Betsy Wall, Executive Director
FOCUS ON CHINA
Friday, December 14th
Hall of Flags, State House
Boston, MA
PROGRAM OF EVENTS
10 – 11am
11– 11:45am
Overview of China Visitation Data & Visitor Profiles
Overview of the Chinese Leisure Market & the Tour
Industry in China
11.45 – 12.30pm Lunch break
12.30– 1.30pm The Chinese International Student in
Massachusetts – A Primer
1:30– 2:30pm Panel of Experts - Understanding the Marketplace
2: 30 – 3pm
Q&A
 US-China Group Leisure Travel Memorandum of
Understanding (MOU) signed December 11, 2007
 US Travel Destinations are allowed to market their
brands in China
 Increase in number of Chinese tourists to the US
 Chinese travelers will become more familiar with
different US destinations
 China inbound tourism to the US is the
fastest growing tourism source to the
USA and will continue to be so for the
foreseeable future.
 US Government granted Chinese visitors ‘Approved
Destination Status’ (ADS) visas
 Stated Goal of the U.S. Dept of State
“Increase non immigrant visa processing capacity in
China and Brazil by 40 per cent in the coming year’
 Recognition of Obama Administration to both protect
US borders but nurture international visitation
What Are The Facts?
International Traveler Spending
from United Nations World Tourism Organization
OUTBOUND!
Top Origin Markets for
International Travelers to the U.S.
Origin of Visitor
International Total *
1
2
Canada
Mexico
Overseas **
3
United Kingdom
4
Japan
5
Germany
6
Brazil
7
France
8
South Korea
9
China (PRC)
10
Australia
*
**
2011
2011/2010
(000s)
(% change)
12/11 May YTD
(% change)
62,711
5%
6%
21,337
13,491
27,883
3,835
3,250
1,824
1,508
1,504
1,145
1,089
1,039
7%
0%
6%
-0%
-4%
6%
26%
12%
3%
36%
15%
4%
5%
9%
-2%
14%
12%
19%
5%
12%
42%
6%
International travelers include all countries generating visitors to the U.S.
Overseas includes all countries except Canada and Mexico.
Record year for travel to U.S.
Top Travel Export Markets
($billions of 2011 receipts)
Origin Country
Travel
Receipts
2011r
Passenger
Fare
Receipts
Total Travel
Receipts
2011
Canada
Japan
United Kingdom
Mexico
Brazil
$19.4
$10.1
$9.0
$6.4
$5.9
$4.6
$4.6
$3.0
$2.8
$2.6
$24.0
$14.8
$12.0
$9.2
$8.5
China
Germany
Australia
France
India
South Korea
$5.7
$4.9
$4.3
$3.8
$3.1
$3.7
$2.1
$1.4
$0.7
$1.2
$1.3
$0.1
$7.7
$6.3
$5.0
$5.0
$4.4
$3.8
U.S. TOTAL
$116.1
$36.6
$152.7
r = revised
Chinese Visitors & Spending
(1997 – 2011, current $’s)
In 2011 visitor volume was a record 1.09 million, while spending was a record $7.74 billion.
visitors (000s)
spending ($billions)
1200
$12
1000
$10
Visitors (lhs)
800
$8
600
$6
400
$4
Spending (rhs)
200
$2
0
$0
97
98
99
00
01
02
03
04
05
06
07
08
09
10
Sources: Department of Commerce, Office of Tourism Industries; Department of Commerce, Bureau of Economic Analysis
11
Chinese Traveler Superlatives
Since 2007 (1st new record among current string of records)
 Including 2007, five consecutive visitor volume records—one of




the longest record strings;
Highest visitor volume growth rate—by far—among top 40 origin
markets (174% vs. 136% for Brazil);
3rd-highest visitor growth volume among all countries
(700k vs Canada’s 3.6m and Brazil’s 900k);
Highest visitor spending growth rate (187%) vs Brazil (170%);
3rd-highest growth spending volume among all countries ($5b vs
Canada’s $7.6b and Brazil’s $5.3b);
Chinese Visitors’ Top U.S.
Ports of Entry
5
#5 Blaine, WA
74k (6.8%)
#2 San Francisco (SFO)
166k (15.2%)
2
1
#1 Los Angeles (LAX)
201k (18.5%)
#3 Chicago (ORD)
129k (11.8%)
3
#4 New York (JFK)
119k (10.9%)
#6 Newark (EWR)
58k (5.4%)
