Asia-Pacific has made a remarkable recovery after the pandemic, as highlighted by ForwardKeys’ director of intelligence & marketing, Olivier Ponti, at the recent PATA Annual Summit 2024 held in Macau.
During his presentation, Ponti unveiled insights into Asia-Pacific travel trends and stressed the pivotal role of increased flight connectivity, innovative marketing strategies, and relaxed visa requirements.
Airfares have shown a consistent downward trend since 2023, though still higher than 2019 levels due to limited capacity and strong demand
Steady recovery in flight connectivity
Connectivity in the Asia-Pacific region, which has faced significant challenges, is rebounding swiftly. As of the 1Q2024, the region’s seat capacity recovery is just 13% shy of 2019 levels. Notably, the Asia-Pacific outpaced global seat capacity growth, registering a seven-percentage point increase compared to the global average of three percentage points between 4Q2023 and 1Q2024.
Declining airfares amid growing demand
As seat capacity gradually rebounds, airfares have shown a consistent downward trend since 2023, despite remaining higher than 2019 levels due to limited capacity and strong demand. This trend was particularly evident during significant events such as Chinese New Year and major concerts in Singapore. For example, Taylor Swift’s concert in Singapore in early March led to a 17% increase in travel from South-east Asia, contrasting with a 27% decline in the rest of the month.
Visa facilitation draws in Chinese travellers
Chinese outbound travel during the recent Labour Day holiday indicates a mere 16% decrease compared to the levels recorded in 2019. The relaxation of visa policies has notably enhanced Chinese travel to numerous destinations. Data revealed a 212% surge in travel from China to Kazakhstan, with notable increases to Singapore, Azerbaijan, Malaysia, and the Maldives. However, Thailand’s slower recovery is attributed to ongoing safety concerns.
Innovative marketing strategies stimulate demand
Air Macao’s pandemic-era promotions, such as buy-one-get-one-free tickets, successfully attracted mainland Chinese couples and continue to do so post-lockdown. Their new Travel Pass offer for affordable travel from specific cities to Macau has further increased couple bookings by four percentage points compared to 2019 levels.
A positive outlook for summer 2024 travel
The forward-looking travel outlook for the region remains positive, although recovery is still ongoing. As of April 27, summer travel bookings to Asia-Pacific are down by only 12% compared to 2019 levels. In contrast, travel to Europe and the Americas has fully rebounded, and travel to Africa and the Middle East is down by just 5%.
PATA’s CEO, Noor Ahmad Hamid commented: “The travel industry can effectively attract tourism by harnessing the power of visa facilitation, strategic marketing, and leveraging major events. These elements are crucial in driving the recovery and growth of tourism in the Asia-Pacific region.”
IHG Hotels & Resorts has signed two new hotels to be launched in Japan and Nepal – ANA Holiday Inn Resort Karuizawa is slated to open in 2025, while Crowne Plaza Resort Nepalgunj, Nepal will open its doors early 2028.
In its first management agreement with Kajima Corporation, IHG is targeting a mid- to long-term mutual development partnership in Japan with the leading Japanese construction, civil engineering, and real estate development company.
ANA Holiday Inn Resort Karuizawa in Japan will open in 2025
The 100-key ANA Holiday Inn Resort Karuizawa will be an all-season resort situated in the majestic Asama wilderness, and is an hour and a half away from Tokyo Station.
The resort will also offer two pet-friendly villas, a restaurant, natural hot spring, gym, indoor swimming pool and other facilities. The grounds adjacent to the hotel will feature a ski slope for children and adults, as well as an 18-hole golf course.
Currently operating as President Resort Karuizawa, the property will undergo an extensive renovation and reopen as ANA Holiday Inn Resort Karuizawa in 1Q2025.
IHG has also partnered with Mansarovar Amusement Park & Resort to open Crowne Plaza Resort Nepalgunj, Nepal, which will boast over 100 guestrooms. Facilities will include multi-functional spaces, three F&B venues, fitness centre, club lounge, spa, and a retail store. For events, two meeting rooms and a ballroom will be available.
