Vol. XXV No. 12; June 2 nd fortnight issue 2013
` 50/-
Pages: 36
ddppl.com
travtalkindia.com
A DDP PUBLICATION
MOT to help states attract MICE The Indian States have been urged to come forward with land-banks for creation of MICE infrastructure, and are promised full support from the Ministry of Tourism. VIVEK SETHI
I
ncredible India will have to develop niche products to register incremental growth in inbound arrivals and register itself as a roundthe-year destination, believes one of the very credible voices in the Ministry of Tourism. Girish Shanker, Additional Secretary, Ministry of Tourism (MOT) said, “We are working on promoting various niche products to enhance the attractiveness of Incredible India. In my opinion, Meetings,
Incentives, Conventions & Events (MICE), Golf and Cinema will be the niche segments that will show the fastest conversion rate in terms of registering increase in foreign arrivals.” “As part of our strategy to promote MICE in India, the MOT is keen to promote convention centres and international conventions in India. We are also considering a MICE policy for India to develop such facilities across the entire country. States have been urged to come forward with land-banks for
creation of MICE infrastructure, with full support from MOT.
our guests, who were part of the UNWTO meets in Andhra Pradesh. They had all been amazed by the hospitality and MICE amenities that India offered during the UNWTO meets,” he added.
In fact, many states have already come forward to work with MOT to leverage the MICE advantage,” he added. Further, as per Shanker, at the recently-held UNWTO meets in India, all the guests were more than delighted, looking at the MICE events
Girish Shanker Additional Secretary, Ministry of Tourism (MOT)
that India handled with aplomb. “We have been getting so many feedbacks from
On the golf tourism front, Shanker highlights that a detailed strategy is being worked out. India, as a global Cinema hub to shoot films, had been recently promoted at the Cannes International Film festival. The MOT and Ministry of Information and Broadcasting had recently Contd. on page 5
Agents fight sluggish inbound trend Terming the furore over safety aspects and its consequent fallout on foreign arrivals overrated, industry experts stay confident of growth in the forthcoming inbound season. T T B U R E AU
Jyotsna Suri
Arjun Sharma
Chairperson & Managing Director Bharat Hotels and Vice President FICCI
Managing Director LPTI
T
he pace of inbound visitors recently had fallen behind the expectations of the inbound industry. But, it hasn’t held back the courageous inbound
operators from setting up aggressive targets for themselves. At the same time, they keep their eyes open for policy initiatives that can make India more inviting. “The present times are challenging, but FICCI’s sur-
vey on the present tourism scenario points out that a growing number of stakeholders in the tourism industry now feel that there could be a surge in inbound tourist arrivals in 2013. It is indeed Contd. on page 14
News Bulletin Letter to Editor from FAITH See full story on page 4
India a 365-day destination for ME See full story on page 12
A $3.2 billion FDI windfall for hospitality See full story on page 22
Agents needed to drive medical tourism See full story on page 24
BULLETIN
IATO Convention: Sept 8-11 in Kochi Arun Anand will be the Convention Chairman, while EM Najeeb and Lally Mathews will be the Co-Chairmen for the event. T T B U R E AU
I
ATO will host its 29th annual convention in Kochi from September 8-11 at the Le Meridien Convention Centre. For the second time, IATO will host the convention in Kochi, the last time being in 2005. This was revealed by Lally Mathews, Honorary Secretary, IATO. Arun Anand, Honorary Treasurer, IATO will be the Convention Chairman while EM Najeeb, ChairmanKerala Chapter, IATO and Mathews will be co-chairmen. According to Sarab Jit Singh, Senior Vice-President, IATO, there was a consensus among the members to hold this year’s convention in Kochi. IATO was only waiting for the support of the Kerala government, which is currently supporting the convention. The theme of the convention is still under discussion. According to Anand, the asso-
(L-R): Lajpat Rai, Arun Anand, Lally Mathews, Sarab Jit Singh and Rajiv Mehra at the IATO meet
ciation is expecting better participation in the Kochi convention compared to its last Mumbai convention. IATO will also organise post-convention tours to the nearby regions for delegates for two nights and three days. The destinations are still being shortlisted. Giving details about the IATO training sessions at Ethiopian Cultural Centre in New Delhi, Mathews pointed out, “The first in the series of training sessions started by
IATO concluded on May 31. Around 30 people attended the session. The next programme that starts on June 7 has already received confirmation from 28 participants.
The topic of the training programme is ‘Using the Internet to do Better Business - How to use search engines, How to use SEO’.
The objective of the skills enhancement programme is to delve into the potential of the Internet, social media and educate members on evolving technologies and opportunities.” For team-building among the tour operators’ fraternity, IATO is also in the process of setting up a cricket team soon. Executive Committee Member Ravi Gosain has been put in charge of this new initiative.
READERS’ PAGE Activities of India Tourism offices in April 2013 VIEWPOINT
Inbound optimism
T
he stakeholders in the inbound segment are keeping their fingers crossed and hoping that the pace of growth in the inbound space will accelerate as they near the peak business season. Most of these players need to realise that the need of the hour is to take courageous business decisions and to be ready to take advantage of business opportunities when the tide turns in favour of inbound travel.
India Tourism Office, Tokyo participated in the 11th Tour Expo DaeguGyeongbuk-2013 held from April 11-14, 2013. The ‘Holi Festival of Rainbow’ in Yokohama-2013, held from April 12-14, was cosponsored by this office along with the Embassy of India, Air India and others. This office also extended non-financial hospitality to a roadshow of Bollywood movies in Tokyo and Osaka. India Tourism Office,
Amsterdam participated in an art exhibition organised by the Embassy of India, Brussels along with European External Action Service at the European Commission Headquarters in Brussels on April 9, 2013. The event was attended by a high level delegation of diplomatic corps. The press conference for the Europalia-India event, scheduled to be held during October, 2013 to January, 2014 was held at Brussels on April
25, 2013. This office proposed to organise a number of advertising initiatives during this event. India Tourism Office, Frankfurt participated in the Kazakhstan International Tourism Fair (KITF) held at Almaty, Kazakhstan from April 24-26, 2013 which is one of the most important tourism fairs of Kazakhstan. India Tourism Office, Paris participated in STIC Barcelona
held in Spain from April 1921, 2013. This Office also participated in France-India week organized by Maharashtra Mandala France in collaboration with the Embassy of India, Paris from April16-20, 2013. India Tourism Office, Johannesburg set up the India Stand in the Diplomatic Day presentation which was held in the Central Baptist Church of Pretoria on April 13, 2013.
Fortunately, there are plenty of business leaders and travel houses, who have expressed the desire to win and reap as many opportunities as possible to register a steady growth target instead of just sitting on the side and praying for a flat year without seeing red. It looks manageable to achieve a decent growth, keeping in mind today's consumer across various source markets, who makes travel decisions closer to the actual date of travel, unlike earlier when people booked 6-12 months in advance. There are more reasons to be prepared for opportunities as there is no longer any restriction on re-entry of a tourist within 60 days as per the amended visa norms, the visa-on-arrival facility has been extended to five more ports of entry. Further, the group landing permit scheme has been amended to empower the accredited DOT tour operators to stimulate inbound growth. To top it all, the Ministry of Tourism has also launched a new promotional campaign called “Find What You Seek’ for the international market , which focuses on the needs of the consumer and marks a shift from the earlier product based approach. Optimistic players will always focus on the positives, while a pessimist gets bogged down by the negatives. The time has come that even the most conventional player becomes positively oriented and starts promoting India with a sense of courage and pride.
Vikramajit Chairman SanJeet Publisher Deepa Sethi Editor
Editorial Ratan Kr Paul Vivek Sethi Megha Paul Devika Jeet Anita Jain News-Editor Peden Doma Bhutia Desk-Editor Archana Sharma Sr. Sub-Editor Hritvick Sen
Advertising Gunjan Sabikhi Asst. Vice President Karishma Khanna Sr. Manager Marketing Udit Pandey Sr. Manager Marketing Geetika Pathak Manager Advertising Amit Sarkar Asst. Manager Marketing Photographers Simran Kaur-Delhi Bharat Dangiya-Mumbai
Advertising (Mumbai) Suchita Saran Branch Manager Harshal Ashar Deputy Genral Manager Priyanshu Wankhade Asst. Manager Advertising Rishika Karra Sales Coordinator Advertisement Designers Vikas Mandotia / Nitin Kumar Design: Nityanand Misra Sudhir Mudgal Production: Anil Kharbanda Circulation: Ashok Rana
TRAVTALK is a publication of DDP 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.
The publisher assumes no responsibility for returning any material solicited or unsolicited nor is he responsible for material lost or damaged.
504, Marine Chambers, 43, New Marine Lines, Opp. SNDT College, Mumbai - 400 020, India, Ph.: +91-22-22070129; 22070130
This publication is not meant to be an endorsement of any specific product or services offered. The publisher reserves the right to refuse, withdraw, amend or otherwise deal with all advertisements without explanation.
Durga Das Publications Middle East (FZE) Z1-02, PO Box: 9348, Saif Zone, Sharjah, UAE Ph.:+971-6-5528954, Fax: +971-6-5528956
All advertisements must comply with the Indian and International Advertisements Code. The publisher will not be liable for any damage or loss caused by delayed publication, error or failure of an advertisement to appear.
MUMBAI:
MIDDLE EAST:
TRAVTALK is printed and published by SanJeet on behalf of
DDP Publications Private Limited 72, Todarmal Road, New Delhi-110 001 Ph.: +91-11-23710793, 23716318, E-mail: sanjeet@ddppl.com Printed at Cirrus Graphics Pvt. Ltd. B-62/14, Phase-II, Naraina Industrial Area, New Delhi - 110 028
NTO
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
5
Indian arrivals in Macau grow by 27% The Macau Government Tourist Office recently announced that visitor arrivals from India have recorded a double digit growth in March and April of this year. T T B U R E AU
I
n March 2013, visitors from short-haul markets to Macau recorded a 6.2 per cent increase. But, on the other hand, it registered a double-digit growth of 26.9 per cent in Indian arrivals. During April 2013, the provisional visitor arrival in Macau
SanJeet India Repesentative MGTO
In 2013, all efforts will be made to attract the Indian traveller was 2.39 million, representing an increase of 0.7 per cent over April 2012. The Indian market contributed to the growth again with a double digit growth of 12.8 per cent. According to SanJeet, India Repesentative MGTO, “Macau is fast becoming a favourite with the Indian tourists because of its perennial charm. Indians love the
Welcoming films to India Contd. from page 1
entered into a Memorandum of Understanding (MoU) to promote films in India as a sub-brand of ‘Incredible India’ at various international film festivals like IFFI Goa, the European Film Market, Cannes and other markets abroad. “Consequent to the agreement, to develop synergy between tourism and the film industry and to provide a platform for enabling partnerships between the Indian and global film industry, the ministries jointly organised a presentation and an Incredible India booth at the exhibition during the Cannes film festival, along with various other activities,” added Shanker.
opulence of Macau. From awe-inspiring UNESCO world heritage sites like the Ruins of St. Paul to the Macau Tower, the very best in modern architecture; it offers rich attractions to everyone.” MGTO has been working extensively to explore the Indian market. All efforts are
being made to attract the Indian traveller to Macau. MICE movements are also contributing significantly to the upsurge in the number of Indians travelling to Macau. Macau is considered to be one of the hottest wedding destinations by the event management and wedding
planning industry. Hotels are offering special packages and facilities for Indian weddings being organised in Macau. Macau is one of Asia’s newest and most exciting business tourism destinations, after a period of rapid and unprecedented infrastructure development.
SanJeet adds, “Macau realises the importance of the growing Indian economy and welcomes Indians by providing them seamless travel and value-for-money. With more and more luxury hotels and resorts opening up, Macau surely has gained popularity as one of the most sought-
after tourist destination in Asia. In 2013, all efforts will be made to attract the Indian traveller. We have been seeing a steady increase in numbers over the past few months, and we are sure the momentum will be maintained in the coming months too.”
6
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
Strangest items left on airplanes Virgin Atlantic has revealed the strangest items passengers leave behind after travelling with the airline. A survey shows it’s not just reading glasses and CDs. Some passengers
Make group-landings viable: IATO Clarifications from the Ministry of Home Affairs were sought to ensure that the group-landing permits are implemented effectively and all inbound players can make use of this facility. T T B U R E AY
T
he Ministry of Home Affairs (MHA) had announced the revised procedure for foreign tourists in groups of four or more arriving by air or sea, sponsored by Indian travel agencies approved by the Ministry of Tourism, and with a pre-drawn itinerary in April 2013.
also leave behind smartphones, iPods, iPads, wedding rings, baby strollers, shoes, and even passports. Any left items that are not claimed for more than 6 months, if not perishable, are donated for charitable causes. "We were surprised to find an artificial limb left behind by one of our passengers, but were delighted that we were able to reunite them,” said Stephen King, General Manager, Virgin Atlantic- India.
ASSOCIATIONS
The inbound tour operators had been keen to make use of the scheme, but hadn’t used it due to the want of cer-
tain clarifications. Here, the Indian Association of Tour Operators (IATO) had taken a lead by requesting the MHA for required clarifications and volunteering to help the cause of attracting foreign tourists’ arrivals. “We have sought clarifications from the Ministry of Home Affairs so that this can be implemented effectively and our members can make use of this facility. Here, the airlines also need to be informed that tourists might be taking flights without visa and they should be allowed to
Some of the issues for clarification • How and where to apply and papers/documents required for submission by the recognised tour-operator along with the list of group members as well as tour-program. • What will be the format of undertaking to be given by tour operators, to ensure nothing is amiss • Where and when the fees are to be paid, along with various options • In a group landing permit, what will happen to the air-ticket and tour cost paid by the tourist
board. It can be with computer printouts, which confirm that they are part of the group and they have applied for CGLP. As per the Circular no. 423 of MHA, it is required to fill in the application online on www.indianvisaonline.gov.in. But, on the website, it is only visa form that too, mission specific and there is no visible provision for submission of group itinerary. It is important to understand, where the application is to be filed by the tourist and which documents to be submitted by him,” said Subhash Goyal, President, IATO.
