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Category: General

Retail News Asia is committed to providing both local and global retailers with the latest General Retail news throughout the Asian market. This on a daily base.

  • Japan retail sales cause concern

    Japan retail sales cause concern

    Japan retail sales in August rose 0.8 per cent according to official data released on Wednesday.

    That was a full 0.4 per cent – or one third – below market expectations, fuelling concerns about the state of the nation’s fragile economy.

    The figure from the Ministry of Economy, Trade and Industry followed a healthier 1.8 per cent increase in July.

    Once seasonally adjusted, retail sales were flat in August – worse than the anticipated 0.5 per cent increase, and well down on the 1.4 per cent rise of July.

    ‘Large retailers’ reported sales were up 1.8 per cent year on year, near the 2.1 per cent of July and ahead of the forecast 1.3 per cent.

    The only bright news on Japan’s retail sales front in recent month has been the increased spending by Mainland Chinese tourists, opting to take vacations there or Europe instead of their more traditional destination, Hong Kong.

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  • Vietnam retail sales strengthen

    Vietnam retail sales strengthen

    Vietnam retail sales rose 9.8 per cent in the first nine months of this calendar year, underpinning a raft of healthy economic data for the nation released this week.

    Inflation reached zero in August, for the first time ever, which encouraged retail sales growth.

    Gross domestic product rose 6.81 per cent in the third quarter, slightly higher than the second quarter’s revised figure of 6.47 per cent, according to data released by the General Statistics Office in Hanoi.

    Analysts say the both sets of data show signs the overall economy is generally picking up.

    “Vietnam is the only country with strong export growth amid contracting exports among its regional peers,” according to an ANZ Bank research note published this week.

    The nation’s economic growth rate hit 6.5 per cent in the first nine months. Exports rose 9.6 per cent, imports climbed 15.9 per cent and there was a trade deficit of $100 million in September compared with a surplus of $347 million in August.

    The Asian Development Bank forecasts Vietnam’s growth to accelerate during the second half of this year due to rising private consumption, export-oriented manufacturing, and Foreign Direct Investment.

    However, it’s not entirely good news. Huynh The Du, a lecturer at the Fulbright Economics Teaching Program in Ho Chi Minh City warned of the dangers of zero inflation: “It’ll become a challenge for economic expansion later if inflation continues to stay at this slow pace,” he said.

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  • Philippines eyed as shopping hub

    Philippines eyed as shopping hub

    The Philippine Retailers Association (PRA) is teaming up with the Department of Tourism and the Tourism Promotions Board (TPB) to turn the country into a shopping hub in the region by reviving the Philippine Shopping Festival.

    The shopping festival is being held in line with the DOT’s Visit the Philippines 2015 campaign and PRA’s efforts to develop the Philippine retail industry, which contributes about 15 percent to the country’s gross domestic product (GDP).

    PRA president Lorenzo Formoso, who is also chief operations officer of Duty Free Philippines, said the real objective of the Philippine Shopping Festival is to increase awareness of what the country offers in terms of shopping.

    “Before we get into the numbers, we have to be top of mind,” he said.

    Formoso views the years 2015 and 2016 as a “sweet spot” for the retail industry because more Filipinos will be working, which means more consumer spending.

    He said the retail industry can grow even faster than 5 to 8 percent because of the number of malls that are coming up in the next so many years.

    “At least 20 new malls in the next couple of years, that is the minimum. They’re putting up malls in the major cities,” he said.

    The Philippine Shopping Festival 2015 will be held from October 23 to November 8 in line with the PRA’s Asia Pacific Retailers Convention &Exhibition (APRCE) and the Asia-Pacific Economic Cooperation (APEC) events happening in the country.

    It will be a two-week sale where shopping malls and retailers in the Philippines will offer different discounts and promos to entice people to shop.

    He said the shopping festival will not only benefit the retail and tourism industries but also contribute to other industries like hotels and transportation, thereby helping boost the economy.

    Formoso said APRCE expects to attract to the festival some 2,500 foreign and local retailers and executives on top of the 4,000-plus delegates for the APEC and the coming Christmas season.

    He said the event can help to improve tourism although he admitted that tourism numbers did not dramatically exceed the targets as expected because of some problems. Nonetheless, he remains optimistic because tourism spending has increased.

