Sharpening Singapore’s Positioning for the Chinese Market Tourism Industry Conference 2018 Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 2 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 3 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission In 2017, STB Greater China intensified our efforts on target segments of Families with Young Kids and Early & Established Careers
Families with Young Kids Early & Established Careers Singapore’s strong hygiene factors (convenience, safety, Ease of planning and traveling to Singapore, and wide suitable food, variety of attractions etc) and ample learning variety of events, dining and retail offerings to escape from opportunities (attractions and experiences catering to all daily stresses while indulging in finer things in life are our kids’ age group) are our strengths strengths
Restricted 4 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission We launched our new brand with Stefanie Sun as our Singapore Tourism Ambassador and Nathan Hartono as our Passion Ambassador for Greater China… Online and Offline Brand Campaign Roll-out Stefanie Sun - Singapore Tourism Online TV ads, print ads, OOH (light boxes, cinema ads, office lift LCDs), WeChat Ambassador for Greater China and Moments ad and ads on trade partners’ platforms (12 strategic partners + Ctrip, Tuniu, Nathan Hartono @ Brand Launch in Tongcheng, Mafengwo, Dianping + travel agents in Tier 2 cities). Beijing on 7 Sep 2017
Restricted 5 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission …Deepened our collaboration with digital partners, and trade in Tier 2 cities
5 CITIES ROADSHOW HELD AND ONLINE TRAINING LAUNCHED STRATEGIC MOU WITH TENCENT One of the largest internet and technology Held in Fuzhou, Nanning, corporations and most valuable gaming Zhengzhou, Wuhan and and social media companies in the world Chongqing 42 Singapore companies (DMCs, Attractions, Hotels) participated, attracting 729 participants from 288 local Zhengzhou travel agencies Wuhan Many quality leads Chongqing received, with conversion Fuzhou into actual groups during CNY period Nanning A 10-module online MOU Signing between STB and Tencent training platform with >3000 registrations within 2 months of launch
Restricted 6 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Encouragingly, 2017 VA and TR continues to be strong
CHINESE VA AND TR EX-SEG IN SINGAPORE
3.5 4,000 $3,529 3,500 3.0 $2,981 $3,083* Largest contributor to Singapore’s VA 2.5 $2,634 $2,537 3,000 for the first time in 2017 2,500 2.0 19% of total VA in 2017 2,000
VA Millions VA 3.23 1.5 2.86 1,500 Millions (S$) TR 2.27 2.11 1.0 1,000 Largest contributor to Singapore’s TR 1.72 since 2013 0.5 500 0.0 0 S$3.1 bil 2013 2014 2015 2016 2017 China TR for 3Q 2017 +10% vs 2016 China VA China TR
*YTD 3Q2017 TR
Sources: STB OVS and Statistics, 2007-2017 Restricted 7 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 8 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission The China outbound tourism market is set to continue strong growth and socio-economic trends present opportunities for Singapore tourism…
CHINA – 2017 WORLD’S TOP OUTBOUND MARKET SOCIO-ECONOMIC TRENDS
Most outbound trips ever made ECONOMIC SOCIAL 131 mil Consumption upgrade, Ageing population +7% vs 2016 as working adults Limited family time across China become World’s largest tourism spenders Two-child policy financially capable US$115 bil +5% vs 2016 Singles economy PCE: US$ 878 (or S$1153) Growing Tier 2 Individualistic, “I-can” & Further potential growth in outbound travel: economies tech-savvy consumers
134 mil outbound trips Only 6% Expected in 2018 of Chinese today OPPORTUNITIES +4.5% vs 2017 own passports Growth in demand for quality group travel, including Promising trend of quality tourists from China: family travel, customized travel and semi-FIT Spend 2x more Consumption upgrade Growth in FIT travel even in Tier 2 cities than 2 nd largest 消消消费升消费升级级级 + Quality travel Growth in interest-based travel spender USA 品质游 is on the rise.
