Newsletter - December 26, 2002
EU
lets Accor take controlling stake in Germany's Dorint hotels
AP - The EU executive Commission on Monday
agreed to let France's Accor SA - Europe's largest hotel group - buy a
controlling stake in Germany's Dorint hotels.
The
move will strengthen Accor's position "but it will continue to face
sufficient competition" in Germany, it said in a statement.
Accor will acquire a stake in Dorint from the
founding Ebertz family with which it will share control in the chain of 78
hotels, most in Germany.
The
Commission said it examined "the impact of the acquisition mainly in
Germany, but also in a number of other EU countries such as Belgium, the
Netherlands, Spain and Austria where both Dorint and Accor own
hotels."
It
said it considered the impact on local and national levels and found
"the hotels run by Accor and Dorint are rather complementary."
In
places where Accor and Dorint operate hotels in similar categories, the
Commission found their combined market shares to be moderate.
Accor
is Europe's largest hotel group with some 3,700 hotels of which 1,250 are
situated in France and 700 in other European countries. Accor runs
Sofitel, Novotel, Mercure, Ibis, Etap, Motel 6 and Formule 1 hotels.
Marriott Reaches Settlement With Hotel Owner
Washington
Post -
Marriott International Inc. said yesterday that it has reached an
agreement with one of its hotel owners that will end litigation between
the firms.
Marriott
had sued Flatley Co., owner of the Boston Marriott Quincy Hotel, for
trying to end its 30-year contract to manage the hotel. Flatley then sued
Bethesda-based Marriott in August, accusing the nation's largest
hotel-management company of fraud, accounting irregularities and taking
kickbacks from suppliers, one of a flurry of hotel owner lawsuits filed
this year against Marriott.
Details
of the resolution were not disclosed, but the agreement will not make any
significant changes to the existing management arrangements, said Marriott
spokesman Tom Marder.
"We're
just very pleased to resolve this matter without litigation," Marder
said. "We look forward to a cooperative and productive relationship
with the Flatley Company."
Under
the new agreement, Flatley also dropped its suit against Avendra LLC,
Marriott's online purchasing firm for hotels.
In
a statement yesterday, Flatley owner and billionaire developer Thomas
Flatley said: "We are pleased with Marriott's recent communications
to its hotel owners, and we are very happy to again be working closely
with Marriott." The 465-room Boston Marriott opened in May 2001.
At
least three other lawsuits by the owners of Marriott-operated hotels were
filed this year, including similar complaints of fraud and mismanagement.
Marder
said Marriott has entered into arbitration with CTF Holdings Inc. of Hong
Kong, which filed suit in April, accusing the hotelier of clandestinely
pocketing millions of dollars in kickbacks through Avendra. CTF owns 20
Renaissance hotels. Marriott is also in arbitration with HPI, a sister
company of CTF, Marder said.
A
lawsuit brought by Strategic Hotel Capital LLC of Chicago, which owns
eight luxury properties managed by Marriott, is pending. It alleges that
Marriott sold its guest lists to third parties without sharing the profits
and collected millions of dollars in "suspect rebates" from
vendors.
Rod
Petrik, a lodging analyst at Legg Mason Inc. in Baltimore, said the
patching up of communications between Flatley and Marriott is a good sign
that the hotelier could resolve the disputes with its other hotel owners.
"This
is a positive for Marriott," Petrik said. "One by one, they want
to get rid of the litigation."
In
August, Marriott renegotiated its management contracts with Host Marriott
Corp., the largest owner of its hotels, to allow Host to pay Marriott less
to run its hotels. The hotelier also met this year with most of its hotel
owners and franchisees that have multiple or large properties to explain
how Marriott charges those properties for its management services.
Marriott
shares fell 61 cents yesterday, to $32.77, on the New York Stock Exchange.
Also
yesterday, Marrriott announced that it sold 12 of its senior living
communities to CNL Retirement Properties Inc. of Orlando for $89 million
in cash. In connection with the sale, Marriott will record a pretax loss
of about $21 million, or 5.5 cents per share after taxes. Marriott
officials said the company is likely to incur additional costs with its
planned exit from the senior living business.
