Issue 3 2011 by Tourism Tattler

EDITORIAL

From the Editor’s Desk It’s time for Indaba 2011, and like the rest of the tourism industry, SATSA staff will be making the Great Tourism Trek down to the coast. For a week, companies large and small, well-established and brand new, will throng the halls of the ICC complex, marketing tourism to our beautiful land, and indeed of most of Africa below the equator. This year we will think with sympathy of our African colleagues in the north, who are watching helplessly as their hard won tourism industries disintegrate amid the rubble and smoke of political dissent. That damage will take a long time to repair even if, although sadly it seems unlikely, political solutions are found soon. There are voices who ask why we still have Indaba. Surely we can market just as well, and much more cheaply and effectively through the Internet and on social media? There is no denying that they have some sense on their side. Survey after survey shows that people are using the Internet more and more to research their holidays and business trips. But it does miss one vital point.

know the person with whom you are doing business, and keeping up with relationships forged over years. Are his or her values the same as yours? Do you think the same way about important issues like responsible tourism? Do you feel you can trust this person with your valuable clients? And there is always something new to learn – new places, new people, new ways of doing things that smart business people absorb, and go back to their offices to implement in their own products. It is instructive to find out just how we compare on the world stage – for good or ill. There’s an old saying that “If you do what you have always done, you’ll get what you have always got.” We need to meet and learn from each other on a regular basis. After all that’s what an Indaba really is! Marjorie Dean

COVER STORY Business is about people. People who work as a team to form a holistic unit, providing a complete circle of service that starts with the client and ends with the client. But people do occasionally err in their eagerness to succeed, which is where software comes in handy. To find out more about how Travelogic’s tour operator software can streamline your business operations see page 19.

Travel and tourism are very personal experiences. Buying a holiday is not like buying a fridge or a piece of furniture. You can’t take it back if it’s a disastrous experience. What you take home from a trip are memories, and those memories stay with you forever. They are a part of your life history, and unique to you. So most people want a personal contact, a relationship they can trust. This applies just as much to tour operators as to individuals. Our industry has proved over the years that the best business relationships are based on good interpersonal relationships. There is just no substitute for ‘face to face’ meetings, chatting over a coffee, a drink or a meal, getting to

3/2011

SATSA Tourism Tattler Trade Journal

CONTENTS

SEATRADE AFRICA CRUISE FORUM

COMPETITION

03 06

From the Editor’s Desk Letters to the Editor

20 21

ACCOLADES Tourism Sparkler - Vanessa Sand

SATSA Message from the President Heather Gutierrez

10 11

NICHE TOURISM Volunteer Tourism - Part 2 Cruise Tourism

EVENTS Vaal Meander Wine Route 2011

ATTRACTIONS Hot Air Ballooning in Style

14 16

HOSPITALITY Star Grading Relaunched Essential Guest House Licenses

18 19

Companies Act Exposures Tourism Industry Provident Fund

INVESTMENT Soft Landing Pad for Investors Real Estate Investment Opportunities Best Sustainable Tourism Investment iLembe Investor Summit

26 26 27 28

MARKETING The Neo-frugal Traveller Hotel Basics Improving your Marketing Mix A Sense of Adventure

22 23 24

BUSINESS TOURISM KZN Convention Bureau

33 34 35 36

TRANSPORT New Transport Laws Prepaid Toll Solution? RAF Update RISK Personal Injury Risk Solution Low Risk Benefits Japan Disaster Costs Golf Tourism Risk Solution

BUSINESS The New Profit Rules - Part 1 Help Your Business Grow

37 38

RESPONSIBLE TOURISM Landmark Community Agreement Mossel Bay’s Whales & Dolphins

29 30 32

ADVERTISE IN THE TOURISM TATTLER Reach over 13 000 subscribers (100 000+ readers) in the southern Africa tourism trade. Published alternate monthly (6 issues per year) in Jan/Feb, Mar/April, May/ Jun, July/Aug, Sept/Oct and Nov/Dec. Back issues available for download 365 days a year at www.tourismtattler.co.za Contact our National Sales Director Beverley Langkilde on +27 (0)32 947 2554 / +27 (0)71 224 9971 / bev@tourismtattler.co.za

SATSA Tourism Tattler Trade Journal

3/2011

18 NEW PROFIT RULES 39 39 39 39 40 40 40 40 41 41 41 42 42

03 06 12

TRADE NEWS Family Fun in Botswana New Golf tourism Association Ezemvelo assists India Green Bus Project Sandton Sun’s Chaine des Rotisseurs Blazon New Three Cities Gateway Hotel Thompsons Northern Cape Tours Climate Change Leadership Award Call Last Lions Appeal New CEO for Lonrho Hotels Thebe Tourism bids CEO farewell Tourism Boost for PE Transportation of Animals COMPETITIONS Win a stay at Madikwe Hills Private Game Lodge Win a ‘Big Cat Odyssey’ DVD Win one of three Vaal Meander packages READER SPECIAL OFFER Hot Air Balloon Experience

THE TOURISM TATTLER IS A RESPONSIBLE READ Please enjoy your copy of Tourism Tattler secure in the knowledge that it is produced responsibly. The Tattler is printed on Sappi Triple Green paper, which is wood-free, chlorine-free and acid-free. Even the litho printing inks are environmentally friendly as they are soya based and water soluble, so in fact we’re pretty ‘green’ there too.

Issue 3 of 2011 (May/June)

KZN INVESTMENT OPPORTUNITIES

RAF UPDATE

ADVERTISERS The Tourism Tattler gratefully acknowledges the following advertisers for their support, without which the journal would not be able to maintain its free distribution to the tourism trade.

EDITORIAL CONTRIBUTORS

01 02 07 15 19 20 21 22 23 27 29 31 33 35 36 43 44

Travelogic SATIB Africa Mercedes-Benz Commercial Vehicles Tourism Grading Council of South Africa Travelogic Tour Operator Software SATIB Life Checkers Business Card Tourism Investment KwaZulu-Natal Tourism Investment KwaZulu-Natal Brochure Management Savage, Jooste & Adams Attorneys Avis Rent A Car / SATIB Risk Solutions SATIB Risk Solutions SATIB Commercial & Industrial Risk Solutions Active Underwriting / TRUM FSATGA / SATIB Risk Solutions SATIB Risk Solutions

Disclaimer The Tourism Tattler is published by Tourism Tattler (Pty) Ltd and is the official trade journal of the Southern Africa Tourism Services Association (SATSA). The Tourism Tattler digital e-zine, is distributed free of charge to bona fide tourism stakeholders. Letters to the Editor are assumed intended for publication in whole or part and may therefore be used for such purpose. The information provided and opinions expressed in this publication are provided in good faith and do not necessarily represent the opinions of Tourism Tattler (Pty) Ltd, SATSA, its staff and its production suppliers. Advice provided herein should not be soley relied upon as each set of circumstances may differ. Professional advice should be sought in each instance. Neither Tourism Tattler (Pty) Ltd, SATSA, its staff and its production suppliers can be held legally liable in any way for damages of any kind whatsoever arising directly or indirectly from any facts or information provided or omitted in these pages or from any statements made or withheld or from supplied photographs or graphic images reproduced by the publication.

Alex Laurence Alex Van Niekerk Amanda Ă&#x2021;etin Anna Malczyk Bridget James Bronwyn Davidson Charlie Cook David Wilening Des Langkilde David Pratt Dianne Ramage Harold Goodwin Heather Gutierrez Jemima Sissons Kirsten Clark Marjorie Dean Murray Anderson Nicky Arthur Paul Miedema Sandra Mombelli Santa Zeiss Suzette Strydom Thokozani Chilli William Croxton

The Tourism Tattler distribution is certified by the Audit Bureau of Circulations

PUBLISHER Tourism Tattler (Pty) Ltd. PO Box 891, Umhlanga Rocks, 4320 KwaZulu-Natal, South Africa. Company Reg.No.: 2006/015252/07 Website: www.tourismtattler.co.za MANAGING EDITOR Des Langkilde Tel: +27 (0)32 947 2554 Cell: +27 (0)82 374 7260 Fax: +27 (0)86 651 8080 E-mail: editor@tourismtattler.co.za Skype: tourismtattler EDITOR Marjorie Dean Tel: +27 (0)11 886 9996 Fax: +27 (0)11 886 7557 E-mail: communications@satsa.co.za Skype: satsa-comms ADVERTISING MANAGER Bev Langkilde Tel: +27 (0)32 947 2554 Fax: +27 (0)86 656 3860 Cell: +27 (0)71 224 9971 E-mail: bev@tourismtattler.co.za Skype: bevtourismtattler SUBSCRIPTIONS Email: subscriptions@tourismtattler.co.za Skype: subscribetourismtattler DESIGN & PRODUCTION Michelle Bode Tel: +44 1873 812131 Cell: +44 7783 985762 E-mail: michelle.bode@gmail.com skype: michellerobynbode www.tourismtattler.co.za PRINTING Pinetown Printers Tel: +27 (0)31 701 8019 MAILING Lithotech Africa Mail Tel: +27 (0)31 208 6132

Official Trade Journal of the South African Tourism Services Association (SATSA) P O Box 900, Ferndale, 2160. Third Floor, Petrob House, 343 Surrey Avenue, Ferndale, Randburg, Gauteng, South Africa. Tel: +27 (0)86 127 2872 Fax: +27 (0)11 886 7557 Website: www.satsa.com 3/2011

SATSA Tourism Tattler Trade Journal

EDITORIAL

Letters to the Editor Winning Letter Dear Editor, I would like to take this opportunity to respond from an insurance perspective to a letter that was published in the Issue 1 2011 edition of the Tourism Tattler. From an insurance point of view, South African law states that a vehicle driven by a Tour Operator or Tour Broker must have specific permits and that the onus lies with the owner of the vehicle to ensure that these permits are valid and correct. If an incident occurs, the insurer may call on the owner or operator to furnish proof of these permits. All insurers are required to operate according to the letter of the law and as such, a claim would be prejudiced if the owner is not able to show that they possess the valid permits. If a tour operator has hired out their vehicle to another operator, the hired vehicle would need to hold a permit (CFO, etc). Bernadine Swinney SATIB Risk Solutions

Win W Congratulations to Bernadine Swinney of SATIB Risk Solutions in Umhlanga Rocks who has been chosen as the winning letter for this edition of the Tourism Tattler and received a copy of the ‘Big Cat Odyssey’ DVD with the compliments of Livingstones Supply Co. - Suppliers of the Finest Products to the Hospitality Industry. For more information visit: http://www. livingstonessupplyco.co.za/library/ dvds/dbj-dvd-big-cat-odyssey.html The winning letter published in the next edition (Jul/Aug) will also receive a copy of the Big Cat Odyssey. Letters should be sent to editor@tourismtattler. co.za

Dear Editor, On February 22, 18 days after the initial publication of the toll tariffs, Minister of Transport, Sbu Ndebele, announced that he had met with the Gauteng Premier, Nomvula Mokonyane, and that “the gazetted tariff for the tolling of the Gauteng Freeway Improvement Plan will be suspended until further notice”. Avis Rent a Car was among the many voices raised to express its approval of the decision. The dissatisfaction, concern, even anger voiced by numerous parties, including the African National Congress itself, the Congress of South African Trade Unions, freight companies, taxi associations, and our own Southern African Vehicle Rental and Leasing Association (SAVRALA) as well as the general public, made it clear that the decision on tolls had been precipitous. The Minister’s announcement will give all stakeholders invaluable opportunities to engage in a far more transparent manner to examine more thoroughly every single aspect of the tolling system and the very complex impacts it will have on all the different levels of our population. I warmly welcome the news that a task team has been established to review the entire financial model. It is crucial that all road users be able to consult now. It would appear from reaction reported in the media that many organisations and bodies feel that their members’ interests have not been adequately considered. Now is their opportunity to become closely involved. It is not only business that will suffer from exorbitant tolling fees, but private individuals from all walks of life, especially the unemployed and those from lower income brackets. I also suggest that the use of general taxes and particularly fuel levies and licence fees should be restructured, so that vehicle- and transport-related taxes are channelled into infrastructure upgrades and maintenance. Currently these taxes are all absorbed into the general fiscus and not allocated to the road and transport system. In developed countries, this is not the case. We have an opportunity here to learn from the successes of other economies. Personally, I believe that funding for this project could have been easier and cheaper to handle by applying a percentage increase per litre to the price of fuel at Gauteng pump stations, which in turn could be channelled to fund the roads in Gauteng.

