NORTH AMERICAKOREAJAPANCHINAASIA PACIFICEUROPEINDIA : NORTH AMERICA KOREA JAPAN CHINA ASIA PACIFIC EUROPE INDIA PHILIPPINE TOURISM MARKETING EFFORTS:
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Source Markets Performance : Source Markets Performance
Source Markets Performance : Source Markets Performance
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Slide6 : 2006 Volume: 600,000 (25% increase)
100,000 increase every year from 2006 - 2010 Target Arrivals
Slide7 : Market Trends TRAVEL TRADE OVERVIEWS Top 10 travel agencies are handling half of the group travelers in Korea.
Southeast Asia and China accounts for 60% of Korean outbound market.
Southeast Asia markets are popular especially for the middle and silver aged groups.
The Philippine market is relatively strong to the 20s-30s age bracket due to increases
in the ESL and honeymoon markets.
The five-day work week increased demand for travel thus eliminating the lean
seasonality. Young office workers enjoy short-itinerary thus proximity of the
Philippines makes it attractive to them.
Marketing efforts of travel agents in 2006 will concentrate and focus on FIT’s.
Big name tour operator are coming out with their own branding name for FIT tour
programs
Slide8 : Overview of Major Travel Agents’ Marketing Plan for 2006 Travel Agency
Hana Tour
Mode Tour
Freedom Tour
Tour 200
Tour Express
Focus Tour Marketing Activities
Development of new on-line services and strengthening of on-line infrastructure and business.
Sponsorship of popular dramas and TV commercials.
Inclusion of corporation PR, customer events as well as TV, magazine, on-line advertising.
Opening of new overseas branches and expansion of international marketing activities
Creation of special sales team who will focus on F.I.Ts, incentive group, and student group.
Sizing up of franchise agencies around the metropolitan cities.
Strategic alliance with banks, media, internet portal sites, and shopping malls. Market Trends
Market Segments : Holiday Seekers Honeymooners Students
(Study tours-Learn English Program) Special Interest Groups
(Golfers, Divers, Other Sports Enthusiasts) Incentives
(Korean multinational companies with branches in the Philippines) Market Segments
Slide10 : Work Program
Slide11 : Work Program
Slide12 : Work Program
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Traveler Profile: North Am : Traveler Profile: North Am
Vision Statement : Vision Statement To make the Philippines among the top 5 Asian tourist destinations among U.S. and Canadian travelers, within 5 years.
Based on 3 Million Target Arrivals : Based on 3 Million Target Arrivals Market Actual Volume % Increase
Share (%) of Arrivals (over 2005)
USA 21 % 630,000 19 %
Canada 2.8 % 84,000 15 %
Total 714,000
(23.8 % market share of 3 Million Total
Visitor Arrival Target for 2006)
Slide17 : Target Market Segments/Niches Fil-Americans/Fil-Canadians
1st Generation
2nd Generaration
3rd & 4th Generation
Non-Filipinos
Leisure with health & wellness
Golf
Diving & other adventure sports
History and culture
Strategies : Strategies PRODUCT
For Filipinos
Introduce attractive family oriented tour packages, health & wellness including medical tourism packages,
- include activities on investment, retirement and business opportunities primarily for 1st generation
Develop & introduce product/s that would enable
2nd, 3rd & 4th generation to trace their roots
For Non-Filipinos
Strengthen existing ones – golf, beach holidays, diving, historical
Introduce health & wellness tours
Strategies : Strategies PRICE
Offer products that are value for money
PLACE/DISTRIBUTION
Strengthen linkages with tour wholesalers, ticket consolidators, airlines
Fully utilize internet
Strengthen tie-ups and alliances between U.S. Fil-Am Associations and Philippine based organizations
Strategies : Strategies PROMOTION
Introduce sales promotion to shorten travelers’ buying process, thereby, resulting to warm bodies (from awareness convert to visitor arrivals)
Intensify publicity and dissemination of information on new & existing products, facilities, sales promo offerings, new trends
Develop positive image for the Philippines as part of “Image Building”
Maximize invitational program for trade & media
Continuous participation in trade & consumer shows
Slide21 : Work Program Flagship Campaign – “The Philippines: Explore, Experience, Return”
“The Great Philippine Free Flight Giveaway”
“Out of the Box” promo
2nd Ambassador / Consuls General Tour to the Philippines (July 2007)
“See You In Asia” Campaign
Travel Agents Specialist Program
Slide22 : Commemoration of the Centennial of Filipino Migration to the USA (whole year)
PR / Publicity plan
Trade and Media Invitational Travel
Brochure Support for wholesalers
Participation in Trade and Consumer Shows in US & Canada Work Program
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Slide24 : 127, 417,244 Japanese, around 42% live in the greater Tokyo and Osaka areas.
