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Kenya Airways returns to Bangkok

SINGAPORE, 18 August 2023: Kenya Airways confirms it will resume flights from Nairobi to Bangkok on 21 November, flying three times a week.

The airline halted its Nairobi – Bangkok – Guangzhou service on 13 February 2023, replacing it with a direct three-weekly service from Nairobi to Guangzhou. Now it has been confirmed direct flights on the Nairobi – Bangkok route will resume on 21 November, with departures on Tuesday, Thursday and Sunday using a Boeing 787-8 aircraft configured with 204 seats in economy and 30 in business class. Flight time is nine hours on the Nairobi to Bangkok sector.

The airline will extend the Bangkok service beyond the Thai capital to Guangzhou in China while discontinuing the nonstop Nairobi-Guangzhou service.

Flight KQ886 will leave NBO at 2345 and arrive at BKK at 1330 local time. The return flight KQ887 will depart BKK at 0100 local time, arriving at NBO at 0605 on the following morning

Kenya Airways will extend the Bangkok service to Guangzhou. Flight KQ886 will depart from BKK at 1440 and arrive at CAN at 1835. The return Flight KQ887 will depart CAN at 2140 and arrive in BKK at 2335.

Meanwhile, Kenya Airways’ unveiled its new website earlier this week to provide visitors with a more user-friendly experience and improved navigation. 

Commenting on the website, the airline’s CEO Allan Kilavuka said: “The new website is in line with our commitment to continuously improving the Kenya Airways product offering and customer

experience. The most important thing customers need when booking is information to ensure they make an informed decision, which has been aptly provided for in the new website.”

THAI’s Q2 operating profit breaks record

BANGKOK, 18 August 2023: During the second quarter of 2023, Thai Airways International and its subsidiaries reported revenue, excluding one-time transactions, of THB37,381 million for Q2 2023, representing an improvement when compared with THB21,526 million earned in Q2 2022.

But the improved performance in the Q2 2023 was still 9.9% lower than Q1 2023, mainly caused by the traditional decline in travel to Thailand during Q2.

On a positive note, THAI increased flights to Japan and China and reported a total of 3.35 million passengers and an average cabin factor of 79.2%, higher than the 60.3% recorded in Q2 2023.

THAI and its subsidiaries reported expenses, excluding one-time transactions, reached THB 28,805 million, higher than the previous year, which stood at THB 22,825 million, blamed on an increase in variable costs.

However, THAI reported an operating profit, before financial costs and excluding one-time transactions, of THB8,576 million representing a substantial improvement on the Q2 2022 performance that recorded an operating loss of THB1,299 million. The operating profit of Q2 2023 is the highest that THAI has recorded in 20 years.

Financial costs during Q2 2023 stood at THB3,967 million. THAI and its subsidiaries had one-time items mainly due to loss on foreign exchange rates resulting in total expenses of THB2,643 million.
Consequently, THAI and its subsidiaries reported a net profit of THB 2,273 million, while in the same period last year, it reported a net loss of 3,213 million. Profit attributable to the parent company was THB2,262 million. Earnings before interest, tax, depreciation and amortisation (EBITDA) after cash paid for aircraft lease payment, including power-by-the-hour, amounted to THB9,307 million.

Six-month performance
During the first six months of 2023, THAI and its subsidiaries reported a total revenue, excluding one-time transactions, of THB78,889 million when compared with the half-year result last year, which stood at THB 32,706 million.
Total expenses, excluding one-time transactions, stood at THB57,280 million, higher than THB37,175 million for the half-year 2022 results.

THAI and its subsidiaries reported an operating profit, before financial costs and excluding one-time transactions, of THB21,609 million, an improvement over the half-year 2022, which reported an operating loss of THB4,469 million.

Financial costs stood at THB7,515 million. THAI and its subsidiaries had one-time items mainly due to profit from debt restructuring resulting in revenue of THB344 million.

Consequently, THAI and its subsidiaries reported a net profit of THB14,795 million, while in the same period last year, it reported a net loss of THB6,457 million. Profit attributable to the parent company was THB14,776 million. Earnings before interest, tax, depreciation and amortisation (EBITDA) after cash paid for aircraft lease payment, including power-by-the-hour, amounted to THB23,361 million.

