[Text/Observer Network Wang Yong Edited by Zhao Qiankun]
Singapore's "Channel NewsAsia" recently reported that an increasing number of millennials, Gen Z, and tourists from emerging markets such as Asia and the Middle East are becoming the main consumers.
With changes in demographics, the rise of sustainable development concepts, and people's longing for emotional connections after the pandemic, luxury travel is gradually transforming into a more personalized and meaningful travel experience. This shift not only reflects profound changes in travel demand but also marks the advancement of luxury travel towards deeper self-discovery and emotional connection.
The report by the international tourism industry media "Travel & Tourism World" suggests that today's luxury travelers are not necessarily super-rich individuals. In recent years, China's luxury travel market has grown significantly, with more young Chinese travelers seeking culturally rich, personalized, and sustainable travel experiences. This trend reflects both the upgrading of Chinese consumers' tastes and the transformation of social values.
"Two-way blossoming" domestically and internationally, China's luxury tourism industry is highly resilient.
Recently, at the annual event focusing on luxury tourism development held in Sanya — "Dongtianhui" — a luxury travel trend report attracted widespread attention in the industry. The report shows that by 2025, China's high-end tourism business growth will exceed 35.72%.
The report states that although the overall luxury tourism industry will slow down in terms of growth rate between 2024 and 2025, high-income groups plan to increase their spending in their 2025 travel budgets, demonstrating the resilience of China's luxury tourism industry.
A high-end campsite Visual China
This trend might be as the Forbes magazine pointed out, many people may not be millionaires, even without high salaries or property, yet they are willing to spend lavishly on "meaningful" travel experiences.
According to data from the National Immigration Administration, in 2024, the national immigration management agency cumulatively inspected 610 million inbound and outbound personnel, an increase of 43.9% year-on-year.
Combined with the proportion of luxury goods consumption in 2024, approximately 40% occurred overseas, particularly in the Asia-Pacific region and Europe. Among them, Chinese consumers' expenditure on luxury goods in the European market has recovered to about 50% of the 2019 level, while the Asia-Pacific region reached about 120% of the 2019 level.
The report by Dongtianhui predicts the development space of China's luxury tourism market, showing that the continuous growth of outbound tourists from within the country, combined with the inbound study-travel tourism market, could reach a development space of 100 billion yuan. This will greatly expand the high-end customer base and transaction channels. The report recommends that from 2025 to 2026, according to the exchange rate trend, the industry should seize opportunities to further boost the enthusiasm of Chinese consumers for outbound travel, achieving sustained and stable growth in tourism consumption; additionally, closely follow relevant policies, seize opportunities, develop inbound and outbound tourism products, and achieve "two-way blossoming" domestically and internationally.
The report by Dongtianhui also points out that competition in the luxury tourism sector is becoming increasingly fierce, with price, product, and service becoming the core demands of the consumer market. Especially low-price competition often has adverse effects on the entire market, revealing the pitfalls many operators fall into when pursuing short-term benefits. This is not only a challenge to market strategies but also a profound reflection on the essence of luxury tourism.
According to the report, price accounts for only 2.2% of market competitiveness in the luxury tourism market, while the highest competitive factor is the emotional value, trust, and stickiness brought by the product, accounting for 39.56%. Following this are the product's deep cultural experience design capability (accounting for 22.53%), cross-border resource integration capability (accounting for 10.99%), the innovative ability of creating services beyond expectations (accounting for 9.34%), and the ability to continuously optimize customer service (accounting for 6.04%) among others.
"Sanya Sample" Rewriting Global Luxury Tourism Rules
Singapore's "Asia Travel Weekly" reported that Hainan's Sanya luxury tourism market can rival Las Vegas and Dubai, with thousands of categories of luxury brands and products gathered here. With the continuous optimization of China's entry visa policies, the expansion of the visa-free "circle of friends," and the rapid development of China's tourism industry, Sanya has become an ideal destination for global luxury tourism. Additionally, Sanya's accessibility, along with its high-end water sports like diving and yachting, is attracting high-end tourists from all over the world.
Families enjoying yacht holidays Visual China
At the Dongtianhui event site, the Observer Network learned that Sanya has broken through geographical boundaries and is reconstructing the core coordinates of the global luxury tourism map. Many attendees believe that Sanya's natural resources are unparalleled, and its superior tourism facilities and continuously improving service levels make it a dream vacation destination for global tourists. Moreover, China's continuously optimized inbound tourism policies have greatly promoted Sanya's rise in the luxury tourism market.
