TravelBulletin for December 2020 - Skroo Turner on Flight Centre, the pandemic, and the future,

DECEMBER 2020/JANUARY 2021

RIDING OUT THE DARKEST STORM Skroo Turner on Flight Centre, the pandemic and what the future might hold for the business.

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CONTENTS

14

FEATURES 24 New South Wales Travellers to NSW have plenty of options when it comes to experiencing Indigenous culture, writes Sarah Beyer.

COVER STORY 14 Riding out the darkest storm Having seen his life’s work start to crumble and his personal wealth decimated in the early days of the COVID-19 pandemic this year, you’d have to forgive Flight Centre Managing Director Graham Turner for being a little glum. But quite to the contrary, Skroo appears to be accepting, pragmatic and even optimistic for the future discovers Bruce Piper.

MONTHLY 02 State of the industry

12

24

08 Issues and trends 20 Cruise 28 Last word

COLUMNS 02 From the publisher 06 Steve Jones 08 AFTA View 23 CLIA View

This month’s contributors Steve Jones, Joel Katz, Darren Rudd

This page bottom right: ©Destination NSW

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travelBulletin DECEMBER 2020/JANUARY 2021

1

STATE OF THE INDUSTRY

From the publisher Bruce Piper

IN BRIEF

2

AS 2020 draws to a close, I think it’s appropriate to reflect on some unsung heroes of the year that we all want to forget.

The industry has naturally gone into panic mode as businesses scramble to minimise their losses, many tough decisions have had to be made and we can all be forgiven for being focused on saving our own skins.

But some have also gone above and beyond, stepping up to help support the wider sector despite their own personal COVID-19 challenges.

One of these is Richard Taylor from The Travel Industry Hub, who with unfortunate timing launched his sparkling new co-working space in mid-March, after he and co-founder Luke Crawford had spent months bringing to life their vision of a unique way for the industry to work together.

As the world collapsed around us, Richard launched an ongoing series of webinars which have through the year provided solace, inspiration and information for thousands of travel and tourism people – all at no cost, and with no thought other than to help out his industry colleagues.

Agents given a lifeline ALMOST two months after the Federal Budget was handed down, with no mention of travel industry-specific support, the sector has been thrown a lifeline with the Government offering $128 million in funding.

The support package will consistent of one-off payments to eligible travel agencies with an annual turnover of between $50,000 and $20 million, scaled based on TTV, with

travelBulletin DECEMBER 2020/JANUARY 2021

Another quiet achiever is Liz Ellis from Cherrybrook Travel in NSW, who has without any acknowledgement whatsoever been working on behalf of the thousands of agents who were hit by the failure of Excite Holidays at the start of 2020.

Ellis stepped up at the Excite creditor’s meeting back in February, joining the formal Committee of Inspection overseeing the company’s KPMG Administration process.

Completely behind the scenes she has been a key figure explaining the nuances of how the travel industry works to the accountants and lawyers involved, and in the process has managed to extract a significantly better outcome than would have otherwise been achieved.

Her dogged pursuit of key issues has ultimately brought Expedia and American Express to the table to create a special refund process for some Excite bookings, resulting in hundreds of thousands of dollars back into agent and client pockets.

Richard and Liz, we salute you – you are both living proof of the goodwill and passion that are hallmarks of travel industry people.

the cash grants ranging between $1,500 and $100,000.

Minister for Finance, Tourism, Trade and Investment, Simon Birmingham said “This one-off payment recognises that travel agents are operating in an exceptional set of circumstances where most are having to refund last year’s income, while continuing to work with no additional income”.

The package comes after months of grassroots lobbying from the industry.

“

APH core partnership focus Scaling THE investment portfolio of Australian Pacific Holdings (APH) underwent a makeover last month, with the APT parent company confirming the sale of its stakes in the Cruiseco consortium and online tour operator Inspiring Vacations. APH MD Chris Hall told travelBulletin that the divestments were “not considered to be core assets,” with the company’s Board and management making the tough choice to focus on investments that feed the group’s overall product ecosystem, such as its partnership with European river cruise operator AmaWaterways.

The “resilience strategy” also includes expanding the overall portfolio of Australian and New Zealand holidays, such as the introduction of Private Air Tours, Walking Tours and Luxury Short Breaks for APT, additional premium private jet journeys under the Captain’s Choice brand, and new products from Travelmarvel and Travel Glo. Director Lou Tandy said the Australian family-owned business had weathered many disruptions in the travel landscape over the last 90 years.“Scaling back in some areas has allowed us to invest in the core drivers of our business, and to innovate in areas where we see significant opportunity,” Tandy said.

Agent data collection THE Federal Government has ordered travel agents

AGENT SUPPORT A TOP CHOICE

back in some areas has allowed us to invest in the core drivers of our business

”

Lou Tandy, Director, Australian Pacific Holdings

THE team from Travellers Choice were among agents who continued to show their support for AFTA’s National Mobilisation Campaign last month, during a meeting with Patrick Gorman MP, Member for Perth.

Pictured in Gorman’s office are, from left: Steve Bargiev, Helloworld Travel Morley; Paul and Terrel Ramsay, Travel & Sports Australia; Patrick Gorman MP; Christian Hunter, Travellers Choice MD and AFTA Vice Chair; Nicola Strudwick, Travellers Choice GM Sales; and Isabelle Chu of Bonaventure Travel.

to ensure more customer information is included in bookings for airline tickets, as part of ongoing efforts to support COVID-19 contact tracing. Effective immediately any booking must include client mobile phone numbers, email addresses and postcodes of residence, with the an IATA update noting the Government’s recognition that “a significant portion of flight bookings occur through third party booking agents rather than directly through airlines”.

New Special Service Request (SSR) fields must be included in bookings, with several airlines now sending

automated messages via GDS to advise agents if the required details are missing.

“Health authorities have advised that collecting these details for every passenger, as a matter of routine, will help mitigate COVID-19 community transmission from airline passenger movements across domestic borders and aid recovery for the domestic aviation sector and the economy more broadly,” said the Department of Infrastructure, Transport, Regional Development and Communications.

Continues over page

travelBulletin DECEMBER 2020/JANUARY 2021

3

STATE OF THE INDUSTRY Helloworld upbeat THERE was some good news from Helloworld Travel last month, with CEO Andrew Burnes delivering an optimistic address during the company’s Annual General Meeting. As well as promising that all currently stood-down staff were now expected to gradually return to work in 2021, he said about 85% of the group’s members in Australia and NZ were still in business, and were “starting to see green shoots with a recovery in domestic travel, trans-Tasman travel and importantly international enquiries for travel in the latter part of 2021 and into 2022.”