The airline group has a fleet of 67 aircraft consisting of 20 narrow-bodied aircraft and 47 wide-bodied aircraft.
Traffic production (ASK) increased by 76.9%, while passenger traffic (RPK) increased by 192.8%, with an average cabin factor of 81.4%, higher than the previous year’s 49.2%. The total number of passengers carried was 6.87 million, an increase of 126.7%.

Ethiopian flies to London Gatwick

Photo: hotel.com

SINGAPORE, 18 August 2023: Ethiopian Airlines will commence three weekly flights every Tuesday, Thursday and Sunday to London Gatwick starting 21 November.

Commenting on the new flights, Ethiopian Airlines Group CEO Mesfin Tasew said: “We have a 50-year relationship with the UK (flying) to London Heathrow. Now we are excited to add Gatwick to our vast global network.” 

The airline is returning to Gatwick, having served London’s second international airport in 2005 and 2006 using a Boeing 757. This time round the route will be served by  Airbus A350-900 aircraft. 

The new service by Ethiopian will offer a direct flight between London-Gatwick and Addis Ababa using an Airbus A350-900 configured with business and economy class cabins. The flights will connect with Ethiopian Airlines’ networks serving Africa and Asia.

The airline’s area manager UK & Ireland Henock Woubishet noted: “Adding London-Gatwick to our UK schedule will enable us to provide not only for our passengers but also for our cargo services. Ethiopian will now serve London Heathrow, Gatwick, and Manchester Airports.”

Flight schedule London Gatwick

The service will complement the airline’s daily nonstop A350 flights from T2 London Heathrow to Addis Ababa and five weekly A350 services from T2 Manchester to Addis Ababa.

MATTA recruits MAG as official airline partner

KUALA LUMPUR, 18 August 2023: The Malaysian Association of Tour and Travel Agents (MATTA) has renewed its collaboration with Malaysia Aviation Group, naming it the Official Airline Partner for the upcoming MATTA Fair, scheduled to take place from 1 to 3 September 2023 at the Malaysia International Trade and Exhibition Centre (MITEC).

The long-standing partnership with the airline group comprising Malaysia Airlines, Firefly, and MASwings, will elevate the MATTA Fair experience offering visitors unparalleled access to Malaysia’s premier airlines, as well as other enticing offerings to complete the travel experience through MAG’s range of products aimed at enhancing travellers’ journey.

Caption from left to right: Rocky Kho, MATTA Fair Organising Committee; Nigel Wong, President of MATTA; Dersenish Aresandiran, Chief Commercial Officer, Airline Business; Syazwan Ahmad Sabri, Head of Airlines Global Sales.

The dedicated Malaysia Aviation Group pavilion, strategically positioned at foyer Level 1, boasts a total space of 156 sqm, creating an inviting hub for visitors to explore and engage with the national airlines’ activities.

“We are delighted to join forces again with Malaysia Aviation Group’s airlines for the MATTA Fair. Their participation not only adds significant value to the fair but also underscores our commitment to meet the evolving demands of our valued consumers,” said MATTA president Nigel Wong.

“As the national flag bearer, we are proud to take part in MATTA Fair once again, reinforcing our commitment in working hand in hand with our stakeholders to reinvigorate the tourism sector back to its glory days,” said MAG chief commercial officer of airlines Dersenish Aresandiran.

The airlines will offer up to 40% off on fares to selected domestic and international destinations. This exclusive offer is valid for travel from 31 August to 9 September 2023, at the MATTA Fair and the airlines’ online platforms, from 31 August 2023 to 31 March 2024. Members of Malaysia Airlines’ travel and lifestyle loyalty programme, Enrich, will also earn 50% Bonus Enrich Points during this period.

The airlines will also offer 37 return tickets, including Business Class tickets to London and Sydney, through the MATTA Fair Buyers’ Contest.
On top of the great discounts offered on fares, customers will also get to enjoy other deals beyond air travel, including discounts on holiday packages and travel experiences through MHholidays and Journify; ensuring customers have a fuss-free journey.

Admission to the fair is free. The show is open from 1000 to 2100 for three days, Friday to Sunday. MATTA provides a free shuttle service to MITEC from KL Sentral and Sunway Putra Mall.

Visit MATTA Fair’s website and social media platforms on Facebook, X, and Instagram, or subscribe to the new Telegram channel @MATTA_Fair to obtain the most recent information updates.

Spectrum of the Sea returns to Japan

SINGAPORE, 17 August 2023: Royal Caribbean International’s Spectrum of the Seas arrived in Yokohama, Japan, late last week with over 4,000 guests following a 12-night sailing, its longest itinerary yet. 