The hotel is located in Nepalgunj, the sub-metropolitan city of Banke District, which serves as a major transport hub for many of the western regions of Nepal. The city is famous for its treks to the Dolpo Plateau and Jumla region, and offers a strategic stopover spot on the pathway to the Himalayas.
The new resort will be easily accessible from the Nepalgunj Airport and the India-Nepal border.
You have in your hand a special issue, one that marks the 50th anniversary of both TTG Asia Media as a company and the well-known travel trade title TTG Asia. This milestone is not easy to come by when you consider how vulnerable the travel and tourism industry is to macroeconomic ebb and flow.
Yet, TTG Asia Media and its flagship title have continued to serve Asia-Pacific’s community of industry professionals uninterrupted, even through various crises that impacted travel and tourism. Along the way, the company has expanded its stable of travel trade titles, and established and grown other business divisions to support a wider range of industry organisations and functions.
I like to think that TTG Asia Media’s success is the sum of its people’s contribution. I am so proud to count many brilliant and resilient people as colleagues past and present. In developing this commemorative issue, I gave myself the fun assignment of interviewing some colleagues who play critical functions in the company. I hope their stories will allow you to better know TTG Asia Media and the work we collectively do.
And as we celebrate our Golden Jubilee, we also look ahead to the next decades through the projection of industry leaders and brave imagination of how travel and tourism should and could be.
Plaza Premium Group has appointed Syafrina Sharif as the global head of ESG & Sustainability, effective immediately.
An international sustainability expert with a proven track record of formulating and implementing impactful sustainability strategies and communications, training programmes, outreach initiatives as well as commercial engagements, Sharif has been actively promoting and leading the corporate sustainability agenda at engineering, construction and biotechnology multinational companies over the past decade.
Based in Kuala Lumpur, she has also been supporting the development of Malaysia’s National Planetary Health Action Plan.
Go City customers can now access all the Merlin attractions in Sydney thanks to the strategic partnership between Merlin Entertainments and Go City.
The Sydney Pass now includes Merlin’s iconic Sydney attractions – Sea Life Sydney Aquarium, Sydney Tower Eye, Madame Tussauds Sydney and Wild Life Sydney Zoo.
The collaboration will enable Go City customers to access all the Merlin attractions in Sydney
The collaboration recently expanded its London offerings for the London Pass as well.
Go City has focused on developing Asian markets in the recent years, targeting key markets like China, South Korea, as well as travellers from North America, the UK and Europe.
Kempinski Hotels has appointed Barbara Muckermann as its group CEO.
She joins from Silversea Cruises, which is part of the Royal Caribbean Group.
She has been in the hospitality industry for more than 25 years, during which she successfully expanded sales and profitability as well as significantly upgraded the guest and customer experience for leading global firms including Loro Piana, MSC Cruises and Norwegian Cruise Line.
PATA paid recognition to three tourism professionals and industry leaders, whose work has contributed to the overall development of Asia Pacific tourism and beyond, at the recent PATA Annual Summit 2024.
The PATA Life Membership was presented to Darren Ng, managing director, TTG Asia Media. As PATA’s highest individual honour, the award serves to recognise individuals for their leadership and dedication to the association.
(From left) PATA’s Peter Simone; AsiaChina’s Soon-Hwa Wong; OAG’s Mayur Patel; ECI Travel World’s Elizabeth M Chin; TTG Asia Media’s Darren Ng; and PATA’s Noor Ahmad Hamid
Ng served as the chairman of the PATA Singapore Chapter from 2008 to 2016 and is currently an advisor to the chapter. He has also been a council and advisory member of PATA, serving as an Industry council member, proxy member, and board member between 1990 and 2023. Currently, he holds a position on the Supervisory Board of PATA.
The PATA Award of Merit was presented to Elizabeth M Chin, executive director, PATA New York Chapter. This award is reserved for individuals who have consistently contributed to PATA and the PATA chapter network over an extended period of time.
