Langham Hospitality Group has brought back the No Strings Attached Plus offer that gives event planners and organisers more flexibility, as well as added rewards and privileges.
Highlights include spa credits; one round-trip airport transfer; one 30-minute cocktail reception for a meeting or event; waived cancellation terms; room upgrades; and no minimum spend on F&B.
The Langham Xintiandi’s Grand Ballroom
The offer may be booked from April 1 to August 31, 2018 for events taking place from April 1 to December 31, 2018 at all participating Langham and Cordis hotels.
Added benefits are also applicable to reward event planners and organisers. With a minimum spend of US$6,500, all takethelead members can also qualify for hotel rewards or miles from any of our selected frequent flyer/travel and lifestyle rewards programme partners.
The Hong Kong Tourism Board (HKTB) has closed 2017 on a good note, and a “strong line-up of events scheduled in 2018” is expected to keep the good vibes going for Hong Kong’s business events industry, said an HKTB spokesperson.
The spokesperson revealed that direct selling companies are one of the biggest drivers of business events into the destination, with Hong Kong welcoming its first Unicity Global Leadership and Innovation Conference this year. As well, scheduled to sweep onto Hong Kong’s shores is Nu Skin Greater China Convention 2018. Both events will bring about 35,000 overseas delegates to Hong Kong.
Medical events are going strong too, with at least 10 such gatherings won for 2018, eight of which are new to either Hong Kong or Asia.
China is expected to top the source markets chart for 2018, based on its strong performance in 2017.
“Overnight MICE arrivals from China grew 7.6 per cent year-on-year in the first three quarters of 2017,” said the HKTB spokesperson, who added that the Chinese made up half of Hong Kong’s overall business events arrivals for 2017.
Business positivity extends to the supplier side.
The Park Lane Hong Kong, a Pullman Hotel expects significant growth in 2017 to flow into 2018. Stella Gillera, vice president, sales and marketing, sees bright spots in meetings and incentives, particularly from longhaul markets. However, regional source markets and Hong Kong will continue to dominate the supply of business event leads.
Gunther Homerlein, general manager of Destination China, believes that growth will be driven mainly by pharmaceutical companies.
However, he expects business to be harder to come by unless venues and hotels “become more reasonable and realistic” in their pricing.
He said: “Our hotels, restaurants and venues…do not realise that we have much more competition in the region (where destinations are priced) more reasonably. Even Shangri-La Hotel in Paris offers a better priced lunch than a middle-of-the-road restaurant in Hong Kong.” – Prudence Lui
Tokyo Tower, Japan
Japan’s MICE arrivals are climbing in tandem with the booming leisure sector, with the total of 26.2 million visitors in the first 11 months of 2017 likely to be surpassed in the new year.
“We anticipate that conventions will be our strongest sector in 2018 as university research institutes and the national government are strengthening support programmes for congress organisers,” said Etsuko Kawasaki, executive director of the Japan Convention Bureau.
“Local authorities are also putting into action plans to upgrade existing facilities and construct new convention spaces before 2020, including in Yokohama, Okinawa and Kumamoto,” she added. “That is helping to create an environment in which it is possible to cater to large-scale business events.”
Science, technology and the medical sciences will remain the major drivers in 2018, while there are also expectations that robotics and artificial intelligence will become increasingly important.
Hiromi Murayama, head, sales promotion division of Pacifico Yokohama convention centre, is focused on “attracting conventions and meetings from European markets due to the high concentration of associations’ headquarters there”.
Jared Stenhouse, managing director of Destination Asia Japan office, projects a strong incentive segment in 2018, “as buyers look forward to the Rugby World Cup in 2019 and the Tokyo Olympic Games the following year”.
“Surprisingly, we are seeing a rise in business from Latin America – Brazil, Argentina and Mexico, in particular, thanks to the recent addition of direct flights between Mexico City and Japan,” he said.
