SA WELL-PLACED TO CAPITALISE ON BRICS GROWTH
SOUTH Africa stands to benefit considerably from tourism growth in emerging BRICS markets, but needs to make the visa process easier and less daunting and add more direct flights from major cities to South Africa to increase arrivals.
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OUTH Africa is enjoying a boom in trade since joining the BRICS coalition and the tourism industry should be able to capitalise on this to win more inbound tourism from Brazil, Russia, India and China. This was the message during a BRICS panel discussion at Meetings Africa yesterday, hosted by TV presenter Lionel Skink and broadcast on CNBC Africa last night. Olivia Ji Jingshu, vice president of China’s CEBEX group, said she had brought a delegation to Meetings Africa flying in on SAA’s newly-
Please recycle me
launched flight from Beijing to Johannesburg, and that it had been an absolute pleasure and an easy travel experience for Chinese visitors. A few years ago South Africa had been difficult for Chinese travellers to access, said Anita Soni, chairperson of Brand SA, but serious efforts had been made to improve air lift capacity for Chinese visitors. More efforts are also needed to make it easier for Russian visitors to travel to South Africa said Elena Demidova, owner of Expert Avis in Russia. She said Russians were keen to explore new markets but preferred countries that made it easy for them to come. “South Africa has always been seen as an exotic destination by the Russian market. It’s really great that ties between our two nations have strengthened here at Meetings Africa, which has been a huge step forward for us. We all need to work
together to make it as easy as possible for Russians to visit South Africa and we need to work collectively on easing visa restrictions, direct flights into South Africa and promoting South Africa actively in Russia,” said Demidova. Audience member Sean Bradley, SAA’s Global Manager of Trade and Product Support, said the airline was looking at where to increase its activities and how to work with key destinations to attract more in-bound business. Bradley said SAA was putting a lot of emphasis on the Meetings, Incentives, Conferences and Events market and had established a business tourism department. Soni said since South Africa joined BRICS last year its exports to those countries had increased four-fold and imports had doubled. She hoped to see a similar rise in tourism alongside that economic growth. But that demanded a sound infrastructure and an enabling business and tourism environment. The BRICS countries house 40% of the world’s population, so the potential for intercountry trade was enormous, leading to a clamour for more information about South Africa and its attractions. S.D. Nandakumar, the head of business development for Kuoni Travel India, said India could provide huge numbers of visitors to South Africa, especially for its sporting events, but stressed Indians needed more information about the country’s attractions. Soni urged operators to put together creative packages by combining culture, food, natural beauty and the hospitality of the people, as well as leveraging on sporting events. Lesley Stones
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THE REAL IMPACT OF THE MEETINGS INDUSTRY Amanda Kotze-Nhlapo & Gary Grimmer
FOR the SAACI educational workshop on Wednesday 29 February 2012, National Convention Bureau executive manager Amanda Kotze-Nhlapo and consultant Gary Grimmer addressed SAACI members about the real value of the meetings industry.
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MANDA explained that the purpose of the National Convention Bureau is to expand and strengthen the work of the South African Tourism (SAT) Business Tourism Unit to become a truly one-stop Business Tourism support facility, and also to contribute to the National Tourism Strategy. “With SAACI we can make it happen.
