Newsletter -August 8, 2002
Best
Western Announces Second Quarter Development Results
World's Largest Hotel Chain Adds 74 Properties
(BUSINESS WIRE) Best Western, The
World's Largest Hotel Chain(TM), added 41 hotels in North America and 33 new
international hotels in the second fiscal quarter ended May 30.
In North America, Best Western opened 37 hotels in the
United States and four hotels in Canada. Second quarter U.S. hotel additions
include: Best Western Palm Desert Resort (152 rooms), Palm Desert, Calif.;
Best Western Coeur d'Alene Inn (122 rooms), Coeur d'Alene, Idaho; Best Western
University Plaza (159 rooms), Evanston, Ill; Best Western Westshore Hotel (237
rooms), Tampa, Fla.
In Canada, the hotel chain opened
the Best Western King George Inn (72 rooms), Surrey, and Best Western Tower
Inn (63 rooms), Quesnel, both in British Columbia. In Ontario, the Best
Western Executive Inn (95 rooms), Scarborough and Best Western Great Northern
(211 rooms), Sault Ste. Marie were added.
Internationally, Best Western has
added 31 hotels in 13 countries. France topped the list with nine Best Western
hotels, followed by Australia with six hotels. Key additions to the system
include the Best Western Majestic City Center (50 rooms), Santiago, Chile and
the Best Western Munchen Airport (200 rooms) in Munich, Germany.
"Even in a slow economy, Best
Western is well-positioned for continued growth as a strong competitor in the
mid-scale segment," said Anupam Narayan, Best Western senior vice
president Global Strategy and CFO. "Our membership development team has
done an outstanding job attracting both new-build and conversion projects
which is indicative of our brand's strength," Narayan added.
Best Western is The World's
Largest Hotel Chain(TM) with more than 4,000 independently owned and operated
hotels in over 80 countries and territories. It is a membership association of
independently owned and operated hotels that provides marketing, reservations
and operational support to its members.
Development Information -- 2nd Quarter 2002
International
Country
City
Property Name
Property Total
Count
Rooms
Australia
Yamba - NSW
B/W Yamba
Beach Hotel
15
Australia
Ballarat - VIC B/W
Bell
Tower Inn
76
Australia
Cooma - NSW
B/W Marlborough
Motor Inn
60
Australia
Cathrine Field B/W
Camden
-
NSW
Valley Golf Resort
23
Australia
Melbourne
B/W Jika
(Fairfield)
International
49
Australia
Bright - VIC
B/W High Country
Motor Inn
32
Australia
Total
6
255
Austria
Imst
B/W Hotel Stern
33
Austria
Total
1
33
Chile
Santiago
B/W Majestic City
Center
50
Chile Total
1
50
Czechoslovakia Prague
B/W Hotel Smaragd 28
Czechoslovakia
Total
1
28
England
Bury, Lancashire B/W
Bolholt Country
Park Hotel
64
England
London
B/W The Lodge Hotel
64
England
Buckingham
B/W Buckingham Beales
Hotel
70
England Total
3
198
France
Cannes
B/W Hotel Univers
71
France
Gemenos
B/W Bed and Suites
29
France
La Madeleine
B/W Hotel Arts Deco
Romarin
56
France
Paris
B/W Albert Premier
55
France
Courbevoie
B/W Georges Sand
31
France
Saumur
B/W Adagio
30
France
Sarlat-La-Caneda B/W Le
Renoir
32
France
Paris
B/W France Europe
40
France
Paris
B/W Elysees Paris
Monceau
30
France Total
9
374
Germany
Altenerding
B/W Hotel
Munchen-Airport
206
Germany
Hennef
B/W Euro Park Hotel
76
Germany Total
2
282
Italy
Cantania -
Sicilia
B/W Hotel Mediterraneo