SATSA Tourism Tattler Trade Journal

3/2011

Through its membership of SAVRALA, Avis has been actively engaging with the South African National Roads Agency Limited (SANRAL) to establish a system integration which will enable the car rental industry to keep real-time track of charges. We must have a user-friendly toll fee management service for our valued customers. Many fleet and car rental organisations need a direct and live link to information to update their billing systems. The tolling system will lead to a significant increase in expenses just in relocating vehicles between branches and regions, in addition to the toll fees attracted. I estimate the impact of tolling on operating costs for the industry at between R5 million and R8 million per annum. High-level scenario calculations add an extra R5 million to R7 million per month to the car rental bills of visitors to the Gauteng area . That is assuming that approximately a third of the kilometres travelled per day will be tolled, taking into account that many car rental vehicles start and end at the airport, which is reached via tolled roads. This is an increase of between 5 per cent and 7 per cent to the cost of car rental charges for the customer. I hope that this step backwards to regain perspective will be used to answer questions with greater transparency. We would like to know how fees collected are going to be expended. When will the burden of the road upgrade actually be paid off? Will the fees then be reduced? Will they be used to cover maintenance costs only? Uppermost in future consultations should be complete transparency and broader engagement with the public and business at large. To date there has been too little of that. We all now have an excellent opportunity to ensure that proper discussion and consultation can lead to the development of a system that is fair and equitable to all, ironing out all the problems, designing appropriate solutions for different categories of road users and still accumulating sufficient funds to settle the bill. Wayne Duvenage Chief Executive, AVIS Rent-a Car Read what SANRAL had to say on Page 30 Ed.

ACCOLADES

Tourism Sparkler There’s no substitute for ‘paying your dues’

If you want to succeed in the tourism industry, there is no substitute for a good idea, but you have to back it up with hard graft over time, says Vanessa Sand, founder of AA Travel Guides.

from

young

mother,

with

given to every establishment listed, to

two small children, she

ask guests to fill in as they left. It was a

had a couple of really

memorable occasion for many reasons.

bad local holidays way

The first event of its kind in South Africa, it

back in 1986. Coming

was held at Kyalami, and was marked by a

was

serious power cut (not the norm in those

disappointed to find that there was no

background,

days!) so ended up being held, cosily,

easy and comprehensive way of getting

in a small room lit by candlelight! After

information

accommodation

that inauspicious start, the programme

around South Africa, particularly the

has developed and grown, is respected as

In 1998, the grading system run by

kind of self-catering establishments she

operating on a fair comparison system,

South African Tourism had collapsed, and

needed, so she decided that perhaps

and has become one of the highlights

Vanessa approached the AA in the United

there was a gap in the market, and she

of Indaba every year for accommodation

Kingdom for advice on how to run an

would put together

about

she

a comprehensive

owners. The AA awards are much coveted

efficient grading system. However, when

accommodation database.

and competed for.

the Tourism Grading Council was set up

It wasn’t easy. After two and a half years

By 1995, after another two and a half

full grading to concentrate on the AA

of research, visits to establishments

years of hard graft to put together an

Quality Assurance Programme, which it

herself and by her friends and family,

accurate database, the first AA Hotels and

now runs as a product endorsement for

many late nights and much hard graft,

Lodges Guide was published. By this time

accommodation owners. Assessors visit

the first ‘Self-Catering Guide’ book was

AA Travel Guides was a regular exhibitor

establishments by appointment.

published in 1988. The first edition sold

at Indaba, and the local and international

6 500 copies, and the updated edition the

reputation of the Guides was growing

The

following year sold 10 000 copies. Those

fast.

Accommodation Directory contains some

in 1999, the company stepped back from

were impressive figures in the local book

brand

new

20111/2012

2 500 establishments and is now the

market, so Vanessa Sand was on her way.

In 1996, AA Travel Guides launched its

In 1991, realising that most local holidays

first website www.aatravel.co.za, which

were taken on a self-drive basis, she

was taken up increasingly as Internet

The AA Travel guides office has a busy

entered into an agreement with the

access spread among South Africans. It

staff of 50 people, including 15 assessors.

Automobile Association of South Africa

has been regularly refurbished and has

Longest serving staff member, apart from

(AA), and opened her first formal office.

again been revamped and relaunched

Vanessa herself, is Assessor and Account

The first AA Self Catering Guide was

this year. The website is fully integrated

Executive Elaine Parr, although many of

published in 1992, with some 1300 or so

with

the staff have been there over the long

self-catering establishments listed.

manage quality assessment and content,

administration

system

company’s flagship publication.

haul.

and also incorporates accounting and

The AA Accommodation Awards was

administration. There is no commission or

For the future, Vanessa Sand says she

launched in 1993, after a decision had

booking fee to people who book via the

is always looking at new technology to

been taken to compile databases based

website, as each establishment pays to be

make her systems more efficient. She will,

on customer feedback forms which were

assessed.

of course, succeed.

SATSA Tourism Tattler Trade Journal

3/2011

EDITORIAL

The President’s Message Well here we are again, another Indaba! It seems like yesterday that we were preparing for Indaba 2010 with soccer fever running high and vuvuzelas blasting as we prepared for the forthcoming Soccer World Cup. That’s now a distant memory for most and we are focusing on the way forward in these challenging times. SATSA has supported our members with more and more initiatives aimed at assisting them to run successful businesses. At Indaba 2011 I would suggest that the companies flying the SATSA flag, literally and figuratively, be supported by those looking to find new, innovative and trustworthy product to include in those ever changing itineraries that our international travellers are demanding. By choosing to work with a SATSA member you are guaranteed a high quality of service being provided by a company that has the necessary credentials to be a SATSA member.

We have had, and are still looking forward to, some amazing international performers coming to South Africa. These events, for example the Cape Town Jazz Festival and U2 Concert held recently, draw a significant amount of visitors from African countries. That’s positive! More and more companies are focusing on ecotourism and sustainable development programmes, and not because they are under obligation to get on the bandwagon, but because they have realised that we have one world and we need to leave a legacy behind for the next generation, and the next. That’s positive! So, I for one am tired of focusing on the negative and have chosen to focus on the positive. I invite you to join me in making this a Positive Indaba 2011. Enjoy it and take something positive home with you. Yours in tourism Heather Gutierrez

Despite the difficult times, there is so much that is positive happening in our country and I choose to focus on this and stop harping on the hard times. The tourism industry is dynamic and we are moving with the times. We used to be able to say that what worked for tourism in Southern Africa and what our visitors expected from us two years ago has now changed, but this is an understatement of note! These days the international visitor requirements and expectations change on an almost daily and certainly a monthly basis and we are moving with the times. What has happened recently is that companies have taken a step back to reassess where their focus lies, and have as a result in many cases restructured and refocused their efforts accordingly. That’s positive! We are no longer waiting for the ‘global economic downturn situation to improve’; we have attacked it full on and are making the adjustments necessary to move forward with the times. That’s positive! Companies have taken initiatives to improve service levels within their organisations as it’s a necessity to get the most out of every single staff member, there’s no more space for the proverbial ‘hangers on’. That’s positive! We have new and exciting forums taking place in South Africa. The Seatrade Africa Cruise Forum which is taking place hot on the heels of Indaba 2011 at Fairmont Zimbali Resort, just north of Durban is one example. The forum brings decision makers from major cruise lines together to discuss core issues relating to this fast growing sector of the tourism market. It’s been hosted in Europe, Asia and the USA, and now it’s our turn. The fact that it’s taking place directly after Indaba increases visitors and serious buyers to Indaba, by nature of their delegate base. That’s positive!

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SATSA Tourism Tattler Trade Journal

NICHE TOURISM

Part 1 of this article was published in the issue 2 (Mar/Apr) 2011 edition and is extracted from a presentation delivered by Paul Miedema at the SAYTC Conference in 2010 and is published in two parts with Paul’s kind permission – Ed (SAYTC is an acronym for the South African Youth Travel Confederation; formerly BSA Backpacking South Africa).

Reflections on Voluntourism Part 2 Looking at Voluntourism, far more contentious I believe are the potential negative impacts for communities, environmental or conservation projects. And secondly, the blatant exploitation of enthusiastic volunteer travellers. Let me deal with the latter issue first. There are many anecdotal stories of volunteer exploitation within the volunteer sector, blogs, and newspaper chat forums. One I found on the name and shame website irresponsible travel.com tells the story of a volunteer who was sold a placement at a turtle project, only to discover on arrival that the turtles are never to be found at her destination at the time of year. Another tells the story of a young woman who went to work in an orphanage in Kenya. She was collected at the airport, and dumped at an orphanage where there was no food, little in terms of resources, and her first contact with anyone was two weeks later. Needless to say the young woman was severely traumatised. A colleague of mine who has placements with a marine based research project found a girl who paid 2000 pounds more for the same experience her client was having. The UK based operator was putting a huge mark up on the product. What is of interest to me, is that when booking a holiday, an ordinary trip, clients will ask for all kinds of details about where they will stay, the kind of transport, hotel etc. However, some unscrupulous operators make the volunteer feel uncomfortable about asking pointed questions – as it is about helping others you know! Educating the consumer So there needs to be an education of the consumer. They need to be encouraged to ask questions. There should be clarity of how much money goes where. Too often volunteers are told money goes into the community, only to find out 75 per cent of the money stayed with the agent! To use our own company and placement agency as an example, volunteers are told exactly how much money goes to the placement agency, how much money goes to transport, accommodation, project management, and finally exactly how much goes to the project. Furthermore, our volunteers can identify how the money is used. So those of us that sell or facilitate volunteer placements need to be

