OTA–booked travellers top spending in all

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OTA–booked travellers top spending in all

Tourism July 20, 2018 01:00

By   THE NATION

TRAVELLERS who booked via an online travel agency (OTA) spent more per trip than non-OTA guests across all categories, regardless of whether they were travelling for business or leisure, making them a valuable segment of customers for hotels, according to a joint survey by online travel company Expedia Group in collaboration with Oxford Economics.

The study covered a per trip basis including transportation, retail, dining, and entertainment, and guests were segmented by those who booked part or all their journey using an OTA and non-OTA booking guests.

According to the survey shows that the aim of an OTA is to make travel bookings as frictionless for guests as possible. The research from Expedia Group and Oxford Economics revealed that guests who booked using OTAs are more profitable to hoteliers than non-OTA customers. The OTA guest brings greater or equal value to hoteliers and destination marketing than any other travel segment.

Over one-fifth (21 per cent) of surveyed travellers used an OTA in trip planning and booking, and according to the data, OTA bookers stay eight per cent longer and spent nearly 18 per cent more per trip than non-OTA bookers. Coined “OTA Premium” by Oxford Economics, this variance between OTA guest and non-OTA guest spending is evident across all categories, including food and beverage, retail, recreation, entertainment, and transportation.

The largest difference in spending is in the retail category, where the OTA premium is nearly 26 per cent, followed by transportation, recreation and entertainment, both upwards of 20 per cent.

“OTAs are a valuable contributor to the travel ecosystem, often bringing a larger traveler spend to every facet of a trip, regardless of trip purpose,” said Abhijit Pal, Head of Initiative and Ops for Expedia Group. “With more than one-fifth of travelers using an OTA to book all or part of their trip, the data shows the scale and importance of this traveler segment to hotel brands and owners, transportation companies, restaurants and other businesses in the destination.”

The OTA premium is partly attributable to the typically longer length of stay for OTA bookers and does not have any correlation to travel party size. The Oxford research reveals that OTA bookers generally are slightly younger than non-OTA bookers, with a higher concentration in the 25 to 54 age group , by nearly 10 percentage points, and no notable variant from household income.

Although the focus of this study was specifically based on American travellers who reported staying at a hotel in the US, the insights are still beneficial for hoteliers in Thailand as the US is the number one feeder market for Thailand based on Expedia Group data in the past 12 months ending Q1 2018.

“It’s encouraging to see that OTAs are the primary source for travel planning and booking among the US travellers. As the world’s leading online travel company, we’re here to support our hotel partners to tailor their offerings and help them acquire more valuable American travelers to stay in their properties,” Pimpawee Nopakitgumjorn, Director of Market Management at Expedia Group concluded.

Thailand not seen as safe tourist destination until it fixes problems: Weerasak

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File photo
File photo

Thailand not seen as safe tourist destination until it fixes problems: Weerasak

Tourism July 18, 2018 01:00

By JINTANA PANYAARVUDH
THE NATION

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TOURISM and Sport Minister Weerasak Kowsurat yesterday urged agencies to sort out a series of problems before they can send a convincing message to the world that Thailand is still a safe destination for tourists.

Weerasak was responding to the Phoenix boat accident that killed 47 Chinese tourists earlier this month off the southern resort island of Phuket.

There are many issues that authorities should review and rectify to help improve tourists’ confidence in Thailand as a safe destination, Weerasak told The Nation in an interview.

He said authorities should complete the first phase of the process by paying all compensation that is due to the relatives of victims and return them to their country.

Authorities should then try to figure out what happened to the boats by retrieving the wreckage for inspection. Concerned agencies should collect statistics nationwide about boat accidents and study international standards for tour boats that can be compared to Thailand.

He also urged authorities to explain that the cause of the accident was not related to so-called zero-dollar tours or nominee ownership in tourism.

“[People] should not generalise. We should be sympathetic to those who lost their loved ones. Money cannot bring them back,” he said.

He also urged authorities to speed up the completion of a safety standards manual to improve confidence.

“If we can manage all the issues we then can send a single, convincing message to the world, the Chinese, and local people and ask them to have confidence in us,” he said.

The number of Chinese tourist visitors to Phuket has dropped sharply in the wake of the tragedy.

SAVVY THAI TRAVELLERS

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http://www.nationmultimedia.com/detail/Tourism/30350267

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SAVVY THAI TRAVELLERS

Tourism July 18, 2018 01:00

By The Nation

More and more Thai travellers are becoming tech savvy when it comes to finding local hot spots and hidden gems while on vacation.