    “Before, tourists stayed here for a three-day stay but now it is six days. That is double.

    Even if we’re looking at five million [tourists], on spending, if you peg it at the average purchase, it gets to be double because of the number of days spent,” Formoso said.

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  • Garuda Indonesia to Launch Promotion on Friday

    Garuda Indonesia to Launch Promotion on Friday

    Garuda Indonesia will launch a three-day online sale on Friday.

    Between 9 and 11 October 2015, discounted airfares to 37 Indonesian destination will be available for travel between 13 October 2015 and 31 May 2016.

    The 7-month validity period offers the perfect opportunity to book and save on fares for short getaways to popular Indonesian hotspots such as Bali. Flights to the scenic island will be on sale from Sin$130 for a one-way flight and Sin$230 for a return, while seats to Surabaya will be available from Sin$110 for a single ticket and Sin$210 for a return.

    Travellers will be able to fly to Indonesia’s capital city Jakarta one-way from Sin$110, with return flights priced at Sin$185.

    Travellers can also take advantage of the online seat sale to discover other interesting Indonesian destinations such as Lombok, Jogjakarta, Makassar and beyond from Sin$180 one-way onwards via Jakarta or Bali.

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  • Now AirAsia can fly again in Japan

    Now AirAsia can fly again in Japan

    AirAsia Japan Co Ltd, which recently reorganised its shareholding structure, has received the air operator’s certificate from the Ministry of Land, Infrastructure, Transport and Tourism.

    AirAsia said in a statement that AirAsia Japan was scheduled to begin operations from its base at Chubu Centrair International Airport in Aichi prefecture to Shin-Chitose Airport in Sapporo, Sendai Airport in Sendai and Taiwan Taoyuan International Airport in Taipei in spring 2016.

    AirAsia group CEO Tan Sri Tony Fernandes said: “We are very excited to be back in Japan. We have fantastic partners here and we are united in the vision to change the way people travel in Japan.

    “Centrair Airport is a fantastic base and with our new routes, we look forward not only to enable the Japanese to enjoy our direct destinations but to connect them to the rest of Asia and beyond on our extensive network.”

    AirAsia first tried to enter the Japanese market by collaboratng with All Nippon Airways Co Ltd (ANA) in July 2011, but AirAsia withdrew from the joint venture in June 2013 due to “different management styles”.

  • Philippines retail to get yearly revenue boost from nationwide grand sale

    Philippines retail to get yearly revenue boost from nationwide grand sale

    Philippine retail will get a yearly revenue boost from the recently launched nationwide grand sale called “Philippine Shopping Festival,” which is being eyed to become a yearly event.

    The Philippine Retailers Association (PRA) and Department of Tourism-Tourism Promotions Board (DOT-TPB) partnered to revive the Philippine Shopping Festival and decided to make it an annual event to make the Philippines a new shopping destination in Asia Pacific region.

    PRA Chairman Roberto Claudio said the Philippine Shopping Festival 2015 will put the Philippine retail close to the sophisticated and globally known shopping industry of Singapore and Hong Kong.

    In Singapore, there is an eight weeks event called Great Singapore Sale, which usually occurs in the last week of May until the third week of July

    An international report showed that shoppers, a mixture of foreigners and locals, had spent a five-year high of US$2.12 billion using their MasterCard cards during the Great Singapore Sale this year.

    To be held on October 23 to November 8, the Philippine Shopping Festival will be a two weeks sale where shopping malls and retailers in the country will offer different discounts and promo to entice people, mostly foreign tourists, to shop.

    Claudio said that the first attempt of PRA to do something like this happened two to three years ago but it wasn’t that successful.

    Now, the group and the DOT are banking on the two big regional events that will happen in the country in November as this year’s major drivers for the festival.

    The events that he was talking about are Asia Pacific Retailers Convention and Exhibition (APRCE) and the Asia Pacific Economic Cooperation (APEC) meetings which will both bring thousands of foreign delegates.

    Claudio emphasized that as per DOT data, each foreign tourist visiting the country allocates a daily shopping expenditure of US$300.

    “Just imagine if thousands of foreign delegates will spend US$300 a day just for shopping,” Claudio said.

