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Soon after Flavie Thevenet first visited Cambodia from her native France more than 20 years ago, she walked past a family eating lunch outside their home on the outskirts of the capital, Phnom Penh. It was obvious that they were desperately poor, yet the family insisted she share their food, and she accepted.

Flavie, pictured below, reflects on that small act of generosity often. She’s experienced such unconstrained hospitality many times over the years – more than a decade in total – that she’s lived in the southeast Asian nation and in her current role as country manager for the tour operator Khiri Travel.

IMG_9814Though still poor and relatively underdeveloped, Cambodia has moved on and is recovering well from its nightmarish past, says Flavie, who loves the country. “People here want to move forward,” she says enthusiastically over coffee at a Siem Reap café. “So many have started from absolutely nothing, having been through terrible times in their history, and they’re making real progress, as you can see in the standards of many businesses and hotels.”

Flavie is passionate, too, about responsible tourism, which means that Khiri Travel, which is active in supporting local communities (tagline: people, planet, profit) is proving to be an excellent fit for her.

Typical of the company’s embrace of sustainability is its pledge this year to donate to youth development 2.5% of its revenue from new educational travel group bookings visiting southeast Asia. It also supports Khiri Reach, a charity to help disadvantaged people through community development, conservation and other projects.

Established in 1993, Khiri is headquartered in Bangkok and specialises in tailored inbound tours to Cambodia, Laos, Myanmar, Thailand, Vietnam, Sri Lanka and the Maldives with staff support in each: 14 in the capital Phnom Penh and four in the smaller city of Siem Reap, which is close to the Twelfth-Century Angkor Wat temple complex, below, the largest religious monument in the world.

One of its key offers is incentive experiences – at a wide variety of price points – ranging from community-based tourism and city escapes to country “immersions” throughout Indochina.

angkor-wat-3-1566714Each incentive trip that Khiri people organise is customised, and many are innovative, Flavie says. They can range from a trip on a private jet to a wedding in a preferred hotel, dinner on a private island, afternoon tea in a royal palace and a private caving expedition in the karst mountains of Vietnam.

 

A great attraction for organisers on strict budgets is that Cambodia is, in the parlance of some experts and enthusiasts, fantastically cheap. As the 1.5 million tourists who visited it last year know, this is reflected in hotel prices. According to the most recent hotels.com index that compares room rates internationally, Cambodia topped the list of cheapest hotel destinations for Aussie travellers in 2014, at an average nightly rate of AUD73, followed by Vietnam at AUD91 and Thailand at AUD113.

“The potential for incentives is wonderful here because as a MICE destination it’s really affordable as well as being authentic,” adds Flavie. “It’s not commercialised, it’s exotic and has great history; what’s more you can feel comfortable in Cambodia, it’s safe and easy to find your way around.”

IMG_9885Day on the lake

To experience a Khiri Cambodia adventure first-hand, I accompany Flavie and her colleague Bunseun You, Khiri’s branch manager based in the provincial capital of Siem Reap, on a day trip to “Komphong Khleang” in August. It’s one of several fishing villages set along the shoreline of Tonle Sap Lake, a freshwater system in the 13,000 square kilometre Cambodian floodplain about an hour’s drive from Siem Reap. It’s a hot, sunny day as we set off in a diesel-powered wooden boat to explore the vast lake, whose tea-coloured waters teem with fish.

As we chug along a narrow canal leading to the main body of the lake, we spy fishermen, their heads bobbing in the water, arranging circular nets at regular intervals. As we watch, one small group hauls a glittering catch of several hundred into a canoe.

“They get a lot here; the lake is very productive,” says Bunseun. “It’s one of the richest ecosystems in Asia.”

Soon we pass a floating community, which consists almost entirely of fishing vessels and home-made houseboats kept afloat by oil drums lashed together, moored close to each other. People in these floating villages are mostly Vietnamese, Flavie says. They’ve been living like this for centuries, since they migrated to Cambodia, and their livelihood depends mostly on their proximity to fish – fresh, smoked or salted – which they also sell at markets.

IMG_9964These villagers seem to do everything on or in the water. Next to one floating home, its deck lined with colourful flowerpots, young kids are diving and swimming. Then we pass by what appears to be a community hall afloat.

