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Examination of Estimates of Expenditure 2010-11


Reply Serial No.




CONTROLLING OFFICER’S REPLY TO
INITIAL WRITTEN QUESTION


CEDB(CIT)100







Question Serial No.







0876




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 :
What is the expenditure reserved by the Hong Kong Tourism Board for the new financial year (i.e. 2010-11) on promotional initiatives in this regard (i.e. driving growth in “Meetings, Incentive Travels, Conventions and Exhibitions” and revamping “Hong Kong Rewards” privileged programme)? Have any indicators been set for assessing the effectiveness of such initiatives?

Asked by : Hon. TSE Wai-chun, Paul
Reply :
In the 2008-09 Budget, an additional $150 million was earmarked over the following five years to enhance the appeal of Hong Kong as an international convention, exhibition and tourism capital, and to seek to host more mega international conventions and exhibitions in Hong Kong. The Meetings and Exhibitions Hong Kong (MEHK) Office was established under the Hong Kong Tourism Board (HKTB) in November 2008, specialising in promoting MICE (Meetings, Incentive Travels, Conventions and Exhibitions) tourism. In 2010-11, the Government will continue to allocate $30 million out of this additional funding to the HKTB for implementing this task, which also includes revamping the “Hong Kong Rewards” privileged programme. Since the HKTB will flexibly deploy resources in response to changing needs and the majority of the publicity activities can simultaneously promote meetings, incentive travels, conventions and exhibitions, there is no breakdown of expenditure figures on different items.
To ensure proper use of resources, the HKTB has specified some quantifiable indicators to measure MEHK’s performance on MICE promotion. These include:

  • Number of leads generated through the HKTB’s proactive liaison with MICE event organisers and corporations;

  • Number of bids for MICE events supported by the HKTB;

  • Number of visitors benefiting from value-added offers;

  • Number of new MICE products developed;

  • Number of marketing and communications activities organised;

  • Satisfaction level of MICE visitors; and

  • MICE event organisers’ awareness of Hong Kong as a premier MICE destination.




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





Examination of Estimates of Expenditure 2010-11


Reply Serial No.




CONTROLLING OFFICER’S REPLY TO
INITIAL WRITTEN QUESTION


CEDB(CIT)101







Question Serial No.







0877




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 :
It is mentioned in the estimates of the expenditure that the Hong Kong Tourism Board (HKTB) will focus on 18 top markets and “探取” strategies for strengthening promotion in established long-haul and short-haul markets and in high growth markets.
Would the HKTB explain the meaning of “探取” strategies? Regarding the 18 top markets (which account for 94% of total annual arrivals) mentioned, what will be the respective expenditures used by the HKTB on each market and what are the criteria adopted to determine the amount spent on each market?
Asked by : Hon. TSE Wai-chun, Paul
Reply :
In 2010-11, the Hong Kong Tourism Board (HKTB) will continue to maintain a diversified marketing portfolio focusing on the 18 top source markets to attract visitors to Hong Kong. The strategies to be adopted by the HKTB include stepping up publicity in the established long-haul and short-haul markets as well as high-growth markets, and enhancing promotion in the emerging markets. The words “探取” in the Chinese version of the Draft Estimates, which was a proofreading error, should read “採取”.
The marketing budgets of the HKTB for the 18 top source markets are set out below Note (1):





2010-11 Proposed Budget
(HK$ million)


Growth Markets - sub total

106.5

The Mainland

61.1

Taiwan

19.7

Australia

10.7

South Korea

10.5

Philippines

4.5
Emerging Markets – sub total

18.4

India

10.0

Middle East

4.3

Russia

4.1
Established Markets – sub total

47.4

United States

16.1

Japan

14.3

United Kingdom

8.8

Canada

4.6

Singapore

3.6
Secondary Markets – sub total

15.6

Malaysia

4.2

Germany

3.4

Thailand

3.3

France

3.2

Indonesia

1.6

In allocating resources for different source markets, the HKTB has taken into account the current visitor arrivals, tourism expenditure, and the existing and long-term growth potential of the markets, as well as their importance to the overall tourism development of Hong Kong. The HKTB will closely monitor the latest developments in different source markets and where necessary, adjust its marketing strategies and re-deploy resources to ensure their proper and most effective use.


Note (1): Because of rounding-off, there may be slight difference between the aggregation of individual markets and the “sub-total” figures.


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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