    Around 94 malls will be participating in the nationwide grand sale.

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  • International “IoT” Conference In Hong Kong Next Week

    International “IoT” Conference In Hong Kong Next Week

    The Internet of Things (IoT) is regarded as the third technological advancement, after computers and the Internet, which sets a new trend for the ICT industry. Through IoT technology, electrical products gain access to networks, enhance remote capabilities and become “smarter” by integrating various kinds of information and resources via the Internet.

    In view of recent IoT applications and their huge development potential, the Hong Kong Trade Development Council (HKTDC) will organise the “IoT Revolution – How does it benefit your business?” international conference on 13 October. The conference is part of the opening day activities of the four-day HKTDC Hong Kong Electronics Fair (Autumn Edition) at the Hong Kong Convention and Exhibition Centre (HKCEC). International speakers from renowned brands and enterprises including Hewlett-Packard, Intel, Microsoft, Philips, Samsung and Texas Instruments China R&D will share their views on the future trends and applications of IoT.

    Synergy with the Hong Kong Electronics Fair

    “The Hong Kong Electronics Fair (Autumn Edition) is a once-a-year spectacular event for the electronics industry,” said Benjamin Chau, Deputy Executive Director, HKTDC. “Electronics suppliers from all over the world will showcase their most sophisticated technology and electronics products. IoT, as the on-coming wave for the electronics industry, can be a kingmaker that allows suppliers and service providers to seize the opportunity to lead the market. With the fair attracting industry players from around the world, the conference aims to encourage entrepreneurs to grasp the opportunity, and release more advanced and smarter products so as to add value, not just for companies but to also enhance our way of life.”

    Looking to the future of IoT

    The theme of the conference is “Global Trend on IoT Development & the Arising Opportunities”, which introduces the latest developments and applications of IoT technology to the audience. Speakers include Yuki Hon, Senior Technology Evangelist, Microsoft Hong Kong Limited, Ravi Gokhale, Director and Head of Texas Instruments China R&D, and Vivek Sharma, Global Director, Channel Business Development Group, Intel Sales & Marketing Group.

    Ms Hon believes enterprises across nearly every industry ranging from retail, to healthcare and public services can benefit from IoT. “SMEs can build on the infrastructure they already have or subscribe cloud-based IoT services, add more devices to the ones they already own and get more from the data that already exists. By leveraging their existing investment, SMEs can apply IoT with a limited budget,” said Ms Hon.

    In the afternoon, the conference continues with the theme “Future Vision of the IoT”. Senior management from leading enterprises will reveal the future trends of IoT. Speakers include Curtis Sasaki, Vice President of Ecosystems and IoT General Manager, Samsung Electronics, Jo Shum, Senior Director and General Manager, Lighting Hong Kong and Macau, Philips Electronics HK Limited, and Fred Sheu, General Manager, HP Software, Hewlett-Packard HKSAR Limited.

    Mr Sasaki, a renowned speaker on memory and next generation consumer products, says, “Samsung is helping to enable our connected future by providing integrated hardware and solutions like the Samsung ARTIK and Samsung SAMIIO platforms, which jump-starts development for the Internet of Things. The true winners in IoT will be those companies who move quickly, and think ‘out of the box’ about how they can best use these technologies to provide convenience, solve real problems, and make a dent in the challenges of today’s world.”

    Ms Shum explained that the concept of IoT has been applied in lighting systems for a long time, from the initial closed-circuit lighting system connected to other management systems, to the development of a wireless system via the Internet with more functions and applications. Apart from the energy-efficient system, which can turn lights on or off through touch or motion sensors, the new generation of IoT-enabled systems can adjust the light according to the outdoor lighting and the timings of sunrise and sunset. It can even adjust the brightness to match the mood of a video. Nowadays, the IoT-enabled lighting goes beyond home applications and extends to the retail environment and service industry. For example, the light can be adjusted to highlight the special features of the showcased product in retail store.

    Hong Kong companies embrace IoT

    For smart homes with IoT capability, many appliances are connected to the Internet via Bluetooth. Bluegic, a brand under Lincogn Technology Co. Limited, seized the opportunity and developed an app that combines low-power-consuming Bluetooth 4.0 with home electronics. The application of IoT has become the competitive edge for the company. They also won the Silver Award in the Hong Kong IoT Awards 2014 and a merit certification in the ICT Startup (Consumer Market) category of the Hong Kong ICT Awards 2015.

