Young people trying to get the most bang for their buck on vacations in these tough economic times are now known as “special forces” travelers as they push their limits with jam-packed itineraries and extreme cost-cutting.
Budget-conscious travel is all the rage with Chinese tourists taking advantage of the long vacation that begins Friday with the Mid-Autumn Festival and ends with National Day commemorations.
This week, Chinese workers are getting eight consecutive days off – think summer vacations in Europe or the United States – and that is being watched closely by analysts to see if consumers are spending again and if the second-largest economy world gets rid of his post. -pandemic faintness.
Nine months after Beijing suddenly abandoned With its strict “zero covid” policy, Chinese tourists are gradually returning. But ongoing concerns about the slowing economy mean they are more likely to spend less and choose destinations closer to home, analysts say.
Lavish spending by Chinese travelers has long been a driving force behind international tourism. The country's new middle class has led the world in outbound travel since 2012, and sales of designer handbags, luxury watches and other high-end products have been buoyed by the very rich Chinese during their shopping trips abroad.
This kind of vacation is far from Lynn Chen's mind. The 25-year-old engineer, who works in Beijing, decided to start her vacation sooner to save money and came to Hong Kong before the big travel rush. She avoids the city's paid tourist destinations and prefers a few days of walking to soak up the atmosphere.
Even though the economy is in bad shape, Chen and his friends still think it's better to go out and spend — just to be more careful when they do so. If she goes anywhere next week, it will be to mainland China and she will probably stay with friends.
“My elders tell me that because the current economic situation is not good, we must save and not spend money randomly,” she says. “But my friends or colleagues say on the contrary that the pandemic has made them want to enjoy life more.”
Chinese state media has touted a record number of high-speed train reservations as proof that the recovery is on track. What is less clear is whether these tourists will spend as much on their trips as they did before the pandemic.
During China's last major public holiday in May, travelers took more trips than during the same period in 2019, before the pandemic, but individuals spent less on average, official data showed.
And uncertainty over China's economic outlook is causing experienced travelers to postpone their overseas trips, with nearly 40% saying they plan to wait two years before going abroad again. according to a recent survey by Oliver Wyman, the management consulting firm.
“As Chinese travelers return, it took longer than expected when the border reopened,” Imke Wouters, a partner at Oliver Wyman who led the research, said in the report.
“Traveling domestically is much more of a budget option,” and declining consumer confidence is pushing Gen Z travelers to spend on experiences like camping, road trips and hiking rather than on big-ticket items, said Allison Malmsten, an analyst at market research firm Daxue. Consultant.
Many in the international tourism industry hoped the end of the pandemic would trigger a wave of pent-up “revenge spending” from Chinese travelers unable to go abroad during nearly three years of tight restrictions. corona virus border controls.
But the expected rebound this year has been weaker than expected – and heavily focused on travel to China.
Another investigation published this month by market research firm Mintel, found that domestic tourism has once again become a top priority for Chinese consumers, but warned that “large-scale spending increases are still unlikely, as l “Savings are more of a priority given the various uncertainties consumers face.”
To take advantage of the moment, the report's authors advise, businesses should offer “instant relaxation or indulgence with small expenses.”
While experiencing the world on a budget is nothing new, the desire to have fun while saving money has led to an apparent increase in the popularity of budget travel, particularly among younger Chinese tourists.
“Special Forces” traveling troops are mostly students and young professionals who pride themselves on going to great lengths to find great deals and filling their limited vacation time with so many social media-worthy stops as possible – even if it happens at the right time. to the detriment of personal comfort.
They scour Xiaohongshu, China's go-to platform for travel advice, looking for unconventional but picturesque – and, most importantly, cheap – places to visit.
They avoid expensive shopping malls and sleep in internet cafes or in cars, prefer a free city walk to a paid visit, and may choose to virtually visit a museum or other site instead of paying for actual entry.
Rex Gu, 27, from Nantong in eastern China, was visiting Hong Kong this week and considers himself a travel commando.
After months of searching for cheap tickets and accommodation, his trip was a whirlwind of stopovers in several Southeast Asian countries before visiting Hong Kong for three days. Next week, during the busiest period, he plans to go to the famous West Lake city of Hangzhou, not far from his hometown, and his visit is free.
This approach isn't for everyone, Gu said, but he finds it personally rewarding. “Even if I'm in a hurry, I think it's okay. Your body is very tired when you walk, but you are not tired inside.
