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Rupee Slide Hits Outbound

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Rupee Slide Hits Outbound PPS 619/02/2013(022926) No. 1661/June 15 – 21, 2012 Hotels Regional airlines Singapore China centric or eccentric? China’s big four lift off Rising expectations PAGE 12 PAGE 14 PAGE 15 www.ttgasia.com Rupee slide BREAKING hits outbound GROUND Domestic travel rises in popularity among Indians After transforming the way travel is bought, can online travel companies continue to make By Divya Kaul ing as much as 40 per cent of NEW DELHI A depreciating tourists from West Bengal this huge, not incremental, innovations? Barney rupee, coupled by a steep rise in season, compared to 20 per cent Harford, president & CEO of Orbitz Worldwide, airfares, has hit India’s outbound last year,” said Angshuman Basu, market, driving up tour package co-partner, Destination Tours. says yes and shows Raini Hamdi how he is prices by as much as 25 per cent. At the same time, room rates breaking ground at Orbitz – see page 6 The Indian rupee has plunged across popular Indian destina- by about 20 per cent against the tions are also clearly on the rise, US dollar in recent months. based on the latest Hotel Price In- “Even though queries have dex (HPI) report by Hotels.com. Win A Coaching Programme Worth US$7,000 not dropped drastically, conver- Average room rates in New Delhi Tipsheet columnist Adrian Caruso (refer to page 8) is giving away a three-month online coaching course sion rate has gone down,” said have seen a nine per cent increase to provide one winner with a makeover of their travel agency business. Tell us in less than 100 words Ajay Jaipuria, president, to Rs5,914 (US$107), about your agency and what you’d like to start doing differently in your business. Send in your entries to Society of Foreign Trav- while prices in Mumbai [email protected]. Visit www.ttgasia.com for more contest details. el Operators. are up by three per cent E M Najeeb, chair- to Rs6,539. Bangalore man and managing recorded a five per cent director of Airtravel rise to Rs4,595, while www.ttgasia.com Enterprises India, con- Chennai experienced Panorama looks east curred: “The increase in only a marginal price Most popular By Mimi Hudoyo after the Thai capital was affected prices of travel packages rise of one per cent to JAKARTA Panorama Destina- by political protests. Jaipuria: shorter (as of June 12, 2012) has, to a great extent, Rs4,707. tion, the inbound arm of Pano- Depsite a bigger Asian cus- tours an option hampered the holiday Commenting on the Arthur Kiong to leave rama Leisure Group, will focus tomer base, Achmad said the plans of Indian travellers.” HPI report, Hotels.com head Banyan Tree on tapping the Asian market to company still needs to grow To cope with higher costs of of marketing, South-east Asia, 1 make up for declining arrivals the shorthaul market further travelling abroad, Jaipuria is ad- Rajiv Malhotra, said: “The de- CheapTickets.sg links from Europe. as regional visitors tend to stay vising his clients “to take short preciating rupee against most 2 arms with Agoda.com Panorama Destination ex- shorter and spend lesser than the holidays of seven to 10 days in- other currencies could be a key ecutive director, said: “We have longhaul market. stead of 12 to 15 days, enabling reason for the upswing in do- Scoot to add Tokyo, been developing the Asian mar- “In the first quarter of the year, them to keep within their spend- mestic travel, hence resulting in 3 Taipei flights ket since 2010 and have seen the total number of pax handled ing limits”, while Najeeb is float- hotel room rates rising at popu- Foreigners banned from rapid growth from Singapore, went up by 3.2 per cent, but reve- ing deals to add volume to his lar destinations like Jaipur, Goa visiting Tibet Malaysia, Thailand, China and nue fell 2.6 per cent compared to bookings. and Manali. 4 Indochina. Sri Lanka is also see- the same period in 2010,” he said. Najeeb said: “If the passengers “Cities like New Delhi, Ban- Egypt hot on Malaysia’s ing strong growth, especially the This year, Panorama Destina- have to be motivated to travel, galore and Mumbai also show a 5 trail incentive segment.” tion is targeting to serve 118,000 the first and foremost thing is to hike in room rates because they Rocky Praputran, Panorama customers and reach a revenue offer value-for-money holidays are business and cultural hubs, Backpackers, students Destination managing director, of 266 billion rupiah (US$28.2 that provide great satisfaction and are also well-connected to 6 remain vital for Thai said: “We are looking at possi- million). to travellers. New locations and other tourist destinations.” tourism, says TAT bilities of (establishing) our pres- Achmad revealed that the experiences have to be innovated However, some did