Looking back at the tumultuous year of 2020, amid a hotel industry reeling from severe setbacks, resort hotels emerged as a force defying the downward trend and were hailed as the breakthrough point for China’s future hotel industry. In 2021, the “rebellious spirit” of resort hotels continued to thrive: the strategic partnership between Fengyue Hotels & Resorts and Minor Hotels Group stirred up the domestic resort market early on, sparking endless visions of what lies ahead.

01 Chinese-Style Getaways: From “Staying at Hotels” to “Living in Hotels”

From a historical perspective, China’s domestic vacation market can be traced back to the 1990s. After more than two decades of lukewarm development, the opportunities brought by the times and the market have begun to emerge in ever‑increasing numbers. Looking at the evolution of Chinese-style vacations, it has been a journey from outward imitation to inward exploration—and has likewise undergone a transformation from “staying at hotels” to “living in hotels.”

Imitation Period

With the establishment of the Yalong Bay National Tourism Resort in 1992, more than 20 high‑end resort hotels lined up along Yalong Bay, creating the most densely packed luxury hotel destination in the Asia-Pacific region. In 1996, the opening of Sanya Kailai Resort Hotel marked the dawn of China’s resort hotel industry.

During this period, the domestic resort hotel market was still dominated by international hotel brands, with standards firmly in the hands of resort chains such as Banyan Tree and Six Senses. Drawing inspiration from Europe, America, and Southeast Asia, relaxation and indulgence were the prevailing themes. At this time, Chinese-style resort hotels had merely planted a seed, waiting for the right moment to break through the soil and emerge.

Exploration Period

With the advent of the new millennium, China’s domestic vacation market has gradually developed into two major hubs—known in the industry as the “Two South Markets”: Hainan and Yunnan. These two markets share common characteristics: abundant natural resources, breathtaking scenery, and a comfortable climate, along with a well‑developed tourism and vacation industry. As a result, they have become the perfect testing ground for domestic resort hotels to explore and refine their own unique styles.

During this period, Chinese-style resort hotels began “venturing” to island destinations; some settled in the suburbs, becoming micro-vacation getaways for urban residents, while many more found their way to deserts, hot springs, villages, lakeshores, rainforests, and other diverse settings, unveiling a more multifaceted identity. These hotels attracted the first wave of adventurous, elite travelers, who, through mutual supply and demand, sought to define the kind of resort hotel that local travelers truly desired.

Period of Leverage-Driven Growth

Fast forward to the present: players in the Chinese resort hotel market have evolved from lone wolves into well‑coordinated groups. With an increasing number of domestic and international hotel chains entering the fray—and buoyed by their optimistic outlook on the Chinese tourism market—plus the growing shift in vacation philosophies among a new generation of travelers, who are no longer solely chasing luxury but instead embracing the fresh lifestyle, holistic well‑being, and health‑conscious approach to travel that resort hotels offer, hotels are no longer just “lodgings” along the journey; they’ve become places where guests can truly “stay put.” Chinese resort hotels are quietly poised for a major breakout—and under the impact of the pandemic, resort hotels have emerged as the first hotel category to ignite, steadily heating up. According to relevant statistics from Ctrip, during this year’s Spring Festival Golden Week, the trend of consumers opting for “hotel vacations” is likely to be even more pronounced than in previous years, with residents of first‑tier and emerging first‑tier cities particularly eager to spend the 2021 Spring Festival in the form of “hotel getaways.”

02 In 2021, domestic resort hotels transitioned from the “periphery” to maturity.

During the post‑pandemic recovery phase, as pent‑up travel demand was unleashed, resort hotels emerged as one of the earliest segments to rebound and quickly drew significant attention. For a long time, domestic resort hotels had remained relatively “marginal” within the hotel industry, steadily but uneventfully expanding—until the onset of the pandemic. It was as if every other hotel segment had taken a step back; in that moment, resort hotels were thrust into the spotlight. After weathering the tumultuous market conditions of 2020, the traditional resort hotel model was bound to evolve—and domestic resort hotels would move from their “growth phase” into a “mature phase.”

First, this is driven by rising demand for vacations and a corresponding return of travelers. During the post‑pandemic recovery in 2020, the rebound and growth in vacation demand far outpaced that of business travel. Data from the National Day holiday period show that many resort hotels performed significantly better than during the same period last year. Take Fosun Tourism & Culture as an example: from October 1 to 8, the net room rate at its Sanya Atlantis Resort increased by 35% year-on-year compared to the 2019 Golden Week holiday, while total revenue from the resort area rose 34% year-on-year. Meanwhile, during last year’s “Golden Week” holiday, Club Med’s five domestically operated resorts achieved an average occupancy rate approaching 90%, with overall occupancy up 6% year-on-year. On the other hand, at the start of 2021, the pandemic resurged. Due to the pandemic’s persistent, recurrent, and rapidly mutating nature, outbound tourism plummeted, and the 150 million-strong overseas travel market shifted back to domestic travel. High‑net‑worth travelers who place greater emphasis on quality of life began returning home, leading to even stronger demand and spending on vacations. As Tang Ming, President of Shimao Hida Hotel Group, put it, “The future lies in the domestic vacation market.” The domestic tourism and vacation industry is poised to usher in at least one “new era,” particularly as the demand for high‑quality vacations previously met by overseas destinations becomes increasingly prominent.

