidential election), economies (China slowdown) – enough examples to                                          puvanes@ttgasia.com
                                                                                                                                                Mimi Hudoyo Editor, Indonesia
                              make us choose Towards worry-free travel as the theme of this year-end issue.                                            idmfasia@cbn.net.id
                                                                                                                                             Rachel AJ Lee, Yixin Ng Sub Editors
                                  Our dream of worry-free travel goes far beyond safety & security. From our per-                       rachel.lee@ttgasia.com, ng.yixin@ttgasia.com
                              spective, despite the troubles of 2016, the industry in fact has gone stronger in deal-                      Rebecca Elliott Correspondent, Australia
                                                                                                                                                  rebeccaelliott@hotmail.com
                              ing with crises, having year after year learnt to deal better with them. Tourists too                     Marissa Carruthers Correspondent, Cambodia
                              have voted with their passports – terror attacks or health scares have not prevented                               maris.carruthers@gmail.com
                                                                                                                                 Caroline Boey Senior Correspondent, China & Special Projects
                              them from travelling. Close to one billion international tourists were recorded in                                  caroline.boey@ttgasia.com
                                                                                                                                          Prudence Lui Correspondent, Hong Kong
                              the first nine months of 2016, a four per cent increase over the same period in 2015,                                     prului@yahoo.com
                              according to UNWTO’s latest count.                                                                               Rohit Kaul Correspondent, India
                                                                                                                                                     rohit.kaul@ttgasia.com
                                  What we’d love to see is worry-free travel in its totality, i.e. while safety & security                    Julian Ryall Correspondent, Japan
                                                                                                                                                       jryall2@hotmail.com
                              is critical, so too is the beauty in seamless, efficient, friendly and joyful travel.                   Feizal Samath Correspondent, Sri Lanka/Maldives
                                  So, to our dear readers, we’d like to wish you not ‘safe travels’ – this year’s com-                                feizalsam@gmail.com
                                                                                                                                     Michael Sanderson, Chadamas Chinmaneevong
                              mon email sign-off – but ‘happy travels” in 2017, when travelling is less of an anxi-                                Correspondents, Thailand
                                                                                                                                   michael.sanderson@ttgasia.com, chadamasc@gmail.com
                              ety and more of uninhibited discovery.                                                                    Rosa Ocampo Correspondent, The Philippines
                                  Which is what it should be.                                                                                      rosa.ocampo@gmail.com
                                                                                                                                     Redmond Sia, Goh Meng Yong Creative Designers
                                  Yours,                                                                                                          Lina Tan Editorial Assistant

                                                                                                                                                    SALES & MARKETING
                                                                                                                                               Michael Chow Group Publisher
                                                                                                                                                 michael.chow@ttgasia.com
                                                                                                                                           Pierre Quek Publisher, Online Section
                                                                                                                                                  pierre.quek@ttgasia.com
                                                                                                                                           Shirley Tan Senior Business Manager
                                                                                                                                                   shirley.tan@ttgasia.com
                              Raini Hamdi		 Xinyi Liang-Pholsena                                                                              Ingrid Chung Business Manager
                                                                                                                                                 ingrid.chung@ttgasia.com
                              Senior Editor 		 Editor                                                                                     Cheryl Tan Corporate Marketing Manager
                                                                                                                                                   cheryl.tan@ttgasia.com
                                                                                                                                            Kwek Wan Ling Marketing Executive
                                                                                                                                                kwek.wan.ling@ttgasia.com
                                                                                                                                      Cheryl Lim Advertisement Administration Manager
                                                                                                                                                   cheryl.lim@ttgasia.com
                                                                                                                                 Carol Cheng Assistant Manager Administration and Marketing
                                                                                                                                                  carol.cheng@ttgasia.com

                                                                                                                                                   PUBLISHING SERVICES
                                                                                                                                                  Tony Yeo Division Manager
                                                                                                                                           Kun Swee Qi Publishing Services Executive
                                                                                                                                                   Lynn Lim Web Executive
                                                                                                                                             Katherine Leong Circulation Executive

                                                                                                                                                       TTG ASIA MEDIA
                                                                                                                                                  Darren Ng Managing Director
                                                                                                                                                     darren.ng@ttgasia.com
                                                                                                                                                   Raini Hamdi Senior Editor
                                                                                                                                                    raini.hamdi@ttgasia.com

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     CEO Essays                                                        Travel Startups                                                  Tel: (852) 2237-7288 Fax: (852) 2237-7227

     Five industry leaders share their views on                        A new crop of entrepreneurs explore ways
     how travel can be safe and fuss-free                              to make the travel landscape worry-free                                 TTG Asia is a product by TTG Travel Trade Publishing,
                                                                                                                                               a business group of TTG Asia Media. It is mailed free
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     A look at 2016’s biggest stories that shaped                      These jetsetting professionals show how                         MCI (P) 098/09/2014 • PPS 619/02/2013(022926)

     the travel and tourism sector                                     to have good, safe fun off work                                          Printed by Times Printers Pte Ltd
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09   Intelligence
     Global tourism health still looks in good
     shape, according to indicators
                                                           21          Millennials
                                                                       Young travel executives reveal their
                                                                       favourite tools to get around
                                                                                                                               Travel Hall of Fame
                                                                                                                               Since 2002, TTG Asia Media has honoured
                                                                                                                               luminaries that have won the prestigious
                                                                                                                               TTG Travel Award for at least 10 consecutive
                                                                                                                               times for the same award title in the Travel

10                                                         23
     Inbound Travel                                                    Women                                                   Hall of Fame.
                                                                                                                                     At present, these exceptional
     Agency bosses tell how they cope with                             Power women divulge their innermost                     organisations and their years of induction are:
     disruptions to business this year                                 travel fears and how they overcome them                 • Singapore Airlines (2002)
                                                                                                                               • Singapore Changi Airport (2002)
                                                                                                                               • Hertz Asia Pacific (2005)

12                                                         24
     Outbound Travel                                                   Travel Insurance                                        • Royal Cliff Hotels Group (2006)
                                                                                                                               • Star Cruises (2008)
     There’s no lack of bright spots for outbound                      An expert advises agents on how to check                • Sabre Travel Network Asia-Pacific (2009)
     business despite a tumultuous year                                travel insurance cover for terrorism                    • SilkAir (2010)
                                                                                                                               • Lotte Tour (2011)
                                                                                                                               • Hong Kong International Airport (2013)

15                                                         25
                                                                                                                               • Raffles Hotel Singapore (2013)
     NTOs                                                              Travel Technology                                       • Regal Airport Hotel (2015)
     A carefree holiday wish list from tourism                         Cutting-edge solutions that tech providers              • Banyan Tree Spa (2015)
                                                                                                                               • Qatar Airways (2016)
     chiefs in Asia-Pacific                                            wish to sell for seamless travel                        • Thai Airways International Public Company Limited (2016)
                                                                                                                               • Thailand Convention & Exhibition Bureau (2016)

16                                                         26
                                                                                                                                     TTG Asia Media is pleased to announce that it has set up a
     Transport                                                         Editorial Team                                          virtual TTG Travel Hall of Fame (www.ttgtravelhof.com), which will
     Airline and cruise heads outline some                             TTG Asia editors and reporters disclose                 enable us to showcase the accolades, artefacts and memorabilia
                                                                                                                               of the region’s most exceptional travel organisations in a far
     common hazards in the skies and seas                              their most daring acts this year                        more effective way and to a global audience.
Towards worry-free travel - TTG Asia
Year-end 2016 TTG Asia 3
                                                                                                     In an era of unprecedented global integration and growing
      CEO essays                                                                                      uncertainty, five industry leaders ponder how technology,
                                                                                                         proactive measures plus a bit of innovative thinking can
                                                                                                                make travel safer and seamless. By Raini Hamdi

