Hong Kong reports Visitor Arrival Figures for April 2005

Strong performances from regional and long-haul markets helped boost Hong Kong visitor arrivals in April 2005 to 1,943,470, an 11.9% increase on the figure for the same month in 2004. The increase takes the cumulative total for the first four months of 2005 to 7,413,380, 11.1% higher than for the equivalent period in the previous year.

All major regional markets showed growth over April 2004 arrivals, with double-digit increases seen from the Americas (144,912, 17.5%), Europe, Africa and the Middle East (186,577, 30.9%), Australia, New Zealand and South Pacific (52,753, 30.8%) and South and South East Asia (215,337, 19.1%). Contributing to these positive results were the staging of several major trade fairs in Hong Kong during the month, and attractively priced packages and airfares from South East Asia and Australia.

Arrivals from China increased by 8.6% to 987,091, and from North Asia by 8.5% to 137,636, while the 183,531 visitors from Taiwan represented a modest 3.8% increase on the same month in 2004.

Hong Kong Tourism Board (HKTB) Executive Director Clara Chong noted the continued strong demand for travel from most regional and long-haul markets, keeping Hong Kong well on track to meet its forecast arrivals growth of 7.3% for the year. “The continued robust performance from markets such as Singapore, the Philippines, Thailand, Malaysia, Korea and Australia, as well as the USA and UK, is especially noteworthy in what is traditionally a lower season for travel to Hong Kong, and it reflects our efforts to maintain a balanced portfolio of visitors from all key markets. We’ll continue to work closely with our local and overseas travel partners to maintain the momentum in months to come, using popular promotions like our 2005 Hong Kong Shopping Festival,” she said. 

“From the Mainland, the 8.6% increase in April arrivals follows the slight slowdown in March. To maintain awareness of Hong Kong across the border, we joined in the recent Government-led “Discover the Hong Kong Magic’ road shows to Beijing and Guangzhou. However, we are aware of concerns over the latest consumer trends and developments that may affect overall outbound travel patterns, which continue to warrant our close monitoring and attention.”

Ms Chong added that the recent unveiling of the 2006 Discover Hong Kong Year campaign to more than 250 leaders of the global travel trade and media should lead to increased opportunities for Hong Kong’s tourism industry. “Our trade partners gained in-depth knowledge about Hong Kong’s new products, as well as the surprising variety of existing attractions and experiences. This should motivate our industry partners to create a wider range of packages in coming months.”

Analysis by Markets, April and January–April 2005

Mainland China remained Hong Kong’s biggest source of arrivals in April, its 987,091 visitors representing an 8.6% increase on the figure for the same month in 2004. These positive results followed the slight dip in arrivals in March, largely due to a slackening of demand after the long Lunar New Year break in February, and brought total arrivals for the first four months of 2005 to 4,025,882, a 5.2% increase over 2004. Of April arrivals from the Mainland, 402,954 (40.8%) arrived under the Individual Visit Scheme, while the cumulative 1,767,750 individual travellers from January to April represented 43.9% of all Mainland visitors.

Compared to April 2004, visitors from Taiwan grew by 3.8% to 183,531, bringing the total 2005 arrivals from the island to 685,563, a 4.1% increase over the same period in the previous year. This modest growth brought total arrivals for the first four months to 685,563, 4.1% up on 2004. While same-day in-town arrivals from Taiwan have declined since the opening of SkyPier at Hong Kong International Airport, which enables through travellers to the Mainland to connect to Pearl River Delta ferries without passing through Hong Kong immigration, overnight arrivals from the island have rebounded, with the cumulative total for the first four months of 2005 higher than for the same period in any year since 2001. The forthcoming Hong Kong Shopping Festival is expected to spur further interest in Hong Kong among consumers in Taiwan, a key target market for the promotion.