64
Italy
Torri Del Benaco B/W
Resort Hotel Le
Torri Del Garda
85
Italy Total
2
149
Mexico
Apodaca, Nuevo
Leon
B/W Monterrey
Aeropuerto
43
Mexico
Cancun, Quintana
Roo
B/W Cancun Clipper Club
72
Mexico Total
2
115
Netherlands
Born
B/W Amrath Hotel
Born-Sittard
59
Netherlands
Total
1
59
New Zealand
Rotorua
B/W Accolade Lodge
15
New Zealand
Auckland
B/W Park Towers Hotel 79
New Zealand
Total
2
94
Poland
Bialystok
B/W Hotel Cristal
86
Poland Total
1
86
PR China
Xiamen
B/W Xiamen
385
PR China Total
1
385
Spain
Valencia
B/W Consul Del Mar
57
Spain Total
1
57
Grand Total -
International
33
2,165
North America
USA
State
City
Property Name
Property
Total
Count Rooms
Alabama
Birmingham
BW Carlton Suites
105
Alabama
Gadsen
BW Gadsen Inn & Suites
68
Alabama
Scottsboro
BW Scottsboro Inn &
Suites
95
Alabama Total
3
268
Arizona
Payson
BW Payson Inn
99
Arizona Total
1
99
California
Coalinga
BW Big Country Inn
48
California
Ontario
BW Country Inn
72
California
Palm Desert
BW Palm Desert Resort
152
California
Total
3
272
Florida
Baseball City BW
Central Florida
113
Florida
Coral Gables
BW Chateau Bleau Hot
118
Florida
Orange Park
BW Southside
105
Florida
Tampa
BW The Westshore Hote
237
Florida Total
4
573
Georgia
Cartersville
BW Garden Inn & Suites
49
Georgia
Hinesville
BW Bradbury Inn &
Suites
92
Georgia Total
2
141
Idaho
Coeur d'Alene BW
Coeur d'Alene Inn 122
Idaho Total
1
122
Illinois
Evanston
BW University Plaza
159
Illinois Total
1
159
Massachusetts
Worcester
BW Executive Inn &
Suites
116
Massachusetts
Total
1
116
Michigan
Benton Harbor BW
Twin City Inn &
Suites
52
Michigan Total
1
52
Missouri
Bethany
BW Bethany Inn
49
Missouri Total
1
49
New York
Cheektowaga
BW Norstar Inn
77
New York
Flushing
BW Queens Court Hotel
59
New York
New York
BW Hospitality House
35
New York Total
3
171
Oklahoma
Bartlesville
BW Weston Inn
109
Oklahoma
Muskogee
BW Muskogee Inn &
Suites
69
Oklahoma Total
2
178
South Carolina Myrtle Beach
BW The Carolinian Beach
Resort
104
South Carolina Total
1
104
Texas
Buda
BW Southgate Inn &
Suites
50
Texas
Fort Worth
BW Fort Worth Inn &
Suites
50
Texas
Fredericksburg BW
Fredericksburg
56
Texas
Lake Worth
BW Lake Worth Inn &
Suites
50
Texas
Marshall
BW Executive Inn
40
Texas
McKinney
BW McKinney Inn &
Suites
68
Texas
Orange
BW Orange Inn
59
Texas
Rio Grande City BW
Garden Inn & Suites
58
Texas
San Antonio
BW Alamo Suites
65
Texas
San Antonio
BW Hill Country Suites
76
Texas
San Benito
BW Garden Inn & Suites
43
Texas
Shamrock
BW Shamrock Inn &
Suites
47
Texas Total
12
662
Washington
Wenatchee
BW Chieftain Inn
74
Washington
Total
1
74
Grand Total -
USA
37
2,966
CANADA
Province
City
Property Name
Property Total
Count Rooms
British
Columbia Quesnel
BW Tower Inn
63
British
Columbia
Surrey
BW King George Inn
72
British
Columbia Total
2
135
Ontario
Sault Ste. Marie BW Great
Northern
211
Ontario
Scarborough
BW Executive Inn
95
Ontario Total
2
306
Grand Total -
CANADA
4
441
GRAND TOTAL -
ALL
74
3,48
For further information, contact: Best
Western, Phoenix
http://www.bestwestern.com
Gresham
Hotels sees FY profits below mkt forecasts, appoints joint chairman
AFX News
- Gresham Hotel Group PLC
warned stockbroker forecasts of profitability for the current year will not
now be achieved after trading has remained challenging in line with conditions
in the tourism industry.