    Ambi Labs, another local company that focusses on IoT, uses the technology to produce smart air conditioning systems. Their flagship product, Ambi Climate, can provide the most suitable air conditioned environment by collecting interior data including temperature, humidity and air ventilation as well as information about outdoor weather conditions. This is used to automatically achieve the optimum setting for the air conditioner. Two local entrepreneurs, Colin Ng, Co-Founder of Lincogn Technology Co. Limited, and Julian Lee, CEO and Founder of Ambi Labs, will share their insights on IoT, based on their start-up experience in the conference.

    Free Admission

    Those interested in joining the IoT conference can register online via the HKTDC Hong Kong Electronics Fair (Autumn Edition) website. Admission is free, and seating will be provided on a first-come-first-served basis.

    Apart from the conference, IoT takes centre stage at the Electronics Fair (13-16 October) with the debut of Smart Tech zone featuring innovative devices ranging from a Hong Kong-designed smart Wi-Fi photo frame, to smart cups that automatically record nutritional information of a beverage. The zone will be located at Convention Hall Foyer and Mezzanine of the HKCEC, close to the IoT conference venue.

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  • JCB Starts Trials of Payment by Palm for Practical Application

    JCB Starts Trials of Payment by Palm for Practical Application

    JCB Co., Ltd. (“JCB”), the only international payment brand based in Japan, will be conducting a trial of payment using palm vein authentication in corporation with Fujitsu Limited and Fujitsu Frontech Limited. The trial will be held at the JCB World Conference in October, an event attended by JCB partner companies and financial institutions from around the world.

    Payment by palm leverages the JCB global network with Fujitsu’s palm vein authentication technology, one of the most accurate biometric authentication technologies in the world. After linking a palm vein pattern and payment card information, customers can make a simple, fast and secure payment by using palm. Multiple cards can be linked to one pattern, and customer does not need to bring his or her wallet or any mobile payment device.

    Palm vein authentication is highly accurate (see “About Palm Vein Authentication”), and already being used for many applications such as bank ATMs and high security area access control systems. Incorporating this authentication method with the JCB global network will create the world’s first payment way of its kind.

    In addition to the trial at JCB World Conference in October, JCB has already conducted a trial of, involving several hundred employees at the JCB headquarters in Tokyo in July 2015.

    “We are planning pilots in different global markets in order to develop a unique biometric-based program using the most secure accurate palm vein authentication, followed by the trial at the JCB World Conference. I am confident that this new payment method using innovative technology will be in line with the needs of JCB customers and partners around the world,” Tac Watanabe, Executive Vice President, Brand Infrastructure & Technologies of JCB, said.

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  • Dell Inc Announces $125B Investment In China, Including Artificial Intelligence Lab

    Dell Inc Announces $125B Investment In China, Including Artificial Intelligence Lab

    Computer manufacturer Dell Inc. will invest $125 billion in China over the next five years, as part of a new strategy to expand in the world’s second-largest economy. The company’s CEO, Michael Dell, said in a statement Thursday that the investment would contribute $175 billion to imports and exports and help sustain one million jobs in the country.

    “The Internet is the new engine for China’s future economic growth and has unlimited potential,” Dell wrote in a statement, cited by Reuters.  “Dell will embrace the principle of ‘In China, for China’ and closely integrate Dell China strategies with national policies,” he added. The company also announced that it would be expanding its research and development team in the country, with a view to producing products tailored to the Chinese market.

    As part of the investment, Dell announced that it will create an artificial intelligence lab, in partnership with the Chinese Academy of Sciences, in the country. Dell will work with the state-controlled institute to develop advanced technology relating to cognitive systems and deep learning. It has also signed a strategic partnership agreement with Kingsoft Corp. of Beijing to co-develop and sell products relating to big data and cloud computing, Bloomberg reported.

    Dell currently has three plants, two service centers and two research and development facilities in China, as well as 11,700 retail outlets, according to China Daily. The company already employs nearly 2,000 senior engineers in its research and development team in China.