The conference attracted 420 luxury tourism suppliers from 310 organizations, 194 travel agencies from 32 cities, and 220 buyers, as well as 21 representatives from tourism bureaus of eight countries and regions. Industry professionals from different regions and tourism bureau representatives from various countries held over 60 one-on-one "peak dialogues." Topics such as emotional value, AI intelligent travel, immersive cultural experiences, cross-border resource sharing, carbon footprint, etc., became hot topics of discussion.
Sharing industry development trends, discussing challenges faced in times of change, and finding solutions... with the aim of jointly promoting the rapid development of China's luxury tourism industry. This "mutual existence" breaking geographical conventions marks the shift of luxury tourism from resource competition to ecological co-creation.
An expert told the Observer Network that the "Sanya sample" has shown the world the rise of China's luxury tourism. This grand event sends a clear signal: future luxury travel must be "smart"—using algorithms to optimize experiences—and "heartfelt"—touching hearts with culture. The dual engine of technology and sentiment is rewriting the rules of the global luxury tourism industry.
Mental satisfaction has become the core growth driver.
According to the "2025 Hurun Best Luxury Brands Report - China High Net Worth Quality of Life Report" released by the Hurun Research Institute in March this year, the consumption structure of China's high net worth individuals is changing, shifting from traditional luxury goods to consumption with greater experiential and service value, with mental satisfaction becoming the core growth driver.
The report shows that the overall happiness index of China's high net worth individuals on the mainland is 8.5, and tourism remains the preferred form of entertainment and leisure for this group. Although the traditional luxury goods market faces downward pressure, there is growth potential in high-end services such as hotels, tourism, and cultural and sports events.
Dali Fengyangyi Tea Horse Ancient Road Visual China
"In people's minds, luxury travel is often associated with 'ostentatious consumption,' such as private jets, five-star hotels, and luxury shopping. However, now, more and more young Chinese travelers are beginning to pursue travel experiences with more cultural depth, personalization, and sustainability." Zhong Likuna, Dean of the China Culture and Tourism Big Data Academy at Beijing International Studies University, told the Observer Network.
Dean Zhong introduced that in the current profound changes in the cultural and tourism market, many travelers are more willing to pay for deep cultural experiences and emotional value. For example, products such as the "VIP night tour" of the Mogao Caves in Dunhuang, private guided tours after the closing of the Forbidden City, and high-end hiking routes along the ancient tea-horse road in Yunnan are highly popular. "Moreover, quite a portion of people have environmental protection concepts that have permeated the high-end tourism market. Some have already chosen low-carbon travel, such as taking electric luxury yachts, staying in zero-carbon resorts, and even willing to pay a premium for 'protective tourism' (such as participating in ecological research projects)."
A representative from a luxury travel agency in Beijing told the Observer Network: "Compared to scenic spot experiences, food tourism, and ordinary cultural and historical travel, some clients are now more concerned about whether they can meet local scholars, inheritors of intangible cultural heritage, and whether they can create deeper emotional connections with the local area."
"Private travel consultants, customized routes, exclusive resources (such as staying in historically significant buildings that are not open to the public) have now become the new favorites in the luxury tourism industry." Professor Zhang Bo of the Tourism College of Beijing Union University and master's degree supervisor told the Observer Network, "The price of niche customized travel services is expensive, far exceeding regular tourism expenses, but the development momentum remains strong. This indicates that Chinese consumers have transitioned from ostentatious travel to deep experiences, meaning that this group can ignore the cost of travel and instead focus on the value and significance of the trip itself."
Professor Zhang believes that "the new generation of high-net-worth individuals value 'experience priority,' and the spiritual fulfillment brought by travel outweighs everything else. This may be a reflection of the reconstruction of values post-pandemic. Recently, terms like 'family travel,' 'healthy travel,' and 'world-class university tours' have appeared more frequently in the tourism industry. I believe this represents the evolution of China's luxury tourism, a transition from 'material consumption' to 'spiritual consumption.' It is no longer just about money; rather, it's about how travel can achieve deeper cognition, more diverse experiences, and richer life accumulation."
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Original source: https://www.toutiao.com/article/7494598397991731763/
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