The landscape of inbound tourism in China is undergoing a remarkable transformation, shifting from merely being a flow of tourists to becoming a significant source of wealth for many entrepreneurs in the industry.
Xu Sheng had only spent three months dedicated to inbound tourism in Chengdu, yet he had already accumulated an impressive 450,000 RMB in revenue
While speaking with him, his phone repeatedly chimed with business notifications, reflecting a staggering 60% increase in order volume in December alone, with further revenue projections on the rise.
In this booming environment, the industry standard has become busier routines, and English-speaking guide Lan He from Guangzhou is no exceptionHer schedule rarely shows more than five free days per month, as she juggles an overflowing list of assignments from travel agenciesWhat was initially an idea of taking up inbound tourism as a side job had unexpectedly evolved into a full-time commitment due to overwhelming demand.
While she manages to carve out some time for herself, colleagues in the industry have already set a full calendar for the next three months
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Those engaged in popular inbound travel destinations, such as Chongqing, have reportedly booked up to a year in advance.
As reported, due to the 144-hour visa-free transit policy, inbound tourists to China reached approximately 95 million in the first three quarters of this year, a figure surpassing 90% of 2019 levelsFurthermore, certain visa-free countries witnessed a doubling of their incoming tourist figures.
With a proposed extension of the visa exemption period to 240 hours (10 days), enthusiasm among foreign tourists is expected to further amplify
Following the announcement of the new policy, searches for overseas flights and accommodations on OTAs surged by 87%, compared to the previous year.
Amid a nationwide lack of confidence across various sectors, the segment of inbound tourism has stood out as one of the few "highly desired" marketsIndustry players are employing every strategy imaginable to secure their share of this lucrative pie.
Selling luxury goods has become less attractive compared to diving into inbound tourism.
When an inquiry from a foreign client comes through, Xu Sheng keenly senses the potential for a "big order" before even discussing prices
He skillfully starts to drop hints about his team's extensive experience and the availability of mid-range luxury vehicles, prompting the client to request a price quote.
Without hesitation, Xu quotes 1500 RMB for a premier vehicle service; however, the client, well-prepared, responds that another company quoted them merely 700 RMB, finding Xu's offering "Superexpensive."
However, Xu remains calm, firmly explaining, "In China, the price you pay dictates the quality of service you're going to receive
While other providers may be cheaper, you have to consider the quality of the car provided.”
Awed by the calculated reasoning demonstrated by Xu, the client appears captivatedSeizing the moment, Xu adds that they can offer all-inclusive butler services throughout the journey, alleviating concerns over language barriers and payment difficulties, thus providing "value-added services."
In the end, he showcases previous good reviews from tourists, which are too compelling for foreign clients to resist, ultimately leading them to make a payment without further ado.
Initially, these strategies, which Xu had developed for selling luxury goods in Europe, were redirected to capitalize on the booming inbound tourism market, following a downturn in the luxury market that had led to the bankruptcy of nearly 40% of his cooperating partner businesses.
An unexpected discovery surfaced while browsing TikTok; the topic "Travel in China" had become immensely popular
He learned that several European nations see monthly inbound tourist numbers between 30,000 to 50,000, numbers that steadily increase.
"Looking solely at the numbers might not seem high, but when considering Europe’s population is only in the tens of millions, the ratio becomes significant," he remarkedXu then experimented with postings of stunning videos showcasing Jiuzhaigou on overseas social platforms, which witnessed rapid views exceeding a million along with an influx of inquiries.
This boost in results fueled Xu's confidence, knowing from years of experience in Europe that foreign customers possess considerable spending power
Yet, upon his entrance into the field, the surprises exceeded even his expectations.
“For Chinese tourists, those shopping in tourist areas often appear as ‘naive and extravagant,’” Xu claimsHe was astounded by a Malaysian tourist spending 3,000 RMB on panda memorabilia.
It was later revealed that not only Southeast Asian tourists exhibited such spending habits; European visitors were also not shy about spending—"For Chinese, it's tourism, for foreigners, it's real traveling."
Lee Yi, an English guide in Chongqing, is now enjoying increasing earnings from 300 RMB per day to over 500 RMB along with greater ease in her work.
She had agreed with foreign clients to meet at 9 AM, yet after waiting for over half an hour, they simply replied with a casual, “Sorry, just woke up.”
Upon arriving at the attractions an hour late, while she hurried to maintain the schedule, her foreign clients remained unbothered, stopping whenever something piqued their interest, and requested to return to the hotel for a rest before 5 PM.