Sources: Restricted • STB Statistics, 2007-2017 These slides are property of STB and shall not be reproduced or distributed without • China Tourism Academy & Ctrip, 《2017 出境游大数据报告》, Mar 2018 STB’s written permission • China National Tourism Administration, Reports on tourism statistics, 2008-2017 9 • www.mafengwo.cn/travel-news/1137975.html But global competition is intensifying rapidly as many destinations look towards China as growth market IMPROVING DIRECT CONNECTIVITY AND AT COMPETITIVE RATES RAISING STANDARDS OF CHINESE SPEAKING GUIDES Air China - Beijing to Athens SIA - Beijing to Singapore launched on 30 Sept 2017 Switzerland : Switzerland Tourism partnered with Chinese driver-guide platform HiGuides to train and certify HiGuides to escort guests along the Grand Tour of Switzerland. Launch of direct flights between Athens and Beijing and at highly competitive prices vis-à-vis to Singapore
ENHANCING POST ARRIVAL VISITORS EXPERIENCE PAYMENT AND LANGUAGE FACILITATION Australia: Thailand : Wide acceptance of • First destination (Sydney) to leverage WeChat pay and Chinese language on WeChat’s Mini Programme to enabled ‘Visit Thailand’ app enhance the city’s experience • Includes navigation and content on shopping, attractions, F&B
Restricted 10 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission In 2018, we will further amplify our Passion Tribes amongst our focused segments…
FAMILY – Highlight edutainment EARLY & ESTABLISHED activities/attractions in tour packages and PR CAREERS – Push weekend messages to appeal to the post-80s (and getaways and leverage on events to even post-90s) mums who are usually the provide additional reasons for this decision-maker, are very well-travelled and discerning group to come to Explorer more discerning in their travel choices. Culture Shaper Singapore
POST-90S GENERATION – Play up hip quotient of Singapore through events like Cocktail Week, and leverage relevant UGC platforms like video-sharing website – Tudou, video editing app – Meipai, live- streaming e.g. Qzone to reach out to this segment Foodie Collector Socialiser who make up 39% of China total outbound and is the new engine of consumption in China.
MARATHONS – Ride on the “health and fitness” craze in China to jointly promote the marathons/running events in Singapore.
Action Seeker
Restricted 11 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Work with our strategic and digital partners to optimise our marketing efforts, outreach and visitor experience….
STRATEGIC ALLIANCE + DIGITAL PARTNERSHIPS • Joint marketing efforts to promote Singapore and drive conversion • Explore new areas of collaboration such as data sharing, mini program and reaching out to younger Chinese travellers • Co-create content to deepen visitors’ experience, including post-arrival recommendation and to jointly promote Singapore through events like food festival and Foodie and Socializer KOLs.
Restricted 12 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Sharpen our positioning and products for Tier 2 and MICE markets
Sharpen positioning and products for STB’s targeted Intensify client engagement and Tier 2 cities Develop Better Tools for Chinese M&I Groups Promote relevant tours and products based on visitors’ Sharpen MICE Conference profile from each city positioning and intensify direct corporate client Push for Singapore to be the engagement top-of-mind FIT destination for post-90s and post-00s; Review Inspire experiences and launch easy-to-use set Deepen engagement of menus catered to Chinese trade and media in our 16 market Tier 2 cities
*MICE Conference will be held on 27-29 June 2019 in Guiyang, China
Restricted 13 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 14 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Our industry has been proactive in developing China ready materials to engage our focused segments WILDLIFE RESERVES SINGAPORE developed educational programme FAMILIES WITH YOUNG KIDS comprising of back-of-house tours and overnight camps in Mandarin to target families with young children from China
In addition, WRS has also developed Mandarin services for night safari tram rides, a Chinese website, WeChat official account and enablement of Alipay and Wechat payment
Restricted 15 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Our industry has been proactive in developing China ready materials to engage our focused segments EARLY & ESTABLISHED CAREERS GARDENS BY THE BAY SENTOSA NATIONAL GALLERY SINGAPORE
National Gallery App with Mandarin QR Code audio tours Sentosa Wechat Official account option Garden Cruises Audio Tour in Chinese language website, Chinese write up and QR code links Mandarin brochures and island directional signage on some art pieces Guided tours in Mandarin Collaboration with Ctrip to introduce Audio devices with Mandarin services Alipay payment services “Catch-a-Mascot Game” on-island Working with Society of Tourist Guide Alipay payment services to train Chinese speaking tour guides for NGS Restricted 16 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission And making it easy for Chinese to make payments in Singapore
Changi Airport Suntec City partners Comfort Delgro Wechat Angpao Alipay to put up partners Alipay and activation during payment points at Wechat to offer Chinese New Year 350 suntec shops payment options to Chinese visitors MBS partners ICBC Bank to offer its card users exclusive deals