The key to becoming a so-called Limitless Traveller is getting the most from every travel opportunity and not being afraid to push the boundaries when it comes to travelling. It is also important to plan and usee technology to fuel spontaneity during trips, according to research from Booking.com.

With social media and travel technology at our fingertips, it’s easier than ever to plan a trip away. According to the survey has conducted research across 20,500 global travelers to reveal that 75 per cent of Thai travellers frequently use technology to enable limitless travel and 77 per cent use it for navigating while in an unfamiliar destination.

Centara launches cashless Chinese payments

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Centara launches cashless Chinese payments

Tourism July 13, 2018 18:10

By The Nation

Centara Hotels and Resorts, the Thai hotel operator, has announced that it is now accepting WeChat Pay transactions on its websites for online room reservations.

This is in addition to the 15 hotels that already deploy nearly 100 devices for QR code scanning on WeChat Pay. It says it is the largest hotel group in Thailand offering Chinese tourists omnichannel payment solutions.

Bills for accommodation, restaurants and spa treatments can be paid directly from smartphones.

The company expects to have WeChat Pay at all its sites globally by the end of 2018.

Thirayuth Chirathivat, Centara chief executive officer, said: “A seamless payment experience for consumers using any channel is an element of our platform for expansion, which should see us double both revenue and the number of our properties over the next five years.

“As consumer behaviour evolves, Centara has adopted an omnichannel strategy to stay relevant and to provide a great customer experience. We embrace these types of disruptive opportunities to better serve our guests and stay on top of the industry.”

Chinese tourists account for almost one-third of all foreign visitors. Thailand is welcoming an ever-increasing number of Chinese visitors, for whom the kingdom remains the top travel destination. This year, the Ministry of Tourism and Sports expects more than 10 million Chinese tourists to travel to Thailand.

WeChat Pay is the payment solution of WeChat, one of the largest social networks in China, and the main cashless payment method for small transactions with more than 800 million active users in its database.

“The number of Chinese tourists booking with Centara keeps growing. They are a significant customer base for all businesses in Thailand. Centara’s Chinese website receives hundreds of thousands of visits with almost half from mobile devices,” Thirayuth said.

BRI scheme a boon for airlines, China Eastern executive says

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Dong Bo, China Eastern Airlines’ chief marketing officer, second from right, speaks to a group of international journalist during a visit to the airline headquarters in Shanghai recently.
Dong Bo, China Eastern Airlines’ chief marketing officer, second from right, speaks to a group of international journalist during a visit to the airline headquarters in Shanghai recently.

BRI scheme a boon for airlines, China Eastern executive says

Tourism July 12, 2018 01:00

By JINTANA PANYAARVUDH
THE NATION
SHANGHAI

6,765 Viewed

CHINA’S Belt and Road Initiative (BRI) has benefited the aviation industry as it is helping to boost the number of international travellers, said an executive of China Eastern Airlines, one of the three major state-owned air transport groups in the country.

“We have found that more Chinese people are interested in travelling to countries along the Belt and Road, so it brings a dose of good news to every industry, including us [aviation industry],” Dong Bo, China Eastern’s chief marketing officer, told The Nation during a recent visit to the airline’s headquarters in Shanghai.

Dong said that the BRI initiative will spur facilitating construction, more trade and investment flows, and more contact between the people of the countries along the Belt and Road.

Chinese President Xi Jinping in late 2013 proposed the development strategy, which focuses on connectivity and cooperation between the countries of the Eurasian land mass and beyond with China, linked by the land-based Silk Road Economic Belt and the ocean-going Maritime Silk Road.

The BRI includes a number of hugely ambitious projects, including China’s aim to build a 3,000km high-speed line from Kunming, in Yunnan province, all the way down to Singapore, passing through Laos, Thailand and Malaysia.

“China Eastern has been building the Aviatic Silk Road,” Dong said.

In line with the initiative, the airline had by the end of last year opened 131 routes to 45 cities in 21 countries along the Belt and Road, with 38,000 flights a year, according to Dong.

The transport capacity input last year increased by 13 per cent year on year and by 33 per cent compared to 2015.

Dong said the statistics for this year also showed that the number of international passengers is rising at a faster pace.

“Dong Dong”, a robot of China Eastern Airlines greets visitors at its headquarters in Shanghai.

Shanghai-based China Eastern serves more international destinations than any of its Chinese rivals. With the network enabled by the carrier’s membership of the SkyTeam Airline Alliance, its passengers can reach 1,074 destinations in 177 countries, including all those along the Belt and Road.

Thailand is China Eastern’s biggest market in Southeast Asia and the most popular destination for Chinese tourists, Dong added.