Burnes was also positive about the important role agents would play in a postCOVID world because of the new complexities of travel, and noted that with rival Flight Centre having closed many stores, competition for Helloworld agents had been “dramatically reduced”. He

forecast a return to breakeven for Helloworld as early as the April-June 2021 quarter, citing a “renewed degree of optimism about the travel industry and about our business”.

STA refund mess THE complexities of the travel world were highlighted last month in a report from the Deloitte Administrators of the collapsed STA Travel, which detailed complex legal advice effectively meaning clients who had lodged refund requests prior to the company’s shutdown were unlikely to receive a payout – even if the refunds are yet to be processed by suppliers.

By contrast, those who had not taken action over cancelled travel have been deemed to have an ongoing relationship with the suppliers in question, meaning they may be able to access credits or refunds outside of the STA

“

administration.

Thousands of impacted customers have been asked to lodge proofs of debt as unsecured creditors, with ongoing court action meaning any claims will “take some time to resolve”.

[Helloworld is] starting to see green shoots with a recovery in domesrtic QF seeks loyalty travel, QANTAS is making a transconcerted effort to capitalise on its current strong Tasman position, with a range of travel and measures aimed at grabbing importantly market share by fast-tracking international the flying status of top tier members from rival airline enquiries for loyalty programs. travel in the QF has also announced a major new pact with Accor latter part effectively offering double of 2021 and points for any flight or accommodation booking, as into 2022

”

Andrew Burnes, CEO, Helloworld Travel Limited

well as giving complimentary Qantas Club access to frequent flyers from other carriers and extending the existing status of its own members for 12 months as long as they book a single domestic flight.

HEADLINES 02 Nov 04 Nov 05 Nov 06 Nov 09 Nov 11 Nov 13 Nov 17 Nov 18 Nov

4

Virgin plots Alliance alliance Nine ATAS agents close Flight Centre promises volume BA cancels planned return Hobart International plan Flight Centre raises $400m Fly365 liquidators seek funds NSW extends leasing code Aeronology new platform for agents

travelBulletin DECEMBER 2020/JANUARY 2021

19 Nov 19 Nov 20 Nov 20 Nov 23 Nov 23 Nov 24 Nov 25 Nov 27 Nov

Mulholland to leave Wendy Wu Qantas links with Accor Creative’s Cruise Spirit membership program Carnell urges agent help Helloworld Travel buys Cruiseco COVID insurance ruling APH sells Inspiring Vacations Magellan chief steps down 3c for Excite creditors

DATA ROOM TRAVEL COMPANIES ASX SHARE PRICE

VISITOR ARRIVALS

Top 10 destinations, September 2020

Sourced 25 Nov 2020

$3.19

$17.67

Helloworld Travel <

<

34% vs a month ago -60% vs a year ago

$6.00

$1.59

Webjet

Regional Express

<

<<

<

47% vs 1 month ago -52% vs 1 year ago

10% vs a month ago 31% vs a year ago

$21.04

Source: ABS

Source

Original

UK New Zealand USA China India Papua New Guinea Hong Kong Singapore United Arab Emirates Indonesia ALL RETURNS

1,080 940 750 500 440 390 270 210 170 170 8,170

% change - original Sep 19/ Sep 20 -98.5 -99.2 -99.2 -98.9 -98.1 -95.2 -97.8 -99.4 -96.1 -99.9 -99.2

Source: ABS

$5.68 Qantas

-58

<

10% vs a month ago -21% vs a year ago

<

<

17% vs 1 month ago 4% vs 1 year ago

610 430 350 210 200 190 170 170 130 80 3,720

% change - original Sep 19/ Sep 20 -98.7 -99.0 -99.7 -99.3 -99.8 -99.5 -90.9 -98.7 -99.4 -99.8 -99.5

<

Corporate Travel Management

Original

USA UK New Zealand India China Singapore Vanuatu Philippines Hong Kong Japan ALL VISITOR ARRIVALS

Flight Centre

<

<

69% vs 1 month ago -27% vs 1 year ago

Source

RESIDENT RETURNS

Top 10 destinations, September 2020

.3 % -52.1%

Source: ASX

DOMESTIC AIR MARKET

-52

September 2020

-5 1 .6 %

Growth % -48.6 -49.0 -46.1 -4.4* -41.2

-5 4.9 %

%

5.19m 6.09bn 7.44bn 81.8 53.4

Growth Yr to Yr to % Sep 19 Sep 20 0.70m -86.5 61.11m 31.41m 0.80bn -86.9 71.21bn 36.29bn 1.42bn -80.9 88.60bn 47.80bn 56.1 -25.7 80.4 75.9 16.0 -70.0 636.5 374.2

-53.7

Total pax carried Revenue pax km (RPK) Avail seat kms (ASK) Load factor (%) Aircraft trips (000)

Sep 20

-48.2%

Sep 19

.0%

-5 1

-48.8% -48.4%

*Percentage points difference

Source: BITRE

INTERNATIONAL AIR MARKET SHARE

Share of passengers carried â&#x20AC;&#x201C; September 2020 Qatar Airways, 17.3%

Others, 26.3%

Air New Zealand, 11.6% Air India, 3.4% China Eastern Airlines, 3.4% Emirates, 11.0%

Etihad Airways, 3.9% United Airlines, 4.2% Cathay Pacific Airways, 5.2% Singapore Airlines, 6.7%

.5 %

China Southern Airlines, 6.9%

INTERNATIONAL AIR ROUTES

Top 10 city pairs, year end September 2020 City pair Auckland-Sydney Singapore-Melbourne Singapore-Sydney Auckland-Melbourne Singapore-Perth Hong Kong-Sydney Auckland-Brisbane Singapore-Brisbane Los Angeles-Sydney Denpasar-Perth Top 10 City Pairs Other City Pairs ALL CITY PAIRS

Passengers YE Sep 19 1,591,002 1,625,649 1,509,343 1,243,504 1,103,995 1,220,574 955,324 933,177 916,592 883,682 11,982,842 30,295,958 42,278,800

Passengers YE Sep 20 814,833 732,513 730,119 641,358 571,325 508,673 463,535 447,950 439,273 408,754 5,758,333 14,380,642 20,138,975

% of total % change 20/19 4.0 -48.8 3.6 -54.9 3.6 -51.6 3.2 -48.4 2.8 -48.2 2.5 -58.3 2.3 -51.5 2.2 -52.0 2.2 -52.1 2.0 -53.7 28.6 -51.9 71.4 -52.5 100.0 -52.4

