TravTalk

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Vol. XXIV No. 3; February 1 st fortnight issue 2012

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The Great India Roadshow in ME The Ministry of Tourism organised roadshows covering three cities of Saudi Arabia, namely Dammam, Riyadh and Jeddah to promote tourism, especially medical, wellness and luxury travel to India. whenever they are in need of short breaks and lastly the local population.

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he roadshows took place in Dammam on January 7, Riyadh on January 9 and in Jeddah on January 11 to promote medical, wellness and luxury travel to India.

“A Saudi leisure traveller from this region is traditionally a very high spender. Luxury is an essential part of their travel.

Combined with luxury, this traveller wants a family destination which must offer something for everybody (including domestic help). The next in their list would be wellness/medical,” said Devesh Chaturvedi, Additional Director General, Ministry of Tourism.

The presentations followed by B2B interactive sessions with the members of the Indian Tourism industry provided an opportunity to build awareness for the local industry on the ‘Incredible India’ tourism product.

While Dammam witnessed over 154 participants representing the travel trade, media and opinion makers, Riyadh had around 172 members from the travel industry and media. Jeddah,

Plan of Action Ministry of Tourism is developing a media plan which will update both the trade and the consumers on India’s existing and emerging tourism products There will be familiarisation trips for both media as well as the travel trade to India

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travtalkindia.com

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Ministry of Tourism delegation in Middle East Roadshow

the third city where the roadshow marked a success witnessed a participation of over 180 members from the travel and media industry.

The roadshow was led by RH Khwaja, Secretary, MOT, Government of India and witnessed the participation of the State Tourism Departments from Maharashtra and Jammu & Kashmir along with a strong 10-member tour operators group from the Indian Association of Tour Operators (IATO), Air India, Jet Airways and Taj Group of Hotels.

“The three roadshows held in the Kingdom of Saudi Arabia were a resounding success. Perceived as a tough market to gain access into, it was a revelation for the Indian delegation,” said Khwaja.

Meanwhile, lack of awareness of the India tourism product is one of the main reasons for Saudi traveller’s hesitancy to travel to India. “Therefore the Ministry of Tourism is developing a media plan which will update both the trade and the consumers on India’s existing

and emerging tourism products. Alongside the advertising campaign, there will be familiarisation trips for both media as well as the travel trade to India. The India Tourism office in Dubai will continue to communicate with both the trade as well as the media,” said Khwaja.

The target group in Saudi Arabia can be divided into three categories: Indian expatriates, who must be encouraged to discover their own country; as well as expatriates from other countries,

Surprisingly, apart from hygiene, this group of high spenders does not have any other concern about travelling to India. “India Tourism’s new mantra is to tap this very high-end market and keep them in India for a longer vacation,” concluded Chaturvedi.

A special four-member team including two Indian Chefs of India Tourism Development Corporation (ITDC), specially flown from India, was involved in all the three events, which portrayed a strong image of Indian tradition, decoration, culture and authentic Indian food.

The Bengaluru growth story See full story on page 04

VoA facilities extended See full story on page 05

Is it party time for hotels in 2012?

See full story on page 16

Question us if we don’t deliver on our promise: OTOAI President See full story on page 17

BULLETIN

Free visa for TAAI delegates The TAAI delegation will travel to Turkey for the TAAI Convention scheduled from March 11-14 in Istanbul, Turkey on complimentary Visa.

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urkey will grant free Visa to TAAI delegates heading for the TAAI Annual Convention cum Diamond Jubilee celebrations.

The announcement was recently made by Burak Akcapar, the Turkish Ambassador to India in a media briefing at hotel The Ashok in national capital. The Visa waiver gives the TAAI delegates a breather of about INR 2700.

Addressing the TAAI officials and media , the ambassador also informed that the 60th TAAI Annual Convention coincides with 60 years of the establishment of Indo-Turkey relationship. Akcapar said that there is a huge scope to grow people-to-people exchange through tourism between the two countries. He also hoped that Turkish Airlines would fly to more Indian cities

(L to R) Ozgur Ayturk, Turkish Culture & Tourism Counsellor; Sunil Kumar, General Secretary, TAAI; Burak Akcapar, Turkish Ambassador, Iqbal Mulla, President, TAAI, NM Sharafudeen, Vice President, TAAI and Adnan Aykac, General Manager, Northern & Eastern India, Turkish Airlines.

convention will be one of the most successful conventions in TAAI’s history. Also speaking on the occasion, Adnan Aykac, General Manager – Northern & Eastern India, Turkish Airlines, promConvention registration charges: ised that if TAAI Convention can muster Delegate type TAAI Members Non-TAAI Members 850 plus delegates (Amount in INR) (Amount in INR) for the forthcoming Delegate with or without spouse 35000 42000 convention, Turkish Two delegates sharing the same room 44000 55000 Airlines will make Charges without accommodation package* 12000 14500 two charter flights *Accommodation package includes Airport Transfers to Convention Hotel, 3 Nights available for the accommodation with breakfast for self and spouse, shuttle transportation and TAAI delegates, one Convention Tours. This package excludes airfare. each from Delhi *Following rates are subject to revision from February 6th, 2012. and Mumbai.

in the future. Speaking on the occasion, Iqbal Mulla, President, TAAI said that there are concerns about the number of delegates who will mark their presence at the conven-

tion in Turkey, similar to what people had in 2008 London Convention. However, the London Convention was a resounding success. And we are confident that the Turkey

STATISTICS

The Bengaluru growth story

VIEWPOINT

Stop the ‘Show’

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ndia is home to a large number of indigenous people, still untouched by the modern world. With a population of 84.4 million, India has the largest population of tribal people in the world spread across the length and breadth of the country, especially in Bihar and Orissa. Known as Adivasis, they still follow their own traditions, culture, language and lifestyle.

Should tribal tourism be encouraged in the name of sustainable tourism?

These are our people with sensibilities, not exhibition items on display!

The government has laid down a code of conduct to minimise the impact of tourists entering these areas, which is being totally flouted.

On the other hand, the government is turning tiger habitats in wildlife sanctuaries into protected areas, where tourists cannot go. The question here is the opposite: Should tourism be actually encouraged in the name of responsible tourism? Even though tigers need their solitude – tourism has actually helped increase their numbers, as tourists turn into vigilantes and the village folk have a source of revenue in these.

Earning out of the peculiarities of our country is a newfound source for travel and tour companies; be it tribal, rural, wildlife, religious or slum tourism…

The tourism industry must play its part by asking, “Do we call our tribes, our wildlife, our places of prayer ‘Attractions’ and display them or do we present them as our ‘National Heritage’ and preserve them?”

The government must play its part by strictly implementing the code of conduct laid down by them, weighing all in balance after carefully studying the repercussions each kind of tourism will have on our country and our culture. Foresight will save us from regret in the future!

Vikramajit Chairman SanJeet Publisher Rupali Narasimhan Editorial Director Deepa Sethi Editor

Editorial Shayan Mallick Ratan Kr Paul Megha Paul Anita Jain Justin Thomas Desk-Editor Archana Sharma Sub-Editor Raina Mandal Divya Goyal Photographer Simran Kaur

Advertising Gunjan Sabikhi General Manager N. Sanjiba Singh Sr. Manager Marketing Karishma Khanna Sr. Manager Marketing Manish Mangla Asst. Manager-Marketing Amit Sarkar Sr. Marketing Co-ordinator

With IT giants such as Infosys, Wipro, TCS, Accenture and HCL setting up bases in Bengaluru, it has rightfully been conferred with the status of ‘India’s Silicon Valley’. The implications on the hotels business are fairly obvious, and the effects increasingly evident. The recently released Jones Lang LaSalle Hotels report discusses the growing Bengaluru hospitality market. Excerpts: TT B U R E AU

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engaluru’s hotel market has evolved over the last decade, growing in tandem

Chart-1

(RevPAR) performance of the Bengaluru lodging market beginning fiscal year 2008-09 through 2010-11. The per-

Visitation Trends Bengaluru has witnessed a double digit CAGR for both international and domestic passenger traffic during the eight year period from Financial Year (FY) 2003-04 through 2010-11 International passenger traffic has increased from 0.5 million passengers in FY 2003-04 to 2.2 million passengers in FY 2010-11, an absolute growth of more than 340% Domestic passenger traffic in Bengaluru has risen from 2.7 million in FY 2003-04 to 9.4 million in FY 2010-11 recording a 23% CAGR Passenger movement has revived after a decline in the domestic passenger traffic and retarded annual growth in international passenger traffic in FY 2008-09 due to recession.

2009-10 as a result of substantial supply increases coupled with an ensuing economic downturn. Several companies also scaled down their travels due to the slow-

• Market-wide average rates peaked in 2008-09 at ` 12,000 before declining by almost 32 per cent in 2009-10, as a consequence of the global economic recession. However, 2010-

with the city’s emergence as a significant commercial destination largely driven by the IT/ITeS sector.

Hotel Supply Distribution Based on the research, Bengaluru has 48 branded hotels with 7,734 rooms spread across various star categories. Some of the prominent international operators in Bengaluru include IHG, Starwood, Accor and Wyndham.

11 numbers show rise of seven per cent in the average rates taking it to a level of ` 8,700.

• Historically, Ben-galuru has been ranked amongst the top performing markets in India in terms of RevPAR performance.

Lodging Market Performance

formance data is for branded hotels across all segments.

Based on Jones Lang LaSalle Hotels’ research, the data below represents the market-wide occupancy, Average Daily Rate (ADR) and Revenue Per Available Room

• Market-wide occupancy was at 67 per cent during 2008-09 before witnessing a steep decline to about 55 per cent in

Advertising (Mumbai) Suchita Saran Branch Manager Harshal Ashar Deputy General Manager Advertisement Designers Vikas Mandotia Nitin Kumar Renuka Mahich Design: Nityanand Misra Sudhir Mudgal Production: Anil Kharbanda Circulation: Ashok Rana

TRAVTALK is a publication of Durga Das Publications Private Limited.

All information in TRAVTALK is derived from sources, which we consider reliable and a sincere effort is made to report accurate information. It is passed on to our readers without any responsibility on our part. The publisher regret that he cannot accept liability for errors and omissions contained in this publication, however caused. Similarly, opinions/views expressed by third parties in abstract and/or in interviews are not necessarily shared by TRAVTALK. However, we wish to advice our readers that one or more recognised authorities may hold different views than those reported. Material used in this publication is intended for information purpose only. Readers are advised to seek specific

advice before acting on information contained in this publication which is provided for general use, and may not be appropriate for the readers’ particular circumstances. Contents of this publication are copyright. No part of TRAVTALK or any part of the contents thereof may be reproduced, stored in retrieval system or transmitted in any form without the permission of the publication in writing. The same rule applies when there is a copyright or the article is taken from another publication. An exemption is hereby granted for the extracts used for the purpose of fair review, provided two copies of the same publication are sent to us for our records. Publications reproducing material either in part or in whole, without permission could face legal action.

down. However, as domestic and international economies stabilised in 2010-11, demand levels strengthened and signs of a recovery were apparent with occupancy bouncing back to 65 per cent.

The publisher assumes no responsibility for returning any material solicited or unsolicited nor is he responsible for material lost or damaged.

Overall, as a result of occupancy and average rate dynamics, market-wide RevPAR declined by almost 44 per cent in 2009-10 from its peak in the preceding year.

This decline can be attributed to the addition of new supply during this period as well as the ensuing economic downturn. However, data reviewed for the period 2010-11 reveals that RevPAR levels have bounced back by 25 per cent driven by an increase in occupancy levels.

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MOT

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Visa-on-Arrival facilities extended To boost tourism inflow, four more airports will facilitate Visa-on-Arrival (VoA) and the government will soon finalise a list of 13 countries which will benefit from the scheme.

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xtending Visa-on-Arrival facilities to more countries and increasing VoA facilities at four more international airports was one of the major decision taken in a meeting presided by Pulok Chatterji, Principal Secretary to Prime Minister and attended by Secretaries of concerned ministries of Union government.

The Indian government is expected to extend VoA facilities to at least 13 countries from Europe, South East Asia and Central Asia. Home ministry has been asked to work on details of the proposed visa regime in a manner that factors in security concerns by utilising information-sharing agreements with Asean and the European Union while ensuring that travel to India becomes less hassle-free.

A decision to form a coordination committee consisting of Joint Secretaries of Home, External Affairs and Tourism Ministries was taken to resolve day-to-day visarelated complaints. Currently, Visa-on-Arrival is extended to 11 countries including Japan, Philippines, Singapore, New Zealand, Vietnam and Finland.

So far, the VoA scheme has registered modest success with over 12,761 visas issued last year.

Another related decision taken was to extend VoA

ONYX to launch Amari in India Hospitality ONYX Group, a Thailand-based hotel management company, has been appointed by Apna Punjab Resorts to operate a 127-suite hotel in Ludhiana, the business capital of the Punjab, under its cornerstone mid to upscale Amari brand. The hotel, expected to open in the second half of 2012, will be known as Amari Ludhiana.

“This project will mark the entry of the Amari brand into India and, it is therefore a very significant milestone for us,” noted Peter Henley, President and Chief Executive Officer of ONYX Hospitality Group.