      Silver lining around dark clouds
                                                   W       e are living in one of the most ex-
                                                           citing times to be a traveller. The
                                                   Internet is uncovering yet unknown
                                                                                                      end lying on an airport bench, followed by
                                                                                                      the bureaucratic hell of claiming refunds.
                                                                                                          Blockchain technology could potential-
                                                                                                                                                      more, but placate nervous relatives and
                                                                                                                                                      friends when their loved one decides to be
                                                                                                                                                      adventurous.
                                                   places to visit; air travel is growing at one      ly take some of the sting away with instant        Landing in a foreign and underdevel-
                                                   of the fastest rates in history, becoming          insurance. A company called FlightDelay         oped country, one of the most worrisome
                                                   more affordable and accessible than ever;          allows users to receive instant cashback on     moments is deciding how to get from the
                                                   and mobile apps are allowing us to stay in         any delayed flight, circumventing the la-       airport to the hotel, and whether the taxi
                                                   people’s homes around the world at the             borious, time-consuming claims process          driver understands you and not rip you
                                                   fraction of the price of a hotel.                  via airlines. As costs are eliminated, insur-   off. Driverless cars should put an end to
                                                       Yet despite this progress, the act of trav-    ance becomes zero sum, allowing custom-         this and GPS technology can take you to
                                                   elling is still associated more with stress
                                                   than (ease), and with the growth of tech-                       Technology can create more complexity, but
                                                   nology comes complex problems too.
                                                       Take for example the recent system                          it can also make life significantly easier and
                                                   glitches and crashes experienced by n                           worry-free.
                                                   United Airlines and British Airways,
                                                   thanks in part to compatibility issues             ers to keep more of their wealth. While in      any location you wish accurately, efficient-

      TRAVELLING                                   between old ‘legacy’ systems and newer
                                                   technology. Cyber attacks on hotels make
                                                                                                      its early stages and is highly dependent
                                                                                                      on accurate third-party data, this model
                                                                                                                                                      ly, transparently and safely. With driverless
                                                                                                                                                      car technology improving, transportation

      MADE EASIER                                  travellers wary about parting with their
                                                   personal data (not that they have any
                                                                                                      could also potentially eliminate the travel
                                                                                                      insurance market.
                                                                                                                                                      will become automated and efficient.
                                                                                                                                                          These are only a few examples of how

      WITH TECH                                    choice), and hotel key cards have a knack
                                                   of not working when you need them to.
                                                       Technology can create more complex-
                                                                                                         Wearable technology will become so
                                                                                                      advanced that your loved ones will know
                                                                                                      where you are based on the signals sent
                                                                                                                                                      technology can reduce the stress and
                                                                                                                                                      worry in travel, among others. There are
                                                                                                                                                      so many touch points along a traveller’s
                                                   ity, but it can also make life significantly       from your wearable device. Aside from           journey that could cause concern, from
      David Topolewski                             easier and worry-free.                             location, other vital signs such as heart       immigration to airport transfers. If tech
      The CEO of mobile learning provider Qoo-         As any traveller will tell you, a delayed      rate and blood sugar levels can also be         applications can make just some of those
      co examines how advances in technology       or cancelled flight can mean the difference        checked. This will not only allow those         points smoother and more efficient, then
      will make travel breezier                    between a dream holiday and hours on               who suffer from serious conditions to do        the world of travel will get even better.
               IMX_TTG trade ad-07-OP.pdf   1   11/22/16   6:36 PM

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Towards worry-free travel - TTG Asia
CEO essays
                                                                                                year period.                                      Global standards are also helping to
                                                                                                   One notable point is that the 2015 fig-     tackle emerging issues. Aircraft tracking
                                                                                                ures do not include two tragedies – the        came to the forefront in 2014 with the loss
                                                                                                losses of Germanwings 9525 and Metro-          of Malaysia Airlines flight 370. Under the
                                                                                                jet 9268. Both were deliberate events and      International Civil Aviation Organiza-
                                                                                                were not accidents. Indeed, 2015 is simi-      tion’s leadership and with input from the
                                                                                                lar to 2014 in this regard. If we look at      industry, a global tracking standard has
                                                                                                the 2014/2015, the industry’s safety per-      been established, which will be globally
                                                                                                formance has been affected primarily by        applicable from November 2018. And our
                                                                                                events that could be previously classified     capabilities may grow more robust in the
                                                                                                as almost “unthinkable”.                       near future as space-based technologies
                                                                                                   Our goal is to have zero accidents. As an   mature.
                                                                                                industry, we have become very good at ap-         So have a worry-free journey – flying is
                                                                                                plying lessons learnt from past accidents      the safest way to travel, and we are work-
                                                                                                via a systematic, well-researched and col-     ing towards making it even safer!
                                                                                                laborative process based on global stand-
                                                                                                ards and best practices. This has been the
                                                                                                industry’s modus operandi for decades
                                                                                                and has helped to make aviation the safest
                                                                                                form of long-distance travel the world has
                                                                                                ever known.

JETTING INTO SAFER SKIES                                                                           Global standards are vital to sustain-
                                                                                                ing safety improvements. This is shown in
                                                                                                the performance of airlines on the IATA
Conrad Clifford                                 flights, a 30 per cent improvement from         Operational Safety Audit (IOSA) registry.
IATA’s regional vice president, Asia-Pacific    the previous five-year rate of one accident     In 2015, the total accident rate for IOSA-
affirms that flying, backed by statistics and   for every 2.2 million flights.                  registered carriers was nearly three times
measures in place, remains one of the safest        Safety is the top priority for the indus-   as good as the rate for non-IOSA carriers.
ways to travel                                  try. Although we work hard to prevent           When compared over the last five years,
                                                any loss of life, accidents do happen. This     the rate is more than three times better.

T   here are many things we need to wor-
    ry about in life, but air travel is not
one of them.
                                                year we saw accidents involving FlyDubai
                                                and EgyptAir. In 2015, the industry expe-
                                                rienced four fatal hull loss accidents – all
                                                                                                   And we have enhanced the IOSA pro-
                                                                                                cess by transitioning it from a snapshot of
                                                                                                compliance to a continuous management
   A look at the industry’s past safety per-    involving turboprop aircraft – with a total     process across the two-year cycle of the
formance will reveal that aircraft accidents    of 136 fatalities. This compares positively     audit. Today, there are over 400 airlines
are extremely rare. In 2015, there was          with the average 17.6 fatal accidents and       around the world that are using IOSA,
one major accident for every 3.1 million        504 fatalities per year in the previous five-   including 55 from the Asia-Pacific region.

