Yeoh Siew Hoon reports on a new plan by Singapore to take tourism to new heights, but is it bold enough or is Singapore bold enough?

Maintain market share of tourism receipts. Triple tourism receipts to $30 billion. Double visitor arrivals to 17 million. Create 100,000 more jobs.

Those are the targets Singapore has set for itself in its newly-unveiled Tourism 2015 plan.

Currently, tourism accounts for three percent of GDP contribution, 150,000 jobs and S$9.6 billion receipts. And on December 20, 2004, it welcomed its eighth million visitor – enabling the Singapore Tourism Board to exceed 2004 targets.

While some might not call maintaining market share a bold and ambitious goal, but a safe and conservative one – according to STB's data, its market share currently stands at six percent of Asia/Pacific tourism receipts – Singapore's Minister of Trade and Industry, Lim Hng Kiang, calls the goals "fairly bold".

"Given the increased competition within Asia/Pacific – destinations like Thailand, Malaysia and Hong Kong have not only maintained market share but grown their share – it will be a big challenge for us just to maintain market share," he told a media conference in Singapore yesterday.

Seen against a backdrop of declining market share, and where tourism receipts and average stays have been on the retreat over the past years, the 2015 targets are indeed fairly bold but "within grasp", according to the minister.

To help the sector meet these targets, the Singapore government has set aside a S$2 billion tourism development fund which can be tapped into by the private sector to develop new products and events.

Lim called it a "significant gesture" by the government. "It shows we are prepared to put in the money to maintain market share. The challenge is for the private sector to come up with exciting ideas.

"The more ideas you come up with, the easier it is for me to go to government to ask for more funding."

He added, "This is not free money, of course. We won't spend on bad ideas. We are also not fixed on spending $2 billion. But we need good ideas and I am confident it will be spent wisely."

The $2 billion fund will be spent across four areas – infrastructure development, capability development, iconic/mega events development and product development.

It was inevitable at the press conference that most of the media questions would focus on the much-talked-about proposal for the integrated resort development (which may or may not comprise a casino).

STB's deputy chairman and chief executive Lim Neo Chian was quick to dismiss any direct link between the proposed
development and Tourism 2015 when reporters asked if the development was part of Tourism 2015.

"Tourism 2015 is designed to give us clarity in goals and direction. This (proposed development) is only one of the many projects that may happen to help us achieve our goals.

"Tourism 2015 gives us clear targets and all projects will be evaluated against this plan," said STB's Lim.

The minister meanwhile said the government was approaching the proposed development with an open mind. "We are asking for concepts and after we make a decision, we will then ask for specific proposals."

He said two concepts had been submitted. "One group is proposing a convention centre/hotel complex with a lot of entertainment – an urban development which would fit in well with our BTMICE goals – and the other is a theme resort like Atlantis which would also fit well with our leisure concept.

"We will look at the plans and decide if the cost to society is too high."

In the same breath though, the minister said Singapore needed to be bold and innovative and try new ideas to meet its Tourism 2015 targets.

"We have a certain place, certain niche, certain reputation. We have a good brand name. Now we have to capitalize on it and build on our strengths.

"We have to take the risk and build new attractions. Some may succeed, some may falter but we need to be bold and innovative and try new attractions to attract new markets and new visitors.

"We are going after higher spending and longer stays – we are, in fact, changing the profile of the visitor and that means we have to work hard, be bold and try out new ideas."

It is clear that in setting out its Tourism 2015 targets, the Singapore government is taking a bit of a gamble that it can triple tourism receipts, double visitor arrivals and create 100,000 jobs in the next 10 years but it it is equally clear that when it comes to new projects such as the proposed development – will it be a theme resort or a hotel/convention centre/casino complex? – it is still hedging its bets while other destinations have laid down their chips.

And therein lies the crux of the Singapore dilemma – how far is it prepared to gamble on its future?




The SHY Report
A regular column on news, trends and issues in the hospitality industry by one of Asia's most respected travel editors and commentators, Yeoh Siew Hoon.

Siew Hoon, who has covered the tourism industry in Asia/Pacific for the past 20 years, runs SHY Ventures Pte Ltd. Her company's mission is "Content, Communication, Connection". She is a writer, speaker, facilitator, trainer and events producer. She is also an author, having published "Around Asia In 1 Hr: Tales of Condoms, Chillies & Curries". Her motto is ‘free to do, and be'.
Contacts: Tel: 65-63424934, Mobile: 65-96801460

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