    Dell’s investment appears to follow a pattern set by other U.S. tech firms, which have made large investments to win over government and business, and partnered with Chinese firms in a bid to navigate the local market more successfully. Late last year Intel announced an investment in Chinese microchip firms, and Hewlett-Packard announced in May that it would sell a majority stake in its server, technology services and storage business in China to a Tsinghua Holdings subsidiary, IT World reported.

    Dell ranked third in global PC shipments in the second quarter after Lenovo Group Ltd and Hewlett-Packard Co, according to research firm International Data Corp. China is the company’s second-largest market, after the U.S.

  • World Cup soccer qualifier exposes China-Hong Kong tensions

    World Cup soccer qualifier exposes China-Hong Kong tensions

    While Hong Kong, soccer minnows ranked just 151 in the world compared to China’s 84, are unlikely to cause an upset, some say the political unease could motivate the underdogs.

    As China celebrated its struggle victory towards Japan in Beijing on Thursday, the nation’s soccer-loving President Xi Jinping might have been momentarily distracted by a much less conclusive end result.

    Chinese riot police were deployed for a Federation Internationale de Football Association 2018 World Cup qualifying match between China and Chinese-ruled Hong Kong that ended peacefully in a 0-0 draw on Thursday, amid echoing tensions from Hong Kong’s democracy protests past year.

    For the day, the index plummeted 485.15 points or 2.24 percent to finish at 21,185.43 after trading between 21,170.86 and 21,692.78 on turnover of 85.82 billion Hong Kong dollars. Nevertheless the result leaves China in third place in its group behind Hong Kong and Qatar, who beat Bhutan 15-0 (though China has a game in hand over Hong Kong).

    “This team has people with black skin, yellow skin and white skin”.

    It is not easy for retail businesses to operate in Hong Kong, because the rent is simply too high.

    Chinese police have conducted days of anti-riot drills outside a 40,000-seat stadium in the southern city of Shenzhen, bordering the Chinese “special administrative zone” of Hong Kong. “This is the only way we can release some of our anger, on the sports field”, Roy Choi, a fan with a group called “Power for Hong Kong” told Reuters.

    And after the game there was further controversy when Hong Kong’s hero, goalkeeper Yapp Hung-fai, who made a number of saves to prevent China scoring, accused Chinese captain Zheng Zhi of insulting him after the match, by calling him a “dog”. Analysts said players were unwilling to take risk amid so many uncertainties. “They have arranged a lot of “local” fans to support the China team”. Soccer will develop into a obligatory topic in faculties, with new textbooks for all college students.

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  • Tag Heuer teams with JD.com

    Tag Heuer teams with JD.com

    Tag Heuer, the Swiss luxury watchmaker, has chosen to partner with JD.com to open its first online store in China.

    The exclusive partnership will see Tag Heuer open an online flagship on JD.com’s Marketplace platform.

    The store will offer product lines specially selected for China’s increasingly sophisticated online consumers, featuring cutting-edge designs across multiple price points. The store will also feature a 360-degree “virtual” product display where consumers can experience products prior to purchasing.

    JD.com says its support in brand marketing, logistics, payment and after-sales service will help ensure customers enjoy a first-rate online shopping experience.

    “JD.com’s reputation for product authenticity and unparalleled customer experience make it the ideal eCommerce partner in China for Tag Heuer, one of Switzerland’s most iconic and trusted brands,” said Tag Heuer’s GM of Greater China, Leo Poon.

    “The coming of age of China’s young consumers, combined with the explosive development of e-commerce, present an enormously exciting opportunity for innovation and growth. By deepening our access to our key target customer market in China through JD.com’s huge upwardly mobile user base, I am confident that this partnership will ignite unprecedented consumer interest in Tag Heuer’s premier luxury timepieces.”

    To mark the opening, Tag Heuer will launch sales of its “Tag Heuer Formula One Women GEM special edition” wristwatch in the Chinese market for a limited time exclusively on the JD.com platform.

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  • Coinbase Penetrates Singapore With New Retail Bitcoin Service

    Coinbase Penetrates Singapore With New Retail Bitcoin Service

    Coinbase, one of the biggest bitcoin exchanges and wallet services in the United States, has unveiled retail buy-and-sell operations in Singapore and Canada. 

