SARAWAK Convention Bureau (SCB) and Borneo Convention Centre Kuching are looking to grow their business beyond Asia-Pacific, and have their sights trained on business events from the US and Europe.

To achieve this objective, both organisations will partner the Malaysia Convention & Exhibition Bureau in attending the upcoming IMEX America in Las Vegas this October.

SCB managing director, Mike Cannon, said: “International businesses provide export income, new education and research forums for the people in Sarawak, as well as new trade opportunities for the state. The bureau is also looking to work with the overseas offices of the Malaysia External Trade Development Corporation to attract more international business events.”

Cannon added that regional and local business events would still be the bureau’s “main focus”.

While debt woes in Europe and the US continue to cast long shadows, Cannon feels that markets in these catchment areas are on the mend, adding that “the idea is to target businesses with a long-term vision and those that can afford to travel longhaul.”

Although international direct flights to Sarawak are currently limited to Singapore and Pontianak in Indonesia, Cannon dismissed connectivity as an obstacle to Sarawak’s aim to lure business events from the US and Europe.

Instead, Cannon said he was confident of improved longhaul connections to Sarawak evolving from Routes Asia 2014, a prominent airline industry event which will be held in Kuching.

THE WEAK euro has boosted Europe-bound incentive movements from Malaysia by more than 30 per cent over the last two years for Kuoni Destination Management (KDM), with half the volume streaming into Central Europe cities such as Switzerland, France and Italy.

Speaking to TTGmice e-Weekly on the sidelines of a meeting with Malaysian outbound incentive agents in Kuala Lumpur on July 25, KDM general manager MICE South Asia, Reto Kaufmann, said repeat clients preferred Eastern European destinations such as the Czech Republic, Hungary, Poland and Russia.

Also contributing to the growth in Malaysian outbound incentives were KDM’s ability to negotiate for good rates from suppliers and specialisation in meeting Muslim travel requirements in Europe, said Kaufmann.

He added that the US and the UAE, especially Dubai and Abu Dhabi, were “doing well” with Malaysian incentive clients.

Malaysia is now among KDM’s top three outbound incentive markets in South-east Asia. Kaufmann noted that Malaysian organisers were spending 40-50 per cent of their budget on event related series at destinations.

To further stimulate growth, Kaufmann headed to the Malaysian capital to brief outbound incentive agents on how to be proficient in selling travel incentives to their clients, so that qualifiers would choose travel incentives over cash rewards.

WHILE almost one third of senior finance executives at some of the largest companies within Asia-Pacific expect to spend more on business travel this year, just five per cent anticipate spending at least 10 per cent more, according to the 2012 American Express/CFO Research Global Business and Spending Monitor.

Fifty-one per cent of senior finance executives polled in Singapore said they expect to spend the same or more on business travel over the next year compared to last year.

Dr Carl Jones, head of American Express Advisory Services for the Asia-Pacific region, explained that several factors were driving these trends, including continued economic instability in Europe, slowing growth rates in specific Asian markets, a slight uplift in the US economy, and tempered growth of airfares.

Even though demand for business travel within Asia remains strong, slowing growth rates and the introduction of low-cost carriers in some markets has increased domestic fares by just one per cent in the last quarter. Intra-Asia fares have performed similarly, and as supply responds to increasing demand for intra-Asia travel, fares have remained flat compared to the last quarter.

As a result, Asia-Pacific businesses are looking to maximise the sales opportunities provided by business travel, with 89 per cent of senior finance executives polled indicating their intention to spend more or the same on business travel in order to meet with current and prospective customers. Among Singapore finance executives, 94 per cent say the same.

“Companies in Asia-Pacific are still shying away from doing business in Europe, so airfares to this region continue to fall. As key markets in the region experience the slowing down of growth rates, domestic and intra-Asia airfares are likely to see moderate growth throughout 2012. As a result, companies are continuing to look at smarter ways to manage their travel investment,” said Jones.

“Companies are still aggressively managing travel policy, and this is being reflected in the overall demand that we see in the marketplace. Ongoing uncertainty with the sovereign debt crisis in Europe continues to erode confidence, and reduce airfare growth from the previous highs seen in Asia,” he added.

“High fuel prices will likely stay, and as travel continues to be a priority for Singaporean businesses, fares are likely to remain at these levels, albeit with a slower increase.”

MELBOURNE Convention + Visitors Bureau (MCVB) has completed a restructure of its Marketing and Communications department – which will now function as its new Commercial Partnerships unit, and will be helmed by Edwina San, formerly MCVB’s director International Incentives.