SATSA Tourism Tattler Trade Journal

thorough, and cautious about with whom we do business. We need to develop long-standing partnerships that are sustainable with the source of our business. It’s not that complicated. Do you want to do business with crooks? What are the chances of that leading to a long-term sustainable business for yourself. Host communities For host communities, there are a number of issues that need to be considered. A common occurrence is that communities eager for assistance, and vulnerable, are bullied or exploited by volunteer service providers. For example when a project receiving volunteers has little say in the volume of volunteers placed. Very many of the source market agents will sell you a placement over the phone, or internet, as long as you have that credit card handy. The result is sometimes 10 or 12 GAP years hanging around with little to do other than get in the way of work being done. I have witnessed this in the townships of Port Elizabeth. Community projects need to have the final say in who gets placed. Otherwise who is being served? An oversupply of volunteers leads to a poor volunteer experience, for both volunteer and community. Community needs Another common problem is in how community needs are assessed, and whether individual volunteer skills are matched to these. I am not a believer in ‘one-size-fits-all’ volunteer programmes. I believe skills need to be matched to projects. And I have serious doubts about certain volunteer projects that require no skill, but only labour. We have an unemployment rate of 40 per cent, so cheap labour is not required – especially if it only serves the interest of someone who comes from a well resourced country. Locally based volunteer placement agencies need to assess needs in the community on an ongoing basis. Needs in development change, community needs are dynamic, so to have a placement that never changes reflects a lack of ongoing needs analysis. How involved are the locals served by the project in inputting around the placements? And what is the capacity of the local project to manage volunteers? These are important questions, which if ignored, result in negative, destructive, sometimes irreversible impacts. Another sensitive but critical issue is the screening of volunteers. I work with children in poor communities, and with vulnerable adults. What is the potential negative impact if I allow a sexual predator into that community or project? Not all volunteers come with pure intentions. We take our work placements seriously, so seriously that we want references from clients before they come. And we check them, or rather our placement agency does. In the UK and many other countries to work with youth, as a church leader, scoutmaster, soccer coach, whatever, you need a criminal screening. Why must we accept less in South Africa? I trust that you are beginning to see the vast arena of potential negative impact. There are many delicate and sensitive areas that need to be managed from within the destination. It requires a good understanding of working with community, and a good understanding of working in partnership with community projects. It is a fairly specialised area, although 3/2011

judging by all the players coming into the market, you would never say so. Positive Impacts? Despite these potential negative impacts a well prepared, screened, skilled volunteer can make a tremendous positive impact in host communities. Our own experience has been that skills transfer, capacity building, as well as physical infrastructure can be provided from volunteer placements. Well-run volunteer placements can develop a level of social interaction and understanding that is profound. It can result in the ‘humanising’ of poverty, it can give a face to poverty and vulnerability that is real, and lead to a sense of a shared humanity. It is often a life-changing experience for the volunteer; an experience

that shapes purpose and belief, and can shift consciousness towards the understanding of a shared humanity. It can and does lead to an understanding of our interconnectedness as people. It also can lead to a well-placed understanding of community needs that leads to needs-based travellers philanthropy. Volunteers who have been well managed and have developed an understanding and a confidence in a community project where they have worked, are in a good position to go back to their own communities and leverage resources to the advantage of the community or project. The fact that it is based on a real understanding of needs, is often a critical success factor. As a destination we offer tremendous scope for volunteer placements. At Calabash we see this as a potential growth area, and one we will pursue. The market is large, and while competitive, South Africa offers the diversity of community, eco and marine opportunities of voluntourism few countries can match. However, if we do not self-regulate this sector, the real threat exists that destinations will become stigmatised as unethical and exploitative. This would be a great loss, both to the tourism industry, as well as the many good projects currently benefiting from it. Paul Miedema runs: • Calabash Tours - ‘At The Heart of Responsible Tourism’ www.calabashtours.co.za; and • Calabash Trust - ‘Making Tourism Work For The Local Community’ www.calabashtrust.co.za. Tel +(27)41 585 6162

NICHE TOURISM

Untapped Cruise Tourism Potential The potential that exists around the African continent for cruise lines seeking virgin territories and new experiences for their guests is vast and as yet largely untapped, writes Amanda Çetin of Seatrade.

large part of this potential lies on the Indian Ocean coasts, where the majority of ports are in close proximity to game reserves boasting an abundance of the ‘Big Five’ of the animal world, a sure-fire shore excursion winner for cruise passengers. MSC has increased its seasonal presence to two vessels and has invested in improved embarkation facilities at the Port of Durban as well as developing areas of Portuguese Island in Mozambique. The 1,544 passenger MSC Sinfonia will finish her second extended season in the region this May and 1,064 passenger MSC Melody has now joined her, increasing MSC’s regional capacity to more than 100,000 passengers. By the end of this cruising season Durban will have welcomed in excess of 60 cruise calls. Costa, Princess Cruises, Crystal Cruises, Silversea, Travel Dynamics, Oceania and Fred Olsen are all active on the African continent, whether it be with cruises visiting the east and west coasts, the Cape Verde Islands and St.

SEATRADE AFRICA CRUISE FORUM Fairmont Zimbali Resort - 10-12 May 2011 Participants will hear from cruise line experts on what they need to see from Africa in terms of port operations, infrastructure, hospitality, shore excursions and regulatory environment as well as the region’s own potential as a source market for cruise passengers.

Helena, Algeria and Tunisia in the north or calling at the islands of Madagascar, Mauritius and Reunion.’ Zebras come to the pool.

It is expected that more lines will be attracted to the collaborative opportunities this part of the world has to offer in the near future. For more information contact: Amanda Çetin at Seatrade on +44 1206 545121 or acetin@seatrade-global.com or visit www.africacruiseforum.com

3/2011

SATSA Tourism Tattler Trade Journal

EVENTS

Vaal meander wine route 2011

The annual Vaal River Wine Meander (09 July – 14 August 2011) boasts a unique aspect to it which distinguishes it from all the other Wine Routes in South Africa, namely the record number of ways in which you can visit this annual winter treat, writes Dianne Ramage. Be it by car, luxury cruiser, limousine, helicopter, speedboat, vintage car, houseboat, donkey cart or tour bus – this Wine Meander has something for everyone.

Wine tasters at Emerald Casino High Stakes Restaurant on a wine tasting tour 2010

Wine lovers might just want to enjoy a casual meander in their own car past the dozen wine venues on and around the banks of the Vaal River – or you could do it electing to use any of the many transport options available to you. In its ninth year of existence, this pleasant winter outing has grown in popularity over the years due to its well priced structure (R20.00 for tastings of at least eight different wines) and its close proximity to Johannesburg (45 minutes), and good highway access to a country environment with a holiday feeling. Every winter a dozen or so Vaal venues each align themselves with the best South African Wine Estates and for those six weeks each becomes a mini Wine Estate – representing wines from those Estates and immersing themselves in treating guests to an experience of fine wine tasting. If you are wanting to organise a corporate or private outing during these months – there are a number of different packages from which you can choose – they will even tailor a package for your individual needs. The cost of the Wine Show at the Emerald Casino from 30 June – 02 July will be R60 per person per day. For more information contact Dianne Ramage on 082 465 1243, info@vaalwineroute.co.za or visit www.vaalwineroute.co.za.

COMPETITION Win one of three (3) Competition Packages, each consisting of: two nights B & B accommodation at one of the luxurious Hotels or Lodges en-route, a morning Spa Treatment or Golﬁng Special, an afternoon Wine Tasting Tour either by limousine, horse-cart, vintage car or river cruiser including a delicious wine pairing lunch at an upmarket river venue. Added to this is a further fabulous Cruising Wine Tasting Luncheon on the Sunday plus a hamper of wines for the guests before they leave the Wine Route to return home. To enter; e-mail your name and contact details, with TATTLER VAAL WINE ROUTE COMPETITION in the subject ﬁeld to editor@tourismtattler.co.za by 01 July 2011.

Passengers disembarking at the River Palace on the same wine tasting tour.

SATSA Tourism Tattler Trade Journal

3/2011

All competition entries received from Tattler readers will be submitted to the Marketing Team of the Vaal River Wine Route, who will conduct the draw before the end of July 2011 and will advise the winners accordingly. In addition, the three lucky couples’ names will go into a ﬁnal draw to win one of three fabulous Wine Tasting Weekend Getaways on the last two weekends of the Wine Route. i.e. 05 or 12 August 2011. The Rules of the Competition can be viewed at www.vaalwineroute.co.za. While Tourism Tattler (Pty) Ltd will assume no liability and have no ﬁnancial interest in this competition, the results of the competition will be published in the Issue 5 (Sep/Oct) edition of the Tourism Tattler as a service to readers.

ATTRACTIONS

Treat your guests to a Hot Air Balloon Safari

in style!

Tourism is about creating lasting memories, and what better way to treat your guests than a hot air balloon experience, writes Alexis Laurence of Bill Harrop’s ‘Original’ Balloon Safaris.

estled in the Magalies River Valley, in the lee SPECIAL OFFER TO TATTLER READERS of the ancient Book a balloon experience through Bill Magaliesberg Harrop’s ‘Original’ Balloon Safaris by Mountains in the Cradle of e-mailing tattler@balloon.co.za at only Humankind World Heritage R1,800 per person (rack rate R2,300), plus Site, is the beautifully a hot beverage with biscuits on departure, appointed Clubhouse Pavilion an exhilarating ﬂight, celebratory glass of and Restaurant, which sparkling wine on landing, a full breakfast overlooks a hot air balloon and a ‘Citation for Bravery’. launch site that boasts what is arguably the safest and most reliable ballooning weather in the world. It provides comfortable shelter, and affords guests the opportunity to freshen up in stylish amenities prior to the flight. Tea, coffee, fresh hot ‘out of the oven’ muffins and biscuits are served on the Pavilion veranda to the intrepid explorers-to-be while, under floodlights and warmed by a welcoming bonfire on chilly winter famous flapjacks to salmon and cream cheese to the mornings, they watch the professional crew set up the more traditional components of an English breakfast, balloons. all tastes and dietary requirements are catered for. An almost imperceptible take-off and the Pavilion Clubhouse and Restaurant begins to vanish from view. At the behest of the winds (and your pilot’s good judgement, of course) you may climb up to a kilometre into the sky or skim the treetops but a few metres from the ground – perhaps with a glass of South African bubbly in hand. However while you relish the sights and sounds as afforded only by a hot air balloon, at the Clubhouse Pavilion and Restaurant your hosts are busying themselves preparing a sumptuous full English breakfast for you upon your return. The breakfast, beautifully prepared and presented (and accompanied by yet more South African Champagne), is served on the veranda where you will be attended to by professional catering and waiting staff. From the

After you have had your fill, consider a leisurely stroll through the beautiful gardens or along a stretch of the Magalies River, or simply relax at the Clubhouse Pavilion and Restaurant and absorb the views of the valley from the ground while you savour your memories of those from the sky. Ballooning provides a truly unforgettable experience, from arrival through take-off to eventual departure, is a memory to be truly cherished.

For more information contact Bill Harrop’s ‘Original’Balloon Safaris on Tel: 011 705 3201 or Fax: 011 705 3203 or E-mail: tattler@balloon.co.za or visit their website at www.balloon.co.za

3/2011

SATSA Tourism Tattler Trade Journal

HOSPITALITY

Tourism Grading Council launches

‘significantly changed’ new grading systems

- ‘PUTTING THE STARS WHERE THEY BELONG’

The Tourism Grading Council of South Africa has recently revamped its national grading programme. Marjorie Dean went along to the launch of the new system. The Tourism Grading Council of South Africa (TGCSA), one of the business units of South African Tourism (SAT), which is the official quality assurance body for accommodation establishments in South Africa recently launched its new Star Grading Plaque, together with the Universal Accessibility (UA) Plaque for accommodation and MESE (meetings, exhibitions and special events) establishments. The event took place in Port Elizabeth at the newly graded four-star King Edward Hotel and four-star Forest Hall Guest House, and was the culmination of a long process of revision and evaluation by TBCSA. The previous grading criteria were originally introduced in 2002, but a lack of uniformity in the awarding of stars and the impending introduction of the Consumer Protection Act (CPA) has also made it necessary to revise grading structures. The plaques were unveiled by the Minister of Tourism , Marthinus van Schalkwyk. Speaking at the event, he said, “As a tourism industry we are very pleased with this milestone reached by the Tourism Grading Council of South Africa (TGCSA). It is an important step in the establishment of an internationally competitive and credible official grading system in South Africa. “The TGCSA process to revise the grading system, which was started in 2008, has been extremely thorough and has resulted in world class standards that we as South Africans can be extremely proud of”, said the Minister. “The process entailed not only a review of grading criteria and minimum requirements, but also an overhaul of the entire operating system of the TGCSA in order to ensure a seamless process of managing quality assurance for tourism products. A significant amount of time and energy was spent during this process in finetuning the criteria to get them right for the industry. The aim was to not only ensure that South Africa can maintain its international competitiveness as a tourist destination, but indeed to show that we can be world leaders in terms of quality assurance. “We are very grateful for the cooperation and contributions of thousands of establishments