    The operations is part of the San-Francisco-based company’s expansion into Asia to make digital currency more accessible around the globe, Brian Armstrong, Coinbase CEO and co-founder, disclosed.

    The cryptocurrency exchange and wallet service firm in Singapore, set to open on Thursday, will allow clients to buy and sell virtual cash with the Singapore currency.

    At around 8 a.m. today Singapore local time, customers in the country can buy and sell digital cash using Singapore Dollars via Coinbase.

    Coinbase has also unveiled a buy and sell service as well as a bitcoin exchange for professional online traders in Canada earlier this week.

    According to Coinbase International Expansion head David Farmer, The Lion City is a major market for the company. “At present, over 15,000 people in Singapore have signed up for a Coinbase Wallet.”

    With more and more customers realizing the importance of bitcoin, Coinbase is making sure they give what the people need. Famer added: “By extending our buy and sell service in Singapore, we are helping to make their on-ramp to the Bitcoin world as simple and as safe as possible as we move ahead.”

    Unlike conventional currencies, digital money is purchased and sold via peer-to-peer network immune to government control. Being independent in nature, Bitcoin is not supported by a central bank, and its value fluctuates based on user demand.

    Singapore has a reputation for financial trust and confidentiality, and is well-established to serve a big chunk of the rapidly-evolving emerging markets like Thailand, Vietnam, Indonesia, and Philippines.

    Today, Coinbase has business centers in nearly 30 geographical locations around the globe. The company aims to have a presence in 40 countries by the end of the year, Armstrong said.

    Coinbase is being funded by 21 investors, totalling $107 million. Based on analysts estimates, the company is worth more than $400 million.

    Bitcoin was trading at $229.35, rising 0.6 pct on the day as of Wednesday.

  • Cebu Pacific, Tigerair JV secures Singaporean antitrust nod

    Cebu Pacific, Tigerair JV secures Singaporean antitrust nod

    Cebu Pacific Air (5J, Manila) and Tigerair (TR, Singapore Changi) have secured Singaporean anti-trust regulatory approval for their enhanced joint venture on flights between the Philippines and Singapore.

    Under their original agreement filed in September of last year, the two carriers proposed jointly operating common routes between the two countries (Singapore to Manila, Clark, and Cebu in particular) and other markets that may emerge, on a metal-neutral basis. In addition, they intended to jointly sell and market common and non-common routes while cooperating in the area of sales and marketing, distribution, airport operations and ground handling, scheduling, procurement, and pricing among other areas.

    The Competition Commission of Singapore (CCS) said in its ruling that an initial assessment of the joint venture had shown it would impinge on competition on the Singapore-Clark and Singapore-Cebu routes where the two are the only operators and the dominant operators respectively. The Singapore-Manila route would not be affected given the presence of what the CCS termed ‘strong carriers’Philippine Airlines (PR, Manila) and Jetstar Asia Airways (3K, Singapore Changi).

    Given the CCS’s concerns, the carriers agreed to make various concessions which include reducing the level of cooperation on the Singapore–Clark and the Singapore–Cebu routes to an interline agreement only. In addition, they pledged not to coordinate on any commercial activities, such as pricing, surcharges and capacity, and will not undertake any form of revenue sharing on the Singapore–Clark and the Singapore–Cebu routes.

    “The Parties’ coordination will instead be restricted to coordinating minimum and maximum connecting times in their booking systems for the purpose of creating joint interline itineraries. Scheduling of flights on these two routes will also be carried out independently by each Party,” the CCS said.

    With these guarantees in place, the CSS said the risk of coordinated fare increases and the possible impediment to the entry by other airlines on these routes to be “sufficiently mitigated.”

    Both carriers welcomed the CCS’s decision

  • Dairy Farm closes more Indonesia stores

    Dairy Farm closes more Indonesia stores

    Dairy Farm International says it has now closed 74 stores in Indonesia – and more will follow before the year ends.

    Dairy Farm is the majority owner of the PT Hero retail network which includes supermarkets, Guardian pharmacies and Starmart convenience stores, which at the beginning of this year numbered 715.

