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The Honolulu Advertiser
Posted on: Monday, November 30, 2009

Chinese most coveted tourists


By Herbert A. Sample
Associated Press

Hawai'i, California and Las Vegas are among American tourist destinations vying fiercely for a vast and largely untapped new market segment.

Yes, to be a Chinese tourist these days is to be a widely sought traveler.

Hawai'i has beaches and its famed "aloha spirit" as its siren call. Las Vegas offers gambling and its entertainment-oriented attractions. San Francisco boasts high-end shopping.

Beset by one of the worst recessions in decades, the U.S. destinations are spending significant sums on marketing campaigns in China's most populous regions, and are urging U.S. Embassy officials and Chinese airlines to make it easier to fly to the U.S.

The payoff could be substantial — particularly in Hawai'i, the closest U.S. destination to China but which is, at least for now, harder for the Chinese to reach by air.

"It could be huge" for Hawai'i, said Ted Sturdivant, who publishes a Hawai'i travel guide for Chinese, Japanese and other foreign tourists.

Attracting more Chinese tourists "will bring back a lot of jobs" to Hawai'i, Gov. Linda Lingle said recently, after returning from an economic mission to China.

About a half-million Chinese traveled to all U.S. destinations last year, and that number is expected to grow by double digits in each of the next four years mainly because of China's growing economy and new wealth, according to the U.S. Travel Association. Tourism officials note that the Chinese middle and upper classes each rivals the size of the entire U.S. population, so luring just a fraction would produce huge numbers.

"Everybody looks at China and sees a country with 1.3 billion people and a growing economy, and they say, 'Oh my God, it's the greatest travel market that ever was,' " said Frank Haas, an instructor at the School of Travel Industry Management at the University of Hawai'i.

Hawai'i's tourism market has generally been propped up by two regions — the U.S. West Coast and Japan. Both market segments declined this year, as did the number of Chinese visitors.

To lure the Chinese, the Hawai'i Tourism Authority has budgeted nearly $2.7 million this fiscal year for marketing there and in South Korea, said David Uchiyama, the HTA vice president of marketing. That includes $447,000 to participate in Shanghai's World Expo 2010, which begins in May.

Hawai'i officials are counting on the Chinese not to be frugal. Chinese travelers spend more than counterparts from any other country — about $7,200 per person per trip, according to the U.S. Commerce Department.

At the request of the Hawai'i Tourism Authority, Kapi'olani Community College has begun offering classes in basic Chinese phrases and customs to travel industry workers.

"What we're really doing with China is sort of just scratching the surface a little bit deeper ... and (trying) to get to the level of comfort we presently have with our Japanese visitors," said Barry Wallace, executive vice president for Outrigger hotels.