Second, an increasing number of Chinese-style resort hotels are embarking on unique explorations—these distinctive features are not limited to culture, experiences, or scenery. Zhou Mingqi, founder of Jingjian Think Tank, once argued that most so‑called resort hotels merely relocate traditional urban hotels to tourist destinations, then “flatten” them (often with just 1–2 floors), “expand” them (covering far more land than their urban counterparts), and “rebrand” them with locally inspired, customized designs. Although these hotels invest heavily in design, construction, landscaping, and interior décor, their functionality still remains confined to the basic “accommodation” level—no different from urban hotels, including even some internationally renowned luxury resort chains that have entered the Chinese market. With sky-high room rates and a lackluster array of offerings, these hotels are only suitable for a very niche, high-net-worth clientele looking to stay for just a few days at a time—and as a result, they generally struggle to turn a profit. Driven by profit motives, more and more Chinese-style resort hotels are learning to use “content” and “experiences” to encourage travelers to linger longer—after all, just like people, mature resort hotels must possess depth and substance.

Most importantly, the domestic vacation market has provided local resort hotels with a mature opportunity. Compared to the fiercely competitive and highly segmented hotel markets across other categories, the resort hotel market remains largely untapped. Many large hotel groups are still vying for dominance in the mid‑range and upper‑mid‑range segments, while real estate groups’ “real estate + hotel” model often feels overly simplistic and blunt—only a few small and medium-sized hotel groups have truly cultivated this niche. Overall, the domestic resort hotel market is still far from fully developed. For Chinese-style resort hotels, the pandemic has undoubtedly presented a rapid growth opportunity—and more than that, it has shone a bright light on the breadth and depth of this market. Having already tasted the “opportunity dividend” of 2020, resort hotels were clearly more poised and confident in 2021, able to refine their positioning relative to both themselves and their guest demographics, and to chart a path toward reverse innovation and renewed vitality.

03 Four Paths to “Reverse Rebirth”

During the pandemic, the “reverse maturation” of Chinese-style resort hotels was a passive response. But now, with a clearer understanding of the market’s future potential, “reverse rebirth” has become a proactive choice—and on several Chinese-style resort hotels that have already embarked on this journey, we’ve identified four distinct “paths to rebirth.”

Cross-border cooperation

As mentioned at the beginning of the article, Fengyue Hotels & Resorts has joined forces with Minor Hotels to establish a presence in China’s domestic resort market. Cross‑border collaboration is one of the fastest ways for Chinese-style resort hotels to grasp the essence of the resort market and master the art of resort hotel operations. Minor Hotels, hailing from Thailand, naturally possesses a strong resort DNA and enjoys widespread acclaim in the leisure travel sector; its luxury resort and spa brand, Anantara, boasts a loyal following across China. With this latest partnership, Fengyue’s ambition lies in driving the transformation and upgrading of the industry landscape.

In the resort industry, cross‑border marriages are not uncommon. For example, the Anlu brand was co‑founded by Duan Qiang, President of the China Tourism Association and Chairman of the World Tourism Alliance, together with Adrian Zecha, founder of Aman, and has since formed a partnership with the Jihe Mu Hotel Management Group. Resorts such as Sanya Atlantis, Casa Cook, and Club Med have all been brought under the umbrella of Fosun Tourism & Culture…

A more traditional vacation ethos, combined with locally tailored operational approaches, enables these Chinese-style resort hotels born from cross‑border collaborations to not only resonate with travelers’ minds in a timely manner but also meet their practical vacation needs with professionalism.

Charge into the city

In its “2020 China Hotel Business Statistics Release” report, Haohua pointed out that in the destination-based vacation market, resorts located at more distant destinations have seen a significant decline in performance, while short‑distance resort hotels situated near core metropolitan clusters have maintained relatively stable results. With the rise of “micro‑vacations,” both nearby getaway destinations and urban leisure vacation markets have become increasingly popular. According to Meituan’s big data, although the volume of bookings for trips to other cities has decreased, thanks to the substantial surge in local travel demand, people are not only getting used to vacationing within a 300–500 kilometer radius of their homes, but are also increasingly adopting the “hotel-hopping” trend.