Cruise guests visited Nha Trang in Vietnam, Hong Kong and Taiwan, followed by Japan’s  Kobe and Mt Fuji before arriving in Yokohama.

Caption: (L-to-R), Executive Director Miyata Ayako, Port Promotion Dept, Port and Harbor Bureau, Yokohama City, Director Sashida Toru, Director of Maritime Bureau from Ministry of Land, Infrastructure, Transport and Tourism, Director General Nakano Hiroya from the Port and Harbour Bureau, Yokohama City, Angie Stephen, Vice president and Managing Director, Asia-Pacific, Royal Caribbean International, Director Naruaki Hisada, Director of Ports and Habour Bureau from Ministry of Land, infrastructure, Transport and Tourism and Spectrum of the Seas’ Captain Wu Huimin at the welcome ceremony on 12 August in Yokohama.

In recognition of Spectrum of the Seas’ return to Japan and its new 12-night sailings, celebratory events were held onboard as the ship called at Kobe on 10 August and Yokohama, Japan, on 12 August.

The 12-night sailings visit popular destinations in Japan, including Tokyo, Kobe, Okinawa, Ishigaki, Mt Fuji, Kyoto and Kagoshima, and various destinations in Asia.

From April 2024, Spectrum of the Seas will set sail from Shanghai, China, offering guests a combination of four and five-night cruises visiting Fukuoka, Okinawa, Nagasaki, Osaka and Tokyo, Japan. 

Spectrum will also offer eight sailings from Hong Kong starting in December 2024, bringing guests to places such as Ishigaki and Miyazaki in Japan, China, and Vietnam.

Emirates to scale up London Heathrow flights

DUBAI, 17 August 2023: Emirates will operate an additional service five times weekly to London Heathrow from 31 October 2023 until 30 March 2024. 

The temporary service will meet market demand during the busy winter season and offer customers more travel choices.

Emirates currently serves London Heathrow with six daily A380 flights. The additional flight will operate on Tuesdays, Wednesdays, Thursdays, Fridays, and Saturdays. It will be served by Emirates’ wide-body Boeing 777-300ER aircraft, fitted in a three-class configuration split between First, Business and Economy.

Emirates flight EK41 will depart Dubai at 1320 and arrive at London Heathrow at 1720 local time. The return flight, EK42, will depart London Heathrow at 2015 and arrive in Dubai at 0715 local time the following day.

Tickets can be purchased on www.emirates.com, Emirates Sales Offices, via travel agents or online travel agents.

Serving the UK with more than 125 weekly flights

Emirates continues to restore its UK services with the recent resumption of its iconic A380 service to Birmingham and Glasgow, double daily services to Stansted, and enhanced services to Newcastle and London Gatwick.

The airline currently serves the UK with 126 weekly flights, including six times daily A380 service to London Heathrow; three times daily A380 service to Gatwick; twice daily service to Stansted; three times daily A380 service to Manchester; double daily service to Birmingham (including a daily A380 service); daily service to Newcastle; and a daily A380 service to Glasgow.

More than 140 destinations across six continents

Emirates’ extensive network spans over 140 destinations across six continents. The airline offers its customers an unmatched culinary experience in the skies with regionally inspired multi-course menus developed by a team of award-winning chefs complemented by a wide selection of premium beverages.

With Ice, Emirates ‘ award-winning inflight entertainment system, customers can relax with up to 6,500 channels of carefully curated global entertainment content featuring movies, TV shows, music, podcasts, games, games, audiobooks and more.

Emirates’ home and hub, Dubai, remains a top-rated holiday and stopover destination. Visitors from the UK can take advantage of the Dubai Experience platform that enables customers to easily browse, create and book their customised itineraries, including flights, hotel stays, visits to key attractions, and other dining and leisure experiences in Dubai and the UAE.

For more information, visit www.emirates.com.

‘Miles’ more rewards with Cathay

HONG KONG, 17 August 2023: Cathay Pacific offers more Miles and rewards after revamping the airline’s corporate loyalty programme and travel management platform Business Plus. 

Aimed at SMEs and growing businesses, Business Plus allows SMEs to manage their business travel in a self-service platform. 

Photo credit: Cathay Pacific.

Cathay VP Global Sales Stephen Lawson said: “As we come out of the pandemic, our customers’ needs have changed, and we have acted quickly, investing even during the pandemic, to make sure we keep offering the best-in-class customer experience, especially for our important and valued corporate clients.