Restricted 17 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission STB has also leveraged newer platforms to deepen engagement with our Chinese visitors In 2016: Launched AUDIO GUIDE Feb 2018: Launched WECHAT CITY EXPERIENCE MINI-PROGRAM for 7 precincts/attractions in STB A digital guide book concept integrating location based maps, images, audio guide, itinerary WECHAT SERVICE ACCOUNT planning. Can be expanded to link to mini-program of POI, and facilitate transactions
Multiple places of interests Each POI can reflect address, shown on map description, audio introduction Restricted 18 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission A mini-program allows more dynamic navigation and is a solution for stakeholders to provide content (and presence) without active content maintenance
What is a mini-program? How do you activate the • Applications that function within the WeChat app itself Mini Program platform? • Each mini-app is like a webpage • Found by searching inside WeChat or scanning a QR code • After accessing a mini • No installation required, does not take up precious phone storage app, WeChat adds a Mini What are its advantages? Program bar in the Discover section where • Enable much more dynamic navigation (allows ‘jumping’ from you can find all the mini one mini program to another) apps you’ve saved. • Cheaper than developing a standalone mobile app, since one version fits all android and IOS version • Can be shared across different platforms (e.g. in chat rooms) Mini Program Statistics (Jan 2018, 1 year since launch) since each mini-app is technically a webpage in itself. • Android users can pin mini-program to their home screen • 580,000 mini program created in the areas of travel ticket booking, stock checking, video watching, food ordering, movie What are its dis-advantages? ticket booking, bike sharing, taxi hailing, online shopping, picture editing and many more. • Unable to push notifications like a Wechat subscription account • 95% of e-commerce platform brands have created a mini app
Restricted 19 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Register your details to receive more information about the mini-program
http://bit.ly/chinaesf
Scan the QR code with any QR scanner or enter the URL to register your details
Restricted 20 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 21 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission We (STB+Industry) also need to do more together to engage the Chinese better and deeper
CHINESE LANGUAGE ENABLEMENT CHINESE SPECIFIC CONTENT/PROGRAMME
Wechat OA account
Availability of China Communication Mandarin audio Educational programmes/ back ready materials tools to keep guides/device of house content/ tours Eg. Storyboards, visitors updated on brochures activities
Restricted 22 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission STB will support you via our Experience Step-up Fund (ESF) – China Market Call-Out
Objective To encourage businesses to develop new relevant content for Chinese-speaking visitors and/or better deliver existing relevant content to Chinese-speaking visitors to enhance their visitor experience and satisfaction during their stay in Singapore The ESF China Market Call-Out will support 2 areas: CHINESE LANGUAGE CHINESE SPECIFIC ENABLEMENT CONTENT/PROGRAMME To deepen connection and To develop engaging and compelling enhance story telling with the content/program with unique local Chinese visitors. insights which connect with visitors.
Restricted 23 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Over the last 2 years, ESF has supported the following scope
Tours Technology Souvenirs To develop engaging and To encourage and drive To develop attractive souvenir compelling tours which innovation in the tourism offerings which represent the connect with visitors industry through the destination, tell a Singapore through the sharing of our effective adoption of key story, are well-packaged and Singapore stories technologies, to deliver delivered in a series exceptional experiences
Restricted 24 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission And these are proposals that have been supported and implemented by our industry
MONSTER DAY TOURS TECHNOLOGY RIVER SAFARI SOUVENIRS TOURS ASIA 101: WHERE FOOD ADVENTURE BUDDY & CULTURE MEETS
NANYANG OLD COFFEE Coffee Brewing Set (by Dec 2018) Get to experience the various and rarer A mobile app in 6 languages that Asian enclaves in Singapore (Burmese, enables visitors to easily access Design with all the components Thai, Vietnamese, Indo & Filipino); Sample additional information about the necessary to make a traditional at least 8 different types of Asian foods animals/exhibits through the app on cup of Singapore coffee and with hands-on food and cultural activities their mobile devices via QR codes and printed with a write up on the bluetooth. The app also serves as a brand story and relevance of each personal audio guide to the visitors coffee component Restricted 25 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission For ESF China Market Call-Out, we are seeking proposals that can raise our industry readiness in 2 areas CHINESE LANGUAGE CHINESE SPECIFIC ENABLEMENT CONTENT/PROGRAMME To deepen connection and enhance story To develop engaging and compelling telling with the Chinese visitors. content/program with unique local insights which connect with visitors. Not just a translation*
Unique local Great insights storytelling
Richer Technology as interactivity Targeting Families a differentiator and storytelling with Young Kids and Early & *For pure language enablement (e.g. brochure translation/audio guide translation), support is capped at 50% For English tours offered in Chinese, support can be up to 70% Established Careers
