The tourism and hotel market in China is estimated to grow by USD 24+ billion from 2021 to 2026, growing at a CAGR of close to 12%.
The tourism and hotel market in China is fragmented owing to the presence of many global and regional companies.
A few prominent companies that offer tourism and hotel market in China are Beijing Zhiyuan International Travel Agency Co. Ltd., Emei Shan Tourism Co. Ltd., Expedia Group Inc., Guangdong International Hotel Management Holdings Ltd., Huangshan Tourism Development Co. Ltd., Huazhu Group Ltd., InterContinental Hotels Group PLC, Intrepid Group Pty Ltd., Jin Jiang International Holdings Co. Ltd., Jinmao China Hotel Investments and Management Ltd., Marriott International Inc., Shangri La Asia Ltd, The Dragon Trip., Tongcheng Travel Holdings Ltd., Trip.com Group Ltd., TUI AG, and Tuniu Corp.
Company Offering:
- Expedia Group Inc. - The company offers tourism and hotel services through its subsidiary, Trivago N.V.
- Huangshan Tourism Development Co. Ltd. - The company offers tourism and hotel services such as domestic tourism, inbound tourism, and outbound tourism.
- Huazhu Group Ltd. - The company offers hotel services through its hotel brands such as Joya Hotel, Blossom House, and Steigenberger Hotels and Resort.
- Impactful driver- increasing preference for local and authentic experiences
The increasing preference for local and authentic experiences drives market growth. The tourists are focusing more on exploring local communities and their cultures. This is observed in cultures that are considered one of the most critical aspects of the tourism and hotel market in China.
Buying local products instead of souvenirs, undertaking adventure trips in public transport instead of taxis, and having dinner in a restaurant that uses zero-kilometer ingredients are some other preferences that tourists have. Hence, such factors are expected to fuel the market growth during the forecast period.
- Key Trend - Technological advances such as Internet access and smartphones have optimized the entire traveling process by making it more convenient for travelers to plan their vacations or trips. The Internet provides consumers with all the essential information related to travel and hotels besides customer-generated reviews through testimonials. For instance, as of January 2020, TripAdvisor Inc., a popular website for travel reviews, had an average of around 500 million visitors per month.
- Major Challenges - outbreak of covid-19
Market Segmentation
Based on the Type, the outbound tourism segment will be significant during the forecast period. The number of Chinese travelers traveling abroad is rising due to the rising income of the middle class and convenient visa procedures.
Furthermore, countries such as Thailand, South Korea, Macau, and Japan are among the most popular destinations for Chinese travelers.