Air
Travel Survey Finds 30 Percent Of Business Travelers Flew Less Last Year
Nearly
Half Of All Business Travelers Utilize Alternative Technology In Place Of
Travel
The
Travel Industry Association of America’s (TIA) latest consumer poll, the
Air Travel Survey, examines the possible reasons for the continued
declines in air travel. Sponsored by the Bureau of Transportation
Statistics, the survey was based on a representative sample of 4,000
travelers who have traveled by air at least once in the past year.
Thirty percent of all air business travelers reported traveling less by
air in the past 12 months, as compared to only 21 percent who said they
traveled more. Despite the decrease in air travel in the past year,
intentions are relatively strong for 2003, with 29 percent of business
travelers planning on traveling more by air next year and 55 percent
saying they will travel the same amount. Eighty percent of leisure air
travelers say they traveled the same amount or more in the past year. When
asked about 2003, only 14 percent of leisure travelers said they would
travel less or not at all by air.
Nearly 80 percent of all air business travelers say their company has one
or more business travel policies in place. One-third said that one or more
of these policies were implemented in just the past year. Examples of
these new restrictions include limiting the class of air service that can
be used (14%), requiring U.S.-only travel (31%), limiting travel per diems
(19%), restricting the number of employees traveling (25%), and
requiring/recommending they drive instead of fly (34%). Other new policies
include restricting the number of trips taken (39%), restricting trip
duration (25%), and restricting class of hotel (14%).
“The question arises as to whether the industry is seeing a major sea
change in business travel patterns or whether this is just another
short-term, cyclical downturn,” remarked Dr. Suzanne Cook, senior vice
president of research for the Travel Industry Association of America.
“Many companies have learned to do business in a different way and are
taking a much more strategic approach to travel, in some cases calculating
a return on investment to determine whether a trip should be taken or not.
I do, however, think that many business travelers will return to the skies
when times get better.”
The improvement in online business communications has accelerated the use
of technology as an alternative to taking business trips. Teleconferencing
was used by 42 percent of all air business travelers in the past year as a
substitute for taking a business trip. Videoconferencing and webcasting or
webconferencing were used in place of travel by 17 percent and 15 percent
of business travelers, respectively. The usage of these alternative
technologies rises with the frequency of travel. One-quarter of frequent
air travelers (8+ trips per year), replaced some of their trips with
technology, compared to only about 15 percent of infrequent travelers.
While two-thirds of all air business travelers feel these technologies are
more efficient in terms of the time and money spent on travel, only 20
percent feel they are more effective.
Business travelers say slower business conditions, lean travel budgets,
the uncertain economy and the high cost of travel have generated a lesser
need for travel. For leisure travelers, one-third said economic and price
concerns were major factors in not flying. Second in importance was the
lack of time or ability to travel as much by air as in the previous year,
as reported by 23 percent of leisure travelers.
Business travelers are turning to the Internet for the best airline ticket
price, with almost half of all business air travelers personally
purchasing their ticket online at least once in the past year.
Underscoring the impact of the Internet on business travel habits is the
fact that 35 percent of those travelers say they plan on using the
Internet much more in the next year to book business flights. And nearly
one-third of those who did not use the Internet to personally book a
flight in the past year say they plan on doing so next year.
Underscoring consumers’ concerns about their personal or business
finances, only 16 percent of business and leisure air travelers say they
are satisfied with the current cost of air travel, an interesting finding
considering that airfares are now at their lowest level since 1988.
