Overseas destinations in doubt how Chinese market will change after the national Tourism Law

29 Jul 2013  2037 | World Travel News

CHINA - Although most foreign professionals in tourism industry regard the new National Tourism Law as a piece of good news, they still doubt the changes and challenges that this law will bring to Chinese market as well as to various stakeholders.
General Manager of New Zealand Tourism Bureau Asia Office, Tony Everitt pointed out that as an overseas destination of Chinese travel market, New Zealand can tell three major changes of Chinese tourists. First of all, they are focusing much more on exploring single country or destination. In particular, compared to the 60th and 70th generation, young tourists (i.e. 80th and 90th generation) are starting to realise that travelling to a single country, staying longer and digging deeper will be more interesting than rushing from country to country. Secondly, the volume of individual travellers is increasing; This makes more room for the development of luxury destinations and high-priced products. Last but not least, the number of theme travel or special interest travellers is growing, such as the gaining popularity of golf and honeymoon markets. Take honeymoon travel as an example, tourists for a purpose of taking honeymoon usually holding a higher budget than other tourists which indicates a higher consuming capability of luxury products.
However, the power of the mass market still cannot be ignored, in terms of which "Tourism Law" is undoubtedly good news for foreign destinations. Tony Everitt explained that  from New Zealand's point of view, most of the industry believe that "Tourism Law" will be able to protect both consumers and businesses by enabling suppliers to make a profit as well as guaranteeing consumers a better travel experience. However, how Chinese outbound market will change after the implication of the new law in October remains to be uncertain.
General questions include: First, considering the time, will the law have a thorough effect immediately once it is employed? Will shopping trips disappear overnight or gradually degradation? If it is to be gradually replaced, how long it will take?  How should businesses do to meet the demand of consumers for this transition phase? Secondly, from a geographic point of view, what kind of change will occur in the market? Will markets in different areas act in the same way or do first, second and third tier cities have their own way to deal with the new policies?
Tony Everitt said that only by having a clear understanding of the market trends will businesses and destinations able to make proper and efficient response. However, it still remains a challenge for everyone of how the market will reshape itself after October.

Sourced: TravelDailyNews

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