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Hainan savors retail tourism boom

China Daily | Updated: 2025-04-19 00:00
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HAIKOU — Driven by booming tourism, innovative policies and robust retail growth, China's island province of Hainan is rapidly becoming a vital domestic and international consumption destination, said a white paper released during the 5th China International Consumer Products Expo.

"The 2025 Hainan Travel Retail White Paper" was jointly released by KPMG China and the Moodie Davitt Report at the 5th Global Consumption Innovation & Duty Free and Travel Retail Exchange Event. Part of the CICPE, the event convened industry leaders, policymakers and international brands to explore opportunities in retail tourism and the island's pioneering economic reforms.

The white paper underscored that Hainan's tourism revenue has grown steadily in recent years, supported by dynamic shifts from traditional retail to new consumption models and the expansion of duty-free shopping.

Since the start of 2024, the island province has introduced multiple measures to strengthen its appeal to international visitors, positioning itself as a high-quality tourism market competing on the global stage.

A key insight from the white paper is the dominance of younger consumers in Hainan's retail tourism sector, with travelers born in the 1990s and 2000s accounting for over 50 percent of Hainan's tourists in the first three quarters of 2024.

These tech-savvy, trend-conscious consumers prioritize diverse shopping experiences, fueling demand for cosmetics, skincare, luxury goods and electronics.

"The preferences and purchasing power of young consumers are redefining Hainan's retail landscape," noted the report.

The province's investment in introducing new tourism methods has further attracted this demographic, offering retailers a roadmap for future growth.

At the governmental level, Hainan is leveraging institutional innovations to enhance its business environment and boost fair competition within the free trade port framework. Marketwise, the island is advancing its international profile by tapping into China's accelerated opening-up of the tourism industry and expansion of the global travel market.

The white paper emphasized Hainan's dual role in attracting domestic high-spending tourists and boosting overseas consumption, solidifying its status as a global tourism and retail nexus.

Xinhua - China Daily

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