Wei Xiaoan: How should Gree cross over into the cultural tourism industry?
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2025-01-27
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At Gree Group, tourism is a small sector, a third-tier company with assets of approximately 6 billion yuan, mainly hotels, concentrated on Dongao Island, and also includes some small businesses and transportation. This chain is very complete, although we may not seem to be large in scale, the chain is very complete. So I said that small topics should be made into big articles, this is my basic view.
Why do I say that small topics should be made into big articles? Firstly, the development environment, because now from the central to local governments at all levels attach unprecedented importance to tourism, this is a major development. In fact, this major development environment, there is one reason, that is, the national economic situation is not good, we always feel that the national economic situation is good, this is a good development environment for tourism. If from the perspective of policy environment and operation environment, the worse the economic environment, the more favorable it is for tourism, this is a law formed in 46 years.
The second is the development conditions, because our development conditions, a good condition is that the chain is complete, this is a good condition. So I don't think Gree Tourism is a hotel group, it is a comprehensive tourism group, even if I only have one ship, it is one ship, even if I only have one car, it is one car, and this development condition just corresponds to the needs of our Greater Bay Area.
The third is the development foundation, having reached this point, the foundation is quite good, I have this feeling after looking at it these two days, far exceeding my expectations. I originally thought that you would just do some small things and that's it, only because there is a task assigned by a leader, so it has to be done. Later, I found that it is not the case, this can be made into a big article, this is not simply a task assigned by the leader, so we have to do it, the leader's task must be done, but how to do it is another matter, but looking at it this way, and especially the development of the entire Greater Bay Area, I saw a sentence on the online publicity, called "Bay Area Gateway, Secret Wan Shan", and the best point is that your main energy is concentrated in the Wanshan Islands, this is the best point.
Positioning
If we look at it from this angle, the Wanshan Islands are entirely possible. Because a major problem with China's ocean tourism is the climate, and the second major problem is the beach. For example, the beaches in the north are very good, but the climate is not good, this is the case in Liaoning, Shandong, and Hebei. When it comes to the Yangtze River Delta, the Yangtze River estuary, so Jiangsu, Zhejiang, including Shanghai, do not have a good beach, in this situation, how can you do it. But the world's major resort areas are all ocean resort areas or coastal resort areas, this is the world's rule. Then down to Fujian, Fujian has two good beaches, but the wind is too strong, such as Pingtan Island, 400 square kilometers, this is the third largest island in China, but there is strong wind for 120 days a year, when we studied the development of Pingtan, I said one thing, whoever can solve the problem of strong wind, this is the first prize, so there are also difficulties. After that, to Guangdong, Guangdong Pearl River Delta is the Pearl River estuary, so there is no good beach, Shenzhen has Dameisha and Xiaomeisha, everyone thinks it's amazing, what is that? The better place in Guangdong is Hailiang Island, the beach is good, and the sea is good. After that, to Beibu Gulf, Beibu Gulf is good, the resources are very good, but there is a problem, large chemical industry, large nuclear power plants, highways have occupied the beaches, so when I went to Beibu Gulf, I said there is nothing to see. Because at that time, the mayor of Guangxi's Yintan came to find me, asking me to help them plan Yintan, Yintan has nothing to do, he said we still have a west area, if there is a west area, without these things, it is still possible. So China's coastal resorts, ocean resorts, it comes down to Hainan Island, in fact, Hainan Island is only really good south of the 18th degree north latitude, north of the 18th degree north latitude is Hainan's Niu Ling, that line as the boundary, after passing it is tropical climate, this side is subtropical climate. In this way, China's ocean resources are weak compared to the world.
