Retail News CRM

Tag: tourism

  • The Shilla Duty Free partners with comics strip artists

    The Shilla Duty Free partners with comics strip artists

    The Shilla Duty Free is partnering with popular Chinese webtoon artists to boost its appeal to travelling Chinese shoppers. The travel retailer said that this is the first marketing partnership of its kind in the Korean duty free industry. Webtoons have become an increasingly influential media tool to connect closely with consumers, Shilla noted. “Unlike traditional advertisements, webtoons use storytelling that is easily relatable while utilising artists’ existing fandom.”

    The partnership with two webtoon artists, Niu Hong Hong (牛轰轰) and Ruo Guan (弱冠), specifically targets Chinese women in their 20s to 30s – The Shilla Duty Free’s main customer base (as the charts below show, visitors between 21 and 40 made up 57.3 percent of Chinese arrivals in South Korea last year and those between 21 and 30 almost 31 percent).

    Shilla’s stores are being featured in webtoons and the contents promoted through each artist’s social media platforms.

    Real-time comments such as “I would like to shop there”; “I should visit there during my next visit to Korea”; and “I like the store interior” appear on the webtoons.

    Besides introducing The Shilla Duty Free shops, the webtoons also highlight nine local eateries near the retailer’s flagship Seoul Store, showcasing the surrounding area as a local attraction. Since 2016, The Shilla Duty Free has promoted its local communities by introducing nearby restaurants through various channels such as The Shilla Online Duty Free in Chinese and its official Weibo account.

    A spokesperson said, “The partnership with Chinese webtoon artists is a first in the industry. We expect to be able to connect better with Chinese customers. Creative marketing like this will be continued during the peak seasons such as Chinese Lunar New Year, the Mid-Autumn Festival and the National Day of China, to broaden the communication with our customers.”

    Lees ook:

    Lees ook:

  • Chinese tourists prefer Australia, Japan and Singapore: Survey

    Chinese tourists prefer Australia, Japan and Singapore: Survey

    Mainland Chinese tourists prefer visiting Australia, Japan and Singapore over Hong Kong, a survey has found, citing a preference for outdoor and nature activities in these places. Consultancy firm Kantar, which polled 300 people from Beijing, Shanghai, Guangzhou and Shenzhen, found that 52 per cent of respondents were interested in Australia as a holiday destination, followed by 40 per cent for Japan, 38 per cent for Singapore, and 35 per cent for Hong Kong.

    Some 22 per cent said they were keen to visit Taiwan, compared to 21 per cent who favoured South Korea, 15 per cent for Indonesia and 9 per cent for India.

    “Urban Chinese holidaymakers are looking for a diversity of experiences – nearly nine in 10 say that having lots to do is either important or very important to them,” stated the report, released last month.

    “The dominance of nature in the minds of urban Chinese leisure travellers may, at face value, present a challenge for retailers, malls, theme parks and other places.”

    The report stated that the trend could be an indication for businesses on potential growth directions.

    Despite Hong Kong not being the top destination for Chinese tourists in the poll, official figures showed visitor arrivals in the city – driven mainly by mainlanders – soared to a record high of 65.1 million last year, up 11.4 per cent from 2017.

    About 51 million tourists from across the border visited the city in 2018, a rise of 14.8 per cent from the previous year.

    But the Tourism Board has admitted that 2019 could be a “bumpy and unpredictable” year. Chinese tourists now see the city as a short-term destination, and they prefer Southeast Asia or Europe for long holidays.

    The board said Chinese tourists also craved “in-depth” travel in Hong Kong rather than the usual hotspots. One of the board’s strategies this year will be to attract mainland and overseas visitors to places such as the Geopark, the Ha Pak Nai mudflat in Yuen Long and Lau Fau Shan.

    The Kantar report also stated: “Hong Kong outperforms Singapore on most factors, but when it comes to perceptions of safety and cleanliness, Singapore dominates all [Asia-Pacific] markets, though it is held back by its lack of nature and outdoor [activities].”

    It acknowledged that Hong Kong had a “relative abundance of natural attractions” compared to the Lion City.

    On preferences for nature and outdoor activities in the eight destinations listed in the survey however, only 22 per cent of respondents indicated an interest in what Hong Kong had to offer, compared to 62 per cent for Australia, 42 per cent for Japan, 32 per cent for Indonesia, 31 per cent for Taiwan and 29 per cent for Singapore.

    In the category of sporting events, only 27 per cent said they were interested in those held in Hong Kong, with 47 per cent for Japan, 43 per cent for Australia, 30 per cent for Singapore, and 28 per cent for South Korea.

    Kantar’s group director, Mike Underhill, suggested that to boost Hong Kong’s attractiveness as a tourism haven, unique sporting events could be held, such as a mountain marathon.

    “I’m not saying it’s an easy thing to do, but if such an event is created, it will [capitalise on] an emerging trend among Chinese tourists to help grow a niche sector, thereby raising the perceived uniqueness of Hong Kong.”

