Britain travel tax cut offers relief for New Zealand tourism industry

New Zealand tourism chiefs on Thursday welcomed the British government’s decision to cut taxes on long-haul flights to the country, saying it would encourage a growth in tourism.

The British government said the air passenger duty (APD) on New Zealand flights would fall from April 1, 2015, from 97 British pounds (160 US dollars) to 71 pounds (117 US dollars) per person.

“I have consistently advocated for such a change, which will benefit traveling New Zealanders and encourage more tourists to come to New Zealand,” New Zealand Prime Minister and Tourism Minister John Key said in a statement from his office.

Britain continued to be an important tourism market for New Zealand, but in recent years, tough economic conditions had depressed growth in tourism numbers, not helped by the levy, he said.

Britain is New Zealand’s fourth largest visitor market with 191, 632 arrivals last year and third largest in terms of spend with a total estimated spend of 608 million NZ dollars (518.68 million US dollars).

Before the extra air passenger duties were introduced in 2008, Britain was New Zealand’s second largest visitor market by both arrivals and spending.

In a joint submission to the British Treasury in 2011, the Tourism Industry Association New Zealand (TIA), the Tourism Export Council, the New Zealand Airports Association and the Travel Agents Association of New Zealand argued that the APD, combined with other air travel taxes, was a strong disincentive for British visitors to travel to New Zealand.

“Taxes like the UK APD and the Australian passenger movement charge are a handbrake on growing sustainable air connectivity,” TIA chief executive Martin Snedden said in a statement Thursday.

“The UK has been a tough market for us over the last five years, not helped by the high level of the APD. When taken with the strength of our dollar, it has made this market challenging,” Lesley Immink, chief executive of the Tourism Export Council, said in a statement.

Britain travel tax cut offers relief for New Zealand tourism industry

Thailand lifts state of emergency in Bangkok, tourism industry hopeful

A woman checks out a wax sculpture of U.S. actor Will Smith sitting in a tuk-tuk outside Bangkok’s Temple of the Emerald Buddha. Madame Tussauds Bangkok set up the sculptures to promote the museum to tourists in the wake of the political crisis.

A 60-day state of emergency imposed on Bangkok and several surrounding areas has come to an end, giving the tourism industry hope that lagging arrival numbers in the Kingdom will improve.

The state of emergency came into effect on January 22 in the run-up to the February 2 general election — held amid widespread anti-government protests throughout the city — and gave authorities the power to impose curfews, detain suspects without court permission, censor media and declare parts of the capital off limits.

It has been replaced with the Internal Security Act (ISA), which will be in effect until April 30.

This still gives authorities power to impose curfews, set up checkpoints and restrict the movement of demonstrators but is considered less severe.

The Bangkok Post reports the ISA is needed to maintain law and order during the Senate election on March 30 and reruns of the general election, expected in April.

The caretaker government, led by Prime Minister Yingluck Shinawatra, said the decision to lift the state of emergency a few days early was designed to reverse the negative impact Thailand’s political crisis has had on the country’s tourism industry and overall economy.

“The use of the Internal Security Act will help project a positive image of Thailand, particularly in terms of business, investment, and tourism,” said the government in a media briefing on the situation.

Tourism industry expected to recover quickly

More than 20 people have been killed and hundreds wounded since protests erupted in Bangkok in November, hitting the tourism industry hard as the news made global headlines.

The November to February period is Thailand’s tourist high season — record numbers of visitor arrivals were anticipated.

Since the protests started, tourist arrival expectations for 2014 have been revised downward 3% from 28.1 million (a prediction made in July 2013) to 27.5 million, according to a report by the state-runNational News Bureau of Thailand.

Ending the emergency decree will help the tourism industry recover within a few months, it added.

In February, demonstrations were scaled back and various protest sites throughout the city closed. Anti-government protesters, still intent on ousting Yingluck, now congregate at central Bangkok’s Lumpini Park.

“Provided the protests remain subdued then we believe tourism in Bangkok (it was relatively unaffected in the rest of the country and in the beach resorts) will gradually pick up,” Andrew Yates, head of equities at Asia Plus Securities, told CNN.

