The Wrap: Asia Pacific airlines still struggling to survive, Trip.com Group bolsters travel recovery with “LIVE for Trip” campaign, and more …
28/10/2020 by WiT

The Wrap is a round-up of news in the travel and technology industries, and to keep track of developments in these sectors as businesses adapt and reset to meet challenges in the era of coronavirus.

Asia Pacific airlines still struggling to survive, says AAPA

Air passenger demand in Asia Pacific is still low. (Image credit: Denys-Yelmanov/Getty Images)

With suppressed demand and very few open borders the Asia Pacific (APAC) aviation industry is struggling to survive, said the Association of Asia Pacific Airlines.

The preliminary September 2020 traffic figures released by the airlines trade association showed that both international passenger and cargo demand is at markedly depressed levels, with no sign of recovery in sight.

The 1.1 million international passengers who flew on APAC airlines in September was just 3.6% of the 30 million travelling in the same month last year, said AAPA. Offered seat capacity was a little higher at 11% of last year’s level. The international passenger load factor was a low 31.7%.

According to AAPA, while manufacturing conditions have improved globally some Asian economies continue to face weakness in exports. International air cargo demand (measured in freight tonne kilometres) fell by 17.5% year-on-year in the month reviewed.

“Airlines are struggling to survive as international air travel remains severely curtailed by onerous travel restrictions. Without recapitalisation or fund injections several of the region’s carriers face an existential threat. Thousands of aviation jobs are already lost, with more at risk,” commented AAPA director general Subhas Menon on the results

Opening of borders to travel by some countries in the form of green lanes will not see a sharp increase in passenger movement. Explained Menon: “While the establishment of green lanes and travel bubbles in the region is a positive first step their disparate and restrictive requirements make it difficult for these to take off meaningfully. It is critical that governments implement consistent and coordinated measures based on objective risk assessment to help restore confidence in air travel.”

He added AAPA “remains committed to working with governments and industry stakeholders to safely restart international air travel as a matter of urgency.”

Trip.com Group supports travel recovery, celebrates anniversary with “LIVE for Trip” campaign

Trip.com Group’s “LIVE” campaign aims to boost global travel recovery.

China’s leading online travel service provider Trip.com Group‘s current month-long “LIVE for Trip” is part of its “Travel On” initiative to support the recovery of international travel and celebrate its 21st anniversary.

Since the start of the pandemic the group has been working with numerous global companies to resuscitate the travel industry through various initiatives, one of which was “Travel On” launched on June 22 at a Facebook ‘live’ virtual event.

The LIVE for Trip series, from October 10 until November 11, feature livestreaming events from industry representatives and KOLs (key opinion leaders/social media influencers) who are hosting travel product shows that offer over US$150 million in discounts and giveaways on travel products.

The company said in a statement that on sale are 2,500 products from 100 hotels and airlines tailored for the post-Covid traveller.

Highlights of the month: a marathon livestream broadcast with a prime time BOSS live show in Chengdu (October 28), a key event in the group’s 21st anniversary; the Global Partner Summit in Chengdu (October 29); live shows hosted by KOLs and industry representatives in Hong Kong, Japan and Singapore offering pre-sales products with flexi booking options and health and safety guarantees (October 29).

Trip.com Group’s co-founder and executive chairman James Liang said with travel on track for recovery the company is “working with our partners to give users the confidence, inspiration and freedom to travel on.”

Trip.com Group CEO Jane Sun believes travel is an importance force for good. “It’s what brings us together and breaks down barriers between us, and what the world needs most right now is the freedom to travel on safely”.

With the deals and new products on offer during the LIVE month “there’s never been a better time to start planning that next trip, and to travel on,” she added.

I Asia Group teams up with Trip Affiliates Network in a regional digital tie-up

I AsiaGroup provides tours and travel services to destinations in South-east Asia

I Asia Group (IAG) has formed a regional digital partnership with Trip Affiliates Network (TA Network), combining the DMC’s operational services with the latter’s software delivery and digital solution services network.

Nick Critelli, general manager of IAG Asia Group (Thailand), said: “With the passing of the Covid era we will need a modern and comprehensive system with advanced operations and payment services to broaden local B2B distribution and partnerships, as well as better support OTA partners with local transfers and other land services.”

With its head office in Bangkok IAG invests in various tourism businesses across South-east Asia, providing tours, packages, attraction tickets and day trips to destinations in the region.

TA Network, headquartered in Singapore, brings together IAG and other leading travel operators and OTAs to work together in an open B2B ecosystem. Network members are empowered with hotel/supplier connectivity, multi-product booking engines, digital payment options and a broad range of solutions designed to streamline booking management and land operations.

Josef Foo, TA Network managing partner, in welcoming IAG Asia as a “key anchor” for Thailand said the partnership would enable both companies to “identify opportunities to work together on joint marketing campaigns across the member regions that will drive tourism traffic as Asia Pacific prepares for the gradual return of international visitors.”

Featured image credit: gyro/Getty Images

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