Our multi-billion dollar Chinese tourism goldmine dries up
Before travellers from China were barred from coming to Australia by the federal government due to coronavirus, 50 per cent of Global Ballooning's customers were drawn from the People's Republic
The pandemic, as Felicia Mariani, chief executive of the Victorian Tourism Industry Council, puts it, marks the end of a golden era of Australian tourism and with it the nation's single biggest source of international tourists.
But Mr Saunders is sanguine about the eventual restoration of the Chinese market.
"A lot of this is political and white noise," he says. "China is still the best tourism market for Australia."
Though any speedy recovery of in-bound Chinese tourism, which makes up $12.4 billion of the $45.4 billion international travellers bring in to the country, does seem unlikely thanks to potentially damaging warnings by the Chinese regime about levels of racism and safety in Australia.
"However even a 20 per cent drop in Chinese tourists to Australia would be significant considering the size of the market. Clearly there needs to be continued tourism focus on China. But in reality, deployment of marketing funds to increase the profile and desirability of the country has only a limited chance against government direction and air seat availability."
China has previously demonstrated its ability to use tourism as a weapon of protest. In 2017 it stopped many of its citizens from holidaying in South Korea after Seoul deployed a US-made anti-missle system on its border, resulting in a $US7 billion loss to the South Korean economy.
The totalitarian Chinese Government is able to wield such power because the country's travel distribution system in China is highly-regulated and so it's easier for the Government to control and monitor group travel, which still represents a large proportion of the Chinese outbound travel industry.
For now, at least, the issue remains academic as neighbours Australia and New Zealand struggle to open their borders to each other, let alone other nations, while the tourism industry looks to the domestic market to fill the massive foreign visitor gap.
Yet before long governments and the industry will need to address whether it will be ever again be possible, or allowed, to entice almost 1.5 million Chinese back Down Under.
The future of business travel will be very different
More than 60 per cent of business travellers expect to take a domestic work trip within the next three months, and 72 per cent expect to head offshore within 12 months.
However, it's doubtful their employers will allow them to travel to the same extent they used to as COVID-19 raises new duty-of-care issues for staff on the road, according to a new survey of 3000 global business travellers.
The survey by the world's largest travel agency says: "Participants across the Americas have the highest level of uncertainty around when they will return to travel both domestically and internationally."
It also finds the mining and construction sectors, along with government services, are the strongest to bounce back.
However, in a red flag for the lucrative corporate travel sector, one of the biggest hurdles to resuming normal business travel, alongside quarantine protocols for overseas business trips, is the fact that 69 per cent of organisations say they are likely to tighten health and safety policies covering staff travel due to COVID-19.
Flight Centre Australia's managing director, James Kavanagh, said: "In terms of people's ability to travel for work, the big fear is how long you'll have to quarantine after returning from overseas – will it be for the full 14 days for essential business trips to 'safe' countries that have contained COVID-19 outbreaks, or will it be shorter?
I buy a few things from China ... since Covid19 about half the orders haven't arrived. They've been sending a cheap trinket just to provide a shipping tracking number, so there's no claim on paypal.
Tourism Australia says the only overseas market that could possibly replace China is India.
The domestic market is the best bet >>>>>>>>>>>
With domestic travel, and travel across the Tasman, on the cards as the only viable holiday option well into 2021, Australian tourism providers are gearing up to get their share of the $65 billion Australians spend on overseas travel that will now be spent at home.
But which states and territories will benefit most?
Again, NSW on $25 billion, Victoria on $17 billion and Queensland on $11 billion lead the pack.
In a hopeful portent, international and domestic tourism expenditure have recorded significant growth since 2010, with average annual growth of 9.4 per cent and 7.6 per cent respectively over the past decade.
"Let's hope Australians get out and spend that international money at home," said Ms Labine-Romain.
G'DAY Group, one of Australia’s largest regional accommodation providers with 280 properties across the nation, is seeing a six-fold rebound rate (the current booking rate compared with during COVID-19) in NSW, followed by SA at 4.1-fold and Victoria at 3.6-fold.
travel to Queensland ?? better PM hoonose first
i am biased but i live there
I just tried to transfer my rego from NSW to Queensland this morning. I had already re-registered in NSW and chose my own CTP for insurance QBE $292.00, the rest of the rego is free.
In Queensland they choose the CTP insurance for you QBE $350.00 plus the rest of the rego with a pensioner discount took the total to $625.00.
Difference in rego cost $333.00.
So if in NSW you can get QBE CTP for $292 where is that extra $58 dollars that everyone registered in Queensland is paying going ?
They wouldn't except my 12 month CTP with QBE, which begins July 3, as paid ?
I decided to stay with NSW's rego.
I have an Air BnB apartment in Port Macquarie ... the booking figures were down by 30% so I managed to get two month-long rentals from couples desperate to get out of Sydney during lockdown. I always had the strategy to target tourists within an easy drive from Sydney.
The whole tourism industry will have to re-align ... its a massive shakeup for most and there will be a lot of bankruptcies without the international visitors.
I Like Chinese https://www.youtube.com/watch?v=7DqvweTYTI0
My toaster TV DVD CD computer car components my kettle and the clothes on my back are all made in China .
Krug's just great to see you supporting Australia First, great to see a proud Aussie
An expert has raised concerns over how consumer data is being used by social media application TikTok, after the Chinese-owned company announced plans to open an Australian office.
TikTok, which has more than 1.6 million Australian users according to Roy Morgan, is largely used by teenagers and features lip-syncing and comedy skits that appear in 15-second bursts. The platform, owned by tech giant ByteDance, this week appointed its first local general manager, Lee Hunter, and several former Airbnb and Google executives specialising in government policy and advertising to its local division.
Where do the majority of Australia’s tourists come from? Currently, the top six countries people visit Australia from are: China, New Zealand, the United States, the United Kingdom, Japan, and Singapore.
Chinese tourists spent $12 billion while in Australia in 2018. The main purpose for travelling to Australia was for holidays. 772,752 visitors came to Australia for holiday purposes. The most popular destinations were Sydney with 57%, Melbourne with 51%, and Brisbane with 20% of visitors. Chinese visitors spent an average of 43 nights in Australia. China has a population of 1.38 billion people meaning that less than 1% of their population visited Australia in 2018.
I started this thread because this obviously impacts on which stocks to hold, but it goes beyond that ... This escalation of nationalism looks to be heading to armed conflict.
^ Another shareholder of Magnis Resources Limited (ASX : MNS) wanting you to buy his shares.
at least one media outlet is very keen for a war , i wonder if the senior staff have children suitable for conscription
or whether it would be another Vietnam scenario where the rich and well-connected hide the males in universities while the parents complained about a lack of skilled workers who worked cheap