According to the 2018 Report of China’s cross-border travel expenses, Chinese outbound tourists remain the world’s biggest spenders. Chinese consumers do not resemble the ones from other countries. Indeed, their demand of tourism upgrades day by day. International brands who have the plan of connecting to Chinese market need to know well of their consumer’s psychology and behaviour.
This blog aims to introduce the newest features of Chinese outbound tourists’ characteristics and demands.
1. User portrait upgrade:
Consumers are younger
In the West, luxury brands are more purchased by middle-aged people who own a stable professional situation and relatively high salary.
On the other side, in China, it is the younger population who is able to earn a higher salary because more and more of them choose to get their education in developed cities. Thus, they are better educated and eager to gain a better position. Most importantly, they are more open to western culture and have a lot of opportunities to travel abroad, unlike their parents. They have higher requirements for consumptions, whether it’s brands’ value or service.
Female outbound tourists spend more
Reported by China’s XieCheng tourism, the proportion of women in Free Independent Travel has been rising every year, reaching 58 percent in 2018, which is 16 points higher than men.
During their travel, women are demonstrated to spend more than men. In addition, there are abundant resources to assist the females in overseas shipping. For example, the two biggest mobile payments in China: Alipay and WeChat Pay. They include several practical functions such as recommendations of shopping areas and restaurant reservations.
20% of high-end tourists account for 80 percent of all outbound spending
According to the data report of MasterCard, high-end tourists account for about 20 percent of all outbound travellers and account for more than 80 percent of total outbound spending, four times more than Chinese outbound travellers. Growth in travel spending is due to the Chinese tourists spending their money on more diverse gameplay and experience. For example attending special attractions, booking a show, taking a hot air balloon flight or diving.
2. Consumption upgrade:
Chinese tourists choose a variety of payment methods
Since 2019, Japan, United Arab Emirates, United Kingdom, France, Singapore, United States, Spain, South Korea, Italy and Australia have become the most popular destinations of Chinese outbound tourists. Furthermore, there are over a hundred countries which support outbound consumption and about sixty countries that provide area scan code payment.
Taking a look at payment methods, bank card consumption is still the most used method, but mobile payment is rapidly increasing. Alipay, a domestic third-party payment platform is committed to providing “simple, safe and fast” payment solutions. It has been the world’s largest mobile payment vendor since 2014. It does not only provide convenience and multiple payments, but also provides several promotion campaigns for overseas merchants.
Chinese outbound tourism consumption is increasingly diversified
With the increase of Chinese travelling abroad, the consumption structure has been updated. More people pay attention to the experimental and spiritual consumption.
According to the report:
→ the number of museum orders in overseas tickets increased by 105%
→ Overseas taxi hailing increased by more than 300%
→ Booking of overseas local guides increase by more than 40%
In 2019, the most popular travel product categories include overseas tickets, meal ordering, one-day tours, shopping, car rental, etc.
The number of FIT has increased
Customized tourism will enter the mature period of the market and personalized demand will be to a greater extent highlighted. Since 2018, China continued to be the world’s largest source of outbound tourists and the trend of personalized outbound tourism has become remarkable.
Independent travel, customized tours, private tours are rapidly growing. Several online platforms support the FIT’s customized trips, including checking, ordering and paying functions in a huge range of activities. The apps such as Mafengwo, XieCheng, Alipay, Qiongyou support travelers to have a better travel experience.
However, WeChat, as the biggest chinese social media platform, has played an important role in communication between China and the world, allowing oversea merchants better target to the booming Chinese tourism market.
Know more information about Chinese tourism, please click: https://europasschina.com/category/blog/industry-analysis-and-market-research-in-china/