Malaysia pushes alternative resorts

What could incentivise staff more than a destination with clean white beaches, breathtaking views of uninhabited tropical islands, ancient cultures and an abundance of activities? And what would please the client more to find all this is offered alongside a variety of meetings venues, high service standards plus value for money? This is what Malaysia needs to offer the incentive market if it is to increase this sector of the tourism industry. With strong competition from neighbouring Thailand and established exotic destinations such as Bali, Malaysia must be dedicated to development and promotion. Fortunately, the Malaysian Tourism Promotion Board (MTPB) has become more vigorous in its promotion. "The MTPB is focusing a lot more on getting both business and leisure tourism to the country, particularly as groups are looking for that new destination, that new idea," says Sheraton Perdana Langkawi director of sales Ms Diane Curtis. "Malaysia is still relatively undiscovered, compared with Thailand or Bali." Local tourism boards are keen to boost interest in their destinations. While the island of Penang, off the coast of north peninsular Malaysia, has a strong resort ambience and beaches rivalling any in Asia, the Penang Heritage Association is working with Penang Tourism to promote the island's many historical features, including Fort Cornwallis, the Street of Harmony and the Kek Lok Si Temple. "Penang maintains its heritage, which is a big selling point," says Destination East senior executive meetings & incentives Mr Jeffrey Chew. "Immediately there is more to offer a group than just a beach resort." The historical aspect is evident even in the island's hotels. Under renovation for the past four years has been the Eastern & Oriental Hotel in Georgetown, the island's capital, located 30 minutes from the airport. Founded in 1885, the hotel is now scheduled for a grand re-opening, following four years of renovation, in either March or April. The hotel is positioning itself at the luxury end of the market, offering only suites - 101 of them - and 24-hour butler service. "We don't have a dedicated MICE department, as we are marketing initially to the free independent travel (FIT) sector, but we will be pushing for business from the MICE sector, particularly from Australia, Japan and Singapore, and hope to eventually establish a dedicated events department," says general manager Mr Richard Bamford. Nevertheless, the property would be able to give over 40 to 50 suites to groups. "I find incentives do not clash with the FIT market," adds Mr Bamford. "And one aspect that will attract the incentive market is the grand ballroom with a permanent stage and gallery. It will be the only such ballroom in Malaysia." Mr Bamford hopes the ballroom and gallery will also be used for theatre. If the clients want banquets, there is room for 600 if the gallery is used and 1,000 theatre-style. Away from Georgetown - around 20 minutes drive - are the resort-style hotels at Batu Feringghi beach, all well versed in hosting incentive groups. Function and team-building space feature heavily at both the five-star 514-room Shangri-La Rasa Sayong and the adjoining four-star 395-room Shangri-La Golden Sands, both of which are on the beachfront. Incentive groups can hold team-building activities on the beach or at the trapeze area, archery range and basketball courts before heading to the garden pavilion for a dinner. A wide variety of activities are available should it rain, (the wet season generally occurs between the end of July and the end of September), ranging from games of mahjong, ice carving, tai chi and juggling lessons. Dinners can be hosted at one of the ten restaurants found at both resorts. Up to 200 rooms can be given to an incentive group and meeting facilities include a ballroom with capacity for 750 theatre-style and a further four function rooms for up to 200. While running at 80% occupancy throughout the year, sales manager Ms Betty Lim does admit competition for incentive business is strong from Thailand. Yet the properties are committed to winning this business back. "We are in the middle of revamping our collaterals for meeting and incentives, which will include inclusive packages, although we do tend to tailor them," director of sales Ms Anny Tan says. In addition, the Golden Sands is being renovated, due for completion by mid-2001. Ms Tan admits a high proportion of the hotels' incentive business is overwhelmingly from Australia, a common statistic for hotels in Penang, Langkawi and Kota Kinabalu. "The Australian market is coming to Malaysia because of their