F1 race in Malaysia sparks inbound interest

Malaysia’s Formula 1 race next month is generating inbound tourism business, with Malaysian operators reporting enquiries and bookings from markets ranging from the India subcontinent and the Middle East to Africa and South-east Asia.

The Formula 1 Gulf Air Bahrain Grand Prix in Malaysia will take place from October 2 to 4, marking F1’s return to Sepang International Circuit (SIC) after a nine-year absence. Malaysia last hosted an F1 race in 2017, after 19 consecutive Malaysian Grands Prix at Sepang since the circuit made its F1 debut in 1999.

Sepang International Circuit will witness the Formula 1 Gulf Air Bahrain Grand Prix in October

Arokia Das Anthony, executive director of Essence of Asia Tours & Travel, told TTG Asia that he had enquiries from overseas agent partners in India, Nigeria, Morocco, Ghana and Ivory Coast as soon as the Sepang race was announced.

“We have so far sold two tours from India, with the travellers extending their stay in Kuala Lumpur after the race and booking tour packages with us,” he said. “Should F1 become an annual fixture, which I hope it does, it would attract high-spending tourists willing to extend their stay in Malaysia after the race.”

Next month’s race in Malaysia is a one-off event, with the Bahrain Grand Prix relocated to Malaysia rather than the Malaysian Grand Prix being reinstated on the F1 calendar.

SIC chief executive officer Azhan Shafriman Hanif has said Malaysia would need to spend at least RM300 million (US$73.7 million) annually to secure a permanent F1 slot, including hosting rights and local preparation costs.

U2 Travel & Tours is similarly packaging the event around accommodation and transfers to SIC, while also helping overseas agent partners purchase F1 tickets for their customers. Executive director K Jai Kishan said the company had received bookings from India, the Middle East, Singapore, Vietnam and Indonesia.

While some travellers are coming specifically for the sport, Jai Kishan said others, particularly from medium-haul and longhaul markets, are extending their trips. “South-east Asian visitors typically stay another night or two for sightseeing,” he said.

Separately, Amadeus Travel Intelligence data points to increased international travel activity around the period of the back-to-back F1 races in Malaysia and Singapore.

The top 10 origin markets for air arrivals into Malaysia during race week include Australia, India, the UK, Taiwan, South Korea, Singapore, Hong Kong, Thailand, Indonesia and Japan.

The UK was the fastest-growing international source market for Kuala Lumpur, with arrivals up 49 per cent year-on-year, followed by Australia at 40 per cent and Singapore at 38 per cent.

Air travel from Kuala Lumpur to Singapore between October 5 and 11 is also up 74 per cent year-on-year, pointing to the potential for fans to combine the Malaysian and Singapore races.

Amadeus also found that short stays of one to five nights in Kuala Lumpur increased 17 per cent year-on-year during the race period, while medium and long stays declined 8 per cent. Meanwhile, Singapore is seeing a strong shift towards medium length stays, with trips of six to 13 nights up 49 per cent year- on- year, suggesting visitors are building longer holidays around the event rather than travelling solely for the race weekend.

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