Australia Pandemic Stage Homebound

Current marketing across channels Consumer Sentiment

• As part of strict measures in place to help slow the spread of the virus, in mid- • For Australians, while the threat of illness continues to increase, concerns about March, the Federal Government requested Australians to cease all non-essential financial security and impact on the economy have become central. travel. As a result, all domestic TEQ marketing activity was paused from this time. • 72% of Australians agree they have or expect to see an impact on household income. • TEQ will continue to engage through its social media channels, PR and email efforts to keep Queensland top of mind for when people are ready to travel • 54% believe it will take the economy a long time to recover from COVID-19. again. • 49% (up 29%) are worried about falling sick, no matter how much they look after themselves. Competitor activity Source: Kantar Global Barometer 2020, Australia, 27-31 March 2020.

• Australian State Tourism Organisations are using a similar approach to TEQ during this time, with activity focusing on social media through long form, Aviation emotive video content. Examples include South Australia with ‘SATV’ video • On 25 March, the Queensland Government announced anyone arriving in content through Instagram; and Tourism Tasmania and Destination NSW with Queensland from interstate was required to self-isolate for 14 days (exemptions organic social activity. applied). As of 3 April, Queensland non-residents are no longer permitted to enter the state unless they are an exempt person.

Trade Partnerships • As a result of these measures and falling demand for travel, domestic capacity in Queensland during w/c 13 April is down 92% (compared to Business as Usual). • COVID-19 has had a drastic impact on trade partnerships in Australia. All TEQ’s Virgin Australia has suspended all capacity across its Queensland domestic trade partnerships have been placed on hold. TEQ is remaining in contact with network by 100% including the grounding of the Tigerair fleet. trade partners where possible. • Sunshine Coast Airport and Gold Coast Airport have now suspended all flights. Regional airlines are supporting remote and regional communities with essential services and supply (REX, Skytrans, Hinterland Aviation, Qantaslink).

Please note: This update is a summary of the status of tourism (trade and aviation) and consumer sentiment in key source markets. These are anecdotal reports from our in-market teams and should not be relied upon as formal reporting. The update is accurate as at 13/04/2020. United Kingdom Pandemic Stage Homebound

Current marketing across channels Consumer Sentiment

• Newspaper travel sections seem to be expanding ever so slightly from previously • UK situation continues to escalate and peak is still to come. Hospitalisation depleted levels. Several have created a ‘for when we travel again’ or ‘dream numbers have started declining slightly showing that stay at home measures are destination’ passport type stamp for relevant articles. taking effect.

• A round-up of twin-centre breaks to plan for 2021 included Brisbane and the • As of 14 April there has been 12,000 deaths in hospital due to COVID-19, this is Whitsundays in The Sun newspaper over Easter. double the amount this time last week. The numbers of deaths in care homes are not currently being reported. • The Mirror online included three Queensland destinations as part of a round-up on the 12 most beautiful places across Australia. • The UK population continues to be at home – to only go outside for groceries when necessary and cannot meet with anyone not in their household. • Ongoing TEQ UK focus on Facebook as a means of communicating with, targeting and inspiring UK consumers. Our promoted social post over Easter weekend reached 522k people and generated over 4.4k engagements. Trade Partnerships

• All UK operators, except for Trailfinders, have furloughed most of their Competitor activity workforces, including marketing, product and frontline agents. When on furlough staff cannot work including no access to emails or systems. • Trailfinders are the only operator who continue to push sales offers to their database and advertising in the papers. They are pushing to get bookings in the • TEQ UK in partnership with Tourism Australia will run an ‘Aus in Detail’ trade system and offering several deals for 2021. The Crystalbrook Collection was training program online next week. featured on day one of this Rebook campaign. • TEQ UK are also looking at options for conducting webinars with agents, including the feasibility with most agents on furlough. Aviation

• Easyjet has grounded all flights. British Airways is running skeletal flights. UK borders remain open. No airline marketing activity at present.