This highlights the advantages of the Wanshan Islands, I went to Wanshan last time, and at that time the feeling was good, and especially it is an archipelago, such an archipelago structure, in the whole country can be counted. So this time I talked about a concept, called China's three major archipelagos. The first archipelago, Zhoushan Archipelago, very spectacular, large area, the problem is that it is no longer like an island now, five highways, the Yangtze River East China Sea Bridge has been strung together, there is no island concept, this is one. The second is the Sansha Islands, Nansha, Xisha, Zhongsha, Sansha Islands, the third archipelago is the Wanshan Islands, Zhuhai has 204 islands, Wanshan accounts for more than half, but we must transcend the administrative division, once said that Zhuhai is the city of a hundred islands, the archipelago concept is fully formed. In addition, some places are called island chains, such as Shandong has a Changshan island chain, Liaoning has an island chain, those are island chains, not the concept of an archipelago. Overall, if China can enter the world-class ocean tourism resort area in the future, there are only two, the first, Sanya, Sanya still depends on where, now it is Haitang Bay, Haitang Bay's facilities are very good, a 32-kilometer coastline, investment of hundreds of billions. But it has a big problem, strictly prohibited to go into the sea, because the sea is very unsafe, when you arrive at the seaside, you can't go into the sea, you can only stand dry on the side, this is a bit unpleasant, but at least this is the first choice. The second is that the Wanshan Islands can become a world-class tourism resort area through ocean tourism, this is how I generally see it.
This means that when we do this, we should broaden our horizons and enlarge our vision, this is not just a Gree problem, anyway, now there are six inhabited islands, the rest are uninhabited islands, how to play this game? It may require the Wanshan District government to consider it uniformly, of course, we can promote it, because promoting this matter is not only for the Wanshan Islands, but also for our project, you have a big hat on your head, your things will be much easier to do.
Integration
First It's about the integration of sea, islands, and city—the integration of ocean, islands, and city. This integration is the gateway to the bay area; that's the concept. It's about the integrated market of the Greater Bay Area. If we talk about the Greater Bay Area, this issue is also involved. The entire Greater Bay Area can be said to be coastal cities, but there is no decent ocean. As living standards improve and tourism develops, people's pursuit of the ocean will increase—this is inevitable. Therefore, the integrated Greater Bay Area market has constructed our integration of ocean, islands, and city. This city integration includes, on the one hand, Zhuhai's main urban area, and on the other hand, Hengqin New Area; these things are constructed together. Because now Hong Kong and Macau also do not have decent seaside resorts. But whether people have this need, they certainly do. So, with some time, people go around randomly; the current market situation is like this, everyone is running around, so this is one point.
Second is the integration of the Wanshan Archipelago. This integration of the Wanshan Archipelago is unique in China. This uniqueness is, first of all, the archipelago itself. Whether there are other archipelagos, I don't know; I don't have time to verify it, but it is very unique in China. At the same time, each island has the potential for heterogeneous development. I looked at the materials yesterday, and it mentioned, for example, Changqin Island, Monkey Island, and Dangan Island—that is to say, there is the possibility of heterogeneous development of the islands, even giving people a feeling a bit like Qiandao Lake. Qiandao Lake is also a popular tourist destination, but it is after all a lake, while we are the sea. At the same time, there is another advantage, which is that this bay gives people a feeling of an inland sea, calm and peaceful. I have had this feeling twice. But it's always artificially created tension; as soon as I get on the boat, they give me motion sickness medicine, which I don't need. Actually, what is it? Sometimes we overemphasize these things, which actually creates reinforcement in the minds of the guests. The result of this reinforcement is that even if there is nothing wrong, they think there is something wrong. Normal people, except for a few individuals, are absolutely fine, but they insist that 50% of people get seasick. I don't believe it; they are all yelling, there's no need to make such a big deal out of it. Transportation is also convenient from one island to another, and transportation on the islands is also convenient. So this makes the Wanshan Archipelago a very unique marine tourism destination. Uniqueness needs further exploration. For example, from what I see now, firstly, the stones are very unique, because the whole of Zhuhai is like this; Zhuhai's mountains are all granite mountains, with many large stones, and the stone scenery is also very good; secondly, the greenery on several islands is quite good; thirdly, the transportation on the islands is now no problem, and the methods used are all electric vehicles, meeting the needs of guests while avoiding public transportation on the islands. The market has naturally solved these problems, which are all great uniquenesses.
