Heritage and luxury: Porto’s bid for Chinese tourism

This past summer, Carlos Abade, head of the Portuguese Tourism Board announced ambitious goals for Chinese tourism during a visit to Beijing. Portugal aims to attract 500,000 Chinese tourists annually by 2026, targeting one million overnight stays each year. While limited flights still constrain growth, the country’s second largest city of Porto has seen great progress: in Q1 2024, the city experienced a 107% YoY rise in Chinese tourists. Although smaller than the country’s capital of Lisbon, Porto has captured the attention of tourists from China and other Asian countries. Nationwide, Portugal welcomed 57,740 Chinese tourists in Q1, a 135% increase from the previous year, but still just 70% of pre-pandemic levels. To boost engagement, Portugal’s tourism board has been actively promoting tailored travel experiences on WeChat, while its various cultural sites are establishing partnerships with Chinese booking platforms such as Ctrip. Culture for curious travelers “Porto is not just about wine and sunshine,” says Peter Xu, a Shanghai-based KOL with around 10 million social media followers. Xu visited Porto last month, posting videos of his favorite sites and cultural experiences, including the city’s famed Serralves contemporary art museum – an institution as much about its gardens and remarkable architecture as world-class shows on Ai Wei Wei, Joan Miro, Mark Bradford and now Yayoi Kusama. “The artistic ambiance here really surpassed my expectations,” he says. “The Serralves Foundation museum also treated us to so many remarkable displays, including the unforgettable solo exhibition I saw by Yayoi Kusama … And the WOW District is housing an exclusive Salvador Dalí exhibition which was amazing to see.” WOW, short for World of Wine, is an ambitious cultural district that has redefined Porto’s tourism landscape since it first opened in 2020. The expansive 50,000 square meter area offers a multi-sensory experience that speaks to the growing trend of experiential travel, particularly among younger Chinese and Asian tourists who value discovery and cultural immersion as much as luxury. “We are seeing the international market and visitors growing so fast, our idea is 80% international visitors and 20% domestic, but it's seasonal,” says WOW managing director Bernard Marquez. “Total footfall at WOW increased about 15% between 2023 and 2024.” While South Korean, Chinese and Brazilian numbers are growing strong, Americans remain WOW’s top international visitors. Chinese tourist numbers have been surging since February, and partnerships with Trip.com and other Chinese travel booking sites are expected to boost the figures further. Spread across several buildings, WOW houses museums, upscale restaurants, and interactive exhibitions, all designed to educate and engage visitors in the history and culture of wine and other traditions. Wine experiences introduce guests to the nuances of Portuguese wines, from the Douro Valley’s robust reds to crisp Vinho Verde. It’s also an ode to Porto's broader cultural narrative, so that for visitors like Xu, they leave with a story, a newfound knowledge, and “an appreciation for the local way of life.” Luxury additions Abade hopes that by late 2024, Portugal will match the 2019 figure of 385,000 Chinese visitors – and the $246.4 million (224 million euros) in revenue they brought in. For China’s more affluent, Porto’s luxury hotels are leveling up and enhancing the appeal, from small but beautiful properties such as Torel Palace and Vila Foz, to the grande dame: The Yeatman. Perched on a hill in Vila Nova de Gaia, The Yeatman is just more than a luxury retreat: it represents an immersive experience combining European elegance with impeccable service, alongside one of the best views of Porto’s historic cityscape and its Douro River. By seamlessly blending the city’s traditions with international luxury standards, The Yeatman is cleverly positioning itself as a magnet for Chinese tourists. Each room or suite is named after a local port wine house, while the hotel’s ties to the Doury Valley – one of the world’s oldest regions – taps into the growing interest in wine tourism among affluent Chinese. The Michelin-starred L’Orangerie restaurant, with its crafted tasting menus, is appealing to Chinese travelers seeking immersive gastronomy, while the spa’s wine-themed treatments offer indulgences for mainland tourists trending towards wellness. Balancing growth and heritage The economic potential of Chinese and Asian tourists is undeniable: in 2019, China overtook the United States as the world’s top spender in outbound tourism. Meanwhile, McKinsey projects luxury tourism to grow from $239 billion in 2023 to $391 billion by 2028. Industry experts anticipate Chinese tourists will make up a significant portion of this revenue, flocking back to Europe as they seek destinations that blend luxury with culture. “I think it could be an affordable luxury destination offering unique lifestyle experiences,” says Xu. “People are generally surprised by the weather, food and views.” He notes that the city remains relatively undiscovered by Chinese tourists, at least until direct flights start from the mainland to Porto. As Porto continues to evolve into a prominent tourism hub, the influence of Chinese and Asian tourists will undoubtedly shape its future. The city’s blend of high-end hospitality, history, wine and culture has already proven to be a powerful draw. But Porto’s true challenge lies in preserving its authenticity while adapting to the expectations of a changing global audience.

Heritage and luxury: Porto’s bid for Chinese tourism

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Published September 24, 2024

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Heritage and luxury: Porto’s bid for Chinese tourism