After being accustomed to the 'military-style tourism,' where domestic travelers compete relentlessly for every second, encountering the laid-back attitude of foreign tourists left Lee feeling somewhat bewildered—yet beneath her confusion lay a sense of satisfaction.
Increasingly, low-price tours in China have become rampant, where the profitability is so low that only one in ten budget tours generates a profit, much to the dismay of tourists and travel providers alike
However, the revival of inbound tourism has sparked a refreshing vigor across the entire tourism industry.
"Many traditional travel agencies in Chongqing seem bustling, but the reality of their profitability isn't very promisingIn contrast, travel agencies primarily focused on inbound tourism witness a high demand for workEveryone, from the boss down to accountants, is often clocking long hours to keep up," Lee described.
In fact, numerous travel agency owners have begun hiring in anticipation of the boom—accelerated by first-hand recommendations from arriving foreign tourists, ‘China Travel’ promises to become more well-known through word of mouth overseas.
Some observers estimate that if the volume of inbound tourists (excluding Hong Kong and Macau) rises to 100 million, with each spending 3,000 USD, inbound tourism could generate over 2.1 trillion RMB in revenue—a significant windfall.
However, Lee emphasizes that while the industry anticipates bright prospects, how to effectively participate and profit remains uncertain for many.
Understanding foreigners is crucial to entering this economic arena.
Unexpectedly, An Liang finds himself exhausted from the overindulgence of drinking Moutai, a Chinese liquor.
After several drinks, the tour guides enter a tipsy state while exchanging stories of survival post-pandemic—this now commonplace scene became a staple in An's professional life since the resurgence of inbound tourism.
As a tourism planner with a wealth of overseas operational experience, An was invited by numerous domestic travel agencies to conduct training on inbound tourism processes
However, upon each arrival, he is greeted with a celebrity-like reception, which provides him with a sense of achievement, yet reveals the passive state of China's outbound tourism sector.
The ongoing surge of foreign tourists is significantly driven by social media platforms like TikTok and YouTube, showcasing unique experiences yet many domestic travel agencies struggle to connect with this demographic.
In contrast, travel players positioned overseas are navigating the inbound market much more seamlessly.
An's team, based in Thailand and initially focusing on Southeast Asian outbound travel, pivoted toward inbound tourism by quickly recruiting 30 part-time student influencers, leveraging viral travel videos from China, and disseminating them across TikTok and YouTube.
With their innovative marketing strategies, An's team receives over 600 inquiries monthly, funneling successful orders to domestic travel agencies and profiting 30% of the revenue.
In contrast to An's grand strategy, Xu opts for a hands-on approach to securing client interest, capitalizing on his established networks in Europe.
“Let me share three undiscovered gems as a local,” Xu mentions in his promotional pitches to foreigners
Using the insider tone cultivated through years of interactions, he finds this approach resonates well with his audience, for “while the domestic market has grown weary, this strategy still captivates international clients.”
Furthermore, he carefully tailors the content to suit Western interests, focusing primarily on historical and cultural experiences rather than nature-themed tours that could lose their allure given their familiarity to European tourists.
His cautious yet acumen-driven approach is derived from learning from his mistakes
During his first attempt at leading an inbound tour, Xu chose an off-peak workday to visit the Panda Park in Chengdu only to find foreign tourists display zero tolerance for waiting in lines, leading to an unexpected protest.
Ultimately, once foreign tourists' needs have been accurately discerned, the path to substantial profits opens up.
As his backend order numbers steadily rise—5, 10, 15—Proving that the distinctive inbound tourism route launched by An is thriving.
This particular route, which includes experiencing the art of glazed tile making, struck him as likely to draw wide interest—highlighted during his visit to the ancient city of Jiexiu, where the fascinating processes behind the creation of heritage tiles were showcased
“Unlike domestic visitors who thrive on taking pictures and checking in, foreign tourists place a greater emphasis on experiential journeys.”
At present, An has partnered with multiple travel agencies to curate over ten unique in-depth routes, bringing in nearly six figures of income from advisory fees and commission splits alone.
Zhou Zhou, initially treating inbound tourism as a supplementary endeavor, is now crafting a unique path by integrating “quirky” elements into her itineraries, ranging from showcasing local square dances to visiting bustling farmers' markets, consolidating effortless earnings along the way.
"Due to a barrage of negative portrayals of China in foreign media, despite experiencing another narrative through TikTok, many still seek to validate these negative stereotypes
They want to both see the good and confirm the bad," Zhou noted.
To anticipate such preferences, she supplements her briefings to ground service providers with additional notes to cater to tourists' preferences, like arranging halal meal options for Muslims and being mindful of dietary restrictions common amongst Europeans, ensuring no negative impressions are formed.
