Optimistic outlook for ITB Asia

IT was certainly a topic for conversation when it was announced that ITB Asia had sold out all its booths. This proved to be a promising start for a new travel trade and business events show in Asia.



“We want our customers to be satisfied. When our customers are satisfied, we are satisfied as well. For the exhibitors, it will be key that we provide them with buyers, with maximum purchasing power and decisionmaking competence. And for the buyers, it is key that they get exactly the exhibitors that sell the products they are looking for,” said Dr. Martin Buck, vice president, Messe Berlin.



The organisers dangled a carrot to its exhibitors with their attractive rates for booths at US$1,500 compared to a US$2,500 that a conventional nine-square foot booth would cost. This was basically to facilitate the attendance of SMEs and to give buyers a plethora of travel products to choose from.



About 5,000 members of the travel industry are expected to attend the inaugural ITB Asia event. Floor space is already sold out with exhibitors confirmed from 42 countries and 500 exhibitor booths.



Said Dr. Buck, “We will be providing a broad and colourful variety of products which is the crucial benefit for a buyer because it is important that he can see many different products at one spot at one time. A big portion of them have also exhibited in ITB in Berlin but not all of them. The second thing is that by offering several conventions, we facilitate a networking and information gathering for the buyers as well.”



Other than ITB Asia, there will be conferences organised parallel to the show, leveraging on the good attendance. (See side bar.)



Dr. Buck points out that Asia is playing a significant role in the evolution of the travel industry. As figures have proven there is a rise in intra-regional travel as well as out of Asia.



“So for every destination that wants to sell to an important source market like Asia, ITB Asia is the ideal platform to tap into the market and to find business partners who might promote their products to Asian clients,” said Dr Buck.



About 70 percent of the buyers will be from within Asia, 10 percent will come from the Middle East, 10 percent will come from Australia and 10 percent from the rest of the world.



“What is important is that we are not focusing only on the leisure business but also on the MICE and the corporate travel. The reason behind this is that many providers are catering to all three segments of the industry and aiming to meet them. So, it’s not only for operators and travel agents but also meeting planners and corporate travel managers, said Dr. Buck.



Indeed ITB Asia’s debut in the region outlines the trends to travel that the region faces. Asia is growing in importance as a source market when before it used to be a destination for travellers. This has arrived as the Asian economies attain more economic acheivements and Asians gain more affluence. Thus this huge source market cannot be neglected.



“So, Asia is becoming a source market and it’s a source market not only for holiday travel but also a source market for other types of travels namely MICE travel and corporate travel. So, I think that is the mega trend,” said Dr. Buck.



He also stated that there is growing capacity, especially in the rate of developments of hotels in China. The recent imbalance in supply and demand of hotel rooms for the Beijing Olympics undermines a significant problem.



Will demand be able to keep pace with supply, Dr. Buck asked. Another aspect is whether the US and Europe economic downturns will impact Asia’s industry, a question that is too early to be answered, he summed up.