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Sichuan Airlines welcomed by Tourism Australia


Tourism Australia Managing Director Andrew McEvoy said the new direct service between Chengdu and Melbourne, predicted to be launched by Sichuan Airlines, was the most recent example of the China development opportunity being accomplished.

“Chengdu represents one of China’s fastest emerging secondary cities and largest aviation hubs in central western China, and has the potential to open up significant new markets for us. Our research has clearly demonstrated the appetite for travel amongst the new middle classes in these cities but, to fully realise these opportunities it’s critical that we get more capacity and, in particular, more direct flights,” Mr McEvoy said.

He said that Chengdu was one of 3 new cities in China that Tourism Australia planned to focus on next year, using funds from the Government’s new Asia Marketing Fund, and as part of its wider China geographic approach of deepening its marketing footprint into the country’s secondary cities.

In April this year, Tourism Australia led a delegation of Australia’s major airports, including Melbourne, to Chengdu, to attend Routes Asia 2012 – Asia’s leading aviation route development forum.

“Securing more aviation capacity into Australia from China was a key feature of our discussions and networking in Chengdu. It was also a great opportunity to demonstrate to Asian carriers our industry’s renewed commitment towards speaking and acting with a single voice when it comes to marketing our country overseas.

“Melbourne Airport are to be congratulated for their foresight in developing such strong links with Chengdu, through the ‘sister airport’ relationship they established at Routes Asia. Their success in securing Sichuan Airlines represents a significant win for this ‘Team Australian’ approach and, together with Tourism Victoria, we plan to market this new route hard,” Mr McEvoy said.

Mr McEvoy said that growing the China inward bound market was critical to Australian tourism attaining its Tourism 2020 goal to double overnight visitor expenditure to up to A$140 billion annually by the end of the decade.

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Tourism in China contributes more to GDP than automotive manufacturing


The travel and tourism industry in China is substantially bigger than automotive manufacturing and supports almost as many jobs as the mining sector. This is according to new research from the World Travel&Tourism Council (WTTC) sponsored by American Express, released today during a speech by WTTC’s President&CEO, David Scowsill, at the “International Tourism Industry Expo” in Guangdong, China.

The research, undertaken by Oxford Economics, shows that the sector’s direct contribution to China’s GDP is CNY1.2 trillion, which is 13% more than the contribution to the GDP of automotive manufacturing and larger than communications services and the education sector.

Travel and tourism’s total contribution to GDP in China was around 9% of total GDP. This compares to 8% for automotive manufacturing, 7% for education, and 5% for communications services.

With 62 million direct, indirect, and induced jobs in China, travel and tourism supports more jobs than the financial service sector’s 48.5 million.

The new research also showed that travel and tourism’s contribution to GDP is growing faster than most other sectors in China. It will grow by more than 9% over the next ten years, a faster growth rate than the total economy (7.6%).

Compare Car Hire ChinaIt highlights that travel and tourism is a significant source of exports for revenue for China. In 2011, visitor exports totaled over CNY 300 billion, which was 27% of all service exports and 2% of all exports (including goods and services).

The study also compared the effect of travel and tourism spending on GDP and the wider economy.

In China, CNY6.4 million (US$1 million) in travel and tourism spending:

• generates CNY8.9 million ($1.4 million) in GDP, which is greater than all studied industry sectors except for education

• generates CNY959,000 ($150,000) in the agriculture sector

• generates CNY425,000 ($67,000) of gross value added in the transport and storage sector

• supports 144 jobs, which is more than financial services (93 jobs), auto manufacturing (83 jobs), and communications services (83 jobs)

David Scowsill said: “These numbers are extremely significant. For over 20 years, the World Travel&Tourism Council has spearheaded global and regional analysis of the economic impact of travel and tourism. WTTC has now taken this research one step further and assessed the role travel and tourism plays in the economy of China in comparison to other economic sectors and also how this looks like on a regional level.

The results are extraordinary. Within our industry, we have always known that travel and tourism is a vast contributor to economic growth and job creation. These figures bear out just how significant our industry is for China, especially at a time where China’s manufacturing index hit a nine-month low, and as a result the economy shows signs of slowing, travel and tourism should be used as a stimulator for economic growth.”

Bill Glenn, President, Global Corporate Payments and Business Travel, American Express said: “With each release of regional data from the latest WTTC research, we continue to see the value that travel can bring to GDP, job creation, and other economic factors. We are pleased to sponsor this research and provide the industry with another valuable asset to use to promote the benefits of travel.”

