DESTINATION CHINA

Incentive Travel, Corporate Meetings, Association Meetings, Event Management, Conferences, Product Launches, Special Interest Tours
Destination China is China’s first privately held Destination Management Company and the only one with combined Chinese and Western management and expertise. Our mission is to create and operate imaginative incentive programs, meetings and events within China, for the world’s most demanding corporate end users. We look forward to helping you and your clients discover why China has fascinated world travellers for over 5,000 years. With its vibrant economy and a swiftly developing tourism infrastructure, China is fast becoming one of the travel industry’s most requested destinations, offering a virtually endless mix of exciting historical, cultural and entertainment attractions… all in five-star comfort. We at Destination China have combined our substantial international know-how and experience with a well-established tourism presence in China to offer top quality service and one-stop shopping for all land requirements. At all times we strive to provide unmatched creativity in conception and planning, reliability in execution and flawless performance in every detail.

DESTINATION CHINA

News from Destination China...

April 2012


Destination China, in a joint venture with ACI Communications (Singapore) has established EiMC-Asia. The drive behind this was the search for new ways of doing and capturing business, something that all DMC’s and production companies are doing as our industry becomes more and more congested with competitors.

The Kerry Hotel Pudong is the new generation of Shangri-La properties opening in China. Part of a facility that includes shopping malls, service apartments and a hotel, it is in essence a hotel and convention space under the one roof and under the one management umbrella.

The issue from the perspective of the hotel was how to maximize revenue on the space and provide a level of technical and creative expertise that would give them a competitive edge. Hotels perennially have rented out and sold their function space to their clients – MICE, corporate and private, and watched with envy as production companies and DMC’s roll in with extensive equipment and production set-ups.
It was only logical that sooner or later that they would want to earn from this more than “incremental source of revenue”. To do this the KerryHotel management team turned to EiMC-Asia (DC and ACI).

The question is how to do this and create a competitive edge. This is where a company like EiMC-Asia is an essential part of the equation. The in-house team cannot be a hotel team. Being very realistic, these areas are not core competencies of a hotel, and frankly speaking with the way hotel sales teams and structures work, it would just be another department of a larger sales &marketing department. For this to be successful, it cannot just be another department - but a joint venture between a DMC and a production house is the perfect fit.

The additional positives as the DMC partner is that it provides opportunities to access clients that we may not have otherwise had leads from, and to have access to the local market. In China, company parties and events, weddings and multiple Chamber of Commerce and commercial events are usually held in hotel function spaces and ballrooms.

Having said all that, it is not all a “bed of roses” or a money tree. In an in-house capacity the costs are significantly higher because the hotel expects to earn a significant override on all services from the most basic to the most complex. It reduces the already thin margins that we work on these days. The challenge is the fine line between staying competitive, yet making enough of a margin to be profitable and to provide the hotel with their expected returns.

A new direction and a new opportunity for sure. The next 24 months will determine how successful it will be financially. And that is at the end of the day the bottom line. So for all you DMC’s and production houses out there, watch this space. This model may be a new way forward. Another piece in the puzzle of our ever more complex industry.

 

For more information, please contact Brian Yin at china@euromic.com

Kerry Hotel Pudong

Ballroom

Kerry Hotel Pudong