“We, at IATO, always try to get detailed clarifications from the concerned ministries on issues related to different ministries. We then circulate them to members for their benefit.”
“The format of undertaking to be given by tour operators should also be clarified to ensure nothing is left out. Moreover, the responsibility of the touroperator, in case a group member slips out, should be limited to reporting the matter to the nearest police station and/or FRRO regional or the central office. The tour-operator shouldn’t be
“Tour operators cannot dictate terms, but can give directions on behalf of the Indian Government. There are some certain rules followed all over the world, which have to be followed by the visiting tourists. It is not only in our country that we have to give directives to the tourists, on behalf of the government. There are var-
held responsible beyond this,” he added. Goyal is also quick to highlight that IATO has always worked for inbound tour-operators as an effective platform.
Subhash Goyal President IATO
ious reasons, largely the security reasons, which cannot be compromised. However, Visa-on-Arrival has been introduced for many countries, which was not there earlier. Similarly, more cities like Goa, Kochi, Trivandrum, Hyderabad and Bangalore have been added. So government now understands the value of tourism and its contribution in creating employment and revenue generation,” added Goyal.
Promoting co-op tourism The four C-DMOs spread across Uttarakhand and West Bengal will help build local capacity through training and marketing activities using a co-operative model. VIVEK SETHI
E
dge of India has a set-up of four Co-operative Destination Management Organisations (c-DMO) in India, which was announced at the recently-held National Seminar titled ‘Co-operative
India and Scotland, including Dunira Strategy, Queen Margaret University and the Strategic Initiatives, Government & Advisory (SIGA) division of Yes Bank and with web development by Ezone,” said Andrew J
also draws on Dunira's work in destination management in such places as Highland Perthshire, and SIGA's work on using tourism as one of the tools to achieve an inclusive growth model for India,” said Benjamin Carey, Managing Director, Dunira Strategy, who gave the joint presentation. For small villages that previously almost never saw a tourist, the network is transformational. The network has been presented at leading tourism fairs, including GITB and WTM.
(L-R): Pandey, Frew, Kumar and Carey at the seminar
Tourism: The next SocioEconomic Enabler’ in New Delhi. “Edge of India is a network of rural communities in remote parts of India, offering homestays in villages 'off the beaten track' with extraordinary cultural and natural heritage. The network was developed through a programme funded by the Scottish Government and implemented by partners in
Frew, Director of Research, Queen Margaret University. “The four C-DMOs, spread across four districts in Uttarakhand and West Bengal, will help build local capacity through training and marketing activities and using co-operative model for destination management. We chose India to share the cooperative principles developed by Robert Owen at Scotland's New Lanark and
Further, Anand Kumar, Joint Secretary, Ministry of Tourism, said, “The model based on participation of the local community seems perfect to develop and promote newer attraction.” Here, Tushar Pandey, Senior President and Country Head, Strategic Initiatives, Government & Advisory (SIGA), Yes Bank said, “We will work with the Ministry of Tourism to engage them in promotion and development of newer destinations through the CDMO model.”
ASSOCIATIONS
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
7
ADTOI sets up 10 sub-committees The newly-formed committees will look into diverse subjects including IT, hotel relationship, railways, airlines, service tax, state tourism boards, members’ drive, education & skill development, sports & events and general house activities… T T B U R E AU
T
he Association of Domestic Tour Operators of India (ADTOI) has set up 10 committees to understand
Ravi Luthra General Secretary ADTOI
The ADTOI should become the best platform and a resource centre for all our members the nitty-gritty of various opportunities and make all its members actively contribute to growth of domestic tourism through ADTOI. “In the second members meet held in May, we have announced setting up of
35 Delhi hotels sign ‘green-pact’ 5-star Thirty-five hotels have decided to go the eco-friendly way by signing a Memorandum of Understanding (MoU) that binds them to the Green Hotels Guidelines with the Delhi Government. Chief Minister Shiela Dikshit was present at the occasion. The new green measures that are likely to step-up the environmental suitability of the hotels comprise of water treatment plants that treats waste water and makes it fit for re-utilsation, solar panels for heating water, using bio-degradable fuel as a major source of energy over electricity and natural gas. According to the memorandum deadlines, re-fashioning of the hotels will be complete by June 30
ten committees which will look into diverse subjects including IT, hotel relationship, railways, airlines, service Tax, State Tourism Boards, members’ drive, Education & Skill Development, Sports & Events and General House Activities. These committees
will report to the EC. We are also keen to announce more such committees at a later stage, which will engage members more actively as to contribute to growth of domestic tourism through ADTOI,” said Ravi Luthra, General Secretary, ADTOI. “Some time earlier, we had to
literally fight to open up our principals to be willing to promote India to Indians. Today, the entire world is looking to entice our Indian traveller. Similarly, all stakeholders in India are now striving hard to tap a lion’s share in the domestic segment,” he added.
Here, Luthra highlights the important role that members of the ADTOI should play to make most of the opportunities in the domestic segment. “ADTOI should become the best platform and a resource centre for all our members. Our members should
feel pride in being part of ADTOI. To strive in this direction, we have started work on revamping our website. Further, we would take all possible measures to grow the domestic tourism pie in an innovative and ethical manner,” said Luthra.
AVIATION
ATF cut won’t lower fares Oil companies have cut aviation fuel price by an average ` 250/kl. However, it’s unlikely to translate into better profitability for airlines and lower airfares. T E E N A B A R UA H
I
ndian oil retailers have cut aviation fuel cost (ATF) by an average of ` 250/kilolitre (KL) from June 1, on the back of softening international crude oil price, making it the third steepest decline since March 1. According to the Indian Oil Corporation website, the price for ATF in Mumbai would now cost ` 64,381.15/kl from ` 64,624.69/kl. This means, in Delhi, domestic carriers will have to shell out against `62,416.16/kl ` 62,649.95/kl if they refill fuel. Rates at different airports
ity of airlines which means growth of airlines and civil aviation sector in general.” Amber Dubey, Partner and Head-Aviation at global consultancy KPMG, agrees, saying, “A 25 paise per litre reduction in ATF, which costs anywhere from ` 62-74 per litre, is welcome but inadequate. It may have near-zero impact on airfares.” “There is an urgent need for transparency in ATF fuel-pricing. It should be priced on an efficient cost plus fair-margin basis by oil companies, and not on an opaque import-parity pricing basis. Added to that is the
should get the benefit of reduced costs.” Meanwhile, direct import of ATF by airlines sounds good, but is very difficult to implement. ATF import, transportation, storage and supply to the aircraft is a complex subject and not something that airline managements would like to waste their time and energy on. Dubey points out that they would become the laughing stock of the world if airlines do direct import from foreign suppliers, since chances are that it could actually be ATF produced and exported by our own refineries.
Arun Mishra
Amber Dubey
Biji Eapen
Director General of Civil Aviation
Partner and Head-Aviation KPMG
President IATA Agents Association of India
This is not going to make any perceptible impact on airlines’ operating costs vary because of differential in local sales tax or VAT. Kolkata would see price cut of around ` 260 to ` 72,250.952 per kl, while it will cost ` 67,925.43 in Chennai as against ` 68,191.73 per kl previously. Arun Mishra, Director General of Civil Aviation, tells TravTalk, “While reduction in ATF price is a good development, the reduction is not significant (0.3%). This is not going to make any perceptible impact on airlines’ operating costs. The main issue in ATF costs is the huge sales tax on ATF levied by the state governments. Both Ministry of Civil Aviation and the airline industry have been constantly urging the states to reduce the taxes as it will have a good impact on lowering of ticket prices as well as improving connectivity to states. ATF accounts for 40-50% of operating cost of airlines. Reduction in ATF prices would translate into better profitabil-
There is an urgent need for transparency in aviation turbine fuel pricing
Temporary increase or decrease of ATF has nothing to do with airline profit or loss
excessive 22-35% sales tax which renders our ATF one of the costliest in the worldalmost 50-60% costlier than competing regions like Middle East and SE Asia. ATF in India should be priced at ` 42-45 per litre if we have to achieve our target of becoming the third largest aviation market by 2020,” Dubey adds.
“According to industry sources, last year India exported nearly 50% of its ATF production. Imagine the cost and hassle of importing back our own produce, just because we can’t get our taxation structure right. And after all this, nothing stops states that may lose out on ATF taxes to impose taxes in the form of ‘entry tax’, putting this whole exercise in jeopardy,” he concludes.
Biji Eapen, President, IATA Agents Association of India, “In India, whenever there is any increase in ATF price, our carriers enhance ticket prices immediately, especially Air India and Jet. Variation of fuel surcharge should be in resonance with ATF price variation. However, Indian carriers are not known to have revised the prices downward, even when ATF price fell. Hence, temporary increase or decrease of ATF has nothing to do with airline profit or loss and the travelling public
Cost of Fuel In Delhi, domestic carriers will have to shell out ` 62,416.16/kl against ` 62,649.95/kl if they refill fuel. Rates at different airports vary because of differential in local sales tax or VAT Kolkata would see price cut of around ` 260 to ` 72,250.952 per kl, while it will cost ` 67,925.43 in Chennai as against ` 68,191.73 per kl previously
HOTELS
Aloft eyes Tier-II markets More Aloft properties expected to open in Tier-II cities for frequent business travellers; and the company has big plans to expand its presence. HARSHAL ASHAR
FROM
S
tarwood Hotels & Resorts Worldwide has recently introduced its hipand-trendy brand of hotelaloft in Ahmedabad. Developed with Urbanedge Hotels and managed by
AHMEDABAD brand is quickly gaining traction in India. Talking about aloft in India, Dilip Puri, MD-India and Regional VP South Asia, Starwood Asia Pacific Hotels & Resorts said, “We see a
(L-R) Dilip Puri, Brain McGuinness, Nelli Yong, Uday Krishnan and Vincent Ong
Starwood Group, this is the fifth Aloft in India after Chennai, Bengaluru, Coimbatore and Chandigarh. The 176-room property is targeting to attract both leisure and corporate travellers. According to Brian McGuinness, Senior VP-Specialty Select Brands, Starwood Hotels; the Aloft
huge potential for Aloft in India, and will open a second aloft hotel in Bangalore, Aloft Bengaluru Cessna Business Park later this year, and an Aloft hotel at the Delhi International Airport Limited (DIAL) in the near future.” With increasing number of corporate travellers visiting
Ahmedabad for business, more and more branded hotel chains are making debut in the city, thus decreasing the demand and supply gap. McGuinness said, “The ARR (Average Room Rate) does get affected because of the supply and demand in the market. However, the market is quite bullish since the scope is immense. There are a number of Gujarat Industrial Development Corporation companies nearby that will constitute a good base for corporate travellers. Further, we are placing our hopes on the sheer number of corporate business travellers, which is going to rise mainly in the manufacturing, pharma, IT, biotech and textiles.” Aloft Ahmedabad is offering an introductory rate (for next three to six months) of `3,750 along with breakfast and free wi-fi. For travel agents, it is offering special deals via GDS and SPG programmes are available for its loyal members, informed McGuinness.
UP hotels for Labour Dept. To push hospitality industry into the mainstream of government agendas, a 60th category needs to be created to take care of the concerns of the hotel sector. after the meeting. We are expecting to get a feedback after a week or so,” he added. The meeting was attended by over 20 members, including commissioner and additional commissioner of UP Labour Department, two other members from UP Labour Department and members of the state labour union.
T T B U R E AU
I
n a recent meeting last week, key stakeholders of the Uttar Pradesh hospitality industry met with senior officials of the UP Labour Department in Kanpur, demanding a separate category for hotels within the department. This was revealed by Vijai Pande, VicePresident, UP Hotel & Restaurant Association and Honorary Secretary, FHRAI. Talking about the recent development, Pande said there are 59 categories within the UP Labour Department. “In an effort to push hospitality industry to the mainstream of government agendas, we have proposed that a 60th category needs to be created to take
Asking More The meeting was attended by over 20 members, including commissioner and additional commissioner of UP Labour Department, two other members from UP Labour Department and members of the state labour union
Vijai Pande VP, UP Hotel & Restaurant Association and Hony Secy, FHRAI
Members of the UP Hotel Association have submitted a proposal to the Lucknow Labour Department for approval after the meeting care of the concerns of the hotel sector. The members of the UP Hotel Association have submitted a proposal to the Lucknow Labour Department for approval
Regarding the affairs of the industry in the state, Pandit lamented, “UP receives so many tourists. Who would give the Taj Mahal in Agra a miss? However, the hotel industry has not been able to cash in on the footfalls due to dearth of synergy between the hotels, infrastructure and rigid government rules. Our industry is service-oriented and thus, until the manpower is kept happy, the state of affairs cannot improve.” This has thus, been a long pending move. If this proposal is approved, the industry will be in a position to facilitate better wages for the employees. “We believe that if it goes through as desired, it will benefit the industry and government as a whole,” he pointed out.
12
INTERNATIONAL
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
India a 365-day destination for Middle East The India Tourism office recorded tremendous growth in the medical and wellness segments. There has been a positive growth of foreign tourist arrivals from the Middle East region to India over the last two to three years. A N I TA J A I N
W
ith an aim to tap the tourism potential in the Gulf and Middle East region, which is emerging as an important tourism-generating market for India, the India Tourism office in Dubai is making extra effort to project India as a 365 day-family
destination. The office is not only working closely with the local travel trade, but is also strengthening ties with airlines to enhance air-connectivity between both the countries. Tapping every segment of travellers, the office is underlining all attractions covering luxury travel, wellness, medical, spa, culture,
Nationality – wise Foreign Tourist Arrivals from West Asia Region to India - 2009-2011 Country of Nationality Bahrain
2009
No. of Arrivals 2010 2011
7,901
7,766
9,587
Iraq
16,400
28,221
30,808
Oman
32,971
3,5,485
40,577
Israel
40,581
43,456
48,089
Saudi Arabia
15,552
21,599
26,268
U.A.E.