In another houseboat, whose sides are open to catch a cooling breeze, a family is gathered round a table having a meal, and a man is asleep in a hammock. Almost all the vessels have antennas, and most people we pass smile and wave, even though tourists must be a common sight here.

“It’s typical,” says Flavie. “Cambodians are so enthusiastic about sharing their food and customs and hosting visitors. It’s contagious.”

Stilt village

This is demonstrated further after we end our lake cruise and arrive at another small village. At this one, which is land-based, Flavie and Bunseun lead me to the foot of an extraordinary timber dwelling, perched on ten-metre-tall stilts. This is a necessity in the wet season when water levels can rise dramatically. Scores of these spindly homes flank a dusty street, resembling a bizarre lakeside forest.

IMG_0084The lady of the stilt house greets us shyly, her eyes curious, as we clamber up a steep flight of steps to the first level. Bunseon introduces her to us as Bun Kimheang, his mother-in-law. Bun, pictured in her home, left, bustles about, serving us a simple but delicious Khmer lunch of braised pork, rice and fresh local vegetables, which include yellow pumpkin-like portions, as well as ice-cold Angkor lager.

In the wet season the water can lap at the floorboards of these houses, says Bunseon, pictured below, and in such times travel is limited to wooden canoes and makeshift craft in which children paddle to and from school. People on some Khiri tours can actually stay overnight here, Bunseon explains. He shows me a curtained-off section of the next floor up, where mattresses line the floor. It’s minimalist and spotlessly clean.

Flavie, Bunseun and their colleagues pride themselves on being able to introduce visitors to experiences like these, and on their local knowledge. “We know the best restaurants, hotels, and transport companies by heart in Siem Reap and Phnom Penh, and many of our team possess exceptional training,” she says.

“We choose our clients and agents carefully, because our priorities are to meet customers’ expectations while always protecting the destination; we love being in Asia for the right reasons, not only for profit or because it represents a cheaper option.”

IMG_0091Other Cambodia tour options from Khiri include “Cambodian Island Paradise,” “Exotic Capital, Local Delights,” where visitors can sample Khmer food on a walking tour through the heart of Phnom Penh, and “Banteay Chhmar Tented Camp”.

The latter involves overnight stays at Khiri’s luxury tented camp surrounded by massive temple ruins in the northwest of the country, a three-and-a-half-hour drive from Siem Reap. This one-night, two-day trip starts from USD422 per person. See the video and get more information here:

https://youtu.be/N6DPSi0xhXg.

Many visitors to Siem Reap aiming to see Angkor Wat also take a drive, an hour by tuktuk or 45 minutes by cab, to the landmine museum. This is a facility started by Aki Ra, a former Khmer Rouge soldier who cleared landmines with a stick and at one stage lived in a house full of ordnance. Today the museum cares for poor children who live on the site.

How much?

Khiri packages for hotels, tour guides, transport and lunch start from around USD60 per person per day, says Flavie. Five-star hotels in Cambodia, like Hyatt, Raffles and so on start from USD150 a night in the low season from about March to October, and good four-star hotels, like the Somadevi, whose pool and gardens are pictured below, in Siem Reap, cost around USD40.

Operators’ advice

Flavie Thevenet: “I recommend that travellers to Cambodia do not limit their exploration to Siem Reap and its temples. Angkor Wat and the majesty of the Khmer Empire are mesmerising, a must-see, but many other historical and scenic places are equally appealing on a smaller scale and without the distraction of huge crowds. By spending time in the countryside, travellers have more opportunity to interact with local people. Hearing their stories is equal parts charming and inspiring.”

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Hotel operators and events organisers who don’t actively encourage tourists from mainland China could miss out on the opportunity of the century, especially in the luxury and “super-luxury” end of the market.

That’s evident from this year’s Chinese International Travel Monitor, recently released by online booking giant Hotels.com.

One of the revelations in the 2015 edition, the fourth, of the annual report into China outbound tourism is the growing financial muscle of the top 10% of spenders.

On average they shell out RMB 13,800 (AUD 2,817) a day, more than four times the spend of the average Chinese outbound traveller. But the top 5% spend even more: an astonishing RMB 20,896 (AUD 4,265) a day – indicating the emergence of a “super-luxury” class of traveller.