“Ludhiana is a thriving city and we look forward to working with Apna Punjab Resorts to make Amari Ludhiana the city’s leading hotel.”

facilities to Kochi, Goa, Hyderabad and Bengaluru airports. Earlier this was restricted to Delhi, Kolkata, Mumbai and Chennai. From the beginning, the demand was to introduce this service to popular foreign tourists hubs like Goa and Kerala.

Finally at the request of state

governments, Union Tourism Ministry pushed their case with the Prime Minister’s office.

The decision to extend the facility at four more airports was taken at the first inter-ministerial coordination committee for tourism sector. Government had set

up an inter-ministerial coordination committee for tourism sector under the chairmanship of the Principal Secretary to Prime Minister to resolve interministerial and industry issues and promote tourism.

Secretaries of 14 departments including Tourism,

Urban Development, Transport, Home, External Affairs and Railways also attended the meeting. It was decided that the Home Ministry will take steps to facilitate extension of Visa-onArrival to Goa, Hyderabad, Kochi and Bengaluru airports within next one year.

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New Horizons Visa-on-Arrival facilities are extended to Kochi, Goa, Hyderabad and Bengaluru airports The Indian government is expected to extend VoA facilities to at least 13 countries from Europe, South East Asia and Central Asia So far, the VoA scheme has registered modest success with over 12,761 visas issued last year

AVIATION

Turkish Airlines emerging as the preferred European carrier in India The airline is also looking at expanding the bilateral civil aviation ties with India and open new routes here.

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iding on its impressive ‘network power’ that the Turkish Airlines boasts worldwide and especially in Europe, the carrier has fast emerged as the preferred choice of Indian passengers flying to Europe and beyond.

Looking at the growing demand, the airline has more than doubled its capacity on its Indian routes in the last two and half years and is today operating daily flights to Delhi and Mumbai from its hub in Istanbul.

“We are using the total capacity that the current bilateral allows us. There is a great demand of our product amongst those flying to Europe and the other destinations, thanks to our global network. About 88 per cent of Turkish Airlines’ Indian passengers are transit,” informs Adnan Aykac, General Manager – Northern & Eastern India, Turkish Airlines. Turkish today boasts of a network of 188 destinations including 144 internationally with about 80 destinations in Europe alone.

Istanbul being strategically located at the confluence of Asia and Europe, Turkish Airlines connects to any of its European destinations within two to three hours. We have a great product rated by Skytrax as the ‘Best in Europe’ in more than one categories. Besides, we offer the best applicable fare, attractive baggage allowance and maintain flexibility in our fare rules, be it cancellation or rebooking, making us the preferred choice of the Indian passengers travelling to Turkey.

The airline is also keen to expand the current bilateral air agreement between the two countries and has taken up the matter with the Directorate General of Civil Aviation in India. It is inter-

ested in not only increasing the frequency but also its route network in India. “We can start immediately, the moment we get the green signal from authorities here,” says Aykac.

Looking at the growing opportunity here, the airline recently established its direct

The integrated planet browser keeps passengers connected to the web and provides minute updates on the current affairs while flying. Not neglecting personal requirements, every passenger has access to the USB connection ports, charging docks and personal screens providing digital AVOD service. Turkish Airlines also tantalises the taste buds of its passengers by offering cuisines from all over the world.

These facilities are available on the business class of the recently launched aircraft of Turkish Airlines including A330-300 and Boeing 777-300 ER.

Best Airline in Europe Adnan Aykac General Manager – Northern & Eastern India, Turkish Airlines

office in India. The country also became one of its first international routes where the airline introduced its new product A330-300. The new aircraft boasts of 13 per cent additional capacity with 28 seats in Business Class and 261 in Economy Class.

New Business Class Soon after establishing its own office in India last July, Turkish Airlines introduced its state-of-the-art ‘New Business Class’ on its daily flights from New Delhi and Mumbai to Istanbul.

The New Business Class offers the travellers outstanding luxuries like a seat pitch of 61 inches and fully reclinable flat beds for comfort. The new and improved in-flight entertainment system with over 350 movies, a comprehensive music library and games in multiple languages including Turkish, English, Japanese, Chinese, Korean, Brazilian, Portuguese, Spanish and French, ensures passengers have an enjoyable journey.

Skytrax Awards, rated as the Oscar of the Aviation Industry and a world recognised brand with air travel excellence, awarded Turkish Airlines in three categories.

The airline was coveted the ‘Best Airline Europe’, ‘Best Premium Economy Seats’ for its Comfort Class seats and ‘Best Airline Southern Europe’ at the World Airline Awards by Skytrax for 2011.

Also known as the ‘Passengers Choice Awards’, close to 19 million airline customers from over 100 different nationalities participated in this customer satisfaction survey over a period of 10 months!

The airline also marked its name on the 3th place in the best airline companies in all European countries.

Go Live aboard Turkish Turkish Airlines now offers live and uninterrupted content on its in-flight television on Trans-Atlantic flights.

The service will offer several channels as BBC World, BBC Arabic and Euronews on available Turkish Airlines flights.

It also became among first European carriers by introducing WiFi internet access to its passengers.

SWISS opens new lounge and Business Class bus service SWISS recently opened a new Dock B at Zurich Airport. SWISS premium customers, especially travellers from India transiting via Zurich, can enjoy the new dock’s non-Schengen zone which includes the advanced new Lounge D, with 650 square metres of space to work or relax in. And for all

inbound Business Class customers, whose flights are not assigned a dock stand, SWISS is introducing a new and exclusive bus service from the aircraft.

Passengers transiting via Zurich, who do not hold a Schengen visa, can take advantage of the new SWISS Lounge D.

An exclusive Business Class bus service SWISS Business passengers arriving in Zurich during peak hours, whose flight still has to be handled at a “remote” stand, will now also enjoy an exclusive additional service. On arrival, they will be promptly carried to the terminal building in a special buses fitted with new SWISS design.

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HOTELS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Carlson Rezidor Hotel Group Carlson and The Rezidor Hotel Group recently announced that they have established the Carlson Rezidor Hotel Group. While the legal status and ownership structure of Carlson and Rezidor remain the same, the Carlson Rezidor Hotel Group will pursue the global alignment and management of its brands, the ambitious development of its revenue generation engines, global purchasing opportunities, and people development on a global basis. Commercial activities will be conducted under the Carlson Rezidor Hotel Group name, irrespective of geographies.

“Carlson and Rezidor have grown together over the past 17 years,” said Hubert Joly, President and Chief Executive Officer, Carlson.

“Going to market as one is a next and natural step.

We are leveraging the strengths of two great companies to create value for all our stakeholders.”

“The goal of this development is to generate more attractive financial returns for the owners and greater value for all shareholders, to be perceived by business

partners around the world,” said Kurt Ritter, President and Chief Executive Officer, Rezidor.

Through a number of concrete revenue generation initiatives, the Carlson Rezidor Hotel Group aims to generate more than USD 400 million in additional revenue and a RevPAR Index increase of more than 9 points by 2015. The group’s successful loyalty programme. The group will pursue the global alignment and management of its brands to ensure that its guests enjoy a compelling and consistent value proposition around the world.

Global people development programmes also will help the Carlson Rezidor Hotel Group fulfill its ambition to be the number one hospitality company to work for.

A global steering committee has been established to oversee these value creation areas and the development of the Carlson Rezidor Hotel Group. It is co-chaired

by Joly and Ritter.

Its new website, www.carlsonrezidor.com will be launched on February 1.

‘Learn with us’ programme Accor has recently launched ‘Learn with us’ programme which will help travel agencies in developing their expertise on Accor brands. It will help the agents in advising and informing their customers in a better format.

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ccor has introduced the ‘Accor Ambassador Programme’ with India’s leading general sales agent ‘Connect-Worldwide’ to strengthen its distribution in India. The exclusive and interactive online training programme is dedicated to travel

Connect-Worldwide The exclusive and interactive online training programme is dedicated to travel professionals within the travel agencies This educational training programme permits you to discover five modules which include Accor, Sofitel, Pullman, Novotel & Suite Novotel and the Ambassador House Module, which is the final quiz to be recognised as an Accor expert

Nikhil Dhodapkar

Vasudha Sondhi

Regional Director Sales & Marketing, Accor India

Managing Director Connect Worldwide India

professionals within the travel agencies. This will help develop its expertise on Accor brands and will also help in advising the customers in a better way. The company is also keen to grow its international sales from India.

Speaking on the Ambassador’s programme, Nikhil Dhodapkar, Regional Director, Sales & Marketing, Accor India says, “Accor has

ambitious targets for growth in sales from India and we are constantly working towards improving the reach of our distribution system in the country. We expect a significant per cent of increase in the business to our hotels, both domestic & international, with the support from ConnectWorldwide in creating a large network of Accor ambassadors online.”

Elaborating on the programme, Vasudha Sondhi, Managing Director, Connect Worldwide India said, “The duration of the online course is about an hour and a half.

This educational training programme permits you to discover five modules which include Accor, Sofitel, Pullman, Novotel & Suite Novotel and the Ambassador House Module, which is the final quiz to be recognised as an Accor expert. On completion of the training module, the participants will be certified as – ‘Accor Ambassadors’.”

In case, the participants miss deadlines to complete the modules, they can still join the programme at any time.

However, the date of completion remains March 30, 2012 for entry into the lucky draw/prizes which include a free trip of 3 nights/4 days to Thailand for 2 people.

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HOTELS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Abacus displays new technologies

Chennai to get 8th Leela property The 14-storey property facing the Marina Beach in Chennai is expected to attract high number of MICE travellers with its grand Convention Centre.

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ith seven properties in India, the Leela Palaces, Hotels & Resorts intends to operate 14 properties in India in the span of next two years.

It has already announced projects in Chennai, Agra and Ashtamudi with more properties in the pipeline. The Group has also expressed keen interest to explore opportunities in Middle East in the near future.

Lately, the group is busy with the opening of much-talked about the Leela Palace Chennai. Located on the second largest beachfront in the world, adjoining the Bay of Bengal, the property is being developed on a 6.25 acre site which will also house a soft-

New Horizons

Abacus showcased new technologies and products to 100 key representatives of travel agencies and airlines from around the region during Travel Forum 2011, held in both Pune and Jalandhar on December 10 and 17, 2011, respectively.

With huge space for MICE activities, it will be able to attract a good mix of leisure and business guests

ware park. The 14 storeyed property will have 326 rooms and suites (1 Maharaja Suite, 1 Royal suite, 2 Royal Club Grande Suites, 2 Royal Club Suites, 2 Grande Suites, 2 Luxury Suites, 13 Junior Suites, 8 Executive Suites, 55 Royal Club Rooms, 8 Premier Rooms-sea, 118 Deluxe Rooms-sea and 114 Deluxe rooms-city) and an extensive area of 36,000 sq ft dedicated to meeting and conference facilities (15,400 sq ft of Grand Ballroom with prefunction area, 8,535 sq ft Royal Ballroom with pre-function area, two meeting rooms and seven boardrooms). It will also house an all-day dining restaurant, Jamavar Indian restaurant, Rooftop Italian restaurant, Library Bar and Lobby Lounge.

Talking about the new property, Vivek Nair, Vice Chairman & Managing Director, The Leela Palaces, Hotels & Resorts said, “We are really excited to add our eighth property in Chennai. With

huge space for MICE activities, it will be able to attract a good mix of leisure and business

Vivek Nair

is expected to house 140 rooms and suites overlooking the Taj Mahal. The group is also working to roll out its mid-scale brand – The Leela Gardens by end of this year or early next year.

The group manages luxury hotels in Bengaluru, Gurgaon, Mumbai, New Delhi, and holiday escapes at Goa and Udaipur. It has marketing tie-ups with Kempinski of Germany and Preferred Hotels group of the US.

Vice Chairman & Managing Director The Leela Palaces, Hotels & Resorts

guests. We are in the process of adding more hotels in the country with aspirations to go international soon. Being an Indian brand, we have the responsibility to keep up with our brand values, excellent services and maintain our brand identity.”

The group will start the work for its Agra property from March this year which

QUICK READ Crossing the 6 million mark for the first time, Indians recorded 6.29 million tourists in 2011.

Foreign Tourist Arrivals grew by 8.9 per cent in 2011 compared to 5.78 million FTAs in 2010 with a growth of 11.8 per cent over the previous year.

12 TRAVTALK

HOTELS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Marriott to add 7 new properties this year Focussing strongly on the marketing and distribution channel, Marriott is working to establish each brand with its individual identity and brand appeal. higher than demand, resulting in market saturation conditions. To avoid such issues, Marriott International is strengthening its sales force, distribution channels, enhancing its loyalty programme and also working towards establishing an individual brand appeal for all its brands existing in India.

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arriott International Inc. is on track to manage a total of 50 properties in India by 2015. Currently managing and operating 15 properties under different brands, the company will add seven new properties in India this year. Despite the huge gap between demand and supply of hotel rooms in India, there are few markets where supply rate is much

Rajeev Menon Area Vice President – India, Maldives, Malaysia & Australia;

Rajeev Menon, Area Vice President – India, Maldives, Malaysia & Australia; Marriott

7 more properties this year The new properties will be managed under the JW Marriott brand (New Delhi airport and UP City Bengaluru), Marriott brand (Whitefield, Bengaluru) and Courtyard by Marriott brand (Bhopal, Kochi, Vilaspur and Chankan which is outside Pune). With high demand for mid-scale hotel rooms in India, Marriott International is focussing more on its mid-scale brand – Courtyard by Marriott. Off the total 50 properties under pipeline, 20 are being developed under Courtyard by Marriott brand.