Please note: This update is a summary of the status of tourism (trade and aviation) and consumer sentiment in key international source markets. These are anecdotal reports from our in-market teams and should not be relied upon as formal reporting. The update is accurate as at 15/04/2020. Pandemic Stage Homebound Europe (including Nordic)

Current marketing across channels Consumer Sentiment

• Virtual Queensland Roadtrip on Facebook has reached 320,000, with total • Steps towards a relaxation of lockdown measures in various European countries, engagement of 40,000. as infection rates decrease. Germany is currently ranked the safest and most stable country in Europe and the second safest in the world. This will give • Distribution of a press release on the ‘Butterfly Boom in South-East Queensland’ Germany considerable economic advantages post COVID-19. Exit strategy has led to coverage on MSN and The Weather Channel. Current equivalent commences as the Government allows the reopening of some shops from 20 advertising value of AUD480,000. April and schools from 4 May (with strict rules). Travel platforms are reporting a rise in searches for destination content. • Additionally, an earlier press release featuring ‘Koala Live Streams / Virtual Travel’ is continuing to achieve exposure across Europe. La Repubblica (a • Denmark and Norway: kindergarten and primary schools to re-open this week; popular daily newspaper in Italy) has published a story about Lone Pine on Sweden: continuation of liberal response with all retail shops/restaurants open. Easter Friday, and the Reef Tracks project. Italy: continued lockdown to 3 May, however bookstores, laundries to reopen. France: strict lock-down continues until 15 May (due to limited capacity in healthcare system). Competitor activity

• More destinations are promoting beautiful positive dreaming videos in Europe: Trade Partnerships • Alaska will wait (very inspirational and personal video) • Auckland Papatūānuku (our earth mother) is Breathing (Indigenous • The repatriation of European travellers is almost finalised. Trade feedback focus) indicates that a significant number of clients (e.g. 80% in France) are keen to rebook instead of cancel their holidays. There is uncertainty on when to rebook clients to Australia however, as no official date of re-opening confirmed. New Aviation enquiries are increasing (mainly for 2021). • Continuing preparations for webinar sessions with Tourism Australia for the • The coronavirus pandemic has inflicted massive damage on the aviation industry. Nordic Region on 21 April (70 registrations to date); in France on 23 April (50 Lufthansa CEO Carsten Spohr says that the German flag carrier is in a good registrations to date) and Germany (date TBD). The number of ASP registrations position to survive, even if it will take several years for the industry to recover. engagement in France has increased significantly during March (70 new registrations), demonstrating agents are keen to invest time training. Please note: This update is a summary of the status of tourism (trade and aviation) and consumer sentiment in key international source markets. These are anecdotal reports from our in-market teams and should not be relied upon as formal reporting. The update is accurate as at 15/04/2020. North America Pandemic Stage Homebound

Current marketing across channels Consumer Sentiment

• Coordinating agent training in partnership with major consortia (Virtuoso, Travel • The US Congress and Trump Administration are implementing a US$2 trillion Leaders Network and Ensemble) and media partners (AFAR and Northstar economic relief program called the Coronavirus Aid, Relief and Economic Security Media Group); working in partnership with TA and other STOs to implement (CARES) Act to assist businesses and individual Americans through the industry webinars. pandemic. Approximately 10 million Americans have applied for unemployment assistance, the highest in US history. • Planning to launch comprehensive digital and social engagement promotions featuring exclusive 'first to market' activations to reach the lucrative AFAR • The Canadian Federal Government is preparing an aid package to assist the readership. travel and tourism industry that employs over 2 million Canadians.

Competitor activity Trade Partnerships • Discover Puerto Rico is inviting its followers and would-be visitors to a virtual getaway with salsa classes, cocktail making and cooking. • Several Australia focused US and Canadian Key Distribution Partners are operating with skeleton staffing to manage changes and cancellations. Other • Travel Saint Lucia in the Caribbean is inviting followers to experience the distribution partners are moving towards suspension of trip deposits to secure destination via Instagram Live with its ‘7 Minutes in St Lucia’ campaign. forward bookings for later conversion.

• Carnival Cruise Lines is working to raise US$6 billion to survive as the industry is Aviation excluded from Government-supported financial relief.

