European DF&TR operators are set to ‘gain enormously’ from the increasing number of Chinese travellers during the upcoming Chinese New Year, according to the latest research from Counter Intelligence Retail (CiR).

The influx of Chinese tourists during this festive period, (which falls on Friday 16 February), provides a huge sales opportunity for DF&TR operators worldwide, particularly Europe.

According to the travel retail expert, +9.6% more Chinese travellers will travel to Europe next month, compared to Asia (+4.3%) and the Americas (+8.3%) – in comparison to the same period last year.

“Europe’s share of Chinese outbound is rising, and European duty free retailers stand to gain enormously next month, helped by the fact that 2018 is EU-China Tourism Year. That programme of events launches in Venice this week (19 January),” says Garry Stasiulevicuis, Founder and President of CiR.

EUROPEAN WINNERS

European destinations that are set to benefit the most from outbound Chinese tourism include Switzerland, Finland and Russia with increases of +43.7%, +22.4%, +21.1%, respectively. Germany (+7.9%), the UK(+7.5%) and the Netherlands (+7.4%) also continue to be popular.

 

Smaller countries, such as the Czech Republic and Belgium, are expected to see more Chinese tourists next month too. However, countries like Austria, Ukraine, Italy and Turkey, seem to have lost some of their appeal.

In terms of passenger traffic at airports, the ‘power performers’ expected to see huge increases in Chinese travellers next month, include Brussels (+92.0%), Zurich (+82.7%) and Prague (+36.4%). Madrid and Milan, however, will see declines of -28.3% and -9.5%, respectively.

ASIA STILL POPULAR

Asia continues to be popular, says CiR. High growth is expected across more than half of the biggest 15 Asian markets, led by Indonesia (+78.5%), Cambodia (+60.8%) and the Philippines (+28.9%). However, a few destinations, such as South Korea, will see the number of Chinese visitors fall over the Chinese New Year period.

According to Stasiulevicuis, “After a tough 2017 in terms of Chinese visitors to the country, South Korea is still languishing in the aftermath of the THAAD missile crisis.”

 

Travel to both Hong Kong and Taipei is set to fall -1.1% and -8.6%, respectively – and is ‘further evidence that the desire to travel to new destinations remains a key factor for Chinese passengers’, notes CiR. However, Thai airports, particularly Bangkok (+26.3%) and Phuket (+17.9%) will see the strongest gains.

US FAVOURITES

North America continues to popular with the Chinese and will see an increase of +9.1% visitors next month, compared to the same period last year. Canada, however, will note a smaller rise of just +2.2%.

US cities such as Los Angeles and New York are expected to see considerable increases in Chinese visitors during Chinese New Year. Los Angeles’ LAX airport is expecting a +23.3% increase in passenger traffic from China. New York’s JFK and EWR airports will also see rises of +16.4% and +22.4%, respectively.

 

In fact, Los Angeles’ LAX, which accounts for a fifth of Chinese tourists in the region, has seen passenger numbers boosted by both American and Hainan Airlines increasing their seat capacity in February by a whopping +99% and +235%, respectively, says CiR. The addition of Xiamen Airlines since June 17 has also aided the uplift.

However, Chinese passenger traffic to­ ‘past favourite’ North American cities such as Seattle (-8.6%), Honolulu (-8.1%), San Francisco (-6.8%) and Vancouver (-3.7%) are set to contract.

MEA LOSSES

The Middle East and African region will see a decline of -2.2% in Chinese tourists next month, says CiR. That said, Ethiopia (+3.9%) and Egypt (+2.0%) will see Chinese passenger numbers rise. The latter is somewhat surprising given ‘recent events’ and the ‘safety-conscious nature of the Chinese traveller’, adds CiR. Israel is set to be the biggest winner in the region and will see an increase of +62.7% in February 2018.

By airport, Tel Aviv, Jeddah and Abu Dhabi are expected to see the strongest gains of +37.4% and +6.9%, respectively. Algiers, Mauritius and Muscat, however, will see the biggest losses in Chinese passenger traffic next month.