Third is the integration of Gree tourism. Three points: Firstly, based on Dongao, with three hotels; secondly, the Guishan project seeks innovation; thirdly, the Wanshan Jingyun Mountain Villa seeks tranquility. Tranquility is a state of mind; tranquility is high-end. High-end doesn't need scale; as long as there is this state of mind, it's enough. So this is Gree's integrated tourism. In addition, if there is an opportunity, we can also explore a little more; with such good conditions, it would be a pity not to make a good article out of it. But there is a problem, which is that the Wanshan Archipelago is twenty years behind the average level. This is an objective judgment of mine. Because these days I have been walking around Wanshan, including chatting with everyone, it is, compared to the average level, not a high level, but the general level nationwide, and this is precisely the business opportunity. We can imagine what the business opportunities were twenty years ago? Real estate. But backwardness is not a burden; backwardness is an opportunity. I remember it clearly. In the 1990s, I met a Japanese businessman who closed all his stores in the United States and came to mainland China to open them. I said that Americans are so rich, why are you running to the mainland to open them? He said that Americans have money to spend on playing, but Chinese people don't have money now; if they have something, they will buy it, so the real business opportunity is in China. Americans buy things, Americans don't buy things, Americans have money to play with. Conversely, we are now beginning to enter this stage, that is, our current pursuit of spiritual consumption value far exceeds the pursuit of material value. Except for a few young girls who are showing off, now everyone doesn't compare much anymore; they are all pursuing what they like, what they play, and how to play it well. This is a general trend in society. This trend brings us development opportunities.
Shortcomings
The first is a serious lack of brand awareness. Guests don't know the Wanshan Archipelago, nor Gree tourism, nor the relationship between the two. For example, these staff members and leaders I've met these days are very professional and dedicated; they all look like they come from the hotel industry. When asked, they did indeed come from the hotel industry. But there is path dependence, the path dependence of hotels, which creates limitations. I think the hotels on the island shouldn't be this way. The current trend is called hotel scenic area-ization, and scenic area destination-ization. What is hotel scenic area-ization? Because the competition in the hotel industry is also like this, it's fiercely involute. But if you only compete on price, it's self-destruction. So what to do? One way is hotel scenic area-ization. Our hotels are very suitable for this; objectively speaking, they are actually taking this path, hotel scenic area-ization. Then, as a scenic area, it needs to achieve destination-ization, that is, everyone regards this place as a destination. When asked where you are going, you say the Wanshan Archipelago. If this kind of reputation can be established in the market, the brand will rise. So I think we can't just be limited to the path dependence of hotels. I can only say that the service is very good. For example, I was uncomfortable these two days, getting on and off the car; the steps are very high. Later, they said whether they could get a footrest, so that getting on and off the car is soft, stepping on a footrest before getting off the car, this is very good, this is the professional service of the hotel, but this alone is not enough, so hotel scenic area-ization is a big article, and then further is scenic area destination-ization. This is the first shortcoming.
The second shortcoming is insufficient attractive elements. In terms of vacation, accommodation is king. A good resort first needs to look at accommodation: high-end, mid-range, and mass market, forming a system, and the scale is also getting bigger and bigger. Now there is an increasing need for entertainment elements; the richer the entertainment elements, the stronger the attraction of a resort. That is, how to study entertainment elements. First, the linkage between islands, mountains, and the coast. Objectively speaking, this has actually been achieved, but the awareness has not reached this point; everyone just does it anyway. Second, the linkage between environment and products. With such a good environment, how can it be linked with the products? In this way, there are attractive elements, and these attractive elements, on the one hand, need entertainment, that is, to give people something to play with, and on the other hand, the surrounding environment, how can they feel and experience it more deeply? What is the advantage of this kind of island tourism? Most people haven't experienced it so deeply, because in the past, when people went to the beach, they would just run on the beach and then lie in the hotel and that's it. But how to link this? Consumers have a concept; they can't even express what they want. So many things, this is a characteristic of our current market, that is, the dual dominance of supply and demand, that is, the dual dominance of products and the market. In the past, it was marketing that was king; marketing was king mainly depends on your marketing channels, methods, and evaluation of the effect, that's all. Now it's actually not like that; many things, if you have good products, it will attract customers, and it will create the best state in itself. For example, there is a Tangshan Banquet in Tangshan. Originally, it was an old shopping mall of 40,000 square meters, and it couldn't go on. A young man took it over, and after taking it over, he renovated it and made a set of catering. This set of catering became more and more lively, and then he went from a shopping mall to a restaurant, to a comprehensive tourism and cultural complex, and now it has become a destination. Now many people go to Tangshan for the purpose of the Tangshan Banquet. Even now, it often takes one to two hours to queue up. What is this? This is the product driving the market.