This attentiveness has led Zhou to acquire numerous bookings, spanning popular destinations, with social media platforms filling up with daily requests for her services.
Yet, she always advises others against entering the field unprepared.
The windfall won’t wait for anyone; stabilize your position at the table first.
After obtaining her qualification as an English guide, the number of individuals consulting Lee about how to acquire certification has overtaken her influx of foreign tourist clients.
"For all the juniors, feel free to ask me any questions," her message resonated with peers, causing an explosion of responses in a group chat among 50 English majors, filled with urgency driven by their fruitless job hunt, keen to pursue the English guide certification for stability.
Lee understands the fervor young people have toward entering this field; compared to the translation sector—where many feel overshadowed by advances in AI tools like ChatGPT—being an English guide remains a vast ocean of opportunities, particularly for those versed in lesser-known languages.
"However, simply knowing a foreign language won't guarantee passing the qualification test," she observed, noting that the pass rate is roughly 30% for English alone.
Beyond language comprehension, foreign guides must be well-versed in tourism regulations, legal implications, and possess adept coordination and communication capabilities; had Lee not experienced guiding abroad and worked as a travel planner for two years, she too would have required multiple attempts to succeed.
Moreover, the inbound tourism windfall is fleeting; Lee has noted a massive surge in the registration of guide candidates, especially foreign language guides, nearly paralleling the increase in inbound tourism numbers.
"I estimate that in two years, the competition will be fierce again," she remarked, adding that guides and local companions should be prepared to endure challenges ahead
In contrast to Lee's current experience, Zhou Zhou is already facing difficulty with her business.
"Could you also find me a pretty female model who’s willing to be in my vlog?" Zhou Zhou's fury boiled over as she received yet another unreasonable request from an Indian client.
This wasn't the first time; it seemed that due to some misconceptions, her client assumed that hiring someone to accompany and film only cost 50 USD in China, expecting quality service at that price point specifically
After some negotiating, Zhou eventually managed to secure a female colleague to accommodate the request, but the same client insisted on finding another beautiful female escort for the same project—a request that irritated Zhou further.
She explains that many foreign clients become savvier as they stay longer in China, which leads them to quickly grasp the prices of accommodations, transport, and meals, making it harder for local agents to exploit information gaps.
For example, after deducting the cost of hiring the filming assistant, Zhou only pocketed a mere 100 RMB as profit from her effort.
Nonetheless, she finds herself incurring high risks: her client, who searched for cornfields in the suburbs to capture an authentic rural experience, also requested to visit prestigious universities to experience the elite education establish in China.
Every day, Zhou prays for the safety of her client, as the absence of any formal legal and financial support leaves her facing considerable liability should anything go wrong during their excursions.
“Going solo is not viable for inbound tourism; one needs robust resource integration capabilities to establish a foothold.” This has become Zhou's newfound realization.
Yu Yu belongs to this category; within her entrepreneurial team, there are experienced engineers, tourism professionals, and even an AI PhD, yet she finds herself under significant stress.
After reviewing her weekly to-do list, Yu Yu discovered that a teammate's task column was completely blank
In confusion, she asked if they hadn't completed any workThe teammate's response came with a screenshot of their late-night videoconference with other team members.
Realizing that she wrongly accused her colleague, she quickly apologized, a deep shade of embarrassment washing over her.
Since their startup began, their team has worked tirelessly to improve their services, dedicating over a month to extensive market research aimed at addressing the pain points foreign tourists face, intending to develop a robust "virtual local guide" experience.
For example, many subway stations in Chinese cities feature names primarily in pinyin, which are incomprehensible to foreign tourists
Hence, their team compiled comprehensive English maps encompassing useful translations, locations for acquiring SIM cards, and transit routes.
The team realized that overseas travelers often lack a clear understanding of China; consequently, they organized cities in their offerings according to the cardinal directions, a thoughtful illustration of their approach to catering.
However, the app developed by their team won't be available until June 2025, and the web version is expected to launch soon after the month’s end.
Additionally, it has become apparent that internationally recognized travel apps like Lonely Planet and TripAdvisor are eyeing China's burgeoning market, with domestic OTA platforms also ramping up their efforts in response.
As the battle intensifies, with every tick of the clock signifying a battle for efficacy and opportunity, anxiety inevitably weighs on Yu Yu.
Nevertheless, she remains optimistic about her team's prospects, believing in the unwavering determination of China to open its doors, a belief substantiated by recent extensions of visa-free policies from 144 to 240 hours.
With the strong backing of investors, she feels well-armed to delve deeper into the industry: "It’s time to roll up our sleeves and give it our all!"