47,234
45,482
66,383
Turkey
10,282
15,483
17,359
Yemen
12,695
14,931
14,955
Others
21,227
22,894
24,747
2,04,843
2,35,317
2,78,773
Total
Source:India Tourism Office, Middle East
heritage, nature, mountains, snow, adventure, wildlife, Bollywood and monsoon tourism.
The wellness and medical tourism sectors from the Middle East and Gulf to India have been growing at rate of 20 per cent year-on-year
There has been a consistent and positive growth of foreign tourist arrivals from the Gulf and Middle East region to India over the last two to three years. In 2011, tourism arrivals from this region registered an overall growth of around 14 per cent Vikas Rustagi, Regional Director-Middle East, Gulf and Africa, India Tourism, Ministry of over the previous Tourism, Government of India year. Some of the Seek’ campaign in the Gulf & entry of foreign nationals countries, particularly The the Middle East region, so (including UAE), the flexibility United Arab Emirates, the that tourists can find the deshas resulted in better accesKingdom of Saudi Arabia, tination or product that they sibility and flow of tourists. Sultanate of Oman, Republic desire in India; be it heritage of Yemen and Republic of sites, forts, beaches, backwaVikas Rustagi, Regional Turkey have registered positers, lakes, mountains, advenDirector-Middle East, Gulf tive growth and are emerging ture, wildlife, culture, festiand Africa, India Tourism, as major tourism-generating vals, medical, wellness, Ministry of Tourism, markets for India from this MICE, religion or shopping. Government of India said, region. With the Government India offers something for “India Tourism is actively proof India lifting restriction of everyone and that is why we moting the ‘Find What You the two-month gap on re-
proudly say that India is an incredible destination with a range of products found nowhere else.” According to Rustagi, the wellness and medical tourism sector from Middle East and Gulf to India has been growing at the rate of 20 per cent year-on-year. He said, “The whole world has taken a note of the massive transformation that has taken place in the Indian healthcare sector, particularly in the secondary superspecialty care in the last two decades. India is poised to become a hub for medical tourism because of several factors, which are worldclass hospitals with latest technology; highly-skilled Indian physicians and surgeons; low cost of treatment; excellent quality of care, nursing and Indian hospitality; comparatively less waiting time for availing medical services; and India’s traditional healthcare therapies like Ayurveda and Yoga.”
EXHIBITIONS
CII Fest ropes in 8 states Chandigarh is host city; Punjab is principal partner state; Gujarat is partner state; J&K, Jharkhand, MP, West Bengal and Chhattisgarh are focus states for this fest scheduled for December 5-7, 2013. T T B U R E AU
T
he first edition of the ‘CII Tourism Fest’, which is being organised with the support of all northern state governments in Chandigarh on December 5-7, 2013 has roped in eight states already, and is striving for more domestic as well international participation. “Chandigarh will be the host city and the Government of Punjab has agreed to be the principal partner state. Gujarat would be the ‘partner
Russia, Australia, USA, Canada, South Africa, Jordan, Seychelles, Sri Lanka, Singapore, Macau, and Britain. Further, the fest would comprise buyer-seller meets; deliberations on required policy initiatives, international dance shows, national and international food festivals, golf tournament, international chef meets, leisure and excursion trips,” added Sharma. The fest will also create awareness about the scope of rural tourism, destination
Arjun Sharma addressing the gathering at the CII press conference in Chandigarh
state’ in this unique initiative. The states of Jharkhand, West Bengal, J&K, Chhattisgarh and Madhya Pradesh have also confirmed their participation as ‘focus states’. Discussions are on with Uttarakhand, Gujarat, Goa, Andhra Pradesh, Kerala and Odisha who have shown interest to participate,” said Arjun Sharma, Chairman, CII Tourism Fest 2013 and Managing Director, Le Passage To India. “It will also have an international flavour. Thailand has already confirmed its participation and we are expecting participation from countries like Germany, Malaysia, China,
management, image building and cinematic tourism in the region. Moreover, CII would invite chief ministers of various states at the conclave and create a Chief Ministers’ Forum to address various issues like infrastructure, connectivity, security, cleanliness, information sharing, accommodation, food, travel and policies. Various associations like Outbound Tour Operators Association of India, India Golf Tourism Association, Association of Domestic Tour Operators of India, Federation of Hotel and Restaurant Associations of India, Hotel and Restaurant Association of Northern India, Indian
Federation Associations of Culinary World Association of Chefs Societies, and -DDP Publications are supporting the event. “Various stakeholders include hoteliers, hospitals, tour operators, travel agents, golf courses and resorts, central and state government tourism agencies, tourism board of various countries, airlines, airports, air charter companies, city transport providers, railways and IRCTC, experts in hospitality and tourism, administrators of academic programmes in hospitality and tourism, publishers of journals and academic textbooks, tourism web portal companies, educational institutes, holiday clubs, spa and wellness centres etc.,” said Man Mohan Singh, Chairman, CII Chandigarh Council. Here, V B Kumar, State Executive Director, Punjab Heritage Tourism Promotion Board (PHTPB), said, “Synergy between various state governments and the Centre is the key to promote the region as a tourism hub”. While A K Malhotra, General Manager, Tourism, CITCO said that Chandigarh will be beautified to host the first-ever Tourism Fest.
Highlights The states of Jharkhand, West Bengal, J&K, Chhattisgarh and Madhya Pradesh have confirmed their participation as ‘focus states’ The fest will also create awareness about the scope of rural tourism, destination management, image building and cinematic tourism in the region
Fortune unveils The Savoy, Mussoorie Park Fortune Hotels is now spreading its wings with the opening of its 40th hotel Fortune The Savoy, Mussoorie. Established in 1902, the 50-room Victorian resort has been restored to reflect the glory of its century-old past. Conveniently located on the popular Mall Road at Gandhi Chowk, the hotel provides a panoramic view of the snow-clad Himalayan peaks. FWith this hotel, Fortune Park Hotels Ltd. now has 40 operational hotels in addi-
tion to about 30 properties in various stages of construction and refurbishment, across 54 cities in India. Talking about the new development, Suresh Kumar, Chief Executive Officer, Fortune Park Hotels says, “Fortune The Savoy is a milestone achievement for us as we continue to expand our brand portfolio in the high end leisure segment. The hotel is a judicious blend of old-world charm and new-age conveniences and an expression of the Fortune brand promise of unparalleled experience and exceptional value.”
14
COVER STORY
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
Eyes steady on inbound tourism target Contd. from page 1
heartening to note that 46 per cent of (close to) 500 respondents feel confident that foreign tourist arrivals would go up in coming six months. An equal number of respondents also feel there would be no impact of the slowdown over the next six months on tourism. This is a marked improvement,” said Jyotsna Suri, Chairperson & Managing Director, Bharat Hotels and Vice President FICCI. Echoing similar sentiments, Vikram Madhok, MD, Abercrombie & Kent India has set up aggressive targets in the luxury inbound space that they operate. “In the first three months of the present year, we are about 10 per cent below target. But, the booking trend for September onwards is very positive. In fact, we strongly believe that the year will be very fruitful and we will end the year with over 20 per cent growth,” said Madhok. Arup Sen, Director, Special Projects, Cox & Kings also believe that the forthcoming season will offer good returns. “The winter of 2013
that policy initiatives like extending Visa-on-Arrival (VoA) scheme, various strategic source markets will certainly help in our objective of stimulating inbound demand. Steps like extension of grant of VoA on five new ports that was recently announced will definitely help revive the sentiment.” Vikram Madhok
Arup Sen
Surinder Singh Sodhi
Managing Director A&K India
Director Special Projects, Cox & Kings
Senior Vice President & Head, Leisure Travel- Inbound, Thomas Cook India
We strongly believe that the year will be very fruitful and we will end the year with over 20 per cent growth is expected to be much better than 2012. We expect growth in our inbound segment,” said Sen, confidently. Thomas Cook India is committed to its bullish plans on the season ahead in 2013. “We are strongly committed
This winter is expected to be much better than 2012. We expect growth in our segment to the plans and targets we’ve set ourselves for India Inbound season 2013-14,” said Surinder Singh Sodhi, Senior Vice President and Head, Leisure Travel- Inbound, Thomas Cook India.
The media should also highlight the initiatives taken by the MOT, Central and State Government and the administration Here, Arjun Sharma, MD, LPTI, promptly brings in the policy initiatives that are facilitative in nature to stimulate demand. “We had seen a gradual deceleration in growth since the previous season. We certainly hope
The travel fraternity vehemently condemns all crimes, including instances of crime against women. However, they want to highlight in their own way that India is a safe destination for tourists. In Madhok’s words the furore over the safety aspects and its consequent fall out on foreign arrivals, especially women is overblown. “The tour operators offer support right from the entry point till the departure, which practically means that there are no circumstances whatsoever that lead to the safety of our guests being put at risk. In our luxury domain, there has been neither any cancellation nor any query on safety of any region,” he added. “With national and international media giving
extensive coverage to the incidents, Incredible India’s image has been impacted adversely, more so with the issuance of travel advisories. Media plays a vital role not just as influencer, but often decision-maker and a balanced approach is mission-critical. They should also highlight the measures and initiatives taken by the MOT, Central & State Government and administration. They should showcase new tourism-focused developments; unique upcoming destinations, concepts and trends,” opined Sodhi. Sensationalisation of all incidents does not help in the long run, Sen said, giving a practitioner’s perspective. “The Indian media has its share of portraying the positive aspects of India, as is the case with most international media. There is typically no ‘safe destination.’ All destinations have safe and unsafe pockets and this keeps changing from time to time. The media could perhaps look at this aspect in a more positive light,” he added.
STATES
AP gains from ITM-2013 Sonam Chombay, Secretary, Tourism, Arunachal Pradesh, talks about witnessing a steady flow of tourists this summer and how a dedicated airline can help its destinations. PEDEN DOMA BHUTIA How has the response of the tourists been to Arunachal this summer season? Having the longest stretch of Himalayas in the country, Arunachal Pradesh has been a favoured destination for tourists in the summer to escape the heat. When the rest of the country is reeling under extreme heat, Arunachal is blessed with pleasant weather. This year too, we are witnessing steady flow of domestic tourists and I am told that hotels around the State have witnessed more than satisfactory bookings this summer.
and fauna makes Arunachal a bio-diversity hotspot. Niche products such as angling, bird watching and wellness activities are also being promoted in a big way. We are also planning to sell the state as a destination ideal for creative people- writers, painters, lyricists, etc.
Do you think a dedicated airline in the region will help promote tourism in the Northeast? Air travel definitely is easy and a faster mode of transport as it cuts down a lot of travel time. Presently all metros are well-connected with Guwahati airport. Yes, a dedicated airline for travelling within the Northeast region will help integrate all the tourist destinations of the states in the region. This will provide a very wholesome package, especially for the foreign tourists.
How are you promoting Arunachal among tourists?
ITM in Guwahati this year was the first-of-its-kind mart in the region. How has the event helped attract tourists to Arunachal?
Arunachal Pradesh is a destination which has something to offer to everyone! It is a delight for adventure seekers. The state is also a treasure trove of culture and heritage- here you can find the 400-year-old, second largest Buddhist monastery in the world. The State also showcases a distinct culture and traditions of more than 26 major tribes and over 100 sub- tribes. Its unique flora
ITM has been a revolutionary initiative of the Ministry Of Tourism. This has put the entire region on global platform as a tourist destination. Arunachal Tourism, in particular, has reaped a lot of benefits from ITM. The state tour operators have had excellent networking sessions with both domestic as well international buyers, and I am certain that this season will see them getting increased business.
Sonam Chombay Secretary, Tourism, Arunachal Pradesh
Are there any roadblocks in promoting tourism in the state? If so, what are those? I don’t see any roadblocks. Yes, we do have challenges before us, but then all our efforts are being made to overcome these very challenges.
Seaplane enters Kerala’s tourism service
The first seaplane, to connect Kerala’s backwater destinations, arrived at Kochi airport to a ceremonial water salute. Kerala Minister for Tourism AP Anil Kumar, accompanied by State Planning Board Vice Chairman KM Chandrasekhar and state Tourism Secretary Suman Billa, formally received the aircraft as it touched down at the Nedumbassery International Airport, on its maiden flight to Kerala. The service would be formally inaugurated by Chief Minister Oommen Chandy at Ashtamudi Lake in Kollam district on June 2.
Air India plans new ways to earn The government-owned Air India is looking at starting courier services for Central, state governments and big corporate houses by the second half of this financial year, a newsreport said. “We are now looking at utilising our surplus capacity and manpower to commence courier services for Central and state governments, public sector enterprises and corporate houses,” said airline officials.
16
NEWS
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
Nitish woos tourism investors for Bihar At the ‘Bihar Calling: Conference on Tourism, Heritage and Hospitality’, tourism experts brainstorm on the need to promote the spiritual heritage of the state through a new branding strategy. 2006. The CM informed that over 50 lakh visitors are expected in the State to celebrate 350 years of Takht Sri Harmandir at Patna Saheb in 2016. The state had sought funds from the Centre to facilitate the event.
