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More Michelin stars shine in Hong Kong

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TTR WEEKLY
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HONG KONG, 28 January 2022: The 14th edition of the Michelin Guide Hong Kong and Macau 2022 unveiled 71 starred restaurants in Hong Kong.

This year’s guide makes Hong Kong home to seven three-star restaurants, 12 two-star restaurants and 52 one-star restaurants, according to the Hong Kong Tourism Board announcement.

Octavium and Yan Toh Heen were promoted to two stars. The nine newly one-starred restaurants are Belon, Chaat, Hansik Goo, I M Teppanyaki & Wine, Mono, Seventh Son, Sushi Wadatsumi, Whey and Yong Fu.

On the green and organic front, Roganic maintained its Michelin Green Star distinction, and two-star Amber earned a Michelin Green Star for its commitment to sustainable gastronomy.

Hong Kong Tourism Board noted: “restaurants in Hong Kong have shown dedication and perseverance during the past years.”

(Source: Hong Kong Tourism Board)

Philippines cranks up ESL hub

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TTR WEEKLY
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MANILA, 28 January 2022: The Department of Tourism emphasised the importance of promoting the country as an ‘English as a Second Language’ (ESL), hub during the 2nd Hybrid Philippine Education Tourism Conference (PETC) hosted in Clark, Pampanga 26 to 27 January.

Led by the DOT through its Office of Product and Market Development, the two-day conference focused on expanding ESL services as a core product in the expanding educational tourism sector.

“Among the biggest challenges we face today is how to provide students with their learning requirements effectively. Because of the pandemic, teachers, students, and schools had to shift quickly to digital forms of instruction,” Tourism Secretary Bernadette Romulo-Puyat stated at the opening of the conference on 26 January.

“Despite this difficult educational environment, we have to continue equipping our students with the necessary skills to succeed in an unpredictable world, which requires innovation and a strong support network. As such, the Department of Tourism will continue to conduct activities that will further the growth of the education tourism industry and assist our stakeholders.”

Before the pandemic, the Philippines was considered the world’s fifth-largest ESL provider, Puyat noted saying it was mainly due to successful ESL promotions dating back to 2013.

To enhance the country’s position, not only as an ESL hub but also as a multi-faceted education tourism destination, PETC showcases both local and foreign students short-term online and offline education tourism programmes that are being offered by institutions in the Philippines.

Invited experts addressed such topics as international mobility, the latest education requirements for foreign students, and best practices of neighbouring countries that local institutions can adopt to mitigate the impacts of the pandemic.

Other major components of the PETC event included the virtual business-to-business and business-to-consumer networking activities on 28 January that provided opportunities for stakeholders and key players to forge new partnerships and exchange ideas on education trends.

The first PETC was first organised by the DOT in Lapu-Lapu City, Cebu in July 2019. The event was attended by more than 350 participants from ESL schools, colleges, universities, associations, and government agencies.

(Source: DOT)

Lockdowns hit HKIA 2021 passenger traffic

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TTR WEEKLY
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HONG KONG, 28 January 2022: Passenger traffic remained at a significantly low level compared to pre-pandemic times due to the severe impacts of Covid-19 and travel restrictions according to 2021 air traffic figures released by Airport Authority Hong Kong (AAHK) earlier this week

While the cargo performance remained resilient, the Covid-19 pandemic decimated passenger traffic. In 2021 HKIA handled 1.4 million passengers and 144,815 flights, marking year-on-year declines of 84.7% and 9.9%, respectively.

In contrast, cargo throughput in the year rose by 12.5% year on year to 5.0 million tonnes, exceeding the 4.8 million tonnes recorded in 2019, the year before the outbreak of Covid-19. The number of cargo flights surged to a record 82,935, a year-on-year increase of 19.8%. Monthly cargo throughput also reached a new monthly high in November 2021.

HKIA handled 154,000 passengers and 14,515 flights during December 2021, increasing 70.0% and 14.7%, respectively, with outbound transfer passengers from Mainland China recording significant increases compared to the same month in 2020.