The group also said it is appointing chief executive Patrick
Coyle as joint chairman ahead of an extraordinary general meeting called for
Thursday at which shareholders Euro Sea Hotels NV and Irish River Holdings BV
have tabled resolutions calling for the removal of four existing directors,
including the present chairman Sean Henneberry.
Gresham said unless there is a majority vote of shareholders
against the resolutions, which also include the appointment of three
additional directors nominated by Euro Sea and Irish River, the board could
become "deadlocked in various operational issues" and such a
situation "could impede the orderly conduct of the business of the board
and company".
The company said Coyle would continue as chief executive and
his appointment as joint chairman is viewed as a temporary position
China
opening up for business travelers
As China's economy continues to
boom, getting a business visa is much easier than it used to be, as Kevin Ng
and April Liao of Deloitte & Touche explain
Recently,
the People's Republic of China (PRC) Ministry of Public Security (MPS) made a
series of changes to exit and entry permits that make it easier for Chinese
nationals and foreigners to cross the Chinese border, paving the way for
China’s further economic development.
The
changes are part of a nationwide effort to speed up the two-way traffic for
professionals, experts and businessmen who are coming to China since it joined
the World Trade Organisation (WTO) in December 2001. Detailed rules for some
of these changes have yet to be issued.
Visas
to Hong Kong and Macao
According
to the notice released by the Bureau of Exit & Entry Administration (BEEA)
under MPS, effective from December 1, 2001, Chinese nationals leaving for Hong
Kong or Macao for business purposes can apply for one-year or three-year
multiple business visas.
Previously,
the Chinese authority only granted business multiple visas to Hong Kong or
Macao for a maximum period of six months. Now, Chinese nationals can apply for
one-year or three-year business multiple visas depending on the applicant’s
qualifications.
The
three-year multiple business visa: Senior management such as legal
representative, chairman, vice chairman, general manager, deputy manager,
chief accountant, chief economist, and chief engineer of high-tech enterprise,
enterprise with tax exemption, or enterprise with export revenue or tax paid
more than RMB 500,000 in the proceeding year; or chief representative of
foreign representative office in China.
The
one-year multiple business visa: Middle-level managers or technicians (ie,
positions below deputy manager) of high-tech enterprises, enterprises with tax
exemption, enterprises with export revenue or tax paid more than RMB 500,000
in the proceeding year, or deputy manager or above of enterprise with export
revenue or tax paid between RMB 100, 000 to RMB 500,000 in the proceeding
year; or Chinese employee of foreign representative office in China.
Applicants
other than those listed above can apply for a 15-day single business visa or a
three-month multiple business visa.
Visa
grants at Chinese ports
From 1
January 2002, every entry and exit port in China is authorised to grant
foreign group tourist visas. In the past, only 21 ports in China were
authorised to grant visas to foreign tour groups.
Now, when
foreign tour groups reach the territory of China at these ports, they can get
tourist visas from the relevant department at all Chinese ports instead of
lodging the application with the Chinese embassy in their home countries
before departing for China.
Exemption
for overseas invitation letters
As of
2002, Chinese nationals are allowed to go abroad for private purposes without
being "invited" by an overseas host. In the past, in order to ensure
the applicant met the standard of living in foreign countries, overseas
invitation letters and sufficient financial guarantees were prerequisites for
visa applications.