• Legislation is providing US$50 billion in financial assistance for the US industry. • G Adventures, Intrepid Travel and Peregrine Adventures has suspended tours globally until 31 May 2020 while offering a 110% credit to affected travellers. • Aviation remains substantially shut down with flight suspensions potentially being extending into July depending upon COVID-19 developments. • Consortium partner Travel Leaders Network which represents one third of the US retail agency industry advises that business-to-date is down by 90% across all • Qantas Americas staff have been stood down until further notice. destinations.

Current marketing across channels Consumer Sentiment

• No travel advertising currently in place, landscape has been one of shock and • According to Stats New Zealand, an estimated 240-260,000 overseas visitors adjusting to new normal. Focus has solely been around isolation and quarantine. were still in-market as of late March 2020. Opportunities will begin to open up once we progress through lockdown. • Early studies show a clear link between cold weather and COVID-19 which is a concern coming into winter. As a result, Prime Minister Jacinda Ardern has Competitor activity indicated some border controls will need to be in place until a vaccine is ready.

• Destination Canada hosting regular webinars detailing its approach to COVID-19 • The Tourism Industry Aotearoa indicated it could be up to five years before they can rebuild international tourism. Post-lockdown focus: domestic tourism and • Vanuatu Tourism new awareness campaign ‘We’ll Keep It Beautiful For You’ and hope there is a relaxation of Trans-Tasman border controls. Tahiti Tourisme new social media campaign, ‘Postpone Your Trip, Don’t Cancel’.

• The SATC is bringing South Australia into the living rooms of Kiwis via a new on- Trade Partnerships line platform, SATV. Launching after Easter, predominately social and digital. • A number of staff have been stood down across our key trade, airline and media • Joanna Garrie, the Regional Manager for Visit Victoria has moved onto the partners including Flight Centre, Air New Zealand, Ticketek and NZME. Melbourne Convention Bureau, leaves the STO with no presence in NZ. • Bauer Media, the biggest publisher of newsstand magazines including Woman's Day, Woman's Weekly, the Listener, North & South, Next, Metro, Kia Ora, Home Aviation NZ and Your Home & Garden has closed its doors permanently. • Flight Centre NZ launched Project Remedy, targeting industries and businesses • Air NZ advised it will be much smaller and largely domestic focused with limited who may have career opportunities for redundant staff whether full time or international services after COVID-19. 30% reduction in workforce is predicted. contract employment, or part-time for those who have taken unpaid leave. • VA confirmed it plans to resume its Tasman services when appropriate and • House of Travel have indicated that stores are too busy with amendments and viable. VA has cancelled its Velocity Frequent Flyer Millionaire Agent Incentive. cancellations to look at any training or support at this point.

Please note: This update is a summary of the status of tourism (trade and aviation) and consumer sentiment in key international source markets. These are anecdotal reports from our in-market teams and should not be relied upon as formal reporting. The update is accurate as at 08/04/2020. (Mainland China, Pandemic Stage Emerging Greater China Hong Kong and Taiwan)

Current marketing across channels Consumer Sentiment

• Queensland Livestream training sessions for trade partners have attracted over • Effective from 28 March 2020, China has temporarily suspended entry into the 3,000 participants/views to date, with a further three sessions to be delivered. country by foreign nationals holding visas or residence permits. This suspension is a temporary measure, in light of the spread of the outbreak and increases in • Fortnightly posts on Queensland Weibo account and bi-weekly posts on numbers in other countries. Queensland WeChat account continue (this frequency represents 50% compared to post frequency pre-COVID-19). • Inter-province travel is now allowed from 8 April 2020. The 70+ days of lockdown of the entire Hubei Province has officially ended. All air, water and land • According to Mafengwo and Ctrip, despite negativity relating to COVID-19, transportation in and out of Hubei Province is gradually being restored. Australia has maintained its Top 10 position in terms of being a highly searched destination. This demonstrates consumer intention for Australia remains high. • Chinese consumers are confident of a speedy economy recovery post the pandemic. A famous Chinese tourism attraction was packed with tourists on Saturday 4 April, as a result of the local government’s promotional efforts. Competitor activity • Tourism New Zealand has conducted trade training and consumer engagement Trade Partnerships via social channels, including a 'live cooking show' with New Zealand local produce. This activity has been very well received. • Agencies have started campaigns to push for Chinese domestic travel. According to Ctrip Group Chairman, James Liang, the company conducted a livestream online sale which achieved over CNY10 million in sales revenue for Chinese Aviation domestic travel products.