not be- Niche tourism takes ence in Thailand once again. We company’s performance last year and packaged for them.” lieve that the falling rupee would 7 centrestage in Thailand are renewing talks with potential was affected by the EU financial As outbound packages be- result in any major gain for do- partners. It could be a represent- crisis. Europe comprised 72 per come pricier, some Indian travel- mestic tourism. SEAir expands with a ative office or a joint venture, but cent of its business last year, with lers are turning their attention to Najeeb said: “I don’t think 8 vengeance we expect our presence there by major source arrivals from the domestic holidays. that Indian travellers would turn this year.” Netherlands, France, East Eu- Medical tourists in Bali to “Domestic destinations like to domestic destinations as an Panorama Destination was rope and Switzerland. benefit from hospital-hotel Kashmir and Himachal Pradesh alternative even as outbound 9 buoyed by the stablising situa- Panorama Destination’s rev- partnership are gaining in popularity as out- packages become more expen- tion in Thailand, which posted enue fell 4.1 per cent from 265.5 bound packages become more sive. Travellers choose to travel to JacTravel predicts an increase of almost 20 per cent billion rupiah in 2010 to 254.2 expensive, said Subhash Verma, domestic destinations to enjoy a 10 London hotel rut during in arrivals last year. billion rupiah last year. It also president, Association of Do- different feel and experience, not Olympics The company had originally saw a 7.9 per cent drop in cus- mestic Tour Operators of India. because their options for over- aimed to open an office in Thai- tomers handled, from 116,419 “The Kashmir valley is receiv- seas holiday are affected.” To read these news, go to www.ttgasia.com land, but its plans were thwarted pax in 2010 to 107,212 pax. ttgAsia June15 p01.indd 1 6/12/12 3:17 PM NEWS JUNE 15 – 21, 2012 • TTG ASIA 2 Beyond the kingdom Thai hoteliers’ international expansion plans pick up pace By Chami Jotisalikorn erate income from diversified five are overseas – this year. Its & Liang Xinyi sources and new markets,” said second Bali property, Centara BANGKOK/SINGAPORE Shackleton. Grand Nusa Dua Resort & Vil- Thai hospitality groups are en- The group will roll out its las, is set to open in 3Q2012, tering a more aggressive mode Indian debut, Dusit Devarana while Centara Passikudah Re- of overseas expansion, as they New Delhi, later this year, while sort & Spa and Centara Cey- seek to build global portfolios upcoming projects include Dusit sands Resort & Spa will debut in and tap on opportunities in new Thani Abu Dhabi, dusitD2 New Sri Lanka. destinations. Delhi, Dusit Devarana Hainan Travis White, director of David Shackleton, COO of and dusitD2 Pasedena – its first business development at Anan- Dusit International, said: “We’ve foray outside Asia. tara, which is owned by Minor gained the necessary interna- Another major player seeking Hotel Group, said the time is tional experience in different lo- wider reach abroad is Centara ripe to continue Anantara’s ex- cations to give us the confidence Hotels & Resorts. Director of pansion internationally as it is to move into new emerging des- sales & marketing, Philip Hall, firmly established in Thailand. tinations.” Besides Thailand, the said: “While we still see oppor- Anantara recently launched group has existing properties in tunities to grow within Thai- its new boutique brand Avani Manila, Cairo, Dubai and the land, it would not be as fast as in in Sri Lanka, and will open new Maldives. recent years, so we are encour- hotels in China’s Sanya, Xish- A bearish domestic market aged to expand overseas.” uangbanna, Wulong (Chong- also drove Dusit’s strategy shift The Bangkok-based group qing) and Emei (Chengdu), to overseas expansion, so as to will boost its current 54-prop- as well as Laos, Mauritius, enable the group to “build a erty portfolio with 11 new man- Oman and India, within the larger base of hotels and gen- agement contracts – of which next two years. Mixed reactions to LCCs’ move By Timothy France Thailand-based DMCs, on offering incentive packages C BANGKOK Thai LCCs have the other hand, had expressed to LCCs with concessions on M been ordered to relocate to the ambivalence at the move as they landing fees – already 30 per Y old Don Mueang Airport to did not foresee real impact on cent lower than Suvarnabhumi. ease congestion at the their business. Meanwhile, Thompson CM main Suvarnabhumi Richard Brouwer, sought AOT’s fair treatment of MY Airport, a move that COO of Diethelm Trav- all carriers. “If the cost struc- CY has garnered varied el Group, said DMCs ture is favourable, it would ap- responses among the had coped with similar peal to regional carriers serv- CMY trade.
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