85% middle class.
Highest life expectancy in the world: 78 for men and 84 for women.
Shrinking and “graying” population due to falling fertility rate (1.39) of women.
19% of total population is aged 65 and will exceed 1:4 by 2015.
The rapid “greying” of Japan is accompanied by a changing lifestyle with:
Increased free time and savings to spend
Travel viewed as part of a balanced lifestyle, not as a reward for hard work Profile
Slide25 : Highlights:
Approximately 17.4 million Japanese traveled overseas in 2005, an increase of 3.6% over the previous year.
Top overseas destinations of Japanese in 2005 were U.S., China, and Korea.
A total of 415,456 Japanese visited the Philippines in 2005, which represents an increase of 8.7 % over the previous year and a market share of 15.8%.
Sources: JTB Report 2005/ Japan Ministry of Justice/ Travel Journal/ Japan Travel Bluebook/
Philippine Department of Tourism. Outbound Travel Market
Slide26 : Japanese Women Travelers Of the 35.06 million Japanese women in their 20s to 50s,
7.21 million have abundant overseas travel experience. Estimated population
of women in Japan = 65,100,000
Japan’s Independent Women : Japan’s Independent Women
Source: Monitor Japan Philippines Travel Survey 2005 (n=3,808, weighted) Independent Women are younger women who seek culinary, historic and natural experiences when traveling overseas Local cuisine & drinks
Historical landmarks
Natural beauty and landscapes
Spa/ relaxation
Enjoyable
Pleasant
Poor health standards
Unsafe
Politically unstable
Unclean/unhygienic
Background
Typically younger females
Many are single, mostly no children
Typically “office ladies” – secretarial and clerical, part-timers
Low to average annual HH income, but relatively high disposable income
Ride the subway every day
Go to the movies and sing karaoke a few times a month Characteristics
Prefer “Free-time” package
No particular accommodation preference, but minimum acceptable threshold is “standard”
Widely travelled – travel to both mainstream (e.g. Hawaii) and exotic (e.g. Egypt) destinations
Influenced by travel pamphlets and friends
Slide28 : 1,000,000 Active Divers or 6% of Total Japan Outbound 17.5 M Total Japan Outbound 3 million total divers
2.5 million certified divers
1 million active divers Japan Outbound Dive Market
Slide29 : By 2010, Japanese baby boomers will contribute an additional 7 million retirees! Japan’s Senior Citizens: The “Super-Aging” Society World Ranking of Countries
with the Highest Population of Senior Citizens Source: United Nations, World Population Prospects, 2000
Japan’s Senior Citizens : Japan’s Senior Citizens Seniors are men and women over 60 years of age who seek natural and historic experiences when traveling overseas.
Source: Monitor Japan Philippines Travel Survey 2005 (n=3,808, weighted)
Japan Travel Blue Book 2003 / 2004 Natural beauty and landscapes
Historical landmarks
Galleries and museums
Hygeine
Health
Terrorism
Personal Safety
No activities for women
Ability to communicate
Background
Mostly married and have children
Mostly housewives or retired
Highest level of disposable income
Often take trains / subway, buses
Enjoy occasional driving, movies and Sports events
Characteristics
Freer to travel at any time
Prefer to travel on all-inclusive full package tour with their spouses
Experienced travelers, over-index in travel experience in all regions
Take 1 or 2 overseas holiday every year with average yearly spend of Y418K per person (higher than the average)
Low positivity but high information search
Influence by newspaper is important
Slide31 : PR CAMPAIGN
JOINT BROCHURE PROMOTIONS WITH JAPANESE WHOLESALERS
PRODUCTION OF COLLATERALS
TRADE FAIRS
Marine Diving Fair (April)
Tour Expo (May)
JATA World Congress and Travel Fair (September)
PHILIPPINE BUSINESS MISSION
REGULAR MARKETING ACTIVITIES OF OVERSEAS OFFICES
Sales calls and sales presentations
Market intelligence
Philippine tourism seminars
FAM TOURS
Agents
Media
IMPROVEMENT AND UPGRADING OF LOCAL PRODUCTS and SERVICES Work Program
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
TARGET ARRIVALS FOR 2007 : TARGET ARRIVALS FOR 2007 Visitor arrivals 2006 – 133,585
Target arrivals 2007 – 175,000
Increase – 41,415 or 31%
MOA BETWEEN DOT AND CNTA : MOA BETWEEN DOT AND CNTA Memorandum of Understanding between The Government of the Republic of the Philippines and the Government of the People’s Republic of China Concerning Tourism Cooperation was signed in September 11, 2002 valid for five (5) years and shall be automatically renewed unless either of the party deem otherwise.