Chin has played a pivotal role in the success of the PATA New York Chapter and supported numerous workings of the association as a whole. She began her professional journey as a corporate auditor, followed by over 25 years of diverse experiences across various industries, ranging from food service to entertainment. In 1986, Chin founded and has since served as the owner of ECI Travel World, providing travel experiences tailored to exploring destinations worldwide.
Mayur Patel, head of Asia, OAG, was presented with the PATA Chairman’s Award, reserved for individuals who have shown support, loyalty and dedication to the association and industry during their tenure.
Prior to joining OAG, Patel was with Amadeus. He also spent over seven years at IATA, in a variety of roles focused on aviation data solutions and services.
Meanwhile, PATA has appointed Soon-Hwa Wong, CEO of AsiaChina, its Ambassador for Greater China. He will work towards achieving the goals of PATA, facilitating collaboration among stakeholders in the travel and tourism industry, and enhancing the presence of PATA in Greater China.
PATA CEO Noor Ahmad Hamid said: “PATA congratulates all four individuals on this sincere acknowledgement of their passion and leadership in ensuring the responsible development of travel and tourism in Asia Pacific and beyond. With their guidance, the association continues to grow and serve its purpose in supporting the industry. Their tireless efforts should inspire all of us as fellow tourism professionals to fulfil our roles in driving tourism forward.”
Aviation experts weighing in on Singapore Airlines’ turbulence-related accident on Tuesday (May 21), where a 73-year-old passenger with a heart condition had died, say such fatalities are rare and that flying remains a safe way to commute over long distances.
The incident on SQ321, travelling from London to Singapore, occurred as the aircraft flew over the Irrawaddy Basin at 37,000 feet (about 11,277m) and dropped about 6,000 feet within minutes during sudden extreme turbulence, according to flight tracking data and updates from Singapore Airlines.
Pilots in flight will face turbulence associated with clear-air and convective weather, but these are rarely fatal
Thereafter, SQ321 made an emergency landing at Bangkok’s Suvarnabhumi Airport at 16.45 Singapore time.
A situation update from the airline issued early Wednesday morning stated that 79 passengers and six crew members are in Bangkok receiving medical treatment while those fit to fly have returned to Singapore on a relief flight that landed at Changi Airport at 05.05.
Speaking to Channel NewsAsia late on May 21, independent aviation analyst Alvin Lie said the intensity of turbulence experienced by SQ321 was likely “extreme” as it encountered clear-air turbulence (CAT), and that the phenomenon was rarely severe.
Stefan Wood, executive director at Air 7 Asia and pilot, who has flown in the region for the past 20 years, agrees that SQ321’s incident was unfortunate and rare, and stated that flying remains safe for travellers.
“Pilots in flight face turbulence associated with clear-air and convective weather such as thunderstorms. In the case of CAT, the aircraft can drop a couple of thousand-feet all of a sudden. Obviously, this will cause anything not buckled down to go flying,” Wood told TTG Asia in a call on May 22 morning.
Luzi Matzig, founder of Thailand-based VIP Jets, pilot, and chairman of travel and tourism firm Asian Trails Group, said “severe air turbulence can occur without warning” and injure passengers who are “on the way to or from toilets”. Injuries could be sustained when passengers are tossed against the plane’s ceiling and back onto the floor.
He stated that it would be wise for air passengers to “wear seatbelt at all times”.
Wood pointed out that the intensity of turbulence varies by aircraft size and flying altitude. Generally, larger aeroplanes are more stable while higher altitudes offer a more stable environment.
“The worst weather happens between 20,000 and 40,000 feet,” he said.
Larger passenger jets typically fly a maximum altitude of about 41,000 feet, whereas smaller private jets can go farther up to a maximum of 53,000 feet.
“To explain this simply, larger aircraft have to pressurise a larger cabin space, and it gets harder to pressurise at higher altitudes. On the other hand, smaller private jets have less cabin space to pressurise, hence it is easier to pressurise and can fly at higher altitudes,” said Wood.
Are flights more turbulent now? Social media chatter seems to paint a picture of flights encountering more frequent and intense turbulence.
