Record growth for overseas spending by Chinese consumers
A recent survey by UnionPay International, a unit of China UnionPay Co Ltd, examined the habits of Chinese consumers in 140 countries and areas of the world. The study showed that the compound annual growth rate of spending on dining was over 65 percent in the past year, and the CAGR of entertainment spending more than 60 percent. The CAGR of hotel spending was about 40 percent in the last three years.
Although luxury brands remain popular purchases for Chinese travelers, spending on other items and activities, such as car rentals, hiking, sports, and concert tickets, has increased considerably, reports China Daily.
The surge in spending can be attributed to a recent increase in overseas travel among Chinese consumers. Last year, Chinese travelers spent $102 billion on 97 million trips out of the country. The China National Tourism Administration expects the number of trips to increase by about 15 percent to over 110 million in 2014.
Consumers are also traveling more frequently to destinations such as Mauritius, Italy, Canada, Norway, Iceland, Greece, and Nepal. Chinese consumers are also spending more time in the foreign countries they visit. Chinese consumers stay longer and delve deeper into local lifestyles than ever before when they travel overseas.