'Chinese
National Only' special airport passage
In 2002,
another 10 special entry passages at Chinese airports will be built for
Chinese nationals returning to China. Previously, only Shanghai Pudong
International Airport and Beijing Capital International Airport had this
facility. The reform is in line with international airport and business
standards.
Chinese
'green cards' for foreigners
Before
2003, China will grant permanent residency permit or "green cards"
to senior foreign managers, technicians and foreign investors, allowing them
to enter and leave China freely.
Since
February 1986, when the law governing exit and entry procedures for foreigners
was adopted, the nation has granted permanent residency to only 67 foreigners
who invested in China or worked many years in Chinese enterprises or
organisations.
The
government will strictly follow principles when granting permanent residency
to foreigners.
Simplified
application procedures for Chinese passport
China
will mainly examine the household registration and personal identification
card when issuing passports in major cities before 2005.
This
decision was made following the successful implementation of the measure in
Guangdong Province. The new policy will be implemented first in major cities
like Shanghai, Zhuhai, and Shunde and then extended to other cities.
In the
past, Chinese nationals had to go through complicated procedures to get
passports, including obtaining permission from the individual’s work unit
and collecting many supporting documents from other places. The goal of this
new simplified procedure is to ensure that passport can be issued within 15
working days after the application.
Thai
govt. may scrap plans for tourism ministry
TravelWeeklyEast
Exclusive
BANGKOK – Plans by the government to set up a Ministry of
Culture and Tourism look likely to be scrapped, an executive source at the
Tourism Authority of Thailand (TAT) told TravelWeekly.
Proposals for a Ministry of Culture and Tourism announced
earlier this year by TAT’s acting governor Juthamas Siriwan, have too many
political opponents, said the official TAT source.
“Right now it seems that there will be no more tourism
ministry. Some members of parliament consider that TAT can work perfectly
alone, so there’s no need to set up another ministry."
If the government does decide to scrap the ministry, the TAT
would be left with two choices, the source said.
“I think there are two alternatives: If they [govt.] think
that the TAT can take full responsibility for the whole industry they need to
give us more power, more personnel, and a bigger budget. Alternatively, the
government should set up another organisation which can take care of the
development side and let the TAT concentrate on marketing activities.”
A tourism ministry would effectively put tourism on a par with
Thailand's other major industries, including agriculture and manufacturing,
but plans to scrap it could leave new tourism strategies in disarray, and
TAT’s marketing role with no clear direction.
The Culture and Tourism Ministry was announced earlier this
year as part of the government’s draft reform bill to re-organise state
agencies into 20 ministries.
The bill is expected to be finalised by October.
Source:
TravelWeeklyEast.com
Bahrain’s
National Hotels company posts 41 percent rise in net profit
Half-annual profits of the Manama-based National Hotels Company
(NHC) rose an impressive 41 percent, reaching 850,000 Bahraini
dinars ($2.25 million), up from a net profit of BD600,000 reported
between January and June 2001.
The bottom line surge was mainly attributed to a 12.8 percent
increase in top line earnings and an 81.5 percent rise in
operating profit, reaching BD560,000 at June-end 2002. The company
owns the Diplomat Radisson SAS. — (menareport.com)
World’s
biggest hotel/casino opens
Despite
casino gambling being illegal for Muslims and Malaysians, Malaysia plays host
to what Proprietor Lim Goh-tong claims to be the world's largest hotel. Goh-tong,
a Chinese immigrant, has parlayed a hillside in the Malaysian jungle into the
engine room behind a billion-dollar empire.
Even
Prime Minister Mahathir Mohamad turned up to help Lim celebrate the opening of
the first 3,300-room stage of what is claimed to be the world's biggest hotel,
the First World.
This,
despite the fact that the premier is barred from setting foot in the casino. A
prominent sign on a door in one of five hotels warns that Malaysian Muslims
will be guilty of an offense under state religious laws if they step inside:
it's the Casino de Genting. The prime minister, the king and 60% of Malaysians
are Muslims, but more than a quarter of the 23 million population are Chinese,
who traditionally are among the world’s most enthusiastic gamblers. For
them, Malaysia's only casino is a beacon.