“For us, maybe Europe has peaked but we are seeing strong demand in the automotive and retail sectors from other parts of the world,” he added. – Julian Ryall
St Paul’s Ruin, Macao
Macau’s continued tourism development and intense destination promotions worldwide are expected to extend 2017’s growth in business events into 2018, according to Macao Trade and Investment Promotion Institute (IPIM).
Notable events coming to town include the 4th World Cashew Convention and the 47th Skal Asia Congress.
An IPIM spokesperson revealed that corporate meetings made up the strongest segment in 3Q2017 (56.2 per cent of all business events in Macau). Association meetings (28 per cent) and government meetings, incentives and exhibitions (15.8 per cent) followed next.
Asia is the strongest of all source markets, said the spokesman. “The region remains economically stable and the MICE industry continues to be buoyant.”
MCI Macau, director of business development and events, Olinto Oliveira, is excited about 2018. He said: “2017 was a bounce back from a forgettable 2016, and I think 2018 continues that trend (especially due to) more event spaces opening up (to cater to large gatherings).”
Oliveira expects continued growth in exhibitions but weaker revenue generation from smaller meetings and incentives. And for the new year, he is keeping an eye on South Korea, as the market “came through at a higher clip than traditionally”.
Sands Resorts Macao, senior vice president of marketing and brand management, Ruth Boston, is also confident of healthy business in 2018. “We believe this growth will be driven by a number of factors including the increased (accessibility of) Macau and the continued expansion of Macau’s hotel room inventory. We will see growth in incentives and meetings. In addition to the US, China has a lot of room for growth in both conferences and incentives,” she said. – Prudence Lui
John Blanco has been appointed general manager of the 101-room Capella Bangkok, which is expected to open in 4Q2018 along the rejuvenated Chao Phraya River waterfront promenade. The hospitality veteran has 25 years of experience, and possesses a stellar track record with luxury hospitality companies such as Ritz-Carlton and Four Seasons.
Event brief
Apart from China National Convention Center’s (CNCC) meeting rooms being used to stage the Belt and Road International Cooperation Forum’s opening ceremony, high-level plenary session, six thematic sessions and bilateral meetings on May 14 last year, the venue’s catering division was tasked to feed about 10,630 delegates, forum staff and the media.
China National Convention Center
CNCC served a total of 33,900 meals for breakfast, lunch and dinner and provided 14,600 refreshments in the media centre.
Challenges
Compared to other international events at CNCC, the Belt and Road International Cooperation Forum was a higher-level international event, which required much higher standards of service.
While access to the venue, security and forum logistics were handled by the organisers for the many high-profile Chinese and international delegates, including 29 heads of state and governments and their delegations, CNCC’s F&B and service capabilities were put to the test as it had to feed up to 20,000 people at peak mealtimes and showcase its creativity in representing “Belt” and “Road” dining highlights.
CNCC was also responsible for the press centre and had to provide 44 hours of continuous service. The 10,000m2 press centre – with 15 functional areas, such as a press release area, a studio area, a dining area and 538 workstations – had to be equipped with a free, comprehensive wireless network. On the opening day, CNCC had to cater for 4,495 registered Chinese and foreign media reporters.
Solution
CNCC’s F&B team began planning for and testing the intense pace of the event’s catering delivery as well as research on food to be served six months before the event, according to Wei Mingqian, executive general manager.
From the selection of ingredients to staff training and table setting designs, the F&B team worked towards providing outstanding dining experiences to all the delegates.
CNCC brought in the local customs and culture of countries along the Belt and Road route and created 40 groups of food decorations made of dough, sugar, fruit and vegetable carving and nearly 1,000 distinctive icons like the Great Wall, desert scenes and seascapes, as well as hundreds of flowers in bloom and great inventions.
To ensure smooth F&B delivery, CNCC designed a number of delegate diversion and dining routes, with volunteers guiding participants and maintaining order during peak times.
