China’s outbound travel market is slowly recovering in the year 2024 to 128 million travelers and will try to reach the pre-Covid-19 level of 155 million and will have the potential to touch 200 million travelers by 2028. It is now clear that this recovery is being driven by some significant dynamics that have started to affect the way Chinese travelers are now behaving.
Last-Minute Travel on the Rise
One emerging outbound travel pattern characteristic in China is a rising tendency toward last-minute bookings. Now, some 73% of Chinese travelers are arranging their travel a month or less before their departure. It also resonates well with the young population especially GenZ since they are the modern generation that loves last-minute adventures. Demographics of this kind of traveler include those who are interested in flexible on-demand travel solutions that align with their lifestyle’s impulsiveness.
The trend for more spontaneous travel behavior mainly results from unpredictable economic conditions that prevent tourists from booking far ahead. Sales of self-booking technologies that enable last-minute customized offers are prevalent since more consumers book their accommodations at the last minute. The global travel accommodation booking market continues to experience this trend up to 2025, due to the demand for more specific availability, and services customized to individual travelers’ needs. This means the travel providers have to change their business models to allow for this since flexibility has become a priority among travelers.
Gen Z’s Travel Preferences
Over half of China’s outbound travelers are now in the Gen Z age group, with 54% of them being between 18 and 29 years old. These young travelers are explorers, enticed by the concept of niche travel and out-of-the-norm tourist attractions. When making travel decisions Generation Z likes exploring natural areas, historical sites, food tours, and even adventure tourism which gives them uniqueness and memorable experiences.
Thus, the platforms including Xiaohongshu, Douyin, and others are essential for this generation when it comes to traveling. These platforms contain vast amounts of user-generated content that allows them to find new travel destinations, read reviews, and get tips. So although they are willing to spend on new experiences, the younger generation tends to be budget-conscious quite often looking for a promotion or a good travel deal.
Older generations, on the other hand, tend to be more cautious about travel, placing a greater emphasis on health, safety, and economic stability. They still enjoy traveling, however, they only need more reliable travel applications to plan and buy trips, though well-known Ctrip or Qunar has these functions. This strategy allows the travel providers to appeal to a cross-section of outbound Chinese tourists including the young and the old.
Rise in Luxury Travel for High-Net-Worth Individuals
On the other hand, luxury is slowly emerging as a trend within the travel sector among high-net-worth travelers, (HNWI travelers) mostly originating from tier-one cities such as Beijing, Shanghai and Guangzhou among others. Responses obtained showed that half of these highly paid travelers deficient travel expenses of at least 25000RMB ($3,565) and many opted for exotic luxury; for instance, first-class travel, five-star accommodation, and gourmet meals.
There is further evidence that proves these travelers still look for value for their money even though they are very wealthy. Their specific needs include affordable prices, sales on, and dressed luxuries, as well as tax exemption on particular items of their choice. Luxury shopping tourism persists here as the sélection affluent consumers search for brands and experiences that may not be conveniently available in China.
Especially, the luxury travelers always choose hotels with a 4-star or above, and more tend to choose international well-known brands. Digital payments such as Alipay and WeChat PAY show high acceptance, yet cash is still important for senior luxury travelers. This means that companies that target Chinese tourists must provide a range of payment methods that consumers seek.
What Lies Ahead
As China’s outbound travel market continues its recovery in 2024, capturing the attention of Chinese travelers requires a focus on flexibility, personalized experiences, and value-driven options. The rise of last-minute travel, adventurous Gen Z preferences, and the growth in luxury travel reflect evolving consumer demands that travel providers need to adapt to.
To attract Chinese travelers, companies must offer flexible booking policies and customizable packages. Emphasizing unique experiences, such as culinary tours, cultural adventures, and nature-based activities, can appeal to Gen Z travelers seeking meaningful trips. Meanwhile, luxury travel providers should continue to focus on premium services but also highlight value-for-money offerings to appeal to high-net-worth individuals.
So, The market research industry in China reveals that evolving consumer behavior is shaping the outbound travel market, with trends like last-minute bookings, Gen Z’s preference for unique experiences, and luxury travel on the rise.