Hong Kong visitor arrivals jump 16.5% in July 2002

Visitor arrivals in Hong Kong in July 2002 jumped 16.5% year-on-year to 1,368,693, the Hong Kong Tourism Board (HKTB) announced today (28 August). This is easily the highest July total on record and the second highest figure recorded in any single month, after the 1.40 million achieved in April this year.
Once again, Mainland China was the star performer, setting another record by contributing 565,322 visitors, a 41.3% increase compared with July 2001. But there were also very encouraging results from South & Southeast Asia, with total arrivals growing 16.2% to 153,047 - the first time this year that arrivals from this region have shown double-digit growth. Individually, Indonesia (+31.9%), India (+22.1%), Malaysia (+17.7%), Thailand (+14.0%) and the Philippines (+12.9%) all performed well, while Singapore (+10.0%) recorded positive growth for the first time since January.

More modest, but equally encouraging, growth of 1.3% was seen in arrivals from Japan, where difficult economic conditions have dampened outbound travel figures all year. In total, arrivals from North Asia grew 0.1% to 145,331. Taiwan, on the other hand, recorded a small decrease of 0.1% to 220,867 arrivals.

HKTB Executive Director Clara Chong said the strong performance from most of Hong Kong's key Asian markets was highly encouraging, and could be attributed at least in part to the HKTB's extensive regional promotion of the HSBC Mega Hong Kong Sale shopping festival. "Early indications are that August arrivals will also be much higher than usual," she added. "Although we have yet to see final figures, we are very confident that this event will have brought a much-needed boost to Hong Kong's retail and restaurant industries."

Hong Kong's long-haul markets, too, produced encouraging performances in July. Arrivals from Australia, New Zealand & South Pacific grew 4.9% to 31,429, while those from Europe, Africa & the Middle East recorded a 4.5% increase to 92,508. Only The Americas remained flat, with a 1.5% increase in arrivals from Canada being balanced out by a 1.1% decrease from the United States, where troubles in the stock markets have further eroded consumer confidence and desire for international travel.

For the first seven months of 2002 to date, total arrivals have now reached 8,871,796, a 13.4% increase compared with the same period in 2001.

Mainland China is leading the way with a 42.9% increase for the year to date, followed by South & Southeast Asia (+4.1%), Europe, Africa & the Middle East (+3.2%), Australia, New Zealand & South Pacific (+1.3%) and The Americas (+0.1%). Only North Asia (-1.5%) and Taiwan (-3.3%) remain in negative overall growth, although both markets are showing signs of gentle recovery.
"We believe that it should be possible to sustain this level of growth or better in the remaining months of 2002," Ms Chong added. "It is good to see that both our short-haul and long-haul markets are maintaining steady improvements in growth as the year progresses."

Same-Day Visitors

During July, 64.0% of all visitors stayed for one night or longer, close to the 64.2% recorded in July 2001. The remaining 36.0% continued to other destinations on the same day. Visitors from The Americas (82.8%), Australia, New Zealand & South Pacific (78.9%) and South & Southeast Asia (78.6%) were the most likely to extend their stays, while at the other end of the scale, only 24.4% of visitors from Taiwan did so. (Note: These figures only include travellers who passed through Hong Kong Immigration, not those who were solely transit passengers)

For the first seven months of the year to date, 64.2% of all visitors have stayed for one night or longer, compared with 64.6% in the same period in 2001. 

Hotel Occupancy

Average hotel room occupancy across all categories was 82% in July, compared with 79% in the same month in 2001. The improvement was reflected across all different categories of hotels and tourist guest houses, with top tariff (High Tariff A) hotels achieving 73% occupancy (2001: 70%) and medium tariff hotels 86% (2001: 82%). Hotels on Hong Kong Island outside the main Central to Causeway Bay corridor averaged 89% occupancy.

For the first seven months of the year to date, average occupancy stands at 82%, compared with 78% in the same period of 2001. Nevertheless, average achieved room rates continue to decline, showing an 11.3% fall compared with the first seven months of last year.