4
6
Top Cities
Cities Visited
New York City
Los Angeles
DC Metro Area
San Francisco
Las Vegas
Boston
Chicago
Buffalo
Seattle
Atlanta
Philadelphia
Detroit
San Jose
2005
31 %
31 %
15 %
26 %
22 %
7%
16 %
1%
4%
2%
2%
1%
6%
2006
27 %
39 %
13 %
24 %
23 %
8%
11 %
2%
6%
2%
3%
3%
6%
2007
31 %
37 %
17 %
24 %
18 %
8%
13 %
2%
3%
2%
5%
1%
4%
2008
35 %
31 %
18 %
22 %
17 %
8%
11 %
5%
2%
4%
6%
1%
4%
2009
29 %
30 %
17 %
22 %
17 %
9%
11 %
1%
5%
3%
3%
0%
2%
2010
28 %
34 %
14 %
22 %
16 %
9%
10 %
1%
4%
2%
4%
2%
1%
2011
39 %
31 %
20 %
18 %
16 %
12 %
8%
6%
5%
4%
4%
4%
4%
Key Activities
Activities
1 Shopping
2 Dining in Restaurants
3 Sightseeing in Cities
4 Visit Historical Places
5 Amusement/Theme Parks
6 Visit National Parks
7 Cultural Heritage Sites
8 Art Gallery/Museum
9 Casinos/Gambling
10 Visit Small Towns
11 Guided Tours
12 Touring Countryside
13 Cruises
2005
89 %
83 %
49 %
42 %
31 %
28 %
21 %
24 %
24 %
24 %
8%
23 %
8%
2006
90 %
82 %
53 %
45 %
25 %
25 %
24 %
18 %
29 %
23 %
12 %
16 %
8%
2007
88 %
80 %
51 %
47 %
28 %
29 %
21 %
19 %
22 %
22 %
13 %
18 %
8%
2008
90 %
84 %
45 %
43 %
28 %
23 %
25 %
22 %
21 %
19 %
14 %
15 %
14 %
2009
92 %
83 %
57 %
43 %
27 %
27 %
29 %
24 %
18 %
22 %
15 %
13 %
10 %
2010
94 %
83 %
48 %
45 %
33 %
24 %
23 %
19 %
19 %
23 %
17 %
14 %
9%
2011
87 %
78 %
54 %
53 %
36 %
29 %
28 %
25 %
24 %
23 %
20 %
16 %
15 %
Activities, continued…
Activities
14 Water Sports/Sunbathing
15 Concert/Play/Musical
16 Nightclubs/Dancing
17 Environ./Eco. Excursions
18 Camping/Hiking
19 Visit Am. Indian Comm.
20 Attend Sports Event
21 Ethnic Heritage Sites
22 Golfing/Tennis
23 Ranch Vacations
24 Snow Skiing
25 Hunting/Fishing
2005
11 %
10 %
6%
6%
2%
2%
8%
4%
7%
1%
1%
3%
2006
8%
11 %
12 %
5%
3%
2%
5%
4%
5%
2%
2%
2%
2007
5%
10 %
8%
4%
5%
5%
6%
5%
6%
3%
1%
2%
2008
14 %
9%
4%
4%
4%
4%
4%
3%
6%
4%
2%
1%
2009
12 %
12 %
11 %
8%
7%
4%
3%
9%
6%
3%
2%
3%
2010
9%
8%
6%
4%
4%
3%
7%
5%
4%
4%
2%
4%
2011
12 %
10 %
8%
8%
6%
6%
6%
5%
4%
4%
3%
3%
International Visitors to the U.S.
and Projections
(2000-2016)
Arrivals in Millions
100
80
65.4
60
56.0
51.2
49.2
46.9
43.6
57.9
59.8
68.3
71.1
73.8
76.6
62.3
55.0
51.0
46.1
41.2
40
20
0
2000
Sources:
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011 2012(f) 2013(f) 2014(f) 2015(f) 2016(f)
U.S. Department of Commerce, ITA, Office of Travel & Tourism Industries; Secretaria de Turismo (Mexico);
Statistics Canada. -- April 2012 forecast
OTTI Travel Forecast
Inbound Travel to the U.S. from
Asia
Asia
Asia
Asia
Asia
Japan
Japan
Korea
Korea
China
China
India
India
Taiwan
Taiwan
2011
2011
2012
2012
2013
2013
2014
2014
2015
2015
2016
2016
16 / 11
16 / 11
7,247
7,247
3,250
3,250
1,145
1,145
1,089
1,089
663
663
290
290
7,915
7,915
3,336
3,336
1,233
1,233
1,474
1,474
692
692
313
313
8,562
8,562
3,403
3,403
1,319
1,319
1,853
1,853
734
734
330
330
9,229
9,229
3,482
3,482
1,394
1,394
2,248
2,248
778
778
345
345
9,979
9,979
3,564
3,564
1,473
1,473
2,713
2,713
827
827
360
360
10,799
10,799
3,635
3,635
1,552
1,552
3,246
3,246
879
879
378
378
3,552
3,552
385
385
407
407
2,157
2,157
216
216
88
88
12 / 11
12 / 11
13 / 12
13 / 12
14 / 13
14 / 13
15 / 14
15 / 14
16 / 15
16 / 15
16 / 11
16 / 11
----Japan
--Japan
--Korea
--Korea
--China
--China
--India
--India
--Taiwan - - Taiwan - - Source: OTTI - April 2012 forecast
9%
9%
3%
3%
8%
8%
35 %
35 %
4%
4%
8%
8%
8%
8%
2%
2%
7%
7%
26 %
26 %
6%
6%
6%
6%
8%
8%
2%
2%
6%
6%
21 %
21 %
6%
6%
4%
4%
8%
8%
2%
2%
6%
6%
21 %
21 %
6%
6%
4%
4%
8%
8%
2%
2%
5%
5%
20 %
20 %
6%
6%
5%
5%
49 %
49 %
12 %
12 %
36 %
36 %
198 %
198 %
32 %
32 %
30 %
30 %
Forecast for Chinese Visitation to
the U.S.
What does this mean for MA?
Chinese MA Numbers
 Visitation to MA:
139,000 visitors
 Est. Visitor Spending: $285 million
 State & Local Taxes: $18 million
 Massachusetts prestigious academic institutions are
critical to the image of the state in China
 Prep Schools
 Undergraduate courses
 Postgraduate courses
 Executive Training
 Business Investment
MOTT Moving Forward in China
 Capitalize on Brand USA partnership as they develop
marketing strategy for China
 Strengthen relationships with Chinese receptive
operators and tour operators
 Coordinate MA presence at key China trade shows
 Host press trips and trade familiarization trips
 Invest in social media & promotional presence
International Marketing Program
Questions?
Betsy Larkin
Senior Manager, International Marketing
Massachusetts Office of Travel & Tourism
Betsy.Larkin@state.ma.us