weakened currency. It is more affordable for these groups to hold incentives here than go further afield," says Ms Tan. "And in addition to developing the opportunities in this market we are also looking to attract more business from China and Singapore in 2001." Further along the Batu Feringghi beach is the Penang Mutiara Beach Resort which offers extensive conference facilities. In addition to the eight meeting rooms and ballroom, which seats 800 theatre-style, is the Catch, its beachfront conference venue. Opened in October last year, it offers a further three meeting rooms with capacity for 182 theatre-style. Director of sales Mr David Arul Pragasam believes a hotel should offer more than traditional meetings venues. "We have arranged meetings in the squash courts for clients who want to veer away from traditional settings," he says. "Creativity is what a hotel should be about." This is evident in the hotel's theme nights. As well as the popular theme nights used at many hotels - the pirates night, the jungle night, the traditional Malay night - the Mutiara has come up with ideas such as Out Of This World, turning the ballroom into outer space. "We've turned the ballroom into a 17th century wine cellar before and are introducing our Jurassic theme; the ballroom will be decorated with flying dinosaurs. If the budget's there, we can do it," adds Mr Pragasam. Destination East's Mr Chew frequently places groups at the resort hotels. "Penang offers a relaxed atmosphere but its infrastructure is also pretty well developed," he says. "Although there is a lack of venues for groups of more than 500, events of this size can be held at the Penang International Sports Arena, which has the space." Mr Chew is keen to incorporate Penang's heritage for gala dinners. "Generally, hotel restaurants aren't that big, so we would recommend the Penang Cultural Centre, which seats 400. We can also take groups to primitive longhouses and hold a headhunters theme dinner." Mr Chew often recommends groups participate in a two-destination trip, taking the group to the islands of Langkawi, a half-hour flight away. Langkawi is not as developed as Penang. "Langkawi is what Penang was like 15 to 20 years ago," says Mr Chew. Nevertheless, the coastline is as beautiful and it also offers a tropical atmosphere. Two hotels focusing heavily on incentives are the Andaman and the Sheraton Perdana. The former property certainly has the "wow" factor with its impressive décor and tranquil beach location. The 187 room-property's grounds are home to indigenous wildlife and nature experts are on hand to talk about the wildlife as well as to take groups jungle trekking. Conference-wise, the Andaman's ballroom seats 600 theatre-style and offers a further six meeting rooms. There is plenty of room for breakout areas and the hotel has gone one stop further from just theme dinners by also offering themed coffee breaks. "'Nuts, Nuts, Nuts' is a popular choice," says sales co-ordinator Ms Christine Yeoh. "A member of staff will dress as a gorilla and run around revitalising the delegates for the next stage of the meeting." To increase incentive options and a welcome addition to spouse programmes, the Andaman is opening a spa facility from February 1. Guests can use the spa - and other facilities - at its sister property, the Datai Resort Hotel. On the other side of the island, three kilometres from the town of Kuah, is the 200-room Sheraton Perdana, which is keen to attract a larger portion of the conference and incentive market. "Groups from Australia and New Zealand are increasing, but we need further promotion there, because Malaysia is still not immediately considered as a holiday or incentive destination and we want to change that perception," says director of sales Ms Diane Curtis. One of the first steps in that direction is the launch of incentive packages at AIME in February offering a range of theme ideas. "Every hotel does jungle or pirates night - and we still do these as they are popular - but we want to give clients something new," adds Ms Curtis. Ready to host these theme nights is the hotel's ballroom, with capacity for 800 for a cocktail reception and 500 theatre-style, plus three function rooms. Langkawi has a relaxed atmosphere, but groups will find a variety of activities and excursions available. There are jungle treks, cave exploration, island-hopping - Langkawi is made up of 104 islands - a visit to a crocodile farm or to hot springs and the Pulau Payar marine park. Islands aside, the conference and incentive (C&I) sector is a priority for Sabah in Malaysian Borneo. The capital, Kota Kinabalu, was granted