Costs and tight security in Beijing deterring visitors

High prices in Beijing along with tightened security restrictions have had a negative impact on the demand for domestic tour packages to the Beijing Olympics, and have also deterred large numbers of foreign visitors, hotels and travel agencies in Beijing have reported.

Security has been a top government priority for the Olympics, but some of the more stringent measures that have been put in place are keeping visitors away from the Chinese capital. Stricter visa controls have reduced the numbers of business travellers, and tour companies are reporting that potential domestic tourists are staying away because of the tight security and high costs associated with visiting Beijing.

“Fewer people are going to Beijing because the ticket prices are too expensive, and there are too many strict rules to get into the city,” said a China Travel Agency employee, in the city of Chongqing.

Hospitality industry observers have noted that numerous large hotels are running at occupancy rates of 50-70%, and some of the smaller properties are struggling to even reach the 50% mark.

The state newspaper, Shanghai Daily, has even reported that bookings for Olympics package tours have been lower than anticipated.

A spokesperson for the Shanghai-based Spring International Travel Service, Zhang Lei, said that its Olympics packages were receiving “a slack response,” and that only 1000 customers had made bookings so far – which is about half of what was expected.

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