Riviera to relinquish Barceló link

Marfa, 06/10/06 - The Riviera Resort & Spa will not be renewing its franchise deal with Spanish chain Barceló, when it comes due at the end of October.

As from 1 November, the four star Riviera Resort will revert to its original name and handle its own international sales and marketing.

Gozo's Atlantis sold

Marsalforn, 06/10/06 - The three star Atlantis Hotel has been sold.

The 80-room property will close on 12 November; the Atlantis Diving Centre, however, will continue to operate from the same premises.

It is understood that the two buildings that make up the hotel will be demolished and apartment blocks built in their place.

ETC identifies new tourism trends for Europe

Brussels, 06/10/06 - World tourism has undergone significant changes over the past few years. While these are in large part attributable to external factors - such as the economic and political situation, environmental issues, terrorist attacks and safety and health scares - many of them in fact stem from the changing consumer, as a result of demographic shifts and lifestyle changes.

"One of the most critical developments, for example," to quote Rob Franklin, executive director of the European Travel Commission (ETC), "is the ageing of the population in key source markets, which has already had - and will continue to have - a major impact on travel and tourism demand."

Similarly, the emergence of new markets from around the world, such as China, India and Russia, is resulting in new challenges for Europe and competing destination regions.

Advances in technology, notably with the internet, have made it much easier for consumers to research their travel options and self-tailor their travel itineraries and holiday packages. Online booking has also been facilitated by the emergence and rapid growth of low-cost carriers, which have opened up secondary destinations and made travel more accessible to the less affluent segments of the world's population. And these developments, in turn, have had a big impact on marketing and communications.

"Whatever the changing trends, the ETC believes they offer huge opportunities for our member countries," said Franklin. "It is therefore appropriate that we should release this new publication, Tourism Trends for Europe."

An update of the ETC's earlier report Megatrends of Tourism in Europe to the Year 2005 and Beyond, produced with the support of the European Travel and Tourism Action Group (ETAG), the new publication highlights the many different trends expected to influence travel and tourism over the next five to 10 years.

"The main objective of the document is to make industry players think about the future and the effects of all these projected changes," added Franklin. "But it also confirms beyond doubt, re-iterating the message of this year's World Tourism Day, that Tourism Enriches  - not only travellers and tourists, but also the destinations visited and the suppliers involved in selling those destinations."

MTA board resigns

Valletta, 29/09/06 - Minister for tourism and culture Francis Zammit Dimech has accepted the resignation of Malta Tourism Authority board members. The board offered its resignation yesterday, following the alleged leak of a confidential letter from the authority’s chairman to branding consultant Christian Sinding.

MTA chairman Sam Mifsud, who remains in office, “has taken strong exception to leaks that have been occurring over the past weeks, and which persisted even after an investigation was carried out to identify the precise source”, a tourism ministry statement reads.

A former board member, meanwhile, has told Island Travel Trader Online that the investigation to find the leak was “inconclusive”.

Zammit Dimech said the leaks have harmed the Malta Tourism Authority and have limited to great extent the effectiveness of the board.

The board members that resigned represented NGOs and major stakeholders, these were: Air Malta chief executive Joe Cappello, Malta International Airport CEO Peter Bolech, Federated Association of Travel and Tourist Agents president Ian Tonna and Malta Hotels and Restaurants Association president Justin Zammit Tabona.

The government-appointed board members also resigned - Joseph Diacono, Nadia Theuma, Joseph Muscat, Franco Valletta, Christine Muscat and John Sciberras.

My Travel to expand Malta programme

Mosta, 29/09/06 - The UK's My Travel plans to expand its Malta programme in response to "growing demand from British tourists".

The Rochdale-based group believes that holidaymakers from the UK "are increasingly aware of Malta's attractions as a holiday destination and that an increasing number of visitors are likely to travel to the country in 2007".

One wonders about this sudden interest in Malta from the UK, considering that in the first eight months of 2006 there have been some 30,000 fewer tourists from the British isles.

My Travel, meantime, has also confirmed that it will be operating a "full programme" for winter 2007/2008.

The announcement follows a new agreement between My Travel and Air Malta to increase seat availability between the UK and Malta.

Malta Tourism Authority chairman Sam Mifsud, said: "This is definitely a step in the right direction, which shows that we are beginning to move towards a brighter future for tourism in Malta.

"My Travel clearly has faith in Malta's potential and this, together with a number of other initiatives, shows that there is renewed, growing confidence in destination Malta".

The My Travel group comprises of the following tour operators, all of which feature Malta in their brochures in winter as well as in summer: Airtours Holidays (who have been operating non-stop to the islands for 29 years), Direct Holidays, Panorama Holidays and BCT Holidays. My Travel is represented in Malta by Edrichton Holidays.

Government way off target, says MHRA

Sliema, 29/09/06 - In light of the drop of a further 14,000 tourists in August, the Malta Hotels and Restaurants Association (MHRA) says that figures for September and October will result in further drops of another 20,000 visitors on last year's figures by the end of October.

Such a drop will mean that instead of increasing tourist numbers by 50,000 in 2006, in the first 10 months of the year the figures will result in a drop of 50,000 visitors. This would mean that the government is 100,000 visitors short of its oft-repeated target.