                                                                                                from stepping on a plane.                      why not let low-risk passengers process
SMART TECHNOLOGY FOR                                                                               This concept is not new. Australia has
                                                                                                long been a leader in this area and has
                                                                                                                                               themselves? It is possible to keep passen-
                                                                                                                                               gers moving while freeing border agencies
SMARTER AIRPORTS                                                                                now introduced interactive exit checks so
                                                                                                that unauthorised travellers are prevented
                                                                                                                                               to focus on those posing a greater risk.
                                                                                                                                                  This shouldn’t be limited to border
                                                                                                from leaving the country.                      checks. A fast, secure and seamless walk-
Ilya Gutlin                                     get passengers processed quickly and se-           Two developments which offer the op-        through experience at every checkpoint at
President, Asia-Pacific of aviation technol-    curely.                                         portunity to check passengers at the bor-      the airport is within reach of passengers
ogy company SITA examines how smart                In the face of growing threats, govern-      der quickly and securely are biometrics        today.
technology can improve both the airport se-     ment agencies need to have the very best        and the use of e-passports.                       For instance, SITA Smart Path allows
curity and passenger experience alike           information and intelligence on travellers         Recent advances have made biometric         passengers to move through the airport
                                                as early as possible. Pre-travel authorisa-     technology fast and accurate. A trial of       and board the aircraft simply by present-

H     ow can we make travel more secure
      without making the passenger expe-
rience unbearable? How do we stop those
                                                tion includes advance passenger process-
                                                ing or interactive advance passenger in-
                                                formation, which integrates the pre-travel
                                                                                                SITA biometric gates showed that 92 per
                                                                                                cent of eligible travellers had their docu-
                                                                                                ments and biometric checks successfully
                                                                                                                                               ing themselves for a biometric check.
                                                                                                                                               Once verified there is no need for the pas-
                                                                                                                                               senger to present a boarding pass, a pass-
who shouldn’t be getting on planes with-        screening process with airline check-in         completed with no operator intervention,       port or travel document again.
out ruining the journey of the vast major-      procedures.                                     and we’ve recorded up to 60 per cent de-          This smart technology can be easily
ity of innocent travellers? Over the last 15       This real-time technology allows bor-        crease in wait times with our automated        integrated into existing airport infrastruc-
years we have seen measures introduced          der authorities to process travellers in ad-    border control kiosks.                         ture and airline systems, which makes it
which arguably have not delivered the           vance and prevent unauthorised persons             Today, more than 100 countries have         cost-effective and fast to deploy.
right balance.                                  from making their journey in the first          implemented e-passports and their use             Secure, seamless travel is possible. The
   But there is an answer. We can get           place. What this does is essentially push-      is widespread. Travellers are enthusiastic     world needs to get smarter about using
smart. Technology is available so that          ing the border to the point of departure        about using self-service technology. So        technology to make it happen.
border security agencies across the world       and in advance of travel. Doing this means
can work smarter and use automation to          that unauthorised travellers are prevented                                                               SITA looks to beacon technology to
                                                                                                                                                          personalise the airport experience

                                                         Technology is
                                                         available so that
                                                         border security
                                                agencies across the world
                                                can work smarter and
                                                use automation to get
                                                passengers processed
                                                quickly and securely.
Towards worry-free travel - TTG Asia
Year-end 2016 TTG Asia 5

MAKING MEANING OF                                                                                sive scale and we faced a situation where
                                                                                                 all bookings we had in our books to all
                                                                                                                                                   rank of the staff), encouraged them to
                                                                                                                                                   take unpaid leave and use the time for fur-

CRISES AND CHALLENGES                                                                            our destinations were cancelled within
                                                                                                 days, and no new bookings came in. It af-
                                                                                                 fected every segment – leisure, corporate
                                                                                                                                                   ther training and education. We also cut
                                                                                                                                                   the bonus for that year. All our staff un-
                                                                                                                                                   derstood it was for the overall benefit of
                                                                                                 and MICE – and all our source markets.            everyone and, with the exception of a few,
                                                                                                 When people fear that they might catch            supported us.
                                                                                                 a disease, however remote that possibility           On the marketing side we stopped all
                                                                                                 actually is, they won’t travel.                   short-term activities except attending key
                                                                                                    In such a situation where no income            trade shows. We embarked on an infor-
                                                                                                 will be generated for months, the key to          mation policy, to provide real facts to our
                                                                                                 survival is of course cash flow. We are in        B2B customers to the best of our knowl-
                                                                                                        an industry where short-term bank          edge even if the press continued to paint
                                                                                                             loans are hard to come by and         a dim future.
                                                                                                               cash is king. The immediate            It took about six months for business to
                                                                                                                focus in such a crisis is the      start coming back. Some source markets
                                                                                                                 need to reduce costs to the       took longer to return to Asia. It was a mat-
                                                                                                                 minimum. For a DMC such           ter of national character to a certain ex-
                                                                                                                 as us, it is staff costs that     tent, where some markets were just more
                                                                                                               make the bulk of expenses.          sensitive to negative news than others.
                                                                                                                     Yet we did not want to           We reversed our salary cuts as soon as
                                                                                                                       make our staff redun-       we were able to. And with our staff reten-
                                                                                                                          dant, as they are our    tion policy, when the tourists returned, we
                                                                                                                             most important        had skilled and experienced staff to look
                                                                                                                             asset. We have        after them and hence guaranteed the qual-
                                                                                                                             always been an        ity of our services at all our destinations.
                                                                                                                              employer where,      A year later we were even able to pay our
                                                                                                                              if times are good,   staff an extraordinary bonus since busi-
                                                                                                                              we let staff ben-    ness recovered faster than expected.
Laurent Kuenzle                                  the most difficult one                                                      efit as much as          The lessons learnt? Focus on the long
Asian Trails’ group CEO shares the toughest      and which had the                                                           possible; if times    term, have a healthy cash flow, treat your
crisis he has ever handled and why people        biggest impact in all                                                    are difficult, we will   staff as well as you can and keep a tight
remains at the heart of his DMC operations       the countries we op-                                                    all carry the burden      grip on your expenses. Also, mitigate risks
                                                 erate in was SARS in                                                   together. We there-        by operating in several countries and have

W      e have had to overcome many crises
       over the past 15 years in Asia, but
                                                 2003.
                                                    The scare was on a mas-
                                                                                                                      fore introduced salary
                                                                                                                     cuts (depending on the
                                                                                                                                                   a focused but wide source market client
                                                                                                                                                   base.

                                                                                                 vision to plan ahead, engage stakehold-           clusions and implications for the future
EMPOWERING READINESS                                                                             ers and embrace the learned routineness
                                                                                                 of a crisis plan through simulations and
                                                                                                                                                   are not restricted to the hotel sector alone
                                                                                                                                                   and can also be applied to a wide range of
TO CRISIS MANAGEMENT                                                                             scenario workshops will set the scene for a
                                                                                                 positive crisis leadership process.
                                                                                                                                                   service-related industries.
                                                                                                                                                      Organisations cannot ignore the in-
                                                                                                    By living and breathing the crisis plan,       creased power of a company-wide inclu-
Jennifer Cronin                                  when institutional memory is formalised.        and using the routineness to build confi-         sive empowerment programme which
An essential but often overlooked part of        As a result of this empirical study, a Liv-     dence and familiarity, the entire organisa-       provides clear directions and allocates
crisis preparedness is incorporating routine-    ing Manual is posited to address those          tion will be in a stronger position than its      roles and responsibilities. A sense of loy-
ness within the crisis plan, says president of   complacencies and to put in practice the        competitors should a crisis occur.                alty to the organisation and its stakehold-
Marco Polo Hotels, Hong Kong                     theory developed from the research.                The routineness derived from experi-           ers, as well as the need to confirm business
                                                    As explained in the findings of the re-      ence can be forgotten, especially in an           continuity and therefore job security, also