Those attending the opening ceremony had to be admitted early to be seated before the 09.00 start and for those who had no time for breakfast, CNCC prepared five coffee break areas, starting from the main entrance and on every floor, for delegates to help themselves. With so many international delegates with different tastes and dining customs, CNCC’s F&B team created fancy food displayed with names like Bloom and Prosper for fruit and dim sum selections, rose-flavoured cakes, assorted mini-naan bites, vegetarian rolls and a wide variety of snacks.
To avoid any food allergy attack, all items were labelled in Chinese and English with the ingredients listed.
Apart from serving the international press core at regular mealtimes, CNCC volunteers provided 24/7-service to the journalists who had to meet deadlines round the clock.
Key takeaways
For CNCC, hosting the event provided a great opportunity to set goals and measure its capabilities as a capital venue provider. Hosting the forum has given CNCC a strong template of how it can replicate and deliver high quality, large-scale state affairs.
Event Belt and Road International Cooperation Forum
Organiser Ministry of Foreign Affairs of the People’s Republic of China and the National Development and Reform Commission
Venue China National Convention Center
Date May 14-15, 2017
Number of participants Around 1,500 participants from more than 130 countries representing some 70 international organisations
Malaysia Convention & Exhibition Bureau (MyCEB) has a healthy forecast for business events in 2018 and forward.
Its CEO, Zulkefli Sharif, said: “Most exhibitors will only consider bringing their exhibitions to countries with a strong economy and strong government support, thus Malaysia is very attractive in 2018 and beyond.”
The opening of Malaysia International Trade and Exhibition Centre (MITEC) – the country’s largest exhibition centre with over 45,000m2 of gross exhibition space – is also expected to boost growth in the exhibitions segment.
Also in Malaysia’s favour is her hosting of UFI Asia-Pacific Conference 2018 in March, which will bring in exhibition organisers from around the world.
Gunther Beissel, MITEC CEO, revealed a 1H2018 event calendar that is packed with large-scale trade fairs, such as MITA Travel Fair 2018 with 10,000 attendees; Malaysia International Furniture Fair with 15,000 attendees; Malaysia International Halal Fair and Defence Services Asia Exhibition and Conference with 20,000 attendees each.
It will be a good year for Kuala Lumpur Convention Centre too, with 30 high-profile events on its 2018 calendar. These events will attract close to 440,000 footfalls to the centre, according to general manager, Alan Pryor.
New air routes between India and Malaysia and the introduction of friendly visa policies for Indian passport holders will further spur the growth of business events from India to Malaysia, opined inbound agents.
Tourland Travel’s managing director, A Aruldas, revealed that events from India grew 15 per cent in 2017. He has projected further growth in 2018 due to improved air connectivity.
He added that AirAsia’s Kolkata-Johor flights which commenced in November 2017 had made Johor state a new destination for incentives.
Arokia Das, senior manager at Luxury Tours Malaysia, is anticipating new demand from Jaipur, India once AirAsia X kicks off its Kuala Lumpur-Jaipur services in February. – S Puvaneswary
Vietnam rice terrace
Vietnam is hoping to keep the momentum rolling for business events after showcasing the country’s offerings during its hosting of APEC 2017.
Pham Ha, CEO of Luxury Travel Vietnam, said Asia is expected to drive the sector in 2018 – most notably Thailand, Hong Kong, Singapore and the domestic market, with Central Vietnam – especially Nha Trang and Danang, which hosted APEC last year – predicted to shine.
Jeff Redl, managing director of Diethelm Travel Vietnam, said 2018 already looks “promising”, with up to 700 pax confirmed for the first four months of 2018. He said: “With APEC organised in Danang and large interest from international investors, Vietnam has recently become a place to organise company meetings or conferences.”
Jose Gregorio Manzo, general manager of Asian Trails Vietnam, said 2018 has brought with it an increase in demand from longhaul markets, including South Africa, Spain, Eastern Europe and Latin America.