Of course, it's aimed at mass tourism, which follows its own set of rules. The primary issue here is defining our target market. My basic view is that, for the middle-class and above, we needn't dwell on mass tourism strategies. Focusing too much on this can easily lead to wrong decisions. Significant investments without corresponding consumers—how will those investments yield returns? Moreover, the middle class in the Greater Bay Area is sufficient to support this market. Of course, we won't turn away mass tourists, but our overall target market is the middle-class and above, even high-end. Naturally, there are only two approaches to this market: continuous price cuts will only cheapen your brand.
Project
Specific comments. First, Guishan Island project. Currently, conditions are insufficient, but it's a leadership mandate. I walked and inspected the site repeatedly, discussing as I went. I've come up with an idea: innovation. What does that mean? Surprise and uniqueness. Firstly, the public areas should be high-end, atmospheric, and upscale—the flatland below and the small bays. I approve of your previous plan for this area: high-end, atmospheric, upscale, and fashionable, creating a central attraction. Just this attraction center alone will draw many visitors daily, functioning as an entertainment hub. These people may not stay here, but the high-end atmosphere will attract them to experience it. Secondly, the accommodation area should be understated, luxurious, and sophisticated, creating a sense of indulgence. The core here is to emphasize ecology and environmental protection—concepts no one can oppose. I'll give an example: Malta, a city-state with a population of 400,000.
During a visit by a delegation from the National Tourism Administration, the Deputy Prime Minister greeted us at the airport, followed by meetings with the President and Prime Minister—impressive. Our director later commented on how impressive it was. I said it was like our Jian Guomen Street Office director. A population of 400,000, yet very friendly to China. There, we saw a project: a stone hotel. We approached by boat, and couldn't see the hotel until almost ashore. After climbing a few steps, we saw the lobby, which was semi-underground. All the rooms were hidden within the cliff face, but very high-end. Each room had its own private pool. The price? $2,000 a night. This was its unique selling point—a cliffside hotel, or rather, a stone hotel. Nothing is visible from the outside, yet the interior, including the restaurant and public areas, is stunning. Malta's hot climate means its buildings have thick stone walls, about a meter thick, similar to those in Northeast China. The overall effect is truly impressive. Therefore, I believe this project should be executed to perfection.
Given the existing construction conditions—ten terraces, with roughly two forming a guest room area—that's about five floors. When designing, we need to consider this: five floors, ten rooms per floor, approximately fifty rooms, or fifty keys, making this a center of indulgence. Those with high expectations will come; those without, won't. But at least it offers novelty, attracting visitors. Like the Shapotou Star Hotel, it first attracts visitors to a destination, then becomes a destination itself. This project isn't difficult. The public area, based on your previous design, is attractive, including the small bays. The bays are too small for much development, and yacht docking is problematic. However, a highlight is the rear area, with the lobby at the back, cascading downwards. Another is the front area. I don't think the existing aquaculture base needs to be altered. Keeping it has advantages: it adds to the scenery and provides entertainment for guests, who can take boat trips to view it and even fish there, making full use of existing resources.
The island in front offers opportunities for entertainment. This creates a combination of an island, an aquaculture base, and the Xiwan project, making it feasible. Conversely, leveling the mountain and rebuilding is unacceptable to the leadership. This approach is likely to gain universal approval. My main purpose this time is to assess this. The site visit was quite disappointing. Therefore, the aquaculture base can be retained, and the three wind turbines can be left for now. However, in the long term, these wind turbines are problematic due to microwave interference and noise, which are detrimental to guests. Having three wind turbines overlooking a resort is unappealing. Therefore, we should explore relocating them to the offshore wind farm. Of course, this is challenging, so let's proceed step-by-step. If guests raise concerns, we can use their feedback as justification. Demanding relocation upfront might lead to conflict.
The second The three hotels on Dongao Island are stunning but lack substance. Each hotel's design is award-winning, which surprised me. However, these award-winning designs lack market appeal, unless to highly specialized professionals. Award-winning architecture is one thing, but the overall standard is not bad. The key here is to expand market influence. I didn't expect the three hotels to be so good, exceeding my expectations. They are truly impressive. The core is to transform these hotels into resorts. For example, I once visited a resort where the manager showed me twenty designated photo spots. He said guests would spend two hours taking photos and would inevitably dine there. He designed these spots himself. This is what hotel-resort integration means. We have many existing resources here. Integrating these resources will create a more engaging experience.