city status last year; and the destination offers a combination of city and nature. From the city, you can explore islands and fishing villages, discover Sabah's plant life or go white-water rafting. "Kota Kinabalu is a great place for 'soft' adventure," says Destination East area manager Mr Azman Azcona. "As well as treks up Mount Kinabalu and jungle trekking, we are also conceptualising the Survivor series as a themed activity for groups." Kota Kinabalu's hotels are reporting up to 80% occupancy and business is buzzing from the C&I market, yet the consensus is that Kota Kinabalu needs more direct flights if the conference and incentive sector is to grow from the Asia Pacific. "The local government and Sabah tourism board are looking into increasing the number of direct flights to Kota Kinabalu," says Shangri-La Tanjung Aru Resort director of sales Ms Brenda Cox. "There is one direct flight a week from Narita, but that only has capacity for 170, and there a couple from Taiwan. Australian groups can fly direct to Kuala Lumpur and then transfer, but if we could have one direct from Sydney or Melbourne, that would help a lot." The Asia Pacific arm of Hegemeyer chartered a flight when they took a group to the Shangri-La Tanjung Aru Resort. The 500 room-resort describes itself as a garden property, set in 25 acres of land. "When Hegemeyer came here, they used the ballroom - which has capacity for 1,000 theatre-style - to set up 44 exhibition booths," adds Ms Cox. "So we erected a marquee in the garden for other functions. We have the space so we use it." Further meeting facilities at the hotel, which overlooks Tanjung Aru beach and nearby islands, include ten function rooms, with maximum capacity for 250 theatre-style Its sister resort, the 330-room Shangri-La Rasa Ria, is 45 minutes from the airport and shopping district on the unspoilt Pantai Dalit. Functions can be held in the property's eight function rooms and the ballroom has capacity for 800 theatre-style. Another big pull is the golf course and it is Malaysia's only resort with an orang-utan sanctuary. For groups keen to stay at a rainforest-based resort, one choice is the 485-room Nexus Resort on the Karambunai peninsula, which is strong on ecotourism activities such as cave spelunking (descent with ropes), nature trails and sea kayaking. Golfers can play on the 18-hole course and there are plans to build another in two or three years' time. Nexus is another resort eager to provide clients with themed parties and activities that are just a little different. "We have themes such as Borneo night, street bazaars and treasure hunts, but when a Citibank group asked us what we could do that other resorts could not, we came up with buffalo racing," says senior meetings incentives convention and exhibition manager Ms Mimi Zarina. "We're now including that in the incentive package we offer." The hotel has its own jetty and is excellent for watersports. For meetings, the ballroom seats 800 theatre-style and there are a further eight meeting rooms. The Nexus Resort is a half-hour drive from the airport. Should groups prefer to stay at one nearer, Sutera Harbour, ten minutes from the airport, offers two; the 456-room Magellan and the 500-room Pacific. "We receive a lot of business from Asia and Australia," says assistant director of sales Ms Vivien Lim. "The Pacific hotel is more a business hotel - it has a ballroom for 800 theatre-style and ten breakout rooms whereas the Magellan is good for both meetings and incentives." For those meetings, the hotel provides a convention hall, including a ballroom for 1,000 theatre-style and 13 breakout rooms, plus 2,000sqm of exhibition space. Incentives are not neglected; the hotel makes use of the five islands opposite the harbour, where barbecues are held. One of the big selling points for the hotel is the Mandara Spa, which opened in August last year. The purpose-built luxury facility is built over two levels and provides six double deluxe spa suites and six single treatment rooms. Kota Kinabalu, Penang and Langkawi are just three of Malaysia's exotic destinations. Tourism is high on the agenda for both state and local governments and while the proper infrastructure is there and is growing, care is being taken not to turn these destinations into concrete jungles. And for Australia-based MCI International's clients, price is a big lure. "Kota Kinabalu is growing more popular with the exchange rate and we're taking a group there in March," says MCI managing director Mr Peter Gray. There is certainly scope for cost-effective creative incentive packages that will please both clients and delegates alike.