The MHRA expressed its "extreme" concern over this situation and said that figures have only confirmed what the association has been warning about for the past18 months. The unfortunate situation is that timely action was not taken based on the MHRA's recommendations on product improvement, marketing strategy and the timely introduction of low cost airlines.

In a statement, the MHRA says it is aware that the recently set up consultative group is nearing the completion of its recommendations that are expected to be made public in the coming weeks. "Even at this early stage the MHRA urges government and everyone involved in the industry to implement these recommendations as a matter of urgency. It is only in doing this that the overall situation can be turned around in a relatively short time".

The statement goes on to that "in as far as the low cost airline issue is concerned the MHRA would like to make it abundantly clear that it has never stated that low cost airlines are the only solution to the industry's problems.

IHG to close Bugibba Holiday Complex in winter

Bugibba, 27/09/06 - After four consecutive loss-making winters, the Island Hotels Group (IHG) has had enough and intends closing its Bugibba Holiday Complex from 1 November.

"We cannot sustain yet another bad winter, especially with the way things are looking for winter 2006/07", IHG operations director Winston Zahra told Island Travel Trader Online. "We will reopen the BHC on 1 May next year", he added.

A decision on whether the 208 room hotel will remain open in winter 2007/08 will be taken early next summer. "It will all depend on the extent to which demand has recovered", Zahra said.

All full time employees, meantime, will be transferred to other IHG properties. "In this way none of our full timers will lose their employment. And all part time staff have also been retained on the books and will be given work at other group properties", Zahra explained.

"I feel that we have acted very responsibly and have kept the interests of all our staff at the forefront at all times", Winston Zahra added.

Industry pundits, meanwhile, think that the three star Bugibba Holiday Complex will make a 'token reappearance' next summer and will then be closed permanently by October 2007.

"If it wasn't for the timeshare operation, the hotel would have been closed permanently as of now", Island Travel Trader Online was told.

The reasoning is that the Bugibba Holiday Complex - the oldest property in IHG's portfolio - no longer fits the corporate image. Pundits say IHG will sell the property and upgrade the four star Coastline Hotel as a possible candidate for Radisson SAS branding. The group already operates two luxury hotels under the Radisson SAS banner.

Zahra, on the other hand, told Island Travel Trader Online that there "is absolutely no truth" that the company intends to permanently close the Bugibba Holiday Complex "or that the Coastline is to be rebranded".

Golden Tulip launches luxury brand

Mosta, 26/09/06 - Dutch hotel group, Golden Tulip, is about to launch a new international luxury brand.

The new Royal Tulip line will feature five star hotels offering the most elegant and luxurious facilities with a de luxe level of comfort and personal service.

All Royal Tulip hotels will be situated in gateway city centres and business districts, with key cities such as Amsterdam, Berlin, Casablanca and Dallas to be targeted over the next several years.

The first to open will be the Royal Tulip Amsterdam Symphony in the spring of 2009, in the financial centre of Amsterdam.

With the introduction of its new luxury hotel line, the Dutch chain will offer accommodation in four categories - Royal Tulip, five star category; Golden Tulip Hotels, four star category; Golden Tulip Resorts, four star category in leisure destinations and Tulip Inns, three star category.

In Malta the company manages the four star, Libyan-owned Golden Tulip Vivaldi Hotel in St Julian's.

Q2 accommodation results confirm industry's dire straits

Qawra, 14/09/06 - The Malta Hotels and Restaurants Association's quarterly accommodation survey shows that in the second quarter of the year - April, May and June - occupancy levels continued to drop.

The presentation of the survey, held at the Dolmen Resort Hotel, was a subdued affair to the extent that even the normally vociferous Winston Zahra did not utter a word, or call for anyone's resignation.

The survey showed that in Q2 occupancy levels continued to decline with the three star sector reporting the sharpest decrease - 14.4 per cent. Five star hotels reported a 3.3 per cent decline whilst four star properties reported a 3.2 per cent drop. The combined effect of the decline in tourist arrivals and the increases in bed-stock contributed to lower levels of occupancy.

As was the case in the first quarter, all categories reported increase in the average achieved room rates, which to some extent mitigated the negative impact of the lower occupancy levels.

Overall, hotels in the three and five star categories registered reduced gross operating profits, whilst those in the four star segment registered marginally improved profitability levels.

Of particular concern is Gozo, were volumes remained low and consequently hotels there reported poorer results than in Q2 of 2005.

Raphael Aloisio from Deloitte - the company that carries out the survey - said "the drops in occupancy are even more alarming when one considers that this year we had a late Easter that was expected to significantly boost the occupancy levels that hotels would achieve for this quarter to compensate for the significant lower occupancy levels achieved in Q1".

MHRA president Justin Zammit Tabona, meanwhile, said "the losses registered from our core UK, German and French markets have reached alarming levels.  The close correlation between the decline in tourist arrivals and the reduced number of aircraft movements is becoming increasingly evident. Tourism numbers cannot increase if the number of flights decreases.

"Notwithstanding its support for low cost carriers, the MHRA acknowledges that Air Malta still has a pivotal role to play in the tourism industry. The MHRA augurs that the national carrier will live up to the challenges poised by LCCs and changing industry trends and will not use them to justify placing the attainment of corporate commercial objectives ahead of the broader national tourism interests".

Regarding accommodation levels expected this coming winter; Zammit Tabona said "the forecast is very worrying".