Category Archives: New York

New York welcomes Chinese tourists (and their dollars…)

According to First Financial Daily, a tour group of more than a thousand Chinese tourists spent the Lunar New Year (Spring Festival) in New York. These tourists spent $6,000  dollars on average in U.S. during this trip.

The tour group was warmly welcomed in New York City. In front of Macy’s Department Store on New York’s 34th Avenue, the largest department store in the United States, hosted the largest ever tourist group from China. The group consisted of 1,000 Chinese from Beijing, Shanghai, and other major cities. To welcome the “thousand-person” tourist group, Macy’s invited a lion dance performance group and gave each Chinese visitor a special “international coupon” and small gift.

The Empire State Building closed to the public during 8 pm to 10 pm on February 16 to let this Chinese tour group enjoy a special tour. That night, Peng Keyu, the Chinese Consul General in New York lit color lights in the traditional Chinese colors red and yellow on the top floor of the Empire State Building, adding festive atmosphere to the night sky in New York.

The vice president of Macy’s expressed his hope that more Chinese could come and visit the U.S. to go shopping. American stores have become increasingly interested in Chinese tourist groups because of their strong purchasing power.

According to the U.S. Department of Commerce, each traveler from China spent an average of $6,000 during his or her 8-10 day visit in the United States, 50 percent more than that of tourists from other countries spent during the same period. The “thousand-person” tourist group will contribute 6 million U.S. dollars to the U.S. economy. Chinese tourists have really brought vigor to the U.S. east coast business which is quite depressed in recent two years.

This tour group was jointly organized by NYC & Company, the U.S. Continental Airlines and several travel agencies in China and the U.S.

With many famous buildings and museums, New York has become the first choice for Chinese tourists traveling to U.S. cities. Among all Chinese tourists travel to the United States, 44 percent chose New York as a destination. In order to attract more Chinese tourists, NYC & Company has opened an office in Shanghai. According to Pierre Gervois, CEO of China Elite Focus, the famous Shanghai  PR agency  for affluent Chinese international travelers “Macy’s has a very smart strategy to attract affluent Chinese shoppers. The new generation of Chinese outbound travelers prefers to travel to NYC for their shopping, rather than to buy in Shanghai stores, with higher prices and not a wide range of products”

George Fertitta, CEO of NYC & Company said their staff at the office in Shanghai are always asked about the shooting location of TV drama Sex and the City by tourists preparing to visit the United States. “It is not impossible to organize a Sex and the City tour in New York conducted in Chinese.”

NYC & Company data show that in 2008 there were 9.5 million foreign tourists who visited New York City, among which 257,000 were Japanese tourists, more than the total number of visitors from Chinese mainland and Hong Kong (218,000). But in terms of per capita consumption, the Chinese mainland and Hong Kong tourists spent $2,148 in New York, about $400 more than Japanese tourists.

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Chinese travelers to the US: tourists or investors?

Yin Guohua heaved a sigh of relief last week as his plane touched down in Beijing after an 11-day tour of the US.
As a member of China’s first-ever delegation to shop for American real estate, Yin was prepared for hectic travel, endless showings, and pushy salesmen.
He was not prepared for the reporters. “Everywhere we went, there were cameras chasing us,” Yin said ruefully.
The novelty of Chinese shopping for American property guaranteed publicity for the 21-man delegation, which visited Los Angeles, San Francisco, Las Vegas, New York, and Boston. Another 19 delegates, most of them 35-50 years old, missed the trip because of visa problems.
Soufun.com, the real estate portal, organized the trip but did not announce the results.
Yin, a lawyer who had said he intended to buy a $1 million apartment in either Los Angeles or New York, also declined to say whether he had made a deal, but said the trip met his expectations. “In fact, we had a wider range of choices than we expected,” he said.

Howard Rosen, a senior manager at Grubb & Ellis, a New York-based property agency, said he does not think most Chinese individuals are qualified to purchase real property in the US “unless the money is here.”
Investors with deposits in Hong Kong may qualify, he said, but assets on the Chinese mainland will not satisfy US sellers, Rosen said.
In addition, foreign investment in US property requires a lengthy process, according to Rosen. Without “certainty of disclosure,” Chinese investors will not be taken seriously, he said.

Chen Yunfeng, secretary general of the China Real Estate Managers Association, said he also doubts that the time is right for Chinese to buy US investment property.
“Given the current US economy, there is no sign that the price of property will appreciate strongly in the short term,” said Chen. The price may even continue to slide if the crisis worsens, he said.
More buying trips are likely, however, as China’s new millionaires look for places to invest their wealth.
According to a report by the Boston Consulting Group, China had the world’s fifth-largest population of millionaires in 2008 with 391,000, up 20 percent from the previous year. “Wealthy Chinese are now considering to buy luxury properties when they come to the US, not only Rolex and Louis Vuitton bags”, said Pierre Gervois, CEO of China Elite Focus, a Shanghai based marketing and PR company specialized on rich Chinese.
The growing interest among Chinese in buying overseas properties is not focused solely on the US.
“There are more people coming to us, asking about the process of buying an overseas property,” said Rainer Schleif, a manager of Aimeilan Consulting (Beijing) Co Ltd, a company that deals mainly with Australian and Singaporean real estate.
Desire to emigrate and the sharp depreciation of the Australian dollar have piqued investors’ interest, Schleif said.

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Chinese tourists love New York

Chinese tourists in Times Square: A huge number of nation’s growing middle class is expected to visit city after new agreement allowing China’s travel agencies to promote tours.

City tour operators are smacking their lips at the prospect of an influx of nouveaux riches from China – the result of a new travel deal between that country and the U.S.

The agreement, signed Dec. 11 by U.S. Commerce Secretary Carlos Gutierrez, allows tour operators in China to promote group trips to U.S. shores. Commerce figures estimate it could draw an estimated 579,000 Chinese visitors by 2011.

China’s 1.4 billion population includes an increasingly affluent middle class. Already, the Chinese outspend other tourists in New York. Each shells out an average $2,200 per visit, compared with $1,750 by travelers from other countries, said Kimberly Spell, a spokeswoman for NYC & Co., the city’s tourism organization. They gobble up blue jeans, skateboards and other American goods, she said. But they’re especially hungry for the Western luxury products that line Fifth Ave., Madison Ave. and department store shelves.

“All they want to do is shop,” said Jiao Ma, 25, who moved to New York from China about 10 years ago.

Standing outside the Louis Vuitton store at 57th St. and Fifth Ave., Ma said she expects many Chinese nationals to take advantage of the group tours. “They buy tons and tons of LV bags, and then go home and post online ‘Look what I got!'” she said.

Anticipating the agreement, New York City set up a tourism-marketing office in Shanghai in June to promote the Big Apple to Chinese travel agents.Some 145,000 Chinese visited the city in 2006, a number expected to hit 159,000 last year, city officials said.

“We’ve never seen a country with a population this size have a dramatic change in who can come visit,” Spell said. “It’s staggering to think of the potential.”Business travelers dominate the Chinese tourist market, but city landmarks are tailor-made for the tour operators expected to advertise the U.S. to Chinese who enjoy traveling in groups.

Gray Line Tours is now offering Mandarin-language tours of the city; they are about 40% full, said company president Tom Lewis.

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