China is the biggest source of tourists to Thialnd, with 9.8 million visiting the Kingdom last year, marking a 12 per cent increase from 2016. Last year, Chinese accounted for 30 per cent of the total 35.8 million tourist arrivals.

The airline operates daily flights from Shanghai and Beijing to Bangkok, Chiang Mai, Chiang Rai, Phuket and Krabi. It also flies from Kunming to Bangkok.

As Thailand is pushing hard to lure foreign investment under the Eastern Economic Corridor (EEC) development scheme, Dong said his airline will have an opportunity to provide services to U-Tapao airport in Rayong province – a facility destined for a massive upgrade under the EEC plans.

However, Dong said China Eastern is very cautious on investment in overseas airports, as the airline is focused more on Chinese airports, especially a new facility in Beijing.

“We are sparing no effort to build a new airport hub in Beijing,” he said.

The as-yet unnamed airport, 46 kilometres south of central Beijing, is designed to take pressure off the overcrowded Beijing Capital International Airport, the world’s second busiest airport, in the northeastern suburbs.

China Eastern and Guangzhou-based China Southern will invest 13.2 billion yuan and 14.8 billion yuan, respectively, in the new airport in an effort to enhance their positions in the Beijing market.

In 2016, the Civil Aviation Administration of China announced that the two carriers, along with other SkyTeam members, will move to the capital’s new airport in Daxing district.

Beijing-based Air China and other Star Alliance member carriers are expected to remain at Beijing Capital Airport, which has a shortage of aircraft slots.

When the airport is completed in September 2019, China Eastern will be stationed in the new facility as the No 1 airline there, Dong said.

It plans to put 150 to 200 large and medium-sized passenger aircraft into use at the new airport and opens flights to the United States, Europe, Oceania, Southeast Asia, Japan, South Korea, Hong Kong, Macau and Taiwan, carrying 40 million passengers per year.

These flights will mesh with the existing vast network of China Eastern to form a new one with Beijing and Shanghai as the two major hubs, from which passengers can fly anywhere in the world, Dong said.

Under the overall plan, the company aims to operate a fleet of over 820 aircraft and to achieve its strategic mission in a preliminary sense by 2020, he said.

Boat tragedy ‘unlikely to hamper tourism’

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  • Chinese tourists continue to visit Phuket and take boat tour trips Sunday.

Boat tragedy ‘unlikely to hamper tourism’

Tourism July 09, 2018 11:38

By The Nation

The tour boat catastrophe in Phuket was unlikely to harm the Thai tourism industry, but the government must respond to it decisively, the chief economist at Siam Commercial Bank said on Monday.

In the short run, Yunyong Thaicharoen said, the government has to investigate the cause of the accident in which a dive boat sank in rough seas, leaving 42 Chinese tourists dead and another 14 missing.

The government must also rebuild confidence among tourists, demonstrating that lessons were learned from this tragedy and steps taken to prevent a recurrence, he suggested.

No pre-booked tours have been cancelled since the accident, but it is now low tourist season, Yunyong noted.

He said Thailand would likely welcome 38.2 million foreign visitors this year, up 8 per cent over 2017.

Tourism grew by 13 per cent in the first five months of this year and 27 per cent among Chinese travellers.

Airbnb, Interior Ministry team up for tourism push

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Airbnb, Interior Ministry team up for tourism push

Tourism July 06, 2018 12:32

By The Nation

Airbnb and the Interior Ministry’s Department of Local Administration (DLA) have announced an “Empowering Local Tourism Entrepreneurs” partnership, Airbnb’s first official partnership with a government agency in Thailand.

Airbnb and the DLA will train provincial officials in hospitality, hosting and compliance standards, and existing Airbnb homestays.

DLA director-general Suttipong Juljarern and Airbnb executive Mike Orgill announced the partnership at a Chulalongkorn University Alumni Association meeting on Tuesday.

Airbnb and the DLA have agreed to train officials in using Airbnb to distribute tourism income to communities and raise the quality of homestays and to show interested people how they can create and manage their own listings on the platform.

They plan to build a community of hosts in each province who can support and learn from each other.

The launch was followed by an initial joint training workshop conducted by three Airbnb “superhosts” and community leaders, and guest speakers from the Department of Provincial Administration and Immigration Bureau.

Thais to become top spender in foreign travel

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Thais to become top spender in foreign travel

Tourism July 06, 2018 01:00

By   WICHIT CHAITRONG
THE NATION

SPENDING per trip aboard by Thais travellers is on the rise, bucking the global downtrend.

Thais travellers make frequent trips abroad and spending per trip is on the rise, Suripong Tantiyanon, country manager at Visa Thailand, said yesterday.