Additions
to the Genting Highlands resort include indoor and outdoor 'theme parks,' the
latest of which is the First World Plaza offering a miniature Europe complete
with Eiffel Tower and life-sized model gondoliers taking tourists around a
man-made Venetian canal. Lim's company, Genting Bhd last year reported pre-tax
profits of $271 million and is a key blue chip on the Kuala Lumpur Stock
Exchange.
San
Jose (Silicon Valley)
Market Overview
Written By: George
A. Comitos HVS
International
Once the epicenter of strong market performance in
Northern California in 2000, the Silicon Valley hotel market experienced a
dramatic reversal of fortunes in 2001 and 2002.In the North San Jose submarket,
RevPAR decreased by 32%, from $117.63 in 2000 to $79.99 in 2001. Year-to-date
data indicate that a rebound has yet to occur. The core Silicon Valley hotel
market includes approximately 20,300 rooms located in south San Mateo and
Santa Clara Counties, including the communities of Menlo Park, Palo Alto,
Mountain View, Los Altos, Sunnyvale, Cupertino, Campbell, Santa Clara, San
Jose, Los Gatos, and Saratoga. While the Silicon Valley market now reaches the
east side of San Francisco Bay, this discussion focuses on the traditional
core of the market as defined. Generally, the highest-rated hotel rooms are
located in Menlo Park and Palo Alto (with close proximity to Stanford
University and Sand Hill Road in Palo Alto), and in Santa Clara and North San
Jose (including the Golden Triangle formed by the confluence of State Highway
237, U.S. Highway 101, and Interstate 880).
Throughout the defined region, high barriers to entry
have historically existed for new hotels, marked by high land costs, onerous
development requirements, and a moratorium on new hotel development in
downtown San Jose (which lasted until the late 1980s). As a result, the
region’s hotel supply base was historically less represented by major U.S.
chains than in most other areas of the country. Strong performance from 1997
to 2000 spurred new hotel development and redevelopment, as well as existing
hotel expansion, renovation, and refurbishment.
From 1997 to 2001, approximately 3,400 new hotel rooms
entered the Silicon Valley market. Additionally, numerous other properties,
such as Joie d’Vivre’s 208-unit Wild Palms and 91-unit Hotel Avante, were
renovated, refurbished, and repositioned in 2001. A wide variety of hotel
types currently exist in the Silicon Valley market. Major U.S. brands have
also increased their presence throughout Silicon Valley.
Historically, demand for hotels throughout Silicon
Valley has been dominated by the commercial transient segment, with
single-occupancy stays of three to four nights the norm; typically, these
stays are from Monday through Thursday. Silicon Valley’s economy has
diversified from one based primarily on the manufacturing of semi-conductors
to research and development and the production of a wide array of
high-technology consumer electronics, computer software and multi-media
applications, telecommunications, and Internet-related technologies. As a
result, demand for extended-stay rooms has increased and is now second only to
commercial transient demand, particularly in the North San Jose/Santa Clara
hotel markets.
Additionally, downtown San Jose hotels benefit from
their location near the McEnery Convention Center, while Santa Clara
properties located along Great America Parkway realize demand from the Santa
Clara Convention Center. Drawing leisure demand has always been somewhat of a
challenge throughout Silicon Valley, as there are few strong generators of
this demand segment. Santa Clara hotels benefit from the presence of the Great
America Theme Park, which draws significant weekend leisure, summer, and
special-event demand.
Downward pressure on hotel RevPAR was not felt until
the end of the first quarter of 2001. In March 2001, Cisco Systems, one of the
market’s largest employers, began a round of layoffs, cutting 1,500 jobs. In
the first four months of 2001, ±51,600 jobs were lost due to failures
involving Internet companies. Threats of a severe California energy crisis
also began to negatively impact production throughout Silicon Valley, which
affected corporate profits and curtailed the expansion of several
technology-related companies. By mid-year 2001, SEMI (Semiconductor Equipment
and Materials International) forecasted a decrease of 35.0% in expenditures
for microchip manufacturing, testing, and assembly.