A    s the global village becomes more
     connected, crises impact a wider
group of communities across borders, re-
                                                 search titled Empowering Readiness – In-
                                                 fluencing Crisis Management Success Out-
                                                 comes, even though many organisations
                                                                                                 industry like hospitality which is charac-
                                                                                                 terised by high staff turnover rates. The
                                                                                                 learned experience through institutional
                                                                                                                                                   strengthens staff commitment to crisis
                                                                                                                                                   management objectives and goals. This
                                                                                                                                                   commitment should be harnessed by em-
gions and continents.                            advocate a leadership culture that encour-      memory can also be lost. This is why a            powering staff with the necessary proce-
   Crisis events cover a broad spectrum          ages knowledge-based crisis management          Living Manual should be given priority            dures and resources to enact upon their
of political, environmental, technological       preparedness, in reality, the “it won’t hap-    by senior management to be incorporated           crisis readiness training.
and health issues from both man-made             pen to us” or “it can’t get that bad” mental-
and natural perspectives; and sadly, hotels      ity permeates many hotel operations.
are now seen as soft targets by terrorists.         However, there is clear evidence that
These events can quickly gather an un-           experiential learning embraced by a ho-                   By living and breathing
controllable momentum on a global plat-          tel’s senior management creates a best-
form of communication connectivity.              practice crisis plan – where incorporating
                                                                                                           the crisis plan, and using
   There has never been a greater need to        routineness ensures a more competent                      the routineness to build
provide insights and theoretical updates         crisis-ready organisation.
on crisis management in order to prepare            While current literature has provided        confidence and familiarity, the entire
societies, organisations and individuals         an extensive road map of tourism crisis         organisation will be in a stronger
with the tools to deal with a crisis event in    management frameworks and studies to
the most effective way possible.                 follow in the event of a crisis, scant regard   position than its competitors should a
   Crises are seen as an inevitable part of
the travel business today, and, as a conse-
                                                 has been given to the initial phase of crisis
                                                 readiness, when senior management dedi-
                                                                                                 crisis occur.
quence, the tourism sector is fast recog-        cates the resources to a systematic crisis
nising the need for effective crisis and risk    planning regime.                                into the organisation’s day-to-day opera-
management. However, these strategies                The study reinforces the importance of      tions, engaging staff at all levels and pro-
require leadership to have the foresight         the cognitive strength of crisis experience     viding a reliable toolkit in the event of a
and drive to establish a culture of crisis       and the experiential learning gained from       crisis.
preparedness.                                    participation in crisis phenomena. When            A crisis-ready organisation will stand
   In 2010, after experiencing four years        applied to crisis plan development, the ex-     the test of a high-pressure negative impact
of political turmoil in Thailand, I em-          periential factor creates a robust 360-de-      better than one that ignores crisis plan-
barked on a research journey to establish        gree perspective on addressing the needs        ning at its peril. An informed organisation
how leadership could prepare better for a        of all parties during a possible crisis event   will be able to meet the crisis event head
crisis event. Taking a three-year sabbati-       in the future.                                  on with the knowledge and confidence
cal from a senior hotel management role,            Moreover, a crisis plan must not be left     that their crisis leadership capabilities will
I immersed myself in understanding how           on the shelf or allowed to gather dust.         reduce the negative outcomes and ensure
crisis leadership efficacy is accelerated           Instead, the organisation that has the       sustained business continuity. The con-
Towards worry-free travel - TTG Asia
Headlines

Year in review
TRUMP’S                                                                               HONG KONG AIRPORT SLAPS
SURPRISE                                                                              NEW SURCHARGE Despite earlier
VICTORY                                                                               objection from the trade, Hong Kong
Donald Trump’s                                                                        International Airport implemented the
unexpected win in                                                                     controversial airport construction fee
the US presidential                                                                   from August 1 to recoup building costs
election sent                                                                         for a third runway.
shockwaves around
the world, but
it appears to be                                                                      THAILAND TACKLES ZERO-
business as usual for                                                                 DOLLAR TOURS Arrivals from
the tourism sector,                                                                   China to Thailand have taken a nosedive      A KINGDOM IN MOURNING
with concerns                                                                         following the Thai government’s              The passing of Thailand’s beloved
of uncertainties                                                                      crackdown on cheap tour packages for         King Bhumibol Adulyadej on October
resulting from                                                                        Chinese tourists, a move that some view      13 plunged the entire kingdom into
Trump policies in                                                                     as a necessary pain for the tourism sector   deep sorrow, prompting concerns of a
the longer term.                                                                      for long-term gain.                          tourism slowdown when a year-long
                                                                                                                                   mourning period was declared.

                                          BYE, ROUBLE TROUBLE As the rouble stabilises, Russian holidaymakers are
                                          starting to return to Asian shores again, reigniting industry expectations for the       HOTELBEDS GROUP SOLD TO
                                          comeback of a significant source market. Meanwhile, the Russian outbound luxury          PRIVATE EQUITY FIRM TUI Group’s
                                          travel market appears more resistant to the shocks.                                      sale of its Hotelbeds Group, which
                                                                                                                                   includes Hotelbeds, Pacific World and
                                                                                                                                   Intercruises, is expected to remake the
                                          BREXIT BOOST FOR BRITISH                    DNATA ACQUIRES A STAKE IN                    highly fragmented bedbank business.
                                          TOURISM Inbound travel from the UK          DESTINATION ASIA Dubai-based
                                          into South-east Asia has so far remained    DNATA, which has been buying UK
                                          unaffected by Britain’s vote to leave the   travel companies, has made its first         CHINESE COMEBACK TO
                                          EU. The weakening pound, on the other       foray into Asia by acquiring a stake in      MALAYSIA Two years after the
                                          hand, is projected to favour outbound       Bangkok-based Destination Asia for an        disappearance of Malaysia Airlines flight
                                          tourism to the UK.                          undisclosed sum.                             MH370 in March 2014, the inbound
                                                                                                                                   Chinese market to Malaysia is finally
                                                                                                                                   showing strong signs of recovery in
                                          GOLDEN JUBILEE GAMEPLAN                                                                  1H2016.
                                          FOR ASEAN@50 To commemorate
TRAVEL AGENT TAKES TOP                    ASEAN’s 50th founding anniversary
TOURISM POST Wanda Tulfo Teo’s            in 2017, the 10 member states in the                                                     AID FOR QUAKE-HIT KYUSHU
appointment as Philippine tourism         bloc have joined hands to promote                                                        The Japanese industry is rallying to
secretary in July was much welcomed,      South-east Asia as a single yet diverse                                                  restore confidence to southern Japan,
as industry members view that someone     destination with a year-long Visit                                                       with travel agencies and airlines dropping
recruited from the agency ranks will      ASEAN@50 Golden Celebration 2017                                                         prices to encourage visitors to Kyushu
bode well for tourism instead of having   campaign highlighting 50 cross-                                                          after the region was rocked by a series of
an outsider for the plum post.            border travel products.                                                                  violent earthquakes in April.

COVER GALLERY A showcase of the hottest topics and interviews that made the covers of TTG Asia this year
Towards worry-free travel - TTG Asia
Year-end 2016 TTG Asia 7
                                                                                                                            TTG Asia takes a look at the biggest stories
                                                                                                                             and significant moments that shaped the
                                                                                                                                     travel and tourism sector in 2016

ZIKA FEARS BITE SINGAPORE                          US ON THE RADAR
Multiple countries issued travel                   Garuda Indonesia is planning
advisories to Singapore following a                to re-launch flights to the US as
spate of Zika virus cases in the city-             early as next year via a transit
state, but the Formula 1 Grand Prix                in Japan, following the August
raced ahead despite the outbreak.                  lifting of a safety ban imposed
                                                   by the US Federal Aviation
                                                   Administration.
                                                             NICCOLO_TTGAsia_FullPage_Nov2016OP.pdf   1 27/10/2016 下午6:23

TERROR HITS EUROPE As
terrorism reared its ugly head several
times in Europe this year, from the
Brussel airport bombings to the Nice
massacre on Bastille Day, travellers voted
with their feet for countries that are
perceived safer in the continent.