Source: BITRE

Source: BITRE

travelBulletin DECEMBER 2020/JANUARY 2021

5

STATE OF THE INDUSTRY Top 10 domestic city pairs, September 2020

City pair

MelbourneSydney Brisbane-Sydney BrisbaneMelbourne AdelaideMelbourne Melbourne-Perth Adelaide-Sydney Perth-Sydney Brisbane-Cairns BrisbaneTownsville AdelaideBrisbane ALL CITY PAIRS

Passengers Passengers % change YE Sep 19 YE Sep 20 (000) (000)

AUSTRALIAN CONSUMER SPEND ON TRAVEL: NEWS CORP AUSTRALIA INDEX 0

9,175.0

4,378.1

-52.3

4,812.0

2,411.3

-49.9

3,604.8

1,736.9

-51.8

2,526.9

1,208.5

-52.2

2,105.5 1,876.4 1,685.1 1,284.8

1,069.9 919.3 866.4 823.7

-49.2 -51.0 -48.6 -35.9

-60

1,005.5

614.7

-38.9

-80

862.5

495.5

-42.5

61,112.1

31,410.2

-48.6

Source: BITRE

-20

-40

-100

AUSTRALIAN AIRPORTS

International passengers through Australia’s major international airports, September 2020 City pair

-81 -82 -78 -75 -73 -75 -77 -78 -72 -69 -65

31 A ug 07 S ep 14 S ep 21 S ep 28 S ep 05 O ct 12 O ct 19 O ct 26 O ct 02 N ov 09 N ov

MAIN DOMESTIC ROUTES

Source: News Corp

Sydney Melbourne Brisbane Perth Adelaide Gold Coast Cairns Avalon (a) Darwin Canberra Newcastle (b) Port Hedland Sunshine Coast (c) Norfolk Island (d) Townsville (e) ALL AIRPORTS

Passengers YE Aug 19 16,891,091 11,329,074 6,321,678 4,318,453 1,102,654 946,786 659,554 344,754 249,955 85,468 6,687 8,780 13,689 177 ..

42,278,800

Passengers % of total % change YE Aug 20 20/19 8,047,103 40.0 -52.4 5,328,667 26.5 -53.0 3,044,715 15.1 -51.8 2,118,393 10.5 -50.9 531,180 2.6 -51.8 453,403 2.3 -52.1 269,087 1.3 -59.2 187,563 0.9 -45.6 109,529 0.5 -56.2 33,683 0.2 -60.6 7,371 0.0 +10.2 4,016 0.0 -54.3 2,564 0.0 -81.3 1,701 0.0 +861.0 .. .. ..

20,138,975 100.0 -52.4

(a) Scheduled passenger services commenced Dec ‘18 (d) Scheduled services ceased May ‘17 and recommenced (b) Scheduled services (seasonal) recommenced Nov ‘18 Sep ‘19 (c) Seasonal services only (e) Scheduled services ceased Sep ‘18

Source: BITRE

Steve Jones’ Say MY FINAL column of a calendar year is usually reserved for a recap, a mini review of the year, if you like.

So here goes. COVID19. It’s been unimaginably horrific. That’s 2020 covered.

So let’s move on to 2021.

Assuming health regulators around the world approve the various vaccines in development,

6

2021 is looking more upbeat than any of us dared hope.

That’s not to suggest the industry will be back on its feet in a hurry. There is some way to go, many months in reality, before any meaningful recovery is underway.

Nevertheless, there are reasons to be cheerful.

No sooner had vaccines become a genuine reality than Qantas revealed a COVID shot in the arm will be mandatory for all passengers on international services.

Given the year we’ve endured, perhaps it’s wise.

But it also demonstrates the ultra-cautious approach Australia has taken, and will continue to take.

I expect the government to go further and make vaccinations a condition for anyone entering Australia. That also may be prudent, but it will also delay the desperately needed recovery until deep into 2021 when vaccines are more widely available.

travelBulletin DECEMBER 2020/JANUARY 2021

“

[Making the vaccine a condition for entry into Australia] may be prudent, but it will also delay the desperately needed recovery until deep into 2021

”

Furthermore, reaction to Qantas’s future policy was mixed, and it wasn’t just anti-vaxxers crying foul.

There were plenty who objected to a commercial entity instructing them to get a vaccine. The same objections are likely to be aired if the Australian Government makes the same demands.

As for outbound travel, a much-vaunted booking frenzy is inevitable in 2021. What is uncertain is when. Could the government permit international travel from Australia while continuing to lock out visitors until the vaccine is widespread?

It’s unlikely. What is more feasible is a gradual opening of travel bubbles with New Zealand, Singapore and Korea.

Whatever 2021 has in store, at least we can approach it with a little more optimism.

Š Shochiku Co., Ltd.

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ISSUES & TRENDS

AFTA VIEW Darren Rudd, Chief Executive Officer Australian Federation of Travel Agents

I TRUST that everyone is looking forward to the holiday break, an opportunity to spend time with family and friends.

The Federal Government has confirmed a funding support package to assist travel agents and we are working closely with the Government and relevant departments on the detail and the delivery mechanism, and we look forward to updating members imminently.

AFTA is very much looking forward to 2021, including developments on the vaccine front, the emergence of QR code-based passports to allow international travel to resume earlier than expected and the development of new marketing and operational processes to drive consumer demand in a post-COVID world.

AFTA sees itself playing a key role in equipping our valuable travel agent members to be a comprehensive centre of truth, for potential and confirmed travellers, on any subject matter related to COVID-safe travel.

As an organisation we will continue to improve every aspect of our business with a view to ensuring members remain connected, engaged, informed and valued.

While inevitably 2021 will bring with it some challenges, we see a very bright light on the hill, which is the liberation of our international travel border. We are progressing closer to this milestone every day.

AFTA will continue to look at funding options to stabilise the sector throughout the course of next year and to ensure that it is prepared as much as possible as it rebuilds and restores itself back to the engine of mobility it was for every Australian. It is our role as a sector to help our travel-hungry country realise individual dreams and aspirations for a closer and more connected world through travel.

On behalf of the entire AFTA Board and the broader team, I want to thank you each and every one of you, for the warm welcome that you have given me this year. It is a privilege to work in such an amazing sector and I look forward to meeting many more of you in 2021. I sincerely only see growth and opportunity in the year ahead for all.

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travelBulletin DECEMBER 2020/JANUARY 2021

NEW VIRGIN CHIEF TAKES THE REINS JAYNE Hrdlicka says Virgin Australia will “continue to be Australia’s most loved airline for customers who want the most important premium touches without the full premium price”. Taking up her role as CEO of the newly privatised carrier last month, she laid out her vision for Virgin Australia which will compete in its mid-market heartland, serving the entire market but building its proposition around its long-standing and most loyal guests, including price-conscious corporate travellers, premium leisure travellers, holidaymakers and small to medium businesses.

