Chinese tourists are projected to spend USD 349 billion per year by 2020 when the number of Chinese overseas tourists is expected to reach 186 million, according to a report jointly released by Fung Business Intelligence Centre (FBIC), a Hong Kong-based retail and technology think tank, and China Luxury Advisors (CLA), a US consulting firm.
The report noted that the US was the most popular travel destination among those surveyed, with 13.2% of them saying that their most recent trip was to the US. Last year's survey showed that number at 3.2%.
Despite the surging numbers of Chinese consumers shopping overseas, the consulting firms said the average spend per tourist could stagnate in coming years through 2020, though not in the immediate future.
Major brands and the Chinese government are taking measures to decrease the price differential between markets, providing fewer incentives to stock up when traveling; on the other hand, cross-border e-commerce is making it easier for Chinese shoppers to buy the brands they want at overseas prices without leaving the country, said the report.
While rising middle-class incomes position millions of Chinese to take their first overseas trips, the per-capita spending growth is likely to moderate with the expected increase in middle-income tourists, according to the report.
Retailers are also advised to continually upgrade their Chinese consumer strategies to ensure that they are not relying on outdated methods that ignore the rising number of experienced, young individual travelers.
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