Third Project: Fishing Center. Because the Wanshan Archipelago can be said to be the best sea fishing destination in China, there are three types: the first is aquaculture base sea fishing, which is for the thrill; the second is rock fishing, which is a challenge; and the third is boat fishing, which is relaxed. All three types are available here, making it rich and diverse. I know a fishing enthusiast who said that if you go to Wanshan, I just came back from there last week. Enthusiasts will definitely come if they hear about a good fishing spot. Moreover, the biggest advantage of the fishing center is that it allows us to create a professional brand. This professional brand not only attracts fishing enthusiasts, but also cultivates those who don't like fishing. Because if you fish for half a day and don't catch any fish, you'll be very disappointed. Once in Shenzhen, it was my first time fishing, and for an hour I just kept putting on bait, becoming a professional fish feeder. I said I wasn't going to fish anymore. As soon as I said that, a fish bit the hook, and I pulled up a fish. He said, "You're such a novice, you can't pull such a big fish." I just swung it ashore, and it was on the dinner table at noon. So I experienced this, the sense of accomplishment. Another time I went sea fishing in Shandong, at Liu Gong Island. We went out by boat, using hooks with shrimp on them, and threw them in. After a while, several fish came back. I'm a complete beginner, and even I could experience this. So, if we continuously meet the needs of professionals and cultivate a large number of future enthusiasts, the market will be huge. Including organizing some activities, these activities seem to have been organized before, like sea fishing competitions, which can become our brand. This brand is not just a brand, but also the main activity for hotel guests. Many people come to stay here not for the hotel, but for fishing, making it the main activity. To make it the main activity, we need to strengthen this aspect of culture, and we need corresponding cultural elements and symbols, so that when people come, they know that fishing at this hotel is an important thing. He said, "I've never fished before." Even if you haven't fished before, you can still go, especially to the aquaculture base, it's not like you'll catch a lot of fish right away. The guests' sense of accomplishment will increase significantly, truly satisfying their emotional needs. It's called a fishing center, but objectively speaking, it's an attraction center for the entire hotel complex.
Fourth is island leisure and water sports. Because many projects are being done by others, I haven't seen much these past two days because the weather is cold. But I think, for example, the island relies on electric vehicles, can we add some mountain bikes, so that people can also freely ride around? Of course, the current island tour and hiking is also a way to play. These are all ways to play, including stargazing, moon viewing, sunrises and sunsets. Anyway, the best feeling I had these past two days was seeing the sunset for two consecutive evenings. It was really beautiful, really amazing. And many guests spontaneously went to watch the sunset, showing that it has become a branded activity. That day at the Marriott, some guests wanted to see the Windmill Sea. This name is good. If you take a boat to the bottom of the windmill, it will be absolutely stunning. We usually see windmills on land, and they are very large, but seeing them at sea is a different feeling. So, there are many resources and projects like these, and we should try to develop them, truly excavating these things. For example, these stones, such as the beautiful stone scenery, but there is no culture. Wouldn't it be good to carve two words on the stone, or give it a name? With words and a name, people will be guided. Things like this require some effort from us, and it doesn't cost much money. Let me give you an example. There is a scenic spot in Anhui called Xiaolongshan. The owner tirelessly came to find me, and I was moved by his spirit, so I went there. When I reached halfway up the mountain, I couldn't find the feeling. After passing halfway up the mountain, I realized that the whole mountain was full of large stones. Later, I said, "Change the name to Jushishan." There are too many Xiaolongshan, Dalongshan, and Erlongshan in China. He also said that we call it Longshan Fengshui, which is a good saying, but too common. As a result, he changed the name, and the number of visitors increased by 50% that year. People in Anhui didn't know when Jushishan suddenly appeared. After going there, everyone's focus was on the huge stones, and they were very satisfied when they saw them. Later, I said, "Just doing this isn't enough. You need to do something more." Let your son do this. This is not a nature reserve or a cultural relic protection unit. Play with the stones. I told the young man that you can paint on the stones, paint big pictures on big stones, and carve some steps on the stones so that people can go up and down. As a result, when I went there again, the owner said that he had created twenty internet celebrity check-in points. It takes three hours to go through these twenty points, and people will definitely have a meal here. This really boosted the place.