M E G H A PAU L
I
t is not possible for the government to develop the tourism and hospitality sector in any state without the support of private stakeholders, Nitish Kumar, Chief Minister, Bihar, feels. Urging private companies to invest in the tourism and hospitality sector in the state, he said, “We had discussions with the travel and tour operators during the last Udyami Panchayat. I guarantee security to the investors, but first they should invest.” Kumar was speaking at the ‘Bihar Calling: Conference on Tourism, Heritage and Hospitality’ organised by the State Tourism department in association with the Indian Chamber of Commerce. “Right now, tourists are coming on their own, but once development starts, there would be a lot of competition in the market, and you should make full use of the opportunity now,” he said to the
Nitish Kumar Chief Minister Bihar
I guarantee security to the investors, but first they should invest investors. According to the Union Government report, over 11 lakh foreign tourists visited the State in 2012, compared to only 94,000 in
Royal Caribbean to have Indian portal With just 80,000 Indians a year opting for cruise holidays, cruise tourism is one of the most untapped tourism segments in the country. To bring in end-toend solutions and provide complete value chain experience for the trade, Royal Caribbean International is in process of introducing a dedicated website in India. TIRUN Travel Marketing, who is representing the cruise company in India, is currently working closely with the trade across India and is positive to launch the dedicated portal. The portal will not only provide information about the various cruise ships, packages, dates of travel and routes, but also provide accessibility to check availability and online booking channel. It will also act as an online training portal which will help front-line staff understand the cruise company and sell it better to travellers. Recently, Royal Caribbean International’s Mariner of the Seas ship made her first Asian stop at Mormugao Port, Goa. Speaking on the sidelines of the event, Ratna Chadha, Chief Executive, TIRUN Travel Marketing
said, “With only close to 80,000 cruise passengers a year from India, the potential is huge in the coming years.” The company tied up with JetEscapes, the holiday brand from Jet Airways, to launch ‘Fly Cruise’ packages for
Ratna Chadha Chief Executive TIRUN Travel Marketing
‘Mariner of The Seas’ cruiseship. TIRUN Travel Marketing is also working closely with trade and expanding its focus to mini-metro cities. With airlines intending to remove travel agents from their supply chain and reaching out directly to end-consumers, Royal Caribbean is strengthening its relations with the trade. Chadha said, “It is impossible to think of removing the trade from our distribution chain, as they are the most important part of our value chain.”
Bihar needs to have a refined roadmap for tourism that concentrates on every element, Shaun Mann, Tourism Programme Manager, International Finance Corporation (IFC) opines. “We
utilising funds to the tune of ` 5 crore. The project is basically aimed at filling up the infrastructure and the resources gaps in the Buddhist tourism sector in India. We would start identifying the infrastructure gaps in the Buddhist circuit in the state by the end of June,” he added. According to Karan Anand, Director, Cox and Kings, there is a positive vibe in the state, but much has to be done in the field of infrastruc-
We are planning an event in the months of October and November, focussing on inbound tourists Kamal Sahi, Resident Director, Bihar State Office, Indian Chamber of Commerce have signed an agreement with the Government of India and the Government of Bihar recently in May for developing the Buddhist circuit in Bihar,
Shaun Mann
Karan Anand
Tourism Programme Manager, International Finance Corporation (IFC)
Director Cox and Kings
Bihar needs to have a tourism roadmap that concentrates on every element
Much has to be done in the field of infrastructure development, hotels and highways
ture development, hotels and highways among others. Kamal Sahi, Resident Director, Bihar State Office,
Indian Chamber of Commerce feels,“We are planning another event in
October or November that will focus on inbound tourists to the state.”
300 ayes for Rooms & More Travelport Rooms and More’ has already been tested for a few months with 300 travel agencies spread across India. available across these properties. Currently, the inventory accessible to both corporate and leisure travel agents in India stands at 90,000 properties across the world,” said Sandeep Dwivedi, Chief Commercial Officer, ITQ.
T T B U R E AU
T
ravel agents had been gradually pressed to hunt for newer avenues that can yield remuneration, especially when earnings from the air-component had been diminishing. One such offering has now been officially launched by InterGlobe Technology Quotient (ITQ), a strategic business unit of InterGlobe Enterprises through Travelport’s technological tool ‘Travelport Rooms and More’ for the Indian market. JB Singh, CEO, InterGlobe Technology Quotient said, “India is an extremely important, evolved market for ITQ and we see a great business potential here. The technology platform has been developed keeping in mind the needs of the travel agencies. It will help them create more remuneration from the nonair content.” The technology offering is aimed at improving the travel agent’s productivity through the availability of a wide variety of hotel booking options in the hospitality domain and offers smarter, efficient and
JB Singh
Sandeep Dwivedi
CEO InterGlobe Technology Quotient
Chief Commercial Officer ITQ
The tech platform has been developed keeping in mind the needs of the travel agencies evolved booking services to travel agents. “Travelport Rooms and More is a web-based hotel price comparison and booking engine. We have tied up with over 26 global hotel
Currently, the inventory accessible stands at 90,000 properties across the world aggregators, along with negotiating with hotels directly. It serves as a onestop shop for travel agents to search, shop and book from a choice of more than 6,00,000 hotel properties with over a million offers
“We have tested our application for a few months with 300 travel agencies spread across India. We hope to take the tally of agents to over 1,200 by end of the year, which also will be the second phase of this application. We are also willing to work with smaller hotel aggregators in India. In fact, we have a few other applications ready, which will be shortly released in the market. We are also launching it in the Sri Lankan market.”
Enhancing Efficiency The technology offering is aimed at improving the travel agent’s productivity through the availability of a wide variety of hotel booking options in the hospitality domain and offers smarter, efficient and evolved booking services to travel agents.
STATES
Making a Splash this season Into its fifth year now, Splash has helped in positioning Wayanad as a monsoon destination in both the domestic and international tourism circuits. T T B U R E AU
W
hile most travellers would typically skip India during the monsoons, the states are now gearing up to tap this segment by promoting the unique thrills offered by this Indian season. After aggressively promoting its backwaters and houseboats, Kerala is now promoting its tourist spots as a 365-day destination. Betting big on monsoon tourism in the State, it is expecting to boost footfalls to the lesser-known destinations. The Wayanad monsoon carnival-Splash is an example of the joint efforts of the state government and Wayanad Tourism Organisation (WTO). On the lines of the Samba Carnival in Brazil, the monsoon tourism project was first held in 2009. This has now become a regular annual feature which leads to a get-together of travellers, tourism writers and entrepreneurs, who share their joy and concern over nature and tourism. During the nine-day programme, WTO will offer both indoor and outdoor activities for tourists. The outdoor activities will include country rafting, paddy-transplantation, crab-tours, local archery, elephant ride, slush ploughing, slush football,
volley ball, rain biking, shopping wherein it offers local artifacts, souvenirs, SHG stalls and tribal food stalls. While for the indoor activities, it will organise a photo exhibition on the monsoons in Wayanad, Ayurvedic rejuvenation programme and seminars on coffee, tea, spices, value-addition of local spices, organic farming and tribal protection. Into its fifth year now, Splash has helped in positioning Wayanad as a mon-
Business’ meet (B2B) in which more than 400 travel agents across the nation are expected to interact with the property owners. We are happy to say that almost 350 travel agents have already registered for the business-meet.” Talking about earlier days, Ravindran reminisces, “In 2005, Kerala Tourism first started talking about the glory of ‘when the heavens touch the earth’. This was the state’s first initiative towards
In 2005, Kerala Tourism first started talking about the glory of ‘when the heavens touch the earth’. This was the state’s first initiative towards promoting itself as a monsoon destination K Ravindran, Coordinator, Splash 2013 soon destination in both the domestic and international tourism circuits. Giving more details about the event, K Ravindran, Coordinator, Splash 2013 says, “Designed to offer the local flavour of the destination to the travellers, the event this year will be organised from July 12-14 in Wayanad. The focus of this year’s programme will be the ‘Business To
promoting itself as a monsoon destination.” Regarding the promotion of the project outside Kerala and its future strategies, he informs, “We will promote the programme aggressively at the road shows organised by Kerala Tourism. We will also launch this programme in several places such as Chennai, Hyderabad, Ahmedabad, Surat, Mumbai, Nagpur, Kolkata, Delhi and Pune later.”
The top 20 global cities W
ith Southeast Asian tourism exploding with the growth of the region's upper-middle class, it is the rise of the Orient now. According to the new MasterCard Global Destination City Index,
Bangkok has pipped London as the most-visited city in the world by international tourists. However, the foreign visitors still spend more in New York than in any other city by a wide margin. Eleven of the 12 cities
with the fastest increase in air travel connectivity are "east and south of Istanbul," reflecting the growth of wealth in Asia and its growing importance as a destination for businesses from the U.S. and Europe.
Top 20 Tourist Destinations
18
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
RESEARCH TALK
Watch out for S Asia: New tourism giant Asia will continue to power the world tourism economy in the next five years to come, with new destinations, attractive packages, more air-routes and sheer visitor numbers. But to achieve dominance will take a lot of planning and foresight from the countries’ governments and tourism bodies. T T B U R E AU
S
tatistics and surveys have shown the success of Incredible India reaching out to the world, but to become an Asian tourism giant it still has a long way to reach that goal. In PATA’s forecast of visitors’ arrivals for 2013-2017, South Asia (Bhutan, India, Maldives, Nepal and Sri Lanka) shows a respectable increase of 26 per cent, from 10,364,239 visitors in 2013 to 14,116,226 visitors in 2017. Of these, countries like India and Sri Lanka are making the maximum effort to woo tourists, with Visa-onArrival schemes and affordable tour packages. Other forecasts show visitor arrivals from 20132017, South Asia consistently scores over and above Oceania (Australia and New Zealand) and Polynesia {Cook Islands, French Polynesia (Tahiti), Hawaii, Niue, Samoa and Tonga}. South Asia has a projected forecast of 10.36 million visitors in 2013, which grows steadily to 14.11 million in 2017. For Oceania, the rise is more gradual, but not any less impressive. From a projected 8.79 million in 2013, the visitor arrivals grow up to 9.45 million in 2017. Similarly, Polynesia’s growth story starts from 8.35 million in 2013, and has a projected rise to 9.18 million in 2017. This projection and comparison is well in line with predictions of South Asian destinations winning visitors as accessibility and affordability rise in the coming years.
Also, variety and the growing financial power of Asian tourists will power crossAsian tourism. Even within Asia, there are tourism powerhouses which are head-andSource: PATA
shoulders above others. India is still grasping to touch one per cent of the world tourism population, while there are others who have gone beyond the mark. A comparison of visitor forecasts of South Asia and South-East Asia reveals the wide divide between the neighbours. South-East Asia; which consists of touristfriendly countries such as Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, Phillipines, Singapore, Thailand and Vietnam; has a rosier forecast of attracting 96.41 million visitors in 2013 alone. This figure rises incrementally until it touches 118.63 million expected tourists in the next five year, compared to 14.11 million for South Asia in 2017. Visitor arrivals to the Asia Pacific region will continue to grow with an average annual growth rate of 4.1% over the period 2013-2017 and reach 581 million by 2017. It is interesting to note that the Americas (Central and North America), who long have attracted masses the world over, have not flagged in their efforts. The PATA’s visitor forecast for the Americas have pegged the number at 109.44 million visitors for this year, 112 million for 2015, and a healthy 115.12 million for 2017. But Asian tourism power shines through in toto, when the numbers for Americas’ tourism figures are compared to Asia, which include China, Hong Kong SAR, Macau SAR, Japan, Korea and Mongolia. Hong Kong SAR has been predicted
to surpass the USA to be the second largest inbound destination in Asia Pacific in 2015 itself. For 2013, PATA predicts Asian tourism numbers to hit 364.57 million tourists, and continue to rocket to 443.49
million in 2017. This will be in part because China will continue to be the top inbound destination in the Asia Pacific, peaking at 147.4 million visitors in 2017. It is also pertinent to note that
Cambodia, the Maldives, Chinese Taipei, Bhutan and Mongolia will be the top five fastest growing destinations in terms of visitor arrivals
over the period 2013-2017. In return, visitor arrivals to the Asia Pacific from China will exceed 100 million by 2015. This is confirming the
fact of the burgeoning Chinese middle-class, who has now the financial power and the desire to see more of Asia.
RESEARCH TALK
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
19
Airlines fly through turbulence of FY13 A recent CAPA India study highlights that Indian carriers have lost US$1.65 billion in FY13, 40% of annual loss was generated in the last quarter. But, IndiGo came out with an estimated US$ 100-110 million in profit. T T B U R E AU
I
ndia’s private airlines, which were once seen as a bright symbol of their country’s modernisation, are now coping with enormous losses and mounting debts. CAPA estimates that India’s airlines posted a combined loss of US$1.65 billion in FY13 US$1.15 billion (if Kingfisher is excluded), down from approximately US$2.28 billion the previous year. More than 40% of the loss was
million profit on revenue of US$1.5-1.6 billion. A key contributor to the overall debt has been the industry’s accumulated losses since 2007, which were approaching US$9.5 billion as at March 31, 2013. This has resulted in continued erosion of the net worth of India’s carriers which are estimated as follows: Air India FY12 (US$3 billion); GoAir FY12 (US$107 million); IndiGo FY12 (US$69 million); Jet Airways (US$62 million); Jet Konnect
Reported and Estimated Indian Carrier Revenue and Net Income in FY-12 and FY-13 Airlines Air India GoAir IndiGo Jet Airways Jet Konnect Kingfisher SpiceJet
FY-12 Revenue
FY-12 Net Income
FY-13 Revenue
FY-13 Net Income
USD2.6bn USD278mn USD1.0bn USD2.7bn USD340mn USD1.0bn USD720mn
(USD1.4bn) (USD 24mn) (USD 23 mn) (USD 226mn) (USD 33mn) (USD 423 mn) (USD 109mn)
USD3.0bn USD 375-400 mn UD 1.5-1.6 bn USD 3.0 bn USD 387mn USD91mn USD 1.0 bn
(USD 950 mn) (USD14-16mn) (USD100-110mn) (USD87mn) (USD53mn) (USD500-520+mn) (USD34mn)
Source: CAPA Research and company filings. *Data for unlisted carriers Air India, GoAir, and IndiGo are CAPA estimates. Final results for these carriers may vary due to one-off accounting adjustments
Milan, Johannesburg and Kuala Lumpur. Both Jet Airways and Air India remain vulnerable on domestic routes, especially as they continue to operate with a full-service cost-structure in a market that has shifted predominantly to low-cost. Until both of these full-service carriers develop a competitive domestic cost-structure, the sector will remain unviable.
