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The Development and Promotion of MICE in Thailand

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The Thailand Convention & Exhibition Bureau (TCEB) is leveraging the development of Thai MICE business in long haul markets in collaboration with foreign chambers of commerce representing Australia, UK, USA and Germany.
​Mr. Chiruit Isarangkun Na Ayuthaya, President of Thailand Convention & Exhibition Bureau (Public Organization) or TCEB, disclosed, “The signing of this MOU – The Development and Promotion of MICE –  between TCEB and Foreign Chamber Alliance (FCA), comprising 4 chambers of commerce representing our main target countries, which are Australia, UK, USA and Germany.
It’s considered another remarkable step of TCEB in altering our role to leverage MICE by serving as a business partner who joins hands with foreign organisations to promote the development of Thai MICE in international markets, as well as to penetrate into long haul MICE markets in Oceania, Europe and the USA, side by side with our main short haul target markets in Asia.
“Indeed, the collaboration is a new dimension of promoting Thai MICE business in long haul markets with concentration on Oceania, Europe and the USA. This is the very first time that the Foreign Chamber Alliance – FCA, which represents Australia, UK, USA and Germany, signed an MOU with a Thai government agency. Interestingly, FCA has more than 20,000 members that include businessmen, investors, entrepreneurs from business, industrial and service sectors, such as Minor Hotels Group, AccorHotels Group, Marriott Hotels Group, convention centres business, as well as oil, mining, pharmaceutical, automobile and other industries,” he added.
“These are considered high potential business groups for propelling the national economy and are included among the targeted industries that the Thai government is keen to encourage in line with the 4.0 Policy. For this reason, this is a lucrative opportunity for us to collaborate to develop and raise the competitiveness of Thai MICE. The 4 chambers of commerce have recognised the importance of using MICE as the gateway to the development of commerce and investment in Thailand and ASEAN,” he said.
With this MOU, the framework for the development of MICE business will embrace 5 dimensions of operation:
• The sharing of MICE statistics and events
• MICE business development
• MICE market promotion
• MICE business research
• MICE personnel development.
Mr. Chiruit further said, “The initial collaboration to mutually promote MICE business will mainly focus on hospitality service, because members of the FCA have long records of investment in Thailand, which have been running alongside their nationwide service businesses. Hence, they have eyed to extend collaboration with Thai government agencies, as they believe the endeavour will open a new door to operate MICE business in Thailand and ASEAN.
“This, in turn, will allow them to study about the dynamics and direction of the Thai MICE market. By joining with TCEB in formulating a marketing development scheme, the synergy will open a new door to connecting with other alliances who relate with the promotion of Thai MICE business in targeted countries. Moreover, there will be co-operation in drawing international events into Thailand, marketing promotion and provision of support for events previously held in Thailand,” he said.
“Target groups and alliances will be invited to participate to strengthen the potential of MICE events held here in Thailand. The FCA will join with us in the exchange of marketing information related to targeted industries held by allied chambers of commerce and TCEB will exchange information on Thai MICE business, including statistics and events, to fully bolster mutual MICE business development,” said the TCEB President.

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​He went on to say, “Nevertheless, the FCA expects the Thai government to leverage the competitiveness of Thai MICE business in order to serve global competition. For example, facilitation of customs and immigration procedures; development of infrastructure and transportation; construction of convention centres; development of MICE personnel that meets international standards, and establishment of One-Stop-Service MICE centres. All of which will open a new door to the holding of MICE events in Thailand by efficiently offering enhanced convenience for MICE entrepreneurs and organisers,“ he declared.

Proposals to establish MICE service centres has been included in TCEB’s earlier strategic plan, and the Ease of Doing Business project as well  as the draft of a national strategy of NESDB (National Economic and Social Development Council).
​Mr. Chiruit went on to explain, “After the completion of MOU signing, TCEB is set to discuss with the FCA on the preparation of Phase I work plan, which lasts two years. Both parties will encourage practical co-operation in a rapid and consistent manner. Initially, we have planned to attract events and provide support to the holding of events that relate to targeted industries according to the government’s 4.0 Policy, particularly in the provinces governed by the administration of EEC (Eastern Economic Corridor),” he said.

