Chinese mobile payment service Alipay reported a surge in outbound and inbound tourism transactions during the country’s weeklong celebration of its National Day last week.
This is seen as proof that consumer confidence is on the rebound following Beijing's large-scale stimulus measures introduced ahead of the annual holiday.
During the first four days of the holiday, 1 to 4 October, the number of transactions made via Alipay in overseas markets surged by 60 percent year on year. Malaysia, South Korea, Thailand, Hong Kong, and Singapore recorded the fastest growth in transaction numbers.
Better consumer confidence
Alipay's Golden Week data reflects signs of recovering consumer confidence in China. Amid weak domestic demand and ongoing deflationary pressures this year, the Chinese government introduced a slate of stimulus measures before the national holiday in an effort to spur spending and investment.
Last year, Chinese travellers made more than 5.9 million outbound trips and 826 million domestic trips during the combined Mid-Autumn and National Day holidays, generating over 753 billion yuan (US$106.5 billion) in domestic tourism revenue, a 1.5 percent increase from pre-pandemic levels in 2019, according to data from the Ministry of Culture and Tourism.
However, official figures for this year's Golden Week remain unavailable as of press time.
Fruitful collaborations
Likewise, Alipay's collaborations with local businesses to offer discount packages helped drive increased spending across sectors such as services, transport, entertainment, food and beverage, and retail.
The online payment platform also reported a 120 percent year-on-year rise in spending by foreign travellers in mainland China during the first four days of the holiday, bolstered by Beijing visa-free policies that have driven inbound tourism.
According to China's largest travel platform, Trip.com, daily bookings from countries including Italy, Malaysia, Russia, and the US have increased more than threefold year on year.
In addition, consumer spending through Tap!, Alipay's contactless tap-and-pay feature launched in July, rose by 130 percent compared to last month, according to Ant Group.
Meanwhile, Alipay's newly introduced AI-powered chatbot, Zhixiaobao, assisted travellers with 20 million interactions during the holiday period.
