Your Friendly Guide to Hong Kong's Tourism Industry!
Hey everyone! Welcome to your study notes for "The Local Tourism Industry". Ever wondered why so many tourists visit Hong Kong? Who are they, what do they do, and who are the important people and organisations making sure Hong Kong remains a top travel spot? That's exactly what we're going to explore!
Understanding our local tourism industry is super important because it's a huge part of Hong Kong's economy and affects many jobs. Don't worry if it seems like a lot – we'll break it all down into simple, easy-to-understand parts. Let's get started!
Section 1: A Snapshot of Tourism in Hong Kong
First, let's look at the tourists themselves. Who comes here, and what do they do?
Who Visits Hong Kong and Why? (Purposes of Visit)
People who travel into a country are called inbound tourists. They come to Hong Kong for many reasons:
• Leisure / Holiday: This is the most common reason! These tourists come for sightseeing, shopping, eating, and enjoying attractions like Disneyland or Ocean Park. (Think of families taking photos at The Peak!)
• Business: These visitors come for work, like attending meetings, conferences, or trade fairs at the Hong Kong Convention and Exhibition Centre (HKCEC).
• Visiting Friends and Relatives (VFR): Many people come to visit family or friends who live in Hong Kong. They might stay with their relatives and get a real "local" experience.
What Do Tourists Spend Their Money On? (Spending Patterns)
Tourist spending is vital for our economy. The main things they spend on are:
• Shopping: Hong Kong is famous as a "shopping paradise"! Tourists buy everything from luxury goods to cosmetics and electronics.
• Accommodation: Money spent on staying in hotels, guesthouses, etc.
• Meals: Spending on food and drinks, from fancy restaurants to local dai pai dongs.
Understanding Our Visitors: The Inbound Tourist Market
To attract tourists effectively, the industry groups them into different segments. This is called market segmentation. It's like sorting students into different classes based on their subjects. Let's look at the four main ways to do this.
1. Geographic Segmentation (Where do they come from?)
This is simply grouping tourists based on their home country or region.
Examples:
• Mainland China
• Southeast Asia (e.g., The Philippines, Thailand)
• North America (e.g., USA, Canada)
• Europe (e.g., UK, France)
Did you know? The largest number of visitors to Hong Kong comes from Mainland China. They are our most important geographic market!
2. Demographic Segmentation (Who are they?)
This groups people based on statistical data about them. Think of it like the information on a survey form.
• Age: e.g., Young adults, middle-aged, seniors.
• Gender: Male, female.
• Income Level: e.g., High-income, middle-income.
• Occupation: e.g., Student, professional, retired.
For example, a marketing campaign for a luxury hotel would target high-income professionals, not students.
3. Psychographic Segmentation (What are they like?)
This is a bit more complex. It groups tourists based on their personality, lifestyle, values, and interests. It's about how they think and live.
Examples:
• Thrill-seekers: People who love adventure and excitement.
• Cultural explorers: People interested in history, museums, and local traditions.
• Luxury lovers: People who enjoy fine dining, 5-star hotels, and high-end shopping.
• Eco-tourists: People who are environmentally conscious and enjoy nature.
4. Socio-economic Segmentation (What's their social status?)
This is a mix of social and economic factors, mainly looking at someone's income and social class. It often overlaps with demographic segmentation but gives a clearer picture of a tourist's spending power and tastes.
Examples: High-income luxury travellers, middle-class families on a budget holiday, or student backpackers.
Key Takeaway for Section 1
Quick Review: Hong Kong's inbound tourists visit mainly for leisure, business, or VFR. They spend most of their money on shopping. We can understand them better by grouping them by Geography (where they're from), Demographics (who they are), Psychographics (what they like), and Socio-economic status (their social and financial standing).
Section 2: The Key Players: Who Runs Hong Kong's Tourism?
Hong Kong's tourism industry doesn't just run by itself! There are important government bodies and organisations working behind the scenes. Let's meet the team.
The Government's Big Role
The Hong Kong SAR Government plays a major part in tourism. Think of it as the overall manager. Its role can be remembered with the acronym PCOP.
1. Planning (The Architect)
The government creates long-term plans and policies for tourism development. For example, planning new attractions like the Kai Tak Cruise Terminal or enhancing existing ones like the Symphony of Lights.
2. Control (The Referee)
The government sets rules and regulations to ensure quality and safety. For example, it passes laws for licensing travel agents and tour guides to protect tourists.
3. Ownership (The Landlord)
The government sometimes owns and manages tourist facilities. For example, public museums, country parks, and major venues like the AsiaWorld-Expo are government-owned.
4. Promotion (The Cheerleader)
The government provides funding and support to promote Hong Kong to the world. It gives money to organisations like the Hong Kong Tourism Board to run advertising campaigns overseas.
Memory Aid! Remember the government's four roles with PCOP:
Planning
Control
Ownership
Promotion
Meet the Official Team: Key Organisations
These are the four main organisations you MUST know for your exam!
