China Outbound Tourism free

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Travel Distribution Summit Asia Roy Graff Managing Director, ChinaContact How the Chinese Outbound Travel Market is changing Who are the new Chinese visitors? Effective sales and marketing strategies to attract Chinese Which products and services appeal to the Chinese traveller? What reliable information sources for this market exist?

Speaker Introduction: 

Speaker Introduction 2005 to present: ChinaContact Managing Director 2006: Conference Director, WTM-ChinaContact conference ‘China-the future of Travel’ 2004-2005: China Country Manager, Octopustravel.com 2003-2004: China E-Commerce Director 2002-2003: China Senior Business Development Manager, Gullivers Travel Associates Three years of business development, marketing and PR experience in China Twelve years tourism industry experience Fluent in Mandarin Chinese BA in Chinese & Economics

B) Statistical overview: 

B) Statistical overview 2005 Chinese Outbound Travel Destinations *Zhang Qing/Byecity.com 2006: 34 million outbound travellers Market Value: 17 Billion Dollars (?)

ADS and other forms of tourism: 

Business Paid by company/bureau Predominantly company of male colleagues Convenience and time Concentrated shopping Appreciate flexibility and attention to time management Leisure Self financed Small groups of friends or family members More flexibility and interest in attractions Allocate more time for shopping. Most high spending still driven by business and delegations ADS and other forms of tourism

The nature of the Chinese traveller: 

The nature of the Chinese traveller Who? Small groups on an incentive trip Top management of companies and government bureaus ‘internationalised’ Chinese 4:2:1 (3 generations)

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Middle and high income White collar annual income: USD $25k on average Established pattern of business trips combined with leisure holidays Increased awareness of luxury destinations Desire to ‘outclass’ others Prefer convenience and access to range of activities

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Where from? South China Eastern seaboard North East Western China Beijing & Dongbei Shanghai & Huadong Guangzhou & Huanan Xinan & Xibei

Outbound travel decision making process: 

Outbound travel decision making process Destination Near -> Far Visa access Recommendations Marketing

Popular destinations (ADS): 

Popular destinations (ADS) Most popular destinations for Chinese Reasons: politics, time, cost, cultural affinity, language, food Top aspirational destinations Reasons: status, novelty, culture, business needs, shopping Hong Kong, Macau, Japan, Korea, Thailand, Vietnam, Russia, USA, Singapore, Australia, Malaysia France, Switzerland, USA, UK, Australia, Germany, Canada, Italy

Popular activities: 

Popular activities The ‘traditional’ activities The break with tradition Political change Change in Attitude Economic advancement Demographic shift

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These changes now lead to change in activity types: More family oriented activities Variety of shopping and increased sophistication Children’s pastimes Cultural emphasis – ‘deep impact’ sightseeing Development of short break holidays in Asia

Future Trends: 

Future Trends South East Asia will grow as a market for FIT Taiwan: ‘reverse’ cultural colonialism Thailand/Singapore/Malaysia: golf, sailing, gaming, shopping (short excursions) Europe will become fashionable (+Weather impact) USA/Canada will become popular once ADS is signed (depends on visa procedures) Theme tours to become popular – niche markets emerging.

Why localisation?: 

Why localisation? Language differences in Greater China Lack of confidence in foreign languages Chinese search engines Trust in local presence Customer feels important

Localisation pointers: 

Localisation pointers Language Information offered in Chinese Website Customer service Keeping in touch

Direct Sales: 

Direct Sales Direct Sales B2B: The tour operators and travel agents B2C: travelling public Internet Marketing The Great Firewall of China Hosting packages Email marketing Local Represetation Selecting a local partner Monitoring performance

Satisfying a Chinese client: 

Satisfying a Chinese client Attention to personal details Understanding cultural sensitivities Knowing your Hans from your Hui Knowing of regional differences Being flexible - adaptable to changes in plan Chinese language information Exceeding expectations

Information sources about theChina Outbound Travel market: 

Information sources about the China Outbound Travel market China Contact website www.ccontact.com/resources.htm China…the future of Travel conference on bilateral tourism with China www.future-of-travel.org China Outbound Project www.china-outbound.com China Business Services www.chinabusinessservices.com

The China Outbound Travel Handbook: 

The China Outbound Travel Handbook “EXCELLENT NEW HANDBOOK OFFERS KEYS TO CHINESE MARKET“ Bruce Taylor, BBT Online, Belgium “(The China Outbound Travel Handbook) will tell you which Chinese are travelling abroad, how to reach them, how the travel industry is organised, and how to show your hospitality to Chinese visitors... the handbook will prove to be an accessible and valuable resource." CBBC China-Britain Business Review "what a reservoir of info and statistics." R. Seth, Travel writer, India www.ccontact.com/handbook.htm

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Contact Us: London, UK Email: info@ccontact.com Tel: +44 20 78719886 Mobile: +44 7821 093199 www.china-contact.cn Consultancy service: market access, marketing strategy, public relations, government relations, deal brokering Localisation: tourism marketing materials, websites, press releases Event management: exhibitions, product launches, trade fairs, business trips Representation: local sales and marketing representatives