Anecdotal feedback from conversations this TTG Asia reporter had with air crew during long- and mid-haul flights since the start of this year also indicated more frequent turbulence in the past year, with onboard injuries and minor accidents such as bumps and spills becoming commonplace.
An editorial authored by Yann Cabaret, CEO of SITA for Aircaft, and published in July 2023 on the SITA site, stated that climate change has resulted in a rise in extreme weather events, which have a significant impact on aviation operations, including flight delays and compromised safety of passengers and crew members.
He pointed to research published in June 2023 by the University of Reading showing a significant increase in CAT over the past four decades due to the warming climate, particularly in the US, the North Atlantic, South Atlantic, Eastern Pacific, Europe and the Middle East. CAT increases in northern Brazil and parts of the coast of Antarctica were more modest in comparison.
The study did not provide observations of CAT over Asian airspace.
Wood offered a different view: “You can talk about climate change and global warming, but my observations in flight are that it (intensity and frequency of air turbulence) has not changed. Thunderstorms build up and weather patterns come through – these things happen.”
“Aircraft weather radars are very good and should pick up on thunderstorms, allowing pilots to avoid them. However, not all weather is captured by radar, so pilots need to be situationally aware. Pilots can also spot weather conditions by looking out the front window, provided they are not in cloud, and by listening to other aircraft pilots in the region. Aircraft radar will show where other aircraft are going, and if they are going around something you cannot see yet, then you have to watch out,” Wood added.
In his post, Cabaret said CAT was “invisible and difficult to forecast ahead of a flight”, especially not by traditional onboard radar systems.
He wrote: “As different forecasts excel in specific areas, reliable and accurate weather forecasts and observations from various sources enable pilots and dispatchers to anticipate and avoid hazardous weather (including potential CAT occurrences), thereby reducing risks and improving safety.”
To achieve more accurate weather visualisation, SITA has developed solutions SITA eWAS and SITA Mission Watch to aggregate multiple weather feeds.
TTG Asia’s query to SITA about the accuracy of its weather aggregators and level of adoption of top-of-range weather visualisation technology by passenger airlines was unanswered at press time.
Cost of flying in turbulent weather Witsanu Attavanich, associate professor of economics at the Faculty of Economics at Kasetsart University in Bangkok, Thailand, told TTG Asia that the aviation industry must prepare for the potential rise in turbulence due to climate change.
Witsanu said: “Particularly in the region where the SQ321 incident occurred, over Myanmar-Thai airspace (Northern to Central Thailand and Upper Myanmar), published studies show this region is prone to weather conditions that lead to turbulence during this season – the months of March to May. During June to August, there will be less.
“Studies show that climate change leads to an increase of all forms of turbulence, and the potential economic impacts of this increase on the travel and aviation sector are manifold.”
He said turbulence could lead to increased fuel consumption, flight delays, cancellations, and even aircraft damage.
“Therefore, there may be increased fuel costs, as planes may need to carry more spare fuel to circumvent turbulence. Disruptions due to turbulence can lead to flight delays, cancellations and lost revenue. It can also damage aircraft, leading to repair costs and downtime, or contribute to passenger reluctance to fly,” he added.
The industry would also likely need to invest more money into technologies such as improved forecast models, advanced detection systems, and sensor development to better identify and circumvent turbulence, particularly CAT, he detailed.
Witsanu cited a US government study that suggested turbulence costs the country between US$150 million and US$500 million annually in economic impact. – Additional reporting by Anne Somanas
Indonesia is targeting more than US$5 billion in tourism investment this year and the Ministry of Tourism and Creative Economy (MoTCE) wants investors to inject their money beyond hotel developments.
Investment plans and schemes have been set up and will be presented during The 2024 Indonesia Tourism and Investment Forum (ITIF 2024), set for June 5 and 6 in Jakarta. Investments are targeted for the five Super Priority Development areas – Lake Toba, Borobudur, Mandalika, Labuan Bajo, and Likupang – plus the surroundings of Nusantara, the new capital city.
The 2024 Indonesia Tourism and Investment Forum will take place in Jakarta from June 5 to 6
During ITIF 2024, discussions will be held on hotel and restaurant investments as well as areas seeing growth, such as golf courses, medical tourism, and hospitals, said Rizki Handayani Mustafa, MoTCE’s deputy for industry and investment.