• From 28 March, only one destination in each foreign country is permitted for any • Online trade training continues to be the main platform to keep travel trade airline still flying to/from mainland China. The load factor for any flight should partners engaged. Total of 18 training/seminars with 6,194 views/participants. not exceed 75% (China Aviation Administrative Authority Committee regulations). • iTrip and RRUU are showing signs of financial instability. • Chinese carriers are transforming passenger flights into cargo services in response to demand/market needs.

Current marketing across channels Consumer Sentiment

• Continuing with daily posting and conversations on Facebook and Twitter, • Heath ministry projection that Japan's death toll could reach as high as 400,000 with average engagement of 5% and will seek to promote Japanese blogs as a state of emergency declared in Tokyo, Osaka and five prefectures has not on Queensland Uncovered. reached its target of a 70-80% ‘stay-at-home’ rate.

• Daily monitoring of social media shows support for Australia's decision • National Cabinet survey of 8,400 households in March revealed consumer to implement strict border restrictions despite the damage to its domestic confidence is at its lowest level since the 2011 earthquake. and international visitor economy. • More than 80% of survey respondents said they felt 'anxious' or 'blue' the week following the corona-caused death of comedian Ken Shimura (Macromill Weekly Competitor activity Index, n=1,000).

• Marianas Tourism Bureau launched a gift campaign encouraging people to post memories or images of the Marianas with official ‘Stay at Home’ Instagram logo. Trade Partnerships

• Brand USA, Italy and other destinations enriching short web film content for • H.I.S. has closed its sales offices and nationwide retail network of 263 stores home viewing. and placed 6,000 staff on ‘special leave’ until 6 May.

• JTB has also closed its stores in Tokyo, Osaka and the five other prefectures Aviation and inquiries in other areas will only be handled by telephone (total of 450 branches). • 94% drop in inbound arrivals and 86% decline in Japanese departures in March. • Both JTB and H.I.S. have extended the cancellation of all package tours to 31 • JAL international capacity is down 94%, Sydney and Melbourne suspensions to 1 May. June. • TEQ is now looking to organise webinars for local industry as well as supply • ANA international capacity down 90%, only airline with direct services to content to Tourism Australia Japan's virtual newsletter for Aussie Specialists on Australia. Will extend its three Haneda to Sydney services until at least 16 May. 30 April.

Current marketing across channels Consumer Sentiment

• The first episode of Channel A’s new drama series Yoo Byul Na Chef Mun aired in • Recently, as outdoor activities have become more difficult due to COVID-19, Korea on Friday 27 March. The Gold Coast destination featured in approx. 30 more and more people are reminiscing about their past trips or dreaming of minutes of the hour-long episode. It is believed more than 1.75 million viewers taking a trip. Keywords such as ‘in-room travel’ and ‘places-to-travel-after- watched, with more expected to view re-runs in future. The Gold Coast will also COVID19-is-gone’ are often used on social media. feature in flashbacks as part of the remainder of the series. • In a survey conducted by Expedia, Koreans are using various ways to think of their happiness traveling: talking about the last trip with companion (56%), Competitor activity seeing photos taken from a previous travel destination (56%), eating good food (51%), and looking at travel photos taken by other people on social media • Overall, limited activity is currently being delivered by destinations in market. (51%), and planning their next trip (48%).

• Tourism Thailand hosted a Facebook event ‘Think of Thailand’, inviting people to share their memories of Thai food. This activity has generated positive comments Trade Partnerships from travellers keen to share their memories. • 5.7 out of 10 people in the travel and aviation industry predicted that the travel and aviation industry would recover from COVID-19 as early as July and after Aviation September at the latest.