Similarly, now people only feel that these stones are quite beautiful, but is there any story behind them? No, so it's just short of that final push. Including many of our things, strictly speaking, they are still in the resource state, not the product state. Can I string these stones together to tell a story, each stone with a different story? But these stones all look quite good. This is the advantage of granite. In fact, this kind of granite mountain, Huangshan is the best, but Huangshan is beautiful in its mountains, the huge granite peaks forming the mountains. Here, the beauty lies in the stones, and that's what makes it stand out. I don't have time to think about this in detail. The content of island leisure is very rich, and the content of water sports is also very rich. Let's think about these things carefully. The richer the content, the greater the appeal.
Fifth is low-altitude leisure, powered paragliding and paragliding. These are the basics. Our advantage is that it's the sea in front, so there's no great danger. Some things, if you don't do them right, you might crash. We don't have this problem. At worst, you'll fall into the sea. Because I see that the mountain is quite suitable, you can specifically set aside an area for this. Jingmen, Hubei does this best, focusing on low-altitude leisure. There is an Asian club there, only five people, and this year's national powered paragliding competition was held there, and these five people made it happen. It's so amazing. The young lady who received me, a young lady playing this? Upon further inquiry, she had studied abroad. She said she just liked this line of work, so she did it, and she's doing very well. So this doesn't require a large scale, but it adds content, and I think you can study it.
Appropriate hard development, strengthen soft development
I have always followed this principle: spend less money, do more things, do good things, and do things well. Don't always think about spending a lot of money. If you think about spending a lot of money on everything, you may not do a good job. So this involves several points.
First is activities. Activities are persistent and form a brand. Generally speaking, if an activity can last for three years, it will basically become established. If it can't last for three years, then you should give up on that activity.
Second It's marketing. Currently, OTAs account for over 50% of our business. In the future, this will mainly involve leveraging key opinion leaders (KOLs) and individual travelers. However, for KOLs, there needs to be engaging content. For example, the success of the star hotel in Ningxia demonstrates how a single hotel can become a destination in itself. Many people book the hotel first; if there's a room, they go; if not, they don't. One morning, I saw over 100 broadcasters on the sand dunes, all wearing red, livestreaming. They said they didn't need marketing; the KOLs did it for them. We just provided some services and pointed out places they hadn't covered. This is a highly effective approach, especially with the current vertical and segmented nature of these channels. This method focuses on individual travelers. Currently, we heavily rely on travel agencies, especially in Hong Kong and Macau. In this context, the question is how to engage and leverage KOLs. To be honest, I'm not a big fan of KOL marketing; KOLs are fast-moving consumer goods. Ultimately, lasting popularity is key. KOLs are just a term; the traffic they bring, while significant initially, quickly fades. I've summarized how to cultivate successful KOLs: 1. Everyone has it in mind, but no one has written it down; 2. It's logical, yet unexpected; 3. Digital dissemination, internet foundation, and lifestyle enhancement. These three points essentially define a successful KOL. There's a transition phase from frequent popularity to lasting popularity. Our current marketing channels are relatively traditional and conservative. This is partly due to the characteristics of the Greater Bay Area market. People there have money but don't know how to spend it; they want to enjoy themselves but don't know how. Consumers in the Greater Bay Area have their own unique characteristics, especially the general public. Thirdly, there's a need for innovation to meet market and era demands. For example, we're currently exploring how to better showcase China's cultural tourism offerings, categorizing the various ways people experience it and clarifying the current situation.
This helps create a database. However, without this foundation, any innovation might be outdated upon its release. The market is constantly changing, making it difficult to keep up. Yet, many things lack appeal. When we talk about new business models, new scenarios, and new consumption patterns, I ask: what constitutes a new business model? Is it just cafes, bars, cultural and creative industries, and travel photography? What else is there? Often, what's considered 'new' is already outdated. For example, Luoyang's Luoyi Ancient City has 3,500 clothing stores, demonstrating successful industrialization. But the question is long-term sustainability. You can't rely solely on young people; their interest will wane, leading to a decline in participation.
