Tough times for Tourism in South Africa but opportunities in buying and selling hospitality properties at value-for-money prices abound


2015-07-21


SA tourism pounded on all fronts, index shows

Jul 20 2015 21:07
Carin Smith

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Cape Town - The SA tourism industry is being pounded on all fronts, with new legislation on unabridged birth certificates and visa restrictions packing the biggest punch, the latest SA Tourism Business Index (TBI) showed.

The TBI for the second quarter of 2015 was released on Monday and showed a newly pessimistic outlook, according to the Tourism Business Council of SA (TBCSA). The TBI is compiled for the TBCSA by Grant Thornton.

The negative contribution factors cited by respondents in the accommodation and other tourism sectors were:

- New legislation with regard to biometrics and unabridged birth certificates;
- Visa restrictions;
- The general state of the economy;
- Labour unrest (strikes);
- Poor service delivery in terms of electricity and water shortages;
- The impact of the Ebola virus;
- Reduced demand from government officials;
- High utility costs;
- High cost of flights, accommodation and car hire;
- Xenophobia;
- An increase in the cost of fuel.

(Source: BTI)

Respondents' comments on how the new visa regulations are affecting SA tourism include:

- “Visa restrictions are merely turning visitors away from SA to destinations where there are no requirements or can be obtained on arrival. SA is being off-sold and excluded from any in-country marketing efforts. Unabridged birth certificates affecting school tours, especially from northern neighbours.”

- “Parents travelling to SA from overseas markets may have to cancel due to time constraints on obtaining documents.”

- “This country needs open borders, we need tourists flocking in.”

- “Being largely focused on corporate travel, we have seen a decrease of international corporate travel
into the market, as the ability to obtain visa's to come into South Africa becomes more cumbersome.”

- “Negative impact due to great inconvenience and expense for travellers to SA compared to ease of access to other competing destinations.”

Respondents also noticed a decrease in Chinese and Indian visitors.

With regard to other tourism businesses, insufficient overseas leisure demand (54%) continues to be the greatest negative contributing factor to poor business performance.

It is followed by insufficient domestic business demand (40%), insufficient overseas business demand (39%), insufficient domestic leisure demand (38%) and competitor market behaviour (38%).

Among the few positive impact factors named by respondents regarding last quarter, were a weak exchange rate, strong domestic business demand, large summits taking place and long weekends and school holidays.

(Source: BTI)

The BTI shows that overall, the tourism industry performed significantly lower than expected, the lowest performance since the third quarter of 2011, but not as low as in the first nine months of 2011.

The accommodation sector achieved worse than normal business performance and this sector indicated a pessimistic outlook. The TBI shows that second quarter blues are also present among other tourism business.

In the accommodation sector 27.5% of TBI respondents expect less than normal business performance next year and 8.2% expect better than normal business performance.

Among other tourism businesses, 41.4% of respondents expect less than normal business performance next year, while 23.4% expect better results.

Accommodation stats

In a separate data release, Stats SA said on Monday total income measured in nominal terms (current prices) for the tourist accommodation industry increased by 7% in May 2015 compared with May 2014.

Income from accommodation increased by 6.4% year-on-year in May 2015, the result of a 0.2% decrease in the number of stay unit nights sold and a 6.6% increase in the average income per stay unit night sold.

In May 2015, the types of accommodation that recorded positive year-on-year growth rates in income from accommodation were hotels (7.8%), "other" accommodation (4.6%) and guest houses and guest farms (1.8%).

"Other accommodation" excludes hotels, caravan parks and camping sites, guest houses and guest farms.

The main contributors to the 6.4% year-on-year increase in income from accommodation in May 2015 were hotels (contributing 5 percentage points) and "other" accommodation (contributing 1.3 percentage points).

Income from accommodation increased by 8% in the three months ended May 2015 compared with the three months ended May 2014.

The main contributors to this increase were hotels (9.2% and contributing 5.8 percentage points) and "other" accommodation (6% and contributing 1.8 percentage points).





