By Ollie Quiniquini and Mak Ying Kwan
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“Australia was number 10 a few years ago, but in 2007, it became the Philippines’ fifth largest inbound market (after South Korea, the US, Japan and China) with 112,466 arrivals.”
Mr Eduardo Jarque Jr
DoT undersecretary tourism planning and promotions
Picture by Ollie Quiniquini
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Asian markets are becoming top producers for incentives to the Philippines now that European incentives to the country are slowing down.
Marsman Drysdale Travel tourism services director, Mr Pedro Young, said European incentives were waning due to air access problems, the lack of MICE promotions in Europe and competition from other destinations.
On the other hand, Asian companies are looking for new destinations for their incentive tours, Department of Tourism (DoT) Team Asia Pacific marketing head, Ms Rica Bueno, said. “Manila’s attraction lies in shopping, entertainment and pampering (spas) while destinations outside Metro Manila are chosen for their beach holiday components and countryside sightseeing.”
In recent years, Singapore, Taiwan, Malaysia, China and India have become strong generators of incentive business for the Philippines. In 2007, at least five medium-sized incentive groups visited the Philippines. Malaysia’s Hong Leong Assurance Company sent 496 of its top agent producers to Manila and Tagaytay in five batches, while Taiwan’s PC Life Insurance Group also chose Manila for its group of 250. Singapore’s Prudential Assurance Company opted to send 600 people to Cebu. Kodak India combined Manila and Cebu for its dealer incentive tour for 125 top executives last September, while a 70-member delegation from ABN Amro Bank India held a four-day conference in Manila.
So far this year, Beijing Hyundai Motor Company sponsored 567 executives for its annual dealership incentive trip and conference in Cebu. This was the first time the company held its conference in South-east Asia. Adidas Taiwan took an incentive group of 131 to Manila.
Asian incentives, including those from China, are mostly high-yield affairs, as groups seek four- to five-star hotels and high-value activities such as shopping, golf, wellness services and day tours. Philippine Straits Travel Agency president, Mr Johnson Cheng, who handled the Beijing Hyundai group, estimated the average Chinese incentive traveller spent US$250 to US$300 per day inclusive of accommodation.
Select Travel Services consultant and marketing director, Mr John Emsermann, who handled the Kodak India incentive, cited India, Indonesia, Thailand, Singapore, Malaysia and Vietnam as holding great potential for Philippine incentives. He suggested the Philippines holds a special show for Asian MICE and leisure buyers. “Asians, Europeans and Americans all want different products. It would be good to have a dedicated travel show for the Asian market. It is not far for them to travel and they are most likely to come.”
In Australia, event planners are reporting a “sudden” interest in the Philippines as an incentive destination from their corporate clients. Sydney-based Catalyst Marketing general manager, Mr Nicholas Bensley, told TTGmice at the recent AIME (Asia-Pacific Incentives and Meetings Expo) he first noticed this at the end of 2007. According to him, “the “buzz” has continued into 2008.
“Colleagues from other incentive and event planning companies also have clients starting to ask about the Philippines,” he said.
Mr Peter McDougall, company secretary for Go Vita, a vitamin and health supplement distributor from New South Wales, listed the Philippines as one of the Asian countries being considered for its 2010 programme which will last for four nights for about 150 distributors.
Mr Bensley said: “About two years ago, the focus was on Dubai. In 2007, it was Vietnam, which is still hot. But so far in 2008, the Philippines seems to be getting the attention.”
“I was surprised at first,” he added. “But they (the DoT) have started to build up their presence as a meeting and incentive destination.”
DoT undersecretary tourism planning and promotions, Mr Eduardo Jarque Jr, said there were 11,218 arrivals from Australia to the Philippines in January this year, an increase of 19.2 per cent over the same month last year.
Australia is moving up the ranks of the DoT’s top visitor-generating markets. Mr Jarque told TTGmice: “It was number 10 a few years ago, but in 2007, Australia became the Philippines’ fifth largest inbound market (after South Korea, the US, Japan and China) with 112,466 arrivals.”
DoT Tourism attache Australia and New Zealand, Ms Consuelo Garcia Jones, said she expected an eight per cent growth in arrivals this year. She added the increased flight capacity from Philippines Airlines’ two additional flights from Manila to Sydney and Melbourne would help achieve this target.
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