Passenger numbers expected to cross 60 million once again in FY-14 The domestic traffic is expected to expand by four to six per cent in FY-14, with most of the growth to occur in the second half of the year. Starting from Q3, the traditional festival and holiday traffic is expected to be supplemented by increased passenger movements driven by state elections in November, and then by general elections some time prior to May 2014. AirAsia’s possible entry in the second half of this financial year could also provide some further growth, although the airline will still be relatively small even by the end of the forecast period. These factors could push growth to above six per cent subject to market conditions from Q3 onwards. CAPA expects that by the end of FY-14, domestic traffic will have matched or slightly exceeded the previous high water-mark of just over 60 million annual domestic passengers reported in FY-12.
International traffic could grow at 10-12%
incurred in the last quarter alone, squandering the improved performance posted during the first nine months of the year. IndiGo, however, emerged as a clear winner with an estimated US$100-110
(US$311 million); and SpiceJet (US$41million).
Emirates emerges as India’s leading international airline in FY13 On the international front, an important develop-
ment was that in FY-13, for the first time a foreign carrier, Emirates, claimed the highest market share for traffic to/from India. Air India, historically the market leader on international routes, was impacted by the
grounding of its 787s for most of the last quarter. Jet Airways only saw a marginal increase in traffic, as it consolidated its network and dropped services to points such as New York JFK,
International traffic growth is expected to be more buoyant than domestic and could grow by 10-12 per cent, as Indian carriers expand and as more bilateral entitlements are expected to be granted to foreign carriers. As is the case for domestic traffic, the second half of the year is expected to account for majority of the growth. Capacity expansion during
the year ahead is likely to be around 10 per cent, largely driven by LCCs. Jet is already profitable on international operations and is expected to further strengthen its performance in the coming year as a result of its increasing cooperation with Etihad. IndiGo and SpiceJet are both nearing breakeven on overseas routes.
In toto: Losses to nullify profits CAPA estimated that India’s private airlines could post combined profits of US$250-300 million or more in FY-14. The projected breakdown is as followsGoAir (US$8-10 million profit); IndiGo (US$100-120 million profit); Jet Airways (US$125+ million profit); SpiceJet (US$25-30 million profit). However, the overall industry result is expected to remain in the red, dragged down by a projected US$750-800 million loss from Air India.
Ancillaries expected to be grasped with greater vigour as regulator gives green light The recent green light given by the regulator for unbundling of fares (although technically there was no formal restriction earlier) should see airlines pursue ancillary opportunities more aggressively. CAPA estimated that there is the potential for carriers to generate an additional US$500 million per annum through this channel to be developed over the next two years. Only a fraction of this is expected to be tapped in the coming year as it will take some time to implement new initiatives, however more significant benefits can be expected to accrue from FY15 onwards. Easy revenue options such as charging for premium seats and priority check-in could generate an additional US$10-12 million relatively quickly in the current financial year. Source: CAPA
20
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
FAMILY ALBUM
A Canadian Rendezvous in Ottawa Bringing together over 1,000 sellers and buyers from both its local and international markets, the Canadian Tourism Commission recently hosted its biggest annual market place, Rendez-Vous Canada (RVC)-2013. Canada is a major player in the international tourism arena and RVC plays a significant role annually in driving tourism business to this country. Hundreds of influential international travel buyers assembled at the nation’s capital and the Ottawa Convention Centre on May 12-15 for 23,000 pre-scheduled face-to-face business appointments with Canadian sellers of tourism products and services. In all, close to 1,500 tourism delegates attended the four-day event.
Saying YES to co-operative tourism Edge of India recently organised a National Seminar titled ‘Co-operative Tourism: The next Socio-Economic Enabler’ in New Delhi to bring together stakeholders from private and public sector for co-operative tourism. The network was developed through a programme funded by the Scottish Government and implemented by partners in India and Scotland.
AVIATION
Six more cities connected IndiGo has recently launched seven new flights connecting six destinations in the domestic sector, and placed orders for 28 A-320 aircraft worth more than $15 billion with Airbus. phased manner. “They (other airlines) fly double the number of planes than we have, but we focus on business,” said Ghosh.
T T B U R E AU
T
he Delhi-based budget carrier has been recently granted permission by the Ministry of Civil Aviation, Government of India, to import 28 A-320 aircraft in 2013 and 2014. According to the company statement, “The additional aircraft will enable IndiGo to take its low-fare and hassle-free service to more customers and enable stronger connectivity within India and abroad.” Recently, IndiGo launched seven new flights on its domestic network. It will now operate a new daily direct flight between Mumbai and Jammu, a new direct flight between Chennai and Kochi, a second daily flight between Mumbai and Srinagar, a second non-stop flight between Chennai and Trivandrum. Besides these, it will also start a second nonstop flight between Mumbai and Trivandrum, a second
Aditya Ghosh President IndiGo
daily non-stop flight between Jammu and Srinagar and third direct flight between Mumbai and Kochi. Also, from June 15, IndiGo will connect Mumbai and Muscat with daily and direct flights. These new services will further consolidate IndiGo with 422 flights connecting 33 destinations across the nation. In a recent interview to CNN, IndiGo President Aditya Ghosh said he is content with expanding the network in a
The carrier’s ASKMs, a measure of capacity in the airline industry, grew 25% year-on-year during JanuaryMarch 2013 to 5.5 million, even as industry-wide ASKMs declined 4% to 18.83 million. IndiGo’s increasing capacity has been further aided by its high seat factor. In April, the airline had seat factors of 83.8% and during the first three months of the year, it averaged 82.7%.
Flight Plans It will now operate a new daily direct flight between Mumbai and Jammu, a new direct flight between Chennai and Kochi, a second daily flight between Mumbai and Srinagar, a second non-stop flight between Chennai and Trivandrum
Air China honours agents After becoming the No.2 airline operating on ex-Mumbai-China route, the airline is considering to connect more Chinese cities from India A N I TA J A I N
C
laiming to be the largest and most profitable airline of China, Air China recently celebrated its maiden year of operations from Mumbai (the first flight was operated on May 3, 2012). Currently, the airline is oper-
“In an earnest quest to achieve the No.1 position, the airline strives to adapt to customer demands in India.” In 2012-13, Air China recorded an average load factor of 85 per cent and the frequency of flights was increased from three times a
as the GSA for the airline to manage sales in West and South India. Commenting on the first anniversary of the airline for Mumbai operations, Subhash Goyal, Chairman, STIC Travel Group said, “We have been promoting Air China as their representatives for
(L-R): Tang Zhongling , GM, Air China Mumbai, Richa Goyal Sikri, Group Business Director, STIC, Subhash Goyal, Chairman STIC with Air China Team Mumbai
ating a total of 11 weekly flights from India (Mumbai, New Delhi and Bengaluru) to 185 destinations worldwide including all domestic destinations in China. In just one year, the airline has acquired No.2 position from No.4 in the category of airlines operating on ex-Mumbai to China route which clearly indicates the growth and progress of the airline in India, informs Tang Zhongling, General Manager, Air China. He adds,
week to four times a week on ex-Mumbai to accommodate the increased passenger load. According to Zhongling, 65 per cent of the travel to China is business while 35 per cent is leisure and VFR traffic. “The passenger load has been growing, encouraging us to increase our flights from India to other cities in China,” adds Zhongling. Delhi-based STIC Travels has been appointed
more than two decades and are proud to be a part of their growth in India. Trade and tourism between India and China has been growing at a rapid pace, with trade increasing from USD 2.92 billion in 2000 to USD 66.57 billion in 2012. We look forward to developing this route and working towards increasing Air China's footprint to multiple cities across India.”
22
ANALYSIS
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
A $3.2 billion FDI windfall for hospitality After the windfall in FDI in the hospitality industry, hotel experts give their opinion on its impact on the overall industry. But the fact is that the sudden increase is only because of one single large investment and not a change in investment climate, which would have led to a sustained performance. which the country received during the last 12 years ending March, 2012. The foreign inflows in the hotel and tourism sector did not figure in the DIPP's list of the top10 recipients of FDI prior to September, 2012.
M E G H A PAU L
T
he interest of hotel companies seeking to invest in India has not appeared to wane. Joint ventures are being announced, expansion plans are getting drawn up, both private equity and pension funds are seeking to deploy capital, and newer groups are looking to get a foothold in the market.
This is also indicated by the Foreign Direct Investment (FDI) in the nation’s hospitality industry that has surged in the last financial year, amidst an improvement in investment climate. According to the data of the Department of Industrial Policy and Promotion (DIPP), the sector has attracted FDI worth US$ 3.21 billion during April, 2012-February, 2013. The FDI inflow in the sector in the last fiscal is significantly higher as compared to the flow of US$ 3.37 billion,
Much-needed govt boost
Nakul Anand
Kamlesh Barot
President Hotel Association of India
Immediate Past President FHRAI
There is a need to look at land-related problems for the country’s hospitality sector
Only a few states like Odisha have actually made tourism-friendly initiatives at the government level
Talking about the recent development, Nakul Anand, President, Hotel Association of India says, “It is definitely good news for the hospitality and tourism industry. However, a lot needs to be done even now. Besides taxation and human-resource related issues, the government needs to take more steps to boost investment in this sector. There is a need to look at land-related problems for the hospitality sector. The recent DIAL hotels’ issue also needs to be solved as quickly as possible.” According to Kamlesh Barot, Immediate Past President, FHRAI, unfriendly tourist taxes and policies will only detract FDI in the sector. “The previous few budgets by the Centre have not only increased taxes on accommodation, but also on Food & Beverage. Only a few states like Odisha have actually made tourism-friendly initiatives at the government level. The rest of the states feel that by making tax percentages higher, they would gather more revenue for their exchequer. India is a great tourism market, and that is propelling investor interest. International investors typically demand greater research of the market and greater transparency, which the country needs to build into its system. We rank 132 out of 165 in the business-friendly index across the globe,” he informs. Unknowingly, many tourist-unfriendly practices like the FSI and operatingtime regulations under the pretext of security in prime tourist spots like Mumbai, drive investments away from the entire state. “If the government focusses on the industry, we can leave the Information Technology industry far backward. But the government needs to prioritise hospitality, as Karnataka flourished bringing IT to the fore. If we remove the transaction of last year, the FDI inflows would drop to about 300-400 million dollars, which is broadly in line with the trend in previous years,” he adds.
Aerocity in New Delhi
Filling the gap Responding to the FDI increase, Barot remarks, “The challenge for FDI investors is that most international hotel operating companies would prefer to operate and not necessarily invest. Therefore, they also observe the private equity route or need a third-party to finance and own the hotel. To find reliable and committed hotel-owners is a challenge
jump is almost entirely on account of a very large single transaction last year, he adds.
Less development risk Akshay Kulkarni, Regional Director-Hospitality, South & Southeast Asia, Cushman & Wakefield feels closer scrutiny of the investments that have come in, reveal that the most of this investment is driven by either structured firms who
Akshay Kulkarni
Shagun Sethi
Regional Director – Hospitality, South & Southeast Asia, Cushman & Wakefield
Director, Sales and Marketing Fairmont Jaipur
One of the major reasons for the increase in FDI is the fact that the development risk is now reduced for them. And to date, international foreign investment in India in all forms of real estate, in hotels or asset building is minimal.” In other developed markets-a lot of markets in the West and some markets in Asia-there is significant foreign investment already, whether in office buildings or hotels. In India, foreign investment shows the sector has recorded unprecedented FDI equity inflow. This is impressive, considering the cumulative inflows over the 12-year period from April 2000 to March 2012 were just $3.37 billion. However, the fact is that this
Incentives should be extended to all categories of hotels, so that their expansion plans can pick up the required momentum have bought existing portfolios or through HNIs who may have bought one or two large assets with funds that have come in through international routes. “One of the major reasons for the increase in the FDI is the fact that the development risk is now reduced, as these assets are nearing completion or have been completed,” he articulates. Shagun Sethi, Director, Sales and Marketing, Fairmont Jaipur feels tax holidays would certainly encourage FDI and will definitely help in new hotel developContd. on page 32
TECHNOLOGY
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
23
e-Dashboard edge for the hotel sector TripAdvisor’s new feature, which has been launched in India, is available only to business listing subscribers. It captures analytics generated by a hotel property, its visitors, competitors and the marketplace. TT B UREAU
T
ripAdvisor has introduced its new feature Property Dashboard for hotels in the Indian market. The Property Dashboard feature, which expands the analytics services available on the TripAdvisor Management Centre, gives business listings subscribers access to strategic data about their visitors, competitors and marketplace. Julio Bruno, Global Vice President of Sales, TripAdvisor for Business said, “The Dashboard is only available to TripAdvisor business listings subscribers, and it provides access to strategic data about visitors, competitors and marketplace. These insights-available only on TripAdvisor-help accommodations succeed online.”
Julio Bruno Global Vice President of Sales TripAdvisor for Business
The Dashboard features enable property owners to refine their property’s target market The Property Dashboard casts light on a property’s key performance indicators. Information on the ‘Your Visitors’ page enables property owners to refine their property’s target market. The page also provides insights on travellers who view a property, including the countries they’re coming from, why they travel, how long they plan to stay and how far in advance they are booking. The page also spotlights the other accommodations in a property’s area travellers are considering. The ‘Your Competitors’ page enables property owners to keep an eye on their competition and track the performance of properties
that are closest to them on the Popularity index. They can compare metrics across four properties, including TripAdvisor rating, total reviews, reviews in the last 30 days, top comment trends, total photos, active special offers, and active slideshows.
Speaking on the marketing plans for Property Dashboard in India, Bruno said, “To market this product to hoteliers in India, we need to share more information about TripAdvisor in order to help hospitality businesses in the country promote themselves to travellers searching
for products and services online and to engage with the TripAdvisor traveller community. For this reason, we filmed our first video testimonials in India this year with three properties including The Leela Palace New Delhi, Royal Heritage Haveli (Jaipur), and Hotel Pearl
Palace (Jaipur). We will also organise seminars and events to help hoteliers discover the array of tools and resources offered by us.” In 2012, over 650 hoteliers attended TripAdvisor Master Class events in Delhi, Mumbai, Kolkata and Chennai.