“After this important upgrade, we have even more enhancements that we will deliver progressively, not just for Business Plus, but also for our Corporate Contracting clients.”

The Business Plus revamp includes the following changes:

  • New design features to enhance the user experience.
  • Business Plus members can now earn Asia Miles to their company Business Plus account.
  • Business Plus members can then use the Asia Miles to redeem rewards such as Cathay Silver Membership and Lounge Passes which they can send to travellers to enjoy the prestige and comfort of Cathay Pacific’s world-class service.
  • Asia Miles can also be transferred to any employee’s individual Cathay account to be spent on rewards, from flights to hotels.
  • The programme also offers priority baggage and seasonal campaigns where members can earn extra miles, lounge passes, or even free upgrades.

Norwegian Viva debuts in Europe

SINGAPORE 17 August 2023: Norwegian Cruise Line welcomed guests on Norwegian Viva last week as the brand new ship embarked on its maiden voyage from Venice (Trieste), Italy.

Making a grand debut in Europe on 10 August, Norwegian Viva departed for a nine-day journey through the Mediterranean, taking guests from Venice (Trieste), Italy, to Lisbon, Portugal, with stops in Europe’s popular seaside destinations including Salerno, off Italy’s picturesque Amalfi Coast; Cannes along France’s stunning Cote d’Azur; and Ibiza, Spain in the Balearic Islands. 

Norwegian Viva will sail Greek Isles and Mediterranean voyages through November before homeporting in San Juan, Puerto Rico, in December for a season in the Caribbean. 

Mirroring the design of its sister ship Norwegian Prima, Norwegian Viva features standout onboard experiences, including the Viva Speedway-the three-level racetrack; Indulge Food Hall, an upscale food market exhibiting 11 unique eateries and the fastest slides at sea, aptly named ‘The Drop and Rush’.

Following the ship’s maiden voyage, Norwegian Viva will sail a series of Mediterranean and Greek Isles itineraries before its official Christening ceremony in Miami on 28 November 2023. The ship will homeport in San Juan, Puerto Rico, for a season of Caribbean voyages from December 2023 through March 2024 before returning to Europe in May 2024 to sail Mediterranean itineraries.

Heritage Line launches new riverboat

VIENTIANE, Laos 17 August 2023: Heritage Line’s newest riverboat Anouvong completed a cruise trial on the Mekong River last week and is ready to embark on a three-day maiden river trip on 27 August.

The first trip will take invited media and VIPs along the upper Mekong River from Luang Prabang to Huay Xai in northern Laos, which shares the river border with Chiang Khong in Chiang Rai province, Thailand.

Photo credit: Heritage Line. Anouvong at its mooring in Luang Prabang.

The introduction of the 10-cabin Anouvong on the Mekong River was delayed by almost three years due to the Covid-19 pandemic.

Once the season starts in October, the riverboat will offer three cruise itineraries:
Three-night cruise between the Thai-Lao border town of Huay Xai (or vice versa) in the northwest of Laos to the UNESCO World Heritage Site of Luang Prabang.
Seven-night downstream cruise from Huay Xai ending in Vientiane, the capital of Laos.
Nine-night Upstream cruise from Vientiane to Huay Xai with a stop in Luang Prabang.

Travel costs more as we head for 2024

SINGAPORE, 17 August 2023: Global business travel and events costs are set to climb higher through the remainder of 2023 and into 2024, albeit at a much more moderate pace than the exceptionally steep increases seen in 2022. 

That’s the standout observation of the 2024 Global Business Travel Forecast, published earlier this week by CWT, the business travel and meetings specialist, and the Global Business Travel Association (GBTA), the world’s largest business travel trade organisation. 

Photo credi: CWT.

Rising fuel prices, labour shortages, and supply chain challenges, coupled with red-hot demand, caused travel prices to skyrocket in 2022 – far surpassing some of the increases outlined in last year’s forecast. 

Lingering economic uncertainty and a gradual easing of supply-side constraints are expected to result in more subdued price increases over the next 12 to 18 months, according to the report, which uses anonymised data generated by CWT and GBTA, with publicly available industry information and econometric and statistical modelling developed by the Avrio Institute.

