Deluxe foreign resorts are increasing their marketing efforts in Shanghai as incomes here increase and local travelers become more sophisticated in their tastes.

Tourism malaysia is among the travel groups that have launched new campaigns in the city. The agency is now touting tours to some of the country's priciest destinations, such as Pangkor Laut Island and the Tanjong Jara Resort.

The shanghai business foray was the first for the Malaysians, who in the past have focused mainly on high-income customers in Europe, North America and Japan.

"We'll try to persuade Shanghai people that they can enjoy a real holiday by staying in one place," said Allan KF Chew of Malaysian YTL Hotels.

Malaysia airlines, which offers daily direct flights from Shanghai to Kuala Lumpur, also expressed high interest in the local market.

"Compared with other cities on Chinese mainland, people are more likely to accept new values," said an airline official.

As income levels increase here, travelers will be more willing to pay more for greater services, he said.

Meanwhile, the Luxury Ryokan Collection in Japan, a group of upscale resorts featuring traditional-style hotels, also began promotions in the city.

Wang yiran, professor of tourism management at the Shanghai University, said the luxury destination may not see a boom in the short term but should experience good growth in the long run.

Expense is the biggest obstacle, he said. A four-day resort package to Malaysia can cost around 10,000 yuan (US$1,205), for example, whereas an ordinary group goes for around 3,000 yuan.

(Shanghai Daily November 16, 2004)