Tech Edge The Property Dashboard casts light on a property’s key performance indicators. Information on the ‘Your visitors’ page enables property owners to refine their property’s target market
24
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
World Travel Studio taps bespoke holidays
AGENTS
Agents needed to drive medical tourism
The Indian medical tourism sector is set to cross ` 10,800 crore by 2015 To expand across India and provide according to an ASSOCHAM study. But Anil K. Maini, Chairman, CII Sub ground handling assistance for Committee on Medical Tourism and Medanta’s senior advisor, insists that international packages to mid and the sector will not grow unless travel agents penetrate newer markets. small-sized travel companies. $100 per night. Hospitals are Middle East, Central Asian CII’s subcommittee on T E E N A B A R UA H
T T B U R E AU
Tell us about the growth of medical tourism in India through the years.
S
tarted in February 2013, World Travel Studio is all about personalised holidays for FITs at exotic and unexplored locations in India and overseas. The company plans to establish itself on the B2B and B2C level through word-of-mouth, extensive services, branch offices and providing end-toend travel booking experience. Currently based in Mumbai and connected through toll-free number with pan-India agents and customers, it will have presence in New Delhi, Bengaluru and Chennai in the next one year. It is also getting active on social media channels like facebook, LinkedIn, etc and will soon roll out its portal (www.worldtravelstudio.com ) to mark its presence in online space and tap the tech-savvy travellers.
According to Haresh Koyande, Director, World Travel Studio; online presence is of utmost importance. He said, “Today, travellers are doing their holiday research online, but still make their bookings offline as they need specialist advice and assistance in packaging their holiday which includes insur-
Haresh Koyande Director World Travel Studio
Through our expertise, we intend to assist mid- and smallsized agents in ground-handling support ance, transfers, sightseeing, visas, etc. Through our expertise, we intend to assist mid- and small-sized agents who are proficient in ticketing, but need support in ground-handling services. Since we are dealing directly with DMCs in India, we assure our partners for best prices, value services and most of all-convenience.”
Driver-less pod-cars in Amritsar Plans are in place to allow pilgrims to the Golden Temple, Amritsar, to travel to and fro in a fleet of pod-cars. These cars will run on an elevated course with two branches – one from the railway the other from the bus station – leading to the temple. The driverless cars are set to run on a dedicated double-decker roadway around Amritsar by mid-2016, according to Ultra Fairwood, a tie-up between a UK-based and an Indian company, which is developing the cars for the city.
It really took off in 2003 with Pakistan’s baby Noor’s successful heart operation in Bangalore. Till 2007, only a handful of international patients were arriving from Nepal and Afghan for treatments at Escorts Heart institute, Apollo Chennai and Devi Shetty’s Narayana Hrudayalaya. Apollo Delhi was simply getting 50-60 international patients when we entered into an agreement with Iraq after the liberation. We had to make sure that the patients got bed on time and had the kind of food they needed. But when 100 war-ravaged kids arrived at the hospital for cochlear implants, we had a tough job in hand. Looking after the attendants was more challenging than the actual patient care. Language was a barrier, so we had 24-hour interpreters on the floor. We had to serve their cuisine at the hospital. After the procedures, most patients had to stay back for recovery. So we needed to develop guesthouses as hospital stay was expensive. These had to be certified by us for being secure, safe, patient-friendly, offering proper sanitation, good food and clean water. Then came challenges like converting foreign exchange at the hospital as these patients usually travelled with wads of cash. And finally, the hospital had to deal with Foreigner Regional Registration Offices (FRRO). Now the hospitality part of healthcare is pretty finetuned by now. There are a lot of bed-and-breakfast places charging between $40 to
arranging visa-assistance letters, airport picks and drops. Initially embassies would delay, but now a lot of embassies have gone online.
What are the challenges that still persist? Medical tourists are issued a special visa called N9. But it is twice as expensive as an ordinary visa. But why should we charge more for medical visa? Also, patients or their attendants need to go for police verification the moment they arrive in India. But how can you
Anil K. Maini Chairman CII Sub Committee on Medical Tourism
expect a patient to be taken to the police station? So usually, the attendant has to go to the police station in person after arrival and at the end of their stay. The hospital has to ensure that this information is given to the cops. Also, if a person needs a visa extension, then the patient or his attendant has to go to the embassy and the ministry to get an extension and then approach the FRRO. Another issue is that these medical tourists can’t return for a review within six months. A review is particularly crucial for cancer patients, for a child who has undergone a heart surgery, and liver and renal transplant patients.
medical tourism has been working on this since the last seven years. Initially, it was involved in marketing, organising roadshows and travels in Dubai, UK, US and Thailand. But now, it is more focused on policy matters like visa issues and other matters concerning medical travel. All the major hospitals are part of this committee, including Fortis, Apollo, Medanta.
What is the market size and growth potential of medical tourism in India? According to an ASSOCHEM study, the market size of the Indian medical tourism sector is likely to be worth Rs 10,800 crore by 2015. The inflow of medical tourists in India is also likely to cross 32 lakh by that time. While health tourism involves wellness, Siddha yoga and cosmetic, dental, eye procedures; medical tourism involves top-notch health care procedures like cancer, cardiology, neurosciences, orthopedics and transplants. It is 70 percent of the total business. Unfortunately, it is not growing at a pace that was anticipated as the level of health-care is fast improving in countries like Mexico, Costa Rica, Ireland, etc. Thailand and Singapore were always ahead of us, but now Mexico is catering to the Americas, as it is closer home. And nobody will come to India unless they are saving US $5,000 or more. Also, NHS has improved its efficiency by inducting more doctors and reducing waiting periods for procedures. So the Western world is not coming to India. Our source market lies between India and Africa and also SAARC nations,
countries and erstwhile Soviet Union, including Uzbekistan, Ukraine, Azerbaijan, Kazakhstan, etc. But we can’t be complacent. Even in the depth of Africa, Chinese and Korean doctors are opening up hospitals with local partners. So our opportunities are fast depleting and at this pace, the market will slow down in another 15 years.
Can travel agents revive this market? Travel agents have a big role to play in marketing medical tourism overseas. They can provide hospitality support to patients and their attendants by providing services on the ground, like travel, local transportation, hotels, guest houses and site-seeing. But more importantly, they should try to bring patients to India as most of them have offices abroad. They need to penetrate and liaise with local doctors, hospitals, associations who can refer patients here. India, after all, offers world-class healthcare at one-fifth the cost. I fail to understand why Incredible India, which pushes health and wellness, cannot push medical tourism as well. Travel agents are scared of the indemnity side of this business. They feel that if a patient dies, agents may get sued. But they should understand that this is not a possibility, as the patient is coming to India on his own will, after signing a consent form. Otherwise, hospitals would be out of business in no time. We need to address this concern, and then travel agents will be the right arm of medical tourism. We can work together, pick out a market or two and test it out.
TECHNOLOGY
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
25
Roombookpro.com for faster B2B bookings A quick five-step booking process enables agents to calculate total prices faster and make bookings quicker. This search and booking engine from Dex Holidays offers time-saving tech for Indian travel agents. T T B U R E AU
A
n endeavour of Dex Holidays for its B2B agents to book hotels and apartments online, roombookpro.com is a B2B hotel search and booking engine. The site searches inventories of several hotel chains and major consolidator sites for real-time prices and then presents the results in a simple, clean and easy-tounderstand format.
Vidur Singal Director Dex Group
Our endeavour is to bring agents on the web page to familiarise them with its clutter-free look Talking about the new development, Vidur Singal, Director, Dex Group says, “Our endeavour is to bring agents on the roombookpro.com page to familiarise them with its clutterfree look and search for realtime inventory of leading hotel consolidators all over the world to ensure that the best deal is available to book.”
Belgium visa centre in Ahmedabad Belgium and VFS Global recently opened a visa application services in Ahmedabad. The new visa application centre located at the Gujarat Chamber of Commerce and Industries building at Ashram Road, Ahmedabad; and will remain open from 08:00 to 16:30 hrs from Monday All the applications will continue to be assessed and processed by the Consulate General of Belgium in Mumbai and the visa will be issued in three working days.
roombookpro.com has an inventory of over 150,000 hotels and apartments globally with real-time rates and availability. The website offers best offline support, price guarantee to facilitate agents book hotels and apartments anywhere in the world, he adds.
Regarding the benefits for the B2B fraternity, Singal elaborates, “Incorporating the best features amongst its competitors in the industry, the site makes the booking process easier and faster for travel agents who use online booking systems. A quick five-step booking process, including
taxes enables agents to calculate total prices faster and make bookings quicker. It can also offer its client API and white-labelling solution, which can enable agents to rebrand the product as their own.” A fully-integrated payment gateway provides multiple payment options including net
banking, credit cards, cheque and direct payment by client at check out. Agents can also hold room bookings without paying any additional charge and they have the option of paying in multiple currencies as well. “To enable more agents to register and book on roombookpro.com, we are
offering cash back of ` 1000 on all bookings” he confirms.
E-Offering roombookpro.com has an inventory of over 150,000 hotels and apartments globally with realtime rates and availability
HOTELS
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
27
Citrus: 18 hotels by 2015 Keen to have MICE in Goa As the number of properties increase, Citrus Hotels hope The Alila Hotel and Resorts property will focus mainly for increased engagement with the trade community. on the domestic market in the country. and Jodhpur properties towards the end of this year.
T T B U R E AU
A
part of the Mumbaibased Mirah Hospitality, Citrus Hotel & Resorts plans to establish 18 hotels in the country over the next two years, adding a total of 2,000 rooms to its inventory. Gaurav Pallial, COO, Citrus Hotels & Resorts said, "The company is looking to open hotels in Nagpur, Alibaug, Mumbai and Jodhpur. Currently, Citrus Hotels & Resorts has eight properties spread across India. Since we feel we have critical mass, we are aggressively looking out for properties under management contracts and leases. For the moment, we do not want to go the franchise way."
Citrus has four business properties in Pune, Gurgaon, Sriperumbudur and Bangalore, while leisure properties are in Lonavala, Mahabaleshwar, Alleppey and Goa with a total current inventory of 500 rooms across the properties. Pallial also said that Citrus would be investing close to ` 500 crore
Gaurav Pallial COO Citrus Hotels & Resorts
We have special offers for the trade which commensurate with the business that they commit with us in the expansion plan. The initial roll-out would include completion of the expansion at Lonavala and Sriperumbudur, followed with the opening of its Pench
He added, "We ensure our presence in travel fairs in India and abroad to engage with the trade community. That apart, we have special offers for the trade which commensurate with the business that they commit with us. As the number of properties increase, we hope for increased engagement with the trade community. Additionally, the New Delhi DMCs have done well for us, and we have developed an excellent working relationship with them." Citrus will also focus heavily on the online segment to increase bookings. Palliall informed, "We have a centralised inventory, a tollfree call centre, outsourced data centres, service partners and a dominating presence in OTAs. The online channel is where the future belongs and we shall be focusing on it. In Bangalore and Gurgaon, we are on the Sabre spotlight program. We have also revamped our website."
as online is a key focus area for us. Rather than just promoting the hotel, we plan to promote Goa itself as a destination.”
T T B U R E AU
A
lila Diwa Goa, the first property of the Alila Hotels and Resorts in India, is focussing on tapping the domestic MICE market in the country. Siddharth Savkur, General Manager, Alila Diwa Goa said, “The corporate crowd is looking towards destinations such as Goa to conduct MICE activities. We are keen on tapping this segment as it has tremendous potential. Aside from the MICE market, we will also look to tap the FIT segment in both inbound and domestic travel. The wedding segment has been very successful for our hotel and is very important to us.” Speaking of working with the travel trade, Savkur said, “Our main feeder market for the hotel is Mumbai. We have sales teams present in Bengaluru, Ahmedabad and Delhi. Additionally, we are seeing a lot of demand from Tier-II cities such as Chandigarh, Surat and Pune. The travel
Siddharth Savkur General Manager Alila Diwa Goa
The travel trade has been crucial in this aspect, especially the domestic consolidators and online travel agents trade has been crucial in this aspect, especially the domestic consolidators and online travel agents (OTAs)
Recently appointed as General Manager for the Alila Diwa Goa, Savkur reiterated that his goals for 2013 are to make inroads into the MICE, corporate and FIT segment as well as see better revenue yields from rooms. “Despite 2012 being a tough year for the travel industry, there hasn’t been much impact on occupancy in Goa yet,” he added.
Highlights Alila Diwa Goa has seen on average a growth rate of 10 per cent per annum Their main feeder market for the hotel is Mumbai. They have sales teams present in Bengaluru, Ahmedabad and Delhi. They are also seeing a lot of demand from Tier-II cities such as Chandigarh, Surat and Pune
28
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
FAMILY ALBUM
Setting stage for IATO-2013 Convention IATO conducted its monthly interactive luncheon meeting at Orient Room, The Village Restaurant Complex. The event saw stakeholders in the travel and tourism industry gathering in huge numbers. The IATO convention dates were also announced during the event.
PATA decodes luxury travel for agents PATA India Chapter organised a workshop for its members on marketing luxury holidays to international tourists via tour operators. This informative and interactive session was conducted by Amit Dutta, CEO and MD, Luxury Hues, and provided a better understanding of high net-worth individuals, brand associations, premium products and their common thread, the discerning customer.
HOTELS
Tapping Indian weddings and MICE
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
29
Luxury buses for MSRTC
Looking at the scope of high-end hospitality industry in India, Anantara Tour operators give the cold is now set to make its debut with a managed property in Mahabalipuram. shoulder to MTDC services as they find operation unviable. Group. The first of the eight is under construction at Mahabalipuram. The 130room resort is expected by the end of 2014. The group aims to manage eight hotels in the next five years in Rajasthan, Goa and Kerala.
