Tour agent: CNMI must consider travelers’ spending habits

As Japanese travelers have become more prudent in their spending habits, the Northern Marianas must lower its prices and increase the quality of the destination to enable it to survive the cut-throat competition in international tourism market, according to Yoshinobu Onizawa, general manager of the planning department, Pacific Micronesia Tours, Inc.

PMT is a subsidiary of Japan Travel Bureau, the world’s biggest tour operator.

Since 90 percent of Japanese travelers last year have been to other countries, Onizawa said, they will always compare Saipan to other destinations.

“I do not think that Saipan is easy market. Airfare and room rate are not always lower than other destinations. We are facing very difficult situation. Japanese consumers are so price-conscious and naturally expect a good buy,” said Onizawa, who has been with JTB for 28 years focusing on outbound business, 10 years of which were spent in Micronesia.

Onizawa said the CNMI has earned an advantage with its appeal to the resort market. This advantage, he added, can be enhanced by promoting a hospitality campaign through the CNMI’s Sai-panda mascot.

“Saipan must become a unique island of hospitality,” he said.

Sai-panda must symbolize hospitality that should start with the immigration and customs agents, the first people whom tourists meet in every destination.

In offering package tours, Onizawa, who has years of experience in wholesale travel, said it is important to provide to the customers what the advertising materials have promised.

Onizawa said tour operators cannot change the contents of an advertising pamphlet, once published, because there’s a penalty when conditions are not carried out.

Printed promotional materials are very important since a wholesaler fully relies on pamphlets on the sales.

In 1998, JTB printed almost 3 million copies of pamphlets for Guam and Saipan, which were distributed in Tokyo and neighboring areas.

Saipan’s market is currently focused on young travelers and family tours. Some programs for the senior market should be added as the number of Japanese travelers in this category is expected to increase.

Fiscal year in Japan begins in April, thus it is important to have a two-month sales lead-time in marketing and promotion. Prices of package tours must be decided by middle of November and pamphlets distributed by end of January. This means that planning is done as early as July for the next fiscal year.