The implementation program was signed in September 01, 2004 valid for two years.
Important points
Exchange of Tourism Professionals and Administrators
Joint Promotion
Language and Cultural Training
Tourism Investment
Major concern : To renew the Implementation Program with CNTA.
AIR SEATS CAPACITY CHINA TO THE PHILIPPINES (DIRECT FLIGHTS ONLY) : AIR SEATS CAPACITY CHINA TO THE PHILIPPINES (DIRECT FLIGHTS ONLY)
PHILIPPINE TOURISM OFFICES IN CHINA AND THEIR AREA OF JURISDICTION : PHILIPPINE TOURISM OFFICES IN CHINA AND THEIR AREA OF JURISDICTION Shanghai Cluster
Largest center of FIE companies
Cluster of affluent and worldly Tier 2 cities
More family oriented
Strong presence of Family with Kids groups Guangzhou Cluster
FIE and HK invested companies
Strong culture influence from Hong Kong
More independent minded
Strong White Collar, including weekend travelers Beijing Cluster
Political center of government and SOE
Also cluster of IT/ telecoms industries (big sponsors)
Stronger presence of Incentive Travelers Beijing Cluster Cities
Beijing, Tianjin, Shenyang, Dalian, Ha’erbin, Jinan, Qingdao, Changchun
Shanghai Cluster Cities
Shanghai, Nanjing, Suzhou, Wuxi, Hangzhou, Ningbo, Wenzhou, Wuhan, Shaoxing
Guangzhou Cluster Cities
Guangzhou, Shenzhen, Xiamen, Fuzhou, Dongguan, Zhongshan, Zhuhai, Shantou, Foshan, Haikou
HIGHLIGHTS OF 2006 ACCOMPLISHMENTS : HIGHLIGHTS OF 2006 ACCOMPLISHMENTS Participated in nine (9) trade/travel/consumer fairs and garnered citations/awards
Guangzhou Int’l Travel Fair (Guangzhou)– Best Booth Design
Qingdao Int’l Tourism Expo – (Qingdao) Best Booth Decoration and Best in Organization
3rd China-ASEAN Expo (Nanning) – Best in Creativity Award
China International Travel Mart (Shanghai) – Citation for the Philippines as one of the Top 10 Rising Destinations for Chinese Outbound Tourists and Top 10 MICE Destinations for Chinese Outbound Tourists
Citation by Travel Weekly China for Secretary Joseph Durano as Destination Marketer of the Year
HIGHLIGHTS OF 2006 ACCOMPLISHMENTS : HIGHLIGHTS OF 2006 ACCOMPLISHMENTS Promotion of Davao as a new product
Worked towards the resumption of direct flights from Guangzhou to Manila with China Southern Airlines
Establish linkage and networking with operators from 2nd-tier cities (Chengdu, Qingdao, Tianjin, etc.)