A further strong monthly increase was seen from South and South East Asia, continuing a positive trend that has been evident since the latter part of 2004. April arrivals reached 215,337, a 19.1% increase over those for the same month in 2004. As in previous months, arrivals from Singapore led the way, increasing by 39.5.% to 42,913 and encouraged by ongoing airfare promotions, affordable packages and the advantageous exchange rate. Thailand was another strong performer (41,010, +30.0%), with visitor numbers boosted at mid-month by the traditional Songkran holiday, while attractively priced mono and multi-destination packages from Indonesia arrivals helped to grow arrivals by 21.2% to 19,943. Cumulative arrivals for January-April from this region reached 714,505, 28.2% higher than for the same period in 2004.

A slackening in demand from Japan, largely related to continued political tension with the Mainland, saw month-on-month growth from North Asia slip to 8.5% during April, with total arrivals of 137,636. Besides reassuring Japanese consumers that Hong Kong remains safe and welcoming, the HKTB continued with a range of scheduled marketing and promotional activities in Japan. The strong awareness of Hong Kong among Korean consumers was maintained by the HKTB’s participation in the Daegu Tour Expo 2005, and April arrivals from the country reached 51,457, a 15.1% increase on 2004. The aggregate growth for the North Asia region in the first four months of 2005 now stands at 30.0%.

Australia, New Zealand and South Pacific remained a strong performer among long-haul region, with April arrivals totalling 52,753, 30.8% higher than for April 2004. Increased seat capacity and competitively airfares helped boost visitors from Australia to 44,119, a 32.7% increase on 2004. These increases brought January-April arrivals for the region to 187,094, 31.1% ahead of 2004.

The best performing long-haul region in April, Europe, Africa and the Middle East provided 186,577 arrivals in April, 30.9% more than in 2004. Italy (+40.9%), France (+36%), and Germany (+30.6%) all posted strong increases, while increased business traffic attending Hong Kong’s three major trade fairs in April boosted arrivals from the region’s largest single volume provider, the UK (42,371) by 19.4%. South Africa continued its very strong performance, its 8,896 arrivals representing a 55.1% increase over the previous year, and bringing the cumulative growth from the beginning of the year to 58.8%. Cumulative arrivals for 2005 from Europe, Africa and the Middle East have now grown by 21.9% over the previous year, with total arrivals standing at 556,029.

From the Americas, the 144,912 arrivals in April represented a 17.5% increase over the same month in 2004. Visitors from the United States and Canada grew by 14.6% (to 102,253) and 19.9% (26,206) respectively, stimulated by low-season marketing campaigns in winter and spring. These helped to push total arrivals from the region in the first four months of 2005 to 497,852, an increase of 18.8% over the previous year.

Same-Day In-Town Visitors

In April, 59.8% of all visitors stayed one night or longer, compared with 61.2% in April 2004. The remaining 40.2% were classified as “same-day in-town” visitors, either returning home or departing for another destination on the same day as arrival – the latter reflecting Hong Kong’s increasing importance as a regional transportation hub. 

Most long-haul visitors stay one night or more, including 74.3% of April arrivals from the Americas, 76.7% from Australia, New Zealand and South Pacific, and 69.2% from Europe, Africa and the Middle East, while 65.6% of arrivals from South and South East Asia were also classified as overnight visitors. In contrast, 24.6% of visitors from Taiwan stayed overnight, as many travellers from the island transit to and from Mainland China or other regional destinations via Hong Kong.

For the first four months of 2005, 62.5% of all visitors stayed for one night or more, compared with 62.7% for the same period in 2004.

Hotel Occupancy

Hotel occupancy across all categories of hotels and tourist guest houses in April was identical to the 2004 figure, at 86%. The highest tariff hotels averaged 85%, while those in the second and third tiers recorded 85% and 88% respectively. Geographically, visitors’ most favoured location was Central/Admiralty, where hotels recorded an occupancy rate of 87%. The average achieved hotel room rate across all hotel categories and districts was HK$1,087, 18.4% higher than in April 2004.

For the first four months of the year, average hotel occupancy stands at 84%, one percentage point lower than for the same period in 2004. The average achieved hotel room rate is HK$941, 20.0% higher than the HK$784 recorded for this period in 2004.

See also: Hong Kong reports Visitor Arrival Figures for March 2005

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