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Association members must be our ambassadors,” says Amanda. “Our delegates spend more money than leisure visitors. We have 40 % of delegates coming back to SA after five years as a visitor. Nearly 60% of international business events visitors state that they are likely to return for a leisure break. In 2009, business visitors to South Africa accounted for 5% of arrivals compared to 30% for Singapore. We are right up there. We already contribute to the tourism volume.” She explains that many visitors declare themselves as leisure visitors when they arrive even though many are actually business travellers. Her hope is for the Convention Bureau to get to a space where the statistics can be measured correctly. Amanda revealed that business event visitors spend three to five times more than the average tourist. “Business tourism visitors spend 56% more per day than the average international visitor. 46% international convention delegates undertake pre and post tours.” she says, The National Convention Bureau also aims to improve the seasonality of association meetings. “Some business events can be incentivised to meet during the traditional low seasons. Convention bureau can contribute towards the improvement of seasonality patterns”. Transformation is also vitally important. Amanda says that new skill sets are required to service conventions. “SAT data shows that for every $31000 USD in tourism GDP generated
by conventions, one new full time job is created,” she says. Gary Grimmer was appointed to assist the National Conventions Bureau with its activations strategy. Gary says that the convention and exhibitions industry has a huge impact on the economy. What’s important to understand is that the convention and exhibition industries have almost nothing in common with tourism, he says. “The participants are different, the purpose of the visit is different; even the buyers and buyer motivation are different. We attract a very distinct type of visitor.” Gary explains that the main economic impact of tourism is direct spending, while conventions and exhibitions are trade and investment. “Our impacts go much broader in terms of macro economic outcomes.” “The questions being asked today are ‘What are you looking to achieve through this meeting? and What are your business outcomes?’ Destination is almost a secondary consideration, while for tourism, destination is everything.” He also explains that the market approach for leisure is very strategic as it targets larger groups of people. “On the conventions side, you have to be very targeted and tactical with your marketing.” “We are not part of the tourism industry. It’s vitally important for us an industry to understand this and communicate this effectively,” says Gary. Sally Fink
THE BEST MEETINGS AFRICA YET FORMAL meetings and attendance records shattered!
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Y close on the second day of Meetings Africa 2012, the show had already been declared a stunning success as attendance numbers and meetings concluded shattered previous records; as more than 200 international hosted buyers universally declared the event to have offered them tremendous business opportunities and as more than 500 exhibitors agreed it had been a worthwhile investment of their time and energy. Attendance figures (with final count of feet through the gates still to come) were up by 20 percent on last year’s numbers as more than 2 150 delegates attended Meetings Africa this year. Of those, 205 were international visitors and 37 were international journalists. The success of the Matchmaking activities were most impressive. By 15h00 yesterday afternoon, 8 906 meetings had been confirmed giving real substance to Meetings Africa’s usefulness as a business enabling environment. Of those meetings, more than 420 were set up by international buyers and almost 370 were set up by local buyers. James Costello, hosted buyer from Atlanta in the US was visiting South Africa for the first time. “It’s chin-droppingly beautiful,” he said, “and every single one of my expectations has been exceeded.” His visit to Meetings Africa (and the
tour he went on that included the Western Cape and what he calls the ‘safari belt’) opened his eyes, he said, to the many different ways South Africa can be packaged for incentive tourism – his own special interest in the global industry. “I have sophisticated clients who are well travelled. South Africa is ideal for this market group as you have it all here. And the various combinations of experiences that you offer puts this destination at the top of my inventory list. Yes, I am definitely planning to do business in South Africa very soon. And I’m going home to recommend South Africa as central for the marketing and incentive plans of my clients.”
Lin Wang, a hosted buyer from Shanghai was also impressed. She had visited South Africa before, and remained as impressed as ever with the variety of establishments and experiences the destination offers. “We are able to take this variety and package it into different itineraries for our specialist local agencies. It’s a fantastic business opportunity for us in China. I have enjoyed Meetings Africa. I like the clean and fresh South African air. But most of all I like the South African people – so nice and friendly.” *follow Meetings Africa on Twitter (@ meetingsafrica). Use #meetingsafrica2012 when tweeting about the show.
MEETINGS AFRICA STAND AWARD WINNERS The Meetings Africa Stand Awards awarded innovation and sustainabe thinking.
Tsogo Sun
Strike Alliance
Tiny stand: 3m squared. Special mention: Urban Collection Greening: Best Green stand: Strike Alliance Small Stand 9 m squared: Winner: ICC Durban Medium Stand: 10-18m squared: Winner: Sun International Large Stand greater than 19 m squared: Winner: Tsogo Sun
ICC Durban
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SCC ON BEING PART OF TSOGO SUN Sandton Convention Centre
BEING a part of a family as diverse, inspired and successful as the Tsogo Sun is what has taken the Sandton Convention Centre from strength to strength over the years.
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SOGO Sun is South Africa’s leading hotels, gaming and entertainment company in the leisure industry in South Africa.