Hrdlicka’s plan for Virgin Australia includes a commitment to retain a one-third domestic market share, with a network of lounges in key capital cities and a “more accessible business class offering to better align to the expectations of the cabin’s core customers”.

Technology is also on the agenda, with new self service and assisted check-in and baggage drop facilities to open at mainline airports and an updated and more integrated Virgin Australia app.

She will also restructure Virgin Australia Regional Airlines to become a more sustainable and profitable business, mainly focusing on the WA resources sector. Other significant changes are likely to see the elimination of in-flight entertainment and the introduction of an “exciting and fresh buy on board menu”.

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ISSUES & TRENDS

MONDRIAN GOLD COAST TO DEBUT A NEW Mondrian hotel has been announced for the Gold Coast, the first in Australia, with Accor leaping ahead with the global expansion of the brand.

The hotel is part of the SBE Group, with Accor recently acquiring full ownership of the company’s lifestyle hotel brands, including Mondrian, along with the majority of its restaurant brands, after buying 50% of it in 2018.

The dual-tower Mondrian Gold Coast will see the 208-room hotel and the 89 private residences split from each other but united by a three-level podium that will function as the hotel’s common space.

The development, located at First Avenue and The Esplanade, will include

a fitness centre, spa, restaurants, and a swimming pool, overlooking the beach and Burleigh Head National Park.

Mondrian Gold Coast follows the recent opening of Mondrian Seoul Itaewon and the announcement of Mondrian Shoreditch London, and will be one of nine of the brand’s properties to roll out globally by 2022.

Artist impression of Mondrian Gold Coast

Aeronology offers new mobile platform for agents going solo A NEW booking platform unveiled

by Australian tech startup Aeronology last month promises to revolutionise the workflow of travel advisors as well as significantly boosting their productivity.

The company’s CEO Russell Carstensen described it as a “user-pays one-stop-shop” with no ongoing licences or set-up fees.

“Aeronology Mobile is the perfect tool for independent travel advisors, or agents who are members of consortiums, their consultants or individuals who want to operate as sole traders,” he said. Carstensen said the platform aggregated content from

10

travelBulletin DECEMBER 2020/JANUARY 2021

a preferred GDS as well as NDC sources and supplier APIs, allowing itineraries to be curated in a single screen. He said Aeronology

“

The technology is the result of 20 years of understanding the needs and requirements to be a profitable and effective travel advisor

”

Russell Carstensen, CEO, Aeronology

believed its technology would more than triple the productivity of individual travel advisors, allowing the industry to become much more efficient as it emerges from the COVID-19 pandemic.

“The technology is the result of 20 years of understanding the needs and requirements to be a profitable and effective travel advisor,” he said. Aeronology doesn’t charge to use the platform, instead taking a small, transparent fee from each booking.

The platform will launch in early 2021, with Aeronology now seeking expressions of interest via mobile@aeronology.travel.

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ISSUES & TRENDS

THE ULTIMATE SHOT IN THE ARM IF GLOBAL sharemarkets are any indication, the relationship between the travel sector and several promising vaccine trials is a healthy one. Stocks in multiple airlines, cruise operators and hotels all enjoyed a nice bump in their respective share prices following news that three drug companies had produced encouraging coronavirus vaccine trial results. The implication seems obvious, suppress the virus and free the travel industry.

Moderna, Pfizer and AstraZeneca have all produced vaccines for COVID-19 capable of creating immunity with an efficacy up to or above 90% in clinical trials, creating a predictable buzz around travel that a resumption of relative normality might not be too far away.

Flight Centre’s MD Graham Turner is one travel leader showing plenty of optimism for the medium-term outlook as the pharmaceutical tide starts to turn, stating in an address to shareholders last month that the future looked “fairly bright” if a vaccine were to be sanctioned and begin distribution in the first quarter of 2021.

“While demand for international travel is unlikely to fully rebound for several years, we see opportunities this year and during the recovery phase…as business and governments work together to develop reopening plans that address any ongoing health concerns and incorporate potential game-changing developments like rapid antigen testing and effective vaccines,” he said.

Some of the key metrics in Australia have also started to show

12

travelBulletin DECEMBER 2020/JANUARY 2021

signs of life again directly following positive vaccine announcements, with News Corp Australia credit card data showing consumer spend in Australia enjoyed its best week since March late last month, demonstrating solid improvement across both the airline

and accommodation verticals.

And while this all looks very promising, it remains prudent for the travel industry not to get too far ahead of itself as it continues to do battle with the biggest existential threat in its history.

There is still technically no precise timeframe for travel recovery, just reassuring results from trials with rough estimates about global distribution. So, there should be no shirking of the reality that a COVID vaccine represents one of the largest logistical

challenges in human history, with global immunity unlikely to be just around the corner.

If Federal Health Minister Greg Hunt is correct in his approximation, Australia should see a vaccine made available to the public at scale by early in the third quarter of 2021, in line with a government goal to get most of the country immunised by the end of next year, hinting that “widespread international travel” should be back to normality from that time.

However, one aspect that typically gets lost in these types of forecasts is the willingness for enough people to take the vaccine to be effective. Medical experts suggest that for herd immunity to be achieved, there needs to be a national take-up of between 60-70%, but with the anti-vaxxer movement perhaps stronger than it’s ever been before, the transition to national immunity may not be all smooth sailing.

This is clearly a point not lost on Qantas CEO Alan Joyce, who recently took a harder stance than any of his rival airlines by warning, no jab, no flight.

Only time will tell whether the coronavirus vaccine is the economic cure-all many are hoping it will be.

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COVER

RIDING OUT THE DARKEST STORM Having seen his life’s work start to crumble and his personal wealth decimated in the early days of the COVID-19 pandemic this year, you’d have to forgive Flight Centre Managing Director Graham Turner for being a little glum. But quite to the contrary, Skroo appears to be accepting, pragmatic and even optimistic for the future of the travel giant that he co-founded 38 years ago, despite the ravages of coronavirus. Bruce Piper reports.

THE STORY SO FAR...

LIKE just about every travel and tourism business in the world, Flight Centre just isn’t going to look the same on the other side of the pandemic. The company was riding high right up until March this year, reporting record levels of sales and targeting earnings of as much as $350 million. As the pandemic closed in, that was revised downwards by $50 million at the end of February, and then another

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two weeks later it became clear that the travel world was never going to be the same again.

