https://www.engineeringnews.co.za

Despite gains, SA tourism industry underperforming – report

11th June 2014

By: Natalie Greve

Creamer Media Contributing Editor Online

  

Font size: - +

While South Africa’s tourism industry has grown “significantly” over the past 20 years, a recent report by advisory firm Grant Thornton has found that there is “certainly” more room for growth.

“We’ve done exceptionally well in a number of areas and, since 1994, we’ve really opened up as an international tourist destination in a big way,” said Grant Thornton hospitality and tourism global leader Gillian Saunders.

“If we had to score ourselves, we’ve definitely passed but I wouldn’t quite say that we’ve achieved an ‘A’. More focus is needed in key areas, such as combating South Africa’s dire crime situation and improving empowerment in this sector,” she added.

According to the United Nations World Tourism Organisation’s global data, international tourist arrival numbers grew from more than 500-million in 1994 to more than one-billion visitors in 2013, an average yearly growth rate of 4%.

“In fact, the only year that tourist numbers declined was in [2008/9], with the onset of the global financial crisis,” she said.

During that 20-year period, South Africa’s visitor growth outstripped the global average, achieving a rate of 6.9% a year, while foreign visitors increased from less than four-million in 1994 to an estimated 14-million in 2013.

“The advent of democracy and the societal changes that came with it brought a wave of positive sentiment and international exposure that led to interest in the country. In 1995, we saw an amazing 22% growth in foreign visitor arrivals and a whopping 52% growth in overseas visitor arrivals,” Saunders noted.

She added that accommodation in Johannesburg increased from less than 8 000 rooms in 1994 to almost 20 000 in 2011, while, in Cape Town, rooms increased from 3 200 to 13 600 and, in Durban, from 5 000 to 7 000.

“Other indicators of tourism infrastructure growth from 1994 to 2014 are equally impressive. The total car hire fleet available in South Africa has increased from 25 000 to 65 000, luxury coaches from 340 to 720 and international airlines now flying to South Africa from 21 to 76. The country also boasts eight world heritage sites today compared with none in 1994,” she said.

Despite these successes, Saunders believed the industry had fallen short of its growth potential.

“While the Department of Tourism and South African Tourism have improved in leaps and bounds, not enough is being done to market the country internationally. In my view, there needs to be a much bigger budget allocation to destination marketing in a bid to attract more visitors to our shores. We are still well below international destination marketing spend levels.”

The budget allocation for South African Tourism for the 2014/15 year was increased by a “mere” 2.6% – an amount almost half that of the country’s current inflation rate. 

“We say all the right things about tourism as a priority but we don’t put our money where our mouth is,” she held.

Saunders added that the ongoing negative safety and security perceptions of South Africa continued to constrain tourism growth to the country.

“If we could address this reality, as well as work on the message that tourists can experience our country safely, we could see further strong growth in tourism and South Africa could find itself among the leading tourism destinations with the resultant financial benefits.”

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

Showroom

Hanna Instruments Image
Hanna Instruments (Pty) Ltd

We supply customers with practical affordable solutions for their testing needs. Our products include benchtop, portable, in-line process control...

VISIT SHOWROOM 
VEGA Controls SA (Pty) Ltd
VEGA Controls SA (Pty) Ltd

For over 60 years, VEGA has provided industry-leading products for the measurement of level, density, weight and pressure. As the inventor of the...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Magazine round up | 19 April 2024
Magazine round up | 19 April 2024
19th April 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.077 0.135s - 139pq - 4rq
Subscribe Now