(Source: AAHK)

AAPA: 2021 passenger traffic paltry

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TTR WEEKLY
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KUALA LUMPUR, 28 January 2022: Covid-19 and harsh border restrictions continued to decimate international air passenger demand for the region’s airlines throughout 2021, dashing hopes of recovery in air travel markets, according to the Association of Asia Pacific Airlines.

AAPA’s preliminary 2021 traffic results showed that the 16.7 million international passengers carried in the year 2021 represented just 4.4% of the volumes recorded in pre-pandemic 2019, whilst offered seat capacity averaged 13.8% of the levels registered in 2019.

For the full year, the international passenger load factor was a paltry 32%, underscoring the ongoing challenging conditions faced by the region’s airlines in the passenger sector.

On the other hand, international air cargo markets saw encouraging growth over the course of the year. With major manufacturing hubs located in the region, Asia Pacific airlines benefitted from buoyant export demand for consumer and intermediate goods. In addition, supply chain bottlenecks at container shipping ports boosted demand for shipments by air.

For the full year 2021, international air cargo demand as measured in freight tonne-kilometres (FTK) registered a robust 20.1% year-on-year increase, after posting a 15.4% annual decline in the year 2020 when the widening spread of the Covid-19 pandemic severely curbed economic growth across the world.

Compared to the growth in demand, offered freight capacity expanded at a markedly slower pace of 8.1% in 2021, as the drastically reduced international passenger operations adversely affected belly-hold cargo capacity, although this was partly mitigated by the deployment of cargo-only passenger flights and increased freighter operations. As a result, the international freight load factor climbed 7.4 percentage points to 74.3%, the highest annual average on record.

Commenting on the results, AAPA Director-General Subhas Menon said: “For a second year running, international passenger travel remained severely suppressed, as a result of strict border measures imposed throughout the region and elsewhere. It is the worst crisis the region’s airlines have ever faced in terms of duration and depth.”

“As vaccination programmes got underway, some governments began to ease travel restrictions in the latter part of the year, supporting some improvement in the number of international passengers carried in December to 7.6% of 2019 volumes. However, the emergence of the Omicron variant has put the brakes on recovery.”

He added: “The air cargo business segment has been a silver lining for the aviation industry, with strong demand helping to mitigate the loss in passenger revenue partially. In FTK terms, international air cargo demand for the year 2021 has recovered to just above pre-crisis levels.”

Menon concluded: “Overall, whilst 2021 will be remembered as one of the most challenging years for the region’s airlines, it has also demonstrated the industry’s extraordinary resilience as airlines continue to play a vital role in connecting people and transporting essential goods across the world. For meaningful recovery to take place, border restrictions would need to be eased on a consistent basis, and the current multi-layered travel requirements streamlined and simplified for travellers. Collaboration among aviation stakeholders and governments is key to the safe and sustained resumption of air travel.”

(Source: AAPA)

Vietnam Airlines resumes flights to Europe

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TTR WEEKLY
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HANOI, 28 January 2022: Vietnam Airlines has resumed flights to Europe this week before reintroducing flights to Russia on 29 January.

The airline resumed flights to Paris France, London UK and Frankfurt, Germany, starting 25 January after close to a two-year gap in air services, Vietnam News Agency reported.

Flights to the European cities from Hanoi will depart every Tuesday to London with a stop in Frankfurt. A second weekly flight will depart every Thursday from Hanoi to Paris also with a stop in Frankfurt.

According to VNA’s report, about 140,000 overseas Vietnamese plan to travel home during the annual Tet. The holiday season typically runs for almost a month, starting from the weekend on the eve of the official holiday from 1 to 3 February. 

Travel remains limited to Vietnamese citizens returning home, foreigners invited on official business and officials working for foreign diplomatic missions.

Vietnam Airlines confirmed it had resumed flights to 12 countries such as the US, Japan, the Republic of Korea, Singapore, Thailand, Cambodia, Taiwan (China), Australia, Russia, the UK, France and Germany.