Turner was actually in London in those first two weeks of March, arriving back home fortuitously after visiting UK-based family on Thursday 12 March – about 24 hours before Prime Minister Scott Morrison raised the global travel warning for Australians to the second-highest “reconsider your need to travel” level. “We quickly realised this was getting serious,”

travelBulletin DECEMBER 2020/JANUARY 2021

15

COVER he said, with Flight Centre’s then Chief Operating Officer, Melanie Waters-Ryan, moving into action to set up a war room, where the executive team worked around the clock, conducting sessions twice a day to discuss what needed to be done with the leaders of Flight Centre’s businesses in 23 countries around the world. “We had to work out what we had to do and what the consequences would be,” Turner told travelBulletin.

After first suspending profit guidance on that Black Friday 13 March, it only took until the following Wednesday, as travel restrictions were increased again to a mandatory Do Not Travel warning, for Flight Centre to announce an urgent business review, saying it would “hold discussions with landlords, suppliers, vendors, insurers and banks on ways to manage the financial impact of a precipitous drop in travel activity in the near term”. The rapidly devolving situation meant it very soon became apparent that in order to survive, the business would need to go to the markets to raise capital. But even then “we really didn’t think it would last that long,” he said. “We’ve been

in business for a long time, faced many trials and tribulations over the years, and you kind of get used to it. You’ve got to be pragmatic and accept the situation.”

Looking back Turner is surprisingly sanguine about the collapse of the world as we knew it, but it’s unlikely that the rest of his executive team were so relaxed, as the company suspended trading in its shares on Thursday 19 March, cancelled the payment of an interim dividend, halved executive salaries and pleaded with the Government for assistance. Clearly the scramble was on to get some cash into the business, but it took more than a week for the full plan to be laid out, including thousands of job cuts and bringing forward the closure of some underperforming stores. And clearly that didn’t end up being enough to satisfy investors, with the shares remaining suspended for a total of two weeks before details of a $700 million equity capital raising were announced alongside a raft of additional cost saving initiatives – including the closure of more than half of its global leisure retail outlets.

The company’s shares, which had

“

We’ve been in business for a long time, faced many trials and tribulations over the years, and you kind of get used to it. You’ve got to be pragmatic and accept the situation

”

Graham Turner, Managing Director, Flight Centre

At the shopping centre closest to travelBulletin world headquarters in Sydney, just one Flight Centre store remains open with a reduced footprint, compared to the retail heyday where the mall housed an Escape Travel, Universal Traveller/Student Flights, CruiseAbout and Travel Money Oz as well.

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travelBulletin DECEMBER 2020/JANUARY 2021

been trading at more than $55 over the preceding 12 months, returned to trading on 7 April at just $8.92.

Turner drily noted that the capital raising was “with quite a bit of dilution” – particularly since he and his fellow co-founders and major shareholders didn’t put any of their own cash in.

Clearly Flight Centre is not a cheap business to run. Prior to the pandemic’s onset, monthly costs amounted to an eye-watering $230 million. The radical surgery undertaken this year has seen this roughly quartered to between $60 million and $70 million a month – still not an inconsiderable amount. But Turner told travelBulletin “there’s no use coming out of the other side of this if you don’t have assets intact to make the most of the situation.

Our core assets are our people, and we want to keep as many as possible. There’s also real estate, and technology development that’s going to be needed after this ends – particularly in corporate but also for the leisure operations,” he said.

Things have stabilised, and with every announcement of a vaccine or border breakthrough the company’s

share price climbs and has now recovered to more than double that low point back in April.

AND WHAT COMES NEXT? WITH Government support in the form of JobKeeper set to run out at the end of March 2021, Turner is confident all of the major staff cuts within Flight Centre are over. The company is heavily focusing on its corporate businesses across the world while international borders are closed, with the CEO making pains to stress that even pre-COVID about 55% of Flight Centre’s profits were generated from its business travel operations. He said at current rates, as domestic borders open and economic activity picks up the company was looking at perhaps breaking even within its corporate division as soon as May 2021, while the timeline for a return to profitability in leisure is looking more like the second half of 2021.

“But it is in the lap of the gods. We are so dependent on the actions of governments around the world, as well as the trajectory of any outbreaks and the availability of vaccines,” Turner said.

What will Flight Centre’s brave new world look like? Well for a start, across Australia there will be many less of those treasured red and white stores. Before the pandemic hit Flight Centre had about 950 locations across the country, and under current plans that will end up being around 420 – something like 40% of the previous overall footprint. And in fact slightly less than 300 of them are likely to carry the Flight Centre branding, with the rest being Travel Associates, Corporate Traveller or other Flight Centre brands. On the brand front, there won’t be as many as before, with cievents, Universal Traveller/Student Flights, Travel Money Oz, cievents and Infinity Holidays all COVID-19 casualties.

950

Flight Centre locations (pre-COVID)

Flight Centre's store footprint has been reduced to 40% of what it was

420

Flight Centre locations (post-COVID)

travelBulletin DECEMBER 2020/JANUARY 2021

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COVER

X With such massive changes, Turner clearly has a sense of regret about some of the choices that were made. “Did we cut too hard? Well we had to make tough decisions. It’s very hard to know whether we did go too hard, or did we get it about right. Ask me in a couple of years. We have kept the biggest and best shops, and we believe we can get back most of the revenue as the industry recovers,” he said. “But our shops are going to have to be more efficient.” Turner said the closures had been carefully planned, with about 96% of Flight Centre customers still within 5km of a retail outlet, and regional offices still in place. “In a lot of shopping centres, we had two, three or even four Flight Centre shops, we’ve had to rationalise that. But we’ve kept the best and largest ones, and we can run a number of teams from many of the locations,” he noted.

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X

X X

Flight Centre has axed some of its major brands due to COVID-19.

There’s been some speculation about how keen suppliers will be to support a significantly smaller Flight Centre retail network. But Turner does not appear concerned about that at all, “Suppliers will support you if you give them the business. Supply chains need distribution, and we will still be able to offer them that,” he said.

And while digital distribution and call centres will comprise an increasing share of Flight Centre’s sales mix, “in the end we will always remain a peopledriven enterprise. There will be fewer shops but they will be more productive,” he said.

Also in the mix is Flight Centre’s increasing presence in the homebased or independent consultant sector. But “we won’t have ridiculous numbers of them, it will be a combination,” Turner said.

Flight Centre clearly also has no plans at all to move to a service fee

model for its consultants. “In some areas we do charge, depending on what it is, and of course corporate is fee-based, but I think overall I can’t see the supplier commission model changing dramatically.

Suppliers need distribution, and in the end, whether it’s professional fees or commission, ultimately the customers pay for distribution.