Chinese couple reading map on trainHotels.com’s latest report is a reminder for countries like Australia to pull out all stops to accommodate Chinese travellers and tailor their services for this market, as the potential is huge,” says Katherine Cole, Regional Director, Australia, New Zealand & Singapore for Hotels.com.

Katherine does not exaggerate. According to a Bank of America Merrill Lynch forecast, outbound Chinese travellers could number 174 million in four years’ time, spending about US$264 billion annually. That compares with around 107 million travellers in 2014. The forecast revenue is roughly equivalent to the GDP of a developed country like Singapore. “Clearly, the Chinese dragon is still building steam,” says Abhiram Chowdhry, Vice President and Managing Director APAC for the Hotels.com brand.

Australia came out on top, for the second year in a row, as the most desired destination for Chinese travellers to visit in the next 12 months. Sydney, Melbourne and Brisbane were named among the world’s top 10 cities they intend to visit.

Millennials’ growing influence

The report reveals the growing influence of Gen Y travellers, tech-savvy “millennials” aged 18 to 35. Fifty-nine per cent of hoteliers surveyed say they’ve experienced an increase in Chinese guestsaged 35 or under in the past year and they expect this trend to continue.

Meantime the use of mobile phones for planning and booking travel has skyrocketed. In the past 12 months, 80% of Chinese travellers used an online device including mobiles, desktops and laptops to plan and book, compared with only 53% last year.

The top three countries they actually visited last year were the US, Thailand and Hong Kong. The top 10% of spenders paid an average of 2,723 RMB (AUD556) per night on hotels alone.

Top 10 countries Chinese travellers say they would like to visit in the next 12 months 

Rank Country
1 Australia
2 Japan
3 France
4 Hong Kong
5 South Korea
6 US
7 Maldives
8 Germany
9 Thailand
10 Taiwan

 

To read the full report, visit www.CITM2015.com.

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In a world in which clients expect more and more, events industry professionals must stay connected to gain the insights they need to feed a winning strategy, says the General Manager of Business Events Australia. In this interview with the Siteseer, Penny Lion discusses the challenges and opportunities involved in selling Australia, the rise of China and the need, now more than ever, for meaningful communication.

Siteseer: How do you differentiate your marketing strategies from the rest of the world’s?

Penny Lion: It’s what brings us to work every day! We’re always trying to do something different. In this day and age the tourism business is so competitive, and within the business events sector it’s even more so because it’s high-yield and everybody wants their share. It’s also quite a fast-paced industry.

KI shot smallerSo if you bring out a brand-ad campaign or embark on a particular trade or marketing strategy, it’s not long before it gets noticed and followed. How do you manage that? For Tourism Australia the focus is always on what will make a difference for the customer, about thinking and knowing what it’s like to be an events planner, or a corporate or association congress decision maker. You’ve got to keep your ear to the ground and stay connected, and always deliver to their needs.

SS: Do you do that better than the opposition?

PL: I believe so, though we can always do better. Tourism Australia is widely seen as punching above its weight, and that applies to Australia in general. Our competitors at big trade shows come up to us and say they watch what we’re doing and think we do it extremely well, which is a great compliment.

Our work isn’t rocket science; we apply good old-fashioned business sense to what we do and in positioning Australia. Also, Australia is unique, though that word is often over-used. It has an incredible array of attractions.

Much of our job is to convert latent demand, because we pitch in at number one or two on everyone’s bucket list. From a corporate incentive point of view, coming to a long-haul destination is perceived to be problematic, and [there are factors like] lack of annual leave or other perceptions that make people wonder whether coming to Australia is the right thing.

SS: So how do you overcome the perception Australia is a long-haul destination, and an expensive one?

small bennelongPL: When you think about barriers to entry, time difference and cost are the things people obviously look at when they’ve got budgets and time frames to manage. But the key is always proving the business case, and we know Australia delivers and adds tremendous value. When events visitors get on the aircraft they may realise it’s not as onerous a journey as they’d first imagined. And once they’re here the experience is great. No one ever leaves Australia saying it was so far away. They go home saying it was the most memorable experience they’ve had.