(Source: VNA)

SQ reschedules VTL flights from Perth

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TTR WEEKLY
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SINGAPORE, 28 January 2022: Singapore Airlines’ latest travel alert confirms the airline has moved the launch date of its VTL flights from Perth to Singapore to 5 February 2022 instead of 1 March 2022,

Based on the latest guidance from authorities, all VTL flights from Perth that were scheduled between 5 February 2022 and 28 February 2022 will retain their VTL flight status.

The airline affirmed that customers with existing bookings on these flights can continue with their travel plans.

Singapore Airlines (SIA) has announced Vaccinated Travel Lane (VTL) services to Singapore from the following countries: Australia, Brunei, Cambodia, Canada, Denmark, France, Germany, Indonesia, India, Italy, Malaysia, the Netherlands, South Korea, Spain, Sri Lanka, Switzerland, Thailand, Turkey, the United Kingdom, and the US.

The SIA Group currently does not operate flights to Fiji, Finland, Qatar, and Sweden, although they are listed under Singapore’s VTL arrangements. 

Currently, SIA Group operates VTL services from 34 cities in its global network to Singapore. With the addition of Perth from 5 February 2022, this number will increase to 35 cities.

SIA Group suspended VTL Flights from Chiang Mai and Phuket in Thailand due to regulatory reasons.

(Source: Singapore Airlines)

Top booking sites in 2021

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TTR WEEKLY
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BANGKOK, 27 January 2022: SiteMinder, a leading open hotel commerce platform, unveiled Wednesday the lists of distribution channels that over the past year brought the highest booking revenue to hotels in Asia and more than 20 other of the world’s most popular tourism destinations.

In Asia, the top 12 hotel booking channels in 2021, based on total gross revenue made for all users of SiteMinder’s platform, were:

1. Booking.com
2. Agoda
3. Hotel websites (direct bookings)
4. Expedia Group
5. Trip.com
6. Traveloka
7. Hotelbeds
8. ezTravel
9. Global distribution systems
10. Tiket.com
11. AsiaYo
12. Hotels Combined

Looking at the whole picture, the list for Asia indicates an online commerce strategy consisting of both new and established channels, resulting in a greater balance between direct and indirect revenue streams.

Direct bookings climbed one position to third in Asia. Globally, direct bookings now rank as one of the top two revenue drivers in more than half (12) of global markets – up from five markets last year and two in 2019 – driven by increased investments in booking engines, hotel websites, metasearch, frictionless payments, support from hotel consultants and specialist applications designed for conversion.

This year’s lists also feature 29 new distribution channels—including ezTravel and AsiaYo in Asia—reflecting the current aptitude among hotels to embrace new revenue streams in their pursuit of new customers.

Other major findings included:

● The maintained relevance of regional channels, particularly in locations with ongoing reduced international travel. Half of Asia’s Top 12 are Asian-headquartered businesses and, in Indonesia, Traveloka achieved a breakthrough performance to top the list of revenue-generating channels for local hotels after rising to second place in 2020.

● The ongoing importance of wholesalers for many accommodation providers, with leading bedbank Hotelbeds again among the Top 12 in Asia and each destination examined. Sunhotels by WebBeds was also a newcomer to SiteMinder’s Austrian and Thai lists.

● The consistent performance of global distribution systems, which rose two or more positions in Asia and six other markets – Thailand, Canada, Mexico, the Middle East, the Netherlands and the Philippines.

“We’re living in a new era of the hotel guests, dominated by what we’ve identified as the ‘dynamic traveller’ who comes with evolved booking behaviours and preferences. Our data highlights the willingness of hoteliers to adopt both new and established methods to attract these customers, as they pursue a more holistic hotel commerce strategy to sell, market, manage and grow their business,” said SiteMinder’s senior director of global ecosystem, James Bishop.

Click here to view the Top 12 lists of all travel destinations worldwide and insights into the 2022 traveller from top distribution channel providers.

Royal Cliff Hotels Group names GM

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TTR WEEKLY
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PATTAYA, 27 January 2022: Royal Cliff Hotels Group has announced the appointment of a new group general manager effective March 2022 and has opened applications for various mid-level manager posts at Pattaya’s top resort and events venue.