Industry players expect pharmaceutical, automobile and financial industries to drive Vietnam’s meeting and events sector, while incentives and conferences will go for the country’s developing coastline and Phu Quoc island, where quality facilities continue to open their doors.
However, Kai Speth, The Reverie Saigon’s general manager, expects no major hike in business events for 2018. – Marissa Carruthers
Phuttha Utthayan Wat Pa Dong Rain, Thailand
Recognising business events as a critical contributor to Thailand’s economy, the Thailand Convention & Exhibition Bureau (TCEB) has set a 2018 target of 1,340,231 international business event visitors and an economic value of 109.8 billion baht (US$3.4 billion).
To achieve its goals, TCEB has launched a new marketing campaign for every business event segment, each with different levels of support. Organisers of meetings and incentives should watch out for the Meet by Design campaign; for convention organisers, look for the Convene in Paradise campaign; and exhibition organisers, the Thailand Extra Exhibition.
TCEB’s president Chiruit Isarangkun Na Ayuthaya pointed out that the bureau has also aligned its efforts with the national government’s new Thailand 4.0 economic policy, which is aimed at transforming the country into a high-income, value-based economy.
Under Thailand 4.0 are several major projects that will elevate Thailand’s competitiveness in the global business events arena. These include the improvement of air-sea-land connectivity to the Eastern Economic Corridor and new developments for U-Tapao International Airport and Suvarnabhumi Airport; establishment of an incentive programme to attract international organisations and corporations to open offices in Thailand; tax reduction for meetings expenses; and removal of work permits for speakers and international business events operators.
“We are also discussing (the possibility of a new MICE Visa,” revealed Chiruit.
Besides the five appointed MICE Cities (Bangkok, Chiang Mai, Phuket, Pattaya and Khon Kaen), TCEB will now also develop and market a selection of second-tier cities, such as Chiang Rai, Korat, Udon Thani, Phitsanulok and Songkhla.
In terms of source markets performance for 2018, Chiruit expects Asia to continue to lead, followed by Europe, America and Oceania.
For David Barrett, chief executive of events specialist PIGS Co, 2018 is set to be a “bumper year for Thailand’s MICE”, as his company kicked off the new year “with a very promising start, which is representative across the industry here”.
“Enquiries for meetings and incentive trips are steadily coming in as Thailand’s reputation remains strong,” he said. “South-east Asia remains a major feeder market for us, with longhaul markets, the UK, Europe, the US and South Africa, showing increased interest in staging their events in Thailand.”
He attributed the healthy business pipeline to Thailand’s stable economy and political scene as well as “the great work of TCEB”. – Karen Yue
Pura Ulun Danu Bratan, Hindu temple, Indonesia
Indonesia’s hosting of the IMF-World Bank Annual Meeting 2018 in Nusa Dua Bali from October 12 to 15 is expected to bring with it global media coverage and intense interest among business event planners for years to come.
The meeting is expected to have 15,000 to 18,000 international delegates in attendance.
Susilowani Daud, president director of PACTO Convex, the appointed PCO of the meeting, said: “Based on our experience with the United Nation’s Climate Change Conference in 2007 (of which PACTO Convex was the PCO too), a major world conference like this will have a huge, positive impact on Indonesia’s business events industry.”
Maria Lexantia Cindy, MICE manager of Sofitel Bali Nusa Dua Beach Resort, said the meeting “is a good chance to show that Bali is now even more ready to host conferences of various sizes”.
She pointed out that “many developments have taken place in Bali since the Climate Change Conference”.
In Nusa Dua alone, for example, there are now two convention centres instead of one. As well, many new hotels of various star-ratings have sprung up in the last decade.
Ketut Jaman, managing director of Melali MICE, said: “If all goes well and Mount Agung (volcano) continues to be calm, many more corporate and government meetings will come this year compared to the last.”
He added that news surround the IMF-World Bank Annual Meeting 2018 have “created enthusiasm among different industries (and encouraging them) to come and hold their conferences here”.
In April his agency will bring in a 1,000-pax John Hopkins University worldwide conference.