The sale of high-tech goods, including computers,
semi-conductor chips, and computer-related products declined by 31.0%. By
year-end 2001, San Jose was among the five high-tech metropolitan areas that
experienced the worst office and industrial vacancies since the high-tech
crash (as well as San Francisco, Boston, Massachusetts, Seattle, Washington,
and Austin, Texas).
Additionally, companies were subleasing office space or
abandoning space, turning offices back over to landlords. According to BT
Commercial Real Estate, the market for office space continues to decline in
terms of overall performance, driven by negative net absorption and additional
supply. Average monthly full-service office rents throughout Santa Clara
County have decreased from $3.23 per square foot, as of year-end, to $2.83 per
square foot through the second quarter of 2002. Available office space
increased from 9.0 million square feet to 10.8 million square feet. Office
vacancies increased from 14.4% in 2001 to 17.3% by the end of the second
quarter of 2002, with negative net absorption of 5,542,265 square feet
recorded in 2001 and 1,720,109 recorded in the second quarter of 2002. Similar
trends are noted in the Santa Clara County research and development market.
Although several hotel submarkets throughout Silicon
Valley have experienced slightly different trends as of late, our analysis
provides data for hotels located in San Jose’s Airport/North San Jose hotel
market; these trends are generally reflective of those occurring in the
various Silicon Valley submarkets.
Year-end 2000 occupancy was 77.2% in the North San Jose
hotel submarket, with an average rate of $152.41 recorded concurrently.
According to the San Jose Convention and Visitors Bureau, occupancy fell to a
record low of 53.0% in 2001, while average rate decreased by 1.2%, to $150.66.
Average rate was boosted only by the carryover of negotiated rates from the
fourth quarter of 2000 positively impacting results through the first half of
2001. Hotel operators also attempted to preserve average rate levels in
anticipation of improving economic conditions.
Subsequent to August 2001 and the events of
September 11th, 2001, average rates plummeted. The demise of
Internet-related businesses, the economic retrenchment of well-established
high-tech manufacturing companies, and decreased compression from (downtown)
San Jose’s McEnery Convention Center and the Santa Clara Convention Center,
has resulted in a buyer’s market in terms of hotel demand in the North San
Jose submarket; decreased demand from cutbacks in business travel and price
sensitivity prevail. Year-to-date data through May 2001 and 2002 indicate that
the market has yet to experience a recovery. Occupancy and average rate
results during comparable year-to-date periods through May were 61.1% at
$169.74 in 2001 and 53.0% at $123.40 in 2002. This resulted in an overall
RevPAR decrease of 36.8%.
On the supply side, Smith Travel Research reports that,
as of year-end 2001, the San Jose Airport and North San Jose submarkets
(including Santa Clara) contained roundly 11,300 hotel rooms. Including the
now-completed 264-room expansion of the Fairmont Hotel in downtown San Jose,
an additional 1,133 hotel rooms, or 10.0% of the existing hotel supply base,
are expected to enter the market between the second quarter of 2002 and
year-end 2003. In Santa Clara, a 150-unit Sierra Suites, a 225-unit Marriott
Courtyard, and a 150-unit expansion to the existing Biltmore Hotel are
currently planned.
The Marriott Courtyard and Biltmore expansion are on
hold, pending improved economic conditions. Among the most prominent new
properties, the proposed 213-unit Hotel Valencia and the proposed 506-unit
Marriott, were under construction as of the end of the second quarter of
2002.
The proposed Hotel Valencia is expected to open in
November of 2002, while the proposed Marriott is scheduled to open in early
2003. Other boutique and limited-service hotel projects, totaling
approximately 1,300 rooms, are planned for development or redevelopment in San
Jose; these projects were started prior to the market’s downturn in 2001.