In a post published on Linkedin earlier this week, the hotel group confirmed Douglas Glen had been appointed as the group’s new general manager.

Credit: Royal Cliff Hotels Group – Linkedin.

The announcement said he would join the hotel group this March 2022, when” we look forward to his contribution to taking Royal Cliff to the next level of hospitality.” He will replace the former general manager Prem Calais.

The group is preparing for a full opening in March following the introduction of Pattaya as the latest sandbox scheme destination. It will also benefit from the reintroduction of the Test & Go Thailand Pass that allows travellers to fast-track entry with just two one-night stays over fives days in a certified hotel while undergoing PCR testing. 

The group’s HR Facebook page has posted job vacancies for various mid-management posts and receptions leading up to the March opening.  

Singaporeans spend more on travel

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TTR WEEKLY
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SINGAPORE, 27 January 2022: After being grounded for nearly two years, the opening of 24 Vaccinated Travel Lanes (VTL) in the second half of 2021 was the light in the tunnel for travel-starved Singaporeans.

Travel behaviour was particularly evident during the year-end holiday season, with YouTrip – Singapore’s leading multi-currency wallet – registering a 400% year-on-year (YoY) increase in total overseas spending among its local users in November and December 2021.

The company also revealed that total airline bookings in both months spiked by 700% YoY. Similarly, hotel bookings in that period increased by more than 500% YoY, while purchases on travel agencies and attractions grew more than 1300% YoY during the holiday season.

Analysing Singaporeans’ year-end overseas spending, YouTrip has uncovered three key insights.

Younger travellers spend more

Younger Singaporeans made up the majority of this first wave of jet-setters, with one in two travellers aged between 20 and 35 years old. This was followed by those in the 35 to 50 age range (30%), while those above 50 (20%) took a more cautious approach to flying.

Looking at their expenditure, the Gen Z and Millennials (20 to 35 years old) chalked up an average estimated SGD1,000 worth of in-store spending in the countries they visited – a 50% increase from the average spending in 2019 before the pandemic hit. This formed the biggest rise in spending among the age groups, illustrating their willingness to loosen the purse strings for a more desirable travel experience.

Expenditure did not include spending on air flights and hotels.

Singaporeans above 50 years old emerged as the biggest spenders, with each trip averaging SGD1,500 – a 20% increase on 2019 data.

Europe and US top destinations

Singaporeans flocked to Northern Europe, Western Europe and North America as the top three regions. Singaporeans were also ready to go further afield after staying home for so long, switching their preference for Asian countries in 2019 to far-flung destinations in 2021.

Singaporeans splash out on luxury goods

‘Luxury shopping’ was a priority for most of their travel agenda, which explains why high-end brands such as Chanel, Hermes and Prada made up the bulk of locals’ overseas shopping spending. Interestingly, this was a contrast to the spending behaviour in 2019 when users opted for more affordable brands such as Uniqlo, Don Don Donki and Chemist Warehouse.

For dining, McDonald’s (#1) and Starbucks (#2) proved to be the comfortable choice for Singaporeans when it comes to F&B options, while some indulged in London’s Flat Iron (#3) steak. What stood out was also the rise in UberEats (#4) – possibly indicative of some travellers taking the safer option of dining in.

YouTrip Mastercard Flight Delay Pass

Despite the travel restrictions, YouTrip has also observed a significant number of travellers continuing to fly for personal and business needs. Singaporeans of the Mastercard Flight Delay Pass. With this Pass, each YouTrip user and a travel companion will be able to access over 1,000 airport lounges worldwide in the event their pre-registered flights are delayed for at least two hours.

About YouTrip

YouTrip is a Southeast Asian neobank offering the region’s first and leading multi-currency wallet. As a regional financial technology startup, it is dedicated to creating the best mobile financial services by simplifying foreign currency payments and offering the best exchange rates. YouTrip was launched in Singapore in 2018 and subsequently in Thailand in partnership with Kasikornbank in 2019. To date, it has received over 1.5 million downloads and processed close to 20 million transactions.