Strengthening of DOT offices in China (Market Reps in Shanghai and Guangzhou)
Positioned the Philippines as a destination for relaxation, beach, nature, friendliness and value
Strengthened partnership with and support from Chinese travel trade and inbound tour operators in the Philippines
THRUSTS FOR 2007 : THRUSTS FOR 2007 Tap key incentive trade partners in order to attract more tourists from the incentive / corporate market segment
Sustain growth from Beijing cluster and maximize outputs from Shanghai and Guangzhou clusters
Strengthen trade and media network to establish stronger presence in China
Target secondary cities which have experienced economic growth
Work towards increased capacities (air seats, rooms) and improved support services to cater to the needs of Chinese travelers
2007 CALENDAR OF ACTIVITIES : 2007 CALENDAR OF ACTIVITIES Shanghai
Travel trade fairs participation
1. IT & CM (Incentive Travel & Conventions, Meetings) New Shanghai Exhibition Center, 23-25 April 2007
Tourism Conference Travel Mart
1. Philippine Tourism Conference Shanghai, China, 22 April 2007
Consumer Travel Fair
1. ISPA 2007 Shanghai, China, 7- 9 June 2007
2. Golf Style Shanghai, China, November 2007
3. Luxury Travel Fair Shanghai, China November 2007
Advertising – Print ads, Outdoor Ads (year round)
Familiarization trip for media and trade (year round)
Joint promotion with Chinese travel trade sector
China travel wholesalers and agents counter staff seminar (to include 2nd tier cities)
Sales calls to Shanghai and 2nd tier cities
In-store promotion Raffles Department Store (June 2007)
2007 CALENDAR OF ACTIVITIES : 2007 CALENDAR OF ACTIVITIES Beijing
Travel trade fairs participation
1. China Outbound Travel and Tourism Market (COTTM) China World Trade Center, 14-16 May 2007
2. China International Business Incentive Travel Mart China World Trade Center, 8 – 10 July 2007
3. Jinan Tourism Event Jinan, China, 8 – 10 September 2007
Tourism Conference Travel Mart
1. Philippine Tourism Conference Beijing, China July 2007
Advertising – TV, Print ads, Billboards (year round)
Familiarization trip for media and trade (year round)
Joint promotion with Chinese travel trade sector
China travel wholesalers and agents counter staff seminar (to include 2nd tier cities)
In-store promotion Wangfujing Road (March 2007)
Sales calls to Beijing and 2nd tier cities
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Slide43 : 2006 HIGHLIGHTS ASIA PACIFIC
Slide44 : 25 Travel Trade & Consumer Fairs
AUSTRALIA 6
HONG KONG 3
SINGAPORE (ASEAN) 11
TAIWAN 5
Slide45 : Asia Dive Expo
Slide46 : Trade & Media Invitational Groups
AUSTRALIA 10
HONG KONG 8
SINGAPORE (ASEAN) 10
TAIWAN 27
TOTAL 55
Slide47 : ASIA PACIFIC 2007 Work Program
Slide48 : SINGAPORE 2007 Target Arrivals (ASEAN) : 237,237
Singapore : 95,043
Malaysia : 57,747
Target Segments : Group Corporate Travel
FITs
Honeymooners / Couples
VFRs
Students & Church- based groups (community immersion)
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
SINGAPORE : SINGAPORE
Slide58 : 2007 Target Arrivals : 133,750 - 139,100
Target Segments : Families
FITs
Honeymooners / Couples
Niche Travelers
- divers, ecotourists, watersports lovers HONG KONG
HONG KONG : HONG KONG
HONG KONG : HONG KONG
HONG KONG : HONG KONG
HONG KONG : HONG KONG
Slide63 : HONG KONG
Slide64 : TAIPEI 2007 Target Arrivals : 128, 400
Target Segments : Group Travelers
FITs (Business)
Honeymooners / Couples
Incentive Travelers
Niche Travelers
- diving, health & wellness,
gaming & ESL
Slide65 : TAIPEI
Slide66 : TAIPEI
Slide67 : TAIPEI
Slide68 : TAIPEI
Slide69 : TAIPEI
Slide70 : TAIPEI
Slide71 : TAIPEI
Slide72 : SYDNEY 2007 Target Arrivals : 112,516
Target Segments : Women
Families
Divers
Honeymooners
FITs
Slide73 : SYDNEY
Slide74 : SYDNEY
Slide75 : SYDNEY
Slide76 : SYDNEY
Slide77 : SYDNEY
Slide78 : SYDNEY
Slide79 : SYDNEY
Slide80 : SYDNEY
Slide81 : INSTITUTIONAL ACTIVITIES c/o ASPAC
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
GERMANY : GERMANY Travel trade
Caravan Motor Und Touristic 13-21 January
Dresden Reisemarkt & Reise Messe Leipzig, 26 January
Presentations, road shows sales calls, joint promotions
Meieser Far East Live Seminar, 2-5 May
DERTOUR Road show, August
Cathay Pacific Super City Road show, April – September
Travel Agents & Client Joint Philippine Presentation, September – October
Invitationals
Production of collateral materials
RUSSIA : RUSSIA Travel fair
Kazakhstan International Tourism & travel Fair, 26-28 April
Leisure Fair 2007, September
Presentations, road shows sales calls, joint promotions