International Inc. said, “We manage and franchise close to 3,700 properties worldwide

IHCL takes Taj to Yunnan, China Expanding internationally and strengthening its position in domestic market, The Indian Hotels Company (IHCL) is positioning itself to remain competitive in the market.

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ith aims to achieve the USD two billion revenue target, have presence in major business hubs across the world, add 6,700 rooms to its

Key highlights of IHCL The top revenue generating markets for IHCL are North America (22 per cent), UK (14 per cent) and Europe (30 per cent).

To introduce a luxury resort in Hainan Island (300 keys) and two properties in Yunnan province, China.

Recently introduces ‘Vivanta by Taj - Surya’ Coimbatore which houses 180 guest rooms in all categories.

The group comprises of 93 properties in India and aims to operate 175 properties by 2016

inventory and introduce a new mid-scale brand between The Gateway and Ginger within next five years; the Indian Hotels Company is moving on a fast track. To achieve the same, the company is focussing on management contracts in a big way apart from owning and operating hotels in and outside India.

Furthermore, it has started building marketing alliances with the international hotel brands in the overseas markets. To remain competitive in the market and grow at a faster and profitable manner, the company is contemplating a new mid-scale brand which will be placed between The Gateway and Ginger, two of the four brands owned by the company.

Divulging further details on the business strategies, Raymond Bickson, Managing Director, IHCL said, “We got into the overseas market in order to strengthen our domestic brand, increase brand visibility and protect our

Raymond Bickson Managing Director IHCL

market share. After exiting the international market in 1999, we re-entered in 2005 with New York property. With 16 properties in overseas market, we are going to open our next property in Yunnan, China and Hainan Island by the end of this year. The strategy is to be present in top 25 markets that include emerging economies and our top revenue generating markets like North America and UK. However, for faster growth, we are focussing on management contracts and marketing

alliances with the international hotel chains. We already have marketing alliance in Japan, Korea and Switzerland and are keen to have more in the other markets. We are also sharing our loyalty programmes with major hotel chains to attract loyal guests for mutual growth and benefits.”

Adding further about future plans for India, Bickson said, “There are close to 50 international brands entering India and as a home-grown brand, we need to be on top of the game and protect our market share. With a huge potential visible in the mid-scale category, there is a desperate need to introduce a new brand which can be positioned between The Gateway (upscale) and Ginger (economy). So, we will launch a new brand in that category within the next two years.”

The group intends to have 175 properties with 20,000 rooms in India and abroad by 2016. About USD 3 billion will be invested in the construction of the new properties that are underway, while we would run many of them on management contracts, informed Bickson.

through 21 different brands.

India being one of our potential and growing markets, we

have rolled out a plan to manage about 50 properties by 2015. To make sure our guests differentiates our brands in the right way, we are positioning each brand as the best in that particular category.” Adding further, Menon said, “With increasing GDP and market growth, there is a serious need for more hotel rooms in India. For short term, certain macro markets are over supplied with hotel rooms. However, considering the long term requirements, the market needs huge number of rooms resulting in absorption of extra supply.”

LHW showcase in India The Leading Hotels of the World (LHW) ushered in the New Year with the India Showcase 2012 in Mumbai and Delhi. Announcing the opening of its third sales office in Bengaluru this year, the company reaffirmed its development plans in India during the event that witnessed a huge participation from the Indian travel and trade industry.

HOTELS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

TRAVTALK

13

Jumeirah shares the secret of its popularity in India India is the third fastest growing market for Jumeirah and the Dubai-based hospitality group is looking for partners to have its presence in India. gives details.

A N I TA J A I N

D

ubai-based luxury hotel management group – Jumeirah Hotels, Resorts & Residences is interested to bring its unique flavour of luxury in India. The group is currently in talks with few developers and investors and is looking at locations like metros and beach destinations across India.

The group's operating model is expansion through acquiring management contracts in both key gateway cities and aspirational resort destinations worldwide. At the macro level, Jumeirah will adhere to its core business in India, managing luxury, five-star hotels and resorts, using an asset light approach.

It has appointed Om Tourism in India in 2010 to focus on positioning the Jumeirah brand and representing the group’s interests across all segments within the Indian market including groups, corporate and leisure markets. It is further strengthening its presence in India by encouraging the travel trade

A new deal Travelport, the business services provider, and TAP Portugal (TAP), the Portuguese national carrier, have now signed full content deal for the continuation to their global agreement. The new multi-year deal secures full access to all TAP fares and classes for Travelport-connected travel agencies worldwide. The two companies have also committed to work together on a number of joint strategic initiatives such as group bookings and merchandising.

Robin Ranken, Head of Airline Relationships for Europe, Travelport says, “Having all worldwide TAP fares and content allows us to continue to maximise our distribution scope in important Travelport and TAP countries such as Brazil, which is one of the world’s emerging economies.”

TAP’s Lisbon hub is a key European gateway for flights to Africa and North and South America, including Brazil, where it serves 10 cities with up to 75 weekly flights. The airline’s worldwide route network comprises 75 destinations in 34 countries.

partners with attractive commissions and incentives.

Talking exclusively to about the plans for Indian market, Gerald Lawless, Executive Chairman, Jumeirah Group said, “India is one of the major players in the global hospitality and tourism

industry, particularly Asia. It is currently the third fastest growing markets for our group properties, with room night occupancies improving by close to 50 per cent yearon-year. We have set our sights on city centres and resort destinations like Mumbai, New Delhi,

Bengaluru, Hyderabad, Goa and Kerala. Once we get the right partners to develop our brand in India, we intend to bring in our high-end hospitality luxury brands along with our residences brand.”

To provide guests with these experiences, it seems 'True Luxury' is the watchword

on which Jumeirah's brand foundations are based. "It is emotional, memorable and this is what we believe today's sophisticated luxury traveller relates and responds to. Our objective is to be innovative, imaginative and above all leave our customers with a smile," Lawless said.

Gerald Lawless Executive Chairman Jumeirah Group

14 TRAVTALK

HOTELS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Is it party time for hotels in 2012?

For the year that is pegged to be a difficult one for the industry, speaks to a number of hoteliers in the key business hotel markets in India – Delhi, Mumbai and Bengaluru to unearth the various challenges faced by the industry last year and to discuss how they will brace the future.

M E G H A PAU L

W

ith the country facing uncertainties triggered by the combination of a weak global economy and an indifferently performing domestic economy, the Indian hospitality industry has recovered from the losses it had peered into in the earlier years and is now expected to emerge as one of the key industries driving the growth of the services sector in the country. The new supply growth in India is stronger than earlier and is now catching up to demand growth.

Chalking out expansion plans for this year, Jyotsna Suri, Chairperson & Managing Director, The Lalit Suri Hospitality Group, says, “This year we look forward to launch our Jaipur, Chandigarh and Kolkata properties.”

According to Suri, the Group will continue to focus on the domestic tourism sector which has enormous potential

Jyotsna Suri

Anil Madhok

Vijay Wanchoo

Chairperson & Managing Director The Lalit Suri Hospitality Group

Managing Director Sarovar Hotels & Resorts

Senior Vice President & GM The Imperial, Delhi

This year we look forward to launching our Jaipur, Chandigarh and Kolkata properties

It is the MICE segment which is driving the growth and the curve has already gone up by 30%

The Imperial plans to relaunch its Indian restaurant, ‘Daniell’s Tavern’ to bring back yesteryear’s menu

for growth. “For the industry, it is predicted to be a tough year. As we measure the impact of the crashing value of Rupee, it may make India an affordable destination or at the same time, the current economic scenario in Europe may slow down inbound tourism,” she adds.

Reminiscing on the business in 2011, she informs, “It was a mixed year for the hospitality and tourism sector. In the Union Budget 2011-2012, the sector received a blow in the form of 10% service tax. The hotel occupancies witnessed a marginal improvement of about 4-5% while the average room rates (ARRs) largely remained stable with 1-2% increase.”

The festive season in 2011 helped in the recovery of the hospitality sector, confirms Anil Madhok, Managing Director, Sarovar Hotels & Resorts. He informs, “The busy festive season has helped the hospitality sector to recover from the low period it witnessed in the last two years. Occupancies at all star properties have witnessed an increase of 57%.” Talking about the importance of MICE, Madhok feels, “At present, inbound tourism is static due to the impact of inflation and the Euro crisis.

Hence, it is the MICE segment which is driving the growth and the curve has already gone up by 30%.”

In an attempt to assess the scenario, we make our first pit-stop at the business destination of Delhi. Here the availability of good quality hotels at relatively good prices continues to be an important factor in maintaining the city as a key business market. Vijay Wanchoo, Senior Vice President & General Manager, The Imperial, New Delhi reveals, “The occupancy in 2011 saw a fair growth of about 10% over 2010. Also, an increase in ARR was witnessed. In fact, in our own competitive set, we are currently doing the highest ARR in the city.”

To tackle the major challenge of the European market crisis and the strengthening dollar, the hotel will increase its focus on the topend domestic market to tap more customers. In this New Year, the hotel is also betting big on F&B segment.

Wanchoo says, “Going for-

To gear up for this year, the Group has outlinined big plans, Leitgeb highlights, “The sales and marketing budgets will significantly increase this year. We will have more sales calling in the Mumbai region as it is an important market segment.

Goa and Mumbai markets are of prime importance in India while we are also exploring Dubai and Thailand markets.” The hotel will focus on HR such as training, orientation programmes, etc. and also look at cost-effective management policies in all areas, he adds. “The occupancy in 2011 was 81% compared to 79% in 2010. The ARR also saw an increase from ` 8,650 in 2010 to ` 9,200 in 2011,” he stated.

Moving on to another key market Mumbai, Xavier Cappelut, General Manager, Novotel Mumbai Juhu Beach, believes the city will continue to grow with the expansion of the airport, redevelopment of the mill area, business opportunities in Worli, Andheri, Kurla and increasing tourist interest. According to the GM,

Peter J Leitgeb

Xavier Cappelut

President & CEO The Claridges Hotels & Resorts

General Manager Novotel Mumbai Juhu Beach

We will have more sales calling in the Mumbai region as it is an important market segment

ward, The Imperial plans to re-launch its Indian restaurant, Daniell’s Tavern as well as bring back the yesteryear’s menu to the muchacclaimed 1911 Brasserie with live jazz music in a romantic setting.”

Addressing the challenges this year, Peter J Leitgeb, President & CEO, The Claridges Hotels & Resorts, urges, “We fear that business segments such as MICE, corporate as well as leisure segments might get affected.”

The hotel is targetting an occupancy increase of at least 5% over last year with additional inventory in the hotel

it was status quo in 2011.

“However, the hotel is targetting an occupancy increase of at least 5% over and above last year with the addition of more inventory in the hotel,” he comments. Highlighting the performance of the hotel in 2011, Cappelut shares, “For Novotel Mumbai Juhu Beach, 2011 was a pleasant upswing compared to the past couple of years. The hotel witnessed an increase in revenue per average room (RevPAR) by 16% in Contd. on page 16

16 TRAVTALK

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

ASSOCIATIONS

Expand VoA to key markets to attain growth: IATO IATO feels that there is an urgent need to expand VoA scheme to include key source markets like the UK and US in order to achieve MOT’s ambitious 12 million FTA target in the 12th Five Year Plan.

S H AYA N M A L L I C K

W

ith the Ministry of Tourism, Government of India, setting some ambitious target to boost tourist arrivals in India in the 12th Five Year Plan, the national body of inbound tour operators, Indian Association of Tour Operators (IATO) has asked the Government to consider including India ‘s key tourism source markets in Visa-On-Arrival (VoA) scheme.

Talking to , Subhash Goyal, President, IATO expressed that under the current scenario wherein the Government wants to boost India’s tourism profile and increase India’s share of global tourism to 1 per cent from the current just over .5 per cent in the 12th Plan, bringing in some of India’s top producing source markets will be a real shot

in the arm that the industry badly needs.

“VoA is the most important issue.

If it is expanded to include more countries, half of the battle is won. This will greatly increase the size of the cake.

The Government should consider granting VoA to countries like the UK, the US, France, Germany, Sri Lanka, Spain, Thailand, Malaysia, Australia and China,” said Goyal. Acknowledging that the association has made

its recommendation in this regard to the Government, Goyal also opined that the VoA scheme under its current avatar will not help the numbers much as it hardly includes any top source markets.

To drive home his point, he said, “We have about five consulates in the US, however, there are hundred of other US cities, people come to India from. If people from these other cities have to come to India they will either have to courier their documents for Visa processing or travel all the way, which makes it highly unlikely for the US tourists from those hundreds of cities to choose India when so many other countries are offering VoA to US citizens.”