    Jenny Zhang, 29, an accountant from Beijing, is among those for whom Hong Kong does not rate highly as a destination.

    “I would choose other places because I have visited Hong Kong several times already. But if I am in transit here to somewhere else, I would visit the city,” she said. “The world is huge and there are many places I have not been to. I love to see natural attractions and take in the culture of other places.”

    Asked to rank the eight destinations in the survey, Zhang placed Hong Kong in last place. Her top choices were Australia, Japan and Indonesia.

    But Chen Peng, 36, from Tianjin is among those who still enjoy coming to Hong Kong after visiting the city six times. This month, he took his daughter to Disneyland for the first time.

    “My wife loves Japan and so I would choose Japan as my top choice. For me though, Hong Kong is my No 1 choice,” he said.

    “When I come, I mostly go shopping with my wife and meet friends. I would go to Harbour City and Central.”

    Lees ook:

    Lees ook:

  • Top 9 things to know about Starbucks Dewata coffee sanctuary

    Top 9 things to know about Starbucks Dewata coffee sanctuary

    Recently, Starbucks celebrated the journey of coffee from seed-to-cup by opening its largest destination in Southeast Asia – the Starbucks Dewata Coffee Sanctuary.

    1. Original Logo

    Starbucks opens the Dewata Coffee Sanctuary with an original logo, crafted in the Geringsing Double Ikat technique, inspired by the deep traditions of the seed-to-cup story. Double Ikat, found only in Bali, is a weaving technique used to create geringsing fabrics, traditionally taking five years to create, and an essential textile used in ceremonial dress as it is believed to have extraordinary powers. The logo itself is a lotus flower, the symbol of beauty, prosperity and fertility, and highly respected in Bali. The 18 petals represent the Balinese philosophy of Tri Hita Karana – the three causes of prosperity: harmonious relationships between people, the environment and God.

    2. Store Façade

    The store’s façade is created with locally made red bricks in the shape of half circles to create the illusion of the many waves found on Bali’s famous beaches. The exterior appears to move to passersby on Sunset Boulevard as they drive past the storefront, and combines modern building techniques with traditional Balinese architecture for an east-meets-west design. The design is carried into the interior of the store at the core bar where baristas handcraft favorite Starbucks beverages.

    3. Micro-Plot of Arabica Coffee Trees

    Upon entering the space, customers are invited into a micro-plot of Arabica coffee trees. This 1,000 sq. ft. plot will be a working, coffee producing farm cherrying during harvest season in the region, typically in the early springtime, and mirrors the size of 90 percent of all coffee farms in Indoneisa.

    4. Hand-Carved Wooden Mural

    As customers enter the café, their eyes are immediately drawn to the unique artwork filling the store. A 30-foot tall hand-carved wooden mural from Jepara features a depiction of the history of coffee in Indonesia, from the coffee growing regions of Java, Sulawesi, Bali, West Papua, Brastagi and North Sumatra, home to Starbucks Indonesia Farmer Support Center. Over the Reserve bar, customers eyes are drawn up to the bamboo installation inspired by the smoke, steam and vapor that create the familiar aroma of coffee. Both expansive pieces were created by Indonesian art agency, Atrovale, while two Jakarta-based artists, Janet Jane and Jamal M. Aziz, created pieces to highlight the store’s moments of discovery. Janet’s macramé art was inspired by the lush landscapes of Indonesian coffee farms, while Jamal’s two murals illustrate the first-ten-feet of the coffee bean’s journey at origin.

    5. Hand-Carved Stone Tiles

    In the Reserve Bar, hand-carved stone tiles create the ornate floor and wall design. The traditional, local craft found across Bali was reimagined into patterns which reflect a modern interpretation of coffee flowers and coffee beans.

    6. Living Wall

    To the left of the entrance, customers are invited to Starbucks core bar featuring a living wall filled with flora from the region. The botanicals are arranged in the form of Bali’s signature gapura, split gates, a symbol to welcome guests into our stores. This living wall is set back behind the bar where Starbucks partners will enter the café to connect with customers and handcraft their favorite Starbucks beverages.

    7. Clay Pots

    Around the store, customers will be enchanted by the surrounding flora, bringing the unique Indonesian environment inside. Trees throughout the space are planted in beautiful clay pots inspired by a traditional Sumatran pattern and the Starbucks Siren. Motifs of Indonesia’s mountainous terrain and coffee beans remind customers of the unique surroundings found only in Indonesia.

    8. Coffee Seedling Nursery

    On the second floor, customers are invited into the first coffee seedling nursery to be located inside of a Starbucks store. Our partners work with local farmers to take special care of these seedlings and invite customers to help tend to the delicate plants. Inside this greenhouse, customers can touch the first stages of the seed-to-cup journey that brings us our favorite coffee flavors around the world.