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Cliff Jacobs (Nat Dpl Hotel Man (UJ). MPRE. GA Level 5 TEFL)

Managing Principal / CEO

Exquisite Hotel Consultants (Pty) Ltd

Mobile: +27 (0) 84 413 1071 / +27 (0) 61 716 6951

Email: cliff@exquisitehotelconsultants.com

Skype: cliff.jacobs

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Name: Edward Tokolo Kasete
Phone: +27 (0) 84 413 1071
Email: edward@exquisitehotelconsultants.com

Real Estate Specialist - Our Associate in Namibia

  • We offer an international platform of specialist hospitality property and/or business brokering services by listing and marketing for sale or lease or by investment partner arrangement or management agreement arrangement of a variety of hospitality products (i.e. hotels, resorts, boutique hotels, guest houses, guest lodges, B&Bs, game resorts, wine farms, yachts, cruise liners, etc) through our association with EC Mobility (in Portugal and Spain), BON Hotels (Africa), Giovanni Conti (Italy, North and East Africa, Sri Lanka), Nuno Boquinhas (Portugal, Azores, Madeira, Mozambique), Property 24, Seeff Property Services, Harcourts, Realnet, RE/MAX, Dogon Property Group, Rawson Estates, among many other prominent commercial estate agencies throughout Southern Africa - and now we are entering other African Countries on the East and West Coasts of Africa and moving further abroad! To date, Exquisite Hotel Consultants has a presence in over 80 countries - and counting...

  • Working with the above-mentioned agencies and others provides the largest possible reach nationally and internationally for all prospective buyers and sellers wishing to enter or exit the Hospitality Industry.

  • Sister websites have been opened in the following countries: United Kingdom: see www.exquisitehotelconsultants.co.uk, and in Germany: see www.exquisitehotelconsultants.de, and in the United States of America: see www.exquisitehotelconsultants.us.

  • Please note that several of our hospitality properties and/or businesses for sale or lease or through business partnership arrangements or management contracts are officially "Off-Market" - mainly for privacy reasons. Therefore, they are not listed as part of our hospitality properties/businesses for sale or lease stock. Please contact me for further details.  

  • Should you be considering to sell or buy or lease or obtain a partnership arrangement or management agreement arrangement for your hotel, boutique hotel, resort, guest house, B&B, game lodge, game resort, guest farm, yacht or cruise liner etc, I would be most pleased to provide you with further details of our way of working to effectively market and sell your property(ies) and/or business(es).


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Food Service, Beverage and Laundry Solutions

Electrolux Professional is a leading global provider of foodservice, beverage and laundry solutions, serving a wide range of customers globally, from restaurants and hotels to healthcare, educational and other service facilities. 

  • We offer OnE brand covering Food, Beverage and Laundry with only OnE point of contact with full-service offerings from single-unit equipment to full turnkey project solutions.
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Name: Exquisite Hotel Consultants' Hospitality Training Department
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Learn to speak Hotel English (one-to-one online course)

Our TEFL trained tutors teach the following functions

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The course consists of 21 lessons (4 to 5 one-hour lessons per month).


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Interior Design  

  • We are an Interior architecture, design, project management and fit-out agency, with over 15 years’ experience in the commercial, retail and hospitality industries. We pride ourselves on being a detailed, solutions driven and consistent brand.
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Name: Healing Earth
Phone: +27 (0) 21 555 1896
Email: ebrandt@healingearth.co.za

Hotel Amenities - inspired by Africa

  • Premium African spa brand,  spa operator and hotel amenity supplier.  We supply five star hotels, resorts, lodges and spas throughout South Africa and Africa including Royal Portfolio, Mantis Collection, Leading Hotels of the World, Royal Malewane, The Singita Group, to name a few!
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Name: Hospro
Phone: +27 (0) 21 583 1851
Email: roberto.treffers@hospro.co.za

Hospitality Consultancy and Procurement

  • Established in 2007, HOSPRO|Hospitality Professionals serves the African Sub-Saharan region.
  • With a background in international hospitality consultancy and procurement services for some 30 years,
  • our combination of market knowledge and expertise ensures the best possible service for our business relations.
  • We support our clienteles with specific recommendations and references to stay focused on the total process.
  • Our emphasis is aimed at protecting the design intent, our client's budget and the various deadlines.

