Thailand's marketing-savvy government continues to make waves. A while ago, we reported on plans to open hundreds of Thai restaurants around the world, in an elaborate franchise scheme set up by the Thai Department of Export both to promote Thai food and act as physical tourist brochures around the world. Now, targeting high net-worth individuals around the world, the country's Tourism Authority has introduced a loyalty scheme, called the Thailand Elite Privilege Club.

A world's first, membership (which comes with the Thailand Elite Card) earns card holders benefits and discounts all over the kingdom, ranging from fast-track immigration at Don Muang Airport, heavy discounts on Thai Airways (buy one, get one free), special rates at five-star hotels, free golf at several courses, free limousine transfers, 24-hour concierge service, free spa treatments and medical check-ups, and five-year multiple entry visas allowing the cardholder to stay continuously in Thailand for 90 days. And it gets even better: next year (2005) will see hotels like the Thailand Elite Boutique Hotel, golf clubs, and entertainment centers that would be exclusive only to card holders.

Perhaps most intriguingly, members can also 'purchase' second homes in Thailand. As foreigners aren't allowed to own land in Thailand, purchases would be in the name of Thailand Privilege Co., the entity that runs the Thailand Elite program on behalf of the Tourism Authority of Thailand (TAT). The state tourist body, which is overseeing the promotion, is hoping to sign up at least 10,000 wealthy visitors to the program by the end of next year. Thailand's president, Thaksin Shinawatra, has predicted that 200,000 members could eventually join. That's a lot of newly minted Thai ambassadors!

Opportunities

Maybe you're in government. Or in tourism. Or in loyalty management. Or in anything that could do with a healthy dose of privilege for customers floating in the ever expanding 'sea of sameness'. This Thai initiative may inspire you to re-assess your assets and determine which could carry a premium by making them available to members-only.

From a country's point of view, there are a lot of potential candidates who could do with either an inflow of prosperous visitors, or more goodwill. Springwise will continue to closely track the Thai Elite program, as we believe it will offer an ongoing source of inspiration to the world of travel and loyalty. We also realize that the aforementioned Thai restaurant chains idea never really materialized, so this is, before anything else, a source of inspiration: how and with whom you execute, is up to you!

A few months ago, we highlighted New York City's customer service initiatives, notably the '311' service number, with its 24/7 call center, allowing New Yorkers to immediately report everything from potholes and defect street lights to loud noise and parking violations; get information on trash collection schedules or community center resources; or leave a (frank) opinion for the Mayor. We noted that not only other city governments around the world should pay attention, but many corporate laggards as well. Now, with some remarkable marketing initiatives, New York is again pioneering new business ideas that no doubt will be copied by other large cities around the world.

First, in April of this year, Mayor Bloomberg appointed Joseph M. Perello 'Chief Marketing Officer' (CMO) for New York City, which could well be a world's first. Perello is charged with, in Bloomberg's words, "establishing a centralized marketing strategy for the City that will enable us to effectively leverage the world's affection and admiration for New York City and the unique assets that we possess." For an interesting interview with Perello, check out this Reveries article.

Two recent deals seem to indicate that this City-CMO is taking his job seriously: a five year, USD 166 million vending and marketing agreement sponsorship with Snapple Beverage Group (source: nyc.gov). Elements of the deal:

• In adherence with the NYC nutritional guidelines, Snapple will become the school's exclusive provider of water and 100% fruit juice via vending machines in the city's 1,200 schools. To keep things healthy (after all, the government is supposed to lead the way), Snapple is developing four new 100 percent juice drinks -- Green Apple, Orange Mango, Grape and Fruit Punch as part of the deal.

• Outside of the schools, Snapple will become the official iced tea, water and chocolate drink (Yoo-hoo) for vending in the City. Narrowing down the deal to "iced tea and water" clearly leaves the city's doors wide open for a whole variety of other deals.

• Snapple will market these products directly with the City through the sponsorship of concerts, events, and utilization of the City's owned media including outdoor media, TV and online assets.

• Snapple has committed to work with its affiliates to promote New York City through its marketing and communications efforts, with a promotional value of more than 60 million USD.

New York City's 311 could become a model of customer service innovation

Innovative customer service is probably the last thing you would expect from a city government. And yet, New York Mayor Bloomberg came up with just that when he introduced '311': THE number for New Yorkers to call when they have *any* question relating to their city, neighborhood or the city government.

In 1996, across the US, the 311 number was set aside as a non-emergency alternative for the well known '911'. Ever since, a growing number of American cities have introduced it to their citizens, including Chicago, which actually won a 'Innovations in American Government' award for it in 2002. However, Bloomberg's initiative is the boldest so far to date: 8 million people in the most demanding and fast-paced place on earth certainly have a lot to ask and gripe about.

311 and the accompanying 24/7 'Citizen Service' call center allows New Yorkers to immediately report everything from potholes and defect street lights to loud noise and parking violations, information on trash collection schedules or community center resources, or leaving a (frank) opinion for the Mayor. All this with live operators, who amongst them speak 170 languages, and who will give callers a tracking number so that they can follow up on the status of their requests.

Thai government develops restaurant franchises

Now this is TRUE country-branding: Thailand's government is developing Thai food franchises along the lines of the McDonald's chain. The highly branded outlets will be known as Golden Leaf, Cool Basil and Elephant Jump. The goal is to open 3,000 restaurants worldwide, in cooperation with joint-venture partners.

Kicking off this remarkable initiative, two 'Elephant Jump' outlets recently opened in London. In the US, franchise fees would be US$30,000 for Golden Leaf, $20,000 for Cool Basil and $10,000 for Elephant Jump.

Franchisees would pay 3% of their annual revenue to the holding company, which would see a 30% Thai government ownership.With tourism now the world’s largest industry, and smaller countries scrambling to be heard and seen amidst the explosion of travel destinations, Thailand shows that it understands the future of ‘popular embassies’.

Opportunities

Opening up entertaining (not to mention appetizing) global outposts that generate both instant cash and future income from increased tourism/trade is far more profitable than boring brochures and travel trade shows.

Country and city governments from Belgium to Chile should take notice, as should clever design/food/brand experts, who could set up dedicated ‘city/country branding’ consulting and implementation ventures.

Useful links
http://www.depthai.go.th