SATSA Tourism Tattler Trade Journal

and a variety of industry stakeholders, including the FEDHASA (Federated Hospitality Industry of South Africa) family of members, other associations such as SATSA (the South African Tourism Services Association), BABASA (the Bed and Breakfast Association of South Africa) and NAA-SA (the National Accommodation Association of South Africa) as well as the current Accredited Grading Assessors,” the Minister said. The review of grading criteria was one of the key recommendations resulting from a comprehensive review of the TGCSA by KPMG in August 2008, during which the TGCSA was benchmarked against the British, Australian and New Zealand quality assurance systems. TGCSA vision: Operating as one of the business units of South African Tourism (SAT), the TGCSA ensures the standard of quality of accommodation and conference venues, throughout South Africa through its stated vision: ‘To establish a recognisable and credible globally benchmarked system of quality assurance for accommodation and MESE (Meetings, Exhibitions and Special Events) experiences, which can be relied upon by visitors when making their choice of establishment’. The key changes at the TGCSA that have been implemented include the following: 1. The appointment of Awards Committee Members covering a broader range of skills necessary to adjudicate the awarding of Star Grades, such as architecture, hospitality, décor, travel and Universal Accessibility. 2. The re-design of the Grading Plaque to be displayed by graded establishments, which incorporates significant differences from the old system. The TGCSA is taking back control of the Plaque, with a new design which reflects a serial number together with the clear message that states that “This Grading Plaque is the property of the TGCSA”, thus making it legal for the TGCSA to remove the plaque from those establishments who insist on displaying it although no longer graded. 3. The purchase and installation of a new IT Back-Office to ensure a seamless Grading Process to be followed by Accredited Grading Assessors whenever they assess properties around the country. 4. The introduction of an equitable grading fee structure. The TGCSA has introduced a grading fee structure that takes into consideration the rate charged by the establishment, the star grading applied for as well as the number of rooms. Previously, for example, a 9-room Guest House in Mthatha charging R600.00 pp was paying the exact same Grading Fee as a 9-room Guest House in central Port Elizabeth 3/2011

charging R2000.00 pp. 5. The appointment of four Provincial Master Assessors. Based in Johannesburg, Nelspruit, Durban and Cape Town, these professionals service all nine provinces. They ensure the presence of the TGCSA within provinces and are accessible to resolve issues on the ground, thus improving service levels for both the establishments as well as the Accredited Grading Assessors. 6. Under the new system, the total points that can be achieved are now 1000 versus the 460 previously. This demonstrates the many new areas that have been added for assessment and the rigorousness of the process. 7. The Performance Management and Annual Review of all Accredited Grading Assessors using a Service Provider Agreement signed with the TGCSA. The Provincial Master Assessors play a key role in ensuring that the Service Provider relationship that the TGCSA has with all its Accredited Assessors is implemented to the benefit of all establishments and to improve quality standards across the country. 8. Training for all Accredited Grading Assessors and all TGCSA Head Office Staff. The TGCSA is dramatically changing and improving both its internal processes as well as the actual Grading Criteria. Training for all is an absolute must. An annual refresher course on grading criteria and minimum requirements has been implemented. 9. Phasing out of ‘Internal Assessors’. Some hotel groups have their employees trained on the TGCSA system and have them accredited as Grading Assessors. Consultation has commenced with these groups to phase this out as the TGCSA can no longer accept people who are players and referees at the same time. “The TGCSA, under the leadership of Ms Thembi Kunene, the Chief Quality Assurance Officer and Mr Bacon, the chairperson of the Awards Committee, has wholeheartedly embraced the responsibility of maintaining this internationally competitive quality assurance system. I would like to thank Ms Kunene and her team for their passion and dedication in ensuring our quality assurance is a leading global light. We believe that all the new developments bodes well for the tourism industry and most importantly the consumer,” Minister van Schalkwyk concluded. The TGCSA has its offices in Sandton, Johannesburg and is headed up by Chief Quality Assurance Officer, Ms Thembi Kunene. The chairman of the TGCSA is Mr Peter Bacon who has been appointed by the Minister of Tourism, together with the nine other members of the Awards Committee. Contact the Tourism Grading Council at: Tel: +27 11 895 3000 or visit www.tourismgrading.co.za

HOSPITALITY

Four essential licences for your guest house Running a guest house requires that you comply with all manner of laws and regulations – everything from transport licences and tourism certificates to health and safety standards. It can be challenging to ensure that you have all the necessary paperwork in place, and the risks of not complying are severe, writes Anna Malczyk for GetSmarter. Licences are important documents that allow you to do certain things on your property after you have been certified by the relevant authorities. You are always required to obtain a licence before you start performing the activity it regulates – you may not drive your guests around before you have a transportation licence, for example. In some cases, the licence is a prerequisite for starting your business: a trade licence, for example, is vital for a bed and breakfast. Here are four licences that you need to have, but may not have heard about. Trade licence If you sell or serve food at your establishment (and many, like bed and breakfasts, are obliged to), you will need to have a trade licence. Trade licences are usually issued by the local municipality, and are there to control and supervise establishments that serve food. Your guest house will be inspected by a variety of departmental representatives, and if everything complies with the relevant laws, you will be grated your licence. Contact your local municipality to find out exactly what rules apply to your area. Liquor licence In addition to a trade license, you also need a liquor licence if you want to sell or serve alcohol of any kind (even for free). These licences are issued by provincial liquor boards, and you should contact the one in your province to get detailed information about what is required. Liquor licences come in a variety of types,

SATSA Tourism Tattler Trade Journal

SAMRO music licence If you play music of any kind in your establishment where the public can hear it – background music during dinner, television in shared or private rooms, and so on – you need to obtain a licence from the South African Music Rights Organisation (SAMRO). Contact SAMRO for an application form. The licence fee is calculated based on several contextual factors and is paid annually. Aside from paying this fee, you are also required to submit a list of the music you play at your establishment, so that SAMRO can pay the correct royalties to the musicians whose music you are using. Business TV licence Every TV set in your establishment needs its own TV licence. These licences can be obtained from the SABC, and you will need one before you buy a TV – the retailer will ask to see it. The business TV licence costs the same as a domestic one, but the difference is that each TV must be licenced separately in the case of a business. If you belong to a tourism association, you may be able to get a discount on the TV licences. Enquire with the SABC and your association to see which prices apply to you.

For more information, consider the University of Cape Town Guest House Management course, presented online throughout South Africa. Contact Emma on 021 447 7565 or emma@getsmarter.co.za, or visit www.getsmarter.co.za for further details

Credit: Stock Exchange

and you will most likely need a consumption retail liquor licence to cover serving alcohol to your guests. The application process can take as long as ten to twelve months, and liquor licences need to be renewed annually.

3/2011

BUSINESS TOURISM

KZN Convention Bureau comes of age

The Durban KwaZulu-Natal Convention Bureau (DKCB) was established to promote Durban and KwaZulu-Natal as an ideal host city and province to international business tourism events, writes James Seymour, CEO of DKCB.

usiness Tourism is defined as the tourism flow that is generated as a result of meetings, incentive trips, conferences and exhibitions. Globally this sector generates in excess of 36 million

trips and R606 billion in revenue. Durban and KwaZulu-Natal generates around R2 billion as a direct result of business tourism. However, despite the grandiose figure postulated above, Durban is seriously lagging in the realm of international association

meetings. We currently host in the order of ten per annum versus more than forty in Cape Town. So what do convention bureaus do? According to the ICCA’s (International Congress and Convention Association) definition “Convention Bureaus promote the business tourism potential of a destination… their main purpose is to increase the number of events, conferences and meetings held in the destination; whether a city, a region or a country” The role of the DKCB is therefore to identify business tourism opportunities, to assist associations, meeting planners and venues with bidding support, to provide marketing support for specific meetings and to provide product development, accreditation, impact assessment and coordination. Together with the private sector, DKCB provides support with

3/2011

promotional materials, educational trips and site inspections, supplier information and quotations, social programmes, pre and post tours and incentive packages, assistance with congress bids, destination display and promotion, information kits and welcome packs for delegates, shuttle services and PCO services. Over the past year, DKCB assisted in winning eight bids, namely Baptist, Transplant, Indaba, Responsible Packaging, COP 17, 14th Global Forestry and the 4th International Wildlife. In addition, DKCB assisted in ensuring the successful bids of National Dentistry and in organising the Seatrade Africa Cruise Forum for 2011and are aggressively pursuing more than fifty leads at present. For more information contact the Durban KwaZulu-Natal Convention Bureau on +27 (0)31 360 1170 or e-mail james@ durbankzncb.co.za

SATSA Tourism Tattler Trade Journal

BUSINESS

THE NEW PROFIT RULES

8 Rules You Must Know to Prosper in the New Economy

The following article is a synopsis of a book published by Charlie Cook and is published here in two parts (the second part in Issue 4 - Jul/ Aug 2011 edition) with the kind permission of MarketingForSuccess. com

Part 1

The rules have changed – across all industries; overall sales have dropped by 30 to 40 per cent. This is not just a temporary downturn – it is a fundamental shift from the easy money years with lasting effects on the spending habits of people across the world. Not only have assets withered but those who have money to spend (those still holding jobs) are anxious and often doing the work formerly done by two or more employees. These are the people who want to buy from you – they are overwhelmed and overstressed. Rule 1 – FREE is the new business model To put it simply by attracting many, many more prospects. Most business owners are still trying to extract as much money as they can from each customer up front at the first chance that they get. They expect the prospect to read their ad, respond to it, call them – all in one step. A few will but there are a huge number that will walk away, because they are unwilling or unable to buy right now. This ‘buy now or nothing’ attitude doesn’t work anymore. A new generation of consumers has been raised getting information, music and more for free online. And in a down economy, more people want things for free. Almost free works too – companies can attract new customers by making just one part of their product or service line up cost next to nothing. To ‘monetise’ those freebies, you need to entice the user to pay for something. The key lies in converting positive attention into real cash flow. Service professionals sell intangibles – their expert knowledge. You need to give clients a way to test drive your services. The free business model has three steps: 1. Demonstrate value – ask yourself what your clients are looking for – ideas, information, a test trial? 2. Maintain visibility among prospects 3. Build long term relationships Rule 2 - Your customers are in charge, not you Customers’ problems are the starting point for the development of every product or service and it is their feedback which is essential to fine tuning or revamping your products and delivery processes. Is your business about serving you or your customers? Problems arise when companies stop thinking about their customers’ needs as soon as they have made the sale. Failing to follow through on a marketing promise and live up to your customer’s expectations can be fatal.

SATSA Tourism Tattler Trade Journal

3/2011

Image reproduced with acknowledgement to stock.xchng

In the new economy, great marketing combined with bad customer service will put you out of business. Social media sites such as Facebook and Twitter can decimate you overnight. The feelings of one angry customer venting their frustration can spread like wildfire, with a widening network of friends, followers and strangers latching onto it. Or if you deliver a truly outstanding product or service, the good news about your business can also travel faster. Deliver on your customers’ expectations. How do you manage a conversation with your customers? 1. Write down 5 questions to ask your prospects to identify their needs so that you can develop a product or service that will meet their needs 2. Pick up the phone and call your clients to speak to them about how they feel 3. Put together a survey and email to your customers – or use an email follow up sequence 4. Find out what subjects your clients are following on Twitter and then design your products to match their interests 5. Read the comments on your blog if you have one 6. Periodically check the complaint sites to see if your company is mentioned 7. Use customer input to adjust your marketing strategy Rule 3 - Personal marketing trumps mass marketing People prefer to do business with people and not companies. By putting your unique personality into your marketing you are giving yourself an advantage that your competitors don’t have. Create an image your prospects can relate to – personal branding should convey a clear and unique message that distinguishes you from your competitors. Action steps: 1. Define your personal brand – who is your target audience, what are your areas of expertise, etc 2. Determine how you want prospects to see you as a person

For more information visit www.marketingforsuccess.com

ADVERTORIAL

BUSINESS

Tour Operator Software can help your business grow…

Does Travelogic™ integrate with Global Distribution Systems?

If there is one part of your business process you improve on in 2011, let it be the move to using an affordable tour operator software solution.