It’s also very important to be price competitive with your supply chain,” he noted – and while suppliers generally don’t undercut their resellers, a service fee model would make purchasing through Flight Centre more expensive than going direct, and that’s clearly not something Skroo is ever going to advocate.

BACK TO THE FUTURE? CAN Flight Centre return to its glory days of $20 billion-plus TTV and making up to a million

dollars in profit in a day? Skroo is confident that will happen, with official forecasts from the business predicting a recovery in 2024/25.

“But I believe leisure will actually come back a bit earlier than that,” he said. On the other hand, the way businesses operate has been significantly impacted by COVID19, with new ways of working and technology meaning Turner is only expecting corporate business to return to about 85% of its former levels. “But overall, in terms of revenue I reckon we will be back to pre-COVID TTV by 2023/24, combining both leisure and corporate,” he said.

The other question surrounding Flight Centre is its brand reputation, with a number of activist Facebook groups strident in their criticism of the company and particularly the way it handled refunds due to cancellations.

Turner noted that so far about $1.2 billion had been returned to customers. “I’m the first to admit that in the early stages of the pandemic we were not well

“

I’m the first to admit that in the early stages of the pandemic we were not well organised...

Nobody’s perfect, we’re not an organisation that was built to efficiently issue refunds, because there used to be so few of them

”

Graham Turner, Managing Director, Flight Centre

organised,” he said. “Nobody’s perfect, we’re not an organisation that was built to efficiently issue refunds, because there used to be so few of them. But once we got organised we have gotten quite good,” he said, adding that in some cases suppliers had not refunded Flight Centre yet either. The newly well-oiled refund machine was still getting a workout, Turner added, with the short-lived snap closure of South Australia last month “keeping us in practice,” he said.

While the refund situation has led some to call for a return to increased regulation of the industry, Turner says that is not the answer. “We spent 30 years getting rid of the Travel Compensation Fund, which was very expensive and really didn’t work well at all, particularly with the rise of overseas players coming into the market. Bringing back more regulation isn’t the answer.

This is an incredibly unprecedented situation, we won’t see it again in my lifetime,” he said. “And having gone through it once, if it does happen again we will be much better prepared.”

AND WHAT OF AFTA? FLIGHT Centre is a significant contributor to the Australian Federation of Travel Agents, holding two positions on the AFTA Board including Turner himself as one of the Vice-Chairs. And despite the massive changes that have occurred there this year, with the abrupt departure of former CEO Jayson Westbury and the recently successful efforts to obtain an industry-specific support package, Skroo clearly believes the Federation has a key role to play going forward.

As well as the current work being undertaken in Canberra by AFTA’s

“

It is in the interests of the industry to work together...Survival of bricks and mortar travel agents is good for everyone – including consumers

”

Graham Turner, Managing Director, Flight Centre

new chief, Darren Rudd, Turner said there were other issues on the horizon too – such as ensuring that all industry players pay GST on domestic products, particularly in the current environment with international borders closed.

“It’s really important in terms of helping the local industry compete, but also in terms of government revenue. At the moment it’s mostly overseas metasearch providers who are slipping through the net, but it’s an important loophole to close,” he said.

“It is in the interests of the industry to work together,” he added, noting some of his own recent joint lobbying efforts alongside Helloworld CEO Andrew Burnes and Corporate Travel Management chief Jamie Pherous.

“Survival of bricks and mortar travel agents is good for everyone – including consumers. Look at the situation in the USA, where it is really hard to find a travel agent because of the decreased footprint.

Everything has gone online and that just doesn’t give as good a customer experience,” he said.

“The more bricks and mortar travel agents who prosper and survive, and continue to offer great service to their customers, the better.”

travelBulletin DECEMBER 2020/JANUARY 2021

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CRUISE

CELEBRITY SIMPLIFIES AND INCREASES AUSTRALIAN COMMITMENT CELEBRITY Cruises has announced a major change to its pricing, with a new approach called “Always Included”, meaning all fares will include wi-fi, drinks and gratuities as standard.

The cruise line has sought to put an end to the days of “confusing promotions, complicated add-ons and limited time offers”.

Vice President & Managing Director APAC Tim Jones said so far the industry has been enthusiastic about the pricing model, which aims to make life simpler for agents and customers.

“We came up with research among the consumer audience that found out there were certain elements that consumers just wanted included in the price of the ticket, and those are drinks, wi-fi and any service charges,” he said.

“It was interesting from our perspective, we wanted to see people who were both new to cruise, and new to our brand, and this element of inclusivity was specific to those people.

“What we’d been hearing from the trade was that our pricing proposition was too complicated, there were too many options and booking codes, but we’ve reduced that by over 50%.

“From a practical level for the trade, selling our product is now a lot simpler than it was before and that’s been embraced and welcomed”.

Celebrity has also upped its Australian commitment, with Celebrity Eclipse to make her debut in local waters in the 2021/22 season through 19 local voyages showcasing the region.

Developed through market

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Celebrity Eclipse will head to warmer climes Down Under from Alaska

research and partner feedback, Celebrity will offer a range of voyages in Australia, New Zealand and the South Pacific.

The Sun & Beach Escapes,

“

What we’d been hearing from the trade was that our pricing proposition was too complicated, there were too many options and booking codes, but we’ve reduced that by over 50%

”

Tim Jones, Vice President and Managing Director APAC, Celebrity Cruises

Food & Wine Classics and FiveStar Getaways packages are designed to deliver on broader themes Celebrity has identified as key drivers for short, luxurious getaways, Jones said.

“There’s a lot of work going into itinerary curation, how we tap into those different drivers and appeal & passion points for individual consumers, as well as how destinations rank in terms of appeal to customers so we’re able to position those appropriately,” Jones said.

“A lot of work goes into not just how long a cruise is and optimising duration, but the richness and diversity of the experience we can offer once there. It’s about how we stand out with our product by offering something a little bit different to what everybody else does.”

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CRUISE

AURORA LOCKS UP DEPOSITS AURORA Expeditions is going above and beyond to assure clients that their money is safe, confirming that all deposits are now being placed in an escrow account which can only be used to pay expenses related to a passengers’ voyage. The measure was announced last month by Aurora’s new CEO, Monique Ponfoort, along with other booking encouragements including a comprehensive policy allowing cancellations if cruisers are unable to obtain COVID-19 insurance coverage.

The moves coincided with the unveiling of

Aurora’s second ship, the Sylvia Earle, which is now expected to join the fleet in October next year. A sister ship to the Greg Mortimer, the new vessel has a number of design tweaks including a new forward-facing lounge near the bow giving cruisers uninterrupted vistas of the landscapes through which they are voyaging. Aurora has also unveiled details of itineraries for the 2021/22 season, taking in the Russian Far East, Baja California, Raja Ampat/West Papua, the Northwest Passage, Alaska and of course the North and South polar regions.

