Continued growth in Chinese outbound tourism: forecast

According to a report cited by China Daily, Chinese outbound tourism reached 109 million trips in 2014, an increase by 11% year over year to reach a share of 9.58% of international tourists. However, Chinese tourist spending grew even faster, with an increase of 28% compared to the same period in 2013, with Chinese tourist spending accounting for 11% of global tourism revenues – $165 billion. In other words: Chinese tourists spend more than the average tourist, and continued growth in Chinese tourism spending is projected.

Wei Xiao’an, the secretary-general of the China Tourism Leisure Association argues that factors such as simplified visa application procedures and easier tax rebate policies continue to fuel growth in total number of outbound trips as well as tourism spending among Chinese tourists.  It was also reported that Chinese tourists are starting to switch from traditional inbound tourism, to international, outbound tourism. According to industry estimates, further growth in outbound tourism is expected to primarily come from China’s second- and third-tier cities, which in combination with advantageous currency exchange rates and simplified visa application procedures will fuel rapid growth within the sector.

The industry has already seen increased numbers of tourists coming from provinces such as Tianjin, Jiangsu, Zhejiang, Liaoning, and Sichuan over the last couple of years. Li Baochun of the World Tourism Cities Federation further argues that considering the much greater share of the overall population that second- and third-tier cities represent, even a small percentage of travelers from such cities going abroad will result in significant growth of Chinese outbound tourism.

Source: China Daily

Photo: Kyle Pearce, flickr