TIA is the national, non-profit organization representing all components
of the $537 billion travel industry. TIA's mission is to represent the
whole of the U.S. travel industry to promote and facilitate increased
travel to and within the United States
News @ PATA
BALI
CONFERENCE SHAPING UP WELL During December 13-18 PATA management held a
positive and encouraging site visit to the 2003 PATA Annual Conference
venue. PATA was reassured of several measures undertaken by local
authorities to ensure the safety and well-being of all 2003 Conference
delegates attending the Bali International Convention Centre and
surrounding hotels. PATA Managing Director-Events, Ms. Sheila Leong, said:
"PATA has received a range of operational assurances from all the
concerned authorities. It has been very encouraging and bodes well for the
success of Conference." For PATA Annual Conference registration and
further information please contact PATA Assistant Manager-Events, Mr.
Nathin Tongsiri. E- mail: nathin@pata.th.com. Tel: (66-2) 658-2000 ext.
113. Or visit www.pata.org
BALI RECOVERY TASK
FORCE: REPORT IMMINENT The six members of the PATA Bali Recovery Task
Force have completed their site inspections. Their reports are currently
being sent to PATA Vice President, Mr. Peter Semone. The full report and
recommendations will be presented to the Indonesia Ministry of Culture and
Tourism in early January. Mr. Semone said: "Many of the
recommendations will also be of strategic use to dozens of member
destinations throughout our region." Task Force members include: *
Dr. David Perl, Chief Executive, Docleaf (UK) * Ms. Yeoh Siew Hoon,
Editorial Director, Reed Travel & Meetings (Singapore) * Mr. Anthony
Concil, Director, Corporate Communications, Asia Pacific, IATA (Japan) *
Mr. Bert van Walbeek, Managing Director, The Winning Edge (Thailand) * Mr.
Robert Guy, Managing Director, Pacific World Destination Management
(Singapore) * Mr. Jim Hogan, Managing Director, International Tourism and
Training Services (Australia).
BEST OF BALI BAZAAR
During PATA Annual Conference (Bali, April 13-17, 2003) delegates will be
able to purchase Balinese handicrafts as part of the "Best of Bali
Bazaar" which will take place in the grounds outside the Bali
International Convention Centre. Purchases will directly benefit villagers
producing the handicrafts. The initiative is being facilitated by the Bali
Tourism Development Cooperation and is in line with the objective of
promoting local culture through tourism.
LUXURY NICHE OPERATORS
SATISFIED The PATA stand organised at the International Luxury Travel
Market (ILTM) held in Cannes, France, December 10-12, 2002, attracted
dozens of luxury travel buyers interested in the Pacific Asia region. A
seller from the Pacific Asia region, Marketing Director of Pimalai Resort
(Thailand), Mr. Henry Widler, said: "Our participation at the PATA
stand was very fruitful...Our participation will generate additional
revenue of at least US$300,000 during the next two years." For
information about joining the PATA stand at ILTM 2003, contact PATA Europe
at europe@pata.mc.
New
Year Promises New Revenues For Caribbean Hotels
Hundreds of hoteliers
throughout the Caribbean can now earn healthy revenues with little or zero
marketing costs.
The Caribbean Hotel Association Charitable Trust (CHACT), the body
mandated to market the Caribbean with a single voice, has disclosed that
effective immediately the entire membership of the Caribbean Hotel
Association (CHA) will be eligible to list its inventory on the CHACT
online travel site (www.gocaribbean.com) and benefit from both website and
telesales through the toll-free service 1-888-CARIBBEAN .
The decision made by CHACT officials to widen the program's benefits to
many more Caribbean hotels was an easy one. CHACT chairman Ralph Taylor
said: This will help drive much more business to the Caribbean in 2003. He
explained that an easy sign-up process is now available online.
Expedia, Inc's private label solution, Worldwide Travel Exchange (WWTE™)
provides the booking engine, handles inbound telesales, customer support
and travel inventory to the travel site www.gocaribbean.com. In a user
friendly on-line environment, hoteliers are able to manage their room
allotments and rates depending on their current or projected occupancies.
CHA member hotels that are currently engaged with Expedia are
automatically part of program, while other CHA member hotels can join with
the click of a mouse. Both CHA and CHACT membership options are available
at www.gocaribbean.com (click on about CHACT).
