China’s Golden Week and its impact on Singapore

China’s Golden Week (黄金周) is an annual national holiday to celebrate the founding of the People’s Republic of China. This year, the holiday was held from the 1st to 7th October.

During this time, locals often take the chance to travel, sending waves of Chinese tourists to nearby cities and countries around the world. The rise in Chinese tourist numbers is especially noticeable in popular locations such as Japan, Thailand and South Korea. Figures from the Civil Aviation Administration of China showed that the number of Chinese passengers who travelled by air during the Golden Week holiday totaled to 9.96 million – almost twice of Singapore’s total population! However, this is just a small share of the pie. While official figures have yet to be released, Ctrip published a travel report expecting 589 million Chinese travelers to spend 478 billion yuan during this period.

 

At the same time, retailers compete to lure Chinese travelers during this week-long holiday to tap on the lucrative market.

To welcome the Golden Week holiday, WeChat Pay launched a campaign to reward spending via the app. WeChat Pay users who spend up to 50 yuan between 26 September to 10 October can immediately obtain a red packet and stand a chance to earn various amounts up to 888 yuan. Users will be able to earn their red packets even when they are abroad, in countries such as Hong Kong, Japan, Thailand, South Korea, Singapore, Canada and New Zealand.

This year, Alipay also announced its partnership with the ten largest airports around the world including Japan (Tokyo) and Germany (Munich). These airports now accept Alipay as a payment option, allowing Chinese tourists to freely spend abroad without having to worry about the exchange rates in the process.

More and more Chinese consumers are going cashless, and expect the same when they travel abroad. As of June this year, there are 4.24 billion Chinese users with mobile wallets. Retailers outside China are also adapting to cater to their needs, and WeChat Pay is now accepted in 11 other countries including Singapore.

In order to benefit from the influx of visitors during the Golden Week, merchants in Singapore have to be fully prepared. Aside from providing relevant content in Mandarin and having attractive promotions, retailers might want to take it up a notch by accepting Chinese-preferred mobile payment methods such as WeChat Pay and Alipay to increase sales conversions, or even launch innovative campaigns. For Golden Week this year, several retailers in ION collaborated with FOMO Advertising to launch a WeChat campaign. Using the WeChat Shake function, these retailers were able to deliver customized promotions directly to WeChat users nearby to draw them in-stores.

Posters were placed outside the stores to alert WeChat users to the free gift that can be redeemed when they flash this customized coupon by fresh to the staff.

Although the Golden Week holiday this year is over, Singapore retailers still stand to benefit from the large number of Chinese tourists on a day-to-day basis. To find out how to reach out and engage them, feel free to drop us an email at enquiry@fomopay.com so we can assist you with your enquiries.

About FOMO Pay Pte. Ltd

FOMO Pay is the first authorized WeChat Pay & Baidu Wallet partner in Southeast Asia, and was selected as one of the TOP 100 Asian Companies by E27, TOP 100 Startups by Red Herring Asia, and Top 8 by DBS’ FinTech Accelerator Program.

FOMO Pay provides a one-stop solution for overseas merchants by facilitating payment collection from the China market, including Chinese tourists. This comprises of online/offline Chinese payment modes, such as WeChat Pay, Alipay and Union Pay. FOMO Pay’s business solution serves clients from a wide range of industries, including the telecom, publishing, tourism and hospitality, F&B, education and retail industries.

www.fomopay.com

About FOMO Advertising

Established in 2014, FOMO Advertising is a subsidiary of FOMO Pay Pte. Ltd. FOMO Advertising is the first authorized Tencent advertising agency in Singapore. We provide a comprehensive solution for your WeChat campaigns, including market research, design services and media buying. Our team is here for you every step of the way, bringing you closer to the Chinese market. For more information, visit our website at www.fomoads.com.

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