POKÉMON GO CRAZE NABS
TOURISM PLAYERS From an epic
world tour to seeding sites with virtual     C

creatures to lure visitors, agile tourism
and hospitality players were quick to        M

capitalise on the Pokémon Go craze for       Y

more business opportunities.                 CM

                                             MY

ASEAN OPEN SKIES GET WIDER
                                             CY

The Philippines has finally agreed to the    CMY

ASEAN Open Sky Policy, paving the way        K

for full third, fourth and fifth freedom
rights for ASEAN carriers.
Towards worry-free travel - TTG Asia
Towards worry-free travel - TTG Asia
Year-end 2016 TTG Asia 9
                                                                                             It’s been a votaltile year for travel so far, but if the reports
Intelligence                                                                              from Forwardkeys, WTTC and International SOS are any
                                                                                              indicator, the global tourism sector is still in good shape

The ‘croissant effect’ bites Europe Various shades of resiliency
With the decline in bookings from China to Europe recorded mostly in Istanbul, Paris                                          China     For APAC bookings to France in the No-
and Milan while other destinations like Moscow, London, Dublin and Manchester                                                 -23.4%    vember 2015-October 2016 period, Japa-
see a higher interest from Chinese visitors, ForwardKeys dubbed this phenomenon                                                         nese travellers once again showed their
the ‘croissant effect’. The shape of the croissant describes the surrounding countries                                        Hong Kong
                                                                                                                                        sensitivity to safety and security issues,
of France that are still facing a drop in arrivals towards the year-end, contrary to                                          -27.9%
                                                                                                                                        shrinking by more than half of last year’s
rising arrivals in eastern/northern Europe and Spain/Portugal. The main reason for                                            Singapore bookings. India, with the second largest
this trend is that many Chinese tour itineraries include the neighboring countries of                                         -23.4%    market share (12.9%) in APAC for the float-
France.                                                                                                                                 ing year, exhibited stronger resiliency with a
                                                                                                                              Malaysia  drop of only -2.3% in bookings, bringing
                                                                                                                              -59.9%
                                                                                                                                        hope to the recovery of Asian outbound
                                                                                           Source: ForwardKeys                          markets to France.

                                                                                           Insatiable global hunger for travel
                                                                                                                          South Asia
                                                                                                                            5.9%                                South-east      Oceania
                                                                                                North-east                                                         Asia          4.9%
                                                                                                   Asia                                                           4.7%
                                                                                                  4.0%

                                                                                            Source: WTTC

                                                                                           Despite encountering many challenges earlier this year, the travel and tourism industry
                                                                                           is still expected to grow by 3.1% in 2016, outpacing global economic growth forecast
                                                                                           at 2.3%, according to World Travel & Tourism Council’s (WTTC) Economic Impact
Performance of Top European cities – YoY %Var and Shares                                   Reports 2016. Asia-Pacific also shows stronger growth rates than other world regions.
Source: Forwardkeys                                                                                   Fitur 2017_114x180_ing.pdf       1          26/10/16        17:14

Brexit: 28 days later
In the wake of the Brexit referendum, bookings for arrivals to the UK rose notice-
ably by 7.1% over a comparable period of 28 days. As a result, booking trends for
international visitors to the UK were up 4.3%, compared with the same period last                                         International Tourism Trade Fair
year.
                                                                                                                                           Partner FITUR 2017

                                                                                                                          MADRID, 18th-22nd January

Source: ForwardKeys                                                                  C

                                                                                     M

                                                                                     Y

Mapping travel risks worldwide                                                      CM

                                                                                    MY

A study conducted by medical and security specialists International SOS and Con-    CY

trol Risks indicated that 72% of over 1,000 corporate travel decision-makers per-
                                                                                    CMY
ceived an increase in travel risks this year. Organisations were challenged to take
control in a climate of increased perception of risk, with 80% surveyed having       K

modified their travel itineraries in the past year due to health and security concerns
and 48% investing more in travel risk mitigation over the past year. Below, a look at
the Travel Risk Map for 2017.

                                                                                                                          9,600 exhibiting companies
                                                                                                                          125,000 trade participants
                                                                                                       OFFICIAL CARRIER
                                                                                                                               7,200 journalists                               ORGANISED BY:

                                                                                                           MEMBER OF
                                                                                                                            107,000 general public

 Source: International SOS
Towards worry-free travel - TTG Asia
Inbound travel

Navigating through storms

HONG KONG                              PHILIPPINES                           INDIA                                 SINGAPORE                             MACAU
Jenny May                              Angel Ramos Bognot                    Louis D’Souza                         Fred Seow                             Bruno Simões
Managing director                      President and managing director       Executive director                    CEO                                   Executive director
Destination Management Company         Afro Asian Travel                     Tamarind Global                       TAcentre.com                          smallWORLD Experience