CHACT is a public/private sector conglomeration of major hotel chains,
airlines and credit card companies which have joined forces with both
CARICOM and non-CARICOM nations to market and promote the Caribbean as a
single destination. A regional fund has enabled the launch of a television
campaign dubbed Life Needs the Caribbean. The campaign, launched in August
this year, resumes early next year.
The overall intent of the campaign is to brand the region and, thereby,
compete with other regions of the world that have been attracting
increasing Caribbean market share of the US outbound traveler for nine
consecutive years.
Eighteen destinations are participating in the campaign. They are Antigua
and Barbuda, Aruba, Bahamas, Barbados, Belize, Bermuda, Dominica, Grenada,
Guyana, Jamaica, Montserrat, St. Kitts and Nevis, St. Lucia, St. Maarten,
St. Vincent and the Grenadines, Trinidad and Tobago, Turks and Caicos and
the United States Virgin Islands.
Tourist
record for NZ
The Christchurch Press -
The New Zealand tourism industry has reached a
milestone, welcoming more than two million visitors in a year for the
first time.
It
was only 10 years ago that New Zealand was attracting one million visitors
a year.
"This is a phenomenal achievement," said
Tourism New Zealand chief executive George Hickton.
"It
took 90 years for New Zealand to reach its first million visitors per
annum, and only a decade for it to attract a million more.
"This
is a real endorsement of New Zealand's growing appeal as a visitor
destination."
The
exact number of visitors to New Zealand in the year ended November 2002
was 2,019,078, up 5.5 per cent on 2001, according to latest figures from
Statistics New Zealand.
The
number of tourists coming from the United States reached 200,000 this year
for the first time.
At
201,488, the figure is a 7.2 per cent increase on last year.
In
1992, New Zealand's one million visitors were spending an estimated $ 2
billion, $ 1900 on average per visit.
In
the year ended September 2002, it is estimated that visitors spent $ 5.8
billion, or $ 3431 each. --NZPA
Visit
Philippines 2003 campaign launched in bid for more tourists
Asia Pulse -
The Visit Philippines (VP) 2003 program was
launched at the SM City Cebu over the weekend.
The
World Tourism Organization (WTO)-endorsed visit-country year has made
Cebu's tourism stakeholders optimistic about the industry's prospects for
next year.
Department of Tourism (DOT) Region 7 Director Aurora
Patria Roa said VP 2003 was a good marketing tool of the country.
"We
are very optimistic. Unless there are undesirable incidents that will
happen next year, tourism in Cebu will still be doing well in
general," she said.
VP
2003 entails a structured 24-month marketing program, which includes the
"More than the Usual" ads aired by the Philippines on CNN and
BBC, as well as the Wow Philippines program designed to attract both
foreign and local tourists, Roa said.
She
said Cebu would be offering special tours to show off the province's
heritage, guitar-making, pottery and shellcraft skills and fishing
villages, and colorful flea markets.
There
will also be golf tours, as well as island adventure, seascape and bird
watching tours, Roa said.
On
the other hand, tours in Bohol would be to the Chocolate Hills; Pamilacan
Island, which is home to at least 11 species of dolphins and whales; and
Cambuhat Village, where an oyster farm is among the sights.
In
Negros Oriental, there are the trips to see the dolphins in Bais City and
the international dive sites in Apo Island. Some 15 tour operators in the
region, which comprises Cebu, Bohol, Negros Oriental and Siquijor, are
offering the special tours.
The
country aims to draw three million tourists to the country in 2003.
In
2001, the Philippines had 1.796 million visitors.
Australia,
Indonesia to jointly work to promote Bali tourism
Channel NewsAsia -
Australia and Indonesia will jointly work to
revive Bali's ailing tourism industry hit hard by the deadly bomb blast
last October.
More
than 180 people died in the blasts. Half of them were Australians.
The Australia Indonesia Association and the
Indonesian Embassy in Canberra will undertake a promotion in Sydney next
March.
The
promotion effort will be done through a festival in which thousands of
Australians as well as Indonesian nationals living in Australia will take
part.
