Anita Chan's presentation to the Travel Daily GM Summit 3 August 2018 @ Park Hyatt Bangkok

1. ANITA CHAN
CEO,COMPASSEDGE

2. CHINA ■ LUXURY
TRAVELERS ■ ONLINE ■ HOTELS
GM Executive Summit 2018
Anita Chan
CEO, Compass Edge

5. Luxury Travelers Demographic
Don’t get overly distracted by “Chinese Millennials” yet

6. Affluent Chinese tourists are the world’s top luxury
consumers

7. Average Nightly Hotel Budget
74% spent over USD300 per night
(1000 RMB = 150 USD)

8. Amenities Affluent Chinese Spend on Most
52% On-Site Dining

9. Factors Considered when Choosing Hotels
25% said Reflecting Local Culture

10. Choice of Itinerary (by Luxury Travelers)
Now only 23% fully customized packages, 17% self-planned

11. Mode of Travel is changing
40% Custom Designed, 37% Self-Planned

12. 72% of Chinese are influenced by what they see
online

13. Chinese plan their trips with online resources
54% from social media, higher than travel websites

14. AliPay & WeChat Pay still as important for Chinese
Luxury Travelers

15. Now, this is why everyone wants to target
Chinese Millennials

16. Millennials Vs Non-Millennials
More Ad-hoc, go as they wish

17. Chinese Tourists Concerns
#1 Safety

18. What are Chinese interested in?
Local experiences!

19. Why Technology is Attractive
15% aims to enhance social media profile

21. Origins of ChatBots

22. Alibaba used AI to create 400 million customized
banner ads, 60 billion personalized pages in 1 day

23. China’s Airbnb (Xiaozhu) & now Marriott
introduces Facial Recognition Check-In

24. Ctrip’s VTM acts as “tour guide” for Chinese
FIT travelers

25. Starbucks uses AR to blend online & in-store
retail experience

26. While we are still amazed “no need for wallet, you only need a
phone”, in China soon there is “no need for a phone, you just need a
happy face”

27. Here’s what happened in 60 seconds in China

28. Doesn’t look familiar?
China has its own “western-equivalent” on
everything

29. And a huge “blocked” list followed

31. People Buy From People They Trust

32. Customization is the new gold standard for
Chinese luxury travel

33. Chinese become more adventurous

34. Attract by social cachet of visiting places others
haven’t. For bragging rights on social media to
show they have been to somewhere exotic

35. The Edge-eneration pushing boundaries

36. The Chinese Travelers Journey

37. Social e-commerce is converging

38. Brand Visibility Remains Real Challenge

39. Chinese Millennials got hooked on short video
apps like Douyin (Tik Tok)

40. Live-streaming is hot

41. O2O (online to offline) marketing is critical in
China

42. Post-00’s see no difference between home-grown
and foreign brands

43. Social Media Marketing Cost in China is higher
than the West

44. KOL (Key Opinion Leaders) are outrageously
expensive

45. Top 10 Trends on Digital Marketing in China

47. China Shuts Down Marriott’s Website because of one
“minor” oversight

48. Marriott JV with Alibaba
Just launch Super Brand Day on Tmall & Marriott’s Storefront
on Fliggy

49. Ctrip & Accor Hotels expand partnership to tap
into Ctrip’s 300M registered users

50. Hyatt collaborates with Ctrip to open first flagship
store in China

51. Compass Edge co-founded LN Hotel Alliance
with Ling Nan Hospitality, China Southern
Airline & GZL Travel Services to tab into
46M+ loyalty members

52. Google Invested $550M in JD.com

53. Meituan beats Ctrip in hotel bookings in March
2018

54. Luxury brands like Louis Vuitton exclusively cut
prices for the China market

55. Luxury brands like Chanel will test and run
campaign on new China social platform which
may not seem to be a fit for the luxury market

57. Being in China is often more important than
making money in China

58. Establish a good localised branding presence in
China first

59. Limited budget? We put our bet on influencers
(KOL) marketing

60. No budget? Do Weibo right!

61. More tips to maximize China social media reach when you
have no budget

62. Next, honesty you won’t like…
Don’t expect direct bookings to cover your China
marketing costs

63. Work with the key China OTAs

64. Still want direct bookings?
Suggestions on how to strike the balance between OTA & Direct
Booking

65. Use the right Metrics to make right decisions for China
marketing
e.g. SEM is there but not that relevant

66. Luxury Brands still struggle to crack the China market but no
companies can ignore this market. Final suggestion – Act now or
it will be too expensive to get even a basic presence later

67. Compass Edge
A cost-effective trade agency leading your China Journey