Furthermore, the Indonesian government has pledged to hold its meetings in Bali to contribute to tourism recovery in the aftermath of Mount Agung’s eruption and disruption to inbound traffic.
Another expected boost for Indonesia’s business events industry is the inaugural DestinASEAN Plus travel mart, an event that will bring overseas business event buyers into the country. – Mimi Hudoyo
El Nido, Philippines
The Philippine business events sector bats for a better year in 2018 with the launch of its first-ever roadmap to chart a double-digit growth yearly and the commissioning of a study to develop a strategy for each business event segment.
While details of the two are not yet available as of press time, the business events sector is off to a good start with several confirmed international events to be held in the Philippines this year.
Teresita Landan, MICE manager of the Tourism Promotions Board, said an estimated 3,000 pax will grace the Asian Development Bank’s board of governors meeting in Manila in May while 600 will attend the joint conference of the Asia Oceania Geoscience Society and European Geoscientists Union in Tagaytay in February.
Landan added that the Asia Pacific Association for the Study of Liver is confirmed to hold its annual meeting in the country in 2019.
Carla Mariano, MICE and group manager at Blue Horizons Travel and Tours, is hopeful that 2018 will surpass the performance last year “with proper MICE promotions, new products and new attractions” planned for this year.
Mariano said requests are still coming in for 2018 and that in February or March, she might get requests for August and September.
Incentive trips remain the strongest performing event segment, followed by conferences.
Foreign events are starting to return after being hounded in 2017 by travel advisories and the war in Marawi in Mindanao that ended several months ago, indicating that peace and security issues are becoming less of a concern, said Jojo Clemente, president, Rajah Tours.
Matt Poonin, manager, Travelite Travel and Tours Manila, said a dampener is that the Philippines in general is more expensive than other South-east Asian destinations. For example, US$100 will fetch a four/five-star room in Danang but a lower category hotel in Cebu. – Rosa Ocampo
Singapore Merlion
To raise Singapore’s profile as a prime business events destination, the Singapore Tourism Board (STB) is doubling up on alliances with international partners.
For example, STB, which oversees the Singapore Exhibition & Convention Bureau, has partnered with Maritz Global Events to create a product that appeals to meeting planners in the region. It will do so through Maritz Global Events’ proprietary Experience Design Labs technology and other methods.
STB’s efforts are already beginning to bear fruit. For example, Sands Expo and Convention Centre hosted a record number of 50 association meetings in 2017, of which five association meetings were major new-to-Singapore events, shared Mike Lee, vice president, sales, Marina Bay Sands.
He said: “As competition heats up globally and regionally, Singapore needs to constantly innovate our product offerings… Going beyond the basics of providing meeting rooms and accommodation, there is a need to ‘wow’ potential clients with experiences that they will not get anywhere else in the world.”
At the turn of the new year, longhaul markets are expected to open up for Singapore’s business events suppliers. For a start, STB has extended the In Singapore Incentives & Rewards Programme for Europe and North America to December 31, 2018, and added “more generous air ticket offers and engaging experiences”, revealed Jeannie Lim, executive director, conventions, meetings & incentive travel with the tourism board.
Eric Cheung, manager – business development, MCI Group Asia Pacific, Singapore, told TTGmice: “Swinging in strong is the Russian market. They have high spending power and even though Russians prefer to speak in their native language, Singapore is a safe country to visit and explore. There’s always something new to discover here.” – Pamela Chow
Something delicious is cooking at Pacific World – a new partnership with NOSHtrekker, a cultural food experience company that connects cultures and people through local cuisine and storytelling.
Founded in 2015 and currently available in Singapore and New South Wales, Australia, NOSHtrekker creates unique and authentic food memories in the homes of locals called NOSH Hosts. The homes are destinations in themselves, offering an intimate look into the local culture through delicious home-cooked food and engaging storytelling.
