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Examination of Estimates of Expenditure 2010-11


Reply Serial No.




CONTROLLING OFFICER’S REPLY TO
INITIAL WRITTEN QUESTION


CEDB(CIT)075







Question Serial No.







2841




Head :

152 Government Secretariat: Commerce and Economic Development Bureau (Commerce, Industry and Tourism Branch)

Subhead (No. & title) :
















Programme :

(7) Subvention: Hong Kong Tourism Board




Controlling Officer :

Permanent Secretary for Commerce and Economic Development (Commerce, Industry and Tourism)




Director of Bureau :

Secretary for Commerce and Economic Development





Question :
With the implementation of the “three Direct Links” across the Strait, visitor arrivals from Taiwan suffered a substantial drop of more than 10% in 2009 over 2008. Please advise whether the Hong Kong Tourism Board plans any increase in its marketing initiatives directed at Taiwan in 2010-11, and whether the number of visitors from Taiwan is expected to recover or fall further in 2010-11.
Asked by : Hon. LI Kwok-po, David
Reply :
The Hong Kong Tourism Board (HKTB) has carefully assessed the impact of cross-Strait direct links in devising its promotional strategies for Taiwan. While the direct links might have contributed to a decline of 10.3% in visitor arrivals from Taiwan in 2009, especially those for business travellers who stopped over Hong Kong (a decline of 17.6%), vacation arrivals recorded a growth of 9.8% in the year to reach a total of 456 900. The HKTB’s strategy is to actively promote Hong Kong as an ideal vacation destination for Taiwanese visitors, with a view to making up for the loss in business arrivals. To this end, the HKTB will increase its marketing budget for Taiwan to $19.7 million in 2010-11, representing a rise of 4.8% as compared to that in 2009-10. Key initiatives in 2010-11 to promote Hong Kong in Taiwan include –
(i) leveraging on various mega events during the year to roll out promotions that target family and young travellers, such as the Hong Kong Summer Spectacular in July/August and Halloween Treats in September/October;
(ii) enhancing promotion efforts and increasing penetration in the secondary cities in Taiwan, namely Taichung and Kaohsiung; and
(iii) promoting corporate meetings and incentive travel in Hong Kong by arranging travel missions to Taiwan for business matching, familiarisation visits for agents and corporate representatives to showcase Hong Kong attractions, as well as direct mailing and sales efforts.
The HKTB envisages that the direct flights between Taiwan and the Mainland will continue to impact on visitor arrivals from Taiwan, in particular the business travellers, many of whom depart for the Mainland on the same day of arriving Hong Kong. As a result, the total arrivals from Taiwan in 2010 are expected to be around 1.76 million, a decline of about 12% over 2009. Nevertheless, the above promotional efforts will help attract more vacation visitors from Taiwan to Hong Kong, who tend to stay longer and spend more, thereby mitigating the overall impact.


Signature










Name in block letters

MISS YVONNE CHOI







Post Title

Permanent Secretary for Commerce

and Economic Development

(Commerce, Industry and Tourism)








Date

18.3.2010



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