According to the Visa Global Travel Intentions Study , people around the globe are travelling more but trips are getting shorter.

Thais are expected to leapfrog ahead of other nationalities in the number of vacation trips they take each year – with 3.9 trips planned in 2019. In the Asia-Pacific region as a whole, the average is 2.8 trips, and globally 2.7 trips.

But Thais tend to be away for an average of five nights, compared to the global average of eight nights, down from 10 nights in 2013, Suripong said.

The median spending per trip by a thai traveller was $1,304, 1,221 and 1,501 in 2013, 2015 and 2017 respectively. The amount may be smaller when compared with the global median of $2,390, 1,932 and 1,793 respectively, however, the trend of spending climbing , reversing the global trend of lower spending, he said.

Thai travellers’ spending via Visa cards increased by about 10 per cent annually in recent years, suggesting more Thais are taking vacation aboard, according to Visa International.

According to the Tourism Authority of Thailand, the number of Thais travelling overseas were 8.79 million last year, up 7.23 per cent and they spent a combined worth Bt276 billion.

When asking about the future spending, Thais said they will spend $2,252 for the next trip compared with global median of $2.443.

Top five destinations over the past two years for Thai travellers are Japan, Hong Kong, Singapore, South Korea and China.

Over the next two years, the top four destinations are likely to remain the same except for China, which is expected to be surpassed by Australia.

Thais and other nationalities have been using less cash with the emergence of new method of payments, such as QR code .

When planning their trips, travellers around the globe source information online with online sources of information rose to 83 per cent in 2017, up from 78 per cent in 2015. While offline sources of information dropped from 82 per cent to 47 per cent in the same period.

Among Thai travellers, online sources also dominated, presenting 85 per cent against offline source of 58 per cent.

When it comes to Internet connecting, 97 per cent of Thai travellers connected to the Internet when they were travelling aboard, compared with 88 per cent globally. Thais also preferred roaming phone service while most global travellers looked for free wi-fi, he added.

In 2017 travel and tourism accounts for 10.4 per cent of global GDP. In Thailand, it accounts for as much as 21.2 per cent of country GDP.

AirAsia inaugurates Penang-Phuket route

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AirAsia inaugurates Penang-Phuket route

Tourism July 02, 2018 16:34

By The Nation

AirAsia has marked another milestone as it celebrates its latest inaugural flight, from Penang in Malaysia to Phuket.

Operated by AirAsia with flight code AK, the flight landed at Phuket International Airport at 8.30pm on Sunday.

In conjunction with the occasion, AirAsia is offering celebratory promotional all-in-fares from Bt999 from Phuket to Penang, available for booking from today to July 8 for travel through January 31 next year.

Customers can visit airasia.com or use the AirAsia mobile app on iPhone or Android devices to enjoy the special fares, AirAsia Malaysia head of commercial Spencer Lee said.

The daily direct flights from Phuket are the eighth new route launched by the airline into Penang as a group.

AirAsia also connects travellers between Bangkok and Penang with 14-times-weekly direct flights.

Airbnb extends ‘Experiences’ programme across Thailand

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Airbnb extends ‘Experiences’ programme across Thailand

Breaking News June 27, 2018 12:37

By The Nation

Hospitality platform Airbnb has launched “Experiences” in Chiang Mai to support the city as an ever-popular global travel destination.

Airbnb welcomed more than 160,000 guests from 135 countries to Chiang Mai in 2017, with an average growth of 71 per cent year-over-year.

Airbnb Experiences give travellers unprecedented insider access through selected activities arranged by local experts.

From being immersed in the Hmong community to learning about the traditional yantra tattoo, Airbnb uses technology as a platform to connect people and create cross-cultural interaction.

“Travellers are increasingly interested in exploring authentic experiences through the eyes of locals,” said Parin Mehta, director of Experiences Asia Pacific.

“This is not just about foreign travellers, either. Domestic travel is also on the rise, with 60 per cent growth in domestic guest arrivals from the past year. Locals are finding new ways to rediscover and enjoy the magic and hospitality of what their country has to offer.”

Globally, Airbnb offers 13,000 Experiences in 180 cities. In Thailand, Chiang Mai is the second-largest market for Experiences after Bangkok.

Airbnb has expanded its platform across the country, where individuals or professional tour guides can now request to list on the platform and connect with the global network of more than 300 million Airbnb travellers.

“As tourism in Thailand continues to grow rapidly, it is increasingly important to promote sustainable travel,” said Worapong Phukpoo, head of research at Thailand’s Community Based Tourism Institute (CBT-I).

“We are heartened that Airbnb is empowering entrepreneurs and strengthening communities by providing a global platform for them to share their passions and businesses.”