• Airlines are launching special campaigns under the theme of ‘purchase with • Tourism Australia delivered an Aussie Specialist Program (ASP) webinar on 13 confidence’. Korean Air introduced ‘Buy with Confidence’ campaign which waives April. The Gold Coast was a feature destination, aligned with the airing of the all change fees for all flight tickets. Asiana Airlines has also introduced a similar Channel A drama series (with destination content featured in the drama campaign waiving all cancellation charges and removing restrictions on departure incorporated in the training). A total of 150 agents joined the training, exceeding dates for all flight tickets. Analysts suggest that the move is impressive, with expectations for the first webinar training delivered to ASPs in market. Webinar airlines trying to survive in an extremely sluggish environment due to COVID-19. training is now planned each fortnight.

• Guam and Saipan routes have been suspended from 23 March and Hawaii from 30 March.

Current marketing across channels Consumer Sentiment

• In partnership with TA Indonesia, TEQ Jakarta team created a Queensland Bingo • The Singapore Government has announced a total of $59.9 billion (AUD 68 game on Instagram to engage ASP frontline staff in early April. billion; 12% pf GDP) in support packages to heavily subsidise the wages of more than 1.9 million workers, support families and keep businesses afloat. This • The TEQ Singapore team has reached out to one of the major banks in includes preventing viable businesses from being ‘permanently damaged’. The Singapore, OCBC Bank, to discuss partnership opportunities in conjunction with generous stimulus is a boost to consumer confidence. the launch of their 90°N Travel card in late 2020. • The Malaysian Government announced a RM 250 billion (AUD 95 billion; 18% of GDP) Economic Stimulus package to help all businesses impacted by COVID-19. Competitor activity • Korea Tourism Organization (KTO) is leveraging on the appeal of K-Pop, through Trade Partnerships a learn K-Pop dance promotion, Listen to K-Pop with ex-Super Junior member activity and sharing of Korean recipes. • There is a negative revenue stream for trade partners across South East Asia as staff are busy with cancellations and refunds. Many staff are required to take unpaid leave, an interim pay cut, work from home (due to lockdowns) and some Aviation are being laid-off.

• As a result of a ‘steep decline in passenger traffic’ and the likelihood that travel • Several key trade partners are staying connected with consumers during this demand will take time to recover, Changi Airport’s Terminal 2 will suspend lockdown period through their social channels: operations from 1 May 2020 for 18 months. Airlines will be reallocated across the • Dynasty Travel (Singapore) released a ‘#StayHome’ video to stay remaining terminals, with SQ consolidating its operations in Terminal 3. connected with their clients; and • 12FLY in Malaysia introduced ‘DreamNowFlyLater’ content. • Garuda Indonesia launched a ‘Flexible Flight’ promotion with leading OTA, Traveloka, encouraging bookings in April 2020, for travel up to June 2021. • On 26 March 2020, the Singapore Government announced an AUD48 billion Resilience Budget. This includes a 75% wage offset (cap of $4,600) to support • AirAsia is gradually shifting focus, with the aim of evolving to become a travel jobs in hotels, travel agents, tourist attractions, cruise operators and MICE venue and lifestyle platform as well as an airline group. operators. This is akin to extending a lifeline to trade partners.

Current marketing across channels Consumer Sentiment

• An Aussie Specialist Program contest for travel agents has launched, requiring • On 14 April, Indian Prime Minister Narendra Modi announced an extension of the agents to complete the Queensland module and submit an itinerary entry to win complete lockdown of the country until 3 May 2020. All districts, localities, states exciting prizes. The contest ends 3 May 2020. will be closely monitored until 20 April, to assess how strictly they are implementing the set requirements. States which do not see an increase in • TEQ is sharing Queensland’s virtual travel experiences with Tourism Australia, COVID-19 hotspots, could be allowed to resume important activities, with certain KDPs and social media influencers. conditions.

• TravTalk hosted a webinar on outbound tourism from India post COVID-19. For • With fast action and early lockdown, there is a sense of confidence in India that key takeaways from the session, please contact TEQ’s India team. the measures in place are being effective, when compared to other nations.

• Brands are moving towards a complete digital transformation and ‘digital first’ Competitor activity approach.