The third area is the senior market. I don't agree with the term 'silver economy'; it's too broad. There are two levels: the first is the 60-75 age group, whom I call 'seniors'. This generation, which I belong to, has time (retirement), financial capacity (lifetime savings), a desire for leisure, relatively good health, and familiarity with the internet. This is the senior market. However, the 'silver economy' often focuses on the 75+ age group, primarily concerned with health and often falling victim to scams. This is not a market we need to focus on; it's a matter for the government to address. But the senior market has the highest spending power, and it's crucial, especially during the off-season. However, we need to offer relevant products and services; otherwise, what's the difference between us and our competitors? The key is innovation.
The third point is the senior market. Currently, the elderly market, or 'silver economy,' is too general a term. There are two aspects: the first is the 60-75 age group, which I call 'seniors.' This generation has time (retirement), financial capacity (lifetime savings), a desire for leisure, relatively good health, and familiarity with the internet. This is the senior market. However, the 'silver economy' often focuses on the 75+ age group, primarily concerned with health and often falling victim to scams. This is not a market we need to focus on; it's a matter for the government to address. But the senior market has the highest spending power, and it's crucial, especially during the off-season. However, we need to offer relevant products and services; otherwise, what's the difference between us and our competitors? The key is innovation.
For example, this year I visited Yulin, a national-level experimental base for wind power. The Great Wall is surrounded by wind turbines. I suggested creating an exhibition to educate visitors about wind power, and ideally, allow them to experience it firsthand. This is something most people wouldn't normally experience, making it highly attractive, especially to seniors who often have a strong sense of national pride. This, along with activities like fishing, caters to the needs of the senior market. Consumers are in charge, but this isn't always reflected in practice. Consumption defines our supply; a successful business depends on meeting consumer needs, and to a certain extent, consumers are driving the market.
Therefore, the future of cultural tourism hinges on three values: emotional value, experiential value, and social value. In the past, sightseeing was the focus (aesthetic value), and leisure focused on enjoyment (enjoyment value). Now, these are encompassed within the three values. First is emotional value: is it fun? If it is, people will pay. If not, they won't. Experiential value involves participation and immersion. Third is social value; many people check in on social media for the social validation and sense of accomplishment it brings. Historically, emotional value has always been sought after, even by early travelers, although it wasn't as prominent as the aesthetic value. For example, viewing a sea of clouds from an airplane is impressive, but less exciting than seeing it from a mountaintop. Why? Because it's a full sensory experience. For example, I've visited Aranya three times, and my reviews weren't high. Once, I criticized it, and the owner apologized. I told him I didn't need an apology, but that I wanted to spend two hours inside. Aranya relies on social value, creating it through various activities and targeting the Beijing middle-class market. Could we create a project that emphasizes social value?
In summary, the future focus should be on these three values. We have the conditions to fully realize these values in the Wanshan Islands and Gree Cultural Tourism. The current challenges are less important than future development. From a business perspective, the simultaneous realization of these three values is key, and the most crucial tool is scenarization. From what I've seen, the Wanshan Islands lack this concept. We're currently researching scenarization in cultural tourism and plan to publish a book on the subject. Everyone talks about scenarization, but what exactly is it, and how do you do it? My feeling is that scenarization offers the highest return on investment with the lowest cost. Observing fishermen's lives on the island is a natural scenario. If there's a place to visit in the morning, such as the fish market, people will go. This is a natural scenario that provides value.
Over time, with frequent visits, one becomes integrated. After integration, the level of scene-building deepens. This is something many islands commonly do. Even in Shandong Changdao, they befriend guests; if you have time, or your relatives and friends have time, just come here. Everyone trusts each other. This creates another scenario. So I say, what are the benefits of scene-building? It's that we can maximize our social resources, and all aspects can be explored. In this case, we cannot ignore it; we must pay attention, but we cannot only focus on service quality and guest satisfaction. These are still hotel mindsets. Hotel mindsets are certainly necessary; hotels are the foundation. But ultimately, it's not about that; it's about creating a scene, building a complete tourist destination. In this way, as a large destination, the Wanshan Archipelago can make this work.
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