​“TCEB expects that the collaboration will not only leverage the competitiveness of Thai MICE in long haul markets in Oceania, Europe and the USA, but will also help to attract international events into several regions in Thailand, especially those considered main markets in MICE City project, which are Bangkok, Pattaya, Phuket, Chiang Mai and Khon Kaen. Definitely, we believe the rapport will encourage transfers of technology and knowledge of each industry among one another, and thus will promote advancement in all regions and stimulate income distribution to communities nationwide,” concluded Mr. Chiruit.

Mr. Benjamin Krieg, Vice President, Austcham, explained, “The role of the Foreign Chamber Alliance (FCA) in Thailand and the purpose of signing the MOU combines key Foreign Chambers and their members through this important collaboration, we provide a common voice on advocacy to develop and grow opportunities that can benefit our members and the country of Thailand,” he said.

“The MICE industry is growing, and will also continue to grow in importance and contribution to the overall tourism sector within Thailand, and of course the greater Thai economy. Our primary aim is to continue to increase and grow the competitiveness of Thailand as a leading destination for MICE not only within Asia, but the world, further complimenting the amazing tourism industry that we already are so fortunate to be a part of,” concluded Mr. Krieg.

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Indian travelers expected to spend $136 billion by 2021

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The Indian traveler has come of age, spending approximately $94 billion in 2018, on around 2 billion domestic and international trips, helping the Indian travel and tourism industry achieve unprecedented scale.

The momentum is expected to continue and the industry will grow at a 13 percent CAGR to $136 billion by 2021, according to a report, ‘How Does India Travel’. The report outlines how India spends on travel, the influence of online channels in their purchase journey and potential growth opportunities for travel businesses till 2021.

Deep diving into the $136 billion spends, the report cites a 12 percent growth in transportation ($50 billion), 13 percent growth in lodging ($21 billion) and consumption, which includes spends on shopping, recreation and food, to grow at 13 percent ($65 billion) over the next three years. Additionally, as more people come online, smartphone penetration improves and use of digital payments goes up, the report estimates that Indian travelers will spend an additional $24 billion on online travel bookings over the next three years, a growth from 25 percent in 2018 to 35 percent in 2021.

Online is a significant source of research

Elucidating the planning journey of Indian travelers, both for business and leisure, the report calls out five phases of a customer journey – Interest, Research, Booking, Experience and Sharing. The report states that during key research-heavy phase of interest, research and experience, digital plays a pivotal role with over 86 percent of consumers being influenced by online channels. During this phase, travelers spend their maximum time on search, travel tour provider websites, price comparison websites, and travel articles. Online video too plays a significant role with 21 percent of travelers being influenced by this platform. In the booking and sharing phase, the report states that nearly 60 percent of customers book transport and lodging online, and over 50 percent share feedback online with social media being the dominant platform.

Talking about the market opportunities for online travel players, Vikas Agnihotri, Country Director – Sales, Google India said, “New users perceive that online channels are geared towards the more frequent flyers and experience-oriented travellers; and existing travelers research online but the lack of trust in payments and booking experience make them end up booking offline. If travel players tap these online users through personalised marketing, messaging and travel plans, they can further augment online travel bookings. This can be done by adopting digital technologies to influence customers early in the journey and moving from one-time engagement to ongoing relationships to have a positive impact.”

“There is a perception amongst consumers that online channels are geared towards premium customers, along with a marked distrust around payment and pricing terms. It is imperative for businesses to address these concerns in order to effectively tap into the growing base of users.” Arpan Sheth, partner Bain & Company said.

Decoding the Indian travelers

The report further identified the five cohorts of travelers in India, across business and leisure travel, and categorised each against their online research behavior:

Frequent flyers: Nearly 70 percent of them booked online, cumulatively spent $17 billion in 2018. They make their choices based on convenience, availability, brand preference and past experiences.

Budget business traveler: 86 percent of them researched online whereas only 60 percent book online, cumulatively spent $20 billion in 2018. This cohort makes their decisions based on cost of travel, availability and consultation amongst their personal business network.

Experience-oriented traveler: Around 70 percent of their bookings were done online and cumulatively spent $22 billion in 2018. They extensively research both online and offline for ‘authentic’ experiences and convenience of options; display high loyalty towards preferred brand of airlines or hotels and actively share experiences.

