The optimization of epidemic prevention measures in the mainland, coupled with the expectation of easing regulation of the Internet industry and the introduction of more stabilizing growth policies, have promoted the continued rebound of A shares and Hong Kong stocks . Domestic demand and automobile stocks benefited from policies to stabilize growth, new economy stocks looked forward to the easing of regulatory pressures, and sectors benefited from the rebound in A-shares, the easing of the epidemic, and the resumption of work and production, and were pushed up by funds in turn. During the Dragon Boat Festival holiday in the Mainland, cross-city and inter-provincial travel picked up significantly and was more active than the Qingming Festival and May Day holidays. The tourism market showed signs of recovery.
According to statistics from the travel platform Ctrip , domestic inter-provincial group tours during the Dragon Boat Festival holiday accounted for nearly 80% of the group tour business. Compared with this year’s Qingming Festival holiday, the increase was more than 20%; compared with this year’s "50%" During the January holiday, sales increased by nearly 10%, the highest in the past three months. In terms of the number of trips, according to interface data calculations, among the four major festivals in the first half of this year, the number of trips during the Dragon Boat Festival holiday in the Mainland was about 27 million, which has recovered to about 87% of the pre-epidemic level in the same period in 2019, and the degree of recovery is higher than this year's Spring Festival. Holidays, Qingming Festival holiday and May Day holiday are preferred.
At the same time, major mainland cities such as Beijing and Shanghai have optimized epidemic prevention measures to further boost the tourism market. Among them, Beijing announced earlier that it would optimize epidemic prevention restrictions, resume public transportation in most areas, and open dine-in services for catering businesses. In Shanghai, the city's scenic spots, hotels, and train stations have also been opened one after another. The demand for various types of travel such as visiting relatives and traveling to and from the local area has increased sharply, driving the tourism popularity in major cities in the Yangtze River Delta.
Low-tier cities have room for growth in the medium term
The market believes that the mainland's return to normal production order and the adjustment of the "circuit breaker" mechanism for inter-provincial travel will be positive for the recovery of the tourism industry. According to data, the travel frequency and expenditure of users in third- and fourth-tier cities in the Mainland are 30% to 40% lower than those in first- and second-tier cities. The data shows that there is still room for growth in low-tier cities in the medium term, and residents are actively planning During the summer vacation, cross-border travel products are very popular, stimulating the tourism and hotel stocks to rebound again. According to Ctrip booking data, in recent weeks, the number of inter-provincial group tour bookings during the summer has increased by 2.9 times on a weekly basis; inter-provincial hotel bookings during the summer have increased by 151% on a weekly basis; and the group's "air tickets + hotels", the average daily order volume this month has exceeded the same period last year. As the summer vacation and "July 1st" approach, red tourism has heated up significantly. The number of tourists visiting red tourist attractions in June showed double-digit growth compared with May. During the period, more than 100,000 people booked tickets for summer red tourist attractions through the group's platform. The quantity increased five times compared with May.
In addition, the group has recently officially launched the two-week "626 Flying Festival", uniting 64 airports across the country, more than 30 mainland airlines and 19 international airlines to provide users with major travel benefits during the summer peak season. The group also launched multiple benefits such as ultra-low-price air tickets, value-for-money business class cards, one-way and round-trip cards, multi-person packages, lounge access cards, etc. The products cover the entire summer to and mid-autumn periods, and will be expanded during the period. Consumption promotion activities are aimed at attacking the tourism market this summer. I believe that we can start with a weak drink to stimulate business growth. It is recommended to wait and absorb at a lower price. (The author is a licensed person with the China Securities Regulatory Commission. I and/or my associates do not have financial interests in the above issuers or new listing applicants)
The articles in this section are the personal opinions of the author and do not represent the position of this newspaper.