The lifting of the emergency degree should also have a positive impact on the conference and incentive travel business, which brings a lot of high end travelers to Thailand, he said.

“These trips are generally discretionary travel or can be relocated quite easily,” said Yates.

“They are extremely sensitive to political disturbances or health issues like SARS and avian flu.”

Insurance is another major issue for many tour groups, as travel insurance tends to be invalidated by civil disturbances and a state of emergency would meet the definition of most policies, he said.

“Even though a tourist’s chances of being killed or injured in a protest are slight, it happened to several in 1991, and most tour operators won’t take any chances. There is also the risk of being stuck, if airports are shut down.”

MORE: Thailand in crisis: What’s happening on the ground and why

Travel advisories now a key issue

“The removal of the state of emergency decree is clearly encouraging for Thai Tourism stakeholders,” Martin Craigs, CEO of the Pacific Asia Travel Association (PATA), told CNN.

“However the key issue is how this will effect travel advisories.”

Yates had a similar take.

“Thailand would want to see either a lifting or easing of the travel warnings issued by various embassies, this should help [win] back the mass market tourists, especially from China who are more concerned with safety than a cheap room,” he said.

“These warnings were in relation to the street protests, not the SOE itself.”

More than 40 countries issued warnings to their citizens relating to Bangkok since protests began in November.

In January, Hong Kong gave the Thai capital a “black” designation — a dubious honor shared only with Egypt, the Philippines and Syria.

Martin says PATA research showed air travel bookings from Hong Kong to Thailand went down in January over 50%. On Wednesday, Hong Kong updated its warning.

“In view of the latest situation in Bangkok, and the fact that the state of emergency in Bangkok and the surrounding provinces was lifted by the Thai Government, the Hong Kong Special Administrative Region Government today (March 19) adjusted the Outbound Travel Alert (OTA) for Thailand (Bangkok) to amber — the same as for other parts of Thailand,” said a government spokesman.

Thailand’s Tourism Authority is reportedly now planning a large marketing campaign to promote the country globally. The main theme will be “Thailand: Best Friend Forever (BFF).”

“While the state of emergency has caused little inconvenience to travelers to Thailand, its lifting is a sign that things are fast returning to normal in Bangkok,” said Thawatchai Arunyik, governor of the Tourism Authority of Thailand.

Thailand lifts state of emergency in Bangkok, tourism industry hopeful

Travel deals: From a Moroccan city break to a beach break in Turkey

Get me out of here

Now… Escape to an Atlantic island

On 25 March, there’s a week in Cape Verde – an archipelago of 10 islands scattered in the Atlantic. The price of £785pp includes B&B in a sea-view room at the Marine Club Hotel, on the main island of Boa Vista, with Thomson flights from Gatwick and transfers.capeverde.co.uk

Soon… Loll about on sleepy Lombok

In April, the rainy season on the Indonesian island of Lombok ends. A 10-night stay at the Qunci Villas on Mangsit Beach costs £1,230pp – or £1,495pp for a private pool villa. Transfers and flights with Singapore Airlines from Heathrow are included.turquoiseholidays.co.uk

Later… Embark on a grand tour of Europe

On 18 May, Contiki has a grand tour for travellers aged 18-35 that visits five European cities – Paris, Amsterdam, Berlin, Prague and Rome – in 13 days. The price of £1,599pp includes bus travel, hotels, transfers, some meals and sightseeing, but not travel to Paris and back from Rome. contiki.com

Deals of the week

Less than £200… Take a Moroccan city break

Absorb the sights and sounds of Marrakech on a three-night city break for £199pp. The deal with Qwerty Travel includes B&B at the Dellarosa Hotel, outside the Medina in the Ville Nouvelle, with flights from Luton or Stansted, between 28 April and 11 July.qwertytravel.com

Less than £500… Nip off to Normandy next week

For £302pp, there’s a short break to Normandy with Inntravel. Departing on 29 March, the deal includes two nights’ half-board at the half-timbered Auberge de l’Abbaye in Bec Hellouin, with a bottle of champagne and P&O Dover-Calais ferry crossings with car.inntravel.co.uk

Less than £1,000… Bag a beach break in Turkey

Exclusive Escapes has a week in the Turkish resort of Kalkan on 26 April for £700pp. The deal includes B&B at the Kalkan Regency with charter flights from Stansted or Manchester to Dalaman, transfers, a day’s gulet cruise and a Turkish hammam. exclusiveescapes.co.uk

Travel deals: From a Moroccan city break to a beach break in Turkey

Middle East travel industry – mobile and last-minute bookings kick in

In my recent visits to Dubai, I have sensed growing excitement around the nascent online space. The opportunities are huge and diverse in the Middle East travel sector.

