2024-11-07
October 30, at the WTA·Xianghu Dialogue 2024 in Sanya, Hainan, Mr. XU Xiaoliang, Co-CEO of Fosun International and Chairman of Fosun Tourism Group, delivered a keynote speech on "Crossing Boundaries: Integration and Innovation in Culture and Tourism". Below is a summary of the key points discussed.
The global tourism industry has undergone fundamental changes post-pandemic, marked by a shift from sightseeing to vacation-focused travel. Tourists now seek greater happiness, value time with loved ones, and prioritize health and wellness through travel. As we look toward the future of vacation development, innovation and integration will be the key factors shaping the competitive landscape.
Reflecting on the growth of Fosun Tourism Group, in 2010, we announced our investment in Club Med, which we now fully own. Today, Club Med operates 68 sun and snow resorts across six continents and 26 countries, establishing itself as a global leader in vacations. The enduring appeal of Club Med lies in its commitment to continuous innovation and integration. Club Med pioneered the all-inclusive model, where accommodations, dining, activities, performances, and kids’ camps are all included in one package price. The second aspect is integration, embodied in Club Med’s G.O Culture, with 24,000 “Great Organizer” from diverse cultural backgrounds providing guests with unique, multicultural experiences across resorts worldwide.
Club Med’s unique approach to innovation and integration allows us to deliver a unique vacation experience to global guests. This philosophy has thrived for 74 years, making Club Med a cherished brand among global travelers. One of our flagship resorts, with 1,068 rooms, serves as an example. In 2018, Fosun invested 500 million yuan in this project, which now generates annual sales of 800 million yuan. The rapid growth is a testament to our commitment to innovation and integration. For instance, we introduced a dual-engine model that combines Japanese brands with Club Med to ensure continued prosperity. Its customers are almost evenly split among Japanese, Chinese, and international guests, allowing it to avoid traditional off-peak seasons and maintain year-round operations.
We also observe a new trend in the global vacation industry towards lifestyle-based vacations, fueled by strong market demand. Recognizing this trend, Club Med pioneered the concept of urban vacations in China. China’s tourism market is unique, characterized by frequent travel, diverse urban landscapes, and a robust high-speed rail network that connects cities. Family is at the core of Chinese travel, yet there is a shortage of family-oriented vacation hotels. To meet this need, Club Med introduced two urban vacation product lines: “Club Med Joyview”, which focuses on city clusters accessible by a three-hour drive, and “Club Med Urban Oasis”, designed for families in major cities, within a one-hour drive or subway ride. These resorts allow parents to relax in bar socializing, spa experiences and tea time while children enjoy bilingual education and multicultural experiences. Seniors can participate in health activities, and in the evening, the whole family can enjoy various themed parties accompanied by the expert G.O. team. This truly immersive family vacation experience is the perfect embodiment of a lifestyle-based getaway.
From a strategic project planning standpoint, we recognize that Hainan is not just China’s Hainan—it’s the world’s Hainan. As China’s only tropical rainforest island and a unique Free Trade Port, Hainan is well-positioned to become a global super vacation destination, with Sanya as its centerpiece. Haitang Bay in Sanya boasts unique natural resources at 18 degrees north latitude and a strategic location with 32 hotels and a national duty-free store, offering about 15,000 rooms. While Haitang Bay’s development is still in its early stages, Fosun has long-term confidence in Hainan and Sanya. We are committed to sustained investment and growth, aiming for a win-win partnership with Hainan.
The Hainan ULTRAMED project, launching today, promises to be an exciting addition to the vacation market. It features the world’s first immersive Crystal Prism Performance Center, designed to display holographic shows 24/7 with dynamic, theme-based content. The indoor performance center will provide an immersive Mediterranean storytelling experience, while at night, guests from 32 nearby hotels can enjoy live E-Sports shows. Additionally, the center will host major international events such as film festivals, music festivals, and sports competitions.
The core concept of the ULTRAMED project embraces artificial intelligence (AI). We have incorporated the world’s first AI-themed hotel, AI digital personas, AI-customized rooms, and advanced facilities such as the immersive Crystal Prism Performance Center and intelligent surfing pools. We believe that with the synergy of innovation and integration, ULTRAMED will establish itself as a new world-class vacation icon for Hainan and Sanya and set a groundbreaking phenomenon in the global tourism industry.
As the saying goes, “The future is here; the past must go”. We must move beyond past experiences and embrace the future with more innovation and integration to create a better tomorrow.