Sports and pop culture are currently affecting the Australian travel industry in very positive ways. The Australian Open has claimed international focus as tennis mania descended upon Melbourne with flights and hotels booked solid. Meanwhile Oprah’s Australian tour continues to have far reaching implications - even within the travel industry. With Australian tourism operators reporting significant drops in bookings to the country due to the Queensland flood crisis, the Australian government is banking on Oprah’s four-part special currently airing in America to alter negative flood images and send a clear message across the world that Australia is open for business.
The latest business, hotel and MICE news as well as the hottest flight specials from around the world are listed on this page. As always, we thank you for your loyalty to Executive Edge Travel and we look forward to bringing you the latest news in corporate travel.
Industry News
Annual G’Day USA program showcases Australian business capabilities
This month G’Day USA showcases Australian business, education, art and tourism events to eight American cities with the aim to strengthen bilateral collaboration between the two countries while simultaneously realising new business opportunities. Over 30 events in Houston, Los Angeles, San Diego, San Francisco, Sacramento, Denver, Boston and New York will reach targeted audiences via promotions, conferences, product sampling and networking forums. The proven effective G’Day USA program is in its seventh year bringing together key influential industry leaders in government, business, tourism, academia and the arts in both countries. This year Qantas sponsors the event with Myer who will represent the fashion world in LA as Wayne Cooper, Nicola Finetti and Yeojin Bae are showcased.
Qantas ponders high fuel costs effect on international fares
The ripple effect of rising oil prices continues - this time international airfares may be the target. This week Qantas’ pre-tax profit predictions tanked by 23 percent due to rising oil prices calling into question the need for heightened international fares. The disappointing profit figures decreased for Qantas from AU$936 million to $720 million primarily due to the airline’s increasing fuel bill. Apparently Australian jet fuel has risen up to AU$110 a barrel from $95 a few months ago. This $15 difference translates to $3.7 billion by the end of the fiscal year. Virgin Blue’s pre-tax profit estimates are also down by 21 percent from $91.5 million to $72.7 million.
Both Virgin Blue and Qantas Chief Officers clearly expressed that the airlines would adjust international airfare pricing to include a fuel surcharge if need be. Unfortunately, both representatives also recognise the predicament - a sluggish demand and unstable economic environment is not conducive to rising costs for consumers. Time will tell.
New consumer law to empower travelers on overbooking and airfare refunds
New reform legislation just passed will overhaul the travel industry empowering travelers to fight back against unfair airline and care hire practices. Those affected negatively by overbooking or consumers struggling to claim airfare refunds will particularly benefit from the new Australian law. Lawmakers are calling it a “once-in-a-generation reform to consumer law” which will allow consumers to effectively challenge unfair terms. “Unfair” will be defined as any scenario where there is an imbalance in the parties’ rights. Therefore there will be quite a wide range of acceptable complaints feasible for review. Not only can consumers challenge terms but also the Australian Competition and Consumer Commission can take class actions. Those companies found in breach will face court action. Airlines and car rental companies are the two most likely to be
affected. Travelers can rest assured that a new regime is now in place which will highly empower consumers and provide the ability to push for change and assert their rights like never before.
Virgin voices flood impact concerns on market outlook
Virgin Blue’s CEO John Borghetti has verbalised that the floods in Queensland will have significant impact on its business outlook and monetary bottom line. The floods’ deterrent on the leisure tourism industry combined with uncertain economic times as well as the rising cost of fuel are all causing serious concern for the airline, according to Borghetti. The CEO publicly urges the industry to ban together in attempts to stimulate the sluggish market by instilling confidence in the traveling public. Hopefully concerted efforts will mitigate the length of time floods will impact the aviation sector. Virgin Blue’s CEO maintains that the floods will not alter the carrier’s strategy to launch new branding by June 30.
Qantas drops San Francisco route for Dallas
The long-standing preferable alternative Australia/US West Coast route to San Francisco from Sydney (for those of us who recognize the horror of LAX) has been unceremoniously dropped from Qantas’s Pacific route in favour of direct services to Dallas. Starting May 16 of this year Qantas will launch direct services from Sydney to Dallas/Fort Worth International Airport (DFW), bypassing San Francisco and discontinuing its current direct services entirely. The new QF7 route will operate direct outbound flights from Sydney to Dallas but return to Sydney via Brisbane to refuel first.
The rationale for Qantas cutting San Francisco is, unsurprisingly, monetary. With Dallas as the primary hub of Qantas’s One World Alliance partner American Airlines, Qantas actually saves on costs while strengthening the two carriers’ commercial relationship.
Direct services to San Francisco will end May 14 and four return flights to DFW featuring the three-class Boeing 747 replacing the service May 16. Alan Joyce, Qantas CEO asserts the new Pacific route is great news benefiting Americans and Australians alike as well as business and leisure travelers. That is, unless, your destination is San Francisco.
