“Mailman X Business Weekly | October 19th

Mailman X Business Weekly | October 19th

Here are China’s top tourism business news that you need to know from this week:

First Casualty of China Trade War: Golden Week Travel to America Down 40%

According to Ctrip, the US saw a sharp decline, with flight bookings to the country down 41%, compared to last year’s Golden Week.  This year, it’s estimated that 7 million travelers, traveled internationally during Golden Week, that’s 5% of all overseas travel from China annually.  The US is now the 11th most popular destination for Chinese tourists, down from 5th last year. Read more here

Mailman Take: Although US experienced a downturn, the overall China outbound travel grew 8.2% year on year to 6.94 million travelers.  Traveling still remains a key category for Chinese but perception and influence will play a key role for destination decision making.  As political climates change it is now evermore important for destinations to create marketing messages that convey a welcoming tone.

China cracking down on Daigou during Golden Week

Chinese authorities are cracking down on daigou sellers for a variety of reasons. But likely chief among them are growing concerns in Beijing about falling consumer confidence and spending power. Chinese authorities want to ensure that Chinese consumers spend more at home to shore up the domestic economy. The figures for daigou spending can be massive and help drive sales of luxury outlets around the world. Read more here

Mailman Take:  This has an immediate effect towards luxury brands across the US for shopping however also presents a potential opportunity.  The government may make it easier for foreign brands to enter China through official channels such as cross-border e-commerce and general trade which can be a boon to tap into mobile commerce through more official means.


Also this week:

Ctrip Golden Week Report

Ctrip, the largest online travel agent in Asia and the second largest in the world, has published its “2018 October National Day Holiday Travel Report,” in which the various Ctrip business units provided insights into trends in both the domestic and outbound Chinese tourism market over the holiday. Ctrip has over 60% market share of online travel in China and is the biggest outbound travel platform for Chinese. About one out of every four Chinese book and search for travel products and services through the Ctrip platform.  Read more here

Forget Stanford Tsinghua Beckons

The United States is still the world’s hub when it comes to higher education, In 2016 more than 1 million international students enrolled in U.S. Colleges and universities, while fewer than a half a million studied in China. At the same time China has endeavored to expand its international higher education system, while the U.S. government has scaled back its financial commitments.

Read more here

Ctrip and KLM Sign a Strategic Partnership

Ctrip’s international air ticketing has maintained growth momentum of over 40% YOY increase in ticketing sales. By creating this partnership the Netherlands hopes to solidify the Netherlands as the Gateway to Europe Read more here

Radisson Hotel Group Partners with Ctrip to Drive Growth in China Abroad

Ctrip will play a key role in supporting Radisson Hotel Group’s growth in China – a key focus market for the group and its brand portfolio. Going further, the partnership will also see Ctrip work with Radisson Hotel Group to develop China as a source market for its properties and destinations around the world. Read more here

Hainan Airlines Introduces New Direct Service to Oslo

Hainan airlines is opening a direct route between Beijing and Oslo in the spring of 1019, with three weekly departures. This will be the first direct route between China and Norway for the Chinese arline.  Read more here

MasterCard Ranking on the popular destinations around the world

In a world of rising nationalism, international travel takes on greater importance, Mastercard’s Global Destination Cities Index has offered important analysis of travel to and within cities.  Asia destinations continue to feature highly in this year’s index. Bangkok remains top destination in Asia Pacific, with roughly 20 million international overnight visitors. Read more here.

UnionPay International partners with Four Seasons Hotel Group to offer UnionPay cardholders premium catering privileges

Four Seasons announced a new partnership with Union Pay International where it will provide UnionPay Platinum Card and Diamond Cardholders with Michelin-starred premium catering privileges at Four Seasons hotels worldwide through UnionPay’s platinum card-using privilege platform. UnionPay is already accepted at 90% of the Four Seasons Hotels. Read More here.

How Alibaba gets Brands to Design Products for its Tmall Customers

American brands are looking for better ways to connect with Chinese consumers, sometimes this is more than just knowing what platforms to be on but also knowing what the consumer wants.  Alibaba is looking to help through the Tmall Innovation Center, Alibaba shares data like search terms, price performance and return rates. These insights help brands cut down time spent on research. Read more here

Mailman X is a China digital consulting agency for the travel industry. Reach out here for more information.