Singapore reviews 2021 tourism performances

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TTR WEEKLY
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SINGAPORE, 27 January 2022: Singapore’s international visitor arrivals reached 330,000 and tourism receipts an estimated SGD1.9 billion in 2021.

While these numbers represent only a fraction of Singapore’s tourism performance before the pandemic, there have been encouraging signs of recovery in the tourism sector, with year-on-year growth in the last three quarters of 2021.

The introduction of various travel arrangements, such as Vaccinated Travel Lanes (VTLs), has encouraged the gradual return of international travellers. Domestic consumption has also been strong, as the tourism sector pivoted to develop new and innovative experiences for locals.

Singapore Tourism Board chief executive Keith Tan said: “While it will take time for tourism numbers to return to pre-pandemic levels, we are encouraged by the resilience of our tourism businesses and their commitment to preserving good jobs, transforming their businesses, and investing in new products and experiences. These efforts will strengthen Singapore’s appeal as we prepare to welcome more international visitors.

“We must anticipate setbacks and challenges even as the tourism industry recovers slowly. But I am confident that the tourism industry has learnt from its experiences and is poised to recapture demand when it returns.”

2021 Tourism Performance

Singapore’s tourism sector recorded overall year-on-year declines in IVA and TR, largely due to the effect of strong tourism performance in the first two months of 2020. International visitor arrivals increased 221% in the last three quarters of 2021, compared to the same period in 2020. TR for the second and third quarters of 2021 is 92% higher than the same period in 2020.

Between January and December 2021, 330,000 international visitors arrived in Singapore. China (88,000), India (54,000) and Indonesia (33,000) were the top three visitor source markets in 2021.

Between January and September 202, tourism receipts reached SGD1.2 billion. Visitors from China, Indonesia and India, contributed SGD432 million, SGD127 million and SGD58 million in tourism receipts (excluding sightseeing, entertainment and gaming).

Stimulating Domestic Consumption

During this period, the tourism sector adapted to focus on domestic tourism, supported by STB initiatives such as the SingapoRediscovers campaign and the SingapoRediscovers Vouchers (SRV) scheme, which were both launched in 2020, as well as a range of new partnerships.

By the end of the SRV scheme on 31 December 2021, about 1.9 million Singaporeans had used their vouchers at least once, making about 2.6 million transactions. Close to SGD300 million in SRV transactions were recorded, comprising close to SGD180 million in vouchers and about SGD120 million in out-of-pocket payments for SRV bookings.

Hotels Industry Performance

In 2021, several new hotels with unique lifestyle concepts opened in Singapore, such as The Clan, Maxwell Reserve and Oasia Resort Sentosa. These additions complement existing hotels that used this period to refresh or rebrand their properties, such as Hilton Singapore (reopening as voco Orchard Singapore in 2022) and Mandarin Orchard (reopening as Hilton Singapore Orchard in 2022).

From January to December 2021, Singapore’s hotel industry registered an Average Occupancy Rate (AOR) of 56.2% t. This is a slight decrease of 1.1 percentage points compared to the previous year when AOR was reinforced by strong tourism performance in the first two months of 2020. Average Room Rate increased slightly by 2.7% to SGD158, while Revenue per Available Room held steady at SGD89.

Cruise Industry Performance

The cruise industry rebounded strongly following the start of “cruises-to-nowhere” in late 2020. Since then, Singapore’s cruise industry has seen over 400,000 domestic passengers set sail on close to 300 cruise sailings.

With the implementation of STB’s CruiseSafe certification programme and strong support from both Dream Cruises and Royal Caribbean International, there have been no COVID-19 clusters on board the two cruise ships to date.

Looking Ahead

STB will continue to ramp up efforts in our key source markets and deepen engagements with our tourism partners to capture growth and inspire travel to Singapore.

For example, STB will work with Singapore Airlines and the Changi Airport Group on the “Welcome Back to Singapore” campaign to instil travel confidence among international travellers. The campaign was launched in Germany and India after VTLs were established with these two markets. It will be progressively launched in more markets, including Australia, the United Kingdom, the United States, and South Korea.

For more details, check out the STB Year in Review 2021

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