    9. Interactive Media Installations

    The experience continues throughout the expansive space where customers can find two interactive media installations to further immerse themselves in the coffee journey. On the first floor, a first-of-its-kind digital wall can be accessed through pressing and twisting various portions of the wall to participate in the planting, processing, roasting, shipping and brewing processed. Above them, customers can hear the stories of Starbucks Farmer Support Center in Indonesia. Two synchronized videos guide visitors through the FSC on walls fashioned from the traditional rattan weavings which inspired the Dewata Bali logo.

    Lees ook:

    Lees ook:

  • Indonesia Prepares New Strategy to Meet 2019 Tourist Arrival Target

    Indonesia Prepares New Strategy to Meet 2019 Tourist Arrival Target

    When President Joko “Jokowi” Widodo set out to double Indonesia’s foreign tourist arrivals within the five years of his presidency, many were skeptical. Now, the target seems to be within reach. Combined government efforts that included the massive development of airports and tourist destinations, aggressive digital promotions and a visa-free policy have, along with the weakening rupiah, attracted 16,2 million foreign tourists to Indonesia last year, which is 71 percent more than four years ago.

    Still, some setbacks were unavoidable. A series of volcanic eruptions, earthquakes and tsunamis over the past 12 months, as well as the tragic crash of Lion Air flight JT-610 into the Java Sea near Jakarta, resulted in the government missing its target to woo 17 million foreign tourists last year.

    Industry players worry that the bad image created by these disasters would take long to erase and thus undermine the country’s ability to attract 20 million foreign tourists this year.

    “Indonesia is situated on the Ring of Fire; we could not predict or prevent any disaster. What we need now, is to work extra hard to ensure that the world knows that when disaster strikes here, all tourists and local residents are well cared for,” said Elly Hutabarat, chairwoman of the Indonesian Travel Agent’s Association (Astindo).

    She cited Mexico as an example of a country that had just been hit by an earthquake, but still managed to quickly revive its tourism industry.

    “We see Mexico, which had just experienced an earthquake, is responsive and is able to give up-to-date information to the world. Such efforts are able to quickly revive their tourism industry,” Elly said.

    Border Tourism, Low-Cost Terminals

    The government has not given up, as the tourism industry could potentially generate $20 billion in foreign exchange revenue this year, which is crucial to plugging the country’s persistent current-account deficit.

    Guntur Sakti, head of communications at the Ministry of Tourism, said the government has implemented a strategy to meet this year’s tourist arrival target by developing border tourism, hub tourism and the renovation of airport terminals to cater to low-cost carriers.

    The government’s border tourism plan is aimed at making it easier, faster and cheaper for tourists to visit Indonesia from neighboring countries.

    Malaysia, Singapore and the Philippines also have a similar cultural heritage and history as Indonesia.

    “The potential from border tourism is massive, especially from neighboring countries,” Guntur said.

    Through the hub tourism strategy, the government expects to attract a larger number of foreign tourists that travel to the capitals of neighboring countries, specifically Bangkok, Kuala Lumpur and Singapore.

    The government estimates that more than 11 million foreign travelers – excluding Indonesians – transit at Singapore’s Changi Airport annually before continuing their travels to other countries for business or leisure. Guntur said this represents a massive potential for Indonesia.

    He added that tourists frequently transit in Singapore or other cities in the region because of limited direct flights to Indonesia from Europe, the United States and even parts of East Asia.

    For instance, about half of all Chinese tourists heading to Indonesia must transit in Singapore or Malaysia before reaching the archipelago, while 80 percent of tourists from Thailand and Malaysia are able to reach the country via direct flights.

    The government also plans to renovate several terminals at Soekarno-Hatta International Airport outside Jakarta to exclusively accommodate low-cost carriers.

    Terminal 1 at the airport will soon only cater to passengers of low-cost airlines traveling to domestic destinations, while Terminal 2 will cater to passengers of low-cost airlines on both domestic and international flights.

    Many countries have built terminals or even whole airports to specifically accommodate low-cost airlines. This lowers the airport’s operating budget, which in turn helps to reduce airport taxes and airline ticket prices, which ultimately attract more foreign tourists.

    Guntur said at least 70 percent of foreign tourists use low-cost carriers to travel to Indonesia.

    “To realize our strategy and attract more tourists, we are working with state-owned airport operator Angkasa Pura to renovate Terminal 1 and 2 at Soekarno-Hatta Airport. We’ve noticed many countries operate several terminals that cater to full-service carriers and low-cost carriers separately,” he added.

    The number of passengers traveling to Indonesia on low-cost carriers grows by about 55 percent annually, while the number of passengers arriving on full-service airlines only increases by about 7 percent per year, according to tourism ministry data.

    Ten New Balis

    The government also actively promoted its “10 New Balis” program last year to develop and promote several destinations beyond Bali, Indonesia’s most popular destination.

    The 10 New Balis include Mandalika in Nusa Tenggara, Thousand Islands in Jakarta, Tanjung Lesung in Banten, Tanjung Kelayang in Bangka Belitung, Borobudur Temple in Central Java, the Bromo Tengger Semeru National Park in East Java, Labuan Bajo in East Nusa Tenggara, Wakatobi in Southeast Sulawesi and Morotai in North Maluku.