What was the biggest disrup-           What was the biggest disrup-          What was the biggest disrup-          What was the biggest disrup-          What was the biggest disrup-
tion to your operations this           tion to your travel operations        tion to your travel operations        tion to your travel operations        tion to your travel operations
year and how did you over-             this year and how did you over-       this year and how did you over-       this year and how did you             this year and how did you over
come it?                               come it?                              come it?                              overcome it?                          come it?
We had a few cancellations             The biggest disruption this year      One of the biggest disruptors was     We have not experienced any-          Although we were not affected
from Europe-based travellers           were the cancelled flight de-         the political unrest in the north-    thing major like a world war or       by typhoons this year, a thick
who were concerned about the           partures and arrivals due to ty-      ern Indian state of Jammu and         an epidemic. But this year we         fog in February 2016 affected
terrorist attacks in their part of     phoons, which in turn affected        Kashmir. This sort of situation       can see that there are many new       the departure of many delegates
the world and decided to stay          clients’ travel arrangements.         psychologically impacts travel        leaderships around the world          attending the IEEE 802 confer-
home. The situation seems to              As the ground operator, we         to the region even after stability    that will result in changes in        ence.
have improved and they are             lost everything, from ground ar-      returns.                              the economic order. These will           We always recommend con-
resuming their travel plans for        rangements to hotel bookings as          How we handled the situa-          definitely impact businesses and      ference organisers to provide a
next year.                             these services have already been      tion was two-pronged. For cli-        livelihoods, so we have to be         help desk staffed by local people
   In Hong Kong, there is grow-        paid for in advance.                  ents already travelling, we made      ready for such disruptions and        who know the destination well to
ing political unrest and the Chi-         A typhoon is a natural calam-      sure someone with authority and       be prepared for any shake-up in       help with common situations –
nese New Year riots in Mongkok         ity and is normally considered        knowledge of the region reached       business.                             not to mention its value in times
caused a few cancellations.            pre-sold, but it also depends on      out to them and assured them                                                of unexpected situations!
   The few typhoons we had             the decision of the supplier and      that they were in safe hands and      Can you take safety for grant-
also caused flight delays and          our relationship with them. If        would be able to travel back          ed? What safety measures              Can you take safety for grant-
cancellations. I think the Ob-         a client requests for a refund, it    home safely. They were given          would you like to see imple-          ed? What safety measures
servatory shouldn’t have been          will be difficult on our part as we   regular updates on both the un-       mented in your destination?           would you like to see imple-
as cautious in predicting the          are at the mercy of the supplier.     folding situation on ground and       Everyone is aware that Singapore      mented in your destination?
path and strength of them so it        Another challenge arises when a       the progress of their travel plans.   is a very safe and easy destination   Macau is extremely safe and
all happened at the last minute.       client requests to extend his/her        It is also important to partner    to travel to and people will gen-     therefore we tend to take safety
Fortunately the airlines were co-      booking due to flight cancella-       with local agencies that are ex-      erally “let their guard down”.        for granted. That said, Macau’s
operative and helpful in rebook-       tions.                                perts in the region and who are           Generally, I think that we can    stability and safety is one of
ing flights.                                                                 able to prioritise mobilisation of    publicise more emergency num-         our selling points. – Prudence
                                       Can you take safety for grant-        logistics for your clients and re-    bers, apart from the Singapore        Lui
Can you take safety for grant-         ed? What safety measures              spond to their concerns and en-       Police Force’s number. This will
ed? What safety measures               would you like to see imple-          sure their safety quickly.            help people, especially tourists,
would you like to see imple-           mented in your destination?                                                 to know which numbers to call
mented in your destination?            Safety must never be taken for        Can you take safety for grant-        should they need an ambulance
You can definitely not take            granted. We advise clients to         ed? What safety measures              or if they are lost and need
safety for granted, as you never       have travel insurance so that they    would you like to see imple-          directions. – Paige Lee
know what will happen next.            can recover losses from flight de-    mented in your destination?           Pei Qi
Keeping up to date with world          lays or cancellations.                No place is a safe haven anymore.
events and their likely effects on        As for the contract between        The best one can do is to try and
Hong Kong and making sure              the supplier and ground op-           be a step ahead, anticipate situa-
overseas clients know exactly          erator, it should be reviewed to      tions and be prepared for them.
what is happening is all we can        tackle the issue of force majeure        We give our guests as detailed
do.                                    and come to an agreement that’s       a plan as we can so they know
   If there is further political un-   win-win for both parties.             what to expect and what they
rest in Hong Kong, we will make           Potential danger and threats       might encounter in the normal
sure our clients are aware of this     lurk anywhere in the world so         course of events. A guest services
and advise them to postpone            a safety warning should always        manager will also meet clients
their travel here.                     be a part of the travel itinerary.    and hand over a kit containing
   The same applies to the weath-      The government has a big role in      contact details of people they
er. If a typhoon is likely to affect   protecting the rights and safety      can reach out to in case of emer-
Hong Kong, we will let them            of travellers, and should update      gency.
know well in advance, provided         travel warnings in destinations          Many of the vehicles in our
the Observatory lets us know           that need it and identify destina-    fleet are fitted with GPS devices
well in advance! – Prudence Lui        tions that are safer than the rest.   and have panic buttons to ensure
                                       – Rosa Ocampo                         guests that if they have any con-
                                                                             cerns they will have help at hand.
                                                                             – Rohit Kaul
Year-end 2016 TTG Asia 11
                                                     Asian inbound travel agents recount the biggest disruptors
                                                         to their business this year and share the learning points
                                                                     from these crises and unexpected situations

MALAYSIA                             we were only notified at the very
                                     last minute. Luckily, we had all
                                                                           ed? What safety measures
                                                                           would you like to see imple-
                                                                                                                  time information to members.
                                                                                                                  Following terrorist threats in the
Saini Vermeulen                      the emergency numbers on hand         mented in your destination?            past, the Malaysian government
Executive director                   to inform the various parties in-     Safety can never be taken for          had put in place more police and
Within Earth Holidays                volved and rescheduled the itin-      granted. You must ensure that          army personnel to give people
                                     eraries accordingly.                  you have the SOP on hand and           the confidence that it was pre-
What was the biggest disrup-            A lesson learnt was to ensure      disseminate the correct infor-         pared and had an action plan
tion to your travel operations       that we have the contact num-         mation to your clients and their       to cope with emergencies. – S
this year and how did you over-      bers of suppliers on hand for any     overseas agents.                       Puvaneswary
come it?                             eventuality.                             The Malaysian Association of
Malaysia Airlines had a number                                             Tour & Travel Agents has always
of flight retimings to Sabah that    Can you take safety for grant-        been proactive in providing real-

CAMBODIA                             which we managed to avoid and         Can you take safety for grant-
                                                                           ed? What safety measures
                                                                                                                  inspection trip, and it gave a ter-
                                                                                                                  rible image of the city.
                                     modify itineraries accordingly.
Pierre-André Romano                     More disruptive were Cam-          would you like to see imple-              We gathered the main DMCs
General manager                      bodia Angkor Air’s flight can-        mented in your destination?            and met with the Ministry of
Exo Travel Cambodia                  cellations, retiming and delays,      Safety is an issue in Phnom            Tourism to fix the problem.
                                     largely due to the last-minute        Penh and Sihanoukville, not of         There are now more lights in
What was the biggest disrup-         notice given, if any. We gathered     the physical danger kind but           tourist areas and more tour-
tion to your travel operations       the major DMCs and raised this        mainly bag snatching cases.            ist police in Phnom Penh. We
this year and how did you            issue with the Ministry of Tour-         However, this is not only an        have seen a real improvement
overcome it?                         ism, a co-partner with Vietnam        issue with our clients; some in-       from the second semester, but
There were no major events but       Airlines in this joint-venture        vited travel agents were also vic-     still had a few cases. – Marissa
a couple of demonstrations,          airline.                              tims of bag snatching during an        Carruthers

VIETNAM                              vehicles to overturn, causing         ments to clients’ travel plans.        smoothly, and take immediate
                                     disruption to roads and rail-                                                and appropriate actions to solve
Jeff Redl                            ways. The Halong Bay authori-         Can you take safety for grant-         unexpected issues.
Managing director                    ties also stopped all cruises one     ed? What safety measures                  Vietnam could have, like in
Diethelm Travel                      day before the storm’s arrival        would you like to see imple-           Europe, several independent
                                     and ships were asked to arrive        mented in your destination?            organisations that monitor and
What was the biggest disrup-         back in port in the morning.          Safety is never granted despite        ensure that all players are fol-
tion to your travel operations          Our clients’ safety is our top     having more rules and regula-          lowing the same standards and
this year and how did you over-      priority. We always monitor the       tions, infrastructure improve-         provide appropriate levels of
come it?                             situation closely and provide cli-    ments and personal training.           training. – Marissa Carruthers
Tropical storms and hurricanes       ents and agents with updates, as         It is our duty to ensure that
brought down trees and caused        well as assist in making adjust-      all our operations are running

THAILAND                             er of travellers worldwide. Each
                                     country also has its own prob-
                                                                           Can you take safety for grant-
                                                                           ed? What safety measures
                                                                                                                     In the past, many negative
                                                                                                                  incidents have damaged the
Mingkwan Metmowlee                   lems such as the weak rouble in       would you like to see imple-           kingdom’s image as a tour-
Managing director                    Russia and terrorism in France.       mented in your destination?            ism destination. Therefore, the
Image D’Asia S.A.                       I reduce risk by expanding         Safety is a priority for travellers.   government should rebrand
                                     business to new markets in Asian      To achieve this, the Ministry of       Thailand’s image and take
What was the biggest disrup-         countries. I work with the Tour-      Tourism & Sports should work           measures to ensure tourist safety. –
tion to your travel operations       ism Authority of Thailand to          more closely with the Associa-         Chadamas Chinmaneevong
this year and how did you over-      develop new products and join         tion of Travel Agents and related
come it?                             tradeshows to look out for new        tourism organisations to develop
The global economic downturn         potential markets in this region.     an international standard for ex-
has affected the purchasing pow-                                           isting and new attractions.