Yes! For tour operators and travel agents alike, Travelogic™ now integrates with Galileo® from Travelport. Travelport® is one of the world’s largest providers of travel content for travel companies. The Travelport® global distribution service and commitment to partnership reduces operating costs whilst increasing efficiency and revenues for your business. Travelport® now provides comprehensive GDS services through the Travelogic™ Tour Operator Software. The partnership between Travelport® and Travelogic™ expands choices for the travel industry.

Surprisingly, many tour operators still rely on manual (spreadsheet and other) solutions to run their businesses. Although cost-effective and tempting, the experience of tourism industry-leaders shows that manual solutions will inevitably lead to costly errors, and resource wastage in the long-run. Inevitably, no spreadsheet solution - no matter how cleverly puttogether - can match the capabilities of a programmed software solution. Because the change to tour operator software is inevitable, let Travelogic™ be the first solution you consider. Travelogic™ has been available to tour operator businesses for the past 8 years, and has become the most widely-used and affordable software solution in the South African market. The software is constantly being developed with South Africa’s leading inbound-tour operating businesses, which ensures that your investment is future-proof and scalable. Travelogic™ allows your staff to achieve more within their normal workday. It has a user-friendly and intuitive interface, which requires minimal training, and is easily installed onto existing hardware.

Can Travelogic™ output content-rich itineraries? Yes! SmartGuide Virtual Itinerary is a visual, interactive tool that will differentiate your itineraries from that of your competitors. The Virtual Itinerary builder helps you sell recommended destinations by using mediarich content to do so. You can greatly enhance your ability to convert those all-important enquiries into bookings. Travelogic™ is now fully integrated with the Virtual Itinerary builder, and all our clients can now add this sales-enhancing feature an additional competitive edge.

All your supplier rates, descriptions, pictures (as well as agents’ and clients’ contact details) are stored in a central database which facilitates quick and accurate quoting. The fact that all this information is already in the database facilitates automated itinerary building in half-the-time it would normally take a tour operator to do it manually. The more complex the client-quote is, the more time and effort Travelogic™ will save you. Travelogic™ is offered in single & multi-user versions; thereby catering for the small tourism business (micro-enterprise) and larger tourism companies with multiple users (small, medium and large enterprises). We also offer an affordable rental option to suit your cash-flow constraints. Travelogic™ is affordable for all sizes of tour operating businesses. Travelogic™ has a comprehensive range of operational, financial, management and other reports (too many to mention here) to allow you to keep your finger on the pulse of your business. Some of our reports include profitability analyses, debtor summaries, creditor summaries, supplier payment reminders, all designed to make your work easier. Take complete control of your business today. Can Travelogic integrate with my back-office accounting system? FAQ Travelogic™ integrates with the market-leading Pastel Partner accounting software. Pastel Partner is a powerful accounting solution for small to medium size businesses. It has rapid processing power (with multi-user and multi-currency features) and is the perfect accounting solution for your tourism business.

Can someone load my database for me? Yes. Travelogic™ has partnered with Onelogic, a company that takes all your supplier rate information, descriptions and pictures, and loads them into your database, remotely. Onelogic’s expert team will save you the time, energy and the inevitable problems associated with loading your database by yourself. If you have decided to make the move to Tour Operator Software, let Onelogic do it for you correctly, the first time!

3/2011

SATSA Tourism Tattler Trade Journal

RISK

Companies Act leaving you exposed? The new Companies Act, which was to have come into effect on 01 April 2011, has heralded some nasty surprises to directors and officers of companies, writes Kirsten Clark of SATIB Risk Solutions. Based on the onerous requirements of the Act, it is imperative that business owners consult with their insurance broker for advice on liability risk transfer options to cover their senior staff. What the Act means As Section 218 (2) of the new Act states, ‘Any person in contravention of any provision of the Act is liable to any other person for any loss or damage suffered by that person of a result of that contravention.’ This means that if a director’s actions are considered to be in contravention of the Act, both shareholders and any other person who has been prejudiced have the right to pursue legal action. It is advisable for all companies to consider some form of liability insurance to protect them against such actions. Until now, only listed companies purchased personal liability cover for their directors but since 01 April, any director of any company may face legal action, even if he or she owns the business in its totality. This may occur even if duties are performed with absolute care and due diligence and no

negligence has occurred. Disgruntled plaintiffs could still institute action against the directors, which could result in substantial legal fees.

Business owners are strongly urged to protect their senior staff by securing Directors’ and Officers’ Liability Cover.

Negligence One significant change in the Act is that negligence is now included as a liable action. Directors must ensure that they obtain all of the relevant information needed to make informed business decisions to avoid being held liable for such decisions. If knowledge is lacking, experts or consultants should be accessed. In addition, director’s duties will be codified, and they cannot plead ignorance of duties as a defence. Class actions will now also be permitted, meaning that consumer organisations and trade unions can bring actions against companies on behalf of members and consumers.

This type of cover protects the interests of company decision makers (directors, officials, managers and supervisors) by transferring personal liability risks, providing defence and investigation costs and awards for valid claims. Wrongful acts, errors and omissions, missstatements, misrepresentation and negligence are covered but willful acts are not. For more information contact Brett Lazarus at SATIB Risk Solutions on 0861 SATIB 4U (728 4248) or via e-mail at brett@satib.co.za

BUSINESS

A Provident Fund for the Tourism Industry

The SATSA Provident Fund is the ONLY Fund designed to cope with the special needs of the Tourism Industry, writes Bronwyn Davidson of WA Davidson Financial Services. The Fund was established in January 2003 after enquiries from the members of SATSA. Contributions for yourself, as a business owner can be structured to suit your needs. More importantly, for your staff, special arrangements can be made to cover the needs of both permanent and temporary staff, and you can set your own rules for your own company. This means you can offer the Provident Fund benefits to staff such as tour guides, who are then insured for disability or death while working for you, and contributions can be structured to take into account the fact that such a person is not a full time employee. It is a brilliant product for tourism businesses, and is only available to companies in tourism. Check out the SATSA Provident Fund. It serves your best interests at a very favourable rate. Youâ&#x20AC;&#x2122;ll be glad you did!

For more information, contact Bruce Brown at WA Davidson Financial Services on 011 646 0290 or e-mail bruce@wadavidsonfs.co.za

he Fund is a separate legal entity, which is open to all members of the Tourism Industry. It is not a prerequisite to be a SATSA member. The Fund is run

by very experienced and qualified staff, invests in an investment portfolio offering excellent rates of return, and yet it is small enough to offer the kind of flexibility to both employers and staff that is so necessary for an industry that can be as fluid as yours. It is industry focused, and therefore takes into account the special circumstances of tourism. Importantly, it offers the owners of tourism businesses the opportunity to make provision for their own retirement needs as well as the needs of their staff, both permanent and temporary. Security of the Fund One very important point, in our uncertain financial times, is that all contributions are protected in the case of insolvency of a business. They cannot be touched by liquidators. Government is currently banging the drum about creating decent work. One of the requirements of such work, is that workers have access to making provision for their retirement. The SATSA Provident Fund meets this requirement at a much lower cost that can be obtained anywhere else. Offering such a Provident Fund will help you retain good staff, who appreciate this special benefit. There are no exclusions of a business because it is too small, or has only a small number of employees. And the Fund is transferable if workers change their jobs. 3/2011

SATSA Tourism Tattler Trade Journal

INVESTMENT

Best Sustainable Tourism Investment

Sanbona wins at Ai awards Dwyke Lodge - Sanbona Wildlife Reserve The Africa Investor Tourism Investment Awards 2011 ceremony was opened by the Deputy Minister of Tourism, Hon. Ms Tokozile Xasa, who said that they are an initiative and a tribute to the province, the country and the continent. This year’s winners included some of the world’s leading hotel and tourism groups and the Sustainable Tourism Investment of the Year Award was given to Sanbona Wildlife Reserve, situated in the heart of the little Karoo. Surrounded by towering mountains and an expanse of great plains, Sanbona is only three hours drive from Cape Town, along the longest wine route in the world on the elephant, rhino, cheetah and hippo, as well as several renowned Route 62, in the Western Cape region of South species of antelope. Be left invigorated as walking trails Africa. Sanbona, a malaria free area, is home to three lead you to spectacular San art surrounded by dramatic beautifully appointed lodges and offers an impressive and rock formations. diverse collection of succulents and wildlife, including free roaming White Lions, 650 plant and 216 bird species, The judging panel for the 2011 Tourism Investment Awards continued to uphold the standards of excellence that has come to define these Awards and was chaired by Geoffrey Lipman, former Assistant Secretary-General of the United Nations World Tourism Organization (UNWTO). “The quality of all the participants was even higher this year and it’s a testimony to the increasing standards across Africa and particularly to the winners,” he said. For more information please contact Nicky Arthur at Mantis on 021 405 0754 or e-mail Nicky.Arthur@ mantiscollection.com. San rock painting at Sanbona Wildlife Reserve

Game Drive at Sanbona Wildlife Reserve

SATSA Tourism Tattler Trade Journal

3/2011

INVESTMENT

Investor Summit focuses on tourism The iLembe Investor Summit 2011 was convened in Ballito on 30 and 31 March to reflect on the vision and strategy for investment attraction and to share insights on opportunities and trends aimed at growing the economy of the district, writes Des Langkilde, SATSA EXCO member in attendance. The eBandla Hotel and Conference Centre provided an ideal venue to host invited government delegates of Enterprise iLembe and District Municipality for the two-day summit.

in Ballito business and the iLembe

Cllr. Mdabe, the Mayor of iLembe District, Socialising at the post iLembe Investor Summit event are (from L-R) Beverley Langkilde Municipality, opened the proceedings with a (Tourism Tattler), Mike Gumede (eBandhla Hotel), Des Langkilde (SATSA), Magda commitment to development in the region. Koryl and Zandile Matchaba. Describing the region as the ‘Midrand’ of KZN, which covers an area of 3,260 square kilometres along the East Coast of KwaZulu-Natal, the iLembi district Further presentations during day one of the summit were is comprised of four municipalities – Mandeni, KwaDukuza, delivered by Mr. Trenley Tillbrook, CEO of the iLembe Chamber Ndwedwe and Maphumulo. of Commerce, Industry and Tourism, who broached the subject of business and government working together; Mr. Manoj Seonath “With a population of over 800,000, of whom 35 per cent are – regional manager (KZN) IDC, who spoke on access to finance under the age of 35 years old, job creation is a priority. To this and business support and Mr. Phillip Da Sylva, Vice President end we have committed R2.2 billion towards infrastructure Operations (Africa & Indian Ocean), IFA Resorts, on IFA’s current expenditure over the next five years to ensure that the district is and future investment plans. an attractive home to investors.” said Mdabe. Day two of the Summit was opened by the Minister of Economic Enterprise iLembe’s CEO, Kanyi Gasa presented investment Development and Tourism, MEC Mabuyakhulu, who elaborated opportunities in the iLembe family of local municipalities. While her on the importance of the Dube Trade Port (DTP) development presentation focused on the four major economic sectors, being and the National Government’s Accelerated and Shared Growth Agriculture, Tourism, Commerce and Services, the opportunities Initiative for South Africa (ASGISA), to which the eLembe district is for the tourism sector are relevant to this article, and include: a key driver in terms of both private and government investment. The Minister’s speech was followed by an eloquent talk by Mr. Alan Vels, CEO of Signature Life, who elaborated on the hospitality • King Shaka Tourism Trail group’s commitment to ongoing investment in the region, which • Destination Management and Activity Booking Services includes a newly established School of Hospitality in Ballito. • Organised day tours into the hinterland areas • Out-of-season Package Tours The summit concluded with breakaway sessions for each of the • Art & Craft Development / Bed and Breakfast economic sectors, where delegates debated in informal groups accommodation to come up with ideas that would enhance the potential of the • Ndwedwe Nature Reserve region to attract investors and to identify areas of infrastructure • Zulu Rural Cultural Trail that may be hindering growth, which were presented to the hosts • Nature Hiking Trails at The KOP (Ntunjambili) for consideration and future action. • Kwashushu Hot Springs • Sporting Legends of South Africa For more information contact Enterprise eLembe on • Blythedale Coastal Resort: Sporting School Of Excellence. +27 32 946 1256 or e-mail info@enterpriseilembe.co.za

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SATSA Tourism Tattler Trade Journal

MARKETING

Get ready for the ‘neo-frugal’ traveller Writing in the online newsletter Travel Mole, David Wilkening considers a new kind of traveller that is emerging in the post-recession world.