    The project, spearheaded by the tourism ministry, has also established programs to develop each of the destinations by building 5,000 homestays, improving infrastructure, increasing financing for tourism to around Rp 2.5 trillion ($177 million), implementing sustainable tourism in 16 destinations, developing 10 special economic zones and developing nomadic tourism.

    Lees ook:

    Lees ook:

    Lees ook:

  • New integrated resort in China by Fosun

    New integrated resort in China by Fosun

    Fosun bets on integrated resorts to address the needs of Chinese travelers, who are showing interest in these types of experiences. Fresh from its Hong Kong initial public offering last month, Fosun Tourism Group is making good on its intention to use the proceeds to develop two new integrated resorts in China, announcing properties under the Thomas Cook Group brands Casa Cook and Sunwing.

    The two projects are in Lijiang, Yunnan province, famous for its UNESCO World Heritage old town, and Taicang, Jiangsu province, 30 minutes from Shanghai.

    Fosun Tourism chairman and CEO Jim Qian told Skift he is seeing different segments emerging in China’s domestic travel market. While this is already the norm in mature western markets, it’s just starting in China, and there’s a need to offer local travelers a choice of hotel brands and a variety of experiences, said Qian.

    In so doing, Fosun is turning to what’s in the family, its own Club Med and its Thomas Cook China joint venture. The Lijiang Albion International Resort will also have a Club Med, which has “a different positioning” from the boutique, design-led Casa Cook, he said.

    The whole development in Lijiang is spread over at 350,000 square meters (382,765 square yards). It is located near the Baisha old town, which lies closest to the majestic Yulong Snow Mountain, and is the only land permitted for massive development.

    How it will be sensitive to the tranquil and preserved ancient surroundings remains to be seen. For now, its website says it aims to attract mid- to high-profile guests by offering the total package, including a Club Med snow-themed resort, a guesthouses town, riverside shows, heritage towns, outdoor activities, health and wellness.

    “We will deliver a lot,” said Qian. “I believe in the future when a family goes on a holiday, they don’t just want to stay in the room.

    “Nowadays in China, we have more resort hotels in destinations such as Sanya, but most are actually business hotel brands moving from the city to the beach. I don’t think that kind of hotel is suitable for a family holiday. We will introduce the real beach or holiday resort to a destination.”

    Not much is known of Fosun’s other resort project in Taicang except that it is smaller at 145,000 square meters (158,570 square yards).

    Both are expected to be completed in stages from late 2020.

    Fosun Tourism, whose slogan is Everyday is Foliday (short for Fosun holiday), having tested destination development and management with its fully owned Atlantis Sanya, is keen to bring the experience to bear on the projects.

    “We have the experience in the construction of resort destinations, and we know how to make foreign brands suitable for the Chinese market,” said Qian.

    Fosun Tourism also believes the timing is good. It pointed out the per capita tourism expenditure in China in 2017 was about $575, which was below the global average of $741. “This implies the great potential for the growth of China’s tourism market,” it said.

    Besides, it claimed to be in a stronger position now, announcing ahead of its annual results to be released in March that it expects a net profit of at least 350 million yuan ($52 million) in 2018, compared with a net loss of 295 million yuan ($44 million) in 2017.

  • Vietjet to open Phu Quoc-Hong Kong route in April

    Vietjet to open Phu Quoc-Hong Kong route in April

    Budget airline Vietjet said Saturday it will launch direct flights between Phu Quoc Island and Hong Kong in April. The new route will operate four flights per week starting from April 19, Vietjet said. Each flight will take 2 hours and 45 minutes per leg. Dubbed “the Pearl Island”, Phu Quoc, located in the southern province of Kien Giang, has attracted strong investments in hotels and resorts in recent years.

    Vietjet said it wants to create traveling opportunities for locals and tourists, thereby contributing to trade growth between the two destinations. The largest private airline in Vietnam currently operates 40 domestic routes and 66 international routes.

    Vietnamese airlines have been launching new international flights in recent years, with the domestic market showing signs of saturation.

    The country’s aviation industry has seen increasing demand each year. It welcomed 12.5 million air passengers last year, up 14.4 percent from 2017, according to the General Statistics Office.

    Vietnam’s aviation traffic increased 16 percent on average each year from 2010 to 2017, data from the civil aviation regulator shows.

    Lees ook:

  • Chinese outbound tourists powering mobile payment growth

    Chinese outbound tourists powering mobile payment growth

    Chinese outbound tourists are taking China’s mobile payment industry to foreign markets, according to Nielsen. The research company’s report, 2018 Trends for Mobile Payment in Chinese Outbound Tourism, shows that mobile payment transactions by surveyed Chinese tourists surpassed the percentage paid with cash for the first time. Nearly 70 per cent of Chinese tourists paid with their mobile phones while abroad.