JAPAN                                ushu quite a bit this year.
                                        I thought things would return
                                                                           thing we can do is wait it out.           Japan in general is very well
                                                                                                                  prepared for all kinds of disas-
Cameron Stadin                       to normal quickly, but enquir-        Can you take safety for grant-         ters, so I’ve never felt that I was
Global sales representative          ies are still down. Even though       ed? What safety measures               ever in danger. As for theft and
Global Sales Explorer                word is being spread that Kyushu      would you like to see imple-           other crimes, Japan is one of the
                                     is safe and recovering, travellers    mented in your destination?            safest countries in the world. I
What was the biggest disrup-         are still wary. I’ve tried offering   I feel very safe living and travel-    have seen people drop an enve-
tion to your travel operations       new courses and products, but I       ling in Kagoshima. Sakurajima,         lope of money in public and have
this year and how did you over-      haven’t had much of a response.       the active volcano in Kagoshima,       it safely returned. – Kathryn
come it?                                Other inbound companies in         is well monitored by scientists, so    Wortley
The Kumamoto earthquake (in          Kyushu seem to be having dif-         there would be plenty of warning
April) has affected travel in Ky-    ficulties too, so perhaps the only    if something were to happen.

SRI LANKA                            Frankfurt and Rome in Novem-
                                     ber was the biggest issue we have
                                                                           done before flights are termi-
                                                                           nated, especially as Sri Lanka is
                                                                                                                  mented in your destination?
                                                                                                                  Safety is the key to success in
Mahen Kariyawasam                    been grappling with for the past      now trying to increase arrivals.       every destination. In Sri Lanka,
Managing director                    few months.                           The industry as a whole needs to       we may be dropping our guard
Andrew The Travel Company                We have lost 5,000 seats, and     be consulted for major decisions       because the war is over and eve-
                                     Emirates and Qatar cannot cope        such as flight withdrawals, which      rything is now peaceful.
What was the biggest disrup-         with handling a group of 60-70        impacts the entire industry be-           For example, we need to step
tion to your travel operations       pax. KLM and Austrian Airlines        yond the airline itself.               up surveillance at airports and
this year and how did you over-      – which have resumed winter                                                  tourist areas. We should also
come it?                             flights – are taking up the short-    Can you take safety for grant-         revive the Tourist Police force,
The pull-out by SriLankan            fall but it’s not enough.             ed? What safety measures               which was effective and existed
Airlines’ direct flights to Paris,       A proper study needs to be        would you like to see imple-           many years ago. – Feizal Samath
Outbound travel

                                                                                  Standing
                                                                                  firm in
                                                                                  tumultuous
                                                                                  times

                                                                                                                                                                                       pisaphotography/shutterstock
                                                                                                                                        erate more choices of routes to stimulate
                                              political unrest, among a host of possi-
                                              ble travel disruptions. This year has been
                                                                                           HONG KONG                                    demand and interest. Instead of tours to
                                              marred by a record number of terrorist at-                                                Central Europe, we developed more in-
                                                                                           Jason Wong
                                              tacks in key Singaporean holiday destina-                                                 depth itineraries to European destinations
                                                                                           Director and general manager
                                              tions such as Europe.                        Hong Thai Travel Services                    (deemed to be) safer, such as second- or
                                                                                                                                        third-tier cities in Eastern, Western and
                                              How did you cope with this situation to      Which crisis affected your business          Northern Europe.
                                              allay fears? What would you advise cli-      most this year?                                 With the (seemingly random oc-
                                              ents on their future travel plans?           The spate of terrorist attacks in Europe     curence of) disasters – natural or man-
                                              We will continue to recommend Europe         early this year dampened Hong Kongers’       made – we strongly advise clients to pur-
                                              as it is a continent (large enough that)     travel desire and outbound traffic to the    chase travel insurance or pay attention to
                                              for repeat travellers to find something      region.                                      news. We would not tell clients where to
                                              fresh every time. We have seen a skew in        Our longhaul business to Europe           avoid as they have their own preference. –
SINGAPORE                                     demand for less mainstream Europe des-
                                              tinations such as Iceland, Scandinavia and
                                                                                           dropped 30-40 per cent as the market
                                                                                           reaction to these incidents was swift.
                                                                                                                                        Prudence Lui

Anthony Chan                                  Eastern Europe.                              Thankfully, travellers tend to (move on
Group managing director                          While we should take the necessary        from) this kind of incidents quickly and
Chan Brothers Holdings                        precautions, we should not allow attacks     such negative sentiments didn’t stay long.
                                              to paralyse travel, which is an important       So far, the market is pretty stable and
Which crisis affected your business           source of revenue and employment for         Hong Kongers continue to travel as this is
most this year?                               many countries. We remind travellers to      part of their (lifestyle).
Travel risks abound everywhere, even          remain vigilant and where possible, avoid
at home. We are constantly at the mercy       crowded places and public gatherings.        How did you cope with this situation to
of health epidemics, natural calamities,      – Paige Lee Pei Qi                           allay fears? What would you advise cli-
                                                                                           ents on their future travel plans?
                                                                                           Given how vast Europe is, we try to gen-
                                              wars. Many tour operators have to sell
                                              package tours at minimal profit to sur-
                                              vive.                                                                                     foreigners. The blasts appeared to be
                                                 We are coping with the situation by                                                    targeted at tourist hotspots around the
                                              cutting our operation costs, introducing                                                  country, and came just a few days before
                                              new tour services and applying greatest                                                   the first anniversary of the devastating
                                              flexibility to meet customer demand.                                                      bombing at a Hindu shrine in Bangkok.
                                                                                                                                           We allayed the fears of some of our FIT
                                              How did you cope with this situation to                                                   clients by informing them that the Thai
                                              allay fears? What would you advise cli-                                                   prime minister ordered (tightened) secu-
                                              ents on their future travel plans?                                                        rity especially in tourist districts.
                                              The economic slowdown continues to                                                           However, we had to cancel our big-
THAILAND                                      concern us. Although clients still have
                                              money, lower purchasing power could
                                                                                                                                        ger group tours, causing a drop in sales
                                                                                                                                        to Thailand, one of our main outbound
Suparerk Soonrangura                          cause them to cut spending on trips.                                                      destinations. Last year we sent roughly
Founder and managing director                    Today, tour operators need to make                                                     1,800 people to Bangkok and this year
NS Tour                                       adjustments to deal with customer trend.
                                              Markets are changing dramatically and
                                                                                           SRI LANKA                                    the number dropped to 700. We had to
                                                                                                                                        re-route our Bangkok groups to other
What crisis affected your business most       only the strong and flexible can survive.    Suren Ediriweera                             destinations.
this year?                                       We are about to adjust our (methods)      Managing director
It was the weakened purchasing power          and give advice that suits the budgets of    Ceylon Tours                                 How did you cope with this situation to
resulting from Thai and global economic       customers. We will design the tour pack-                                                  allay fears? What would you advise cli-
conditions, which caused outbound tour        ages according to their demand and budg-     Which crisis affected your business          ents on their future travel plans?
business to drop significantly.               ets to survive the economic downturn and     most this year?                                 We anticipated the situation in Bang-
   (Compounding the problem), fierce          intense competition.                         The biggest crisis that affected our busi-   kok would improve in a few months but
competition due to the growing number            I hope that purchasing power will re-     ness this year was the bombings in Thai-     since clients were still wary, we stepped up
of players, especially illegal ones selling   cover in the first quarter of next year. –   land in August, which left at least four     promotions of destinations such as Ma-
tour packages online, has caused price        Chadamas Chinmaneevong                       dead and dozens injured, including 10        laysia and Vietnam. – Feizal Samath
Year-end 2016 TTG Asia 13
                                                                                                                       Europe’s terror attacks and the Zika virus weigh most on
                                                                                                                     Asian outbound travel business this year, but agents show
                                                                                                                      resilience and dig in their heels to overcome these crises