“A potent combination of demand and supply-side pressures propelled travel prices higher than expected last year,” said CWT chief executive officer Patrick Andersen. “Prices seem to level off with much milder increases projected over the next 12 to 18 months. We could now be looking at the true net cost of travel.” 

“As this research outlines, it’s clear that rising costs and pricing pressures will likely continue to be a significant factor in business travel for the foreseeable future. And as we experienced over the past few years, we may also continue to see different pricing fluctuations across industry verticals, business sectors and global regions. While business travel continues to rebound, there will be a continuing balancing act among demand, cost, and ESG concerns,” said GBTA. chief executive officer Suzanne Neufang.

Airline fares

The global average ticket price (ATP) of flights booked for business travel rose dramatically in 2022, experiencing record price increases. The ATP rose by 72.2% YoY to USD749 in 2022, far surpassing 2019 levels (USD670). While demand has recovered strongly, with passenger numbers quickly approaching pre-pandemic levels, driven primarily by pent-up leisure travel demand, airline capacity continues to be constrained by labour shortages and supply chain issues. Looking forward, ATP growth is likely to be more modest at 2.3% in 2023 and 1.8% in 2024, albeit from an already high base. Still, many corporate buyers now have less leverage to negotiate with airlines, as their travel volumes remain below pre-pandemic levels.

At USD855, the Europe, Middle East, and Africa (EMEA) region recorded the highest ATP in 2022, compared to other parts of the world. This represents a 31.5% increase from 2021. More modest price increases are expected going forward, with ATPs predicted to rise 2.9% this year and 2.2% in 2024.

However, in terms of year-over-year growth, the ATP in Asia Pacific climbed 148.7% YoY in 2022 to USD567 – the biggest increase seen in any region, despite China’s lack of international travel demand. Key business travel destinations, including Australia and Japan, fully reopened to vaccinated travellers and resumed visa exemption arrangements. Average airfares rose 75.3% for Australia and 79.3% for Japan in 2022, with a sharp rise in the share of long-haul tickets. As airlines in the region – particularly the major carriers from China – continue to add more international route capacity, the increased supply should help ease price pressures in the region, with ATPs forecast to rise 4.8% in 2023 and 2.7% in 2024.

Hotels

Like air travel ATPs, the global average daily rate (ADR) for hotel bookings exceeded earlier predictions, rising 29.8% YoY to USD161 in 2022. Occupancy rates have been high, along with labour, energy and food and beverage costs. Several cities worldwide, including London, Miami, and Singapore, reported their highest ADRs on record in 2022. ADRs are projected to climb a further 4.3% in 2023 to USD168, followed by a 3.6% increase to USD174 in 2024.

Ground transport

Car rental supply has been constricted as companies sold vehicles during the pandemic when demand collapsed. As business returned, vehicles were not replaced at pace due to supply chain issues, largely due to a worldwide shortage of vehicle semiconductors, leading to inflated vehicle prices. These factors have contributed to prices rising by 9.8% YoY in 2022, with a further 6.7% increase forecast this year. Pricing growth is expected to cool to 2.1% in 2024.

Meetings and events

In-person meetings and events have rebounded more robustly than many had expected. Client acquisition and relationship building are key business goals that are not easily executed virtually. There has also been a robust demand for incentive trips as companies seek to motivate and reward employees. CWT Meetings & Events has observed these trips becoming longer and more frequent and expects the trend to continue.

The average daily cost per attendee was USD160 in 2022. This is expected to increase to USD169 in 2023 and then USD174 in 2024.

Lead times for events remain short in this post-pandemic world. However, organisers should now look at 2024 with a 12-month planning cycle if they want to keep prices reasonable. At the same time, consolidating transient travel and M&E spending can give buyers more leverage when it comes to negotiating pricing.

For more detailed information, including regional breakdowns and in-depth insights and analysis on these pricing trends, please view the full report online or download a PDF version here.

About the 2024 Global Business Travel Forecast

The figures in this report are based on data from more than 70 million ticketed flights, over 125 million hotel room night bookings and more than 30 million car hires covering data from 2018 to the present. 

About GBTA

The Global Business Travel Association (GBTA) is the world’s premier business travel and meetings trade organisation headquartered in Washington DC, serving stakeholders across six continents. GBTA and its 7,600+ members represent and advocate for the USD1.158 trillion* global business travel and meetings industry. 

About CWT

CWT is a global business travel and meetings specialist owned through funds managed by leading global financial institutions, including Barings, MacKay Shields, and Monarch Alternative Capital.