By Carla Mortel
TO further expand the Korean market, the Department of Tourism (DOT) recently participated in the 31st Korea World Travel Fair (KOTFA) 2016 held in COEX Convention Hall from June 9 to 12 in Seoul, South Korea.
As one of the 60 countries that participated in the trade fair, the Philippine tourism office joined the 4,826 exhibitors in promoting special tour packages and business opportunities to traders and consumers. KOTFA is one of the major travel fairs in South Korea with an expected 120,000 visitors during the four-day event.
At the Philippine booth, representatives from the local travel trade were present to conduct networking and promotional activities, as well as major local tour operators, and general sales agents from airlines and resorts based in Korea. To entice visitors to Philippine destinations, Filipino folk songs and dances were performed by the Sindaw Philippines, who shared the stage with other cultural groups representing China, Malaysia, Guam and India, among others.
Korean arrivals at its peak
According to the DOT, from January to April, Koreans remains to be the country’s top market with 481,596 visitors or 23.22 percent of the total arrivals. For the same period, the country recorded a total of 2,073,851 arrivals, a milestone figure that surpassed the 2-million mark in just four months. The data comprises a 14.25-percent increase versus its corresponding arrivals of 1,815,202 in 2015.
The second-biggest number of visitors came from the United States, registering a total 303,951 visitor arrivals, or 14.66 percent of the total. China is the third highest visitor-generating market with 238,523 visitors and a share of 11.50 percent. Japan contributed 183,620 visitors, an 8.85 percent of the total inbound traffic while Australia provided 88,496 arrivals, or 4.27 percent of the total.
For the month of April, the country recorded a total of 471,598 visitors, registering an 11.39-percent increase against the 423,366 visitors in 2015. The double-digit growth in visitor arrivals was posted in January with 13.17 percent, February with 20.42 percent and March with 11.86 percent.
Based on regional grouping, East Asia, comprised of Korea, Japan and China, supplied the biggest influx of arrivals with a total of 221,509 tourists, accounting for 46.97 percent of the total visitor volume.
Korea is also the top spending market for April with an estimated spent of P5.30 billion. US followed with a total of P3.13 billion spending, while Japan ranked third with expenditure estimated at P1.11 billion.
Top destinations for Koreans
According to Maricon Ebron, the Deputy COO for Marketing and Promotion of the Tourism Promotions Board (TPB), the Korean tourism market had been the top market since 2007 and presently shows no sign of backing down. “Korea is the only market that hit the millionth mark. That happened in 2012 when 1,031,155 Koreans came to the country. Last year, Korean arrivals were posted at 1,339,678. For 2016 our target is at 1.4 million arrivals; a very conservative target.”
“Most Koreans go to China, Japan and the US, but in Southeast Asia, the Philippines is their most preferred destination. We already have overtaken Thailand in terms of arrivals, while Vietnam is fast catching up,” Ebron said.
She also added that for a quick tropical getaway, most Koreans troop to the beaches in Cebu, Boracay, Palawan and Bohol. “Their main considerations are proximity, natural attractions and affordable rates; making the country the perfect fit for their travel plans,” Ebron said. “We have also observed that there are no more peak months. Koreans now arrive in the country throughout the year.”
Diverse market segments
The travel market for family holidays, honeymoon packages and special interests, such as golf and diving activities, remains strong. Introduced last year, incentive travels immediately captured 10 percent of the total arrivals of Koreans. However, the ESL market took a downward turn. “Many Koreans still want to learn the English language, but due to the security concerns of parents, many have resorted to online learning,” Ebron explained.
To sustain the market’s upward trend, the Tourism Promotions Board continues to work together with travel agencies and airlines in developing special tour packages for Koreans. This year travel agents have started offering extended tour packages for golfers, second-honeymoon packages and tours for office ladies who travel in groups.
Ebron also took note of the increase of repeat travelers. “Since 2014, 52 percent of Koreans have visited the country more than once. After the initial visit, the Koreans come back by themselves because they find it affordable and convenient. That is also the reason behind the growing popularity of airline and hotel only (air-tel) packages.
In turn, Filipinos are also taking advantage of the airlines’ good rates and air-tel. “From the Asean region, we are the top travelers to Korea; a little less than a half a million Filipinos came last year.”
Infrastructure and accommodations
According to Sun-Ok Yong, deputy general manager of HanaTour for Southeast Asia, the company is also taking notice of the so-called free international travelers (FITs) who settle for air-tel packages. “Around 40 percent of Korean tourists come to the Philippines on their own,” said Yong.
In the region, the Philippines, comprising 20 percent of their total arrivals in 2015, is HanaTour’s second-biggest market following Thailand. “Koreans visit Cebu, Boracay and Manila. We want to offer other destinations, but the infrastructure is not there.” He reported an increasing interest among Koreans to visit Palawan and Legazpi, thus, the demand for chartered flights and international airports.
Yong also added that HanaTour can sell more packages if hotels and other accommodations are available. “The inbound flights are increasing so there is a need to make available more rooms.” He is also optimistic that the administration under President Rodrigo R. Duterte will address the safety concerns of Koreans residents and tourists. “We hope that the new government will support the tourism sector and improve the security situation so that more Koreans will visit the Philippines.”
From June 9 to 12, the DOT also joined in the 10th HanaTour International Travel Show held in KINTEX, Seoul. As a major travel fair, the event showcased international hotels, resorts, airlines, cruise companies and tourism administrations that offer travel information, performances and events. HanaTour is the largest travel company in Korea that provides service in international travel and air ticket sales through 29 areas globally.