    Several factors encourage Chinese tourists to use mobile payment abroad, with the most important being that they have already become accustomed to this fast and convenient payment method in their home country.

    Merchants around the world have gradually recognised the importance of mobile payment for Chinese tourists and are witnessing benefits from better understanding of Chinese tourists’ habits and preference. Among the merchants surveyed at popular tourist areas in Singapore, Malaysia and Thailand that adopted Alipay, nearly 60 per cent saw growth in foot traffic and revenue.

    Many merchants surveyed said mobile payment is a safe, reliable and effective payment method that resonates with Chinese shoppers. Of the merchants that adopted Alipay, 71 per cent said they would recommend the mobile payment platform to peers.

    “Our store is located in an area frequented by Chinese tourists and they are our main customers. If we didn’t have mobile payment as an option, we would lose a lot of customers”,  said a Malaysian merchant cited in the white paper.

    “The outbound travel craze among Chinese tourists offers an important opportunity to expand mobile payment globally, while mobile payment outside of our home market has a broad space for development,” observed Gao Zilong, COO of self-service QR-code payment firm Inspiry International.

    Lees ook:

    Lees ook:

  • Retail meets art in HK for Chinese New Year

    Retail meets art in HK for Chinese New Year

    Next week it Chinese New Year. It officially begins on February 5th, 2019, and ends on February 19th. This year will be the year of the Pig. It is the most important festival for Chinese people, so the city is fully decorated with festive installations. The retail world celebrates it with decorations and promotions. In Hong Kong, all shopping malls have already unveiled their gigantic installations.

    In the financial heart of the city,  the floral pinwheels have turned IFC into the Garden of Fortune.

    Dedicated to providing memorable and engaging experiences for guests beyond shopping and dining, the Chinese New Year is no exception for IFC mall as it presents The Garden of Fortune, a splendid installation featuring pinwheels to welcome good fortune and embrace new changes along with incorporating floral elements for a contemporary spin.

    From 26 January to 17 February 2019, shoppers can visit the interactive display and enjoy music performances to ring into an auspicious new year.

    Pinwheels have long been a symbol of luck with fascinating roots in Chinese culture. Traditionally associated with welcoming wealth, pinwheels are constructed using a variety of bright colors to greet the god of fortune, which are believed to bring prosperity and blessings to both homes and businesses. Playing on the Chinese tradition that pinwheels attract good luck, The Garden of Fortune is embellished with this auspicious symbol.

    The pinwheels are designed in the shape of peach blossoms, peonies and begonias – flowers that represent prosperity and fortune in Chinese culture – to empower guests with positive vibes as they walk through the Garden of Fortune.

    Upon entering the installation, guests are invited to play an interactive pinwheel game to start the new year with blessings to share and bestow upon friends and loved ones. ifc mall has collaborated with young local calligrapher, Rita Lee, to create downloadable “fai chuns” to share with family and friends after completing the game.

    Lee started learning Chinese calligraphy at the age of 6 and has nurtured her talent with over 20 years of experience. She is known for blending different styles to create art that balances the tradition of Chinese calligraphy with contemporary flair. “I’m excited about this partnership with ifc mall as it allows me to use my craft to extend blessings to all Hong Kongers who visit the Garden of Fortune,” says Lee. “The installation’s fusion of traditional pinwheels with modern floral elements also reflects the same juxtaposition in my style of calligraphy.”

    Pacific Place has built “Where Fortune Takes Flight” to welcome the Chinese New Year 2019. Queenie said that her design ideas come from the traditional Chinese New Year Candy box and chocolate from her childhood. Thus, they became the patterns of the kites, flying in the shopping mall. Queenie used vibrant colors and energetic brush strokes to draw on the kites, symbolizing a colorful and fruitful new year.An exquisite spring garden filled with blossoming flowers and over 60 flying kites, symbolising “Where Fortune Takes Flight”. Exclusively designed by Queenie Law, the kites soar to the highest heights and spread Chinese blessings throughout the mall and into the new year ahead.

    In Tsim Sha Tsui, Harbour City will welcome the Year of the Pig with the “HAPPIG New Year” celebration, featuring a seven-metre tall gigantic “Wishing Treasure Bowl” at Ocean Terminal Forecourt from 25 Jan to 19 Feb 2019.

    The treasure bowl is structured with multiple frames, on which colorful ropes were tied delicately to create geometrical festive patterns from cherry blossoms to gold coins.

    The contemporary design is a stylish take on the Chinese New Year classic, wishing everyone joy and fortune for the Year of the Pig.

    Newly introduced this year is an interactive wishing experience, inviting visitors to win a lucky pouch by taking part in a mini game and donating HK$20 near the“Wishing Treasure Bowl” installation.

    Each lucky pouch contains a Good Fortune Card with predictions for the coming year, and a “Wishing Gold Coin” which can be deposited into “Make a Wish Piggy Bank” for making a wish. The coin will roll through a lucky tunnel connecting the piggy bank to the gigantic “Wishing Treasure Bowl”, bringing fortunate blessings to everyone for the New Year.

