Coen MasselinkShangri-la Mactan is eyeing the European market to help keep it afloat next year while the domestic and southeast Asian markets struggle to recover from recent severe economic blows.
General manager Coen Masselink said that while the European market dropped during the construction of the hotel's new wing, Asian guests kept occupancy rates at a high of 80 per cent.
But the currency crisis and higher domestic airfares have made the property a relatively expensive destination for Asians despite the decision to quote prices in pesos instead of US dollars.
Asia contributes 77.35 per cent of the property's overall business. Of this, Japan covers 30 per cent, and the Philippines 22 per cent.
Europe contributed eight per cent of business this year. "So now we are telling the big European tour operators to come back, with the construction completed."
The Mactan property, which has 188 new rooms in its new wing, has topped all other Shangri-La resorts in the region as a meetings and incentives destination. Next month, most of its new rooms will be taken up during the Asean Tourism Forum.
"We don't have any serious competition at all in our category right now," he said. Marriott, Hyatt and Sheraton are set to come in late 1998 and in 1999.
"I am surprised that Marriott and Hyatt are focusing on the city, when international meetings are now looking for a resort ambiance."
Masselink said Shangri-La Hotels and Resorts is "seriously considering" opening a fifth property in the Philippines. Sources say it may be in Subic Bay.