More investors are eying the industry and there are new players entering, hoping to find their niche in the multi-million dollar travel market in the region.

I find it interesting the parallels I am seeing between markets in Asia and those in the Middle East. I see similar patterns of evolution.

A growing middle class, leapfrogging due to rampant smartphone adoption, low cost airlines emerging and a younger generation getting online – all these factors are converging to create opportunities for those smart and fast enough to adapt to the changing travel value chain.

Right now, the big three Online Travel Agents (OTAs) are booking.com (by a long stretch, I am told), followed byExpedia and Agoda. Other Asia-based online brands are coming in – Wego, MakeMyTrip, Cleartrip, andHotelscombined to name a few. From Africa, Travelstart is also making a bid for the region.

There’s no big local OTA as such. Is there an opportunity for a Ctrip in China or MakeMyTrip in India play?

Sharjah-based OTA Musafir.com has ambitions to become the ‘MakeMyTrip of the Middle East’ by 2018. Recently, Musafir launched its operation in India with a $16 million investment, and it also roped in Indian cricket legend Sachin Tendulkar as its brand ambassador.

Musafir co-founder Albert Dias believes the Middle East online travel market is at a tipping point where consumers are now more willing to book their trips online and his company, launched in 2007, is in good position to ride the wave.

Dias adds:

“Consumers are becoming more comfortable with the idea of booking online. Adoption of smartphones and more online travel brands coming into the market, educating consumers, are opening the minds of people to the OTA model.”

Mobile is where players are making huge bets on.

Cleartrip launched in the Middle East in 2011 with a $10 million investment. Senior VP at Cleartrip, Tarique Khatri, says:

“If you remove the Indian domestic business sector, the Middle East is ahead of India in terms of mobile traction.

“Mobile accounts for up to 15% of Cleartrip’s bookings in the Middle East and 25% of searches. Customers seem more confident of booking on mobile than on the website. Having localised payment options helps of course.

“We have customers whose first experience of Cleartrip is with mobile. There’s a certain set of customers on mobile who are more confident about booking online.”

Emirates, on the other hand, is believed to be close to launching a new iPad app. Sameer Poonja, head of digital technologies, said the airline was seeing big uptakes in mobile bookings and currently a significant portion the airline’s business comes through its branded website. Poonja adds:

“Mobile is very exciting – I pay all my bills on mobile for example. We expect that tablets will drive even more bookings because of the user interface.”

Last minute air and hotel bookings are also making a strong showing – the Middle East traveller, I am told, is notoriously last minute – so is there an opportunity for a HotelTonight model?

Vacation rentals? This place is full of expensive second or third homes, lots of inventory around. An Uber model? I hear some players are coming into that space. Airbnb clones? I understand a law is about to be enacted that would see regulations around sub-lets relaxed.

I get the feeling that like the desert that lies beyond the city grid, the online travel market in the Middle East is as wide open as our imagination allows it to be – and this is what we will uncover at our first WIT Middle East.

Middle East travel industry – mobile and last-minute bookings kick in

Travel & Tourism in New Zealand to grow 2.8% during 2014

Travel & Tourism in New Zealand to grow 2.8% during 2014

The New Zealand Economic Impact Report underlines the economic and social relevance of the Travel & Tourism industry in New Zealand as well as its potential over the next decade.

In 2013 in New Zealand:

• The total contribution of Travel & Tourism to GDP was NZD29.8bn, (13.8% of GDP).

• The total contribution of Travel & Tourism to employment, including jobs indirectly supported by the sector was 374,793 jobs (16.6% of total employment).