A brown bear & her cubs walking along the shore of Kuril Lake in Kamchatka, Russia, one of the destinations the new itineraries for 2022 visit, sailing onboard Aurora Expeditions’ Sylvia Earle ©Richard I'Anson

Restart not so dreamy for SeaDream Yacht Club EXPECTATIONS were riding high across the US cruise sector last month when SeaDream Yacht Club became the first operator to resume voyages in the Caribbean. Conducted under strict COVID protocols, the SeaDream I cruise followed a successful transatlantic sailing and a number of voyages in the North Sea which took place without incident.

Just over 50 passengers

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boarded in Barbados, after presenting a negative test within 72 hours of travel and then being given another test on the dock by the ship’s doctor.

Unfortunately part-way through the week-long voyage one of the cruisers asked for an extra test because they were feeling unwell.

It turned out that she was infected, along with four others in her family group who were

travelling together from the US West Coast.

The entire ship was placed in quarantine, but subsequently two other passengers also tested positive.

The voyage was then aborted, along with the remainder of sailings planned for the season, dashing the hopes of many who had hoped the voyage could have paved the way for a wider resumption of cruising.

On-board testing compulsory AN UPDATE to the CDC’s Framework for Conditional Sailing Order has mandated all cruise lines must have the on-board capability to test all symptomatic passengers and crew members for COVID-19.

During November, the CDC also upped its alert level for cruising to Level 4, warning travellers that going on a cruise risks “a very high level of COVID-19”.

HAL suspends US sales THE CDC’s Framework for Conditional Sailing also caused some hiccups for cruise lines, with the order banning operators from sailing or offering to sail an itinerary longer than seven days.

The stipulation has led Holland America Line to suspend all sales of cruises eight days and longer than stop in a US port, departing before 1 November 2021.

The rule has also led to Princess Cruises pausing all operations longer than seven days sailing out of the US until November 2021.

Changes in cruise constorium space THERE have been a number of shake-ups in the cruise consortium arena, with Creative Cruising launching a membership group off-shoot called Cruise Spirit, while Cruiseco was acquired by Helloworld.

Cruise Spirit’s rise poses a clear challenge to the longestablished Cruiseco, and gives agents an independent option, although Helloworld has promised to continue working with all current Cruiseco members.

CLIA VIEW

Joel Katz, Managing Director CLIA Australasia

TIME FOR A CLEAR PATH TO REVIVAL AS WE approach the end of the year, Australia’s ports would ordinarily be alive with activity as the cruise industry celebrates its peak season.

Instead, our $5 billion-a-year industry remains at anchor and thousands of jobs are in doubt.

Despite this, an extraordinary amount of work is going on behind the scenes and much has been achieved as we soldier towards revival.

Extensive new health protocols developed with the help of international medical experts are laying the foundation for a carefully controlled resumption of local cruise ship operations in Australia.

These measures – developed as part of a process to create mandatory policies for all CLIA ocean-going cruise ships worldwide – have been outlined to Australian governments in detail. Having put them on the table, CLIA is now calling on the Australian Government to replace the current ban on cruising with a conditional process that would allow cruise lines to progress towards

approval for resumption.

Australia’s relative success in stemming community transmission of COVID-19 – together with the cruise industry’s robust response – creates an opportunity for a phased revival of cruise operations.

Under concepts outlined to governments by CLIA, this would initially involve restricted local cruises for local residents only, with limited passenger numbers, 100% testing of guests and crew, and extensive screening and sanitation protocols in place. Such an approach has already allowed limited resumptions in locations including Europe, Singapore and Taiwan.

We have received encouraging feedback from health authorities on the protocols our industry has established, but it is still unclear when we might be able to resume.

CLIA continues to lobby hard, but we also need help to raise our voice and support our advocacy efforts. Visit WeAreCruise.org to find out how you can become involved.

HEADLINES NOVEMBER 2020 11 Nov 17 Nov 23 Nov 26 Nov

Celebrity revamps pricing APT now selling 2021 Australian cruises Cruiseco acquired by Helloworld Coral approved for Tassie season

travelBulletin DECEMBER 2020/JANUARY 2021

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NEW SOUTH WALES

IMMERSE YOURSELF IN COUNTRY According to Tourism Research Australia, while 11% of international travellers will take part in an indigenous experience on their holiday to Australia, only 1% of domestic travellers do the same. With international borders closed, there has never been a better time to get to know the culture and traditions of Aboriginal Australians, and luckily there are plenty to enjoy in NSW. Sarah Beyer discovers just some of what the state has to offer.

A

cross NSW, Aboriginal culture is vibrant and diverse, with a range of experiences allowing travellers the chance to gather on country and learn from the traditional owners. You can take an Aboriginal-led guided tour, follow ancient songlines on walking tracks, experience traditional ceremonies and visit Aboriginal rock art in many of the stateâ&#x20AC;&#x2122;s national parks.

GADIGAL & EORA COUNTRY, SYDNEY Before Sydney grew into the metropolis it is today, the Gadigal and Eora people lived on the land. You

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travelBulletin DECEMBER 2020/JANUARY 2021

can explore the city through the eyes of its Indigenous people on tours with Dreamtime Southern X, an Aboriginal privately-owned company which offers a range of walking and bus tours connecting visitors with the Dreamtime of Sydney.

If youâ&#x20AC;&#x2122;re looking for a tour focusing on one area of the city, try the Aboriginal Heritage Tour in the Sydney Royal Botanic Garden which teaches travellers Aboriginal plant uses and culture and gives them the chance to taste bush foods, or else the Barangaroo Aboriginal Cultural Tours which offers a hands-on educational tour of the precinct which is the only large public park exclusively planted with natives in NSW.

NEW SOUTH WALES

Clockwise from left (all images ŠDestination NSW): A smoking ceremony during a traditional welcome on a Ngaran Ngaran Culture Awareness (NNCA) tour.

Aunty Margret Campbell from Dreamtime Southern X. Travellers explore the local area with an Indigenous guide on a tour with NNCA.

Alternatively, visit the Australian Museum and head to the permanent Bayala Nura: Yarning Country exhibition to discover Australiaâ&#x20AC;&#x2122;s Indigenous people through their artefacts and stories.

YUIN COUNTRY, SOUTH COAST Narooma and the Tilba region of the south coast is part of Yuin country, and visitors to this part of the state can experience Indigenous culture with Ngaran Ngaran Culture Awareness (NNCA).