Travel providers should be prepared to meet the new needs of the ‘neo-frugal’ traveller, travel experts say. “We are dealing with a very scared consumer and that uncertainty will continue because the economic environment is not stable,” said Henry Harteveldt, a long-time correct predictor of trends at Forrester Research who is usually credited with the ‘neo’ term. The signs are everywhere: The tendency these days even for luxury travellers is to brag about how much they are saving, not spending. The media has also caught the trend: One example: The New York Times starts a popular column called ‘The Frugal Traveller.’ So what do travel providers do to meet the new demands? “We’re in a period of neo-frugal chic,” said Harteveldt, vice president and principal travel analyst at Forrester Research. “The traveller who for years has been going to the same fivestar resort and paying US$2,000 a night for a private villa will now ask the resort’s manager, ‘What do I get with that? Breakfast? Wi-Fi? A car to pick my family up at the airport?’ Everybody wants something extra.”

Mobile marketing Companies coping with the new type of traveller will have to spend more time on mobile marketing. Some experts predict it will become the most important tool for travel marketers within just three years. It currently represents just five percent of online travel marketing budgets. Changing mindsets Mindsets will also be forced to change. Smart resorts and hotels are abandoning the idea of having every luxury imaginable -- from 24-hour concierge desks to lavish breakfasts -- in favour of specific needs catering to specific travellers. A la carte pricing, or paying only for what guests use, is getting to be the ‘norm.’ Discount websites One outcome of the new frugality: the rise of private-sale sites that often offer discounts of up to 70 per cent at high-end hotels and resorts. Sites such as Jetsetter don’t require membership dues and often limited the sales to a time frame such as two days. Travellers of all types (not limited to leisure) tend these days to look for the best deal

but at the same time: “Leisure travelers say value, reliability and past experience are equally important to price,” said Hardeveldt. Price by itself has largely been abandoned as the only consideration in travel buying, experts say. Hardeveldt and other experts say travel buyers are also willing to pay more for products that they see as saving them time and booking hassles. In business travel, budgets may not return to pre-2009 levels but MICE participants will welcome companies that offer value propositions such as reduced food costs and free add-ons of services that were previously paid for. All signs are that the incentive meeting market is coming back but studies show many companies are cutting back on the number of participants and looking for creative ways to continue such meetings at reduced costs. SOURCE: TRAVEL MOLE

Hotels go back

to basics

That hoteliers should not rule out simple necessities such as comfortable pillows and good coffee, are among implications of recent surveys of ‘road warriors’ (US slang term for business travellers) who were asked what they wanted from hotels, writes Marjorie Dean. “Good pillows are a priority and often hard to come by,” business traveler Doug Guenett told USA Today. “And good coffee can change the experience.” The survey showed that a welcome mat of items of basics such as hot showers and decent beds is no longer acceptable to business travellers. Travellers in one survey cited such ‘home comforts’ as comfortable surroundings, newspaper delivery, and microwaves. 26

SATSA Tourism Tattler Trade Journal

The most wanted item, however, was technological: wireless internet access, preferably free. One B&B I stayed at in Port Elizabeth had a long list of regular visitors, mainly reps. What did they really appreciate? A bar of their favourite chocolate by the bed; a small snack plate for those who were arriving too late to go out for a meal; a magazine to read (new, not dog-eared) on the bedside table. Simple stuff, but it makes the guest feel cared for and at home. 3/2011

Other top vote-getters: airport shuttles, good parking, the ability to check in early and reliable television listings. “Hotels seem to be a bit lax in providing a listing of the TV channels they offer,” said Doug Mapson, a baseball scout who lives in Chandler, Arizona to the USA Today survey. (One gripe about SA accommodation we’ve heard is the very limited choice of TV programmes – not all guys are 24 hour sports fans! Time to renegotiate with DSTV, perhaps.)

MARKETING

Improving your marketing mix Speak directly to your customers at the point where they are making a buying decision, writes Santa Zeiss Franchisor of Brochure Management.

great brochure is only half the journey, to achieve its full impact; a brochure needs to be in the right space, at the right place and at the right time.

Your solution to make your brochure work best:

Brochure Management, established over 15 years ago, distributes over 18 million brochures a year to an ever increasing network of over 5,000 best-located brochure distribution sites across SA, with regular monitoring and servicing, allowing you to fine tune your distribution to make the most of the opportunities and keep waste to a minimum. Taking it to the next level: Angela Newton

To ensure your brochure is working the best it can for you, please contact franchisor@brochuremanagement.com. ‘Tourism marketing for Results’

Brochure Management’s total commitment to the value proposition of a brand and improving brand equity is reflected in the appointment of a new Franchise and Marketing Director, Angela Newton. With over 10 years of Global Marketing experience and portfolios of over $1 billion, Brochure Management has added a ‘strategic marketing’ support element to their portfolio of services.

Zebras come to the pool.

MARKETING

Rediscovering a Sense of Adventure From African stargazing to artistic getaways, travellers are yearning for old-fashioned exploration says Jemima Sissons. There is a mood of cautious optimism among travellers and tour companies this year, as the market shows signs of improvement following a difficult few years.

PART 1

Value, even within the luxury market, will remain at the forefront of people’s decisions when it comes to choosing their holiday - not just in a monetary sense, but in a physical and educational sense as well. “People are not flaunting their wealth; it is all about having out-of-the-world experiences,” says Simon Mayle of International Luxury Travel Market, an annual trade event in Europe and Asia. Deprivation vacations and luxury boot camps look set to rise in popularity, as does cultural tourism, with a particular focus on art and literature. Michelle Grant of Euromonitor International, the market-research group whose key trends for 2011 include stargazing in Africa and off-the-beaten-track Latin America, adds that people are now looking to meet personal goals and accomplishments while on holiday. “It is the search for a unique experience where you reap benefits as well, such as climbing Kilimanjaro,” says Ms. Grant. “People this year are looking to take their bucket-list holidays.” There is also a yearning for old-fashioned exploration. “We have seen the need for retro holidays that involve slowly retracing the steps of the great explorers,” says Tom Marchant of luxury travel specialists Black Tomato. “It is a backlash against the culture of immediacy.” Ethical concerns are also influencing travel decisions, as people seek out new and inventive forms of eco-tourism that combine a modern sense of luxury with a green ideology. Experiential holidays As people pursue more experiential holidays, stargazing safaris in Africa, where some of the clearest skies in the world are to be found, are on the rise. At the Sossusvlei Desert Lodge in the heart of Namibia’s Namib Desert, an observatory comes complete with a Meade LX200 computerized GPS telescope so guests can learn about the night skies. Surrounded by wilderness and with over 330 days of sunshine a year, the skies are perfect for stargazing. It is so dark and quiet, you can hear the call of wild animals like jackals and some will come right up to the observatory, look in shock and run away. There are more stars than most people think existed. Guests can expect to see with twinkling clarity the Milky Way, as well as the Magellanic Clouds and Southern Cross constellation. People get really excited and like to sleep with the skylight open at night and watch the shooting stars. At the Sanctuary Baines’ Camp in Botswana’s Okavango Delta, guests are given an educational ‘cosmic safari’ of the skies around the boma (bonfire) by the camp manager. After the lesson, they can take a star bath - a vast zinc bubble bath under the open sky, where they can revise what they learned. Portrait of the artist as a tourist Consumers are also set to broaden their horizons with vacations focused on culture, in particular on art. A collaboration between luxury travel company Cox & Kings and London’s Royal Academy offers trips ranging from the pictures and palaces of St. Petersburg, to Peruvian treasures. These tours will give clients access to hidden art collections and talks by curators. Art in Japan, meanwhile, is the focus of new venture Artclusive Japan, which tailor-makes trips, including tours of the Tokyo art scene, visits to artists’ studios and advice on how to buy art. Black Tomato will be offering literary

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trips that focus on how a region has inspired literature, drawing on the experiences of top authors. “A lot of people are increasingly tying day-to-day passions with travel,” says Mr. Marchant. Off the beaten track Latin America has been identified as a top destination this year across the industry, with Euromonitor predicting at November’s World Travel Market that adventure holidays would be particularly popular. Travellers are looking for out-of-the-way destinations, with Brazil’s Pantanal, northern Colombia, Pueblos Mágicos in Mexico, the salt flats of Bolivia’s Salar de Uyuni and the Atacama Desert all high on the intrepid traveller’s agenda. Green acres Eco-tourism is a sector that continues to grow, as consumers become increasingly conscious of the environmental impact of travel. Large companies are investing in green initiatives and the industry is developing new ways for travellers to vacation in style while remaining ecologically aware. Six Senses, the original ‘barefoot luxury’ company, which started 16 years ago in the Maldives and now has 14 resorts, is aiming to become carbon neutral by 2020. Some of its latest initiatives include an eco-villa in Thailand, powered entirely by solar energy and water. At the Baros resort in the Maldives, the destination’s first eco-diving resort has just opened. Here, guests can enroll in a course to gain a certificate that qualifies them to help EcoDive teams monitor reefs across the globe. Other imaginative options include ecological river cruises in Peru offered by luxury group Aqua. Spas are also entering the green market. Titanic Spa in Huddersfield, UK, is housed in a carbon-neutral mill, the pool is chlorine-free and salt regulated, and there are photovoltaic solar panels for energy. In France, La Gree des Landes eco spa was designed using ‘bioclimatic’ architecture, with roofs covered with plants, southwest-facing windows that utilise natural light and thermal solar panels to help heat water. It also plants one tree for every stay by a guest; dead trees are left as refuges for animals and insects. Copyright 2011 Dow Jones & Company, Inc. All Rights Reserved This copy is for your personal, noncommercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For nonpersonal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com

Tough new transport laws

Motorists convicted of driving more than 30km/h over the speed limit in urban areas, and more than 40km/h over the speed limit outside of urban areas, will have their drivers license suspended automatically. This is just one of the radical changes to the road traffic laws, which came into effect in February 2011.

Other changes to road traffic legislation include: • Cheating during tests for a learners license or a driver’s’ license test will become an offence. • New vehicles registered after 01 August 2010, must have number plates fitted with pop-rivets or screws, and not the two-sided tape. If it cannot be fitted to the vehicle it must be fitted to a bracket that complies

with SANS 973. • Anyone who gets a driving license for a heavy motor vehicle after 01 February 2011 will no longer be allowed to drive a light motor vehicle using the same license. • There will be prescribed forms for road accident reports. • All municipal police officers will be regarded as traffic officers, without having to have dual appointments. • All minibus and midibus vehicles, which transport fare-paying passengers, will have to be fitted with an expensive piece of hi-tech equipment - a directional stability control device which minimises the risk of losing control of the vehicle when braking suddenly. This requirement will apply to all minibuses that carry fare-paying passengers, not only newly manufactured vehicles. • Left-hand drive steered vehicles: Legality is clarified – the owner of such a vehicle may, if the vehicle was licensed in his name before 23 July 2004, sell the vehicle and the new owner may licence it. • Management representatives of testing stations are limited to testing 150 motor vehicles per month. • Foreign driver’s licenses will be acceptable in

TRANSPORT South Africa if they were obtained while the motorist was living outside the country for longer than three months. • Foreign driver’s licenses will be valid in South Africa until they expire in the country of issue, but not for longer than five years after the person has got permanent residence in this country. • Roadworthy certificates issued in neighbouring states will be acceptable only for vehicles registered in that state. • Changes to the law will allow drivers of medical vehicles and fire-fighting vehicles to exceed the speed limit and transgress road traffic signs. The department is considering issuing a ‘general learner’s license’, which would allow a person to apply for a second category of license without having to go through the process of getting a second learner’s license. As from February 2011, anyone who applies for licenses to drive vehicles in different categories, say a truck, a sedan and a motorbike, will no longer have to carry separate licenses for each. Instead, the motorist will carry only one license card, which will be endorsed to show that he or she is authorized to drive the other classes of vehicles as well. There has also been a change in the vehicle registration fees. Provincial MECs will determine the fees for the registration and licensing of vehicles, while all other fees will be determined by the Minister of Transport. For more information visit: http://www. info.gov.za/speech/DynamicAction?pageid =461&sid=14944&tid=25173

Zebras come to the pool.

