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Nielsen’s Mainland Tourist Study: Hong Kong Continues to Pull at Heartstrings of Mainland Tourists

 

Over 90% of Mainland visitors said they will return to Hong Kong again within the next 12 months, with a 4% growth in planned spending for the next trip.

Connection between Hong Kong and other Mainland cities has been strengthened since the recent completion of the Hong Kong-Zhuhai-Macau Bridge and the Guangzhou-Shenzhen-Hong Kong Express Rail Link. More Mainland visitors are already travelling to Hong Kong via coach or train compared to 2017.

Number of tourists visited Hong Kong in November 2018 surpassed same period in 2017 with a 26% leap*. With the on-going GBA initiatives and the convenience brought by the new gateway access to Hong Kong, the influx momentum is expected to continue. Not only the high-end market of finance, trade, logistics and professional services in Hong Kongwill benefit, the new market potentials for tourism related industries, especially retail, will also be underpinned.

INCREASED TRAVEL SPENDING ACROSS ALL SECTORS

According to the latest Nielsen Annual Mainland Tourist Study, each traveler spent HKD 21,000 per trip in Hong Kong indicating 3% growth vs. 2017. Shopping continues to lead as the highest spend sector (45%) in their trip; accommodation, dining and entertainment each contribute evenly on their overall expenses. Having said so, spending across all four sectors recorded positive uplifts.

EXPERIENTIAL RETAIL: STAYING NEW BY CONSTANT RE-INVENTION

Though spending power is seen increasing year on year, travel appetite to Hong Kong is facing tough challenge – products are perceived to be similar between Hong Kong and other Mainland cities. It is inevitable for Hong Kong to steer focus beyond product offering to service. Experience helps to establish emotional tide and is always timeless. “Transforming each trip from a shopping mission to an inspiring travel experience can drive repeat visitation and such experience can best be offered through the brick and mortar channel in Hong Kong,” said Michael Lee, Managing Director of Nielsen Hong Kong and Macau.

“Unlike other destinations with abundant cultural attractions, developing an inspired travel experience in Hong Kongwould require a seamless, cross-industries (shopping, accommodation, food and entertainment) collaboration. This helps to turn our cultural similarities with Mainland visitors to an advantage for making the experiential retail a true success,” Lee suggested.

OMNICHANNEL LANDSCAPE: SEIZING THE E-COMMERCE OPPORTUNITY BY TRANSFORMING BRICK-AND-MORTAR RELATIONSHIP UNDER THE TECH-LED ERA

According to the study, almost 30% of Mainland visitors make online purchases in overseas e-commerce platform. Cross-border online shopping has started showing its impact on Mainland visitors’ shopping behavior during their trips to Hong Kong. More are claiming spending in the brick and mortars shop during their trip would be lowered as a product is available online. “An integrated omnichannel strategy can help Hong Kong retailers to address the change of traveler purchase behavior as they convert part of their purchase to online,” said Lee.

*Source: Immigration Department – Visitor Arrival Statistics November 2018

About Nielsen’s Mainland Tourist Study

Nielsen Mainland Tourist Study diagnosed travel patterns, shopping behaviour, and the visiting experience of Mainland Chinese visitors in Hong Kong on different tourist’s attractions and the related since 2010. The research was conducted in August and September 2018, and the latest findings of the survey was based on online interviews of 1,106 mainland visitors from Greater Bay Area as well as other key cities, aged between 18 and 65, who travelled to Hong Kong over the past 12 months.




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