Budget group traveler: 90 percent researched online and 55 percent booked online, cumulatively spent $29 billion in 2018. They make multiple decision-makers in the process and take the final decisions based on minimal cost.

Occasional travel visiting friends/relatives: 92 percent researched online but only 60 percent booked online, spent $6 billion in 2018. They maximize family convenience within a budget and believe online terms and conditions are restrictive.

Travel News | eTurboNews

eTN Hero: Cordelia Igel, team leader at Vox Restaurant, Grand Hyatt Hotel Berlin

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Many of us traveling around the globe on business have travel stories to tell. I spend more than 100 fully-paid nights every year in Hyatt Hotels around the world. Doing this, you get to know a brand more closely.

I am collecting my own list of heroes and honoring each of them eTN Heroes. You cannot buy eTN Heroes, and this title is a publisher’s recommendation based on personal experience.

I realize there are so many heroes in the hospitality industry and even more in the rest of the travel and tourism industry, so my personal experience is only a very small token of well-deserved recognition.

Today, I would like to introduce Cordelia Igel, a senior team leader at Vox Restaurant at the Grand Hyatt, Berlin, Germany as the latest eTN Hero.

Travelers like me experience hotels as a second home. When something doesn’t make sense, I am always outspoken and hope my criticism is heard. I want the businesses that cater to my travel to do well.

Loving my espresso every day is a passion many fellow travelers share. For me, it doesn’t make sense when international hotels cannot see that good espresso is a major selling point. For me, it’s a major buying point when selecting a hotel.

For example, I stopped staying at the Marriott Newark Airport where the Starbucks in this hotel is only open from 6 am to 10 am.

It boggles my mind because people come in 24 hours a day because after all, it’s an airport hotel.

With travelers arriving or leaving this hotel don’t always go by Eastern Standard time.

A good cup of coffee becomes as important as a good bed or a hot shower.

The same goes for food. I select hotels where I can get my breakfast, lunch, or dinner 24/7 because my body time clock is not always synchronized with the time in the destination.

Mistakes happen, especially when you’re jetlagged. One of the worst was when I picked up a suitcase that belonged to another passenger in Tokyo after arriving from Abu Dhabi and showed up at the Grand Hyatt Tokyo with the wrong luggage. Takashi Kai, Assistant Manager at the Grand Hyatt Tokyo, was my first eTN Hero that day and managed this impossible and frustrating situation for me.

Here why I am so thankful to Cordelia Igel, the senior team leader at Vox Restaurant at the Grand Hyatt Berlin, my latest eTN Hero.

In March during ITB  I stayed at the hotel for 8 nights.

The hotel has a fantastic breakfast and a great pool/gym area along with a very central and exciting location close to Potsdamer Platz.

Rooms are a little small and average in Berlin, but acceptable. I may have been spoiled. I stayed at the Hyatt Haus Duesseldorf before arriving in Berlin during the same trip and also one night at the Park Hyatt Hamburg and loved my apartment and hotel suite. My apartment at Duesseldorf Hyatt Haus was over the top – washer, dryer, living room, bedroom, and an outside patio with a million dollar view, and enough space to entertain 100 people.

Here is why Cordelia at the Grand Hyatt Berlin is my hero. Attending a very busy trade show is always a challenge when managing a busy scheduled and sleep. My morning espresso is of utmost importance. In the past, when staying at the Grand Hyatt Hotel in Berlin, I went to Starbucks across the street from the hotel, but this year, Starbucks was no longer there.

What were my options? As a Globalist member in the Hyatt loyalty program, my breakfast is always included. Hyatt Germany is not one of the hotels forcing Globalists to take their breakfast only in the Club lounge.

The continental breakfast at the Hyatt Grand Clun is usually not comparable with the wide variety of food found at VOX restaurant.

So everything was perfect in the morning, right? Wrong!

When trying the Club lounge espresso, I should have known it wasn’t up to my standards as it was served from a push-button machine. However, not all Grand Clubs are the same. At the Grand Hyatt Seoul, Korea the Espresso machine is the best I found in the Hyatt system so far.

At the Grand Hyatt Berlin, when dining in the hotel’s 5-star restaurant VOX, a 3-star espresso is served from a push-button machine.

When I asked the lead server, Cordelia, why they are serving such a superb breakfast and offer only a push button machine-made espresso she offered a solution.