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Today Tsogo Sun consists of 14 casinos in South Africa and 94 hotels, primarily in South Africa, but also in seven other countries across Africa and in the Middle East. The Sandton Convention Centre is managed by one of the Group’s divisions, Southern Sun Hotels. “Southern Sun Hotels is a brand associated with excellence and having three of our top-class hotels right on our doorstep, dominating the ‘Sandton Corridor’, means that the delegates and exhibitors that frequent the venue can always rely on superior accommodation and service during their stay,” says Karin White, General Manager: Sales and Marketing at Sandton Convention Centre. The Sandton Convention Centre enjoys a competitive edge in that the centre can offer a congress venue and competitive hotel rates from three to five star hotels from within the Southern Sun group. “With 15 world-class hotels located within walking distance of the convention centre, as well as the convenience of direct access to a number of world-class shopping, dining and entertainment offerings within Sandton City via the sky bridge, the centre is ideally positioned to integrate our complementary interests and leverage off our combined service offering.” adds Karin. A key differentiator of the Convention Centre is its ability to offer a diverse entertainment offering through the Tsogo Sun Gaming division. Each of the fourteen
gaming properties within the Tsogo Gaming portfolio become the destination of choice in the area in which it operates. “This includes the magnificent Montecasino entertainment complex, with its unique range of theatre, restaurant, entertainment and gaming. It also includes the Gold Reef City casino and Themepark and The Apartheid Museum. Each of these venues are major tourism attractions in Johannesburg, local and international visitors flock through the gates daily. The Sandton Convention Centre also benefits greatly from group training and the strong cultural ethos that runs throughout the Southern Sun group. “Not only does this association provide us with a far broader sales and marketing reach, but we also benefit from the infusion of ideas and resources from our colleagues within the group.” “We believe we are the only convention centre in this country that can provide such an inclusive and diverse product offering,” concludes Karin. Sandton Convention Centre has hosted several high-profile events including the 2002 World Summit on Sustainable Development; the 2005 World Petroleum Congress and the 60th Fifa Congress held in 2010. In 2011 the Sandton Convention Centre hosted 551 events ranging from congresses, exhibitions, weddings and film shoots. Visit Tsogo Sun at Stand 500. Sally Fink
SITE ASKS ‘WHERE’S THE MONEY?’
Tes Proos & Daryl Keywood
Millions of dollars being spent on incentive travel is going to countries other than South Africa, and the local chapter of the Society of Incentive and Travel Executives (Site) wants to know why it is missing out.
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ORE research is needed to assess why South Africa isn’t winning a major share of that business – and more crucially, figure out how to increase the volume it attracts. Now Site plans to lobby South African Tourism (SAT) for research funds to find out where those Dollars are going and why, Site’s new chapter president Tes Proos said during the AGM. Outgoing president Daryl Keywood said an initial survey into the business being lost to other destinations highlighted the need for a more comprehensive survey. “As individuals we know hundreds of millions of Rands worth of business that we are quoting on we don’t
get, but I don’t think the powers that be in the industry recognise that.” Site members also heard about progress in its social responsibility initiative to award a bursary to a student studying tourism or hospitality. Site is working with SAT to select one student from the 20 students enrolled on SAT’s Student Leadership Programme. The students would each give a report back from Meetings Africa and the most promising would win a bursary to complete their studies, said Tes Proos. She appealed to members to offer the students a chance to work in their organisations for a few days to gain practical experience in between terms. “It’s important for them to get some training in our industry as well as the theory they are doing,” Tes said. “This is Site’s way of giving back to the industry. It will start this year and carry on from one year to the next.” Next year local Site member David Sand will become the international president of the organisation. His inauguration will take place during Site’s International Conference in Beijing this September, and he encouraged members to attend, both to support him and to begin exploring new business opportunities. “Doing business in China is really quite interesting and difficult. I exhibited last year and it’s tough. You need an interpreter and it’s expensive, but it’s a market with mega potential. You really have to invest two or three years of being present and visible there before you can expect good business from that market.” Lesley Stones
IFES EYES CAPE INTERNATIONAL hosted buyer Gloria Guevara is in South Africa to seek potential partners for the International Federation of Exhibition and Event Services (IFES) annual meeting taking place in Cape Town in 2013.
