By Peden Doma Bhutia
Published Apr 10, 2024
A notable demographic shift, particularly among young upwardly mobile women, is driving the recent travel rebound in China. These travelers are researching and booking trips online, often spontaneously.
According to the most recent travel sentiment survey conducted by China Trading Desk, 62% of outbound travelers were female. Among them, almost 40% fell within the ages of 18 to 24, and a little over 27% were 25 to 29-year-olds.
According to China’s Ministry of Culture and Tourism, there were 3.6 million outbound trips taken during the Chinese New Year (from February 10-17).
Skift earlier cited a Dragon Trail research that expects China’s outbound tourism to reach 80% of pre-pandemic levels by 2024 end.
The five-day Labor Day holiday that begins from May 1 and the summer travel season are expected tofurther drive outbound tourism.
Women Power Drives Travel
Subramania Bhatt, founder and CEO of China Trading Desk, emphasized the emergence of a new cohortof digitally-savvy travelers seeking culturally enriching experiences. He highlighted that this demographicis predominantly young, female, and educated, with many opting for solo trips.
“These travelers exhibit a strong interest in independent travel, nature activities, and culturalexperiences,” Bhatt told Skift.
He emphasized the need for travel businesses and destinations to better cater to these travelers byprioritizing safety, wellness, and support services.
Businesses should focus on promoting shopping and luxury experiences, along with unique localactivities that appeal to the interests of young Chinese women travelers, he said.
Regarding travel preferences, the survey revealed that shopping ranked among the top five consumptionitems for outbound travel along with accommodation, air tickets and food. Over a quarter of travelers saidthey research shopping activities before purchasing air tickets, with this percentage rising to just under70% among those aged 18 to 29.
Challenges of U.S. Travel
Analyzing destination popularity among Chinese travelers, Singapore maintains its lead position, followedby Thailand and South Korea.
During the first quarter of 2024, China contributed the highest number of visitor arrivals to Singapore,with nearly 724,000 entries. This marked a 481% year-on-year jump, reaching 75% of the visitor arrivals in2019 for the same period.
In February, Singapore and China implemented a 30-day visa-free travel arrangement. Also, from March 1, Thailand and China entered into a mutual visa exemption agreement.
However, travel to the United States from China remains subdued. Bhatt predicts that Chinese travel to the U.S. may start to recover by the fourth quarter of 2024 or early 2025, barring any additional constraints.
“A variety of challenges, notably stringent visa regulations, geopolitical strains, and advisories from theChinese government are holding back U.S. travel,” he said.
Recent incidents of professionals and students experiencing entry denials or interrogations upon arrivalin the U.S. have led to official warnings about potential travel disruptions or cancellations, he said.
“Given the ongoing geopolitical complexities and the U.S. elections in November, prospects forimmediate improvement in U.S.-China travel dynamics appear limited,” Bhatt said.
The survey listed government travel restrictions among the top factors influencing travel decisions.
Apps to Plan, Research and Pay
Chinese travelers are also booking trips faster and using digital platforms more. This suggests a trendtowards spontaneity and flexibility driven by their digital skills, according to the survey.
They use popular travel apps like CTrip and Qunar, as well as social media platforms like Douyin andXiaohongshu (China’s Instagram), to get information and plan trips. These platforms are also often usedfor organizing shopping excursions.
Bhatt stresses the importance of digital tools in travel and shopping, noting how they shape travel plans.
Friend recommendations strongly influence hotel bookings, followed by digital ads, highlighting theimportance of social networks and targeted marketing in the hospitality industry.
For improving shopping experiences, travelers, especially those aged between 18 and 29 prefer usingdigital wallets and mobile payments. Alipay is the top payment method for outbound travel, with WeChatPay also widely used among Chinese travelers.
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