Goyal also stressed that India is losing on the

India issues 12,760 VoAs in 2011 V Double VoA’s isa-on-Arrival (VoA) scheme was launched by the Government of India in January 2010 to boost foreign tourist arrivals. VoA was initially offered to five countries, namely Finland, Japan, Luxembourg, New Zealand and Singapore. In 2010, a total of 6549 VoAs were issued under the scheme that include New Zealand (1944), Singapore (1814), Japan (1457), Finland (1263) and Luxembourg (71).

In January 2011, six more countries - Cambodia, Indonesia, Vietnam, Philippines, Laos and Mayanmar were included in weekend traffic or long weekend traffic from short to medium haul destinations.

“Visitors from such countries will choose those destinations which give them VoA and not destinations where they have to go to the embassies to apply for Visa,” he commented.

Countries

VoA in 2010

New Zealand Singapore Japan Finland Luxembourg Cambodia Indonesia Vietnam Philippines Laos Mayanmar

1944 1814 1457 1263 71

VoA in 2011 2762 1848 2344 1335 74 149 2063 145 1956 14 71

of 12,761 VoAs were issued that included New Zealand (2762), Japan (2344), Indonesia (2063), Philippines (1956), Singapore (1848), Finland (1335), Cambodia (149), Vietnam (145), Luxemburg (74), Myanmar (71) and Laos (14).

The maximum number of VoAs were issued at Delhi Total 6549 12,761 airport (7340), followed by Mumbai the scheme, bringing a total (2816), Chennai (1948) and of 11 countries under the Kolkata (657).

VoA scheme. In 2011, a total Goyal said that a revised VoA scheme will also boost country’s image as an investment destination and therefore more business tourists.

Goyal also stressed the need of simplifying the process of Visa extension and sensitizing the Foreigner Regional Registration Offices (FRRO).

Current Challenges India is losing on the weekend traffic or long weekend traffic from short to medium haul destinations A revised VoA scheme will also boost country’s image as an investment destination and therefore more business tourists

Tracking growth trajectory Contd. from page 14

2010 over 2009 and 7% increase in 2011 over 2010.”

In the IT city of Bengaluru, the hoteliers are all geared up for the sturdy year. Talking about the emerging trends in the hospitality market of the city, Chander Baljee, Chairman & Managing Director, Royal Orchid Hotels, outlines, “There are huge movements in the MICE segment here and this will buoy the industry. With the improvement in economy, the spas would do well and both the Indian and foreign travellers would opt for hotels with spa facilities over the other hotels.”

Throwing light on the problems faced by budget hotels, Baljee argues, “It is difficult for the budget hotels to survive as there is not much difference in the fixed overheads in hotels. Almost 50% of the costs are fixed.

Hence it will be difficult to have a healthy bottomline in budget hotels whereas the business hotels fetch a good ARR, which makes the bottomlines healthy.”

With the occupancy rates being an indispensable part of the industry, Best Western Premier La Marvella in Bengaluru plans to begin the year with 65% occupancy and end with 75% for the same. Regarding the new

Chander Baljee

Sukomal Sarkar

Chairman and Managing Director Royal Orchid Hotels

General Manager, Best Western Premier La Marvella, Bengaluru

There are huge movements in the MICE segment here and this will buoy the industry

We will be adding another 55 rooms and 3 more banquetting venues with parking facilities this year

plans this year, Sukomal Sarkar, General Manager, Best Western Premier La Marvella, Bengaluru states, “After seeing the growth in MICE segment here, we will be adding another 55 rooms and three more banquetting venues with good parking facilities this year.” The GM

is extremely bullish on the MICE and Medical Tourism segments. “The MICE business is a key contributor to the overall hospitality industry in several nations across the globe and has the potential to add to the overall development of Bengaluru as a destination.”

ASSOCIATIONS

Question us if we don’t deliver on our promise: OTOAI President Less than a month into existence, OTOAI has already formed its Western chapter and is in the process of finalising its chapter in South India.

S H AYA N M A L L I C K

O

utbound Tour Operators Association of India (OTOAI), the newly established industry trade body representing the outbound trade in India, has now opened its Western chapter and is expected to finalise its chapter in Southern India sometime soon. The associa-

Seven Pillars of OTOAI Ideology: Creating a knowledge base for its members Encouraging innovation in the industry Providing support to its members Implementing ethics and standards in the industry Participative management Promoting entrepreneurship Collaboration with stakeholders

tion is also in close contacts with the outbound trade in the North and East India and is working on its plan to have strong chapters there.

bership drive for the same.

We will finalise the South India chapter soon. In the Eastern India, although most of the tour operators are based out of Kolkata, however, we are also looking at cities like Patna. We hope to have all the chapters in place

by March end,” he said.

Sahni also said that OTOAI will only work with serious professionals who are keen to take the association to the next level. “We are looking at establishing very powerful regional chapters but that does not mean we are tempted to hoard members. We are not in the number game. We are very particular about the membership. It will only go to agencies who fit in the criteria and are willing to enhance the level of customer service,” said a confident Sahni.

He said that OTOAI has a very dynamic team and is confident of lending a powerful voice to India’s outbound trade under the aegis of OTOAI. “Let the industry and media keep us under the scanner and question us if we do not deliver on our promise,” he said.

Among a host of initiatives that the association is

Guldeep Singh Sahni President OTOAI

Let the industry and media keep us under the scanner and question us if we do not deliver on our promise along side our website that will have an information on destinations. The website content can be useful to both, the OTOAI members

Membership Criteria Applicants will have to fulfill stringent criteria before active membership is granted.

There are 12 criteria as listed below.

1 CA certificate with a total outbound remittance/ billing of Rs 15 lakh per annum.

2 Copy of Pan Card.

3 Proof of one year in business existence from date of application.

4 Copy of MOA or partnership deed etc.

5 Minimum 150 Sq.ft of office space.

6 Letter of recommendation from overseas supplier.

7 Letter of recommendation from NTOs in India.

8 One staff / owner to have destination specialist certification such as Canada or Assuie Specialist programme.

9 Certification from FFMC (Full Fledged Money Changer, authorized by

RBI) for purchase of forex for clients / reimbursement.

10 Office inspection by OTOAI. 11 The active membership must be renewed after every 2 years.

12 The applicant/nominee have to complete 20 hrs of training or has attended seminars conducted by NTOs.

OTOAI had announced its launch on December 28, 2011. As part of its agenda outlined on the occasion, it has said that the association will have four regional chapters across India.

currently working on include a comprehensive website expected to be launched sometime soon. “We are currently mulling on the idea of coming up with an e-library

as well as the consumers. We may have OTOAI members and NTOs putting their packages or suggested itineraries.”

Informing about the initiatives taken since its launch, Guldeep Singh Sahni, President, OTOAI informed that the association has already initiated the membership drive and is also in the process of appointing regional chapters. “We have appointed the office bearers for the Western chapter and have also launched the mem-

Western Chapter Chairperson Himanshu Patil, Mumbai General Secretary Mahendra Vakharia, Ahmedabad Treasurer Narinder Pal Singh Marwah Nagpur

Sahni stressed that OTOAI is not a closely controlled entity. “We want the continuous infusion of new ideas. We have been receiving overwhelming response from the outbound trade in India.

There are agencies contacting us not for the membership but to contribute their bit to OTOAI vision.”

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FEBRUARY 1 ST FORTNIGHT ISSUE 2012

ASSOCIATIONS

TAFI sets an example by ADTOI to expand presence adopting social responsibility with three new chapters The Association will reach out to the leading airports with First in the series will be West Bengal and Northeast wheel chairs to make them more disabled-friendly. to open as one chapter by April 2012, Provides first batch of wheel chairs to the Chennai airport. followed by chapters in Rajasthan and Maharashtra.

T T B U R E AU

I

n a first of its kind move by an Association, Travel Agents Federation of India (TAFI), as part of its Corporate Social Responsibility (CSR) initia-

by TAFI to celebrate its 25 years of inception.

The first batch of five Wheel Chairs was formally handed over by Ajay Prakash, President, TAFI to EP Hareendranathan,

five Wheel Chairs each in order to make them disabled-friendly.

A Basheer Ahmed, Chairman, TAFI CSR Committee was the man who spearheaded this move and was ably assisted by HM Talha Rahman, Chairman, Tamil Nadu Chapter.

S H AYA N M A L L I C K

I

ndia’s domestic tour trade representative body, Association of Domestic Tour Operators of India (ADTOI) is looking at further boosting its profile as a pan-India organisation in the New Year. This will be done at two levels.

“The aim is to boost our pan-

‘Focus Canada –India’ Tourism Canadian Commission (CTC) has announced the venue of its annual Canada showcase event ‘Focus Canada – India’.

Park Hyatt in Goa will play host to the event that has been scheduled on March 13-15, 2012. The event was earlier scheduled in Jaipur.

The event is expected to attract hundreds of potential buyers from across India to shop for Canadian tourism products.

More than 50 key Canadian suppliers, including regional tourism boards, hotels destination management companies, tour operators etc. will be present on site to do business at this annual B2B event of Canadian Tourism Commission.

Verma further informed that the association is targetting to open at least three chapters this year on a priority basis.

President ADTOI

“We expect to announce the chapter representing West Bengal and Northeast states by April this year, followed by chapters in Rajasthan and Maharashtra within the next six to eight months,” he further added.

India membership base while opening new chapters at the same time. We have already formed core committees that will undertake the task of opening new chapters and will grow association’s membership base across India in an aggressive manner.

PP Khanna, Vice President. ADTOI will head the core committee responsible for opening new chapters.

Whereas Anurag Aggarwal, Treasurer, ADTOI is in charge of the committee that works towards spearheading association’s membership drive.

These committees will be

Addressing the function, Prakash said, “As stakeholders in the travel and tourism industry, it is our duty to sensitise our people to the needs of differently-abled persons.

Our airports and all other public places need to be geared to make travel easier for this segment.”

Hareendranathan while sharing the concern of TAFI on the improve(L-R) Vijaykumar Menon, Chairman, AOC, KP Kumar, Vice Chairman AOC, Rahaman, Prakash, ment required in the Ahmed, Promod Kohli, Vice President-TAFI and Hareendranathan. facilities for differentlyabled passengers assured that AAI will provide Director, Chennai Airport at tive, is reaching out to five all necessary facilities at the the function held at GRT major airports in India to airport as part of its moderniConvention Centre in make them more disabledsation programme and conChennai. The Association friendly by providing them gratulated TAFI for its noble plans to reach out to with ‘Wheel Chairs’. The inigesture and implementation Bengaluru, Delhi, Mumbai tiative was launched on the of CSR in true spirit. and Kolkata airports with eve of the function organised

Besides, the team will also work on spreading awareness on ADTOI and its activities,” informed Subhash Verma, President, ADTOI.

Subhash Verma

actively assisted by Rajat Sawhney, General Secretary ADTOI and other Managing Committee members.

Inviting domestic tour operators to join the trade body, Verma said, “ADTOI provides a reliable platform to conduct B2B business among its members across India and also helps in creating new business opportunities for each other. Besides, the Association will also undertake familiarisation and study tours of destinations, offering members an opportunity to learn and promote new markets, products and network with the local trade with whom the business can be conducted.”

He also added that the Annual ADTOI Convention is an equally great knowledge platform that provides members to learn about new business trends and ways to create enhanced business opportunities. Apart from a strong presence in Delhi & NCR, ADTOI currently has chapters in Kerala, Jammu & Kashmir and Gujarat with close to 600 members under Active and Allied categories.

Hungary outsources visa processing to VFS in India The Ministry of Foreign Affairs of Hungary and VFS Global signed an agreement for outsourcing Hungary’s visa processing in India, a move which is expected to fasten visa application process.

This agreement will also boost the Tourism Industry and Bilateral Trade between both the countries.

The high level delegation, led

by HE Dr. János HÓVÁRI – Deputy State Secretary, Ministry of Foreign Affairs of Hungary including Zsolt BECSEY, Special Adviser to the Prime Minister of Hungary for International Economic Affairs and Balázs Hidvéghi, Deputy State Secretary for European and International Affairs, Ministry of National Economy of Hungary are on their official visit to India

20 TRAVTALK

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

GUEST COLUMN

Parliamentary Recommendations under the lens in its January 1st Issue had featured 25 points recommendations made by the Parliamentary Committee on tourism which have been commented upon by a professional. Key observations: L A R RY M A L A R K A R A. Preservation of the attractions is key to sustainable tourism. This has only been touched upon briefly in Point 17. i.

Tourism tends to kill the primary purpose of a visit, making it unsustainable - be this monuments, beaches, arts, crafts, cultural events, villages, pilgrimage centres etc.

Unless monuments are restored, developed and maintained, beaches are cleaned, patrolled and manned by lifeguards, crass commercialisation of events, traditional arts & crafts, villages and pilgrimage centres is controlled the attraction will be killed for short term gain.

ii. Restoration of monuments must rest with the Government, but development and maintenance funding can be a joint effort with the private sector, which brings me to another aspect not really addressed.

B. Both the government and the private sector have roles to play. Again within the government there are numerous agencies that need to coordinate their efforts to a common plan. The Planning Commission is a body that cuts through various ministries and states but coordination between the ASI & Central & State Tourism Bodies is crucial. There must be an agreed common goal. What should be the goal setting process? How do the roles get defined? Private sector will only get involved if there is a payoff, not necessarily in financial terms, but at least in exposure and profile.