     

    Lees ook:

    Lees ook:

  • Who visited Korea in 2018?

    Who visited Korea in 2018?

    Chinese visitor arrivals in South Korea rose 14.9 percent year-on-year in 2018 to 4,789,512, according to new Korea Tourism Organization figures. Chinese arrivals in December 2018 rose 25.2 percent year-on-year. The results confirm a sustained recovery in Chinese tourism from March 2018 as Korean-Chinese relationships improved in the wake of the THAAD anti-missile system dispute that had devastated Chinese tourism for the previous year.

    For the first two months of 2018 Chinese arrivals slumped 43.7 percent, heavily influencing the year-end result.

    However, the 2018 performance was still far short of pre-THAAD levels. In 2016, 8,067,722 Chinese visited South Korea, 68 percent more than the 2018 tally and a 46.8 percent share of total arrivals, compared to last year’s 31.2 percent.

    Japanese market buoyant but political concerns rise

    The Japanese tourism market was buoyant in 2018, rising 27.6 percent to 2,948,527, a 19.2 percent share of arrivals. December saw a 33.5 percent rise year-on-year.

    The combination of concerted Japanese visitor growth and a strong yen has been reflected in increased duty free spending. A report by The Korea Herald said that January 2019 sales to Japanese consumers at Lotte Duty Free’s flagship store in Myeong-dong, Seoul (the country’s biggest travel retail door) had surged 31 percent year-on-year, compared to 15 percent for all nationalities.

    The same report said that Shinsegae Duty Free’s Myeong-dong store posted a 53 percent rise in sales to Japanese shoppers during the same period, while overall turnover at the flagship fell 1 percent.

    But prospects for a continued boom in Japanese tourism may be marred by a worsening political dispute, this time between South Korea and Japan. A military row began on 20 December following an encounter between a Japanese plane and a South Korean destroyer.

    The Japanese claimed that the South Korean warship aimed its fire-control radar at the aircraft while the Koreans contend that the ship was rescuing a North Korean ship drifting in international waters.

    Several more ‘fly-buy’ incidents since then have escalated tensions, leading to fears that the row could “snowball into crisis”, as CNN wrote.

    Departures of Korean nationals (along with Chinese and Japanese the key components of the Korean travel retail industry consumer mix) rose 8.3 percent year-on-year in 2018 to 28,695,983 and 3.8 percent in December to 2,495,279. The year ended much weaker than it began – five of the first six months saw double-digit increases, all of the final six months were under 6 percent.

  • Tourists devote a quarter of budget to shopping

    Tourists devote a quarter of budget to shopping

    Retail shopping continues to be the largest expense for tourists from China, according to a survey from Nielsen and Alipay, accounting for almost a quarter of total spend. The 2018 trends of Chinese mobile payment in outbound tourism survey revealed that retail spending took up 24.6 per cent of Chinese tourists average spend, followed by accommodation, dining and tourist attractions.

    Interestingly, the report found that Chinese millennials are no longer the single most dominant user of mobile payments.

    “In 2017, 55 per cent of Chinese tourists born between 1960-1979 used mobile payments while travelling overseas – significantly lower than the proportion of millennial tourists,” the report reads.

    “In 2018, the usage rate rose to 68 per cent, almost equalling their younger peers.”

    Average budget for the typical Chinese tourist increased 15 per cent to AU$9,382 over the year, and a familiarity with mobile payments drove increased spend, with 56 per cent of surveyed merchants claiming improved sales after adopting mobile payment system Alipay.

    However, a study by Coresight research in October 2018 found that, while Chinese tourists were travelling more often they were spending around 18 per cent less in the retail environment – a figure driven by a recorded 24 per cent decline in average shopping trip spend.

    Lees ook:

    Lees ook:

  • Northern Vietnam casino reports first profit in three years

    Northern Vietnam casino reports first profit in three years

    Royal Casino, the largest in the northern Quang Ninh Province, last year reported a profit for the first time in three years. Royal International Corporation, its operator, said revenues grew by 48 percent from the previous year to VND288 billion ($12.39 million), and profit after tax to VND17 billion ($731,263) in 2018. This is the company’s first profit since 2015.

    The owner of the company is Khai Tiep International Investment Limited, registered in the Cayman Islands.

    The casino accounted for VND178 billion ($7.66 million) with the rest coming from hotel, villas and hospitality-related services.

    The company’s management said in a financial report that the growth in the casino’s revenues was due to the sharp increase in the number of customers after an expressway connecting Quang Ninh’s Ha Long town  with northern Hai Phong City was built last September.

    Linking up with the Hanoi-Hai Phong expressway, it cuts the travel time from the capital to Ha Long by half to just 90 minutes.

    The company also saved VND16 billion ($688,192) last year in sales and management costs.

    At the end of last year the casino had 1,346 employees, 80 fewer than at the beginning of the year.