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Name: Hotel Revenue Management
Phone: +27 21 551 7440
Email: jaco@hotel-revenue-manager.com

Revenue (yield) Management

  • Competitor set monitoring.
  • Booking pace analysis.
  • Peak demand optimising.
  • Low demand stimulating.
  • Online Channel analysis
  • Wash-down factor’ monitoring.
  • Pick up and drop off analysis.
  • Definite and Tentative Status monitoring and control.
  • Online Channel Conversion.
  • Reservations cancellation monitoring.

Online room inventory Distribution & Rates optimisation

  • Positioned optimally on all the Global        Distribution  Systems (GDS).
  • Positioned optimally on all the Online Travel Agents (OTA) websites.
  • Positioned optimally on all Meta-Search Engines (MSE).
  • Competitor set monitoring & rate benchmarking.
  • Own Website distribution.
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  • Website and Content audit.
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Implementation of Best Available Rate (BAR), in conjunction with point 1 & 2

  • BAR operational understanding and agreed  levels.
  • Implementation across the board.
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Name: Indigo Real Estate Agency
Phone: +25884 3616644
Email: cliff@exquisitehotelconsultants.co.za

Real Estate Agency - Our Associate in Mozambique

  • If you’re keen to buy a house or apartment along the African coast, look no further than the property for sale in Mozambique. With residents treated to breath-taking sea views and surrounded by lush green nature, it’s no wonder the country is increasingly popular among tourists and investors.
  • Whether you are looking  for to buy a house, sell or rent  property in Mozambique, purchase a piece of land for your own dream estate, either as a holiday or residential home or as an investment, property management services are also available should our customers require. Then we would welcome you to choose Indico real estate agency as your local realtor. 
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  • We offer the widest range of properties at lowest prices in the market. This is ensured by contract with sellers.
  • Indico Real Estate Agency provides unique business opportunity within the Mozambican market to investors abroad.  Indico Real Estate Agency's main line of business is the sale of Hotels, Resorts, Plots of Land, Villas, Houses, Apartments, Private islands, Commercial properties, Residential properties, Projects (land sale as well as building permits) and Complexes in Mozambique.
  • Mozambique is also a Friendly welcoming investment environment all add up to a unique investment and lifestyle opportunity. Irresistible destination and a serious contender for anyone wanting to make an investment in an overseas property.


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Name: Lisa Dunn - Tourism Grading Assessor
Phone: +27 (0) 82 928 8002
Email: Lisadunnsa@gmail.com

Tourism Grading Assessment

  • I am an independent registered Tourism Grading Assessor with the Tourism Grading Council of South Africa (TGCSA). I have been doing star grading since 2005.
  • The star grading of properties involves assessing accommodation establishments and conference venues against a set of criteria in order to determine a star grading level based on international standards, from 1 star to 5 stars.
  • The various categories include game lodge, nature lodge,  hotel, small hotel, boutique hotel, apartment hotel, guest house, country house, bed & breakfast, self-catering: exclusive-use and shared vacation, caravan & camping, backpackers & hostelling and a range of conferencing and venue categories.
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  • I can also do pre-grading assessments for accommodation establishments and conference venues.

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Name: Ooba (Pty) Ltd
Phone: +27 (0) 21 481 7300
Email: bronwyn.philip@ooba.co.za

Mortgage Origination

ooba offers you:

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Name: SK Sambu Tours & Transfers
Phone: +27 (0) 718013270
Email: sksambu@gmail.com

Johannesburg based Tours & Transfers Operator

  • Function trips
  • Tours,
  • Shuttle services
  • Transfers
  • Transport disability with accessible lift vehicle 

We look forward to being of service to you.

