China was the first country hammered by the health crisis (COVID-19), so the China Hotel Industry was the first to see the outcome. With strict travel constraints in various parts of the Chinese mainland, the hotel business was severely staggered in the absence of inbound tourists in 2019. However, during the year 2020, China saw turbulence for China hotel industry from the dark moment to the glowing moment. Though the current international epidemic situation is still severe, the country has entered a normalization stage of epidemic prevention. According to the publisher new report, China Hotel Market is expected to reach USD 131.15 Billion by 2027
Consumers Preferring Online Hotel Booking over Offline Medium
Notwithstanding, in China, By Ordering Platform the market constitutes Online Hotel Market and Offline Hotel Market. The online hotel market targets various consumer groups with different behaviour types with an offer that equates to their demands and budget level. With the progression in technology, the online hotel market is soaring at a fast pace. On the other hand, COVID-19 has accelerated the digitization of the travel agent model; creating more shop closures as in-store agencies switch operations online, creating the downfall of the country's offline hotel booking market
As per this report, post-COVID-19 recovery, the China Hotel Industry will grow with a double digit CAGR of 12.47% during 2020-2027
By Hotel Type, the China Hotel Market revolves around High-End Hotel, Mid-Scale Hotel, Budget Hotel and Luxury Hotel. By reviewing the hotel industry dynamics amidst the pandemic, hotels in budget and mid-upper scales are more resilient to recovery. The budget hotels and mid-upper scales mainly provide local services were more prone to recovery than post-COVID policies, and people could not travel too far away from home. Therefore, the overall recovery effect is the best when combined with the rise of surrounding tours. However, Mid-Scale hotels benefit a considerable amount from the recovery of meeting, incentive, conference and exhibition (MICE) services in China because they offer affordable prices and quality services during the pandemic
Although the pandemic has hit hard in the hospitality industry worldwide, but with the large-scale vaccination, China hotel industry is gradually recovering. The impact among cities was uneven. For instance, among the cities in China, in Beijing because of the pandemic, the number of international visitor arrivals plummeted in 2020. Consequently, in 2020, the average occupancy rate of five-star hotels in Beijing dropped significantly in 2019.
Similarly, in Shanghai, international visitor arrivals decreased sharply in 2019 compared to the figures of 2020. Business travellers gained up the lion's share of total visitor arrivals because of stringent entry quarantine restrictions. The average occupancy rate of five-star hotels in 2020 plunged to the lowest, especially in February and March. It was also the first time in the past four years that the ADR of five-star hotels dropped
Road to Recovery: Second Half of 2020 China Hotel Market
However, things started to change in the second half of 2020, compared to the rest of the world. The local tourism market steadily rebounded in the second half of 2020, boosting the recovery of the hotel sector. Even though the pandemic affects globally, luxury hotels were opened in Shanghai in 2020. Also, new luxury hotels were opened in Beijing in the second half of 2020. The US-based Hilton Hotels recommenced its quick expansion in China even during the pandemic. Moreover, the group opened two upscale hotels in Beijing in 2020: The Hilton Beijing Daxing and the Hilton Beijing TongzhouBeitou
Hence, it can be concluded that although the COVID-19 pandemic has caused devastating disruption to the travel and hospitality industry across China, leading to unprecedented economic and social consequences. Since the second half of 2020, the hotel market in China has shown signs of recovery gradually. As per our analysis, the hotel industry has been observed on a growth track during the study period. Home-grown hotel companies primarily dominate the hotel industry in China. Domestic brands and their chains cover the total market in the country. Our research findings show that China Hotel Market Size was USD 57.62 Billion in 2020.
Key Hotels Performance in China
The key players in China Hotel Market studied in the report are Huazhu Hotels Group Ltd, Zhejiang New Century Hotel Management Co. Limited, Shanghai Jin Jiang International Hotels (Group) Company Limited, Jinmao Hotel and Ctrip. The industry is expected to expand with several new openings, mergers and acquisitions, which will enhance the market value and result in more revenue generation
This report titled “China Hotel Market & Forecast by Type (High End Hotel, Mid-Scale Hotel and Budget Hotel), Platform (Online and Offline), City (Beijing, Shanghai, Guangzhou, Shenzhen, HongKong, Macau,), Companies (Huazhu Hotels Group Ltd, Zhejiang New Century Hotel Management Co. Limited, Shanghai Jin Jiang International Hotels (Group) Company Limited, Jinmao Hotel and Ctrip)” provides a complete analysis of Chinese Hotel Industry
Hotel Type - China Hotel Market has been covered from 3 viewpoints:
1. High End Hotel
2. Mid-Scale Hotel
3. Budget Hotel
Ordering Platform - China Hotel Market has been covered from 2 viewpoints:
1. Online Hotel Market
2. Offline Hotel Market
Beijing - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
Shanghai - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
Guangzhou - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
Shenzhen - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
Hong kong - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
Macau - Five Star Hotel Status has been covered from 4 viewpoints:
1. Room Average Daily Rate (ADR)
2. Occupancy Rate
3. Room Stock
4. International Visitors in City
All companies have been covered from 3 viewpoints:
1. Overviews
2. Recent Initiatives
3. Hotel Revenue
Company Analysis:
1. Huazhu Hotels Group Ltd
2. Zhejiang New Century Hotel Management Co. Limited
3. Shanghai Jin Jiang International Hotels (Group) Company Limited
4. Jinmao Hotel
5. Ctrip
Table of Contents
Companies Mentioned
- Huazhu Hotels Group Ltd
- Zhejiang New Century Hotel Management Co. Limited
- Shanghai Jin Jiang International Hotels (Group) Company Limited
- Jinmao Hotel
- Ctrip
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
LOADING...