    In July the company said it had shuttered 39 of its 75 stores bearing the Starmart brand. Last week it issued new figures showing 74 stores have now closed, including 22 Guardian pharmacies.

    “We are closing stores every year and every semester. We believe that we need that to change our portfolio,” said finance director, Xafier Thiry, adding that while more would close in the latter part of this year, the pace of the cull would slow.

    Dairy Farm’s network has been hit hard by the Indonesian government’s ban on convenience stores selling alcohol which took effect in April. A general economic slowdown has not helped sales of other goods. In July Dairy Farm said it was reviewing the future of the Starmart business.

    The other stores closed so far this year were 10 Ekspres and Hero stores and three Ekstra stores.

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  • Thai AirAsia to add 3 more U-Tapao routes in November

    Thai AirAsia to add 3 more U-Tapao routes in November

    Just two days after launching two new flights to China from U-Tapao-Rayong-Pattaya Airport, Thai AirAsia announced it would add three more routes to bring even more tourists to the Eastern Seaboard.

    Airport Director Vice Adm. Wisansap Chanwarin joined Pattaya Mayor Itthiphol Kunplome and Tourism Authority of Thailand Pattaya office Director Suladda Sarutilavan at Central Festival Pattaya Beach Sept. 28 to announce that the no-frills carrier would launch daily flights out of the military-run airfield to Macau, Singapore and Udon Thani on Nov 27.

    (Back row, 2nd left to 2nd right) Vice Admiral Wisansap Chanwarin, Commander of the Naval Aviation and Director of U-Tapao Airport, Tassapon Bijleveld, CEO of Air Asia, Nadech Kugimiya, a well-known movie star as the presenter of Air Asia, Mayor Itthiphol Kunplome, and TAT Pattaya Director Suladda Sarutilavan, kick off a festive announcement for AirAsia’s new routes.

    To celebrate the three new routes, AirAsia will feature promotional fares from U-Tapao to Singapore and Macau available for booking from today to 11 October 2015 for travel from the start of service on 27 November 2015 to 29 October 2016.  Bookings can be made through all channels, including; www.airasia.com, Counter Service, AirAsia Sales Offices and all branches of 7-11.  The U-Tapao-Udon Thani route will be available very soon.

    The announcement backs AirAsia’s claim that it plans to make U-Tapao its fifth full-fledge hub in Thailand, following Bangkok’s Don Mueang, Phuket, Chiang Mai, and Krabi.

    The carrier inaugurated its first direct flights 3-4 times a week out of U-Tapao to Nanning and Nanchang in southern China on Sept. 25 and 26, respectively. They have received a good response on this route, with load factors of 70-75%.

    It also began regular flights from Kuala Lumpur to U-Tapao by its Malaysian parent AirAsia Bhd. in July.

    “Thai AirAsia aims to expand roots in cities with fast growth and economies, especially U-Tapao airport, which is close to major cities like Rayong, Chonburi and Pattaya,” said Thai AirAsia CEO Tassapon Bijleveld.

    “The reason we’re continuing to launch new routes from U-Tapao is we see its potential and the opportunity to draw travel and investment to the Eastern Seaboard, be it to the popular entertainment destination Pattaya or Rayong’s industrial center,” he said.

    Captain, crew and dignitaries welcome passengers aboard the first AirAsia flight U-Tapao to Nanning and Nanchang in southern China.

    Itthiphol said having a Thai AirAsia base only 45 minutes from Pattaya will benefit the city due to the convenience of the airport’s location.

    “We believe that this launch will benefit all involved and will expand more domestic and international flights in the future,” he said.

    AirAsia now also offers city and island transfer services using shuttle buses and ferry boats that take passengers from U-Tapao to major travel destinations that include Koh Samet, Pattaya City (Central Festival) and Rayong, with plans to offer transfers to Koh Lan very soon. Passengers can book the service at www.airasia.com by selecting their origin and desired final destination.

    By year-end, the airline will have stationed two Airbus A320s at U-Tapao.

    Wisansap said that while U-Tapao still is not a completely commercial airport, it still has untapped potential and capacity.

    “We aim to improve and build more terminals with the support of the navy to be able to reach our goals of 3 million passengers per year,’ he said. “The construction of the new terminals are estimated to be completed by February.”

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