She added that enquiries from local and international hospitals keen on opening branches in Indonesia have spurred a deeper look into medical tourism development.
Apart from the main conference, there will be an Indonesia-India round-table discussion, according to Rizki, in response to the growing investment interest from India, as well as a round-table talk with Russia related to sustainability and other potential projects.
Triawan Munaf, vice chairman of tourism and creative economy at Indonesia Chamber of Commerce, said that while ITIF 2024 was one of the ways to attract investment, regional governments and developers must be clear about their destination’s strengths, needs, business potential, and seasonal waves to lure investors.
“(Investors) will choose places that need tourism infrastructure and facility development. In Lombok, for example, during the MotoGP season, we saw a need for more rooms because hotels were full. However, an investor would consider whether his hotel would be full all year before deciding to build one,” he explained.
Meanwhile, Ridha Wirakusumah, CEO of the Indonesia Investment Authority, pointed out that while Indonesia has a strong investment case, it needed to build a positive image to attract investors.
Australia’s tourism economy is expected to make a full recovery to pre-pandemic levels by the end of the year, with international visitation steadily increasing in most markets and some significant aviation gains.
Inbound arrivals in March were at 91 per cent of arrival numbers in 2019, with India and South Korea exceeding pre-pandemic numbers while other countries like China are slowly closing the gap.
Tourism Australia’s Phillipa Harrison addressing the media at ATE24
These developments were revealed at the Australian Tourism Exchange 2024 (ATE24), which is underway in Melbourne. The event has attracted unprecedented participation, with more than 2,600 delegates registered to attend, including 1,500 Australian sellers and 714 global tourism buyers. There are also 60 first time-sellers and 109 first-time buyers, reflecting a healthy interest in Australia as a tourist destination.
“We are confident this is the year we will return to those 2019 levels so we can stop referring to that benchmark and once again focus on the sustainable growth of our industry which we experienced in the decade leading up to the pandemic,” said Tourism Australia managing director, Phillipa Harrison.
“(Even) China, which is an exceptionally large market for us, is sitting in the 70 per cent mark now,” she noted.
Crucially aiding the recovery are new routes and increased connectivity, which were major points at the ATE24 press conference. Notable among these are 12 new international routes launched between November 2023 and December 2024, including direct flights from Mumbai via Air India and multiple routes from Shanghai, enhancing connections to Brisbane, Sydney, Perth, and Cairns.
Two new flights from Singapore to Broome and Darwin via Jetstar Asia and Qantas respectively are also added this year.
ATE24 also features an aviation hub for the fourth consecutive year, promoting vital networking among 31 airlines and representatives from all 17 international airports.
With a full international visitation recovery on the horizon, Harrison said Tourism Australia is beginning to turn more of its focus on efforts to create more sustainable growth while inspiring tourists to extend their stay and experience more of the country.
Indigenous tourism and epic self-drive adventures are also among key pillars driving its strategy moving forward.
“There’s a whole range of new events and new experiences. So, we have a lot of news to tell you about across Australia,” said Harrison.
Brendan McClements, CEO of Visit Victoria, said hosting ATE24 in Melbourne will play a key role in the sustained growth of Victoria’s visitor economy. He highlighted that the event provides an invaluable platform to globally promote the unique tourism experiences available across the state.
“The event provides a global platform for Visit Victoria’s new tourism campaign, Every bit different, which highlights the inclusivity, diversity and creativity of our State’s experiences and regions,” he said.
ATE24 is delivered by Tourism Australia in partnership with Visit Victoria.
Based in Kuala Lumpur, she has also been supporting the development of Malaysia’s National Planetary Health Action Plan.
She joins from Silversea Cruises, which is part of the Royal Caribbean Group.
She has been in the hospitality industry for more than 25 years, during which she successfully expanded sales and profitability as well as significantly upgraded the guest and customer experience for leading global firms including Loro Piana, MSC Cruises and Norwegian Cruise Line.