• Travel & Tourism investment was NZD2.0bn, or 4.8% of total investment. It is projected to rise by 7.8% in 2014.

Each year, WTTC undertakes an economic analysis of the impact of the Travel & Tourism sector in 184 countries.

In 2013, globally:

• Travel & Tourism contributed US$7.0trillion to the global economy in 2013 and is expected to grow by 4.3% in 2014.

• The total global contribution of Travel & Tourism to employment, including jobs indirectly supported by the industry was 265,835,000 jobs (8.9% of total employment)–one in 11 of all jobs on the planet.

David Scowsill, President & CEO of WTTC, says 2013 proved another successful year for the sector; “Travel & Tourism’s contribution to the world economy grew for the fourth consecutive year in 2013, helped especially by strong demand from international travellers. Visitor exports, the measure of money spent by these international tourists, rose by 3.9% at a global level year on year, to US$1.3 trillion, and by over 10% within South East Asia. It is clear that the growth in Travel & Tourism demand from emerging markets continues with pace, as the burgeoning middle-classes, especially from Asia and Latin America, are willing and more able than ever to travel both within and beyond their borders.”

However, Mr Scowsill reminds governments that they need to take action; “The outlook for Travel & Tourism for the next ten years looks extremely favourable, with growth forecast of more than 4% annually. This will require Governments to implement more open visa regimes and to adopt intelligent rather than punitive taxation policies. It is also critical that public and private partnerships ensure that long term infrastructure and human resource needs are planned responsibly and sustainably, to absorb the inevitable growth that we are forecasting. If the right steps are taken, Travel & Tourism can be a true force for good.”

The 2014 Economic Impact reports for 184 countries and 24 geographic and economic regions of the world is now available on our website as www.wttc.org/research

Travel & Tourism in New Zealand to grow 2.8% during 2014

Dubai won't be 'a ghost town' after Expo 2020: tourism boss

Dubai’s tourism boss has insisted the emirate will not become “a ghost town” after it hosts World Expo 2020, defending plans to almost double the number of hotel rooms in the emirate.

Dubai is spending $8bn on infrastructure in the lead up to the international event and has announced measures to help developers produce about 80,000 new hotel rooms by the time of the Expo.

Dubai Tourism and Commerce Marketing (DTCM) director general Helal Saeed Almarri said the rooms would not be left empty following the event, which is expected to see 25m visitors during the six-month duration.

“None of these rooms are being built specifically for the Expo or any one event,” Almarri told Bloomberg.

“They’re being built purely because of the core tourism numbers. Dubai won’t turn into a ghost town after the Expo.”

DTCM announced last year it intended to double the number of tourists visiting annually to 20m by the end of the decade.

About 11m tourists visited last year, up 11 percent from 2012.

Tourism accounted for about 20 percent of gross domestic product in 2013 and is forecast to increase between 7-9 percent each year until 2020, Almarri said.

Dubai airport also is seeing record passenger traffic, with a 14 percent rise in 2013 and monthly figures now well over 6m passengers.

DTCM said earlier this month the number of hotel rooms and apartments at the end of 2013 was 84,534 at 611 establishments, compared to 80,414 rooms at 599 establishments in 2012.

Under the current development pipeline for 2014-2016 there will be an additional 141 hotel establishments added to the market, including 99 hotels and 48 hotel apartments bringing the total to 751 hotel establishments and just under 114,000 rooms.

“In order to provide accommodation for our targeted visitor numbers for 2020, we estimate we need a total of between 140,000 to 160,000 rooms and will work closely with the investment industry to make this happen,” Almarri said.

The range of hotel offerings, however, also needed to continue to expand to attract a wider market of visitors, the department said.

In September 2013 the government announced a concession on the standard 10 percent Municipality Fee levied on the room rate for each night of occupancy as an incentive for developers to bring forward construction timelines for three and four-star hotels.

This was followed by a series of directives from Dubai ruler Sheikh Mohammed bin Rashid Al Maktoum in January this year designed to enhance and streamline hotel investment in the emirate.

The Tourism Dirham scheme also will come into operation from March 31 and is seen as a method of raising funds for the international promotion and marketing of Dubai and to drive the growth of its tourism and trade industries.