• Abu Dhabi Tourism has launched sponsored content with travel websites, Tripoto and Trip Advisor. Sponsored content on virtual tours by Switzerland and Trade Partnerships the Netherlands. • The Indian travel trade have seen a severe blow to their businesses with the • Dubai launched the world's first 'Home Marathon’. peak summer travel period wiped out for 2020 due to border closures. The Indian winter season of October – December is also looking bleak. • Trade training webinars are being conducted by NTOs in India. • Larger KDPs are investing in technology upgrades, product training and working on recovery strategies. This is a good time to reach out to the travel trade, to Aviation lend support and share activity/product updates to inspire consumers to experience Queensland products. • With the extension of the lockdown in India, all domestic and international scheduled airline operations will remain suspended till 11:59pm, 3 May 2020. • Tourism Australia has trained 4,216 travel agents through their ASP webinars, of which 2,500 were trained via STO webinars conduced in the last month.

Global Context International Aviation

• The COVID-19 pandemic has had an unprecedented impact on global aviation • During February the Australian border was closed to visitors from China, South with the cessation of almost all leisure travel in competitor markets. Korea and Iran as COVID-19 spread to those countries.

• Owing to the severity of travel restrictions and the expected global recession, the • On March 20, the Australian border was closed to all non-residents for a International Air Transport Association (IATA) estimates that global passenger minimum period of six months. revenues could plummet USD $252 billion or 44% below 2019’s figure. • On March 24, a ban on travel by Australian residents overseas came into effect. • Aviation analysts Cirium report that as of April 6 the number of aircraft grounded exceeds the number of aircraft flying, with 14,500 commercial aircraft grounded • As a result of these measures, international capacity into Queensland during w/c and just 12,600 remaining in operation. April 13 is down 95% (compared to Business as Usual).

• Essential freight/medical-focussed PNG/Pacific services and limited services for Domestic Aviation the repatriation of Australian residents and evacuation of non-residents remain operational. • From March 25, anyone arriving in Queensland from interstate was required to self-isolate for 14 days unless they are an exempt person.

• From April 3, Queensland non-residents are no longer permitted to enter the Airline Partnerships state unless they are an exempt person (see here for a list of exempt persons). • TEQ will suspend obligations for Attracting Aviation Investment Fund (AAIF) • Virgin Australia has announced it will cut capacity across its domestic network by airline partners for a minimum of three months. 90% including the grounding of the Tigerair fleet.

• Qantas previously announced it would cut domestic capacity by 60% across the Qantas and Jetstar network, with further reductions now likely.

• As a result of these measures and falling demand for travel, domestic capacity in Queensland during w/c April 13 is down 92% (compared to Business as Usual).

Please note: This update is a summary of the status of aviation globally. The update is accurate as at 15/04/2020. Pandemic Stage key

Homebound COVID-19: Know the facts – for more information: Forced isolation/social restrictions, panic buying, widespread and ongoing Updates on COVID-19 – for businesses – Updated daily by TEQ with links to transmission, infection rates rising the latest information, support packages and business resources.

Emerging Updates on COVID-19 – for travellers – Updated daily by TEQ with the latest Infection rates stabilise then decrease, travel advice and restrictions for Australia and Queensland. people start to feel positive, economy restarts, people returning to work/school, health.gov.au – For the most current health advice domestic travel bans lift australia.gov.au – For all current announcements Returning treasury.gov.au – For information on our economic response Governments have lifted restrictions, consumers preferences and expectations have shifted, technology adoption servicesaustralia.gov.au – For help accessing support payments accelerates Australian Government coronavirus page or call 13 28 46 – For Australian Government business support Note: The above stages are based on definitions developed by Tourism Australia and adapted by Tourism and Events Queensland. They are intended to Phone the Small Business Hotline on 1300 654 687 - For Queensland be a guide only to indicate where each market currently Government business support sits. A particular market may or may not be experiencing one or all of the descriptors outlined. Summary of Government support packages – Queensland’s Department of The stages may be refined and updated as the Innovation and Tourism Industry Development (DITID) has provided a pandemic continues to evolve. detailed breakdown of federal and state support packages available for businesses.