C. Point 9 is important.

Development must be with an eye on the markets. The domestic market is huge and any action taken for this will benefit the foreign tourist as well. When we discuss tourism the tendency is to think of foreign tourists only. i. While political aspects need to be considered in developing tourism, it should be possible to choose projects

that appeal to the markets. For example, it would be interesting to examine the 35 new tourist circuits proposed (for ` 9450 crore or ` 270 crore average per circuit) to see the potential ROI D. The CRZ is a touchy subject.

Observing what is happening in Goa with the CRZ laws in place – The Grand Hyatt, The Marriott, Casa Britona etc. have all found a (financial?) way around - one shudders to think of what will happen if they are relaxed. I do not agree that the CRZ is a good solution to avoid pollution of our lakes, waterways and seas.

Highly environmentally conscious countries allow buildings right up to the water’s edge, but have an effective monitoring & penalising system in place to prevent even a drop of effluent being dumped in the ocean. In the Indian context, a one-time stop to projects is easier to implement than a monitoring and penalising system. Till then we should stay with the CRZ. (The writer is Consultant, Services & Marketing based in Goa)

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FEBRUARY 1 ST FORTNIGHT ISSUE 2012

FAMILY ALBUM

Leela welcomes WTTC President & CEO To make sure, David Scowsill, President & CEO, WTTC experience the true flavour of the Indian hospitality; the Leela Palaces, Hotels & Resorts organised a small but elegant party. Captain C P Krishnan Nair, Chairman, The Leela Group and Vivek Nair, Vice Chairman & MD, The Leela Venture & Chairperson, WTTC - India Initiative welcomed Scowsill with a note of thanks. The exclusive party was attended by close to 30 top management members of leading hotel brands and groups operating in India and worldwide.

26 TRAVTALK

EXHIBITIONS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Hotel Investment Forum India 2012

Showcasing the real potential of Indian hospitality The fourth edition of HIFI 2012 gave out the right strategy plans, perfect investment ideas and apt market opportunities in India. gets a 360 degrees view on the event.

A N I TA J A I N

B

HN, a global leader in developing and organising conferences for hotel and tourism investment commu-

Deal of the Year Awards Development of the Year Award under ` 2 bn was won by The Vivanta by Taj Dal View, Srinagar.

Nominees in this category included The Aloft Singanallur, Coimbatore; The Eaton Smart, New Delhi; The Ramada Gurgaon Central, Gurgaon; and The Red Fox Hitech City, Hyderabad.

Development of the Year Award over ` 2bn was presented to The Leela Palace, Chanakyapuri, New Delhi. Nominees in this category included the Hilton New Delhi – Noida – Mayur Vihar; The Hyatt Regency, Chennai; The Oberoi, Gurgaon; and The Vivanta by Taj Yeshwantpur, Bangalore.

nity along with Horwath HTL India recently organised the fourth edition of the Hotel Investment Forum India 2012 at the Renaissance Mumbai Hotel & Convention Centre. While the first edition of the HIFI was held in the backdrop of global economic meltdown, this edition was staged before the forecast for global slowdown made in 2012. The packed business sessions gave out the message that each and every session was well planned, presented and apt to the current scenario.

It brought together the leaders in the hotel industry and discussed the important trends in India, offered networking opportunities and provided a platform to strike the right deals through a combination of plenary sessions, breakout panels and interactive workshops.

However, the highlight of the event was Four ‘R’s in the Game Changer session wherein the top four hotel leaders were made to change their job profile and were

Awards Galore HIFI Hall of the Fame Award was received

by Shriji Arvind Singh Mewar of Udaipur, Chairman & Managing Director, HRH Group of Hotels Aatithya Ratna Award was received by Priya Paul, Chairperson, Apeejay Surrendra Park Hotels

Delegates at the HIFI 2012 organised in Mumbai

asked questions about their counterpart hotel group properties. Apart from the attentive business sessions, the hosts of HIFI also announced the winners of the inaugural Deal of the Year awards, HIFI Hall of the Fame Award (awarded to Shriji Arvind Singh Mehwar, Chairman and MD, HRH Group of Hotels) and Aatithya Ratna Award (awarded to Priya Paul, Chairperson, Apeejay Surrendra Park Hotels).

India Outlook from Global perspective Presenting the welcome note, James Burba, President, BHN said, “With the start of

2012, there are a few cracks visible on BRIC countries due to the forecast of meltdown.

However, there is a lot happening in India for which the developers, investors and hotel management companies should be positive.” He highlighted the growth rate in hotel rooms from 20002011 (from 131,943 to 167, 196) which was 27 per cent and had more potential to grow as the bottomlines are still positive. Pointing out the growth in budget category, Vijay Thacker, Director, Horwath HTL – India said, “Despite the addition of over 90,000 rooms (about 50 per cent is in branded budget cat-

egory alone) in India in 2011, the average occupancy levels in India remained at 60 per cent showing that the new supply has been absorbed correctly. Issues like delays in project completion and execution; increasingly tight margins; high interest rates and collateral issues are hampering the growth in hospitality sector in India.”

During the ‘Global Leaders Outlook’ session, the giants of the global hospitality industry – Taj Resorts Hotels & Palaces, Hilton Worldwide, Marriott International Inc., Wyndham Hotel Group, Hyatt Hotels

Corporation and Starwood Hotels & Resorts still showed their immense interest to grow and expand in India in the coming years. The focus of all major brands was on the mid-scale and budget segment and entering secondary and tertiary markets in India. Break-out sessions like ‘Solving the ‘Budget Deficit’ – strategies and issues for the budget hotel sector’, ‘Raising equity and debt for hotel’ and ‘Mid-market power – The future core for Indian hospitality’ guided and assisted the delegates to understand the potential in mid-scale segment in the country.

FHRAI sets up its sub-committees After assuming its role, FHRAI team of 2011-12 appointed heads for its sub-committees who would critically examine the needs of the hospitality sector to bring vital concerns to the table for deliberations and take it further to the ministry’s notice.

SA N J E E V B H A R

T

he Federation of Hotel & Restaurant Associations of India (FHRAI) has formed various sub-committees in order to streamline its focus in raising various difficult issues that its member hotels face.

Kamlesh Barot, President of the association

informed, “We have formed various sub-committees like Information, Secretariat Office, HRD, Legal, FIHM, Sustainable Development, Food Safety, Hospitality Development Promotion, PR, Government, MOT, Copyright, FAITH, Restaurant and Newsletter, which we announced in our tenure’s first

Executive Committee (EC) meeting. Now, we have formed the sub-committees having allocated the task to the designated EC member.”

The inputs of all the sub-committees are presented at the EC meeting, so that everyone is in sync with the relevant issues/concerns faced by our fraternity members at large,

which have been addressed and valuable feedback gained, Barot said.

The association has also circulated a full year’s EC meeting dates to all the executive committee members after Barot took over the President’s position of FHRAI on the November 30, 2011.

Each Chairman of the subcommittee shall report back to the EC in its bi-monthly meeting. “The concept of sub-committees is simple. We are neatly categorising fraternity issues/concerns and delegating over the responsibility of the same to the sub-committee,” Barot said. This way, it would enable the FHRAI team

Kamlesh Barot President, FHRAI

to achieve specific goals within stipulated time period available to it. “In this streamlined fashion, we will save a lot of energy and time resulting in finding timely solutions as required/felt necessary,” he added.

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TECHNOLOGY

‘SmartPoint’ & ‘Universal Desktop’ by Travelport With reducing margins and demanding travellers, travel agencies are under immense pressure to reduce costs to improve profit margins. Travel websites and other booking channels are their biggest challenge. Travel companies are looking for support in their technology partners, the GDS provider they work with, for quick solutions, content needs and operation systems.

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urt Ekert, Chief Commercial Officer, Travelport and Simon Nowroz, President & Managing Director – Asia Pacific, Travelport were in India last month to talk to the agents and understand their requirements and assure them that Travelport is bring-

SA N J E E V B H A R ing them world class state-ofthe-art enhancements and travel management tools that they can rely on for their ongoing operations.

“Travelport is constantly working on offering the most advanced and comprehensive travel planning and management solutions – everything

Kurt Ekert

Simon Nowroz

Chief Commercial Officer Travelport

President & Managing Director – Asia Pacific, Travelport

A gradual move Marco Gorin, COO, ITQ

by Travelport, explains that before the Universal Desktop solution, Travelport will release Smart Point, which will be a precursor to the Universal Desktop, incorporating most of the components and work with greater speed. He says, “Smart Point has less features so will slowly introduce this cutting edge technology to the GDS users.

Once they are used to the new solution with Smart Point they will enjoy the Universal Desktop much more.” One can download the system eas-

ily and the tool is easy to work with, as agents need not go through huge integration to shift themselves to this new tool.

that is needed to shop and book from an ever-expanding world of travel content, while controlling their internal processes,” said Nowroz.

Travelport has a new solution – Travelport Universal Desktop - bringing agents, hotels and other non-conventional services on one platform,

Marco Gorin COO ITQ

thereby giving them the means to approach selling innovatively and efficiently. Ekert went on to say, “The new product will offer a single interface where agencies get various choices in a single window on a desktop rather than shuffling through various screens to compare pricing, availability and best option available to them. It not only reduces their effort to find the best deals but also reduces costs, increasing their profit margins.”

The product is claimed to offer ‘high margin’ content.

Through this, even small agents can have access to commission with hotels and other service providers. Built to help corporate and leisure travel agencies become more productive and profitable, this groundbreaking development empowers agencies of every size and complexity.

Innovation Travelport Universal Desktop brings agents, hotels and other nonconventional services on one platform, thereby giving them the means to approach selling innovatively and efficiently The new product will offer a single interface where agencies get various choices in a single window on a desktop

The approach by Travelport also takes into consideration certain other benefits for agents and operators where e-pricing technology (shopping) offers an opportunity to deal with online segments. “Thus agents can go for an amalgamation of traditional and non-GDS contents together.

This is also applicable to nonparticipating hotels on GDS platforms (like independent hotels). Corporate rates and merchant rates also come into play as the case may be,” concluded Nowroz.

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FEBRUARY 1 ST FORTNIGHT ISSUE 2012

Tourism India enhances ties with ASEAN A Memorandum of Understanding (MoU) on tourism was signed between India and Association of Southeast Asian Nations (ASEAN) which will serve as a key instrument for more actionoriented cooperation, encouraging both parties to cooperate in facilitating travel & tourist visit and further strengthen the close tourism partnership.

Speaking on the occasion in Indonesia, Subodh Kant Sahai, Union Minister of Tourism said, “Since the number of tourist arrivals between ASEAN and India had shown steady growth, the establishment of the ASEAN Promotional Chapter in Mumbai would act as a tourism marketing and promotion agency of the ASEAN National Tourism Organisation.”

The Tourism Minister expressed his happiness towards the progress made in the implementation of the work plan for the development of ASEAN-India cooperation in Buddhist pilgrimage tourism. The ASEAN-

India Tourism Ministers held their third Meeting in concurrence with the meeting of the ASEAN Tourism Forum. The Meeting was jointly chaired

by India’s tourism minister and Mari Elka Pangestu, Minister of Tourism and Creative Economy, Indonesia.

Now tax jitters for Uttarakhand hotels The President of Doon Valley Hotel and Restaurant Association of Uttarakhand discusses the ongoing challenges faced by the hotel industry in the region.

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ue to the heavy tax burden, the tourism and the hotel industry in Uttarakhand has taken a hit. The occupancies in the hotels in Dehradun, Mussoorie and Nainital are not showing any upward trend.

Commenting on the ill-timed situation,

Current Challenges Subodh Kant Sahai Union Minister of Tourism

The main objectives of the MoU are to cooperate in facilitating the travel and tourist visits. Another aspect of the MoU is to exchange information pertaining to statistics and development strategies, investment opportunities and economic data in tourism and the travel and hospitality sectors relevant to each other.

The state government has increased taxes by almost 300 to 400 per cent within the last four years Hence, the hotels in the region have not been able to meet their expenses due to the hefty increase in taxes The dearth of good connectivity in terms of roads, enhancement of rail capacity and reasonable airfares have been roadblocks in achieving its expected targets

S P Kochar, President, Doon Valley Hotel and Restaurant Association of Uttarakhand complained, “The state government has increased taxes by almost 300 to 400 per cent within the last four years. Hence, the hotels in the region have not been able to meet their expenses due to the hefty increase in taxes and this has affected their business.”

Regarding the uphill task faced by the hotels when it comes to bearing the brunt of the heavy taxes, Kochar said, “Any hotel which charges a tariff of over Rs 1,000 has to impose a tax of 15.5 per cent on the travellers, where 10 per cent constitutes the luxury tax and 5.5 per cent is charged as service tax. On top of this, in case, they attend any event, an additional entertainment tax of 30 per cent is levied, which is exceedingly high. This has resulted in low occupancies in the region.”

Talking about the connectivity problems in the region, Kochar, who is also the CMD of the Madhuban Group of Hotels and Co-Chairman of PHD Chamber Delhi and Uttarakhand revealed, “The

ing shortage of parking facilities and this is posing a major threat to the tourism prospects of the hill station.

The association is urging the state government to safeguard the interests of the hospitality industry. “We have been applying our energies in the promotion of our destinations, manpower development and seeking for rationalising the taxation to make the experience attractive,” he said.