Kind regards

King Sambu

 


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Name: Soul Private Collection
Phone: +27 (0)78 499 8280
Email: partner@soulprivatecollection.com

Hotel Management and Marketing

  • We are an established hotel management and marketing company and have acquired a selection of managed properties. Collectively we have over 20 years of hoteliers’ management experience, tourism marketing, and the management of boutique properties.
  • We are incredibly passionate about our properties, our guests, and our staff. We are here to make your life easier and get you the best return on your investment. Allow us to work our soulful magic and take your property to new heights. We rely heavily on data intel and share this with our partners monthly.
  • Our Management Services are Finance I Sales & Marketing I Central reservations I Operations I Information technology and Human Resources. We are constantly striving to see how we can make a difference and get you the best return.
  • We are partnered with a Tour Operator, located in Germany, an expert in tailor-made luxury holidays. They have been successfully creating travel itineraries using our properties at SOUL Private Collection, South Africa. The awesome synergy between these two companies works well as we are guaranteed international travellers from our partner.  We are passionate and will provide you with excellent service.
  • For more information, please go to www.soulprivatecollection.com. We look forward to hearing from you.

View Partner's Website
Name: The Dumb Butler Hospitality Suppliers
Phone: +27 (0) 21 203 0307
Email: orders@tdbutler.co.za

Hotel Linen Suppliers

LUX Award Winners 2021 for The Best Hospitality Suppliers. We are a proudly South African brand established in 2006.

We Supply:

  • Hotel Quality Linen
  • Snag-free Towels
  • Hotel Blankets
  • Duvet Inners and Pillows
  • Hotel Safes
  • All Guest Amenities
  • Personalised Gifting
  • Branded Clothing and Sportswear
  • Beds & Mattresses
  • Head Boards
  • Lounge and Pool Furniture
  • Guestroom Mini Kettles
  • Hotelware- ALL Cutlery & Crockery
  • All Catering Equipment
  • Glassware
  • Tents and Outdoor Equipment
  • All Hotel Equipment
  • We specialise in Guesthouses, Game and Guest Lodges

View Partner's Website
Name: The High Street Auction Company
Phone: +27 (0) 11 684 2707
Email: james@highstreetauctions.com

Property Auctioneers 

  • We have established ourselves as the premier marketplace for selling and buying property with several national auction records to our name.
  • We specialise in the hospitality, retail, commercial, industrial, land and residential property markets across the country.
  • Whether you are buying or selling property you can benefit from our effective, fast, risk free way to transact in a protected & transparent environment.
  • Give the international award winning specialists a call today to maximise the returns on your next property transaction.

Appreciating Property Value

 


View Partner's Website
Name: Touch Point Retail
Phone: +27 (0) 84 920 1177
Email: diane@touchpointretail.co.za

Smart Interior Design

  • Touch Point Retail is a certified partner and installer of Cover Styl’ - smart interior design.
  • Cover Styl’  is a cost-effective self-adhesive architectural film that can cover almost any surface. The range offers 471 patterns and textures in 9 categories.
  • This material can transform any living space in no time and is a cheaper quality alternative for establishments that want to do any renovations or changes.
  • Transform your lobbies, bedrooms, corridors, bathrooms, feature walls, furniture etc. with this cost-effective solution.
  • This product is new to South Africa but is used extensively in the UK and other parts of the world. Touch Point has exclusive access to this product and are excited to help you transform your establishment today!
  • The message here is to rather refurbish than replace, this product offers instant gratification as it is non-invasive and fast to install. 

View Partner's Website

Cliff Jacobs (Nat Dpl Hotel Man (UJ). MPRE. GA Level 5 TEFL)

Managing Principal / CEO

Exquisite Hotel Consultants (Pty) Ltd

Mobile: +27 (0) 84 413 1071 / +27 (0) 61 716 6951

Email: cliff@exquisitehotelconsultants.com

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