What: China is allowing its tourists to travel outbound again, a move that has been eagerly awaited by many operators looking to welcome again this clientele.

Why it is important: While South Asia seems for now a favourite destination, no one really knows how long it is going to take for Europe and US to welcome these tourists again, and in what quantity they will be coming back. Talk about a headache for department stores.

China has resumed outbound group travel to 20 countries including Thailand, Maldives, UAE, Russia, and New Zealand. This move sparked a frenzy of trip planning and saw online searches for overseas destinations spike.

According to a researcher, countries with friendly entry policies towards China are preferred, with Southeast Asian countries being at the top of the list. In 2019, 11 million Chinese tourists visited Thailand and it is estimated that 5 to 6 million will visit this year.

The mass return of Chinese travellers is boosting confidence in the economic recovery of countries dependent on tourism. A survey shows that over 90% of respondents plan to travel abroad within a year. The resumption of outbound group travel is of great significance to Thai tourism for instance.

However, the full recovery of the industry may still take time due to factors such as the shortage of international flights and the high cost of group tours. Tourism enterprises are considering diversified, small-scale, and customized products to attract vacationers with niche marketing and a better service experience. The hope is for overseas destinations to be ready to embrace the influx of Chinese tourists in terms of the supply chain, ground resources, flight delivery, personnel, etc.

Chinese tourists are resuming international travels