The China Outbound Tourism Research Institute (COTRI)" /> David H Boggs Search Marketing Blog: Chinese are traveling more but shifting spending from luxury goods to experiences

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Chinese are traveling more but shifting spending from luxury goods to experiences

28 November 2018

The China Outbound Tourism Research Institute (COTRI) has reported on trends in outbound tourism from China in 3Q2018.

In the third quarter, Chinese nationals made a total of 43M border crossings globally - up 10% from 3Q2017 - of which 20M were within Greater China and 23M elsewhere throughout the world.

But arrivals to the USA and the UK were down, and growth in visits to Thailand, Australia, Singapore and Germany was weak.

Overseas spending by Chinese travelers may have plateaued or even decreased - a change attributable to some combination of:

  • Failure of long-haul destinations to grow market share, and
  • Slower growth in spending on luxury goods due to:
    • a priority shift toward spending on experiences, along with
    • increased consumer caution occasioned by the Chinese government's anti-graft campaigns.

That trend may be favorable for tourism destinations and businesses providing unique experiences, but it's bad news for the global retail sector. According to UNWTO, Chinese travelers account for 21% of tourism spending worldwide.

Looking for visitors from China? Tune up those experiences, and make sure they're well promoted before travelers lock in their summer 2019 trips.

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