The only good espresso machine in the hotel not using push-buttons was at the hotel bar. Cordelia went to the hotel bar and personally hand-crafted a cup of real espresso for me. She also managed to bring it back within one minute after pouring. Magical!

Every morning after that, Ms. Igel knew what to do. And for that extra touch of service and not hesitating a second to go above and beyond, Vielen Dank Frau Igel, you are my eTN Hero today.

 

 

 

 

Travel News | eTurboNews

Boat Charter Policy private stakeholder consultative meeting

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A consultative meeting with private sector stakeholders to discuss the revision of the tourism Boat Charter Policy was held on the 5th April 2019 at the International Conference Centre of Seychelles (ICCS).

The Meeting was chaired by the Principal Secretary for Tourism Mrs. Anne Lafortune and in attendance was the Director for Policy, Research, Monitoring and Evaluation Mrs. Bernice Senaratne, Director for Standards and Monitoring, Mr. Louis Desnousse, relevant government agencies and boat charter operators.

The aim of the consultation meeting was to present and discuss the proposed amended Boat charter policy which dates back to 2008 in order to collect the views and recommendations of the private sector, mainly boat charter operators who will need to abide by this policy.

During the meeting, it was unanimously agreed that Boat Charter businesses should be reserved to Seychellois including all assets.  The operators highlighted that by not allowing leasing of capital assets from foreigners, the charter businesses will remain free from foreign involvements. The Principal Secretary also assured the meeting that all 300 registered Boat Charter businesses are fully owned by Seychellois as per the Tourism Department’s records.

One of the main concerns raised by the Boat Charter Operators during the meeting was regarding the availability of qualified and skilled labour. According to the operators, graduates who qualify under ‘My first Job scheme’ do not have the required skills and training for the job. The Assistant Director of the Seychelles Maritime Academy (SMA), Captain Wilton Ernesta also present during the meeting explained that the Academy provides the necessary training for maritime based operations and as of this year they have adopted a new strategy to recruit and produce quality students as opposed to quantity by the year 2020.

The boat charter policy comprised of 11 policy statements which include ownership and investment in the charter business, Fleet size, Qualifications required, Conditions of Licence, Standards to be maintained, Environmental actions, Preservation of the Environment, Operators subjected to Integration policy , Information to be submitted to the relevant Authorities, Non-compliance and Emergency and Evacuation procedures.

The main recommendations submitted by the operators in the meeting were regarding the preservation of the environment statement, whereby they emphasized on the need for better infrastructure and facilities to support this policy. The example of introducing a black water pump out system for the disposal of waste was given in view that currently waste is being disposed in the sea. They will be unable to implement the policy requirements without the proper infrastructure in place. It was also recommended that a Boat charter association should be set up to facilitate dialogue and support the operators and the different activities of this sector.

The Tourism department will be taking into consideration all comments and issues raised during the meeting. The proposed draft will be amended and presented to the stakeholders in a follow up validation workshop.

Travel News | eTurboNews

How does India travel? Let us count the 94 billion ways

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Bain & Company and Google India are together launching a report on “How Does India Travel.” According to the report, the Indian traveler has come of age, spending approximately $94 billion in 2018 on around 2 billion domestic and international trips. This has helped the Indian travel and tourism industry achieve unprecedented scale, and the momentum is expected to continue with the industry growing at a 13 percent CAGR to $136 billion by 2021, according to a report.

Fueled by digital, Indian travelers are expected to spend an additional $24 billion on online travel bookings over the next 3 years. The report outlines how India spends on travel, the influence of online channels in their purchase journey, and potential growth opportunities for travel businesses until 2021.

Deep diving into the $136 billion spends, the report cites a 12 percent growth in transportation ($50 billion), 13 percent growth in lodging ($21 billion) and consumption, which includes spends on shopping, recreation and food, to grow at 13 percent ($65 billion) over the next three years. Additionally, as more people come online, smartphone penetration improves and use of digital payments goes up, the report estimates that Indian travelers will spend an additional $24 billion on online travel bookings over the next three years, a growth from 25 percent in 2018 to 35 percent in 2021.