Far East Sales Mission, May
Regional presentation & workshop, Ocotber-Novenber
Advertising / Joint promotion
Travel guidebook in Russian language
Far east charters
Invitationals
UNITED KINGDOM : UNITED KINGDOM Travel fair
Holiday World & Travel Show, 12-14 January
Holiday World and Travel Show, 19-21 January
Destinations, 1-4 February
Joint sales and promotions
Advertising support for Tour Operators, January - May
Advertising & media support
Internet communications plan
Taxi promotion campaign plus, April 2007 – March 2008
Familiarization trips for trade, media, and consumer
Invitationals
INSTITUTIONAL PROJECTS : INSTITUTIONAL PROJECTS World Travel Mart, November
International Tourismus Borse, 7-11 March
OTHER STRATEGIC INTITIATIVES : OTHER STRATEGIC INTITIATIVES Maintenance market: The Netherlands
Exploratory Market: France and Scandinavia
Europe Dive Campaign:
Germany: Boot Fair (20-28 January), joint advertising campaign, joint promotions (Roger tours)
U.K.: Travel Trade: London Dive Show (10-11 March) & Dive Birmingham (13-14 October); Fam tours for dive operators; joint promotions with British Sub-aqua Club; production of promo mats: Dive Brochure and dvd
OTHER STRATEGIC INTITIATIVES : OTHER STRATEGIC INTITIATIVES Europe Dive Campaign, continued:
Russia: Dive Festival (15-17 February), joint promotions with dive clubs, dive website initiatives
Spain: BCN Dive & Expovaccaciones, joint dive promo program with Abando Dive Center & Ultima Frontera, fam trips for dive trade and media
Italy: EUDI, Milan (17-21 January), sales calls and joint promotions, fam trips and production of dive promo mats
France: advertising
OUTLINE OF PRESENTATION : General Overview of Arrivals
Market Overview, Strategies & Programs:
Korea
North America
Japan
China
Asia Pacific
Europe
India OUTLINE OF PRESENTATION
Profile : Profile Reference: Tourism Research & Statistics Division 2005 & 2004
Objectives : Objectives Develop awareness of the Philippines as a new destination for shopping, entertainment and leisure
Enhance and facilitate air access to the Philippines
Strategies : Strategies Initiate marketing and promotions in high tourist traffic centers, e.g. New Delhi and Mumbai
Establish linkages and network with Indian travel agents and foreign carriers with access to the Philippines
Arrivals 1996 – 2010 : Arrivals 1996 – 2010 Volume 16,062 20,945 18,570 14,826 18,221 22,700 68,100 132,795
Growth Rate 29.12% 18.26% (0.36%) (3.67%) 15.44% 8% 100% 50%
% Share 0.78% 0.97% 0.93% 0.77% 0.80% 0,81% 1.86% 2.65% 34,050 102,150
Major Tourism Markets : Major Tourism Markets 2006 2008
1 Korea 572,133 USA 504,431
2 USA 567,355 Korea 524,388
3 Japan 421,808 Japan 369,906
4 China 133,585 China 145,782
5 Taiwan 114,955 Taiwan 100,144
6 Australia 101,313 Hong Kong 81,148
7 Hong Kong 96,296 Australia 81,174
8 Singapore 81,114 Singapore 76,314
9 Canada 80,507 India 68,100
10 United Kingdom 68,490 Canada 66,419
11 Malaysia 53,279 United Kingdom 58,674
12 Germany 51,402 Malaysia 54,267
13 Guam 37,445 Germany 41,412
14 Thailand 26,441 Guam 30,641
15 India 22,703 Thailand 23,485
Target Market Segments : Target Market Segments General leisure market focused on family travel with interest on shopping, fun, recreation and entertainment for kids
Business and company travel with propensity for shopping and entertainment
Target Market Areas : Target Market Areas New Delhi the capital city and seat of government has a total population of 15 Million
Mumbai the industrial and business center of India with population of more than 17 Million
1st Philippine Sales Mission to India : 1st Philippine Sales Mission to India
Tour Packages with Airlines : Tour Packages with Airlines
Work Program : Work Program Travel Trade
Outbound travel Mart (Mumbai and New Delhi)
Familiarization trips (April and July 2007)
Media
Advertising in Travel Talk, Selling World Travel, Premier, Plaza Time, Page 3, India Today Travel Plus, Tourism & Wildlife
Familiarization trips (March 2007)
Joint Promotions with:
New Delhi: Hindustan Times and Times of India (What’s Hot?)
Mumbai: Hindustan Times Mumbai & Times of India (Bombay Times Travel)
Work Program : Work Program Establish and sustain marketing offices in New Delhi and Mumbai
Network with airlines to encourage direct flight from New Delhi and Mumbai to the Philippines
Work closely with Bureau of Immigrations and with the Department of Foreign Affairs for the easing of entry requirements to the country from India
Primer on Issuance of entry visa
Contact Details : Contact Details