“In line with MCVB’s new strategic business plan and commitment to improving our stakeholder engagement, the organisation’s Marketing and Communications department has been restructured and will now operate under a new title; Commercial Partnerships,” said MCVB CEO, Karen Bolinger.

“The Commercial Partnerships department will be responsible for marketing, communications, strategic alliances, membership, the Melbourne Meetings + Events Service (MM+ES) and events, including the Asia-Pacific Incentives & Meetings Expo (AIME),” she added.

Jon Malpas, formerly MCVB’s senior manager Events & Marketing Services, will report to San in the position of associate director Partnerships and Events. Rebecca Elliott, MCVB’s communications manager, will assume marketing and communications responsibilities for the new department, and will also report to San.

San has been with MCVB for six years and founded the bureau’s International Incentive department. Her experience spans over 20 years in senior management positions in the hotel, travel, wellness and FMCG industries in Europe, the US and Asia. Prior to joining MCVB, San was vice president of sales & marketing Asia-Pacific for a US-based hotel chain.

Meanwhile, in MCVB’s Business Development & Convention Sales department, Julia Swanson has been promoted to general manager Business Development & Bidding. The unit will now also include a dedicated research team led by Danielle Ramirez as associate director Research.

THE SINGAPORE Association of Conventions and Exhibition Organisers and Suppliers (SACEOS) will be organising a MICE trade mission to three cities in India from August 23-27.

To be held with support from International Enterprise Singapore – the body that spearheads overseas growth of Singapore-based firms and promotes international trade – the mission will visit New Delhi, Mumbai and Bengaluru. Participants will get to present their products and services to MICE associations and corporate buyers in India through business meetings and networking functions.

SACEOS executive director, Elizabeth Chin, told TTGmice e-Weekly that the association had been looking for opportunities to organise a trade mission to India.

“We want the trade mission to be impactful for attendees, and decided that it would be a good idea to leverage on the upcoming IT&CM (Incentive Travel & Conventions, Meetings) India in New Delhi,” said Chin, adding that Singapore MICE companies taking part in the show may be interested in joining the trade mission to expand their reach into India.

SACEOS is planning to kick off the trade mission with an evening networking cocktail on August 23, the day that IT&CM India draws to a close.

Chin is aiming to secure participation from at least six Singapore-based MICE companies by the time registration for the trade mission closes on July 31.

THE LANDSCAPE Industry Association Singapore (LIAS), Singapore Institute of Landscape Architects, National Parks Board (Nparks) and Singex Group have come together to launch GreenUrbanScape Asia, a trade exhibition and conference event that will take place in Singapore from November 7-9, 2013.

Describing GreenUrbanScape Asia as a “real milestone for the local horticulture and landscape industry”, John Tan, LIAS chairman, told TTGmice e-Weekly that the biennial event would help position Singapore as a hub for international exchange in related technologies, knowledge and products.

“The opening of Gardens by the Bay and the success of the Singapore Garden Festival are among the reasons why we wanted to develop such a trade show”, said Tan, who believes that the new attraction in Marina Bay will entice industry experts to visit Singapore.

Meanwhile, LIAS and Npark’s Centre for Urban Greenery and Ecology (CUGE) debuted the two-day International Landscape Industry Association Summit on July 9. The summit featured keynotes by experts in the field, courses and site inspections. While 60 international delegates had registered for the summit, several walk-ins on the opening day pushed attendance beyond 80, said Tan.

Speaking at the summit’s opening, Teva Raj, Nparks director of industry & CUGE, noted that Singapore’s horticulture and landscape industry generated S$1.2 billion (US$946 million), or around 0.45 per cent of the country’s GDP in 2008. This figure is expected to grow by 4-6 per cent annually.

“It is important to leverage on Singapore’s image as a garden city to develop this industry,” he said.

NEW MICE facilities and a first-ever CVB are on the cards for Penang, which is hoping to evolve into an international MICE destination.

Penang state minister for Tourism Development & Culture, Danny Law, told TTGmice e-Weekly that the initiatives were “part of Penang’s strategy to become an international city”, and allow it to attract more domestic and international MICE business.

Upcoming MICE facilities in Penang include the Subterranean Penang International Convention & Exhibition Centre (sPICE), and a convention space within the future The Light Waterfront Penang development.

sPICE is being built on the site of the Penang International Sports Arena and Aquatic Centre in Relau. Expected to be ready by 2015, the venue will boast a 5,000-pax ballroom, while the twin sports facilities are also being spruced up to the tune of RM300 million (US$94 million). Meanwhile, construction of two new hotels – one within sPICE and the other close by – jointly offering more than 400 rooms, is scheduled to be completed by 2014.