    On Saturday Corona Resort and Casino in the southern Phu Quoc Island became the first casino in Vietnam to allow Vietnamese to gamble.

    The government has allowed a three-year trial period.

    Vietnamese who gamble here must be over 21, earn a minimum of VND10 million ($430) a month and have no criminal record or objections from family.

    Lees ook:

  • Korea Grand Sale gears up for kick off

    Korea Grand Sale gears up for kick off

    Korean tourism authorities were set on January 14 for the official opening of the Korea Grand Sale, an annual event for foreign shoppers with events, promotions and sales across the country. This year’s event, jointly hosted by the Ministry of Culture, Sports and Tourism and the Visit Korea Committee, will be held from January 17 until February 28.

    The theme of this year is “Travel, Taste, Touch,” and will offer benefits of varying degrees from 51,497 businesses. According to the ministry, around 850 enterprises will hold sales, including discounts of up to 97 percent on flights to Korea from airlines including Air Seoul.

    Up to 25 percent discount will be provided at eateries at the top-notch hotels across the country.

    According to a survey on what foreigners did while visiting Korea conducted by the ministry, 72.5 percent of all foreign visitors in 2017 said shopping, while 58.2 percent said eating and tourism.

    A tourism program featuring restaurants with over 50 years of history — including “Cheongjinok,” “Ureok,” “Hadongkwan,” “Joseonok” and “Yeolchajib” will be held with Korean celebrity chefs as guides. Other packages include Korean food and temple food for foriengers, and ski packages.

    For those who need assistance, a welcome center will be open throughout the festival period at Cheonggye Plaza in Jongno-gu, Seoul from 12 p.m. to 8 p.m. Tour guides will circulate popular tourist areas like Hongdae or Dongdaemun, accompanied by interpretation services.

    A welcome booth for foreigners will operate at Incheon International Airport and Gimpo International Airport from February 1-8, to coincide with the Chinese and Korean Lunar New Year holidays.

    At the welcome center, Korea Tour Card will be given free to the first 50 visitors every day. The 10,000th visitor will receive a coupon for a stay at a local hotel.

  • Berjaya Land to build Four Seasons Resort in Okinawa for US$1b GDV

    Berjaya Land to build Four Seasons Resort in Okinawa for US$1b GDV

    Berjaya Land Bhd’s (BLand) subsidiary Berjaya Okinawa Development Co Ltd will develop the Four Seasons Resort and Private Residences Okinawa in Japan, which has an estimated gross development value of US$1 billion (RM4.1 billion), in partnership with hospitality company Four Seasons Hotels and Resorts. BLand’s parent Berjaya Corp Bhd founder and executive chairman and BLand major shareholder Tan Sri Vincent Tan said the project has a development cost of US$400 million (RM1.64 billion).

    Four Seasons Resort and Private Residences Okinawa will have 120 hotel rooms, 120 residences and 40 villas. The project is expected to take four years to complete.

    Tan said Four Seasons Resort and Private Residences Okinawa is another iconic project in Japan for the Berjaya group, emulating the success of Four Seasons Hotel and Hotel Residences Kyoto, which was launched in December 2016.

    “We think it will be the most valuable and expensive hotel in Okinawa. It will have the highest rate, just like Four Seasons Kyoto where the average rate is US$1,500 per night, but Okinawa will be slightly less. It will be good for BLand and BCorp,” he said at the hotel management agreement signing ceremony.

    He added that four-star hotels in Okinawa average at US$700-US$800 per night while the better ones are priced at US$1,000, viewing that Four Seasons Resort and Private Residences Okinawa will do well there.

    “I’m confident that Okinawa will be an outstanding successful project for Berjaya,” said Tan.

    The project will comprise 30 acres out of the 100 acres of beachfront land owned by BLand along the western coast of the island of Okinawa.

    “We have another 70 acres. We can build many more hotels on that land and Okinawa is a good market. We can do shopping mall, residences, three- or four-star hotels,” added Tan.

    This is BLand’s second partnership with Four Seasons but Tan said both parties are also in talks on future projects in Japan and other cities.

    Four Seasons operates 111 hotels and resorts, 41 residential projects in major city centres and resort destinations in 47 countries, and with over 50 projects under planning or development.

    “We have plans to grow our footprint in Japan such as Osaka, Hakone, leisure destination in Hokkaido, including Niseko. It’s a country that we continue to focus on, not only growth but also operating existing assets there,” said Four Seasons Hotels and Resorts senior vice-president for development Asia Pacific Christopher Wong.

    When asked if Four Seasons Resort and Private Residences Okinawa will also be put for sale, like the Four Seasons Kyoto, Tan said it is possible, adding that every thing is up for sale with the right price.

    On the divestment of the Four Seasons Hotel in Kyoto, Tan said it is talking to several parties for a better price and is expected to be finalised in the next three months.

    On the plan to carve out the hotel assets from BLand and to list the hotel business in Singapore, Tan said it is not finalised yet, but it could include Malaysian hotel assets.