Otherwise, in the near term, future supply additions are expected to be
minimal due to the lack of available financing for hotels.
Although existing Silicon Valley hotels continue to
enjoy significant barriers to entry, all submarkets (with the exception of
Saratoga), have realized additions to supply resulting from economic
conditions prevalent in the late 1990s and 2000. Existing hotel products have
been renovated or refurbished, while new hotel construction has brought
increased brand presence and a greater variety of hotels. In the year-to-date
period through May 2002, the North San Jose hotel market has maintained
occupancy in the low- to mid-50% range, with continued declines in average
rate. We anticipate a return to strong occupancy levels, pending global,
regional, and national economic recoveries, and increased demand for high-tech
goods and services. Local experts predict a recovery in the tech sector in
2005; thus, we can anticipate gradual, moderate recovery until that time, when
investors can expect a cyclical upturn in hotel performance.
George
A. Comitos
HVS
International
AIME
2003 on Target for More Hosted Buyers
ASIA Travel Tips.com -
A record number
of industry professionals have been quick to apply for Hosted Buyer status at
AIME 2003, the AsiaPacific Incentives and Meetings Expo, 18-19 February at the
Melbourne Exhibition and Convention Centre (MECC). Compared with the same time
last year, Hosted Buyer applications are up, with significantly more
applications from the US and Europe.
AIME is the
southern hemisphere’s most significant event for the incentive and meetings
industry, drawing approximately 600 exhibitors from 51 destinations throughout
the Asia Pacific region, the Middle East, South Africa, Europe and the USA and
Canada, and attracting 2,500 visitors from 37 countries.
Close to 300
buyers from Australia, Europe, North America, South East Asia and the Asia
Pacific were hosted to AIME 2002, and Reed Travel Exhibitions (RTE) with the
support of airlines, plans to increase this figure in 2003.
Exhibitor
response the AIME has also been extremely positive, with exhibitors describing
AIME 2002 as “very worthwhile” and as “the region’s leading
showcase”. Bookings for AIME 2003 are strong, and are expected to increase
on this year’s numbers.
"The
Singapore Tourism Board was very pleased with AIME 2002. It has always been a
very worthwhile show not just for the Board but also our Singapore industry
co-exhibitors, and we were all particularly pleased with the quality of
appointments this year. Some of our co-exhibitors that were participating in
AIME for the first time have also indicated that they would like to come back
next year. Without a doubt, we will definitely be back in 2003," said
Michelle Alice Thoo, Singapore Tourism Board, Sydney.
“The feedback
we had from all participants on our stand at AIME this year was extremely
positive and most if not all have committed to come back next year. Gauteng
Tourism Board described AIME 2002 as one of the best shows they have ever
attended and the Sandton Convention Centre was overwhelmed with the positive
response they received,” said Wayne Hamilton, Marketing Manager, South
African Tourism.
The Hong Kong
Tourism Board has participated in AIME since its inception and Sylvia Wade,
Manager, Convention & Corporate Events, believes the event has developed
into one of the region’s leading showcases.
“The quality
of buyers, logistics and on-site ambience of AIME 2002 clearly demonstrated
that the event has developed into one of the region's leading showcases for
our industry. Given the record space and co-partner representation by the Hong
Kong Tourism Board at AIME 2002, it was rewarding to experience the buyer
interest generated on our stand. All partners reported good opportunities for
on-going sales as a catalyst for their marketing objectives throughout the
year,” she said.
Exhibitors at
AIME 2002 were also impressed with the number and quality of buyers at AIME,
and with the RTE innovations such as the Online Diary System and Seller Meets
Buyer sessions. For 2003, RTE will enhance these systems even further.
“We are
planning to have the Online Diary system open for longer and to keep it open
as close to the event as we can,” said AIME Exhibition Manager, David Crooke.