That’s what we’re trying to deliver on, the emotional connect we’re looking for. We can’t change where we are.

SS: Do you think Australia unfailingly delivers a great experience?

PL: I do, across the board. It’s stating the obvious perhaps, but it’s a multi-destination country. People might come as first-time visitors to an event in Sydney, and connect with the Whitsundays. The next time they might go to Perth and Darwin. There are so many experiences, and they can have variety, time and again.

People are incredibly important in this equation, and Australians generally are down to earth, and we don’t over-promise and under-deliver. When business tourists get here they find we’re also people who don’t say no very often. We make it happen. Decision makers and competitors in the business events industry around the world see that, and it’s a big tick.

SS: You don’t believe there’s a perception that its infrastructure and hotels sometimes don’t match what Asia has to offer, for example?

09 Great Hall half modePL: I think what’s happening across China, in particular, is incredible. The size of their infrastructure – how can anybody really compete with that? But in Australia there’s been strong investment over the past few years. Hotels have been popping up, and they’re differentiated. They’re not all five-star. Some are quite unusual in the boutique experiences they offer. In Brisbane, for example, some of the new hotels are quirky, with beautiful artworks from local artists. It’s a different experience.

Beyond that every capital city has been building new infrastructure as part of our Tourism 2020 strategy, ensuring that, with the industry, we’re introducing additional dollar investment, more hotels and more air capacity. That’s been happening across the board. The convention centres, too, have been undergoing big improvements.

SS: Well nearly every major Asian city has or is building a congress centre. How challenging is it for Australia to lure business to our own?

PL: It’s not just every Asian city, it’s every city in the world. It’s seen as a high-yield sector. In Nigeria recently an incredible convention centre opened. Just about everybody now has one, and new infrastructure is constantly being created. Where I believe Australia does incredibly well is in the fact that we have outstanding convention facilities that are mostly within walking distance of city centres. Think about Brisbane, Sydney, Melbourne; the facilities are in the heart of the city.

Darwin Convention CentreOne of my colleagues in America recently had to commute between a hotel in a city and its closest convention centre, and it took two hours each way. We don’t have that problem. Also, the food and beverage offering we have in our convention centres is outstanding, as are the AV and other services. You don’t get the same holistic services in many others around the world.

SS: Are you happy with the new Sydney convention centre that’s taking shape?

PL: Absolutely. It has attractions like open-air-events spaces, and again from a proximity-to-the-city aspect, it provides so many options.

SS: How can industry assist Tourism Australia in creating more awareness of the key selling points of our destination?

PL: Our job as a national tourism organisation is to promote Australia overseas, to increase consideration of the destination. But in the business-events space, decision makers need a lot more detail than those, for example, who might just be planning a holiday. The latter tend to do much of their own research. Decision makers and events planners are time-poor, so they need to be inspired and informed on a regular basis about what they can do in Australia.

Our job is to try to make it as easy as possible for them to do that. We assist by providing a lot of information on our website, digital comms and more.

What we need industry to do is feed us information. We’re always asking for what we call new news. If there’s a hotel that has a new rooftop space or brilliant new F&B menu, an event agency that’s come up with a new theme, or a production agency that has new AV technology that can be on-sold, or there’s a new city walking tour, we need to know.

Sydney ICC Hero shotWe’re encouraging industry to send such news to us regularly. It can be just news bites, a few sentences; it doesn’t always need to be well-crafted PR releases. Then we can pick up the phone and talk to people, and if it’s appropriate, push out to the international market. It’s a free PR service really!

SS: Is it hard to get that kind of communication happening?

PL: Yes, industry is busy. The tourism game is infamous for working hard. It’s not front of mind for them to consider new ideas for Tourism Australia. However some are very good about contacting us, and we have a member of our team who’s out and about and meets with industry and reminds them about what we’re looking for. And our newsletters remind people to stay in touch. It’s our job to make sure Australian industry know what we’re doing and how we can help them and their businesses if they are ready to market themselves internationally.

So that’s a takeout: contact us with information! Email me direct at plion@tourism.australia.com and my colleagues and I can follow up.

SS: Have you witnessed any significant change in business since the Australian dollar was closer in value to the US$?

