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The Honolulu Advertiser
Posted on: Sunday, May 6, 2007

China: Next big tourism market?

By Robbie Dingeman
Advertiser Staff Writer

The arrival of nearly 50,000 Chinese tourists in Hawai'i last year doesn't appear particularly impressive when compared to the millions of visitors that stepped off flights from Japan and the Mainland.

ADVERTISER LIBRARY PHOTO | Oct. 9, 2003

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The arrival of nearly 50,000 Chinese tourists in Hawai'i last year doesn't appear particularly impressive when compared to the millions of visitors that stepped off flights from Japan and the Mainland.

But the fast-growing China market is definitely on the radar screens of local visitor industry officials who see the Asian giant as a potentially important source of tourist dollars in the future.

"It's one of those emerging markets that probably will show growth over the coming years," said Hawai'i Tourism Authority executive director Rex Johnson.

Particularly noteworthy is the pace of growth. Arrivals from China grew 145 percent from 1995 through 2005, according to data from the state Department of Business Economic Development and Tourism. And through the first 11 months of 2006, Hawai'i welcomed 49,562 visitors from China — an increase of 32 percent over the same period the year before.

According to the World Tourism Organization, China is projected to supply 100 million travelers globally by 2020, making it the No. 1 supplier of outbound tourists.

The main obstacle to people from China visiting the United States is visa restrictions that limit the number of travelers who can easily travel here for leisure. That could change if China ever grants the United States "approved destination status," something that would have to be negotiated between Beijing and Washington. Other countries, including Australia, experienced a surge in Chinese tourists after receiving approved destination status from China.

Johnson said the state has been sending delegations to China to market Hawai'i despite the visa limitations and will continue to do so.

Michael Murray, of the Hawai'i Visitors and Convention Bureau, is a member of a delegation that recently returned from marketing Hawai'i in Shanghai. The occasion was the inaugural 2007 Incentive Travel & Conventions Meetings China trade show, held April 23-25.

"Their economy is really going gangbusters," Murray said.

Murray is HVCB's vice president of sales and marketing for corporate meetings and incentives. The bureau has also made marketing pitches at conventions held in Beijing and Hangzhou, China, and in Bangkok, Thailand.

"The timing is very good to start to nurture awareness," Murray said. He is finding that Asian companies and U.S. corporations with Asian ties or affiliations also are open to the pitch.

"Why don't you meet in Hawai'i? It's the halfway point," he points out to potential visitors. By showcasing the state's location, diverse population and modern amenities, he's able to make the point that "it's a very comfortable place to meet."

Yuli Chen handles travel arrangements for many of the groups from China in her job as assistant general manager of Golden Seagull Group, a destination management company. "We've been developing the Chinese market for 15 years," she said.

Her company helps design itineraries and handle arrangements for travelers. Right now, she said about 70 percent of China visitors "only stay here on O'ahu for an average of 2.5 nights."

Chen said the other 30 percent stay for four to six nights and some spend time in the Neighbor Islands. "Everybody knows Hawai'i is a beautiful place for a vacation."

Chen said her company focuses on business travel, showing companies "we do have more than fun and sun."

She said some traveler preferences have changed in recent years but one reason for visiting Hawai'i remains constant:

"No. 1 is because of our aloha spirit."

Chen said the reputation of Hawai'i is that of a beautiful place with welcoming people in a stable country.

In recent years, there've been a rise in interest in golf and visits from honeymooners. But the honeymoon market is harder to capture since younger people have a more difficult time getting travel visas, she said.

"We've got great potential," Chen said.

Reach Robbie Dingeman at rdingeman@honoluluadvertiser.com.

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