‘People ask ‘is China back?’ and yes, it is but not in the same way. The more interesting story is not about the numbers it is how the market is changing.’
Li says operators have tended to look at group travel and FIT as if the two are competing with each other and it is important to change the narrative on that.
‘A Chinese traveller now will take a coach tour around the South Island, stay in Christchurch for a few days and go skiing, then fly up to Auckland for some time to explore the city independently. So they can be FIT and group travellers at the same time. What we need to focus on is how we design the itinerary and the experience the traveller wants.
‘Even the groups themselves have changed – they are smaller, more specialised and more premium. So we need to stop talking about group and FIT and concentrate in flexible product, travel styles, personal itineraries and the digital platforms and other technologies that they use.’
Li also says the New Zealand industry needs to keep numbers from China into perspective.
‘China has a population of 1.4 billion, there are 400 million middle income earners earning (the equivalent) of $80K a year and 100 million midlle class people earning $100,000 plus. There are 57 million active considerers and New Zealand attracts 400,000 in peak time – that’s a tiny fraction of the market.
‘So while the Chinese economy does matter it doesn’t really dampen New Zealand’s opportunities if there is a slight downturn. We only need to attract a small portion of the population who value what New Zealand has to offer.’