3/2011

SATSA Tourism Tattler Trade Journal

TRANSPORT

Prepaid toll solution to become national standard? When Gautengers are tolled for using the province’s busiest freeways in early 2011, the system will work somewhat like a prepaid cellphone contract. South African National Roads Agency Limited (Sanral) senior project manager Alex van Niekerk says car owners will be asked to set up accounts, either by phoning in or going to a website, and to then load money into these accounts before entering the tolling system, or to link payment to their credit cards. Once this is done, commuters must go to an outlet to get an electronic tag or trans- ponder, to be displayed on their front windscreens. Commuters will not be charged for this tag, says Van Niekerk. How tags work “There will be a one-tag standard,” he adds. “You will be able to go through any toll gate in South Africa – not only in Gauteng – with this tag.” The tag means the toll transaction is a quick, electronic one, with no physical toll gates where money is collected. Motorists simply pass underneath a gantry housing the equipment, which reads the tag while also taking a photo of the licence plates as soon as their vehicles break a laser beam. This so-called open-road tolling system also classifies the vehicle in terms of size, charging the appropriate amount. Gantries are placed along and at entry points on the freeways, such as on- and off-ramps. The entire phase one of the Gauteng freeway system under toll – 185 km of road – will be looked after by ten satellite centres, which will act as the first line of incident management, dispatching medical assistance if needed. The roads will be monitored by closed-circuit television cameras. “Sanral already has tow trucks on standby in case of vehicle breakdowns,” explains Van Niekerk. “Methods have been devised to track down commuters who attempt to avoid paying toll fees”, he adds. Should a vehicle not have a tag, system operators will type in the licence plate number from the photo which has been taken, thereby tracking down the owner. Violations Van Niekerk says violations will include not carrying a tag, driving a vehicle that cannot be identified, and having insufficient funds. When this happens, a motorist 30

SATSA Tourism Tattler Trade Journal

will receive an invoice, and then an infringement notice (which is equivalent to a fine), followed by a courtesy letter, an enforcement order and, finally, the issue of a warrant. Visitors Should a visitor from outside Gauteng enter the system, signage will warn the motorist to go to the nearest satellite centre to register, or to phone a toll-free number. It may also be possible to buy a day pass at a retail outlet before entering the system. Van Niekerk says the proposed toll fee is currently set at 50c/km, but notes that inflation has probably impacted on this already.He says a discount will be offered to regular users, using a sliding scale. Van Niekerk explains that this means a commuter will pay the full fee for the first ten trips, for example, with costs then reducing in a step-by-step fashion the further the commuter travels. Public transport vehicles, such as minibus taxis, will have the benefit of driving in the lanes reserved for vehicles with three or more 3/2011

occupants, as well as receiving a discount on toll fees. Where toll money will go Tolling will be the method used to fund the Gauteng Free Improvement Project, which is a multiphased project currently under way to expand and widen the province’s freeway network, currently choking under increased congestion. Phase one carries an estimated R15,1billion price tag, excluding Vat. Van Niekerk says implementing the toll scheme comes after extensive market research – 27 000 interviews – in aspects of commuter behaviour. He adds that some other city freeways in the country are currently under investigation to become toll roads, such as the N1/N2 approach to Cape Town, and the R300 Cape Town ring road. Also included are the roads around the new Dube Trade Port, in Durban. For more information contact Sanral Northern region on: Tel: 012 426 6200; Fax: 012 348 0883; e-mail: info@nra.co.za

TRANSPORT

Road Accident Fund update On 25 November 2010, the Constitutional Court of South Africa handed down judgment in respect of the constitutional challenge against certain provisions of the 2005 amendment to the Road Accident Fund Act (the RAF Act), writes David Pratt of Tourism Risk Underwriting Managers (TRUM). The Constitutional Court found the abolition of the accident victims’ common law right to claim damages for his/her personal injuries from the wrongdoer to be constitutional. The Court however found that the limitation of claims for medical treatment in accordance with the ‘Uniform Patients’ Fee Schedule’ (UPFS), tariff was irrational and incapable of achieving the purpose intended to be achieved (namely to enable Road Accident victims to obtain the health services they require). The Court ordered that until the Minister of Transport prescribes a new tariff for health services for road victims, victims were entitled to compensation for health services as if he/she had been injured prior to the amendment. Section 21 remains in force Accordingly Section 21 (which removes the right to claim from the wrongdoer) of the RAF Act remains in force, abolishing common law claims against the owner or driver of the vehicle or the employer of the driver, if the Fund or an agent is unable to pay any compensation, or to an action for compensation in respect of loss or damage resulting from emotional shock sustained by a person, other than a third party, when that person witnessed, observed or was informed of the bodily injury or the death of another person as a result of the driving of a motor vehicle.

European tour organiser where they are likely to receive a higher award than in South Africa, without limitations imposed by the RAF Act. This is likely to lead to claims being made against South African operators by European tour organisers/retailers (or their insurers) endeavouring to recover payments they have made, or are called upon to make, to the accident victims in Europe. General Public Liability insurance General Public Liability Insurance policies exclude liability “arising directly or indirectly out of the ownership, possession or use of any motor vehicle or trailer by or on behalf of the Insured…” Given the industry in which tour operators operate, we specifically asked for legal comment on whether the insured would be covered by the RAF Act, in circumstances where an animal such as a rhino or elephant attacks a vehicle and causes injury, for example when it is parked next to a water hole, in circumstances

Proposals Senior counsel has advised that the following should be considered: The wrongdoer, or his employer (or the owner of the vehicle) can be held liable in two instances: a) where the RAF is unable to pay any compensation. (While it is unlikely that the RAF will not be in a financial position to meet its obligations, it is difficult to guarantee the future solvency of a parastatal entity.) b) In respect of claims for compensation for emotional shock by third parties. South African Law limits emotional shock claims to instances where the victim suffered emotional shock or distress that was so severe as to translate itself into a ‘recognised psychiatric illness’ (BARNARD VS SANTAM, 1991 (1) SA 202 (A). Awards for general damages for emotional shock claims in today’s values are seldom more than R170 000.00. It must however be noted that the possibility exists that in certain cases of severe emotional shock there could be substantial claims for loss of earnings/earning capacity and medical treatment. Claims arising outside SA Section 17 of the RAF Act provides that the Road Accident Fund is liable for claims “caused by or arising from the driving of a motor vehicle by any person at any place within the Republic”. If one of your insured vehicles is involved in a motor vehicle accident in one of our neighbouring countries, or in a country other than South Africa, your insured will not have the protection of Section 21 of the RAF Act. As the motor vehicle accident legislation in many of South Africa’s neighbouring countries do not prohibit claims against the wrongdoer, or his employer, or the owner of the vehicle, the insured could well be exposed to claims in circumstances where there has been an accident outside South Africa. It is further prudent to consider the possibility that a foreign accident victim that is injured in an accident in South Africa (as a result of negligence), may institute a claim and obtain a large award against the insured overseas. Persons injured in South Africa (whilst on a ‘package holiday’), can claim directly in Europe from the European Tour Organiser/Retailer, based on the negligence of the South African operator (or its employees). Foreign accident victims may not be able to claim directly against the South African insured, but are free to proceed in Europe against the

SATSA Tourism Tattler Trade Journal

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that are regarded as being ‘completely unrelated to the driving of the vehicle’ (Petersen v Santam Insurance Co Ltd). While such an incident may be regarded as arising directly or indirectly out of the use of a vehicle, it may not be regarded as having been caused by or arising from the driving of a motor vehicle. Another consideration is that in order for a PDP to be granted, the authorities still require proof of Passenger Liability. This will no doubt change in due course, but currently remains a requirement. Potential exposure Whilst the South African insured’s potential exposure to claims by foreign Zebras come motor to thevehicle pool. accidents in South Africa will depend on a agents following variety of factors, it cannot be said now that the insured has no exposure in respect of motor vehicle accidents, and should simply cancel their passenger liability cover. Bearing in mind the potential exposure (albeit it far less than it was before the Constitutional Court’s judgement), we are of the opinion that it would be prudent to maintain some form of passenger liability cover going forward.

For more information contact Carla Gillham on Tel: +27 31 562 0426 or e-mail carla@trum.co.za

RISK

Insurance premium differentiation benefits low risk consumers “The South African Insurance Association (SAIA) has taken note of the Court of Justice of the European Union’s recent ruling that taking the gender of the insured individual into account as a risk factor in insurance contracts constitutes discrimination,” says Suzette Strydom, Legal Manager of the South African Insurance Association (SAIA). The implementation of the ruling has been delayed to December 2012, which will give European insurance companies time to amend current processes to determine premiums and risk. This ruling follows directive 2004/113/EC that prohibits discrimination based on gender in the access to and support of goods and services. “The premium of a short-term insurance policy is based on a risk profile and includes age, gender, security measures, item insured, the value of the item and claims history. In essence, the basics of determining an insurance premium are: the higher the risk, the higher the premium,” says Strydom. SA Law The South African Constitution refers to the term ‘unfair discrimination’ as opposed to some countries that only define the term ‘discrimination’. In South Africa, the Promotion of Equity and Prevention of Unfair Discrimination Act, 2000 prevents and prohibits unfair discrimination, harassment and hate speech. In order to defend an action of unfair discrimination, section 14 of this Act states that discrimination that reasonably and justifiably differentiates between persons according to objectively determinable criteria, intrinsic to the activity concerned, is a valid defence against a claim of unfair discrimination, adds Strydom. The Consumer Protection Act (CPA) has a similar approach in section 8, namely, a prohibition on a supplier of goods or services against unfair discrimination on the basis of the Constitution or the Promotion of Equality and Prevention of Unfair Discrimination Act, states Strydom.