In the article “Can Resort Hotels in Cities Succeed?”, Space Secret Agent pointed out that traditional resort hotels located far from cities represent merely the 1.0 model of resort hotels; the 2.0 model, by contrast, no longer confines itself to either urban or rural settings, instead using travelers’ needs as its guiding compass. The time is ripe for urban resorts to make their entrance—international hotel brands like Capella and Sofitel have long been appearing in cities under the banner of “urban oases.” Among Chinese-style resort hotels, brands such as Huajiantang and Dierlayagu are also striving to enable travelers to experience vacationing from a whole new perspective.

Focus on specific customer segments

Like most hotel categories, resort hotels also need to be segmented and tailored to specific guest demographics. A single resort hotel cannot possibly meet the needs of every traveler; attempting to cater to everyone would result in high investment costs and low quality—clearly an unrealistic approach.

At present, many hotels that have their own loyal customer base are largely focused on specific niche markets—such as Club Med, Sanya Atlantis, and Kaiyuan Senbo. Coincidentally, they’ve all zeroed in on family travel, continuously enhancing the family experience. Given the sheer size of the family travel market, this strategic focus is hardly surprising. However, it’s easy to foresee that in the future, the target customer segments of Chinese-style resort hotels will inevitably broaden—and who knows, new types of resort hotels may emerge, such as honeymoon resorts or art-focused retreats.

Memories That Can Be Taken Away

As mentioned earlier, travelers’ vacations have shifted from “staying in hotels” to “living in hotels.” Consequently, how to enable travelers to comfortably “stay at the hotel” and enjoy a fulfilling experience has become particularly important. Resort hotels themselves must evolve into integrated cultural and tourism complexes, developing a wide array of experiential offerings that keep all spending within their own operational scope.

Take the Liangrang Hotel in Xitang as an example—by integrating “organic vacations” into the guest experience, visitors can personally pick produce in an organic, eco-friendly village spanning more than 3,000 mu, and even trace the beautiful journey of crops from farm to table, thereby fostering a deep respect for the land. In addition, many well-established resort hotels offer experiential activities that allow guests to take home their own creations—papermaking, pottery, beaded bracelets, and more… While memories may fade with time, the pieces we craft with our own hands become cherished reminders and heartfelt calls that we revisit again and again.

04 The Next Five Years for Chinese‑Style Resort Hotels

As the domestic tourism market continues to thrive and Chinese-style resort hotels undergo self‑upgrades, the resort market in this region is poised for even more dramatic transformation. Over the next five years, a series of Chinese-style resort products with distinct local characteristics may emerge.

Healthy Living Destination

Under the impact of the pandemic, traditional sightseeing and vacationing clearly can no longer meet travelers’ fundamental needs; “healthy living” is increasingly gaining attention, and a growing number of Chinese-style resort hotels will emerge as destinations for healthy living.

Here, “healthy living” is far more than just physical health—it encompasses both environmental well‑being and mental wellness. In terms of the environment, in addition to resort hotels that boast exceptional natural settings, urban resort hotels can also achieve a seamless separation from the hustle and bustle through thoughtful interior design. As for mental well‑being, resort hotels cater to the vacation needs of their target guests by offering attentive service and enriching, thought‑provoking experiences.

Cultural Resort Hotel IP

In the future, it will become possible for Chinese-style resort hotels to host resort IPs akin to Aman or Banyan Tree. While the cultural ethos of these resort IPs may not be entirely rooted in classical Chinese tradition, it will undoubtedly be a resort culture that emerges exclusively from this land—yet one that is rich with the hallmarks of our contemporary era. By cultivating such resort IPs and guiding cultural experiences and consumption patterns, we can offer travelers a more immersive and profound vacation experience. Under the guidance of these IPs, Chinese resort hotels, much like Aman, will attract a dedicated community of “Aman enthusiasts” who embrace the hotel’s unique identity as a matter of faith, transforming the hotel’s brand into a true cultural symbol.

Resort-style hotel

Today, treating resort hotels as tourist attractions is already taking shape. Resort hotel brands such as Atlantis and Kaiyuan Senbo are large-scale tourism complexes that integrate sports and entertainment, dining and leisure, and hotel accommodations into a single destination—offering travelers far more than just lodging to entice them to visit. As the resort hotel market continues to evolve, simply replicating and homogenizing Chinese-style resort hotels is bound to run into obstacles in market competition once the current boom period fades. In contrast, resort hotels that position themselves as scenic destinations are far more likely to experience the next wave of rapid growth.

From “following the trend with imitation” to “reinventing oneself against the grain,” Chinese-style resort hotels are entering their golden age. Amid this booming wave, only those brands that forge a path of differentiation will be able to seize the next five-year opportunity!