QUICK READ S P Kochar President, Doon Valley Hotel and Restaurant Association of Uttarakhand

dearth of good connectivity in terms of roads, enhancement of rail capacity and reasonable airfares have been roadblocks in achieving our expected targets.”

In addition to this, currently Mussoorie is witness-

An Indian tourist visiting America in 2010 spent at an average more than Rs 2 lakh during their stay here, thus contributing an estimated whopping $2.86 billion to the US economy.

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Bihar Tourism markets aggressively in India As the roadshows continue across the country, Bihar Tourism has worked out on specific tourism products and hopes that ADTOI will start a new chapter in Bihar while bringing business through its network.

JUSTIN THOMAS

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n a bid to increase domestic numbers in the state, Bihar Tourism has hit the road with representations on January 13th and is expected to wind up on March 25, cov-

ering ten cities. During the roadshow, the team from Bihar State Tourism Development Corporation (BSTDC) would be spending two days each in Hyderabad, New Delhi, Kolkata, Chennai, Bengaluru, Ahmedabad, Mumbai, Surat, Jaipur and Guwahati. ADTOI will partner the roadshow in New Delhi.

“We want to change the perception of the state and our current drive will enable others to see the diversity on offer in Bihar, says Navin Kumar, Deputy General Manager, BSTDC. In its

Indian arrivals to Thailand grows 23.6% in Jan-Nov 2011 Figures tabulated by Thailand’s Ministry of Tourism and Sports for the period January-November 2011 show total arrivals by nationality of 17,105,283, up 21.17 per cent over the same period of 2010. Despite the recent floods, arrivals in January-November 2011 has risen by a strong 19.77 per cent to 1,062,595. India has become a primary market with arrivals up by 23.61 per cent to 8,38,256, making it the region’s fastest growing market. Thailand is enjoying huge popularity among Indian niche markets such as, weddings and honeymooners.

roadshow, the state tourism board is highlighting ecotourism, trekking routes, cruises and bird watching among others.

What assumes significance is that Association of Domestic Tour Operators of

India has thrown its weight behind the roadshows. “On behalf of ADTOI, I extend full support to Bihar Tourism as far as domestic tourism is concerned. We are actively looking at interacting with operators from Bihar after we

give the board a feedback on the state of tourism in Bihar,” assures Subhash Verma, President, ADTOI. On rooms’ availability in the state, Kumar admitted that while they were sufficient in places like Bodhgaya

and Rajgir, there was scarcity in places like Patna.

Verma suggested that along with some five-star properties, the state needs to look at increasing the numbers of budget hotels exponentially.

It is interesting to note that since Bihar is a major landmark in Buddhist Tourism with IRCTC running a dedicated train on the Buddhist circuit, there are no

actual synergies between BSTDC and IRCTC. When questioned if there were closer ties between the two and if it could result in more numbers, Kumar remarked that both sides work independently and it has worked out.

Figures available from January-November 2011 shows that the state received 1,32,33,304 of which 5,27,773 constitute foreign tourists.

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Abacus India hosts Travel Forum 2011 Further reinforcing its leadership position in the travel technology and distribution market, Abacus International, Asia’s leading provider of travel solutions and services hosted the Travel Forum 2011 in India.

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bacus showcased new technologies and products to 100 key representatives of travel agencies and airlines from around the region during the event, held in both Pune and Jalandhar on December 10

No bailout package for private airlines Ruling out a bailout package for any private airlines and asking Air India to shape up, Ajit Singh, Civil Aviation Minister took a tough stance on the current malaise prevalent in the sector. Where former is concerned, Singh asserted that if banks are satisfied, they could go ahead but government will not bail out any private carrier.

"If the banks are satisfied with their plans and think they can recover their money then they will lend money, however the Government is not in a position and will not bail out

Ajit Singh Civil Aviation Minister

any private airlines”, asserted Singh. However in the case of Air India, Singh pointed out that it was the government’s obligation to help out the beleaguered carrier since it was a public sector enterprise.

"Air India is a public sector unit, so government has an obligation. But there as well, the airline will have to become competitive. It will have to restructure its costs in line with the industry as a whole because government cannot keep pouring money," Singh said after laying the foundation stone for Delhi airport's new ATC tower.

Fearing continued losses, banks have gone back on their decision to restructure loans to the tune of Rs 21,000 crore to the national carrier.

Air India has total debt of Rs 43,777 crore and owes to oil companies, airport operators and other vendors.

and 17, 2011, respectively.

These core technologies to help propel Abacus’ growth and leadership position in India included Abacus’ next generation point-of-sale system, its portfolio of mobile solutions as well as its mid-

and back-office suites.

Launching the event was Jeet Sawhney, Managing Director, Abacus India, who said, “Abacus continues to provide the travel industry with leading technology solutions that help agents transform the way

they work and serve their customers. India is a growing market within the travel industry and we have seen a lot of growth in Tier-II cities such as Pune and Jalandhar. In understanding and embracing this growth potential, Abacus

is emerging as a product leader in these markets.”

The Travel Forum 2011 provided an opportunity for Abacus to engage with key travel players to better understand the needs and to provide the right solutions in order to address those needs. Some key solutions from Abacus were highlighted in this regard.

“With our new Abacus WorkSpace, we are equip-

ping agents with leading market solutions that will allow them to become leaders in the marketplace.

The new WorkSpace which will serve as the next generation point-of-sale system will give Abacus customers across the Asia Pacific strong advantages in productivity, content aggregation and customer management,” Sawhney added.

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The Suryaa New Delhi celebrates its 29th Annual Day

Switzerland grows by 20.3% in Indian arrivals in 2011 The NTO gets additional budget for the Indian market for 2012.

Plans to undertake initiatives to develop new market segments.

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iding high on 20.3 per cent growth that Switzerland Tourism witnessed in overnights from India in 2011, aided by an

announced that it will continue to make major investment in India in 2012 as well that will be complemented by a host of new initiatives to develop new segments of travel.

(L-R): Sharma and Maeder addressing the press conference

The Suryaa New Delhi hosted its Annual Day on the occasion of the completion of 29 glorious years of its success. On the occasion, LK Malhotra, CMD, CHL Group along with Luv Malhotra, ED, CHL Group and Greesh Bindra, VPGM The Suryaa, New Delhi awarded the employees on their completion of 5, 10 and 15 years at the Hotel.. The evening was full of fun, fashion, music and entertainment.

additional CHF 1 million marketing budget last year, Switzerland Tourism has announced 2012 as ‘The Year of Water’ with plans to promote its famous lakes, glaciers and rivers in India. The NTO has

Obama to declare new visa policy for India In a bid to make US the world's top travel and tourism destination President Barack Obama on recently announced a new visa policy for ‘low risk’ applicants to attract visitors from emerging economies like India, China and Brazil.

Obama travelled to the world famous ‘Disney Land’ tourist resort in Florida to announce his new policy which he said would help America retain the status of top tourist destinations of the world. "Let's realise that in the years ahead, more and more tourists are going to

Barack Obama President USA

come from countries, with rapidly growing economies, huge populations and emerging middle classes; countries like China, India and Brazil," Obama said.

Obama's emphasis on these three countries is driven by the fact that tourists from India, China and Brazil contributed approximately USD 15 billion and thousands of jobs to the US economy in 2010.

Acknowledging that the current visa process makes it difficult for people from these countries to come to the United States, Obama said he has directed the State Department to accelerate America's ability to process visas by 40 per cent in China and in Brazil this year.

“Looking at the results for 2011, Government has allocated additional budget for the Indian markets in 2012 as well. We will utilise the additional resources to develop new market segments in India like Youth,

Senior and Adventure travel,” informed Michael Maeder, Managing Director, Switzerland Tourism India.

The NTO is also aiming to boost its product offering for the India market in 2012.

“We will introduce new products, packages and destinations like Engadin St Moritz and Glacier Express this year,” said Ritu Sharma, Deputy Director, Switzerland Tourism India.

Sharma also said that the NTO will work with more and more tour operators in order to enable increasing number of middle class to visit Switzerland.

Switzerland recorded 460,000 Indian overnights in 2011, a growth of 20.3 per cent over the previous year.

“We are aiming 20 per cent growth in 2012 as well and hope to cross 500,000 mark in overnight stays this year.

Key facts Switzerland records 20.3 % growth in 2011 460,000 Indian overnights in 2011 The NTO is targetting 20 % growth in 2012 To grow arrivals from new segments like youth, senior and adventure segments To promote new destinations and products like St Moritz and Glacier Express

India is today one of the top four strategic growth markets along with China, Brazil and GCC. And I am sure India would be one of our top five markets in four to five years.

Switzerland remains one of the most preferred holiday destinations for Indians,” he said. India currently ranks in the top 12 source markets of Switzerland.

Airlines oppose hike in aeronautical charges

by Delhi International Airport Limited Airlines operating out of Delhi International Airport Ltd have vehemently opposed to hiking aeronautical charges. In a meeting hosted by Airport Economic Regulatory Authority, all stakeholders were called to discuss the 774 percent hike sought by DIAL and the 334.6 percent hike it is proposing to allow from April 1. DIAL says aero charges are same since 2001, except for a 10% hike in 2009.

Domestic airlines pointed

out that any increase in charges could have an impact on short-haul flights of up to 90 minutes duration. Leading international air carriers say they’d reconsider expansion plans here if the airport charges at Delhi are increased.

Owing to high airport fees in the country, AirAsiaX, long-haul subsidiary of low-cost carrier AirAsia, recently said it was discontinuing flights out of Delhi and Mumbai airports. And, Air Asia said it was discon-

tinuing flights out of Hyderabad owing to the high User Development Fee. Though airlines were sympathetic to the airport operator's reasons for increasing charges it was felt that hiking the fees could see a shift in traffic from India to other airports in the region. The airlines said the proposed increase would make Delhi more expensive than Japanese airports, which has one of the highest charges in the world.

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HOTELS

It’s 102% growth for LHW India office In a tete-a-tete with , Philip Ho and Sowmyaragavan T E from the The Leading Hotels of the World (LHW) discuss their long-term plans for India market following the opening of its third office in Bengaluru.

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nderscoring the partnership between LHW and its member hotels, LHW started the New Year with the India Showcase 2012 in Mumbai and Delhi to give its member hotels clarity about the Indian market.

The hotel marketing company has increased its focus on India, its major growth driver.

Sowmyaragavan T E, Director, India, The Leading Hotels of the World says, “India is vital for the outbound market as it drives business to the pool of LHW hotels globally. The Indian office of The Leading Hotels of the World has recorded a growth of 102 per cent in business last year.”

Looking at a robust growth this year too, The Leading Hotels of the World is eyeing long-term investment in manpower in the country. The luxury hospital-

Soaring High The Indian office of The Leading Hotels of the World has recorded a growth of 102 per cent in business last year The luxury hospitality organisation will unveil its third India office in Bengaluru in the first half of 2012

ity organisation will unveil its third India office in Bengaluru in the first half of 2012.

Talking about the untapped potential of the South Indian market, T E informs, “We do

There are about 800 checklist items that we look out for. To be a part of the portfolio of LHW, hotels need to meet certain criteria such as it has to be the best hotel in the city,

the largest number of independent luxury hotels.”

“We have the largest global sales organisation for luxury independent hotels,” he adds.

The Leading Hotels of the World currently has nine members in India with the Taj Faluknama Palace, Hyderabad being the latest addition.

Sowmyaragavan T E

Philip Ho

Director, India, The Leading Hotels of the World

Vice President-Asia Pacific, The Leading Hotels of the World

not want to miss out on any opportunities in South India as we are looking at longterm growth and investment in India.” The consortium already has offices in Mumbai and New Delhi.

Aiming to bring into their fold masterpiece hotels that High Networth Individuals (HNIs) would opt for, Philip Ho, Vice PresidentAsia Pacific, The Leading Hotels of the World comments, “We are looking for quality and not quantity.”

Talking about the criteria for becoming a member of the LHW, Ho says, “Hotels must apply for inclusion to be a part of The Leading Hotels of the World and they face a rigorous application process.

the service standards need to be exceedingly high, etc.”

According to Ho, the standards are judged by a mystery inspection. Over 60 per cent of the standards are service-related. There is a strong focus on developing the core business, he feels.

Regarding the USP of the hotel marketing group in the country and how it will combat competition in the burgeoning market in India, Ho boasts, “There are other organisations that support independent hotels but there is no one who can be compared to our size, in terms of the number or the comprehensiveness of coverage. We have got

Stressing on the importance of travel trade, T E urges, “Travel trade is onetouch point for us. They are the medium through which we reach out to a lot of consumers. Also, corporate business is important for us.”

Discussing the India Showcase 2012 that was held in Mumbai and Delhi, T E reveals, “The idea behind the showcase is to help our members understand the Indian market and what it has to offer.

Similarly, we want to make the Indian travel trade aware of our member hotels which are among the finest in the world.”

According to him, the showcase brought together around 25 hotel members, including three multi-generation owners representing over 30 hotels worldwide. The twoday event in both Mumbai and Delhi witnessed around 200 customers from the travel fraternity, he informs.