The fee will vary according to the type of hotel establishment.

At five-star hotels, the fee per occupied room per night will be AED20; at four-star hotels it will be AED15; and at three-star hotels the fee will be AED10.

The AED20 fee will also apply to deluxe hotel apartments. Superior hotel apartments will pay AED15 per occupied room per night and standard hotel apartments will pay a Tourism Dirham fee of AED10.

The lowest charge will apply to one-star/budget hotels and guest houses, which will be charged AED7 per occupied room per night.

Dubai won't be 'a ghost town' after Expo 2020: tourism boss

Mainlanders still lack access to Taiwan tourist information

Tourists from mainland China pose in front of Taipei 101, April 30, 2013.

Two friends of mine, one from the United States and the other from mainland China, who plan to visit Taiwan on a backpacking trip, recently asked me to provide them with some tourist information to help them plan their schedule. I replied by sending them almost the same information, but got two very different results. The American friend said the information was abundant and easily accessible, adding that it is no wonder Taiwan often gets good international press; my friend from the mainland however had difficulty in accessing Taiwan’s official tourism information directly — an example being that the website of Songshan Airport in Taipei was off limits.

Such inconvenience in getting tourism information may affect the willingness of mainland tourists to come to Taiwan, and this is a matter to which Taiwan’s government, which is promoting independent travel from across the strait, should pay special attention.

In recent years, the number of the mainland visitors to Taiwan has kept on rising. According to government statistics, last year more than 2.85 million mainlanders visited Taiwan, but group tourists declined to 1.69 million after the initiation of the Free Independent Traveler scheme. The sharp increase in the number of backpackers, which reached 522,000, helping cover the losses from the decline in group tourism. However, compared with the more than 10 million independent mainland tourists who visit Hong Kong each year, there is still plenty of room for Taiwan to grow.

As the mainland’s group tourists are mostly controlled by travel agencies, with hotels, transportation, shopping sites and restaurants mostly decided by the mainland and Hong Kong agencies, their contribution to Taiwan’s economy is comparatively limited. But backpackers can freely arrange their own schedule and choose the options that suit themselves to experience the real Taiwanese way life, thus directly boosting the development of Taiwan’s tourism-related industries and generating comparatively higher benefits.

The biggest difference between backpackers and group tourists is that the former allows them to freely collect tourism information. Therefore, the success of independent travel relies heavily on the convenience of planning a trip beforehand. In recent years, Taiwan has been actively developing its tourism industry, with the Tourism Bureau and domestic travel agencies building up their websites and offering foreign language services, providing all manner of information and introducing the latest activities on offer — a move which has met with affirmation from most foreign tourists. However, because of China’s internet censorship, many mainland residents have been unable to access tourist websites set up by the Taiwanese government.

Moreover, in Taiwan we frequently use social networking websites, YouTube, forums or blogs to share information about the best places to eat and visit. The country’s media has plenty of similar coverage, but on the mainland all these websites are blocked. People in mainland China generally know Taiwan via their microblogging services, and domestic social networking and video-sharing sites such as Renren, Kaixin, Youku and Tudou, which have plenty of content about Taiwan shared by mainland tourists.

After checking these mainland websites, I found that although most of the content shared by mainland tourists about Taiwan is positive, it is nonetheless full of wrong or incomplete information, and even rumors that may cause misunderstandings. In addition, some local businesses have launched exaggerated ads in the mainland resulting in cases of fraud to which some mainland tourists have fallen victim.

In order to let prospective mainland tourists obtain correct and good-quality information about Taiwan, I suggest the government set up tourism websites which are not in the domain .gov, which are inevitably blocked by Beijing’s censors. Taiwan’s government should also actively pursue negotiations with the mainland authorities to relax controls on Taiwan’s tourism websites. Moreover, the government should set up microblogging services for Taiwan tourism and set up websites in simplified Chinese characters to actively share tourism information and buzz about the latest activities; celebrities should be employed as spokespersons, and more attention should be paid to answering questions from mainland internet users.

Mainlanders still lack access to Taiwan tourist information