I've been covering Asia's travel and tourism industry for more years than I care to remember and I can honestly say this is the most intense time of change.
It seems all the forces are converging and, in some way, uniting a very diverse part of the world through technology and globalization and yet splintering them into distinct, disparate pieces that make up a puzzle both intriguing and exciting for smart companies to solve.
Technology adoption by customers is happening at an accelerated pace – you don't need statistics to tell you that people in Asia are adopting smartphones and tablets faster than their counterparts in Europe and the US.
Let's not talk only about urban Asia where most of the world's mega cities are located – huge population bases constantly on the go and online (Kunming, China pictured) – but it's rural Asia that could have the most impact on how travel will change in the region. Here are huge communities that have suddenly had the world open up to them and their appetite for discovery whetted by the images and messages from outside, in the palm of their hand.
Kathleen Tan, Group Commercial Head for AirAsia, was telling me the other day that she got a message on her Weibo account from someone who thanked her. "Because of you, I can now see my family after 44 years."
An airline like AirAsia is flying new routes traditional carriers can't or don't wish to operate and, in the process, enabling people from remote Asia to connect with each other in profound and meaningful ways.
And while some in the West might lament at the slow speed of regulatory change in China, the recent partial deregulation of GDS which allows foreign airlines to sell their tickets through foreign GDS from October 1 is a big step in the context of history. As Chinese philosopher Lao Tze said, "A journey of a thousand miles begins with one small step."
As a country, China is used to taking small steps. Its people though are taking huge steps – and the vibrancy and intense competition of the Chinese online travel market was evident at the recent Travel Distribution Summit in Shanghai in September.
Everyone's got a travel start-up and the two big OTAs – Ctrip and eLong – are engaged in a price war that can only mean the death of those caught in the middle.
North Asia is where most of the action's going to take place next year, I believe. Japan with its low cost airlines promising to revive a stagnant market, Korea whose pop culture is sweeping the world Gangnam-style and whose incumbent low cost carriers, Jeju Air and Air Busan, are facing competition from outside, Hong Kong about to get its first locally-based low cost entity, and Macau with its larger-than-life hotels and casinos surely needing more access to fill up those rooms and tables.
Full story:
www.webintravel.com//blog/unplugging-the-asia-story-time-to-take-the-lead_3407