NNCA offers an immersive cultural experience with the Yuin Retreat. Over three days, travellers will visit

many parts of the Narooma region that have held sacred significance to the Yuin Aboriginal community for tens of thousands of years.

The tour begins on the evening of day one with a welcome to Yuin country including language, song and smoking ceremony. Highlights of the next two days include a sunrise ceremony, Gulaga National Park guided day walk tour or Djirringanj dreaming experience, Indigenous dining prepared by expert chefs and discovery of Aboriginal wellness. Travellers will participate in and witness Aboriginal dance, yidaki (didgeridoo) and yarning circles, while learning from knowledgeable Aboriginal guides.

travelBulletin DECEMBER 2020/JANUARY 2021

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NEW SOUTH WALES

Clockwise from top left (all images ©Destination NSW): Paddle your way through Solitary Islands Marine Park with Wajaana Yaam Gumbaynggirr Adventure Tours.

Unkya Local Aboriginal Land Council Cultural Eco Tours share their knowledge.

Explore the Worimi sand dunes on quad bikes while learning about the local Aboriginal culture.

GUMBAYNGGIRR COUNTRY, COFFS HARBOUR Travellers can combine a love for adventure with learning about the local Aboriginal community when they join Wajaana Yaam Gumbaynggirr Adventure Tours.

“Wajaana Yaam” translates to ‘from this country’ in the local Gumbaynggirr language and the tour operator offers a range of stand up paddle-boarding adventures all run by local Aboriginal people.

The tours explore Coffs Harbour’s Solitary Islands Marine Park across 2.5 hours, starting from three different locations depending on the tide. You’ll paddle with the direct descendants of the world’s first stand up paddlers and get a chance to connect to the land and the sea through the stories and language of the local Indigenous people, along with collecting and tasting seasonal bush tucker.

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If paddle boarding isn’t your thing, Unkya Local Aboriginal Land Council Cultural Eco Tours runs two Aboriginal experiences operating out of Scotts Head and Gaagal Wanggaan (South Beach) National Park near Mackville, sharing and promoting the unique Gumbaynggirr spirituality and culture.

The Gaagal Yuludarla (Ocean Dreaming) Tour is a 1.5 hour walk around Scott’s Head Headland and Junay Gaagal (Little Beach) where travellers will get to hear about food sources and hunting methods, totems and creation stories, see a traditional fish trap and taste bush tucker along the way.

For a longer tour, the 3.5 hour Gaagal Wanggann (South Beach) Tour takes in Aboriginal-owned Gaagal Wanggaan (South Beach) National Park. You’ll get a chance to hear about the culture and heritage of the Gumbaynggirr people from your local Aboriginal guide, as well as learning about the ecosystems within the national park. Your guide will tell you about

how the land, rivers and ocean are the first people’s food source, medicine and way of life.

WORIMI COUNTRY, PORT STEPHENS Get your heart racing and learn about Aboriginal culture at the same time with Sand Dune Adventures in Port Stephens.

You’ll hop on a quad bike tour and explore the majestic and traditional landscape of the Worimi sand dunes. The area has been recorded as the largest coastal moving sand mass in the Southern Hemisphere and is a significant area to the local Worimi Aboriginal people. The tour ventures into exclusive Aboriginal land and gives travellers a hands-on interactive experience of the richness of the Worimi culture and heritage. Dig for fresh water, learn about bush resources, ride past ancient camp sites and sand board down one of the largest dunes on the beach over 1.5 hours.

NEW SOUTH WALES WIRADJURI COUNTRY, WAGGA WAGGA Discover Wiradjuri culture in an intimate setting with Bundyi Cultural Tours. Owned and operated by Wiradjuri man Mark Saddler, you’ll get a chance to meet Australian bush animals, learn how a didgeridoo, spear or stone axe is made and find out more about the oldest living culture. Each and every tour is designed so that travellers will get to feel part of the land and get up close and personal with Indigenous culture.

Options include full- and half-day tours by bus or 4WD in the Riverina area, as well as a two hour walking tour around Wagga Wagga, taking in the Murrumbidgee River.

BBQ meals and morning tea are included on some tours, as well as local transfers from your accommodation, while Bundyi Cultural Tours can also create a custom private tour for travellers, such as the Wiradjuri Culture and Winery Private tour which visits areas special to the Wiradjuri people as well as stopping at Courabyra Wines for lunch.

Luckily, selling NSW is even easier now, with all the experiences featured ready to work with the trade. For full details of experiences, see Destination NSW’s Trade Toolkit, which includes on-demand trade training tools and resources.

Travel distributors based in Australia and overseas are invited to access this free resource via Destination NSW’s dedicated landing page for the trade. CLICK HERE to access the toolkit.

From top (all images ©Destination NSW): Bundyi Aboriginal Cultural Tours guide Mark Saddler shows visitors Galore Hill Lookout near Wagga Wagga.

Mark Saddler shares his Wiradjuri culture.

Book your client an immersive Aboriginal experience in NSW

LAST WORD

SUDOKU

Beginner

The aim of Sudoku is to complete the entire grid using the numbers 1-9. Each number can only be used once in each row, column, 3×3 box.

www.sudokuoftheday.com – visit them and get a new Sudoku every day!

Funnies Flashback We’ve trawled through the Travel Daily Window Seat archives to give you blast from the past. Here’s a gem from 29 Apr 2014.

SPANISH party island Ibiza will next month open what is being labelled as “the world’s most expensive restaurant”.

Housed inside the soon-to open Hard Rock Hotel Ibiza, the exclusive outlet Sublimotion will cater to a maximum of only 12 people per night, each paying £1,235 for the experience.

Spain’s most famous chef Paco Roncero has been hired to front the restaurant, designing and creating a 20-course degustation to justify the price.

According to the Hard Rock’s website, the experience is described as “a unique space where culinary art and technological innovation come together to create a complete and unprecedented emotional experience”.

FUNNY FESTIVALS YORKSHIRE PUDDING BOAT RACE®, UK WHILE we can’t travel, it’s good to put together a wishlist of destinations and experiences that you want to visit when borders open.

For those looking for a quirky sporting event, you can’t go past the Yorkshire Pudding Boat Race®.

Dreamed up by Simon Thackray in the early 1990s, the Yorkshire Pudding Boat Race® sees competitors paddle giant Yorkshire pudding boats across

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Bob’s Pond in the village of Brawby.

The boats are constructed using all the usual ingredients of a Yorkshire pudding – eggs, flour and milk – and are coated with yacht varnish to reduce sogginess.

Truth be told, the race is more of a spectacle than a competition, with no start or finish, but I’m sure it would be worth a watch.

©Simon Thackray and Tony Bartholomew

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