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HE IFES Congress attracts members from 42 different countries for information sharing. The 2013 congress will be the first time that IFES will hold its annual meeting in Africa. Gloria says it’s all due to Justin Hawes from Scan Display, an IFES member, for the recommendation. “It was during the time we were looking for a venue for the 2013 meeting that Justin exposed us to Cape Town as an attractive destination,” says Gloria. Meetings Africa seemed the natural choice to look for partners for the event. “In addition to the structured programme, there will be a social programme with activities in and around Cape Town. Our key focus is to find business partners and suppliers for our various events. Meetings Africa has all the key players under one roof.” Gloria explains that South Africa is an important market for IFES members because of its status as a BRICS member. “Our members are really starting to look at BRICS countries. There has been a lot of interest in having partners in South Africa. After the World Cup, South Africa’s feasibility as a destination was put on the map,” she says. Cape Town International Convention Centre can expect between 120-130 members from the international exhibition industry.
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VELMORÉ HOTEL JOINS ORION Velmoré Hotel Estate
ORION Hotels has further enhanced its portfolio in the luxury market segment through the acquisition of the Velmoré Hotel Estate & Conference Centre, just outside Pretoria
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HILE the company is leasing the property, it has purchased the hotel’s contents and operating equipment, and taken over most staff and systems, with its management of the property officially beginning on 1 March 2012. The estate comprises two hotels – the 4-star Velmoré Hotel and the 5-star Velmoré Grande Hotel, which was specifically built to host the visiting German soccer team as
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part of the 2010 FIFA World Cup. The Estate has hosted numerous celebrity weddings and large corporate events. Together their rooms total 100, including a presidential suite, several luxury suites, twin suites and junior suites. It also boasts a number of conference venues and meeting rooms. Franz Gmeiner, Orion Hotels CEO, says these factors perfectly positioned Velmoré Estate in line with Orion Hotels’ growth strategy. “This acquisition forms part our strategy to secure more upmarket hotels and hotels which adds to our critical mass. It adds 100 rooms and substantial meeting and conferencing space to our portfolio, which further augment our product offering. Being our first acquisition in the Pretoria area, it also now places us within striking distance of the Pretoria market with its government departments, foreign embassies, motor manufacturers and many other large corporates,” says Franz. Velmoré Estate features several dining rooms, two large pools and terraces, ballrooms, function bars, a wedding chapel and wine cellar function hall. It’s renowned for its grand proportions and classic French Provencal style which, combined with its facilities and location on the banks of the Hennops River. “The estate has superb wedding facilities, including a large chapel and wine cellar themed function room. As it’s close to both Pretoria and Johannesburg, it’s a very competitive player in the wedding market,” Franz adds. Visit Orion at Stand 1001.
KZN UPBEAT ABOUT MEETINGS AFRICA THE city of Durban and province of KwaZuluNatal is being showcased under the banner of the ‘Durban KwaZulu-Natal Convention Bureau’ for the first time at Meetings Africa.
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THIS is a significant development as it is a well known fact that business event or meeting, incentive and exhibition planners or organisers, very often use a convention bureau as an important first port of call for a wide range of support and advice before making a decision to bring an event to a destination where such a service is located”, said James Seymour, the CEO of the recently established Durban KwaZulu-Natal Convention Bureau. This significant step has been made possible with the generous support of both Tourism KwaZulu-Natal and the KwaZulu-Natal Department of Economic Development and Tourism. “Meetings Africa is South Africa and Africa’s most important business events or business tourism trade show. We are particularly upbeat about this show as we have more than 10 KwaZulu-Natal business tourism service providers on our stand and the convention bureau alone has more than 40 meetings with international meeting, exhibition and incentive buyers over the three days of this event. We are convinced that will lead to an increased awareness of Durban and rest of KZN business tourism product and the actual conclusion of future meeting deals’’, stated James.
SPOTTED AT MEETINGS AFRICA 2012
SATSA’s Lizzie Mokgothu
Kievits Kroon’s Faith Sibeko
Lagoon Beach’s Cheryl Schmidt & Anthony Kelly
Southpoint Hospitality’s Khanyi Nompunga, Margeaux Swartz & Nobs Mudau
Valley Lodge & Spa’s Cathy Shabalala & Bernie Swartz
Protea Hotel Balalaika’s Angus Baike, Johan Vorster & Nicky Webster
Leisure Hotels’ Manja Jaspers, Sedick Adams, Retha Spies & Heidi Blom
Kenyatta International Convention Centre’s Terry Opiko
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