According to Law, the convention facility at The Light Waterfront Penang, slated to open in 2017, would have the capacity to cater to 8,000 people.

Besides the new event spaces, Penang will also welcome a theme park in 2014 and a variety of new hotels. Several boutique properties currently being developed in the George Town heritage area and elsewhere are expected to add some 2,000 rooms to the city’s inventory of 14,000 rooms, said Law.

“With such (upcoming) facilities, we need to have a CVB to market Penang and to ensure that we can bring business to them,” he said, while declining to reveal further details about the formation of Penang’s first MICE bureau.

Meanwhile, Penang State Tourism intends to develop its Penang International Travel Mart (PITM), launched this year, into a regional event (TTG Asia e-Daily, July 6, 2012).

“From next year on, PITM will not only sell Penang to international buyers, but also products of South-east Asia,” said Law.

THE IMPENDING inauguration of Conrad Seoul on November 12 is expected to offer MICE organisers some relief from the room crunch in the South Korean capital.

The 434-room property, situated in the Yeouido Business District, will also add 12 meeting rooms and six banquet halls to the capital’s MICE product lineup.

Conrad Seoul will open just in time for the September/November high season, a period during which the travel trade has been experiencing elevated pressure for rooms – due to the closure of the five-star The Shilla Seoul for renovations on January 10. The Shilla Seoul is only expected to complete its revamp by July 31 next year.

Seoul-based US Travel CEO, Dooyoun Hwang, said: “There are enough meeting rooms and ballrooms in hotels (in Seoul), but where do you (house) the people? Many organisers insist on (accommodating) their group in the same hotel. Our biggest challenge is meeting their needs when groups consist of 200 people or more.”

Washington-based DC Affairs director, Esther Chandran, who has noticed growing demand for South Korea among US meeting planners, told TTGmice e-Weekly that Conrad Seoul’s opening would be timely, as there had not been a new luxury hotel brand in Seoul for “quite awhile”.

She added that Korean Air’s Washington-Seoul flights were helping to draw American meeting planners who had previously brought their events to South-east Asia, and who were now looking for new destinations.

THE MAJORITY of exhibition companies from across the globe have declared an increase in their turnover over the past three years, according to UFI’s latest Global Barometer survey of the exhibition industry.

However, most of the 221 respondents from 61 countries who participated in the study in June believe that the global economic crisis has not blown over. Results revealed that most respondents were still feeling the impact of the downturn.

The study noted: “the significant decrease of confidence outlined six months ago in Asia-Pacific is confirmed, with 71 per cent declaring that the impact of the economic crisis on their exhibition business is not over”.

Only 10 per cent of the respondents believe that the economic crisis will end this year, while 44 per cent believe it will end in 2013. In the last Global Barometer conducted in December 2011, 27 per cent of respondents believed that the downturn would end in 2012, and 46 per cent expected it to end in 2013.

Slower turnover growth is also being felt in Asia-Pacific. Sixty-three per cent of respondents in Asia-Pacific said their turnover had increased in the first half of 2012, as compared to the same period last year, while 80 per cent had reported the same for the first half of 2011 in an earlier study.

Seventy per cent of respondents expressed expectations of growth for the remaining half of 2012, compared to 82 per cent who had felt the same about the second half of 2011 in an earlier survey.

The state of the national and regional economy (24 per cent), global economic uncertainty (22 per cent), local and national competition (18 per cent), and internal management challenges (17 per cent) were deemed the four most important issues facing exhibition businesses over the coming year.

THE ANNUAL Incentive Travel & Conventions, Meetings Asia (IT&CMA) and Corporate Travel World (CTW) Asia-Pacific will celebrate a number of firsts when they take place this October in Bangkok.

The double-bill event will debut a luxury travel segment this year to cater to the growing demand for premium products among MICE and corporate travel buyers.

IT&CMA will also welcome its very first Middle Eastern offering through Dubai’s inaugural participation in the event’s exhibition segment.

As well, IT&CMA will be attended by buyers from Austria, Croatia, Czech Republic, Egypt, Finland, Israel, Lebanon, Mexico and Tanzania for the first time.

These new features join IT&CMA and CTW’s recent announcement of a closer partnership with the Global Business Travel Association (GBTA), which enables the event organiser, TTG Asia Media, and the association to work together in delivering quality training and seminars for corporate travel managers. (TTGmice e-Weekly, June 13, 2012)

IT&CMA will hold its 20^th edition this year, while CTW is entering its 15^th year.

Meanwhile, an invite-only preview reception for IT&CMA and CTW will be hosted tomorrow at the newly-opened Sofitel So Bangkok.