China's outbound travel will take a long-awaited hit as “Golden Week” bookings reveal changes in where and why Chinese are traveling.
Fliggy, China's main travel booking platform, said Chinese tourists booked more outbound travel during the National Day holiday from October 1 to 7, driven by falling air ticket prices.
Data from Alibaba Group subsidiary Fliggy shows travelers are heading to many of their usual destinations in the Asia-Pacific region: Japan, Hong Kong and South Korea, Australia and Southeast Asia's Thailand, Malaysia, Singapore and Vietnam. It is said that the United States is also on the list.
But company data shows that in most cases, the fastest growth in bookings is for travel outside the region: Chile, Croatia, Belgium, Hungary, Czech Republic, Finland, Norway, Netherlands, United Arab Emirates and Sri Lanka.
A report released by Goldman Sachs Equity Research on September 23 estimated that China's domestic tourism volume will increase by an “exciting 5-6%” compared with last year's holiday period. However, “outbound growth is likely to remain strong, with an annual increase of 62%,” which is about 94% of 2019 levels, the report said.
Longer trips, book earlier
ctrip.comChina's largest online travel agency also showed a “significant shift” toward long-haul destinations during the upcoming Golden Week, with Australia, the United States, New Zealand, the United Kingdom, France and Spain topping the list of long-haul destinations booked.
According to the company, the average booking length for Golden Week this year was more than seven days, but travelers to Europe stayed for twice as long.
While most Golden Week visitors choose mid-range accommodation, growth in five-star hotels in Europe is almost three times that in the Asia-Pacific region, company data shows.
Data from Trip.com shows an increase in bookings for long-distance travel during the upcoming Golden Week, with bookings rising for popular destinations such as the UK, Australia and New Zealand.
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Data from Trip.com shows that nearly one-third of European tourists have booked multi-destination trips, while 80% of Golden Week bookings in the Asia-Pacific region are single-destination trips.
ASEAN countries have discussed creating a Schengen-like visa to incentivize travelers to visit multiple countries in the region. But so far, the visa – which is available in Thailand, Cambodia, Laos, Malaysia, Myanmar and Vietnam – Not yet implemented.
Another sign of recovery? Travelers are planning their trips further in advance, signaling an increase in travel confidence. According to Trip.com data, travelers submit visa applications on average 68 days before departure, about 29 days earlier than last year.
Seeking quiet and concerts
As Chinese tourists continue to outgrow organized sightseeing tours abroad, more travelers are seeking to celebrate Golden Week off the beaten path, particularly in Asia and Europe, according to Trip.com data.
The company said bookings to Japan showed travelers were bypassing Tokyo and Kyoto for places such as Yokohama, Takayama and Ito, which saw triple-digit growth during Golden Week. Interest in visiting Vietnam's Phu Quoc island is also rising, data shows.
In Europe, bookings in the Spanish city of Granada increased by 260% and in Seville by 144%, according to Trip.com.
The Fliggy report shows that during the Golden Week, the number of tourists renting cars and booking cruises increased, and their interest in outdoor activities such as hiking, fishing, and sailing also increased significantly.
like Elsewhere in the world, live entertainment is a huge driver for Chinese tourists.
According to Trip.com, more than 75% of Golden Week visitors to the Asia-Pacific region were millennials, who booked trips to Hong Kong to see John Legend and Taemin and Taeyang. Taeyang and other Korean pop stars.
According to the Hong Kong Travel Industry Council, Hong Kong is expected to welcome as many as 1.2 million mainland Chinese tourists during the upcoming Golden Week holiday, a 10% increase from last year.
Spending is expected to be flexible
Fliggy’s data shows that despite the continued turmoil in China’s economy, tourist spending increased by nearly 6% compared with last year’s Golden Week.
HSBC Global Research said in a report on Chinese online travel agencies, “We are optimistic about Golden Week…as we expect strong traffic growth due to lower air and hotel prices.
The report quoted Beijing-based online travel agency Qunar.com as saying that Chinese people from smaller cities are now also choosing to travel abroad.
According to statistics from Qunar.com, the number of outbound travel in second- and third-tier cities is rebounding. The number of outbound travel bookings in third-tier and below cities has “increased 2.5 times year-on-year, and bookings in second-tier cities have increased by 76%.”