Chinese Millionaires appetite for luxury travel is high
Chinese Travel & Tourism industry has become a growing market in volumes and investments. According to the Hurun Research Institute in the “Hurun Chinese Luxury Consumer Survey 2017”, based on 449 Chinese “millionaires” (with a personal wealth of about 1,3 million euros), 90% of them are confident of China’s economic development and it was registered an appetite for luxury up to 20%.
Although the real estate market is the favourite for investments, travel is the first leisure activity for the respondents, representing the highest expense. In fact, among the preferred gifts, there is a growing interest in travel vouchers (9th place for men and 5th for women). The report also shows how Chinese millionaire seniors are keen on travelling. In their preferences, travel vouchers are at 2nd place.
When it comes to travelling, Chinese millionaires do not travel a lot for leisure, due to their work duties. In fact, they travel an average of 8 days per month for business purposes. On average, every year they spend 10 days for leisure, except for the ”super-riches”, who can afford about 15 days of holiday a year. Moreover, they travel abroad 3 or 4 times every year. The top destination in 2016 was Maldives, followed by France and the USA. Other European destinations are UK (5th), Switzerland (10th), Italy (11th) and Germany (15th).
Another reason for Chinese millionaires to travel is education. Parents are keen on having their children moving to the USA, United Kingdom and Canada, which lately overtook Australia.
The report shows how the Chinese market is developing new payments methods. The preferred one is Alipay, which is replacing credit cards, and Wechat, which was very popular in the Country.
At Twissen we observed that China’s real estate is doing a big bounce in investments, the consumption rate is pretty high when it comes to travels and children education. Health and tourism are the most relevant spending sectors. China is becoming the greatest potential in the world not just by the economic field, but also in life style, health, travel and it is expected that soon Beijing and Shanghai, will be on top of the most important cities in 5 years. The EU-China Year of Tourism 2018 is provided to foster cooperation and arise several opportunities for the Travel & Tourism industry.