At WTTC’s Global Summit in Tokyo in April, WTTC’s research revealed that travel and tourism’s direct contribution to world GDP of US$2 trillion or 2.8% is more than double the GDP of automotive manufacturing and one-third larger than the global chemicals industry. Travel and tourism generates roughly the same GDP as the global education and communications sectors, and about half that of the global banking and financial services industry.

 
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Posted by on 18/09/2012 in Travel News

 

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Tourism Australia unveils new marketing push in Asia


Compare Car HireTourism Australia has confirmed plans to accelerate its marketing activities in Asia, with four key strategic projects to be funded this year under the Australian Government’s new Asia Marketing Fund.

The new funding, worth up to A$48.5million over the next four years, aims to generate higher visitor numbers and improved economic returns from Australia’s fastest growing tourism region. It is expected to deliver A$19 billion in annualised tourism spending by the end of the decade.

The fund is in addition to Tourism Australia’s total annual marketing effort that sees Australia competitively positioned in 18 markets overseas, including the fast growth countries like China, India, Indonesia and South America as well as traditional markets such as the UK, Europe, and the Americas.

The first year’s funding of A$8.5 million will be in addition to A$37.5 million already allocated to Asia within Tourism Australia’s marketing budget for 2012/13.

Tourism Australia Managing Director Andrew McEvoy said the new resources would go towards new or further extended marketing initiatives as well as targeted research.

The first year of the new Fund will focus on four strategic projects:

  • Accelerating Tourism Australia’s existing China 2020 Geographic Strategy to target China’s secondary cities, to include emerging cities of Qingdao, Chengdu and Chongqing;
  • Strengthening its ongoing efforts to rebuild the Japanese inbound market;
  • Increased aviation cooperative partnerships between Tourism Australia and airlines serving Australia from Asia; and
  • New Tourism Research Australia (TRA) research, designed to help the industry better understand and engage with Asia.

Mr McEvoy said visitor numbers from Asia had tripled since 1990 while spending by Asian visitors in Australia had grown by 64 per cent since 2000, further highlighting the continued importance of Asia as the key driver of Australia’s immediate future international tourism growth.

This new fund provides an unprecedented opportunity to further drive existing and new marketing initiatives in our fastest growing and most valuable inbound visitor markets, McEvoy said.

“Based on Tourism Australia’s long term commitment to Asia and the positive response we’re getting to our marketing activities, this new fund will help bolster the growth and remain competitive with the more than 100 destinations trying to get the same business.”

Tourism Australia will target three new secondary cities in China – Qingdao, Chengdu and Chongqing – in a move which will accelerate its existing geographic strategy of targeting that country’s fast growing secondary cities.

“Working alongside our State and Territory tourism partners, our initial focus will be to establish a solid distribution platform, including educating and training up a qualified base of travel agents, airlines and operators able to confidently sell Australia. Once this is in place, we will roll out our There’s nothing like Australia campaign, which is already performing strongly in other cities in China where we have already established a stronger presence,” Mr McEvoy said.

The new campaign creative launched in Shanghai in June has been viewed online more than 20 million times in Greater China alone.

Part of the Fund will also go towards strengthening Tourism Australia’s ongoing efforts to rebuild the Japanese market, which is showing signs of a return to growth off the back of strong marketing and an improved aviation environment. Plans include developing a There’s nothing like Australia-themed broadcast initiative to engage with Japanese consumers and encourage them to travel to choose a holiday in Australia.

In line with its ongoing commitment to market Australia with ‘one voice’, Tourism Australia will seek to partner with third parties, including State and Territory Governments and private tourism enterprises to maximise the impact of Fund.

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Posted by on 20/08/2012 in Tourism News

 

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UK government splits on China visa issue


Compare Car HireUK Home Secretary Theresa May has questioned plans to simplify the visa application for Chinese visitors, claiming it would create a security risk.

Jeremy Hunt, secretary of state for culture, media and sport, outlines plans earlier this week for an £8m extension of the GREAT marketing campaign into secondary Chinese markets in an attempt to boost visitor numbers from the country.

This would be accompanied by a “streamlining” of the visa process, Hunt added.

However, in a letter obtained by the Daily Telegraph May states she believed the move would pose a security threat.

The letter, which is written by May’s private secretary, states she believes the plan is “unacceptable”.

The plans have also been questioned by the World Travel & Tourism Council, which argued Air Passenger Duty reform would be of more benefit to the UK.

Hunt had presented the strategy earlier this week, claiming it could triple the number of Chinese visitors to the UK to 500,000 annually.

This in turn would add £500 million in revenue to the UK tourism sector, and create 14,000 jobs.

Currently, visitors can apply for a single Schengen visa to visit much of Europe – but a separate one is required to travel to the UK.

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Posted by on 16/08/2012 in Tourism News

 

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