Together, Pacific World and NOSHtrekker will develop unique itineraries for events and incentives that focus on four areas of interest: heritage, arts, culture and wellness. Participants will immerse themselves in topics like culture, architecture, or sustainability, meet locals with interesting stories to tell and taste food that helps to tell the story.
“Pacific World and NOSHtrekker share a common vision to give people a fresh perspective of a destination, one that creates emotional and long-lasting connections through meaningful moments,” said Selina Chavry, global managing director at Pacific World.
“Our partnership with NOSHtrekker creates a wholly unique product for incentives and events to discover a place through the eyes and tastes of locals.”
Tahnya Butterfield, co-founder and chief experience designer at NOSHtrekker, added: “We are changing the way people travel by creating memories based on connecting cultures through delicious, authentic food prepared and served by locals with a story to tell.
Our curated food experiences are rich in quality and culture, and offer an intimate look into the lives of the people who make a country.”
Noor: creating content that would resonate with youth
The growing presence of millennials in the meetings industry has prompted ICCA to create special programmes that will appeal to this segment of attendees who come with unique event preferences.
In an interview with TTGmice at the ongoing IT&CM China Noor Ahmad Hamid, regional director (Asia Pacific) of ICCA, described the millennial attendee: “They do not like lengthy sessions and one-way communication. They want content to be delivered in a more interactive and creative manner. They want to be more involved and engaged (in the creation and execution of a programme).”
Noor: creating content that would resonate with youth
Noor remarked that understanding these preferences are “important because we have to provide content that is also appealing to the younger generation”.
To capture the younger audience, ICCA has started to include sessions built for millennials during its annual ICCA Congress.
“At our congress in Prague last year, we ran a session for the millennials, and as part of it we got them to come up with things they wanted to see at their session in the future. This gives them a chance to design their event. Their ideas will be incorporated into the ICCA Congress this year in Dubai.”
But ICCA isn’t new to catering meeting content to the industry’s future leaders. It has been organising the Forum for Young Professionals in Barcelona for a decade and the International Meetings Seminar for six years.
“The Forum for Young Professionals features (the usual things, such as having) speakers and panelists who address hot topics in the business. But what’s unique is the numerous workshops and round-table discussions that encourage participation. This format works well for millennials,” he said.
When asked if these preferences are unique to the millennials, Noor said “content has to be dynamic for all ages”.
He also reckons that preferences are similar across millennials from around the world.
“Asian millennials would want content that is meaty, interactive and inspiring as much as their peers in the West. However, we have noticed that Asian participants tended to be a little less interactive.
“This is rapidly changing though. At our International Meetings Seminar in Melbourne last month, which drew participation from Australians and Asians, we had a very engaged audience,” Noor shared.
Noor pointed out that changes to ICCA event formats will not alienate delegates of other age groups.
“While 70 per cent of our events team is made up of millennials, we have an advisory group that comprises both very experienced industry players and millennials. This structure allows our content to satisfy participants of all ages,” he remarked.
Wong: major events returning to Hong Kong a sign of the city's business events capabilities
Despite strong competition from other Asian destinations, Hong Kong has managed to both attract and retain some mega events thanks to its extensive event facilities, and new offers through its Hong Kong Rewards! support programme.
The line-up for this year includes the first-ever Unicity Global Leadership and Innovation Conference 2018 (10,000 pax), Nu Skin Greater China Regional Convention 2018 in June (20,000 pax), 2018 NHT Global Ambassador Academy (6,000 pax), and the 20th Jeunesse Global University (11,600 pax). In total, these mega-sized events will welcome over 45,000 delegates to Hong Kong.
Wong: major events returning to Hong Kong a sign of the city’s business events capabilities
Hong Kong Tourism Board’s general manager, MICE and cruise division, Kenneth Wong, told TTGmice: “Both Nu Skin and Jeunesse rotate their events but we managed to retain them this year. We are able to do so because of excellent venues here in Hong Kong, like AsiaWorld-Expo.
