US

The growing attraction to US bling

By Kelly Chung Dawson (China Daily)
Updated: 2010-08-24 14:56

NEW YORK - US tourism agencies expect an increase of 22 percent in Chinese tourists visiting the United States this year.

"We expect that rate of growth to be very consistent," said Bruce Bommarito, executive vice-president of the US Travel Association.

About 500,000 Chinese citizens visited the US last year, according to the US Department of Commerce, which was a growth of only 9 percent. It forecasts that about 575,000 Chinese visitors will make a trip to the US this year. Bommarito said the slowdown last year may have been due to fears over the avian flu.

Many of the student groups scheduled to visit last year will travel the US this year, said Sherrie Sheng, the business development manager for GTA, a US travel agency that works closely with the Chinese tourism industry.

"The huge surge in tourists from China is really happening. All US-based land operators who specialize in Chinese groups have been extremely busy this summer," Sheng said.

While many Chinese visitors come for business or educational scouting purposes, many also come for the shopping, according to numbers by travel associations.

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Chinese visitors spend an average of $7,200 per visit, a higher rate of spending than any other nationality group visiting the US, US Travel Association statistics show. That would indicate that Chinese visitors spent about $3.6 billion in the US last year, a significant benefit to the economy. To this end, the US Travel Association works closely with the Chinese National Tourism Association.

Bommarito speculates that the high numbers and increased spending rates among Chinese tourists are due to the growth of the Chinese middle class. Visitors from China also stay longer, with an average of 23 nights, a number that exceeds averages for any other country.

Difficulties in traveling to the US in the past have also played a factor, Bommarito said. "There's a serious pent-up demand, and they tend to make the most of it. Chinese tourists come in higher numbers, they stay longer, and they spend more."

Many Chinese travel agencies work with local companies to provide packages that include designated shopping trips.

Woodbury Premium Outlets, located an hour outside New York City, gives a glimpse into the Chinese spending craze in the US.

The outlets enjoy a steady stream of Chinese tourists, as evidenced by daily buses running to Woodbury from Chinatown, Flushing and Manhattan's Port Authority. The outlets provide savings of up to 65 percent off retail prices for brand names that include Prada, a huge draw for Chinese visitors.

In addition to working with travel agencies like NYC & Co, Woodbury also works with Continental Airlines to develop airfare packages that include accommodation and transportation to the outlets, said Michele Rothstein, senior vice-president of marketing for Premium Outlets, the outlet division of Simon Property Group. They have seen a huge jump in visits from Chinese tourists.

"Visitors from China are one of our fastest growing customer bases," Rothstein said.

"This combination of high quality brands and savings has been met with great enthusiasm from visitors from China, where outlet shopping is relatively new," Rothstein said.

Bommarito said that there is still room for improvement. Visa reform is essential to make travel to the US even easier, he said. Allowing visa interviews to be conducted via video conference and extending tourism visas would send the number of Chinese visitors to the US through the roof, he said.

"We are still only scratching the surface of Chinese people who can and would want to come to the US," he said. "I think the potential is unlimited."

China Daily