1. Tourism Commission (TC)
• Who they are: A government body, part of the Commerce and Economic Development Bureau.
• What they do: They are the strategists. They develop and coordinate the government's tourism policies. They work with other government departments to make sure tourism projects run smoothly.
• Simple Analogy: The TC is like the school principal. It doesn't teach the classes, but it sets the overall strategy, policies, and direction for the whole school.
2. Hong Kong Tourism Board (HKTB)
• Who they are: A statutory body (an organisation set up by government law to do a specific job, but it's not a government department).
• What they do: They are the marketers. Their main job is to promote Hong Kong as a travel destination to people all over the world. They run ad campaigns and organise mega-events (e.g., the Hong Kong WinterFest).
• Simple Analogy: The HKTB is the school's promotion team. They create amazing websites, videos, and brochures to convince students from all over the world to come and study at their school.
3. Travel Industry Council of Hong Kong (TIC)
• Who they are: An organisation made up of people from the travel industry itself. It is a self-regulating body.
• What they do: They are the watchdogs. They set rules for travel agents, handle complaints from tourists, and work to improve service quality in the industry. For example, they make sure tour groups are not forced into shopping.
• Simple Analogy: The TIC is like the student disciplinary committee. It's run by the industry (students) to make sure everyone follows the rules and behaves properly, protecting the school's reputation.
4. Hong Kong Hotels Association (HKHA)
• Who they are: A professional organisation representing hotels in Hong Kong.
• What they do: They are the team captain for hotels. They speak up for the hotel industry's interests, promote high standards, and provide training and information to its members.
• Simple Analogy: The HKHA is like the captain of the school's sports team. The captain speaks on behalf of all the players (hotels) and helps them work together to win.
Key Takeaway for Section 2
Quick Review: The government's role is PCOP (Planning, Control, Ownership, Promotion). The four key players are the Tourism Commission (strategist), HKTB (marketer), TIC (watchdog), and HKHA (team captain for hotels).
Section 3: A Special Kind of Tourism: The MICE Sector
There's a very important and high-value part of tourism called MICE. It's not about the small animals! Let's see what it really is.
What on Earth is MICE?
MICE is an acronym that stands for a specific type of business tourism:
• Meetings: A gathering of people from the same company for a specific purpose. e.g., A company's annual sales meeting held in a hotel ballroom.
• Incentives: A travel reward given to employees by their company for excellent performance. It’s a holiday that's a prize! e.g., A company sending its top 50 salespeople on an all-expenses-paid trip to Hong Kong.
• Conventions (or Conferences): A large-scale meeting for people from a particular industry or profession. e.g., A global conference for thousands of doctors to share new medical research.
• Exhibitions (or Events): Also known as trade fairs or expos, where companies showcase their products and services to the public or other businesses. e.g., The Hong Kong Book Fair or the Ani-Com & Games convention.
Why is MICE so Important for Hong Kong?
MICE tourism is a big deal for a few key reasons:
• High Spending Visitors: MICE travellers usually spend more money per day than leisure tourists because their company often pays for their expenses.
• Fills the Off-Season: MICE events are often held during the weekdays or non-holiday periods, which helps hotels and airlines stay busy when leisure travel is low.
• Boosts Hong Kong's Image: Hosting major international conventions and exhibitions makes Hong Kong look like an important, professional global city.
• Helps Many Industries: A big MICE event needs support from hotels, airlines, restaurants, event organisers, and tech companies. It creates jobs across many sectors.
How Different Sectors Host a MICE Event
Hosting a MICE event is a team effort involving the whole tourism industry:
• Accommodation: Hotels provide rooms for all the delegates to stay in.
• Transportation: Airlines fly delegates in, and coaches and MTR get them around the city.
• Attractions: Offer pre- or post-conference tours for delegates and their families.
• Supporting Infrastructure: This includes the physical venues like HKCEC and AsiaWorld-Expo, plus the professional event planners who organise everything.
The MICE Planning Process (A Simple Guide)
Organising a MICE event is a huge task! The syllabus just wants you to know the basic process, which can be broken into three main stages:
1. Planning: This is the "idea" phase. You decide the event's goals, target audience, date, and budget. You do research to see if the idea is feasible.
2. Organising: This is the "getting ready" phase. You book the venue, hire staff and suppliers, start marketing and selling tickets, and arrange all the logistics like transportation and accommodation.
3. Implementing: This is the "go live" phase. It's the actual execution of the event. This involves managing everything on the day, solving any problems that pop up, and making sure the delegates have a great experience.
Key Takeaway for Section 3
Quick Review: MICE stands for Meetings, Incentives, Conventions, and Exhibitions. It's a valuable form of business tourism because MICE travellers spend more and help boost Hong Kong's global image. Hosting a MICE event requires teamwork from all tourism sectors. The planning process involves three steps: Planning, Organising, and Implementing.