T T B U R E AU
R
ealising the potential of the Indian market, the new sales office in India is strengthening luxury chain Anantara’s position to maximise opportunities from this market. Anantara has an ambitious five-year plan to expand its portfolio across Asia, the Indian Ocean and the Middle East from 12 to 50 properties. And India features big time in their plans, says Marion WalshHedouin, Group DirectorPublic Relations and Communications, Anantara Hotels, Resorts & Spas. “This has been a key move for Anantara. We have seen a gradual increase in Indian guests at our properties, but understand there is potential for a lot more. The group is now keen to invest in this market and is confident that the new sales efforts in India will soon pay dividends,” Walsh said. Anantara is looking at eight proposed properties in India on management contract
Marion Walsh-Hedouin Group Director-Public Relations and Communications, Anantara Hotels, Resorts & Spas
Apart from attracting domestic and inbound travellers, setting up hotels in India would also help in promoting our overseas hotels with a single developer, reported to be the Wadhawan
Speaking about developing the India market and tying up with the B2B community, Walsh revealed, “Apart from attracting domestic and inbound travellers, setting up hotels in India would also help in promoting our overseas hotels as outbound travellers from India are on the rise. Targeting leisure clients, these hotels will also cater to the MICE (Meetings, Incentives, Conferences and Exhibitions) segment. It is for MICE events that we are increasingly looking at the travel agents/tour operators community as a lot of business comes in from them.” With the wedding destination concept picking up now, the group receives a number of outbound guests from India. “Anantara Riverside in
Bangkok is popular as a wedding venue. India is one of the top five source markets for the Anantara at Koh Samui as well,” she added. Regarding the challenges of opening an uber luxury brand in India, she informed, “We need to tie up with the right partners, choose the right location, implement the right strategies and work with people who know the market. Initially to start with, we shall manage hotels and later three to four years down the line, we might think of owning and managing hotels in India as well.”
Thinking Big Anantara is looking at eight proposed properties in India on management contract with a single developer, reported to be the Wadhawan Group. The first of the eight is under construction at Mahabalipuram The group aims to manage eight hotels in the next five years in Rajasthan, Goa and Kerala.
T T B U R E AU
A
fter not making the grade in operating luxury bus service to Konkan region from Mumbai and Pune, the Maharashtra government is now considering to hand over the operations of five luxury buses to Maharashtra State Road Transport Corporation (MSRTC). Maharashtra Tourism Development Corporation (MTDC) had spent ` 5.48 crore to purchase five Volvo buses, branded as ‘Konkan Royale’. However, the plan was trashed, after private operators who were to run the buses cold-shouldered it due to certain factors. The buses were too long to operate on the winding, narrow roads in the Konkan region, plus the lack of maintenance facilities. There was no response from operators, despite three tenders being floated. Earlier, during the launch of the service, Jagdish Patil, Managing Director,
Jagdish Patil Managing Director MTDC
MTDC said, “We are considering options like deploying the Konkan Royale buses on long-route tourist destinations.” Currently, the proposal of giving the luxury buses to MSRTC for operations is under consideration. Under the new proposal, one bus each will be operated in Nagpur for forest tourism, Aurangabad and the same for Nashik, Konkan, Mumbai local tourism and the fifth bus from Mumbai airport to Shirdi, Pune.
30
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
MADHYA PRADESH
Bandhavgarh: A royal destination
The fort was under the ownership of the royals of Rewa, and the forests are home to Madhya Pradesh’s tigers. An opportunity to visit the place is not to be missed. species: sambar and barking deer are a common sight, and nilgai are to be seen in the more open areas of the park.
B
andhavgarh is a small national park; compact, yet teeming with wildlife.Covering 448 sq km, Bandhavgarh is situated in Umaria district. The density of the tiger population in Bandhavgarh is the highest known in India. This is the
original home of all the white tigers alive today. The last known was captured by Maharaja Martand Singh in 1951.This white tiger, Mohun, is now on display in the palace of the Maharajas of Rewa. Bandhavgarh is densely populated with other
The Bandhavgarh Fort is thought to be some 2,000 years old. Scattered throughout the park, and particularly around the fort, are numerous caves containing shrines and ancient Sanskrit inscriptions. There are three welldefined seasons-the winter (from mid-October to the end of February), summer (from March to middle of June) and the monsoon (from the
What to See: The Fort-
No records remain to show when Bandhavgarh Fort was constructed. It is thought, however, to be some 2,000 years old.
Flora & Fauna Tiger- The tigers of the Caspian area have coats with a slightly richer colour than their Indian cousins. The Royal Bengal Tiger is found in India, Bangladesh, Bhutan and Nepal.
Wildlife There are more than 22
species of mammals and 250 species of birds. Common langurs, the rhesus and macaque represent the primate group. Carnivores include the Asiatic jackal, Bengal fox, sloth, ratel, grey mongoose, striped hyena, jungle cat, leopard and tiger. The common ones are little grebe egret, lesser adjutant, crane, black kite, crested serpent eagle, black vulture, Egyptian vulture, common peafowl, red jungle fowl, dove, parakeet, kingfisher and Indian roller. Reptilian fauna includes cobra, krait, viper,
ratsnake, python, turtle and a number of lizard varieties.
Wildlife toursThere are two main ways of getting about the park- in a motor vehicle or on elephant back. Jeep safaris are best undertaken from dawn until about 10 am and from about 4 pm until dusk, as the animals are most active during these periods. Though tigers have a territory of 25 square kilometres, your guide should be able to increase your chances of spotting one.
How to Reach By Air:The nearest airport is at Jabalpur(190 km). From Khajuraho (237 km), Bandavgarh is a five-hour drive via Panna, Satna and Maihar across stretches of the Vindhyachal. By Rail:The nearest railway stations near Bandhavgarh are Jabalpur (190 km) , Katni(102km) and Satna (120 km) on the Central Railway and Umaria(35km) on the South Eastern Railway. By Road:State/private transport buses ply between Katni and Umaria; and from Satna and Rewa to Tala (Bandhavgarh). Taxis are available at Satna, Jabalpur, Katni, Umaria and Khajuraho. Best Season: November to June. The park is closed from July 1 to October 15 due to monsoons.
middle of June to middle of October). The temperature ranges from a maximum of 42 degrees Celsius in May and
June, to around four degrees Celsius in winter. Prior to becoming a national park, the forests around Bandhavgarh
had long been maintained as a ‘shikargah’, or a game preserve of the Maharajas of Rewa. In 1947, when Rewa was merged with Madhya Pradesh, Bandhavgarh came under the Regulations of Madhya Pradesh. No special conservation measures were taken until 1968, when the areas were constituted as a National Park. Since then, numerous steps have been taken to retain Bandhavgarh National Park as an unspoilt natural habitat.
Your Host: White Tiger Forest Lodge (Madhya Pradesh Tourism).
Kanha: See the wild side of Nature A diversity of flora and fauna, and good administrative protection has given it the well-deserved tag of one of the finest and best administered national parks in Asia.
K
anha’s sal and bamboo forests, rolling grasslands and meandering streams stretch over 940 sq km in natural splendour. Kanha National Park
forms the core of the Kanha Tiger Reserve created in 1974 under Project Tiger. The park is the only habitat of the rare hardground barasingha (Cervus Duvaceli Branderi). Depletion of the tiger population in the years that followed led to the area being made an absolute sanctuary
in 1952. By a special statute in 1955, Kanha National Park came into being. Since then, a series of stringent conservation programmes for the protection of the park’s flora
and fauna has given Kanha a reputation for being one of the finest and best-administered national parks in Asia.
What to see The best areas are the meadows around Kanha, where blackbuck, chital and barasingha can be seen throughout the day.
Bamni Dadar: Known as Sunset Point, this is one of the most beautiful areas of the park, from where a spectacular sunset can be watched. The dense luxuriance of Kanha’s forests can best be seen from here. Animals that can be sighted around this point are typical of the mixed forest zone, sambar, barking deer, gaur and the fourhorned antelope. Mammalian Species: Kanha has some 22 species of mammals. Those most easily spotted are the striped palm squirrel, common langur, jackal, wild pig,
chital or spotted deer, barasingha or swamp deer, and blackbuck. Less commonly-seen species: Tiger, Indian hare, dhole or Indian wild dog, barking deer and Indian bison or gaur. Patient watching should reward the visitor with a sight of Indian fox, sloth bear, striped hyena, jungle cat, leopard, mouse deer, chausingha or four horned antelope, nilgai, ratel and porcupine. Very rarely-seen species: Wolves, which live in the far east of the park, chinkara to be found outside the park’s north-
How to Reach Khatia (3km from Kisli) & Mukki are the two main entry points to the Kanha National Park. From Jabalpur, Kisli is 165 km via Chraidongri, and Mukki is 203 km via Motinala & Garhi. For travellers from Bilaspur(182km), Raipur (213 km) and Balaghat (83km), Mukki on the State Highway 26 is more convenient. From Nagpur, Kisli is 259 km via Nainpur and Chiraidongri; and Mukki is 289 km via Balaghat By Air- Nearest airports are at Jabalpur -160 km, Raipur-240
km & Nagpur-335 km. By Rail- Most convenient railheads are at Jabalpur & Bilaspur. By Road- There is a daily bus service available for Kisli and Mukki from Jabalpur and back. Taxis are available for hire from Jabalpur, Bilaspur & Raipur. It is advisable to reach Kisli before sunset as vehicles are not permitted within the park after dark. For assistance at Jabalpur, contact MPSTDC’s Tourist office at the railway station or Kalchuri Residency.
ern boundary, Indian pangolin, the smooth Indian otter and the small Indian civet.
peafowl, crested serpent, racket- tailed drongo, hawk eagle and red-wattled lapwing, various species of fly catcher, woodpecker, pigeon, dove, parakeet, babbler and mynah, Indian roller, white breasted kingfisher and grey hornbill.
Avian species: Kanha has some 200 species of birds. Watchers should station themselves in the hills, where the mixed and bamboo forests harbour many species, and in the grassy forest clearings. Water birds can be seen near the park’s many rivulets and at Sarvantal. Commonly-seen species: include cattle egret, pond heron, black ibis, common
Your HostBaghira Log Huts,Kisli (MP Tourism) Tourist Hostel,Kisli (MP Tourism) Kanha Safari Lodge,Mukki (MP Tourism)
ASSOCIATIONS JUNE 19-23
Vancouver
Cruise3sixty 2013
20-28
New Zealand
New Zealand Tourism’s VIP/ Directors Famil
21-23
Beijing
Beijing International Tourism Expo (BITE)
26-27
New Zealand
Tourism New Zealand’s MEETINGS 2013
JULY 1
Chennai
Visit Indonesia Tourist Office’s Indonesia Sales Mission
2
Pune
Visit Indonesia Tourist Office’s Indonesia Sales Mission
3
Mumbai
Visit Indonesia Tourist Office’s Indonesia Sales Mission
5-7
Kolkata
Travel & Tourism Fair - Kolkata
5-7
Australia
The Wagga Great Outdoor Expo
6-7
Bengaluru
Wellness & Health Tourism Expo
5-14
Brazil
Expotche
10-11
Honolulu
Hawaii Lodging Hospitality & Foodservice Expo
11-14
Germany
European Outdoor Trade Fair
12-14
Hyderabad
Travel & Tourism Fair - Hyderabad
13-14
Mumbai
Times Travel Trade Fair
17
Zambia
Mte Exhibition - Zambia: Solwezi
17-28
California
California Mid State Fair
19-21
Bengaluru
India International Travel Mart Bangalore
19
Zambia
Mte Exhibition - Zambia: Kitwe
20-24
Reno
STN Expo
24-27
China
Asia Outdoor Trade Fair
26-28
Gold Coast
Midyear Caravan, Camping, Boating & Fishing Expo
26-28
Chennai
India International Travel Mart Chennai
31-Aug 1 Delhi
Tourism New Zealand’s Kiwi Link B2B Roadshow
AUGUST 3-5
Ludhiana
India Travel Mart
3
Kolkata
Tourism New Zealand’s Kiwi Link India B2B Roadshow
5
Bengaluru
Tourism New Zealand’s Kiwi Link India B2B Roadshow
7
Mumbai
Tourism New Zealand’s Kiwi Link India B2B Roadshow
9-11
Aurangabad
India International Travel Exhibition
16-18
Ahmedabad
Travel & Tourism Fair Ahmedabad
20
Chennai
German India Pool’s B2B Event
22
Delhi
German India Pool’s B2B Event
23-25
Surat
Travel & Tourism Fair - Surat
25-28
Goa
Tourism Australia’s India Travel Mission
26
Chennai
Hong Kong Tourism Board’s B2B Event
27
Mumbai
Hong Kong Tourism Board’s B2B Event
29
Kolkata
Hong Kong Tourism Board’s B2B Event
30
Delhi
Hong Kong Tourism Board’s B2B Event
30-1Sept Mumbai
Travel & Tourism Fair - Mumbai
For more information, contact us at: talk@ddppl.com
NE remains a seasonal destination speaks to Debjit Dutta, Chairman-ADTOI, West Bengal and North-East chapter to understand the milestones achieved and the challenges faced in the last one year T T B U R E AU
T
ourism has been one of the key priority sectors for the West Bengal Government. There have been significant efforts made by the State Tourism Department in the recent past to develop tourism in the state, Dutta says. “Since the inception of this chapter, ADTOI has been actively involved in the state’s consistent effort towards brandbuilding, product and infrastructural development and promotion.” Citing a recent example, Dutta reveals, “Tourist transportation in the state has always been an area of grave concern for the private touroperators. Recently, there had been a tripartite meeting between the Department of Transport-Government of West Bengal, Department of Tourism-Government of West Bengal and representatives of different tourism associations. The meeting addressed the operational problems
related to the tourist transportation in the state. This has resulted in the drafting of a new policy on All-Bengal Contact Carriage permit exclusively for the inbound tour-operators. It was indeed a great achievement for ADTOI to be a part of the taskforce, formed in the said meeting, to represent the tour operators and finalise the draft proposal to offer high-end transportation service to the tourists visiting the state.” Talking about spreading awareness about the tourism potential of Bengal and the Northeast, Dutta laments, “Unfortunately, the products
Planning Ahead There had been a tripartite meeting between the Dept. of Transport (WB), Dept. of Tourism (WB), and representatives of different tourism associations.The meeting addressed the operational problems related to the tourist transportation in the state
and circuits of the Northeast have not been properly promoted or marked in the India domestic tourist market, due to lack of awareness. It has always been considered as a seasonal destination for the price sensitive mass domestic market. That is the reason why 80 per cent of the destinations of the region are still unexplored. Going above the seasonal price war in very few conventional destinations of West Bengal and North East, ADTOI members have always been encouraged to promote innovative and quality domestic products with the highest level of service standard across the entire unexplored and less-explored destinations of the region.” The B2B alliance is of utmost importance for the chapter. “A major portion of the domestic incoming traffic from the national B2B to this region has been operated by our members. Some of our members have been extremely innovative in terms of new product development
Debjit Dutta Chairman-ADTOI West Bengal and North-East chapter
Tourist transportation in the state has always been an area of grave concern for the private tour-operators focusing on specific national source markets across the country,” he adds.
