“Aussie-ness” gives Mantra competitive edge over Intl brands: East
Peppers throws a shrimp on the barbie for high profile political and tourism guests; announces “game-enhancer” move to go from managing properties to owning hotels.
As the second largest accommodation provider in Australia and the only pure-play hotel group listed on the ASX, Mantra Group kicked off its annual conference at Peppers Salt Resort in Kingscliff yesterday with a number of “high calibre” speakers to discuss the country’s tourism outlook.
Gold-Coast based Mantra Group ceo Bob East told conference goers the company was going to start “buying hotels” if the opportunity arises with the “right asset in key leisure or CBD locations” in Australia and possibly New Zealand, the Herald reports.
“This is an important future step for our business,’’ he told the paper, adding that Mantra would take a focussed approach and was “not going to rush out and buy 15 hotels”.
“If the right product comes up, it is something we’d consider,’’ he said. “We’ll also consider part-equity participation.’’
He said Queensland hotels were on the radar but Mantra was “really hot” on Sydney and Melbourne, and according to East, Mantra already spends $80 million a year on acquisitions and the move to own hotels was “not a game-changer but a game-enhancer”, the paper reports.
Boasting a “healthy” pipeline of new properties in well-positioned locations and key leisure destinations, East said the company was in an “unprecedented position” to also capitalise on Asian inbound growth and the domestic tourism outlook.
“Our brands fit well with this market – Peppers alignment with food and wine experiences is key for the FITs and Mantra’s central city locations offer the right price point and facilities,” East said.
East added that as an Australian based operator it was able to leverage a more “unique experience” to offer to visitors compared to international counterparts.
“Our staff are engaged and committed to offering the best Australian hospitality experience – friendly and efficient but with a relaxed style that Australians are known for. This approach is a natural and intrinsic part of the way we relate to our guests which sets us apart from our competitors,” East said.
“Mantra Group is one of the most dynamic hotel operators in the Asia Pacific and it is a reflection of the business’ success that we can share our knowledge with political and industry thought leaders.”
Meanwhile speaking on tourism trends, keynote speaker, Former Prime Minister, Paul Keating said Australia was geographically in the right “zone” to capitalise on growth from the growing middle class markets of both China and Indonesia, but needed continual investment to maintain a high level of standards expected from the lucrative Asian traveller.
“For the next five to seven years Chinese wages will rise and air travel will remain relatively cheap – Australia is in the right geographical zone to capitalise on this,” Keating told conference attendees.
“As an industry the exchange rate will only go so far – the big challenge for the industry is maintaining a standard that caters to increasing wealth of the Chinese traveller or they will move on to other things. There will be a need for more investment.”
Meanwhile, fellow speaker, Tourism Australia’s relatively newly appointed chief marketing officer, Lisa Ronson confirmed Chinese visitors to Australia last year spent a whopping A$5.7 billion in the country.
“Asia is now our fastest growing inbound region, with visitors up around 11% last year. For the most part these visitors are smart, independent-minded travellers, possessing both the appetite and the financial means to enjoy international travel and quality tourism experiences,” Ronson said.
Former TTF boss Christopher Brown and Tripadvisor’s Julien Coste also spoke at the conference, and day two kicks off today with Australian of the Year, Rosie Batty, joined by Gold Medal Olympian Alisa Camplin and journalist Ellen Fanning for an in depth women’s panel discussion.
Email the Travel Weekly team at traveldesk@travelweekly.com.au
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