2016 marketing insights to target Chinese global shoppers in Australia
With so many businesses attempting to enter the Chinese market, many forget one important market – those Chinese global shoppers that are already in Australia. Reaching out to these global shoppers is an important step in familiarising Chinese consumers with your brand and recommending it to their friends and family when they return home.
So whether you’re looking to enter the Chinese market for the first time or wanting to expand an existing strategy into China, here are five facts you should know about Chinese global shoppers in Australia.
Over 1 million mainland Chinese global shoppers arrived in Australia in 2015
Many businesses underestimate the volume of mainland Chinese global shoppers that come to Australia. The number of Chinese visitors to Australia exceeded one million in the year ending November 30, 2015, more than 21% higher than the previous year, according to the Australian Bureau of Statistics. To put it into real terms, the number of Chinese visitors to Australia last year was greater than the combined population of the Gold Coast and Canberra.
Although mainland China had the second highest number of visitors to Australia, average spend per visitor is far more than visitors from New Zealand, UK and the Unite State.
Compare with 2014, the number of arrival from mainland China in 2015 is also set to increase with Chinese visitors achieving the highest rate of growth (22%), significantly higher than New Zealand (5% growth rate), US (8%) and UK (2% growth rate).
Holidaymakers and students require different strategies
More than half of all mainland Chinese visitors to Australia are holidaymakers, with 52.1% of all arrivals coming to Australia for a vacation, according to Tourism Research Australia. Chinese travellers visiting friends and relatives in Australia (20.5%) and those coming for education (13.1%) are also significant.
Businesses wishing to target holidaymakers need to understand that Chinese travellers are growing more reliant on online sources with 90 per cent of Chinese independent travellers using the internet when both planning and booking their trips, according to Tourism Queensland. Travellers are using the web to determine the reliability of travel companies and destinations with 53 per cent educating themselves about destinations and brands before their holiday.
With these statistics in mind, Australian companies have a great opportunity to harness the potential of Chinese tourists’ internet behaviours. Successful online marketing to these consumers is a key step to tapping into the Chinese tourism market and enticing more travellers to enjoy Australia’s offerings.
The majority of Chinese shoppers arrive in Sydney but make stopovers in Victoria and Queensland
The majority of Chinese global shoppers arrive in Sydney (44.5%), followed by Melbourne (33.8%) and Brisbane (12.3%), according to Tourism Research Australia. Although Sydney has the highest number of arrivals, it should be noted that a significant number of Chinese global shoppers also made stopovers in Victoria and Queensland.
Chinese seek a unique travelling experience
Simply offering natural beauty as Australia’s main attraction is no longer a successful strategy to attract Chinese travellers.
More experienced Chinese tourists think of themselves as world explorers and see group tourism as banal. They want control of their itineraries and they respond well when brands make them feel special.
Much of the younger generation, especially those raised in upper-class families, have already experienced group travel and as a result, desire a more fulfilling holiday experience. They want an experience that goes beyond a token photo with the Sydney Opera House.
They seek out novel experiences that make them stand out in their social circles. Independent tourists or small, self-organized groups are seeking out more interactive experiences that emphasizes their individuality.
Niche tours for activities such as wine appreciation, golf and ocean fishing are increasingly popular for small groups of experienced tourists. Travellers’ increasing disposable income gives them the ability to enjoy luxurious and value-adding experiences. Many are choosing to travel holidays that couple 5 star accommodation with good food, culture and exciting activities, all of which Australia has to offer.
Young shoppers have the greatest spending power
More than half of the money spent by Chinese global shoppers can be attributed to young consumers, with those aged 15 – 20 accounting for 55% of all Chinese visitor expenditure in Australia. Those aged 30 – 44, who accounted for 20% of all expenditure, and those aged 45 – 59, who accounted for 19% of expenditure, are also significant spenders.
The spending power of younger shoppers is partly due to being part of China’s ‘one mouth, six pockets’ generation in which one child has the financial resources of four grandparents and two parents due to the country’s former one child policy. This age group is also more likely to come to Australia for education reasons, which results in a longer stay and greater expenditure.
Please feel free to get in touch with me for more on the Chinese tourism market and its potential through eCommerce at email@example.com