Meetings@Manila in Filipino style The first integrated leisure destination in The Philippines is targetting leisure, FIT and MICE segments from India. gives details.

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he first integrated travel destination in the Philippines -- Resorts World Manila is planning to tap the outbound market from India in a big way. RWM which is home

to three hotels -- the five-star Marriott Hotel Manila, the newly opened budget lodging Remington Hotel and its centerpiece, the luxury all-suite casino hotel, Maxims Tower is Genting Hong Kong’s first foray in a land-based attrac-

Michael Goh

Naresh Rawal

Senior Vice President Star Cruises

Vice President Sales India & South Asia, Star Cruises

tion. The global leisure, entertainment and hospitality enterprise Genting Hong Kong also owns the leading cruise operator Star Cruises.

MICE will play an important role in helping the Genting group achieve its target of increasing arrivals to The Philippines. Talking about tapping the MICE segment, Michael Goh, Senior Vice President - Sales, Star Cruises says, “The Philippines has enjoyed a steady increase in tourism.

With an environment that is progressively becoming more conducive to business, The Philippines, and Manila in particular, are fast becoming a sought-after MICE destination in Asia too. Thus, Resort

World Manila aims to cater to the ever-growing demands of corporate guests.”

According to Goh, being close to the airport is an added advantage for the new MICE destination. He feels, “RWM is located on the 25hectare Newport City, just opposite the Ninoy Aquino International Airport Terminal 3 in Pasay City. This is expected to boost the arrivals of MICE and group travellers.” The group also aims to position RWM as the ultimate stopover for the group or corporate traveller who is planning to visit Manila and then move on to the leisure destinations such as the islands of Boracay.

Contd. on page 46

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FAMILY ALBUM

Best Western International turning 65 in style Celebrating 65 years the Best Western way, Best Western International played the perfect host recently at The Imperial. From six properties in India in 2007 to 34 properties in 2011, the India chapter has been of vital importance for the hotel chain. Thus, to mark the occasion and to show its commitment to India, the fun-filled affair saw the behemoths of the hotel chain, including David Kong, Sudhir Sinha and Devang Amin raising a toast to the growth story inIndia.

A great attendance of Indian hoteliers and members of the travel associations graced the glitteratti evening.

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FAMILY ALBUM

Sales mission the Filipino way in India

DELHI

MUMBAI

Crescent-shaped beaches dusted with talcum powder-like sand; uninhabited tropical islands, lush impenetrable jungles bristling with unique wildlife and the thrusting soaring capital of Manila. The Philippines was brought alive to India during the annual India Sales Mission. The event hosted by the Philippines Tourism Marketing Office witnessed a large travel fraternity which came on the same platform to sell Philippines aggressively.

HOTELS

‘India is a growth driver’ Best Western hotel chain sees an opportunity across different segments in India and is equipped to meet the market needs with its three ranges of hotels -- Best Western, Best Western Plus and Best Western Premier.

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lobal hotel chain Best Western International is focussed on the expansion of its presence in India and is confident about India playing

“Return on investment is high in tier-2 cities. We will focus on growth opportunity beyond the metros, where quality hospitality is just emerging, especially in Tier2 and Tier-3 cities.”

four-star and five-star categories and the remaining will be three-star hotels.

Betting big on tier-2 and tier-3 cities, he remarked, “Discerning high-end travellers who stay in five-star

David Kong

Sudhir Sinha

Devang Amin

President and CEO Best Western International

President and Chief Operating Officer, Best Western India

Chairman Best Western International

a prominent role in the global growth of the company. David Kong, President and CEO, Best Western International said, “ Best Western sees an opportunity across different segments in India and is equipped to meet the market needs with its three ranges of hotels -- Best Western, Best Western Plus and Best

Talking about the investment plans of the hotel chain, Sudhir Sinha, President and Chief Operating Officer, Best Western India informed,

hotels are unable to find suitable accommodation in tier2 and tier-3 cities in India at the moment. With Best Western Plus we endeavour to fill this gap in the market.”

“We are expecting an investment in the range of Rs 55-60 lakh per hotel room in the five-star hotel category, ` 40 to 45 lakh in the four-

Regarding the group's commitment to India, Devang Amin, Chairman, Best Western International, commented, “Hotels need solutions that enable them to grow their earnings and drive more traffic and build loyalty.

Best Western addresses these needs and redefines hospitality partnership by providing the broadest portfolio of proven, integrated, and adaptive solutions.”

Partnership Galore In an exclusive to , the company said it is on the verge of finalising a deal with a Madhya Pradesh-based realtor for 30 hotels. This information was shared by Sudhir Sinha, President and Chief Operating Officer, Best Western India. “The plan to ink a deal with the MP-based realtor will be finalised in another month's time. It will be a partnership for 30 hotels where investment for 10 hotels will come from the developer while the other 20 hotels would be leased properties.” The company also is in talks with a Thailand-based company to invest in India.

Western Premier. The renewed focus is part of its commitment to understanding and meeting the growing needs of customers here.”

Going forward, the company plans to raise ` 1,600 crore from various franchisees to set up 66 new hotels in India over the next five years. Kong revealed,

star category and ` 20 to 25 lakh in the three-star hotelcategory, excluding the price of land.”

The new focus areas of growth will be the four-star hotel categories with Best Western Plus and five-star hotel categories with Best Western Premier properties — 60 per cent will be in the

The company is now looking at adding 66 hotels in its India portfolio within the next five years. Currently Best Western India has 34 properties in operation. The hotel will unveil eight properties in the country in this financial year. Starting from the Aurangabad property, which will be launched in July this year, the hotel group will unveil its second property in Kolkata. The rest of the hotels would be unveiled in Hyderabad, Bhubaneshwar, Kodaikanal, Bengaluru, Mumbai and Goa.

Choice Hotels India opens Comfort Inn Anneha Choice Hotels India, the wholly owned subsidiary of Choice Hotels International, has opened Comfort Inn Anneha, its third property in New Delhi. Owned by Parsvnath Group, the hotel is located in Greater Kailash (BB-17, GK Enclave-II), New Delhi, one of Delhi’s premium locations.

Comfort Inn Anneha is operational with well– appointed rooms and the essence of business class luxury combined with distinctive service.

Speaking on the occasion, Vilas Pawar, Chief Executive Officer, Choice Hotels India said “We are delighted to join hands

with Parsvnath Group and expect to offer guests hospitality of international standards at a rational price point. We have an agreement with Parsavnath Hospitality limited to manage multiple hotel assets on their behalf across tier 1 and tier 2 cities in the country."

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HOT DEALS / NEWS

India is World’s Leading Destination World Travel Awards (WTA) capped its year-long search for the world’s best travel and tourism brands with its Grand Final Gala Ceremony in Doha, on January 11, 2012.

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rganisations including American Express, Starwood Hotels, Lufthansa, Abercrombie & Kent, Royal Caribbean Cruise Line, Europcar and Incredible India walked off with top honours for their respective roles spearheading the global travel and tourism recovery.

India saw off the likes of London, New York, Cape Town, Rio de Janeiro and

Sydney to win ‘World’s Leading Destination’ award in a year in which international arrivals edged closer to the target of one billion travellers by 2016.

Etihad Airways continued its meteoric rise by being voted ‘World’s Leading Airline’ for the third year in succession, following a milestone year that saw the UAE flag carrier continue its journey as the fastest growing air-

line in history. Established 19 years ago, World Travel Awards is committed to raising the standards of customer service and overall business performance throughout the international tourism industry.

The 2011 WTA nominations featured more than 5,000 companies in 1,000 categories across 162 countries. The winners were selected by more

India Shining Incredible India World's Leading Tourist Board The Oberoi Gurgaon, India World's Leading Luxury Hotel The Raj Palace World's Leading Heritage Hotel Kuoni Destination Management World's Leading Destination Management Company than 210,000 industry professionals and consumers worldwide.

Kuoni wins laurels at WTA This is the second consecutive World Travel Award that Kuoni has won as World’s Leading DMC. T T B U R E AU

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uoni Destination Management has been voted 2011’s ‘World’s Leading DMC’ by the World Travel Awards.

Kuoni has got this award for the second consecutive year.

Yasser Noman, Head of DMC Specialists and CEO Destination Middle East & Africa, receiving the award

“We are very happy to receive the recognition from the travel industry

for the second year in a row.

2011 has been a momentous year for Kuoni Destination Management, bringing GTA into the company has given us a richer global community and we have filled the organisation with even more talented and expert travel professionals,” says Rolf Schafroth, CEO Global Travel Services.

Fiona Jeffery awarded OBE Fiona Jeffery, Chairman, World Travel Market has been appointed an Officer of the Order of the British Empire (OBE) in Queen Elizabeth’s II New Year’s Honours list.

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effery’s award of the OBE is for her services to the travel and tourism industry during her 26 years at WTM, the leading global event for the travel industry.

The 2011 New Year’s Honours list was chosen based on the UK’s Prime Minister David Cameroon Big Society initiative, which is focussed on people making a real difference to communities

through volunteering, fundraising, social action and philanthropy.

In 1998, Jeffery launched travel industry water aid charity ‘Just a Drop’ which aims to reduce child mortality caused by unsafe water. "I was genuinely stunned but it's a great honour and I've received lots of wonderful emails and texts over the last week,” Jeffery said.

“The best thing is being able

Fiona Jeffery Chairman, WTM

to share it with so many colleagues both at Reed Exhibitions and within the travel Industry who have all played their part over the last 26 years in making WTM what it is today and also the many people who have also helped support and grow Just a Drop. “ My sincere thanks go to colleagues and those in the industry who have worked with and supported me over the years."

Literature Festival attracts whopping response Writers, authors, participants and the who’s who of the literary world rubbed shoulders at an exquisite preopening cocktails and dinner function held on the lawns of the sprawling Rambagh Palace. Ethereal ambience, a medley of cocktails and

Rajasthani delicacies accompanied by spectacular entertainment and sheer warmth ensured a memorable start to the Jaipur Lit Festival 2012.

A bracing wintery evening on the lawns of the ‘Panghat’ of the Palace, a crackling bonfire and mesmerizing fireworks

that lit up a starry sky, and a group of world-renowned wordsmiths from across the world - all complementing each other - made for a perfect literary evening. Amongst the guests spotted at the royal Palace were Praveen Khan of the Kawa Brass Band who

regaled the audience with folk numbers, author Tarun Tejpal, actor and socialite Kabir Bedi, designer Sabyasachi, socialite Suhel Seth, writers William Dalrymple, Fiona Caulfield Coetze, Pinker, David Remnick, Hari Kunzru and Girish Karnad.

46 TRAVTALK

NEWS

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

India’s reservation growth returns in November, while rates lag behind A

s the December holiday season nears, it is a welcome sight to see that November bookings are once again growing over prior year.

October’s year-over-year performance is not as dire as it seems at first glance. Some of the lower comparative booking volume is related to the aftermath of events such as flash-flooding; however, much is also attributed to Delhi’s hosting of the Commonwealth Games in October 2010. Nonetheless, the increase in November bookings by +4.7% over prior

adventure to be found at locations ranging from the beach to the mountains.

and you have what could be a winning recipe for revenue.

Those less likely to travel outside of India because of exchange rates will be more likely to vacation domestically. So packages and promotions targeting both key international sources and India’s intra-country travelers can lure greater market share given the inherent savings and added value to be had.

Also, during times of uncertain currency fluctuations, budget-conscious travelers often favor the ‘locked-in’,

The above analysis is based on the over five billion monthly transactions processed by Pegasus Solutions, the world’s single largest global processor of hotel transactions. The data represents transactions from both the GDS (Global Distribution System) and ADS (Alternative Distribution System) channels, representing the business and leisure markets respectively for approximately 90,000 hotels

year provides a positive sign for increased travel demand for the holiday season.

Not as welcome a sight is another month of easing rates for India as a whole.

November’s ADR decreased by -4.2% from prior year. It is this decline that negated November’s boost in bookings and caused revenue to fall below last year by -4.7%.

This provides a perfect example of the impact rates have on revenue and ultimately profit.

Some factors that are contributing to the pressure placed on rates involve the slowing of India’s economy and concern over the recent record low of the rupee per dollar. However, often with challenges come opportunities. A low exchange rate may not bode well for Indians wanting to travel abroad, but it can be a plus for attracting inbound travelers over competing destinations. This becomes an opportune time to capitalize on all the unique and appealing aspects hotels and their surroundings have to offer. India is rich with diverse delights that include those of a cultural, gastronomical, religious and medicinal nature, as well as the added relaxation and

Review the hotel industry - The HIFI way!

The recently concluded three-day conference - Hotel Investment Forum India 2012 at Renaissance Mumbai Convention Centre Hotel witnessed the participation of the who's who of Indian and global hospitality industry.

Despite knowing the negatives, leaders cheered the participants by highlighting the positives and growth opportunities in the Indian hotel industry.

INDIA, REGIONAL, GLOBAL – %CHG OVER PY Net Reservation CHG

Net ADR CHG

Net Revenue CHG

Nov YTD Nov

4.7% 21.5%

-4.2% 2.7%

-4.7 25.7%

Nov Asia Pacific YTD Nov

1.8% 6.5%

2.0% 3.8%

5.2% 12.6%

Nov YTD Nov

5.6% 10.3%

2.4% 4.6%

7.7% 17.5%

India

Global

predictable price that pay-inadvance packages can provide.

