{"id":33716,"date":"2020-01-29T16:46:08","date_gmt":"2020-01-29T13:46:08","guid":{"rendered":"http:\/\/192.163.207.100\/~timesku1\/news\/?p=33716"},"modified":"2020-01-29T16:46:08","modified_gmt":"2020-01-29T13:46:08","slug":"uae-businesses-lose-sales-from-high-spending-chinese-tourists","status":"publish","type":"post","link":"https:\/\/timeskuwait.com\/news\/uae-businesses-lose-sales-from-high-spending-chinese-tourists\/","title":{"rendered":"UAE businesses lose sales from high-spending Chinese tourists"},"content":{"rendered":"
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UAE\u2019s luxury retailers are feeling the pinch after a drastic reduction in big-spending Chinese tourists hitting their stores.<\/p>\n<\/div>\n

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\u201cChinese shoppers make up 40 percent of the global market for luxury goods, both bought within their country and during their travel outside,\u201d said a senior official with one of Dubai\u2019s leading luxury groups. \u201cEven if only 5 percent of that spending happens at UAE stores, that\u2019s still a significant amount.<\/p>\n<\/div>\n

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\u201cThe virus outbreak and restrictions on travel is hurting sales to Chinese buyers in the last couple of weeks. It\u2019s not going to be easy making up for that lost sales.\u201d<\/p>\n

The local retail sector was expecting a surge in tourist arrivals from the Mainland to make the Chinese New Year, which was marked on January 25. While no official data is out about this month\u2019s intake, industry sources say tour cancellations have been heavy.<\/p>\n<\/div>\n

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Retail sector sources estimate the drop as being in the range of 40-50 percent compared to the same time last year. To put this in context, data from Department of Tourism and Commerce Marketing from the first quarter of 2019 show that 291,662 Chinese visitors came to the city. This was attributed to Dubai\u2019s \u201cChina Readiness\u201d strategy.<\/p>\n<\/div>\n

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Dubai\u2019s fabled Gold Souq too has seen little of Chinese buying activity during the month. \u201cThankfully, buying by Indian tourists helped to make up for the Chinese drop,\u201d said a jewellery retailer.<\/p>\n<\/div>\n

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Sources in the city\u2019s hotel sector were also echoing retailers\u2019 views. During their New Year, the Chinese tend to travel in sizeable groups. So, when the cancellations come, they are not confined to a few. \u201cAfter a good third quarter, it was vital that hotels in Dubai managed a solid January performance,\u201d said a hotel operator. \u201cNow, with the virus, the performance will come in as less than healthy.\u201d<\/p>\n<\/div>\n

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Tour operators in distress<\/h3>\n<\/div>\n
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AFC Holidays on Tuesday had cancelled its holiday packages to China, South Korea and Japan following the news of the Coronavirus spread.<\/p>\n<\/div>\n

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Premjit Bangara, General Manager at Sharaf Travels, said four of his clients have asked for a re-route. \u201cThey were travelling from Dubai to Vancouver via Hong Kong. They asked for their tickets to be re-routed via an European destination.<\/p>\n<\/div>\n

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\u201cFor us as a company, China is not a busy destination at this time. But yes, whatever little interest we used to see for the sector is now practically gone.\u201d (But UAE based airlines continue to operate flights to Chinese cities; at this moment in time, they said there are no cuts to schedules.)<\/p>\n<\/div>\n

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Hard done by<\/h3>\n<\/div>\n
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According to Naseer Khan, Travel Manager at Kanoo Travels, flight reservations to Beijing, Shanghai and Guanzahou are at a standstill. The Chinese sector contributes 5 percent of the company\u2019s tourism revenues.<\/p>\n<\/div>\n

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\u201cThis has been impacted following the news of the Coronavirus – and this translates to a loss of revenue. Each month we do 200 to 300 flight bookings and hotel reservations to China from UAE. They are mostly business travellers. Now that is not happening.\u201d<\/p>\n<\/div>\n

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Khan also said the whole of January had been about receiving several updates from their clients and airlines regarding travel advisories to China and Hong Kong.<\/p>\n<\/div>\n

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\u201cFollowing the outbreak, we started receiving updates from airlines,\u201d he added. \u201cA lot of our clients are business travellers and they started sharing their travel advisories which they received from their security teams. We have been seeing a decline as a result of bookings to China and Hong Kong.<\/p>\n<\/div>\n

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\u201cThen the news from airlines came about screening travellers to and from China. We are keeping our customers updated. Traffic to China from UAE has practically come to a standstill. There has been no new travel request.\u201d<\/p>\n

Source: Gulf News<\/em><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

UAE\u2019s luxury retailers are feeling the pinch after a drastic reduction in big-spending Chinese tourists hitting their stores. \u201cChinese shoppers make up 40 percent of the global market for luxury goods, both bought within their country and during their travel outside,\u201d said a senior official with one of Dubai\u2019s leading luxury groups. \u201cEven if only […]<\/p>\n","protected":false},"author":1,"featured_media":33717,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3090,2,19],"tags":[],"class_list":["post-33716","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-coronavirus","category-featured","category-regional"],"yoast_head":"\nUAE businesses lose sales from high-spending Chinese tourists - TimesKuwait<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/timeskuwait.com\/news\/uae-businesses-lose-sales-from-high-spending-chinese-tourists\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UAE businesses lose sales from high-spending Chinese tourists - 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