Business Hotel News
Featured Business Hotel: Murmuri, Barcelona
In the spirit of supporting boutique hotels for corporate travel, Murmuri provides all the necessities for a business layover in Barcelona with modernist Gaudi inspiration nearby. Located centrally in the very heart of Barcelona on the Eixample alongside the Passeig de Gracia which is the commercial nerve of the city, Murmuri is even walking distance from the Ramblas and Gaudi’s Sagrada Familia. The acclaimed British interior designer Kelly Hoppen is responsible for this boutique hotel’s intimate classicism combined with a modern style decorated in earthy tones and sophisticated care. Opt for a Privilege Room or higher category as they include a private balcony overlooking Rambla Cataluna and the beautiful Barcelona city beyond. Splurge on the Deluxe Suite and receive pampering galore featuring a silestone bath tub and extra large dressing room. One and two-bedroom
apartments are also available with terraces inclusive of all the hotel services.
When business calls, the hotel provides a very bright meeting room catering to 18 people, a 24-hour concierge, wireless internet and a business centre with PCs with Microsoft Windows and high-speed internet access.
The gastronomy at Bar Marfil’s terrace offers delectable original tapas or try Murmuri Restaurant’s Asiatic treats while lounging on purple velvet sofas.
Rambla de Catalunya, 104, Barcelona,
Spain 08008 T: +34 935 500 600;
www.murmuri.com
Design Tripper offers offbeat alternative to generic corporate hotels
Chicago-based design editor Meghan McEwen offers insider tips for the style and food-conscious business traveler in her on-target blog website. Cold, generic corporate hotels are replaced by offbeat boutique, family-owned, artist-inspired hotels, motels, inns, lodges, ryokans and riads. Of course, sometimes it’s convenient to have the prototypical business hotel with all the high-tech gadgets and conveniences, but in the event your corporate travel includes a leisure stopover, Meghan’s suggestions may be just the ticket. In her words, “Designtripper explores the intersection of travel and design with genuine curiosity and good taste...putting authenticity, character and thoughtful design before high-definition plasma TVs and iPod docking stations...” If you are a high-tech advocate, however, Designtripper may not be for you.
CBRE Hotels boast largest ever single asset hotel sale transaction in Europe
The iconic Park Lane hotel in Mayfair, London - The Grosvenor House - was just sold for a staggering 470 million pounds by CBRE Hotels achieving the largest single asset hotel transaction ever in Europe. Hotel investor interest was wide-spread given the hotel’s iconic status and unique, established place in London’s 5-star market. This transaction occurred following another sale also by CBRE of London’s Cumberland Hotel, in fact, the single largest hotel in Europe. CBRE Hotels is an international service provider with teams in the US, Europe, Middle East and Asia Pacific which also provides strategic direction and operational advice including refurbishment or redevelopment.
Edge Intelligence
New Qantas American Express Discovery Card linked to Qantas Frequent Flyer points
Qantas is offering up to 10,000 frequent flyer points for new applicants to the new Qantas American Express Discovery Card. The benefits to the card are extensive. Not only does the card carry no annual fee but members can also earn one Qantas Frequent Flyer point per $1 of eligible spending. Card holders can also redeem Qantas Frequent Flyer points for award flights with its 27 partner airlines. To apply, go to amexdiscovery.com.au or simply ring 1300 651 505. If you apply before March 1, you will earn the additional 10,000 frequent flyer points from Qantas.
Latest on overweight and oversized passengers on aircraft sparks debate
The controversial question remains: does Australia law necessitate that Australian airlines set aside special seats for overweight passengers at no additional charge? Both sides spark heated opinions and frankly, both sides have valid points. It seems the only fair solution is impossible - it’s not right for people with larger physical builds to have to purchase more than one seat and it’s also not fair for the passenger seated next to the larger passenger to have to accommodate the extra space. So what is the solution under Australian law according to the latest investigation? Under the Disability Discrimination Act of 1992, overweight passengers do fall under the category of disabilities according to a new interpretation of the old law. Therefore, it’s safe to conclude that Australian airlines should phase in policies to designate some seats on each aircraft as
accessible seats for passengers with disabilities which includes overweight passengers at no extra charge. Whether airlines will comply with this investigation’s findings remains to be seen.
Events and Conferences
Eco Expo coming to Sydney to make sustainable changes
The inaugural Eco Expo in Sydney will be an extravaganza of everything eco-friendly, sustainable and earth-friendly. Scheduled for early May, the three-day expo invites Sydney-siders to learn how to make positive and sustainable changes from the local to the global level. With over 200 green exhibitors showcasing eco-friendly products and services, there will be a significant focus on travel conservation and travel energy. Speakers will address a wide range of topics with a green focus. As part of its commitment to the environment, the Eco Expo is a carbon neutral event and will plant one tree for every paying visitor. Stay tuned for specific dates.
InterContinental Melbourne The Rialto opens Atrium for events
Event planners in Melbourne are in for a treat as the Atrium is now open for business. Located between the Intercontinental Melbourne’s two tall wings which was originally the historical Rialto and Winfield buildings, the Atrium is the 9-story well glassed dome with the hotel’s Alluvial Restaurant and Bluestone bar at its base. This incredibly dramatic space is now available for the first time since its opening for receptions, parties, and product launches accommodating up to 200 guests. This bright and airy space is also ideal for daytime functions as well as a grander option for stunning events under a canopy of stars. Their mood-lighting can even be customised to reflect a company’s branding. Events held at the Atrium also have exclusive access to the InterContinental Melbourne culinary team to cater to your event’s individual menu needs.