The
festival would present various performances and exhibitions with Balinese
nuances.
"Australian
people consider Bali as part of their lives so they have a strong concern
toward Bali tourism and they hope that the tourism in the island will
revive soon," said Wahdi Yudhi, Education and Culture Attache at the
Indonesian Embassy of Canberra.
Since
the bombing on October 12 (picture), tourists who usually besiege Bali
this time of the year, are giving it a miss.
"Usually
in November we have a 56% occupancy rate. This November it is 18%
throughout Bali," said Gde Pitana, head of the Bali Tourism Industry.
"When
you have a high travel warning you are not covered by insurance. So who
would dare travel without it especially from the modern countries that are
insurance minded," he added.
There
are still those who dare to take the risk.
But
even they could not help but feel a pang of regret for the island, which
now needs the support of tourists more than ever.
"It's
a pity all these very nice facilities are not being utilised. It's lovely.
The locals are friendly. Obviously it's better when there are few tourists
around but much more people should take the chance," said Swiss
tourist Ernsy Jenni.
It
is hoped that the joint promotion by Indonesia and Australia will help to
attract people back to the tropical paradise.
Despite
these efforts, Australia reissued its travel warning for its citizens on
Monday, saying that the threat of terrorist activity in Indonesia remains
high, especially during the festive period.
President
Megawati Sukarnoputri has urged foreign governments to lift travel
advisory warnings to their citizens.
Fairmont
Hotels & Resorts - Good as Gold!
Two-Thirds
of Fairmont’s Portfolio on Condé Nast Traveler’s Gold List
According
to Condé Nast Traveler’s Gold List, an annual reader’s choice
poll, Fairmont Hotels & Resorts epitomizes the gold standard, with 27
of its world-class properties making the list in 2003. Rated on
criteria including location, activities, service and guestrooms, the list
is based on magazine-subscriber votes.
“We
are very pleased that 27 Fairmont properties were selected for the Gold
List, up from 21 last year,” says Brian Richardson, vice president of
brand marketing and communications. “Being selected for a list
chosen solely by readers shows that travelers associate luxury and style
with our name and is a testament to the quality of the brand’s unique
collection.”
Headlining
this year’s Gold List for Fairmont was one of the company’s Hawaiian
resorts, The Fairmont Kea Lani Maui. Distinguished by Condé
Nast readers as a property where “the staff couldn’t be more
attentive or friendly,” the Fairmont Kea Lani Maui scored a perfect 100
for service, making it number one in The Best by Service for the
United States. The Fairmont Orchid, Hawaii, the newest member of the
Fairmont portfolio, also scored high with 86.6 out of 100 points for its
luxurious rooms and scenic location.
The
Fairmont Banff Springs, known as Canada’s Castle in the Rockies, scored
99 points for its outstanding, picturesque location, making it the second
Best by Location for the Americas. Other notable mentions
include the castle-like Fairmont Chateau Laurier, with 92 points in the
categories of design and service. Newcomers to the list include The
Fairmont Vancouver Airport and The Fairmont Hotel Macdonald in Edmonton.
Fairmont
Hotels & Resorts is a collection of world-class resorts and
city-center hotels that enjoy unrivalled prominence in the communities
where they are located. Operating 41 properties throughout six
countries, Fairmont is committed to providing guests with exceptional
service in distinctive surroundings. Featuring such storied hotels
as The Fairmont San Francisco, The Fairmont Banff Springs, Fairmont Le
Chateau Frontenac and The Plaza, Fairmont properties are often deemed
attractions in and of themselves. For more information on
Fairmont Hotels & Resorts or reservations, please call 800-441-1414,
or visit www.fairmont.com.
Spain Nov hotel occupancy 45.30 pct, down 5.46 pct pts
yr-on-yr
AFX - Hotel occupancy dropped 5.46 pct points
in November from a year earlier to 45.30 pct, the National Statistics
Institute (INE) said.
In
a statement, INE said a total of 3.7 mln travellers stayed in the
country's hotels in November.

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