“Following
feedback from buyers on the Pre Scheduled Appointment system at AIME last year
we have moved to reduce the number of Pre Scheduled Appointments from 12 to 9
per day, or from 24 to 18 over the two days, to give buyers more flexibility
at AIME.
“Hosted
delegates rated the Pre Scheduled Appointment system very highly last year.
Their only request was a little more flexibility. By reducing the number of
Pre Scheduled Appointments in 2003, we’ve ensured hosted delegates will have
more time to see additional exhibitors,” Mr Crooke said.
Another new
initiative for AIME 2003 is a new format for the AIME Seminar Program. Three
seminars will be held each day at a special Seminar Theatre, built within the
exhibition. Each of the leading associations – MIAA, IMA and EEAA – will
run seminars on industry issues, which will be open to Hosted Buyers, trade
visitors and exhibitors.
In addition,
each day a major industry forum will be held at 8.30am prior to the exhibition
opening. The Forums will also be open to all exhibitors and visitors to AIME.
AIME 2003 is
held on 18 & 19 February at the Melbourne Exhibition Centre.
Source: ASIA Travel Tips.com
Boutique
Hotels arrive in India: Tailor-made For Your Taste
Financial Times - Times
are-a-changing and the latest entrant in accommodation business is the
boutique hotel, offering rooms with personality. The industry, on a downturn
for the past year, is recognising the revenue model of boutique hotels. They
are the solution to falling occupancies and revenues.
Though the concept is relatively new in India, boutique
hotels, for example in the US, contribute one per cent to the number of rooms,
but have a high three per cent share of revenues.
By definition, boutique hotels tend not to exceed 150 rooms
and are styled in a contemporary manner with each area of the hotel having a
distinct look or style. They differ from branded hotels, which offer a uniform
look and feel across their chains.
An increasing number of travellers are now preferring
properties that are noticeably different from branded hotels. Boutique hotels
generally target customers who are in the age bracket of early 20s to mid 50s
with mid-to-upper-incomes. Room rates in such hotels tend to be in a higher
bracket than chain hotels of the same category.
Such hotels can survive and succeed without such costly
amenities as restaurants and meeting spaces as they can bring significant
additional profitability to hotel room revenue with their style.
According to Le Royal Meridien general manager Julian Groom,
boutique hotels offer unusual and distinctive design elements, attention to
luxurious comfort, an intimate touch and personalised services. “By knowing
our customer personally, we use the small size to our advantage. The size
doesn’t allow loitering travellers, giving the guest the feeling of being in
a home away from home,” he said.
An Indian Hotels Company Ltd (IHCL) official commented that
the concept of boutique hotels had a lot to offer in terms of revenue models.
With the location playing an important role in the success of such hotels, the
official added, “the concept of a boutique hotel in India, though in our
opinion, will be restricted to cities. Corporates tired of living in clinical
environment, appreciate the personalisation that boutique hotels offer. They
believe that it offers value for money,” he said.
Once established, boutique hotels also tend to have a higher
percentage of repeat business compared to the industry in general, which may
reflect a smaller degree of volatility when going through difficult economic
times.
Such hotels usually find success in cities with vibrant
economies and high-end residential areas, but bland, characterless hotel
inventories. “The concept of boutique hotels in India, in my opinion, will
be restricted to the business travellers. I don’t see the concept catching
on in the leisure and luxury segments,” said the IHCL official.
“The investments required in boutique hotels are larger,
because though you have a smaller sized hotel, the entire hotel depends on a
certain look and that look has a life. You need to change the look depending
on the flavour of the season. A large chain cannot afford to keep revamping
the entire hotel. You can renew the life of a part of the hotel, with small
measured changes,” he added.
Brands in the international market of boutique hotels are
Encore (Marriott group) and W (Shereton group). Players in the Indian market
also include Carlson Hotels Worldwide and Park Hospitality.
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