What the return of Chinese travelers means for European hoteliers // China's growing interest in winter sports has spurred planning for more international vacations
What the return of Chinese travelers means for European hoteliers
China's growing interest in winter sports has spurred planning for more international vacations
Travelers from China are taking more and more trips internationally after years of staying domestically or close to home. Since the 2022 Winter Olympics in Beijing, winter sports have become more popular in China, sparking Chinese travel demand to the world's mountainous regions. Pictured are tourists nearby the north face of the Eiger mountain above the village of Wengen before the Lauberhorn ski World Cup races on Jan. 16, 2025.
(Getty Images)
https://www.costar.com/article/708606889/what-the-return-of-chinese-travelers-means-for-european-hoteliers?
Chinese travelers are beginning to take more trips abroad, including to European destinations.
The recovery of outbound travel demand from China could even reach pre-pandemic levels by the end of this year, said Mingjie Wang, chief correspondent at China Daily.
“We’re now coming to the point of 2019 levels,” Wang said.
As a podcast guest on the latest episode of “The Upgrade: EMEA Hospitality News,” Wang said Chinese travelers made 155 million international trips in 2019, spending approximately $250 billion.
Much of that travel ceased during the pandemic years. Even by 2023 — as more countries and destinations had returned to normal business — Chinese travelers were hindered by a lack of flight capability and worries about their welcome and safety on international trips. As a result, people in China took more domestic trips across the country or if they did travel internationally, it was to Southeast Asia countries.
Destinations in the Middle East are doing well attracting Chinese travel demand, Wang said. The region's main attraction is that it is a mid-haul destination and because the Middle East is “promoting vastly and significantly. Saudi Arabia wants to attract five million Chinese travelers by 2030,” he added.
But cities and destinations in Europe are building strong demand momentum and the continent “is on the top list of where the Chinese wants to travel in terms … 90%, maybe by end of 2025 above 2019 levels.”
Wang reiterated that Chinese travelers' choice of destination comes down to two factors: safety and the ease of getting travel visas.
Chinese traveler types have changed, too. Wang cited the emergence of FIT travelers, the Chinese now being more comfortable traveling on their own, although some group travel will continue.
“For Gen Z that might be 60% or 70% of them traveling on their own or in small family groups,” Wang said, adding only 11% of Chinese residents have passports.
But the new Chinese guest is looking for something new, something unusual, and Wang gave the example of Iceland as a destination that captures the Chinese attention for exoticness.
Following the 2022 Winter Olympics in Beijing, approximately 300 million Chinese became interested in winter sports, Wang said.
“There is skiing in China, Japan and South Korea, but, ultimately, they want to go skiing in Europe,” he added.
For more from Mingjie Wang on such topics as social-commerce platform RedNote — also known by its Chinese name Xiaohongshu — the new Chinese travel bible and what useful information and trends hoteliers and marketers need to be aware to engage with the new breed of FIT travelers, listen to the podcast embedded above.
IHG hints at new hotel collection brand as company set to trade shares in London in US dollars
Performance of Europe portfolio acts as counterweight to sluggish US hotel demand
IHG Hotels & Resorts opened 99 hotels in the third quarter with more than 14,000 rooms. In August, IHG opened the 174-room Atwell Suites Shanghai Wuning, the brand’s first hotel in China. (IHG Hotels & Resorts)
https://www.costar.com/article/1893246585/ihg-hints-at-new-hotel-collection-brand-as-company-set-to-trade-shares-in-london-in-us-dollars?
Better-than-expected performance coupled with consistent portfolio growth gave IHG Hotels & Resorts a boost in the third quarter.
Across its global hotel portfolio, IHG reported revenue per available room rose 1.4%, which exceeded the hospitality industry's projections of 1.3% RevPAR growth, said Chief Financial Officer Michael Glover. He added IHG executives are feeling very comfortable with the British firm’s performance despite booking windows remaining very short and the U.S. hotel market staying sluggish.
Along with its earnings performance and hotel development targets, IHG made two notable announcements during its third-quarter results.
First, IHG CEO Elie Maalouf teased a new hotel collection brand that the company plans to launch soon in Europe in the upper to upper-upscale segment.
“It will complement our premium conversion brand Voco, which now is in 30 countries since we launched it in 2018. … Over half of the supply [in Europe] is still independent. There is a strong addressable market of owners wishing to align with the strength of our enterprise systems that are shown to deliver RevPAR premiums and group and corporate business,” he said.
Maalouf added the new brand also will replicate the success of another of its collection brands, Vignette, which IHG launched in 2021.
“[Vignette] is positioned higher, and already it is tracking higher than its goals, with 27 opened and 41 in the pipeline, of the target of 100 we set to open within the decade since its launch,” he said. “The new brand’s name, positioning, visual aspects, launch timings and projections of openings will be shared within next few months.”
