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Club Med resorts to reopen ‘One By One’ starting in China, Fosun Tourism CEO says

2020/4/18 16:04:00
As China gradually lifts its containment measures, Atlantis Sanya on the country's popular Hainan Island reopened for business on March 28 with an occupancy rate of 70%. The majority of those guests were from outside Hainan, mainly Shanghai, Hangzhou, Nanjing, Guangzhou and Chengdu.

The early indications look promising to Jim Qian, executive chairman and CEO of Hong Kong-listed Fosun Tourism Group, which owns Atlantis Sanya and Club Med.

First, Chinese travelers are showing they have an appetite for travel, having been recently deprived of their Lunar New Year holidays and family weekend getaways. Second, the local market is now much bigger. Qian says the domestic travel market, which was already generating substantial demand, has been bolstered by some 120 million to 140 million outbound travelers who cannot go abroad due to travel restrictions. Joining them are Chinese students who have returned home and also want to travel.

While the 1,314-room Atlantis reopening is certainly a positive sign, the major income earner for Fosun Tourism is by far Club Med. The resorts chain generated 13.2 billion yuan ($1.9 billion) in revenue last year, compared with Atlantis' revenue of 1.3 billion yuan. But Club Med villages worldwide have been closed since March because of the virus. The chain has 66 resorts in 40 countries.

Fosun Tourism reported last month that overall revenue grew 6.6% to 17.3 billion yuan last year, while its net profit nearly doubled to 608.7 million yuan.
Author:管理员

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