AAT Kings plots China strategy

AAT Kings plots China strategy
By admin


AAT Kings is two months from drawing up a strategy to tackle the China market as the operator praised the Chinese Government for clamping down on low costs tours which rip-off tourists.

The China Tourism Law, which came into effect on October 1, is designed to rid the market of Chinese operators who offer low-cost tours but then effectively force clients to visit specific duty-free retailers. They also charge people for everyday activities such as walking on the beach.

AAT Kings managing director, Anthony Hayes, described the clean-up as “the greatest thing that has happened to the China market”.

While the eradication of cheap tours being sold in China has already led to a dip in arrivals to Australia, medium and longer term benefits will emerge, Hayes said.

Rather than returning to China after a shoddy holiday of enforced duty-free visits and purchases, they will enjoy a quality Australian experience and return home with positive stories.

That, in turn, could benefit AAT Kings – and other Australian operators – who are trying to tap into the potentially lucrative Chinese market.

“If the Chinese Government can clean up these duty free tours then fantastic,” Hayes said. “And if that means a slowdown in growth then fine. I think it’s the greatest thing that has ever happened to the China market.”

Hayes said AAT Kings was continuing to develop relationships in China ahead of finalising its strategy.

Among the scenarios could be the development of tours specifically for the Chinese. But Hayes stressed that while half the major agents in China favour that approach, just as many believe their clients want to travel on tours with westerners.

“There are five different ways we could do it and we are about two months away from finalising the strategy,” Hayes said.

AAT Kings approach to the market will form part of discussions with The Travel Corporation president and chief executive Brett Tollman who is in Australia this week.

Meanwhile, Hayes thanked the hapless England cricket team after their capitulation in the Sydney test match saw thousands of fans with time on their hands.

The five-day match ended on day three, leaving two cricket-less days to fill – and AAT Kings was happy to plug the unexpected gap in their itinerary.

“It was great for us,” Hayes said. “We had to put on extra departures because there were so many cricket fans in town who had planned to be at the cricket.  City tours and the Blue Mountains did really well.” 

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