    “We will list those that we’re not selling. We have a few hotels that we’re not selling like Berjaya Times Square Hotel and Ansa Kuala Lumpur. Those that we want to hold for long term, mostly are the Malaysian hotels,” he added.

    Lees ook:

  • Hanoi, HCMC hotel rooms getting expensive

    Hanoi, HCMC hotel rooms getting expensive

    Hotel room rates in Hanoi and HCMC, at around $110 a night, are the second most expensive in Southeast Asia behind only Singapore. Real estate services firm CBRE Vietnam said at a recent conference that the performance of the four- and five-star hotel segments was very strong in 2018 due to limited supply but constantly increasing demand.

    By the end of the year the average rent in this segment reached $112.6 in Hanoi and $114.1 in HCMC. High-end rooms in Hanoi number 7,770, of which two thirds are in the five-star category, and their average occupancy rate last year was 78.4 percent.

    Most of them are concentrated in the downtown area and Ba Dinh, a central district where most government offices and embassies are located.

    CBRE said in recent years sharing economy models like AirBnB have been trending, with AirBnB supply in Hanoi and Ho Chi Minh City topping 24,000 units compared to 17,500 four- to five-star hotel rooms.

    “However, despite the rapid growth of this model, room-sharing has not a clear impact on business in the four-five-star segment.”

    As of 2017 there were 118 five-star hotels/resorts in Vietnam, almost twice the number in 2013.

    They had an occupancy rate of over 75 percent, 5 percentage points up from 2016, according to global consulting firm Grant Thornton.

    Vietnam National Administration of Tourism (VNAT) statistics show an upsurge in the number of foreign visitors to Vietnam in the last few years. Last year 15.5 million came to the country, a 20 percent rise from 2017.

    Lees ook:

    Lees ook:

  • Beijing approves blueprint for ‘Greater Bay Area’

    Beijing approves blueprint for ‘Greater Bay Area’

    Chinese Vice-Premier Han Zheng, the point man on Hong Kong and Macau affairs, recently gave the green light to the official document on the “Greater Bay Area” following extensive consultations with local governments, a Beijing source said. “No party or agenda, including even environmental protection, will be left behind by this all-inclusive blueprint,” the official said.

    More than three years in the making, the Greater Bay Area was first mentioned in a development action plan jointly outlined by China’s top authorities on economic planning, commerce and foreign affairs to create a new economic growth engine by pooling together Hong Kong, Macau and nine neighbouring cities in Guangdong province.

    The mega zone covers 56,500 square kilometres, has a combined population of about 67.6 million and accounted for 12.5 per cent of the country’s gross domestic product in 2016.

    Hong Kong leader Carrie Lam Cheng Yuet-ngor has taken part in discussions on the scheme since August last year, becoming the city’s first chief executive to join a leading group under China’s cabinet, the State Council.

    Authorities were now working on the implementation plan, Zhang said in an interview with state broadcaster CCTV which was aired on Saturday night.

    Hong Kong, Macau, Guangzhou and Shenzhen would be the central cities in the bay area, and each had their own unique positioning, he said.

    Hong Kong will be the international finance, navigation and trade centre, as well as a transport hub. It will have the role of pushing finance, trade, logistics and professional services towards the high-end market.

    Macau will be an international tourism city and a platform for trade with Portuguese-speaking countries. Guangzhou will take a leading role as a national central city while Shenzhen will take a leading role as a special economic region and an innovative city, he said.

    The planners hope the advantages these four cities enjoy can complement each other and offset the challenges brought by gaps in the legal and economic systems.

    The international network and mature market economy of Hong Kong and Macau could have big potential when combined with the vast hinterland and market Guangzhou enjoyed, he said.

    “Under the new circumstances, Hong Kong and Macau still have their unique position and advantages that cannot be replaced,” Zhang said.

    He revealed for the first time that there were almost 100,000 Hong Kong residents and nearly 20,000 Macau residents who had applied for a new identity card that would grant them access to a wide range of social and public services on the mainland. The arrangement was introduced on September 1 last year.

    There were high expectations that Beijing would reveal the blueprint when Premier Li Keqiang said in March last year there would be an announcement soon. But the central government has since been embroiled in a trade war with its biggest trading partner, the United States.

    Sources said that the tussles over political interests and dominance among the Greater Bay Area parties was a reason behind the delay and meant the central government had to step in to coordinate.

    “But the most important question here is whose model to follow and whether the tussle is about Hong Kong converting mainland cities or the other way around?” said an academic who has direct knowledge of the blueprint’s planning.

    “Mainland cities are hesitant to follow Hong Kong’s model in case they lose official powers.”

    An internal study by an official think tank seen by the Post said the crux of the Greater Bay Area integration was about putting “one country, two systems” into practice but differences in economic, tax, customs and legal systems that would ensure Hong Kong and Macau’s high degree autonomy have remained key challenges.

    Lees ook:

    Lees ook: