For Immediate Release | Official News Wire for the Travel Industry

Where press releases are breaking news

Jamaica earns to date US$3.1 billion with 3.4 million in arrivals

by

Jamaica Tourism Minister, Hon. Edmund Bartlett has announced that preliminary figures from the Jamaica Tourist Board indicate that the island has earned US$3.1 billion to date. The data also indicates that from January to October 2019, Jamaica welcomed 3.4 million visitors to the island.

“We are very proud to announce, that we have hit the US$3.1 billion mark for earnings. We had already broken the 3 million mark for arrivals, so we are on track to surpass our target,” said the Minister. 

He added that,” December is usually a strong month for us [Jamaica] and it begins the high season when the rates are higher. In all probability we will more than likely make our US$3.7 billion projection for this year and with a little luck we might be on the edge for US$4billion.”

The Minister notes that this puts the island on track to surpass the Tourism Ministry’s five-pillar growth strategy, which when proposed in 2016 was projected to result in visitor arrivals increasing to five million in five years and earning US$5 billion.

The strategy, which targets securing five million visitors by 2021, is utilising the five tourism pillars, which includes tapping into new markets; developing new products; promoting investments and building new partnerships.

Minister Bartlett has referred to this strategy as the Ministry of Tourism 5x5x5 growth plan for the sector.

“The market diversification programme that the Ministry has embarked on over the last three years, based on our 5x5x5 strategy is going apace. We targeted South America as one of the major new frontiers that we are going to spend some time on and get some good returns.

“Already the returns are coming because we are up 23% in South America which is really strong. We have also been able to get 11 flights a week from COPA coming out of Panama for Kingston and Montego Bay,” said the Minister.

He added that he would be leading a small team over the weekend in Lima, to inaugurate the first direct flight from the destination to Montego Bay, Jamaica by LATAM Airlines. The flight, which arrives on Monday, will begin a three-rotation programme by LATAM into Montego Bay.

The Minister made these announcements earlier today during a Tourism Working Group (TWG) Meeting hosted at his New Kingston Office.

The TWG was developed to assess various issues in Jamaica’s rapidly growing tourism sector and is headed by Prominent PricewaterhouseCoopers (PWC) partner, Wilfred Baghaloo.

For more news about Jamaica, please click here.

Media Contact:

Corporate Communications Division

Ministry of Tourism

64 Knutsford Boulevard

Kingston 5

Telephone: 920-4924,

Fax: 906-019

The Development and Promotion of MICE in Thailand

by

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.

​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.

Travel News | eTurboNews

Indian travelers expected to spend $136 billion by 2021

by

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

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

by

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.

Travel News | eTurboNews

New team member at The Pod Hotels

by

The Pod Hotels is striving to address the rapidly-increasing demand for affordable lifestyle hotels targeted at progressive-minded and budget-conscious travelers who are creative and ambitious and who maintain high expectations when it comes to authentic experiences, smart design and intuitive technology.

As part of this progress, BD Hotels today announced the appointment of Rani Gharbie as the Head of Acquisitions & Development for The Pod Hotels, BD Hotel’s highly profitable micro-hotel concept to replicate this successful business model in even more key markets including Miami, San Francisco, Chicago, Austin, Boston, Nashville, Seattle, Montreal, Toronto, and Mexico City, amongst others.

Gharbie formerly oversaw development and acquisitions for North America at Virgin Hotels where he actively contributed to grow the brand’s footprint in key markets.

As Head of Acquisitions & Development working closely with BD Hotels owners Richard Born and Ira Drukier, Gharbie will be responsible for identifying potential investment opportunities and bringing together strategic partners and investors to fund future projects in numerous markets. He will leverage BD Hotels’ expertise in hotel development, investment and operations to expand The Pod Hotels brand across the country and eventually globally.

“Rani joins us at a pivotal time as we scale The Pod Hotels portfolio exponentially in North America” said Richard Born, Owner of BD Hotels. “He will undoubtedly be a tremendous asset as he brings over 20 years of experience in hotel acquisitions, development and operation.”

“I’m looking forward to expanding the profitable model Richard and Ira created to key markets nationwide,” said Gharbie. “I see great growth potential for the brand as there is an increased desire from today’s travelers to stay at smart, innovative brands like The Pod Hotels.”

Prior to joining Virgin Hotels, Gharbie was the Managing Director and Founder at Cedar Funds, a New York City based development and investment firm with a focus on progressive hotel and real estate assets, as well as regional Director of Development with InterContinental Hotels Group (IHG). In addition, Gharbie is an Adjunct Professor at Columbia’s Masters in Real Estate Development program, where he teaches the spring course Private Equity Development, Hotel Focus. He holds a Masters Degree from the program, an MBA from the HEC Business School in Montreal, a Bachelor degree in Hotel Management from the Glion Hotel School in Switzerland, and a Certificate in Hotel Real Estate Investments and Asset Management from Cornell University in New York.

The Pod Hotels currently has five properties in the portfolio, three of which opened over the past two years (the brand’s flagship Pod Times Square opened in January 2018; Pod DC and Pod Brooklyn opened in 2017), with the brand recently announcing two more hotels in the direct pipeline (Pod Philly opening in fall 2019 and Pod LA slated for 2020). With its functional guestrooms, vibrant communal space and flexible design, The Pod Hotels presents superior investment returns when compared to legacy hotel brands of similar positioning.

Travel News | eTurboNews