Club Med Woos China with Tai Chi, Mahjong
In something of a reversal of how firms usually target Chinese travelers, Club Med tries to bring its model to tourists within the Middle Kingdom.
Tai chi, mahjong and karaoke are on the menu alongside more traditional offerings such as sailing at Club Med’s new resort on the Chinese island of Hainan, as the French holiday group – now Chinese-owned – adapts its European formula for the market.
The all-inclusive village near the resort town of Sanya is the company’s fourth in China, and it is in talks to open around 15 more in the next four years.
It is something of a reversal of how firms usually target Chinese travellers, with Club Med seeking to bring its model to tourists within the Middle Kingdom, rather than draw them to other countries.
On a 12-hectare (30-acre) beachside estate complete with multiple pools, the emblematic “Gentils Organisateurs” or “GOs” – “Gentle Organisers” – recreate the tried and true Club Med recipe of sports activities, supervised childcare, and unlimited food and drink.
On a stretch of sand dotted with huts and palm trees, Shu Qi, a polo-shirted Beijinger in his fifties, admired the ocean with his elderly parents, wife and three-year-old son.
“It’s a change from crowded beaches! It’s ideal for families,” he said, noting how those near downtown Sanya were notoriously swarmed and often plagued by noisy construction.
Shu discovered Club Med while visiting the Maldives. “It’s very practical, as the price is all-inclusive with meals, and the international atmosphere is good for the children,” he said.
The cheapest of the 384 rooms available at the new Hainan site go for 2,300 yuan ($340) a night.
Club Med CEO Henri Giscard d’Estaing, son of the former French president Valery, told AFP: “We’re aiming at a high-end clientele, a portion of whom have already experienced Club Med while abroad.”
Once a place of exile, Hainan island, China’s southernmost province, has become a popular tourist destination, particularly in winter.
In a country where family remains important but workers’ annual holiday quotas are often limited, “the French concept of vacation villages meets the needs of the Chinese very well”, said Qian Jiannong, vice president of Chinese conglomerate Fosun, which bought Club Med last year.
After establishing its first winter sports village in China in 2010, Club Med set up shop amid the stunning karst scenery of Guilin, before opening a beach vacation village on an island in the Pearl River delta between Hong Kong and Macau.
Now the country is Club Med’s biggest market outside France, with some 200,000 clients expected this year and forecasting annual growth of 20 percent.
After criss-crossing the globe to collect trophy selfies at major sites, some well-off Chinese travellers are now turning towards more relaxed staycations.
A Chinese hotel industry overcrowded with establishments that all look alike and designed for business clientele has left Club Med an opportunity, said Giscard d’Estaing. But it faces rivalry from competitors, both foreign – such as France’s Pierre & Vacances, owner of Center Parcs – and domestic.
Sanya tourism was “a very particular seasonal and regional market” Xiao Yimin, research director at Shanghai Fosea Capital, told AFP, adding that Club Med’s success there “doesn’t reflect the maturity of the whole Chinese market, but only a huge concentration of family travelling in one place at seasonal times”.
With outbound tourism growth slowing, competition between providers within China for middle class tourists will increase, he added, and the future might not be as rosy.
Club Med has sought to adapt to local tastes. In Sanya, there are seven karaoke rooms – always fully booked – and three mah-jong parlors, as well as a 24-hour noodle bar, and tai chi lessons have been developed to appeal to people in their 30s who rarely practice the discipline.
Clients are around two-thirds mainland Chinese, and the rest primarily South Korean or Taiwanese. Under the coconut trees, multi-generational family clans gather as well as couples spoiling their only child without dropping their smartphones.
Families are initially “reluctant to let their kids go off alone to activities, and when they see a GO sit down at their their table, they find it inappropriate”, but soon adapt, said Rachel Mondre, head of customer services.
Tanning, too, is out of the question for the Chinese, who have a traditional preference for pale skin. The group faces other cultural challenges, acknowledged Jason Wen, a tai chi teacher who works at the village.
“People in China are not used to the concept of holiday resorts,” he said. “Club Med might bring progressively a change, but it will be a slow, very slow process.”