“Moreover, we don’t just provide funding support but also work very closely with (the event organiser), such as by offering brand visibility and local experiences such as (tours in) Old Town Central.”
In addition, new offers – such as a complimentary combo meal from Ocean Park Hong Kong and hotel cocktail reception in one of Hong Kong Disneyland’s three hotels – have been added to the 2018/2019 Hong Kong Rewards! programme.
Market-specific perks are also offered. For instance, Thai groups can enjoy the Good Fortune Hong Kong perk which dishes out free fengshui tips and lucky charms to event delegates.
Event organisers also enjoy support from Meetings and Exhibitions Hong Kong (MEHK) which works closely with appointed event venues and provides assistance throughout the event life cycle, from the bidding stage through to the completion of the event.
In 2017, Hong Kong saw a 1.9 per cent growth in overnight corporate traveller arrivals, while the meeting and incentive segment recorded a double-digit 14.1 per cent growth.
MEHK also expects the direct selling sector and key business events markets such as South Korea and Indonesia to achieve promising growth this year.
Khon Kaen in North-east Thailand, and the country’s 5th Official MICE City, wants to host more meetings and exhibitions from South China and Indochina due to its close proximity to both areas.
The region is the primary focus of the government’s East-West Economic Corridor (EWEC) scheme, which plans to connect Thailand (through Khon Kaen) with its four neighbouring countries – China, Vietnam, Laos and Myanmar, a Thailand Convention and Exhibition Bureau (TCEB) spokesperson told TTGmice.
Thailand’s fifth MICE city
To cement its presence on the meetings and incentives stage, a new convention centre, Khon Kaen International Convention and Exhibition center (KICE), opened at the end of January. It is the largest convention venue in the province and third largest in the country, boasting around 15,000m2 of space.
Since then, events that have taken place in the city include the 12th APEC Khon Kaen International Symposium, 5th Asian Academic Society International Conference, 13th Asian Congress on Biotechnology 2017, and 5th International Conference on Government Performance Management and Leadership.
However, the TCEB spokesperson acknowledged that in terms of hosting international or regional association meetings, Khon Kaen lags behind other regional cities, although it has the capacity to host more meetings in its specialist industries such as logistics, silk, agro processing (rice, sugar cane and rubber), and certain medical fields.
Future infrastructure upgrades include the airport, where a feasibility study for a planned expansion is underway, with the aim of upgrading Khon Kaen airport’s terminal space to accommodate international flights.
Khon Kaen will also be the first city outside of Bangkok to have a light rail transit system. This is planned for end-2019.
Other accessibility improvements include the upcoming high-speed train service to Nong Khai in north-east Thailand, that will also connect with China’s Kunming and Vientiane in Laos.
Zhong expects international travel for companies involved in BRI projects to rise in coming years
The Belt and Road Initiative (BRI) and the rise of China’s second- and third-tier cities are presenting new business opportunities for Carlson Wagonlit Travel China.
Zhong expects international travel for companies involved in BRI projects to rise in coming years
Albert Zhong, general manager, China, said the market is getting to the point where more private-owned companies and state-owned enterprises are open to appointing international TMCs, adopting a multi-vendor model, and integrating their respective system capabilities.
“This development started about three years ago. Their estimated domestic and international air travel spend can be between US$300 and US$500 million annually, and when you add in hotel spend, the figure can be doubled,” he said.
“From a traffic perspective, 60 per cent of transactions are domestic and the rest international,” he observed, adding that international travel for companies involved in BRI projects “will increase significantly in the next few years”.
“With more and more business penetration in tier-two and three cities like Chengdu, Dalian, Shenzhen and Nanjing, there will be more opportunities”, citing the example of one manufacturing customer who has a network of 70 offices across the country.
Zhong opined that corporate travel demand will be dominated by Chinese companies five years from now. “Our business mix now is between 10 to 15 per cent Chinese companies and we will need to develop local capabilities to serve the (increasing market share) of customers.”
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