About the Key Distribution Partner program
Tourism Australia is embarking upon a new 'high yield' distribution model in China, aimed at building an elite network of specialist travel agencies, highly motivated and professionally trained to sell high quality group and FIT (Free and Independent Travel) Australian holiday packages to the country's rapidly emerging sophisticated travellers.
Under the new Key Distribution Partner (KDP) program, Tourism Australia and its state and territory tourism partners will work closely with a targeted group of Chinese travel agencies, each highly committed to developing new and innovative Australian tourism products for Chinese travellers.
KDP program and Tourism Australia’s distribution strategy
The KDP program forms a core component of Tourism Australia’s distribution strategy in a post China Tourism Law landscape, where we are seeing a big shift away from lower yielding group tours to a more independent, higher spending Chinese visitor, seeking higher quality visitor experiences.
Tourism Australia has based its China KDP program on trade marketing programs it has successfully implemented in other Asian markets, although significantly modified to take into account the unique requirements of the Chinese market.
The new distribution strategy will be supported by increased advertising spending. New and innovative itineraries and programs, designed to meet the needs of Australia’s target market in China, will also be developed and promoted by Tourism Australia and State and Territory Tourism Organisations (STOs), including through www.australia.cn.
List of Key Distribution Partners
33 China-based travel agencies have been selected to join the KDP program.
Download the list of China-based Key Distribution Partners.
Frequently Asked Questions - for the Australian tourism industry
Q 1. What criteria were used by Tourism Australia to select KDP agencies?
A. Agencies were selected based upon a number of different criteria, including being able to demonstrate commitment and capability to marketing quality Australian tourism experiences, staff training and product development.
Q 2. What are the benefits for my business of working with a KDP agency?
A. These agencies already have a solid understanding of the Australian tourism market, as well as established relationships with the type of high yield consumer Tourism Australia is actively targeting through its Chinese marketing activities. Under the new distribution system, these agencies have committed to running marketing campaigns alongside Tourism Australia. Obviously there are significant benefits in your business being included as part of these new itineraries; however in the first instance please discuss with Australia-based inbound operators who might already have a business relationship with these KDPs. The higher the quality of your marketing collateral (e.g. images, website, case studies, testimonials etc.), the easier your product is to promote and the better chance of it being considered by a KDP agency.
Q 3. What role are the State and Regional Tourism Offices in China playing in the KDP program?
A. Tourism Australian already works closely with the State and Territory Tourism Organisations and Regional Tourism Organisations (RTOs), who are active in supporting trade development in China. STO and RTO partners may align part, or all, of their trade development work in China with KDP. We will be encouraging those of our other partners with similarly aligned target segments to also engage with our key distribution partners. We firmly believe that those partners who engage most strongly with our preferred Chinese distribution partners will reap the greatest benefits from the program. In other markets where we’ve put similar distribution programs in place, the feedback from our STO, RTO and airline partners has been very positive, particularly access to established marketing channels that can be activated quickly to reach Australia’s target audience.
Q 4. How will you measure the success of the KDP program?
A. Ultimately, the KDP program is inextricably linked to our China 2020 Strategic Plan and, more broadly, our industry’s Tourism 2020 strategy – which has the overall goal of increasing overnight visitor expenditure annually to over A$115 billion by the end of the decade. More specifically, evaluation will include measures such as passenger sales figures and the number of new products developed.
For further information:
Please contact our Sydney or China offices.