PHILIPPINES                                              on hotel accommodations and airline seats
                                                         to OTAs like Expedia, Booking.com and
                                                                                                                      Terrorism can hit anywhere and we can-
                                                                                                                      not do anything about it. People should
Rowena Baltazar                                          Agoda. Airbnb is getting market share and                    continue to travel but take proper precau-
Sales manager                                            airlines have their own selling platforms.                   tions and be aware of what’s happening
Adam’s Express Travel Group                                 The only way to counter this trend is                     around the globe.
                                                         to continue creating travel products that                       A few years back, there was massive
Which crisis affected your business                      require the expertise of an experienced                      news coverage about bombing in Israel
most this year?                                          travel provider.                                             and nobody wanted to offer the Holy Land
Apart from the terror attacks in Europe,                                                                              pilgrimage tours except us. We performed
Internet-isation is also affecting business.             How did you cope with this situation to                      our security checks through our operators
   It is not so much a crisis but a travel               allay fears? What would you advise cli-                      there and ensured that our clients would
trend that affects business. We’re losing sales          ents on their future travel plans?                           be safe. – Rosa Ocampo

                                                         posed a challenge for outbound tourism                       considered safe to visit.                                    entire world – including the global travel
                                                         to these markets because of the security                        I can’t comment on the security sce-                      and tourism industry – has to stand united
                                                         concerns in the minds of Indian travellers,                  nario in any market as terrorism is a ma-                    to fight the menace of terrorism. – Rohit
                                                         affecting leisure as well as the business                    jor challenge for tourism today and the                      Kaul
                                                         segments.
                                                            The other major challenge emerged in
                                                         the form of the Zika virus, which damp-
                                                         ened interest in Brazil among Indian tour-
                                                         ists. Initially, a lot of Indian sports enthu-
                                                         siasts were interested to travel to Brazil for
                                                         the Olympics but the spread of Zika virus
                                                         became a spoilsport.
INDIA                                                    How did you cope with this situation to
P P Khanna                                               allay fears? What would you advise cli-
President                                                ents on their future travel plans?
Diplomatic Travel Point                                  Our business was not too affected by the
                                                         terrorist attacks in Europe or Zika virus in
Which crisis affected your business                      Brazail since we advised clients to travel
most this year?                                          to other countries that offered similar at-
Terrorist attacks in several European cities             tractions they were looking for and were

   ADVERTORIAL

       FITUR 2017
       THE PRINCIPAL DESTINATIONS, HOTELS, TOUR OPERATORS AND
       SERVICE COMPANIES PRESENT AT FITUR 2017 WILL SHOW THEIR MAIN
       CONTRIBUTIONS TO SUSTAINABLE TOURISM

       The principal destinations, hotels, tour operators and                    the natural areas.                                                           that offer information and promotions in a digital and
       service companies present at the International Tourism                    The Trade Show will showcase territories that are                            audiovisual format, seeking to promote savings in paper by
       Trade Fair, FITUR, which is due to be staged at Feria de                  organising group tourism and trekking, ensuring that jobs                    replacing printed pamphlets.
       Madrid from 18 to 22 January 2017, will unveil their                      and income are generated for the local population through                    The Trade Show will also provide proof of how accessibility
       main contributions to sustainability. The UNWTO has                       services such as dining and accommodation in local homes,                    is improving thanks to the construction of highway
       designated the Trade Show as the venue for the kick-                      demonstrations of unique cultural products from their                        networks and the further development of air traffic through
       off celebrations of the International Year of Sustainable                 locality and offering citizens the opportunity of selling their              the growing number of international airports near the coast
       Tourism for Development declared by the United                            local products or connecting with non-profit organisations                   and of both all-year-round and seasonal flights.
       Nations Organisation and channelled through the World                     abroad.                                                                      The awareness of sustainability which exhibitors are
       Tourism Organisation, which is based in Madrid.                           Some destinations are highlighting their “green offering”                    demonstrating will be in evidence even in some of FITUR’s
                                                                                 through an information system that notifies visitors of                      exhibitors, who will build their stand with recycled
       The exhibitors present at FITUR 2017 will showcase the                    the best experience during their holidays in the most                        materials, among them, for example, fruit boxes, wattle
       preeminent actions they are undertaking to contribute to                  responsible global destinations. And others have presented                   baskets and furniture and accessories from the previous
       sustainable tourism. In this line, an increasing number of                projects involving research into and preservation of the                     year.
       countries and destinations are promoting actions to reduce                marine environment by raising public awareness and
       the impact of travellers on the environment, ecosystems                   through education.                                                           Greater demand for sustainable travel
       and local culture, travellers who conversely help to                                                                                                   A recent international survey conducted by the Booking.
       generate income and jobs. Added to these are the initiatives              Hotels and transport                                                         com hotel reservations portal brings to light that, between
       of other territories that are seeking to promote their local              As for hotels, the Trade Show will highlight initiatives                     2014 and 2015, international demand for more sustainable
       communities and encouraging the positive impact this                      which these establishments are implementing to respect                       destinations has quintupled. Furthermore, in a recent
       activity has on them.                                                     the environment, harnessing renewable energies, replacing                    professional industry meeting in Málaga’s Costa del Sol,
       Among the examples of those due to be present at the event                light bulbs with LEDs, using low-consumption materials                       international tour operators presented the results of
       are countries that are promoting support for volunteers in                and advising their customers and employees on how to                         another global survey which revealed that tourists are
       orienting and helping foreigners during their visit as well               reduce expenditure on water and power. Visitors will also                    prepared to pay more, in 83% of cases, for a hotel classified
       as developing attractive but lesser-known and less-visited                see how they are reducing plastic and chemical waste,                        as sustainable.
       areas by tourists with the aim of relieving the pressure on               using returnable glass bottles, eco-friendly and/or organic                  FITUR 2017 will help to unveil the latest solutions and
       oversubscribed destinations.                                              cleaning products and much more.                                             advances being developed and which are contributing
       We will see evidence of how some tour operators have                      Transport companies will also demonstrate their                              to economic growth, social development, job creation,
       become involved in training and preparing young people                    commitment to sustainable tourism. An example of this                        efficiency of resources, environmental protection, the
       to give them the opportunity of working in the area’s best                is car rental, where hybrid and electric vehicles are                        promotion of heritage values and cultural diversity.
       hotels and restaurants. Meanwhile, others are committed                   being introduced to reduce pollution and the useful life
       to maintaining the natural setting of the countries in which              of passenger cars is being shortened, thus contributing
       they work, promoting rural accommodation with special                     to greater efficiency and benefits for the environment.
       charm and collaborating with local companies that respect                 Technology providers, for their part, are developing devices

       For more information:
       Jesús González, Press Officer | 0034 91 722 50 95 | jesusg@ifema.es   Helena Valera, International Press | 0034 91 722 51 74 | evalera@ifema.es   Beatriz Zamorano, Editor | 0034 91 722 58 43 | beatriz.zamorano@ifema.es
       www.fituronline.com
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