Restricted 26 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Examples of possible projects include CHINESE LANGUAGE CHINESE SPECIFIC ENABLEMENT CONTENT/PROGRAMME
Programmes, Learning Journeys, Tours*
Storyboards and Mandarin audio Language solutions brochures guides/devices for business events
Keppel Centre for Arts My Awesome Café, Hill Street Content further amplified via your own company’s Source: The Straits Times Source: The Straits Times mini-program that is linked to STB City Experience Singapore Through Tours to showcase Arts Program instagrammable places of targeting Families Singapore targeting Early with young kids Careers
TOUR DESIGN CHALLENGE Includes a China market track to help ground handlers develop strong multi-day itineraries through workshops, site Restricted visits and exposure to in-market trade 27 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission The ESF China Market Call-Out will be targeting these tourism businesses with support for up to 70% of qualifying costs Tourism businesses must be Singapore-registered entities Target Grant Applicants Attractions, Museums, Precinct Associations, Retail malls/Groups, Professional Exhibition and Conference Organisers, Travel Agents Up to 70% of qualifying costs (for development phase) supported For pure language enablement (e.g. brochure translation/audio guide translation), support is capped at 50% QUALIFYING ACTIVITIES QUALIFYING COSTS Development of new products and Third party costs including experiences Professional Services, Hardware/Equipment & Software, Materials & Content enhancement at existing Consumables, Production, Marketing (marketing collaterals production attractions, precincts and business events costs of qualifying media funding support cap at up to six months) Technology enablers Internal costs including Internal manpower (limited to tour development only)
Restricted 28 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission With the following support parameters
To achieve at least one of the following: Increase in total / Improvement in Increase in total / induced visitor Performance visitor satisfaction induced revenue Targets footfall E.g. Measured by pre-post consumer E.g. Measured by actual attendance/ E.g. Pre-post project profit & loss survey and/or satisfaction rating visitorship/ utilisation (for technology: statements usage of devices, app downloads and active users)
Relevance and longevity Company’s track record Strength of business plan of concept and financial status
•Relevance of concept in catering •Clear marketing and/or sales plans •Company’s track record and ability Evaluation to language and/or experience to reach Chinese market to drive and successfully deliver needs of Chinese travellers the project Criteria •Ease of concept to be maintained •Must be available over a sustained and/or updated •Financial stability period, e.g. at least six months •Potential to achieve at least one of the three performance targets
Restricted 29 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Application process for ESF China Market Call-Out All proposals can be submitted on an ongoing basis from now till 31 st December 2018
Details for Tour Design Challenge will be released in May 2018
Interested applicants can submit an Executive Summary (template available for download on the “Experience Step-up Fund (ESF)” page under the tab, “Assistance & Licensing”, at www.stb.gov.sg) to: [email protected] Tour Design Challenge: [email protected] (May 2018 onwards) *Project must not have commenced before STB grant offer.
Restricted 30 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission In summary, ESF China Market Call-Out helps to sharpen our positioning for the Chinese market CHINESE LANGUAGE CHINESE SPECIFIC ENABLEMENT CONTENT/PROGRAMME
Possible Mandarin audio Scope Storyboards and Language solutions Programmes, Learning Journeys, Tours brochures guides/devices for business events
With further amplification of the content via technology platforms such as the mini-program Level of Up to 70% of qualifying costs (for development phase) supported Support For pure language enablement (e.g. brochure translation/audio guide translation), support is capped at 50%
Target Tourism businesses must be Singapore-registered entities Grant Applicants Attractions, Museums, Precinct Associations, Retail malls/Groups, Professional Exhibition and Conference Organisers, Travel Agents
Restricted 31 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission Agenda
1 China Market Performance in 2017
2 China Market Focus Areas for 2018
3 Enhancing the experience of Chinese Visitors in Singapore
4 Experience Step-Up Fund (ESF) China Market Call-Out
5 Panel Discussion: Needs and Expectations of the Evolving Chinese Traveller
Restricted 32 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission 《《变化中的中国游客变化中的中国游客：：新需求与新期待新需求与新期待》 Panellists 论坛嘉宾 论论坛坛坛主持人主持人 Mr. Lyu Gang 吕刚 Co-Founder & COO 联联合创始合创始人人，，，首席运营官首席运营官 mafengwo.com 马马蜂窝旅游蜂窝旅游网
Mr. Barry Lin 林友信 刘诗苹 Vice General Manager 副副总经理总经理 Ms Low See Peng Tuniu.com 途途牛旅游网目的地营销中牛旅游网目的地营销中心 Chief Representative Greater China Regional Director (EC & SC, HK, Macau and Taiwan) Ms. Serina Su 苏丹 Singapore Tourism Board 大中华区首席代表、署长 (华东、华 Assistant Vice President, Sales - International 南、港澳台) Market 助理副总裁, 销销售售-国际市场 新加坡旅游局 Wildlife Reserves Singapore 新加坡野生动物保育集团
Restricted 33 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission THANK YOU
Restricted 34 These slides are property of STB and shall not be reproduced or distributed without STB’s written permission