Similarly, IHG launched its Voco hotel brand in Europe before spreading globally, a strategy the company plans to use for its new brand, Maalouf said.
IHG acquired the Ruby Hotels brand in February, another hotel brand that has its foundation in Europe. Maalouf said Ruby is now available for hotel development in the U.S.
IHG executives also announced on Thursday's earnings call that as of Jan. 1, 2026, IHG’s share price on the London Stock Exchange will be changed from the U.K. pound sterling to the U.S. dollar. Glover said IHG has reported its earnings results in U.S. dollars for the past 17 years and that the change on the London market is being made to simplify earnings reporting and to better align share price to performance.
He added this change has only recently been made possible due to a change in the regulations within the exchange’s Financial Times Stock Exchange U.K. Index Series Ground Rules.
“It is not a precursor to any other changes,” Glover said, adding the currency change will not have an impact on IHG’s London listing in any other way and also will not have an impact on its average daily rate listing on Wall Street.
Tallying tailwinds
Maalouf said he saw IHG's third-quarter results as an indication of positivity in global hotel markets and in the company itself.
“There was another strong performance in Europe, Middle East, Africa and Asia and a further performance increase in China. They underline the power of our diversified global footprint, and we are optimistic about long-term demand drivers,” he said.
Despite noise that travel spend and spend on leisure and retail services in general is down, Maalouf shared several reasons for optimism. These include equity markets returning following a pause during tariff squabbles; record U.S. employment; wages outpacing inflation; travel spend being consistent and resilient; interest rates dropping; Transportation Security Administration passenger volumes growing despite the U.S. government shutdown; and more clarity on tax situations.
Maalouf also predicted a major wave of hotel demand would be fueled by “super-cycle investment” in data centers. He pointed to Amazon, BlackRock, Meta, Microsoft, Nvidia and Oracle that have invested billions of dollars to develop such properties.
“We are on course for 2025 being one of our biggest years,” he said. “There are structural tailwinds, and we believe new builds will come back. Their room sizes might be different, but we will be ready for that. I feel good about the trajectory of our net systems growth. What encourages us further is the strong pace of signings and the speed of opening of those signings. We are seeing lower inflation, lower energy costs.”
He added these tailwinds are resulting in growth, even though it might be slow growth.
In the third quarter, IHG opened 14,500 rooms in 99 hotels, a 17% year-over-year increase. Glover said those openings don't include IHG’s partnership with German hotel-management firm Novum Hospitality, which was signed in April 2024.
IHG has added a total of 46,000 hotel rooms — which does include Novum conversions — year to date, which Glover said is the company's “strongest ever performance over the first three quarters.”
He added more than 50% of openings were in “quick-to-open conversions.”
IHG reported a 10.4% year-to-date increase in hotel rooms in Europe, the Middle East, Africa and Asia, which Glover said sets up 2025 to be a record year in that metric. He added the performance of IHG's hotels in China in the third quarter continued to perform well.
“China is on track for its second consecutive year of record development growth,” he said.
IHG currently has $4.1 billion of bonds outstanding, Glover said, “with a blended borrowing cost of approximately 4.3%” and that the 2025 target of returning $900 million to shareholders is “78% complete.”
Maalouf said IHG remains on track to meet its full-year consensus profit and earnings expectations.
As of press time, IHG stock was trading at £92.28 ($123.15) per share, down 8.1% year to date. The London Stock Exchange’s FTSE 100 index was up 16% over the same period.
Scary Travel Warning Issued Against Mexico, Japan, and Others Over Poisoning
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https://www.fodors.com/news/news/scary-travel-warning-issued-against-mexico-japan-and-others-over-poisonin
New warnings for popular destinations such as Japan and Mexico.
The U.K. Foreign, Commonwealth & Development Office (FCDO) has expanded its travel warnings for methanol poisoning to include more countries after multiple cases of illnesses and deaths in popular tourist destinations. The advisory now covers eight additional countries, including the popular destinations of Japan and Mexico. Even a small amount of methanol can cause severe illness, and the government agency is urging travelers to remain vigilant.
Previously, the FCDO had issued guidance about methanol poisoning for Cambodia, Indonesia, Turkey, Costa Rica, Thailand, Vietnam, Laos, and Fiji. The new warnings have been added for Ecuador, Kenya, Japan, Mexico, Nigeria, Peru, Uganda, and Russia, though specific incidents have not been highlighted. These updates follow discussions with health experts, parliamentarians, and families of victims. Problems with cheap and adulterated liquor in travel destinations are increasing, and anyone can be affected by methanol poisoning.
