HONG KONG VISITOR ARRIVALS SHOW ENCOURAGING 9% GROWTH IN MAY

Visitor arrivals in Hong Kong for May showed an encouraging 9.1% growth over the same month in 2000, the Hong Kong Tourism Board (HKTB) announced today (6 July). Total arrivals were 1,165,933, with the healthiest growth coming from Mainland China (380,989 arrivals, +14.0%) and the North Asia region (152,801, +13.7%).

Taiwan (201,596 arrivals, +7.9%), The Americas (109,144 , +3.8%), South & Southeast Asia (158,868, +3.6%) and Europe, Africa & the Middle East (92,093, +1.2%) also showed modest increases, but there was a slight fallback in arrivals from Australia, New Zealand & South Pacific (31,693, –5.4%) where the weakened local currencies are making overseas travel more expensive.

For the first five months of the year to date, total arrivals have grown by 7.0% compared with the same period in 2000, broadly in line with the HKTB’s growth forecast for 2001 of 7.8%. Currently the strongest growth is being shown by North Asia (+10.9%), Mainland China (+9.6%), The Americas (+7.0%) and Taiwan (+6.5%).

May 2001 Analysis by Markets

Of the individual markets, South Korea was the star performer in May, recording 36,286 arrivals for a 35.2% increase over May 2000. Contributory factors included an extended weekend break opportunity in the early part of the month, taking in the Children’s Day and Parent’s Day public holidays; visitors coming to sample the HKTB’s “Hong Kong Gourmet Delights” festival, promoted in conjunction with Lotte department store; and a strong Korean contingent attending Herbalife’s “Asia Extravaganza” incentive gathering in Hong Kong.

Elsewhere in North Asia, arrivals from Japan (116,515, +8.3%) were boosted by strong bookings for packages offered by JTB-World and Jalpak, especially in the eastern part of the country.

In South & Southeast Asia, India (15,432 arrivals, +25.1%) continues to be one of Hong Kong’s fastest-growing markets, aided by the growing trade relationship between India and the Mainland, the increased number of flights to Hong Kong since March which has made air fares more competitive, and heightened awareness of Hong Kong as a destination through HKTB joint promotions with Cathay Pacific, McDonald’s and leading travel trade magazines.

Arrivals from Thailand (23,414, +15.0%) were boosted by a number of attractive short-break and fly/cruise packages offered in the market, while two public holidays in early May and promotion of Hong Kong at the NATAS Travel Fair helped increase visitor numbers from Singapore (37,937, +3.5%). Arrivals from the Philippines, Indonesia and Malaysia, however, continue to be depressed by political and economic concerns.

Major exhibitions and conferences in Hong Kong such as Hofex, the International Computer Expo and the Fortune Global Forum helped stimulate arrivals from Mainland China (380,989, +14.0%), while in a slightly different vein, the Miss Saigon stage show, strongly promoted by HKTB, proved an attractive draw for visitors from Taiwan (201,596, +7.9%).

In the long-haul markets, renewed growth in arrivals from Germany (14,965, +5.9%) and France (12,602, +1.6%) during May has given hope that the recent slowdown in growth caused by the weakness of the euro may be coming to an end.

Strong promotion of Hong Kong through Continental Airlines special packages and the HKTB’s Cultural Kaleidoscope campaign boosted arrivals from the United States (82,683, +5.5%); in contrast, there was a slight fall in arrivals from Canada (20,521, –1.4%) which since April has had one less daily flight to Hong Kong.

Length of Stay

In total, 64.8% of visitors in May stayed for one night or longer, compared with 67.8% in May 2000. The cumulative figure for January to May 2001 is very similar at 64.9%. Taiwan visitors continue to be the shortest stayers with only 22.6% staying overnight in May. At the other end of the scale, 84.2% of all visitors from The Americas and 82.1% of those from South & Southeast Asia did so.

Hotel Occupancy

Average hotel occupancy across all categories in May was 80%, a slight decrease on the 81% recorded in May 2000. However, there has been a 3.3% increase in the daily average number of rooms available for sale over this period. For the first five months of 2001, average occupancy stands at 79%.

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- The Hong Kong Tourism Board was formerly known as the Hong Kong Tourist Association (HKTA). The change took effect from 1 April 2001 and reflects a change to the tourism body’s constitutional structure. Its primary responsibilities for marketing and promoting Hong Kong as a destination worldwide, and for providing visitors with assistance when they arrive, remain unchanged.

- Figures include arrivals of non-Macau residents from Macau