Chinese tourists, once known for their big spending in Hong Kong, are now turning to budget day trips due to the economic slowdown. Hong Kong, which had been anticipating a massive influx and mass consumption of tourists for the first Lunar New Year since China’s reopening, is now feeling the blues due to the unexpected travel patterns of the Chinese.
On the 14th (local time), the South China Morning Post (SCMP) reported that Hong Kong has become a cheap day trip destination for Chinese tourists whose spending habits have changed due to China’s economic slowdown.
The newspaper reported that as competition for prices and attractions with other Chinese cities intensifies, Hong Kong is losing its appeal to mainland Chinese, and the Hong Kong tourism industry says that many mainland Chinese tourists are visiting Hong Kong for day trips during the Lunar New Year holiday.
Citing preliminary data from the Hong Kong Immigration Department, it explained that about 471,490 mainland Chinese visited Hong Kong during the first three days of the Lunar New Year holiday (10-12th), which is 76% of the 623,521 visitors during the same period in 2019, before the COVID-19 pandemic.
Until recently, many Chinese tourists were big spenders in Hong Kong’s luxury and duty-free markets. However, since last year’s reopening, they have turned their attention from luxury spending in Hong Kong to affordable experiential tourism.
“Hong Kong’s appeal has generally weakened,” Dicky Yip, chairman of the Hong Kong Tourism Association, told SCMP, pointing out that “Hong Kong used to be a shopping paradise, but people can now buy the same products in mainland China.”
He said that after the COVID-19 pandemic, the number of Chinese tourists arriving in Hong Kong early in the morning and returning the same day has increased, and “they are not spending money in Hong Kong, but rather wandering around.”
SCMP reported that the search term, Hong Kong day trip, on China’s Instagram equivalent, Xiaohongshu, has recorded over 54 million views, showing its popularity.
The post included a map and itinerary for Hong Kong’s main attractions within 24 hours for approximately $47, along with information about cheap restaurants and transportation.
Over the past few years, China has actively promoted southern Hainan as a duty-free paradise, and now mainland Chinese no longer come to Hong Kong to shop for luxury goods.
Chinese residents can spend up to approximately $15,700 per year on duty-free shopping in Hainan but can only spend roughly $785 each time they enter Hong Kong.
Simon Lee, an honorary researcher at the Chinese University of Hong Kong, told SCMP, “The Chinese economy is still facing challenges, so tourists want to spend their money wisely. They want to travel for a day instead of staying in Hong Kong for two or three days.”
He added that convenient transportation, such as high-speed rail between Hong Kong and China and the low cost of living in Shenzhen, China, drive Chinese people to go on day trips to Hong Kong.
SCMP reported that while a night’s stay at the 5-star Ritz-Carlton hotel in West Kowloon, Hong Kong, costs approximately $521, a similar room at the Ritz-Carlton hotel in neighboring Shenzhen, China, costs only roughly $156 per day.
Researcher Lee pointed out that even when Macao offers unique attractions such as Portuguese cuisine and casinos, many of Hong Kong’s attractions can be enjoyed more cheaply and easily in mainland China. He added, “Hong Kong is too expensive.”
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