Need FDI in mega-tourism projects Contd. from page 22
ment. “Such incentives should be extended to all categories of hotels, so that their expansion plans can pick up the required momentum. Also, these fiscal benefits should be extended to the industry to support its growth, which in turn will accelerate the growth of the Indian economy. Post Budget2013, the hospitality sector expects more involvement, thought and initiatives from the government,” she adds.
Keshav Baljee
Rahul Pandit
Managing Director Spree Hotels
President & Executive Director The Lemon Tree Hotel Company
Special Tourism Zones According to Keshav Baljee, Managing Director, Spree Hotels, there is adequate foreign and domestic investment in hospitality. “In fact, the supply has risen quite significantly over the last few years and hotels are coming up in almost every location. The problem is of oversupply in many markets. The FDI that India needs to attract is in mega-tourism projects such as projects like the Cotai Strip in Macau or Sentosa Island in Singapore. These are transformational projects and can be only done with foreign investments,” he confirms. To attract big-ticket foreign investments, Special Tourism Zones along the lines of the SEZs need to be created. These zones need to have relaxed norms in terms of
The FDI that India needs to attract is in mega-tourism projects, such as the Cotai Strip or Sentosa Island
India and China are geographies where markets are robust, despite the relative gloom in global markets
one hotel room per 10,000 people versus the global average of 28 rooms per 10,000 people (America has 180 and China 18 per 10,000 people). Clearly the opportunity for investing in the hotel space in the country is a big one and hoteliers can build inventory across segments and across destinations. “Hospitality is a cyclical business. Demand increases at an incremental rate, and as the supply is Capital Expenditures (CAPEX) driven with long lead times; supply release happens in shorter patches, leading to an upwards/downwards turn in the cycle. India and China are now increasingly being seen as part of an exclusive club of geographies where markets are robust, despite the relative gloom in global markets. This rise in the base of consumers, with availability of higher discretionary expenditure has positioned hospitality as a preferred investment sector with favourable long term returns.
Invest to Grow laws and visa regimes, to enable more foreign tourists to come. “They will also need world-class airports. This can then lead to mega investments in creations of entire cities that can employ lakhs of Indians while generating
huge foreign exchange inflows,” he adds.
CAPEX-driven supply Rahul Pandit, President and Executive Director, The Lemon Tree Hotel Company informs India currently has
To attract big-ticket foreign investments, Special Tourism Zones along the lines of the SEZs need to be created. These zones need to have relaxed norms in terms of laws and visa regimes, to enable more foreign tourists to come
CLIPBOARD
JUNE 2 ND FORTNIGHT ISSUE 2013
TRAVTALK
33
34
MOVEMENTS
TRAVTALK JUNE 2 ND FORTNIGHT ISSUE 2013
Kuoni Business Travel, Kuoni India
Wego.Com
ITC Hotels
Mumbai
Singapore
Agra
Manoj Chacko has been appointed as the Chief Operating Officer for Kuoni Business Travel, Kuoni India. Chacko holds 21 years of work experience with 15 years of extensive work across the travel and aviation business. Prior to joining Kuoni Business Travel, Chacko ran a successful consulting practice that provided business solutions to small/midsize airlines and companies in the travel sector. Earlier to that, he was the Executive Vice President (Commercial) with Kingfisher Airlines. He was part of the start-up team.
Matthew Varley has been taken on as the Chief Operating Officer of Wego.com. Varley joins from the Wotif Group, where he held various key senior executive roles for over eight years both in Australia and Asia. Starting with the company in 2004 before publicly listing on the stock exchange, he led the Online Marketing strategy for five years. With three years of experience in South East Asia based in Bangkok, Varley managed the operations of Wotif Group’s Asia business, expanding the team to nine offices.
Ashutosh Chhibba has been appointed as the General Manager of ITC Mughal, Agra. Chhibba is an alumnus of Welcomgroup Management Institute and brings with him 21 years of expertise in Food and Beverage. His journey began with ITC Hotels in1992 as Banquet Manager in Chola Sheraton, Chennai. Prior to taking charge as the General Manager of ITC Mughal, Agra, Chibba moved to Aurangabad to take charge of WelcomHotel Rama International from 2008-2010, and then the General Manager of WelcomHotel, Vadodara in 2010-11.
Hyatt Amritsar
Radisson Blu Marina Hotel Connaught Place
Hyatt Regency Delhi
Bhagwan Balani has been appointed as the General Manager at Hyatt Amritsar. He began in the Food and Beverage department of the Leela Kempinski Mumbai in 1995. In July 1999, Balani joined the Sales and Marketing team of the Leela Kempinski as a sales executive and later got promoted to Assistant Manager of Sales. In December 2002, he joined the Park Hyatt Goa Resort and Spa as Sales Manager, later got promoted as Associate Director of Sales and then Director of Sales where his main role was to assist the Director of Marketing with market analysis, research and strategising.
New Delhi
Aseem Kapoor has been appointed as the General Manager of Hyatt Regency Delhi. He rejoins the property where he once worked in the capacity of Director of Food and Beverage. Kapoor was most recently the General Manager of Hyatt Regency, Mumbai. A hospitality veteran with over 20 years of experience, he began his career as a management trainee with Holiday Inn, Mumbai in 1989. He has been affiliated with Hyatt since 1995 when he was first appointed Assistant Director Food and Beverage at Hyatt Regency Delhi.
Courtyard by Marriott Pune Chakan
CRB Cochin Palace
Om Tourism
Pune
Cochin
Mumbai
Ritu Chawla has been taken on as the General Manager, Courtyard by Marriott, Pune Chakan. She has a career spanning over 16 years in hospitality management. Chawla began her career as a Management Trainee at the Taj Mahal Palace & Towers, Mumbai; going ahead to become one of the youngest lady General Managers of the Taj Group in 2007 at the Vivanta by Taj, Fisherman’s Cove, Chennai. Chawla holds an Executive MBA from SP Jain College, Mumbai.
Shinoj George Joseph has been appointed as the General Manager for CRB Cochin Palace. He has an MBA in Human Resources from New London College ,UK. He started his career with Kumarakom Lake Resort and then moved to Air India as a part of the hospitality crew. He has also worked with Qatar Airways Inflight services as Cabin Service Director from 2006 to 2008. Joseph has hospitality experience in Kumarokom, Thekkady, Ashtamudi Kollam and Cochin.
Shelly Chandhok has been appointed as the new Country Manager for VITO- India. Chandhok is based in Mumbai and has been associated with OM Tourism for the past four years. Prior to this, she was handling sales for Western India for Indo-China Services. In her current profile, Chandhok would head the VITO- India sales team and will be assisted by Mohammad Kaleem Trade Sales executive (VITO) and Priyanka Kumar.
Amritsar
Dhananjay Kumar has been appointed as the General Manager of Radisson Blu Marina Hotel Connaught Place in New Delhi. He has 20 years of work experience in international brands like Hyatt Regency Delhi and Dubai, Park Royal New Delhi, Oberoi Group of Hotels – Bangalore & Mumbai, Shangri-La, New Delhi. He has also been the Pre-opening Food & Beverage Head, Director-Food & Beverage at the The Claridges New Delhi.
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: Peden Doma Bhutia, Vivek Sethi & Megha Paul
Sanjay Razdan Director Razdan Holidays
Sanjay Razdan, Director, Razdan Holidays has formed a bond with his car that strengthens with every leg at every rally. “As a child, I would watch motorists at the car rallies on the television set and would dream that I would be doing this when I grew up.” After so many motorsport rallies to his credit, Razdan is still lured back on the track, year after year. “Each time it is a new challenge, every route is a new route and every rally offers something new," says the rallyist who recently zipped to the first slot this year in the contest organised by Thar Motor Sports in Jaipur in two categories-SUV and Gypsy.
New Delhi
Anjana Gosain, Trustee & Secretary, Tiger Trust has been a wildlife enthusiast since her student days. Well-known in the tourism circuit for her advisory role, the advocate loves to travel. Vienna is her favourite destination abroad. “I just love the city for its vivid topography and Anjana Gosain Trustee & Secretary beautiful buildings. I love Tiger Trust Ranthambore and Kanha for the rich flora and fauna and keep visiting these places regularly.” Gosain is also an avid music lover. She loves listening to old hindi music, classical and jazz.
Surinder Singh Sodhi, Senior Vice President & Head-Leisure Travel Inbound, Thomas Cook India starts his day with a quick meditation session and then hits the gym. He has over 23 years of experience in the travel & tourism industry and holds an MBA in marketing from Delhi University. His better half is a home-maker and he Surinder Singh Sodhi makes sure that he goes for at least Senior Vice President & Travel Inbound two short family vacations in a year to Head-Leisure Thomas Cook India strike a balance between work and life. His favourite destination within India is Varanasi in the north and Puducherry in the South.
Madhav Oza, Director, Blue Star Air Travel Services, likes to read books related to spirituality, like the Upanishad, Gita and Brahmasutra and learn yoga. His wife Sunita is a deeply spiritual person and is involved in publishing of spiritual commentaries. His favourite international holiday destination is Switzerland. In India, he likes to explore Uttarakhand. Amidst all their domestic journeys, the trip to Kedarnath is the most memorable, despite the 17 hours of trekking. Madhav Oza Director Blue Star Air Travel Services
Postal Reg. No.: DL(ND)-11/6044/2012-13-14; WPP No.: U(C)-178/2012-14 for posting on 1st-2nd and 15th-16th of the same month at New Delhi P.S.O., RNI No.: 53492/91 Date of Publication:14-06-2013
HIGHLIGHT
Indian agents key to Swiss Tourism On the sidelines of the Switzerland Travel Mart (STM) 2013, Jürg Schmid, Director of Switzerland Tourism, talks about the importance of the Indian market and how Indian travel agents are the key for them to reach out to the market. PEDEN DOMA BHUTIA
FROM
How important is the Indian market for Switzerland? India is one of the fastest-growing markets to Switzerland and we have strong demand coming from there. Indians are interested in exploring different cultures and Switzerland gives them plenty of opportunities to do that. However, Indians visit only the ‘touristy’ spots, while we believe there’s a lot more to explore in Switzerland. We have been working closely with our travel trade partners to focus on the lesser-known parts of Switzerland, like the south of Switzerland, the Italian and French-speaking parts of Switzerland, the national park of Switzerland - the first and oldest park of the Alps. All said and done, we have a very good position in the Indian market and Bollywood has helped a lot. It still helps, and we are very, very grateful to them.
What do you intend to achieve with an event like the STM? STM is a unique opportunity to meet travel trade partners, to show them new routes and to be in touch with them, especially for newer markets like India and China. Through STM, we can bring in new routes and tours into the catalogues of the travel trade partners so that we can complement the offerings.
S W I T Z E R LA N D city of Zurich and Lucerne, we don’t want to change that. But from India, we see more and more repeat travellers, people who come a second time with their families. We also see multi-generational travels like the grandparents, parents and kids. We want to show them new things. And we do that by showcasing these destinations through various marketing channels. Bern, the host city for STM-2013, is a small city compared to Delhi or Mumbai, but it has a lot to offer and presently it’s not too popular among Indians and does not figure in their agenda. Emmental, near Bern, is one of the most traditional areas of Switzerland, it’s really authentic and it is perfect for Indian travellers. But every country starts with the iconic highlights.
How important a role do agents play for you? In a market like India, agents are the key. Indians book their travel through agents, there are very few in the business travel who book online directly, but travel trade
So, do you think Indians need to explore more while travelling? Traditional travelling is not a bad thing, when you travel to a country for the first time, it’s important that you see the very iconic highlights like the Jungfrau, the
Jürg Schmid Director, Switzerland Tourism
Switzerland for all seasons There are countless ways for visitors to discover Switzerland. Among them are a host of sporting activities - a mainstay of Swiss tourism since the early days. In winters, the Alps are a paradise for skiers and snowboarders, perfect for tobogganing and cross-country skiing. Activities that have become fashionable more recently are available too: more than 2,300km (1,430 miles) of marked snowshoeing trails and 5,100km (3,170 miles) of prepared and marked winter-walking paths offer a unique way of experiencing the Swiss winters. Summer activities include canoeing, sailing, mountaineering, Nordic walking, golfing, and swimming – to name just a few. partners are the key for our business. They have great potential. But I feel they now need to add a new dimension to Switzerland. When I talk to clients, they ask for new things and sites to visit, and that’s the next important step for us now.
What are the figures that you’re looking to achieve in India? We intend to see a double-digit growth next year, somewhere between 1015%. India will continue to grow and there’s this new middle-class that has started to develop and it is here that we see a great potential.
What are the challenges that you face in the Indian market? One of the challenges in India is to grow into the TierII cities. We have a very good presence in Delhi and Mumbai, but there are many more cities that have started to develop, and we need to reach out to them. We have also planned roadshows to a few Tier-II cities this year.
Have Indians evolved as travellers? Yes, Indians have evolved as travellers. The first group that we had from India had very less exposure, they worked differently, but now travellers have matured and they know how to react to different things.
What are you focussing on next in India? We are now focussing on MICE incentive travel market in India, as this segment is now booming and we see a growing demand. People want to bring in their employees in order to motivate them. And normally, B2B follows the trail of leisure travel. So now, we are working on the MICE market.