Travelers are being urged to exercise caution following a rise in incidents. Last year, six tourists died in Laos from consuming tainted alcohol, including a U.K. national. Methanol, found in products such as paint thinners, may be illegally mixed into alcohol in some countries. “Even small amounts of methanol can cause blindness or death within 12-48 hours of consumption. The toxic substance is tasteless and odourless, making it impossible for travellers to detect.”
Hamish Falconer, a Member of Parliament responsible for consular and crisis response, said that methanol poisoning can be fatal, is hard to detect in time, and presents symptoms similar to alcohol poisoning. “No family should endure what the campaigners’ families have suffered. Their determination to prevent others facing the same tragedy has been instrumental in driving forward these vital updates to our travel advice.”
How to Stay Safe
The Foreign Office warns that it is not possible to completely eliminate the risks of methanol poisoning when consuming alcohol, but travelers can take precautions. Purchase sealed drinks from licensed vendors and avoid consuming homemade alcohol. Do not leave your drinks unattended, and try to avoid mixed drinks or cocktails. It is also important not to accept drinks from strangers. “Pre-mixed cocktails served in ‘buckets’ or jugs in tourist areas can be high risk,” it states.
Methanol poisoning is difficult to detect. If you feel suddenly nauseated or dizzy, seek medical assistance. Early signs include vomiting, drowsiness, and loss of balance. Within 12-48 hours, symptoms may include breathlessness, rapid breathing, blurred vision or blindness, and convulsions. “Methanol poisoning can cause blurry vision, trouble looking at bright lights, and in some cases complete blindness. If you have ‘snowfield vision’ (seeing snowy static like an old TV) or tunnel vision seek urgent medical help,” the Foreign Office advises.
If you suspect that you or someone traveling with you has been affected by methanol poisoning, contact healthcare services as soon as possible. Do not delay seeking help. Treatment is most effective within 10-30 hours of methanol poisoning. “Don’t wait to ‘see if it gets better.’ Call for emergency help or head to the nearest hospital.”
New Zealand Would Really Like You to Move There
Huafires/iStock
https://www.fodors.com/world/australia-and-the-pacific/new-zealand/experiences/news/new-zealand-loosens-residency-restrictions-for-the-second-time-in-2025
Facing population loss, New Zealand loosens residency restrictions. Again.
New Zealand’s government has unveiled plans to make it easier for certain types of foreign workers to remain in the country as permanent residents from next year onward.
Two new pathways for skilled workers who already have experience in their fields working in New Zealand were announced by Nicola Willis, the government’s minister for economic growth. “Businesses told us it was too hard for some migrants to gain residence, even when they had crucial skills and significant experience that was not available in the existing [New Zealand] workforce,” Willis said in the announcement.
“We’re fixing it,” she added.
The new pathways, which will apply to certain types of skilled work, including both professionals with college diplomas and technical and technician type roles that do not require a university degree, but do require specialized technical training, will have additional eligibility restrictions placed on certain roles, which will be announced at a later date.
The government will also reduce the period of time non-citizens with degrees from New Zealand universities will need to work in the country before being eligible for a pathway to permanent residence.
More than 126,000 New Zealand residents left the country in 2024, and more than half of those were New Zealand citizens—a substantial outmigration for a country with just 5.3 million inhabitants. Many of those left because of faltering economic opportunities after the country’s central bank raised interest rates to slow inflation, which in turn dried up the job market and reduced overall GDP.
Earlier this year, New Zealand relaxed visa rules to allow remote workers to do work for companies outside New Zealand while on short residencies without the need for an additional work visa, provided they come from one of 60 countries, including the United States.
Also relaxed were the requirements for New Zealand’s Active Investor Plus Visa—also known as the “Golden Visa,” which allows a fast track to permanent residency with a substantial investment. The English fluency requirement was removed, investment levels were lowered, and the amount of time visa holders would need to spend in the country before applying for permanent residency under the program was reduced from three years to three weeks. Following the rule changes, a surge of applications were received—many of them from Americans.
Some in New Zealand’s business communities welcomed the new visa rules, agreeing that they would make it easier for non-citizens to keep jobs they already have, contributing to New Zealand’s economy. However, New Zealand First, a right wing populist party, a small partner of the coalition government led by the center-right National party, pushed back on the move, saying that making it too easy to gain New Zealand Citizenship could make the country attractive to foreign workers who actually prefer to live and work in Australia, noting that a significant number of the New Zealand citizens who emigrate to Australia each year were not born in New Zealand. NZ First currently holds eight seats in the New Zealand House of Represenatives, or just under 7% of the seats.
It’s worth noting that the pathways to permanent residence do not alter the requirements for gaining New Zealand citizenship. New Zealand citizens can live, work, and study in Australia indefinitely using a special subclass of visa, and gain Australian citizenship after four years without separately applying to become an Australian permanent resident. Australia’s economy has continued growing in recent years, in contrast to that of New Zealand.
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