PL: Our lead time for events is quite long, but if people want to come here, and they did this even when our dollar was stronger, they make it happen. If they had ten thousand dollars to spend, they’d come to Australia with that amount. They mightn’t have done all they wanted, but they still came. Now their ten thousand dollars goes further.

It’s not within our control though. There’s nothing we can do about [fluctuating currency]. We’ve just got to sell the emotional side of the experience.

Cape Tribulation 2SS: Is Tourism Australia focusing more on China as a prime source of business for the short and long term?

PL: It’s not the only focus but it is a key one. We’re working towards our target of delivering more than $115 billion in international tourism expenditure by the year 2020, and China will contribute $13 billion of that. When you think about all the countries whose people travel here, it’s a major chunk. You have the rise of the middle class in China, we’re the closest Western destination, and there’s hardly a time difference. Yet it’s our landscape, fresh air and blue skies they love most.

Bear in mind though that it’s not just Australia that’s looking to China. Every other destination now has offices there. We have a great team of experts who work in that market, and good research on the customer to inform our activity.

SS: That clean and green aspect, how important is it?

PL: If you travel to Shanghai or Beijing, what can look to be a foggy day is often smog. We had a group from China in Sydney recently and hosted them for lunch at a venue with a city aspect. They couldn’t believe it was winter; it was a balmy nineteen degrees, the sun was shining and they couldn’t get over how clear the air was. They loved it.

I should add that the maturity of Chinese business events travellers today is remarkable. I remember sitting down some years ago with a group when they first came to Australia. They didn’t have much English and didn’t really understand our country. Fast forward and they’re all speaking English, and they “get” us. The connection seems to have happened fast, and it represents a fabulous opportunity.

IHCSun 111SS: Do Chinese business events visitors increasingly have expectations about services tailored to their needs, like menus in their own language?

PL: This is something Australian businesses should be thinking about. It’s going to be a key market, and therefore a key consideration is providing information in language. Visitors want to turn on the TV in their hotel room and get Mandarin or Cantonese programs, or simply have a Chinese option on the breakfast buffet. Having said that, I don’t think the Chinese expect quite as much as they used to. They seem to be more accepting of Western ideas, accepting that in Australia you’re not going to get much of a true Chinese experience. That’s why they travel.

Language is key to culture, however, and while Tourism Australia works in so many markets, we knew we needed a dedicated website written in Mandarin and hosted within China to ensure an excellent user experience. This is key to communicating effectively with the Chinese market; we’ve even factored in how they digest and navigate web pages.

SS: What other significant changes are happening in the industry in your view?

PL: I speak to a lot of people on a regular basis, and they’re telling me how different the landscape is. It used to be that a convention bureau might put together a simple proposal about what hotel product might be available and what the centre space might be. Now, clients expect more, much more. We have to factor in, for example, what priority sectors are important, or how associations overseas can align with experts in science or health.

Four Mile Beach Pt DouglasThere’s more emphasis today on connecting people. We have strong pillars for Australia in our people, products and places. That’s so important for industry, to make sure it isn’t just about offering logistics. Increasingly, research shows that, from an events perspective, business people want to connect and understand more about Australia.

That means when they come here they don’t want to be stuck in conference rooms all the time, they want to go out and experience the country and its people. Our industry has to get better at putting together programs that do that. The point is, how do they go a step above and differentiate themselves from New Zealand, Singapore, Fiji and elsewhere?

Moreover part our job [in relation to] industry is to be able to say, if you’re unsure, particularly if you’re delving into the international marketplace, get in contact, because we have insights into what works and what doesn’t, and how you can nuance messaging for international markets.

Even if they’re doing a test-and-learn into a market they’re thinking about working in, we can provide platforms for industry to attend as participants, such as our showcases, or events like the IMEX trade shows. That’s really important too.

PENNY INSIGHTS

As General Manager of Business Events Australia, a division of Tourism Australia, Penny Lion is responsible for raising awareness of her country as a business events destination and helping persuade decision makers to visit it. In her previous role she was General Manager for UK/Europe at corporate events management agency CI Events. She has been in her current position at Tourism Australia – a government authority tasked with the promotion of the country as an international tourism destination – since 2010.

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