Online is a significant source of research

Elucidating the planning journey of Indian travelers, both for business and leisure, the report calls out five phases of a customer journey – Interest, Research, Booking, Experience and Sharing.  The report states that during key research-heavy phase of interest, research and experience, digital plays a pivotal role with over 86 percent of consumers being influenced by online channels. During this phase, travelers spend their maximum time on search, travel tour provider websites, price comparison websites, and travel articles. Online video too plays a significant role with 21 percent of travelers being influenced by this platform. In the booking and sharing phase, the report states that nearly 60 percent of customers book transport and lodging online, and over 50 percent share feedback online with social media being the dominant platform.

Talking about the market opportunities for online travel players, Vikas Agnihotri, Country Director – Sales, Google India said, “New users perceive that online channels are geared towards the more frequent flyers and experience-oriented travelers; and existing travelers research online but the lack of trust in payments and booking experience make them end up booking offline. If travel players tap these online users through personalized marketing, messaging and travel plans, they can further augment online travel bookings. This can be done by adopting digital technologies to influence customers early in the journey and moving from one-time engagement to ongoing relationships to have a positive impact.”

“There is a perception amongst consumers that online channels are geared towards premium customers, along with a marked distrust around payment and pricing terms. It is imperative for businesses to address these concerns in order to effectively tap into the growing base of users.” Arpan Sheth, partner Bain & Company said.

Decoding the Indian travelers

The report further identified the five cohorts of travelers in India, across business and leisure travel, and categorized each against their online research behavior:

  • Frequent flyers: Nearly 70 percent of them booked online, cumulatively spent $17 billion in 2018. They make their choices based on convenience, availability, brand preference and past experiences.
  • Budget business traveler: 86 percent of them researched online whereas only 60 percent book online, cumulatively spent $20 billion in 2018. This cohort makes their decisions based on cost of travel, availability and consultation amongst their personal business network.
  • Experience-oriented traveler: Around 70 percent of their bookings were done online. and cumulatively spent $22 billion in 2018. They extensively research both online and offline for ‘authentic’ experiences and convenience of options; display high loyalty towards preferred brand of airlines or hotels and actively share experiences.
  • Budget group traveler: 90 percent researched online and 55 percent booked online, cumulatively spent $29 billion in 2018. They make multiple decision-makers in the process and take the final decisions based on minimal cost.
  • Occasional travel visiting friends/relatives: 92 percent researched online but only 60 percent booked online, spent $6 billion in 2018. They maximize family convenience within a budget and believe online terms and conditions are restrictive.

However, challenges remain in meeting the expectations of these travelers. Customers perceive online channels geared towards premium cohorts (frequent flyer and experience-oriented traveler), while mass cohorts, with $55 billion in spending, remain underpenetrated. There are about 160 million non-transacting active Internet users in India with only 5 percent of online travelers from Tier-2 or Tier-3 cities. There is a significant (20 percent) difference between the booking rates of premium cohorts and mass cohorts, the latter being also dissatisfied with online channels (~33 percent satisfied) vs. premium cohorts (~42 percent). The second challenge is in penetrating existing users who exhibit a marked distrust in use of online channels to make bookings, especially around payment and pricing terms and booking experience compared with offline channels. Consequently, their online usage drops between the research (>86 percent online influence) and booking phases (~40 percent offline bookings).

How travel businesses need to adapt to the needs of online consumers

The report cites five major shifts that marketers need to make to market to the online travelers – First, alleviate consumer concerns by improving the booking and payment experience to build a trusted brand and increase adoption. Second, they need to address the negative customer perception issues by mass customization to drive higher share in the segment. They also need to utilize consumer technology to penetrate mass segments (standardize, enable sharing), reach non-transactors (build offline presence), and create new user access.  Moreover, they need to find innovative and frugal ways to package the experience to increase both adoption and retention.  Finally, they need to create a robust digital backend to adapt to customer needs across the purchase journey.

“The contribution of travel and tourism’s spend in India has reached developed market levels, from 6.7percent of GDP in 2013 to 9.4 percent in 2018. This growth, combined with a rapidly growing internet user base and adoption of online bookings will lead to $24 billion in incremental revenues through online channels by 2021. In order to benefit from this trend, businesses need to actively increase new user adoption and increase penetration in the existing user base across the purchase journey.” Joydeep Bhattacharya, partner Bain & Company said.

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