Less long-distance travel can also be a cause of shorter length of stay (LOS) and booking lead times.

November’s average LOS tightened by -5.3% compared to last year, and the average booking lead time was just under last year by 0.4%. Trips that involve greater distances most often involve more nights away from home and work, and with more components, often require greater advanced planning.

Once again, however, less out-bound travel resulting in more domestic stays can prove advantageous.

Add more international visitors, who will most often seek travel agent expertise and spend more money per trip than domestic guests,

worldwide. All data is on a date of booking basis unless otherwise stated.

ADR (Average Daily Rate) and revenue percentage changes are calculated from values using a single constant exchange rate to eliminate the effects of currency exchange rate movements. For more analysis on regional trends, visit www.pegs.com/thepegasusview, where you can also sign up for a free monthly subscription to The Pegasus View.

Paid porter service now available at the Chandigarh Airport In a bid to strengthen its facilitation initiatives for passengers Chandigarh Airport has recently introduced "Swagat Seva” facility. It is a paid porter service with new snack bar counters in domestic as well as in international security hold area at the airport.

Apart from the Swagat Seva service, the airport has also launched a new restaurant in new the integrated

terminal building. In addition, for the medical needs of passengers, a Medical Inspection Room has been set-up in association with

Fortis Healthcare.

News Channel facility has also been introduced for passengers transiting from international security hold area, immigration waiting hall and domestic security hold area.

Chandigarh airport has recently been declared a Customs airport and international flight operation from this airport will start shortly.

Resorts World Manila woos Indians Contd. from page 36

Julie Parodi Sr. Director, Strategic Planning

To attract Indian clientele to Resorts World Manila, Genting Hong Kong has already started promoting Manila as a destination among Indian travellers.

Outlining the importance of the India market for RWM, Naresh Rawal, Vice President Sales – India & South Asia, Star Cruises,

confirms, “We are targetting leisure, FIT and MICE segments from India. The group has already started promotional activities in the country. We also organised the first FAM trip to Manila in January for the Indian travel trade to give them a firsthand experience of the destination and its offerings.”

The group is keen to tap the Indian market. Rawal opines, “We have a lot of support from the trade in India and we look forward to working even more closely with them.

Besides, Mumbai and New Delhi, we will leave our mark in more Indian cities this year.”

OPPORTUNITY / CLIPBOARD

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

TRAVTALK

47

48 TRAVTALK

FEBRUARY 1 ST FORTNIGHT ISSUE 2012

MOVEMENTS

Boeing Commercial Airplanes New Delhi

Hotel Hindusthan International Kolkata

Dinesh Keskar is the new Senior Vice President, Sales - AsiaPacific and India for Boeing Commercial Airplanes. In this role, he will head a sales organisation, including contracts, marketing, revenue management and other support functions. Keskar was appointed President of Boeing India in March 2009.

He currently represents all elements of The Boeing Company in India, where he has led Boeing-wide efforts focussed on expanding the company's local presence and pursuing new growth and productivity initiatives. He will continue in his present role as Boeing India President until a successor is named.

Sanjiv Banerjee has been appointed as the Vice President Sales & Marketing for the Kolkata based HHI Group of hotels. An IHM Kolkata pass-out with 17 years in the industry, he started his career with The Taj group and has worked for some of the leading hotel brands in the country.

His last assignment was with Sterling Holidays as the Head of Sales for the hotel sales division. At HHI, he would be responsible for business development and brand management for all the 5 hotels of the group. His work has taken him across India.

Hotel Vits Delhi NCR Delhi NCR Parthi Krishnan has joined as the General Manager of Hotel Vits Delhi NCR. He has worked for 7 years with Leisure Hotels as the General Manager and is looking after the hotel sales & Franchise.

After leisure hotel, he was the Group General Manager at Tivoli Group of hotels and taking care of Tivoli Group franchise. Krishnan completed his Graduation from Delhi University.

Four Points by Sheraton Visakhapatnam Visakhapatnam Patanjali Sharma is appointed as the General Manager of Four Points by Sheraton Visakhapatnam. He brings with him 26 years of experience in the hospitality industry across the globe and his last experience was with the Sanskriti Tours as an Independent Hospitality consultant. He is spearheading the entire Four Points by Sheraton Visakhapatnam with a team of 220 employees. Sharma has previously worked in various capacities with international brands.

Justa Hotel New Delhi

Udaipur

Abhimanyu Kayastha joins the Justa Hotel as the General Manager of The Ramada Resort Udaipur (erstwhile The Lotus Lake View Resort). He has graduated from The Oberoi School of Hotel Management, New Delhi and is a Commerce Graduate from Tribhuvan University, Nepal. He has a rich experience of over 17 years in the hospitality industry. In his career span, Kayastha has worked with leading hotel brands like Oberoi Soaltee Kathmandu, Holiday Inn Agra, The Grand Intercontinental Mumbai and The Grand Ashok Bangalore.

Richa K Singh joins as the Head of Corporate Communication and Business Development for Justa Hotel. Prior to this assignment, she was working with the Oberoi Group in the Travel Trade team. An Economics Graduate from Delhi University, Singh started her career with the Taj Group in 1995 in operations. She brings with her a rich and varied experience of hotel operations and corporate and leisure Sales in the hospitality industry, besides exposure in the field of ITES and Public Relations.

Goa Marriott Resort & Spa Goa

Cathay Pacific Airways Mumbai

Hilton Chennai Chennai

Dr. Manjula Shettigar has been appointed as the Spa Manager

Sachin Gaike has been appointed as Cathay Pacific Airways’ Assistant E-Business Manager India. He will be responsible for online sales and digital marketing activities for the airline in India. Gaike is in the aviation industry for the past 9 years. He started his career with Jet Airways in the year 2002 in the loyalty department of Jet Airways and then moved to E Business in 2006. He also worked with Qatar Airways e-commerce based in Doha for a short period. He has done his MBA in Marketing.

Daniel Robert Leah has been appointed as the Executive Chef of Hilton Chennai. He brings with him an extensive experience of over 15 years in the industry. He started his career as a junior Sous Chef at Hilton London Metropole. Thereafter, he held various positions at Hilton Worldwide hotels in Scotland and Liverpool in the United Kingdom and Jeddah in Saudi Arabia. Prior to his appointment as Executive Chef, Hilton Chennai, Leah was Cluster Executive Sous Chef at Hilton Jeddah and Waldorf Astoria, Saudi Arabia.

at the Goa Marriott Resort & Spa. She started her career and has had varied experiences as a Duty Doctor in Manipal in 2003 and a General Practitioner in Karnataka in 2004.

Subsequently she joined the Park Hyatt Goa Resort and Spa in October 2005 as an Ayurvedic Doctor (Asst. Spa Manager). Prior to this, her last assignment was that of Asst. Spa Manager at Hyatt Regency Pune in June 2010.

Murali Raghavan is Chief Operating Officer -- South Asia and CIS, VFS Global. Holding an experience of over 26 years in the hospitality and travel industry, Raghavan is known for his professional and pioneering approach for handling strategic relationships with Diplomatic Missions and governments. Raghavan takes deep interest in philosophy and spirituality. Listening to Hindi classical music is one of his favourite pastimes. Raghavan also enjoys watching sports such as cricket.

Talking People is a special dedicated corner, created as a sounding board for who’s who of the Indian and International travel industry. With Talking People, it is our endeavour to bring you face-to-face with people.

Contributed by: Deepa Sethi, Megha Paul & Anil Mathur

Murali Raghavan

Marco Gorin, Chief Commercial Officer, InterGlobe Technology Quotient (ITQ by Travelport) is a passionate mountaineer, and does this every year not only as a hobby but also to raise funds for an NGO that looks after HIV patients and orphans.

He has already scaled Kala Patthar (18,600 ft.) in the Everest region in Nepal, after a charity trek in the Annapurna region of the Himalayas. He now talks about climbing a narrow ice peak (21,000 ft.) from the Everest Base Camp this September with excitement in his eyes. When asked if he doesn’t have a sense Marco Gorin of fear while climbing such dangerous peaks, he says, “Fear in Chief Commercial Officer InterGlobe Technology Quotient small doses brings about a better perspective to life, teaching you how to handle stress and changes once you’re back on ground!” He enjoys the challenge and the camaraderie that grows amongst fellow climbers.

He goes for an 8 km run and then gyms at 4.30 every morning, Monday – Saturday.

Supporting him through all this is his wife, Nattharat, his daughter, Helena (6) and his son, Alexander (3).

(To support his cause: www.charitytrek2012.blogspot.com)

Chief Operating Officer – South Asia and CIS, VFS Global

Umesh Kalra is Advisor in the Ministry of Tourism, Government of India. This is his second stint with the MOT; during his first stint, he handled several key areas, including planning and finance. Now, he is in the key areas of niche tourism and development of the crucial North East region, among others.

Kalra’s advice to the young is to work hard and take advantage of the vast scope in the sector. During his spare time, the economist-administrator likes to listen to music of all kinds and what’s more is that he is also a good singer himself, as his many friends vouch. Mukesh is his favourite. His other interests include reading and meeting people. Perhaps that is one reason of his popularity, apart from having a good sense of humour.

Umesh Kalra Advisor in the Ministry of Tourism, Government of India

DL(ND)-11/6044/2012-13-14; U(C)-178/2009-11 for posting on 1-2 and 15-16 of the same month at New Delhi P.S.O., RNI No.: 53492/91 Date of Publication: 30-01-2012

HIGHLIGHT

India is the fastest growing market Yet behind the growth curve: WTTC World Travel & Tourism Council (WTTC) plans to hold a meeting with the Prime Minister and top members from tourism-related ministries next month to discuss challenges faced by the Indian tourism and hospitality industry.

It also plans to hold a regional summit in India in the next 18 months.

A N I TA J A I N

A

ccording to World Travel & Tourism Council (WTTC), the Indian market is growing at around seven to eight per cent. It is the fastest growing market in the world alongside China and Brazil.

However, the country is lagging behind due to minimum infrastructure and government policies.

According to David Scowsill, President & CEO, WTTC, India needs lot more investment in the infrastructure bringing airports, roadways, railway networks and hotels that will attract more tourists to the country.

Informing about the private meeting to present a special report to the Prime Minister and heads of the Indian states next month, he said, “We will present a ten year forecast of travel and tourism industry of India.

The report will highlight the five key requirements – infrastructure, taxation, visa, investment and interest rates. The WTTC India Initiative will be working with the local travel trade associations like TAAI, TAFI and FHRAI and put all their research statistics together resulting in one voice.” The council is also planning to hold its first regional summit in India anytime in next 18

months for the whole South East Asian market and have requested the same to Subodh Kant Sahai, Union minister for tourism, Government of India.

Advising about learning lessons from China, Scowsill said, “Beijing receives over 100 million travellers every year, 74 million going from one airport. In the next five years, it will receive over 200 million travellers. Thus, to cope with this growth, they have planned in advance to build another airport. They are always thinking ahead and investing in hotels, airport infrastructure, and in high speed rail links. India could earn a lot by looking at what China has done in the last 15 years in terms of public and private sector coordination, investing in public infrastructure to stay ahead of the growth curve.”

He informed that India is behind the growth curve while not having enough

Food for Thought India could earn a lot by looking at what China has done in the last 15 years in terms of public and private sector coordination, investing in public infrastructure to stay ahead of the growth curve India is no doubt growing at an exponential rate but due to various challenges faced by the different segments of the industry, the growth barometer is stuck

David Scowsill President & CEO WTTC

hotel rooms. There are more hotel rooms in Orlando than in the entire India. There is lot of potential in the country and it will reach its potential provided the government gives it right support, getting taxation straight, sorting out visa issues and providing right level of investment in infrastructure.

Global perspective According to WTTC forecast, travel and tourism industry contributes close to nine per cent in the global G DP through USD six trillion.

The number is expected to reach 9.6 per cent by 2021, becoming an industry of USD nine trillion. Providing a global perspective for the Indian market, Scowsill informed that there is a need for efficiency in visa regulations for free moment of travelling; enhanced tax structure resulting in policies for growth and addressing the environmental and human resource needs for the future tourism. He said, “India is no doubt growing at an exponential rate but due to various challenges faced by the

different segments of the industry, the growth barometer is stuck. For instance, according to our forecast for Indian aviation sector by 2020, over 90 million international passengers per annum will visit India. Till that period, Indian airports will be able to handle 450 million passengers (both domestic and international) per annum. The challenge here would be balancing the demand with capacity discipline.”

A major step forward According to the council, access to countries in US remains probably the biggest challenge affecting the industry. Thus, WTTC has offered its support to proposals laid out by Barack Obama, President, United States of Amercia; branding the move as ‘a major step forward’. He said, “President Obama should be congratulated for signing the executive order and announcing a suite of initiatives to significantly increase travel and tourism in the country. Figures from the USA travel industry and Bureau of Economic Analysis show that ‘long haul’ travellers spend on average USD 4000 on each visit. It is no surprise the US Administration is taking much-needed steps to expand the visa waiver programme, reduce the time taken to wait for an interview and increase the capacity to process visas in China and Brazil by 40 per cent during this year.”