“The South African Insurance Association (SAIA) supports the South African position reflected in law which has been drafted to allow differentiation, resulting in benefits for consumers,” says Strydom. Advocate Strydom further states: “In the South African insurance industry, the interpretation has always been, that in the event that an insurer can show with statistics, over a particular period of time, that the claim ratios confirm an increase in, and an exposure, to risk as a result of age, gender, location or other factors, the premiums will be determined accordingly. The differentiation in premiums is an actuarial science and as such not regarded as unfair discrimination.” Application of actuarial figures The motor insurance industry is highly competitive and various insurers have adopted an approach to allow consumers who are statistically a lower risk to pay lower premiums. Some insurers even offer a lower premium according to usage. Statistically, females have a higher life expectancy and lower accident ratios than men, and accordingly, there is a differentiation in premiums. The SAIA therefore believes that there is no need to amend current law as the South African law allows for differentiation that is to the consumers’ benefit based on determinable criteria. For more information, contact Suzette Strydom, Legal Manager at SAIA on suzette@saia.co.za

Madikwe hills private game lodge - Luxury amid nature

The main lodge consists of 11 exclusive suites set among gigantic boulders and ancient Tamboti trees in the heart of the Madikwe Game Reserve, an hour’s flight from Johannesburg or approximately four hours drive from Johannesburg or Pretoria. The glassfronted suites, each with veranda and plunge pool, boast wrap-around views of the African bushveld; outdoor showers and claw-foot baths offer the option of game-viewing while in the tub. The main lodge is set high over a waterhole, so guests are frequently treated to the sight of a breeding herd of elephant strolling in to drink and bathe. For the ultimate in luxury and privacy, choose to stay in Little Madikwe, a 2-bedroomed villa with

SATSA Tourism Tattler Trade Journal

SPECIAL READER COMPETITION Stand the chance of winning a three night stay for two people sharing, inclusive of 3 meals and two game drives. See page 3 for details on how to enter the lucky draw competition.

its own game viewing vehicle and game ranger, as well as personal butler to take care of your every need. Children of all ages are welcome at Little Madikwe. A well-stocked wine cellar, gourmet kitchen with your personal chef and entertainment centre complete the picture. Madikwe Game Reserve was created to rescue the area from poverty; farmers leased their

3/2011

Madikwe Hills in the North West Province of South Africa, is home to a myriad of rock hyraxes or better known as Dassies – a guinea pig-like animal, which, bizarrely, is the African elephant’s closest living relative. You will probably find them enjoying a midday drink from your private plunge pool, if you want a good close-up photograph you’ll have to tiptoe to make sure they don’t spy you before they skitter off into the surrounding rock formations or plunge up one of the many Tamboti trees. This is entertainment, Madikwe Hillsstyle, writes Tanya Cruse. land, and under Operation Phoenix more than 8000 animals of 27 species were introduced, including a growing population of the rare African wild dog. Today the malaria-free 75 000 ha reserve teems with a amazing creatures as well as ‘The Big Five’. For more information visit www.madikwehills.com or www.seasonsinafrica.com Enquiries and reservations 013 737 6626 or e-mail reservations@madikwehills.com

RISK

The Real Cost of the Disaster in Japan

Japan recently experienced its worst earthquake in recorded history. With over 10 000 dead and 17 000 still missing, the country now has to come to terms with the estimated economic loss of US$300 billion, writes William Croxton of SATIB Risk Solutions.

Insured losses are estimated to be over US$35billion but this figure will depend on the consequential losses which are not fully understood at this stage. The re-insurance market will bear the brunt of the losses and would have taken account of the worst-case scenarios in their computer modeling. However, most would not have factored in the tsunami. Most re-insurers renewed their treaty contracts with insurance companies on the 1st January 2011 but Asian markets renew their contracts on the 1st April and there is no doubt that they will feel the immediate impact of increased reinsurance costs. It is hard to say what impact there will be on the South African market, as there is excess capacity

in the market and insurers are keen to use their spare capital. It is unlikely that rates will harden before the next round of re-insurance treaty renewals in January 2012. London is already talking up the market and have indicated the cost of catastrophe insurance will have an impact on the overall rates.

and dealerships, manufacturers of component parts for the motor industry or household, leisure and industrial products and appliances such as TVâ&#x20AC;&#x2122;s, stoves, fridges, cameras, x-ray and other specialised equipment or heavy machinery such as lathes and generators.

It should also be born in mind that this loss has followed closely on the Christchurch earthquake and the Australian floods. All losses will be reflected in insurersâ&#x20AC;&#x2122; first quarter results and another major catastrophe this year could have a severe impact on the market.

Are we facing a shut down of certain services or ability to conduct business in a certain manner because of a shortage of actual equipment, components or spares? Should suppliers or customers find their turnover significantly affected, we might find that the cost of this element of cover will escalate.

Apart from the immediate economic and environmental crisis unfolding as a result of the Fukushima nuclear power plant melt down, the loss will have little impact on the traditional insurance market as most policies have a nuclear exclusion. The Japanese government and the fund set up by the nuclear power industry will have to carry the bulk of any costs.

Another consequence of the tragedy could be that the scope of future cover might be limited, which we have seen following the Indonesian tsunami where some insurers excluded cover from tsunamis entirely, whilst many imposed higher rates and a degree of self insurance through higher excesses.

One of the insurance consequences of the tragedy and one that will not be quantifiable for some time, is the impact on customers and suppliers worldwide â&#x20AC;&#x201C; for motor assembly plants

For more information contact William Croxton at SATIB Risk Solutions on 0861 SATIB 4U (728 4248) or via e-mail at wcroxton@satib.co.za.

Zebras come to the pool.

RISK

Active risks in Golf Tourism

ADVERTORIAL

Tourism and hospitality have always played a major role in the South African economy, which poses its own risks, writes Murray Anderson of Active Underwriting Specialists. Tourism is one of the fastest growing sectors with its contribution to the country’s gross domestic product (GDP) increasing from 4.6 per cent back in 1993 to 8.3 per cent in 2006. Tourism accounts for about 7 per cent of employment in South Africa and it has been identified by the government as a significant growth sector. With so much at stake, tourism and hospitality operators need to make sure that they have reliable suppliers whom they can trust and who understand their business. One such essential service is insurance. It is an area which is often not given the priority that it deserves as quality insurance can be the difference between success and failure. The whole purpose of buying insurance is to make sure that there is protection for the company and for its clients in the event that an unforeseen mishap occurs causing financial loss. Without having a specialist involved, the insurance cover could be lacking or even totally inappropriate. Since entering the market in 1990, Tourism Risk Underwriting Managers (TRUM) has specialised in providing insurance to the tourism and hospitality industry. Their experience and knowledge has developed exclusively around this industry and their products have developed and evolved in line with industry requirements. This means that they know the industry and the insurance needs. Now, TRUM have teamed up with specialist leisure insurer Active Underwriting Specialists and Lloyd’s syndicate 3334 to launch a new product aimed at an increasingly important tourism segment – Golf resorts and estates. For the golf enthusiast, South Africa is a wonderful destination - and that’s an understatement. The country boasts an ideal climate for spending time out on the fairways and golfers here are blessed for choice. But it

SATSA Tourism Tattler Trade Journal

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is not only the golf tourist who is being attracted to the great facilities. Golf resorts and estates in South Africa are also increasingly targeting business travellers, who spend on average three times more than their leisure counterparts. The ability to mix business with pleasure is a major attraction. That is why TRUM, one of South Africa’s largest insurance agencies dealing with the Lloyd’s of London underwriting market, recognised the need to develop a new policy for this ever growing segment. In doing so, they have combined their own extensive knowledge and expertise with that of people who have been active in this particular segment for some time. Active Underwriting has been a supplier of specialist golf products backed by Lloyd’s in many other countries, notably Australia, the UK and Europe. Active also cover a wide range of leisure business such as tourist attractions, concerts, events and hospitality. TRUM are responsible for the distribution and support of the product in South Africa. The product provides a combination of property, liability and contingency cover. The contingency cover can provide for cancellation of major events and hole in one competitions, often used for promotional purposes by the Golf resorts. While this product is specifically targeted to South Africa, TRUM anticipate that it will be in demand in other countries in the region. For more information contact Carla Gillham on +27 (0)31 562 0426 or e-mail cgillham@trum.co.za or visit www.trum.co.za Image reproduced with acknowledgement to stock.xchng - Photographer: Shelly Elaine

RESPONSIBLE TOURISM

Chemucane community signs landmark agreement On March 25 2011, the Ahi Zameni Chemucane (AZC), a community association representing three rural Mozambican communities, signed a 25-year partnership agreement with the Bell Foundation to develop a luxury eco-lodge in the north of the Maputo Special Reserve (previously called the Maputo Elephant Reserve), writes Denise Slabbert for the African Safari Lodge Foundation.

The landmark agreement is the first time a Mozambican community has received longterm concession rights to a prime tourism site in a major national park, and the hope is that the benefits of this partnership will spill over into surrounding communities to help alleviate poverty in rural Mozambique. This agreement follows a three-year open tender process involving the International Finance Corporation (IFC), the Government of Mozambique and the AZC who have been granted a 50-year concession right by the government. The special licence giving the AZC the rights was passed in September 2009 and then formalised by the signing of the Concession Contract between them and the government in December 2010. Steve Collins, the African Safari Lodge Foundation (ASLF) representative for Mozambique, says: “The AZC are now in a position to begin using the concession rights through their partnership with the Bell Foundation for the benefit of the communities. This attempt to involve rural communities in both conservation and the tourism economy is a first for Mozambique.” The partnership agreement is a milestone for the ASLF and the Chemucane community. Collins adds: “The Chemucane project will take community involvement in the rural tourism value chain to another level, by the AZC Community Association becoming a substantial shareholder in the company they are forming with the Bell Foundation.” Loans and grants He adds that the 40 per cent community shareholding will be made possible due to the ASLF making an interest-free $500 000 loan available (sponsored by the Ford Foundation) as well as succeeding in getting a $500 000 grant via MITUR’s Community Equity Fund sponsored by the World Bank. At maturity, the lodge is predicted to generate an annual turnover of about $3.5-million; an annual net income to the Chemucane community of $550 000 and 60 full-time jobs with an annual wage bill of $550 000. The negotiation process between the AZC and the Bell Foundation took six months and was facilitated by the ASLF.

Peter John Massyn, who heads up the ASLF, says: “The signing of the agreement is a result of good collaboration between the parties and the Peace Parks Foundation acting as community broker, Technoserve as local tourism advisers and the ASL Foundation. We are hopeful that this kind of partnership will serve as a pilot project and can be replicated in other rural conservation areas in Mozambique.” The reserve Massyn says that the Maputo Special Reserve (MSR) lies in a strategic position that is rich in biodiversity and has a wealth of plant and marine life. “In terms of conservation, this area is significant as it protects a substantial portion of the Maputaland Centre of Plant Diversity, which has exceptionally high endemism, and contains an extensive system of wetlands supporting a wide diversity of marine and plant life. The area is also home to a genetically distinct population of more than 350 elephants and is known for exceptional seascapes and scenic beauty - it is the perfect place for an eco-lodge.” He points out that the eco-lodge will have a minimal ecological footprint, and every effort will be made to ensure that preserving the sensitive environment is key to the success of the project. He says the remainder of 2011 will be dedicated to planning, Environmental Impact Assessment and establishing a joint venture company, and it is hoped that construction will begin in early 2012. Editor’s note: The African Safari Lodge (ASL) Foundation manages an innovative programme designed to galvanise transformation in deep rural areas of Southern Africa. The lasting partnerships created between safari lodge operations and the people of the surrounding communities are generating wealth and wellbeing. 3/2011

Ponta Chemucane is a site of approximately 800 hectares on the northern coast of the Maputo Special Reserve adjacent to the recently declared Ponta do Ouro Partial Marine Reserve (PPMR). Together, the two reserves form the terrestrial and marine components of an integrated protected area, which is one of the core assets of the Lubombo Transfrontier Conservation Area and the Maputaland Centre of Plant Diversity. The site falls in the Matutuine District of Maputo Province in southern Mozambique.

For more information contact Sandra Mombelli at The African Safari Lodge Foundation: Tel +27(0)11 646-1391/1301 E-mail: sandra@asl-foundation.org Website: www.asl-foundation.org SATSA Tourism Tattler Trade Journal

RESPONSIBLE TOURISM

Scientific Study of Mossel Bay’s Whales and Dolphins Masters student Bridget James has begun work on the second phase of a project to determine the number, distribution, and habits of the whales and dolphins in Mossel Bay. Ms. James is studying for her MSc. degree through the University of Pretoria’s Mammal Research Institute, and is working in Mossel Bay through the locally-based Oceans Research. Her work is the continuation of a project that was started by fellow masters student, Edith Mertz, in January 2010.

“Edith has been investigating the behaviour and distribution of whales and dolphins in Mossel Bay, and this second study will focus on collecting data after the PetroSA desalination plant comes on line. This will allow us to make a comparison between the movements and behaviours of the animals before and after the activation of the plant, which will in turn allow us to measure the effects of the plant on whales and dolphins,” said Ms. James. “The most important potential impact of a desalination plant is that the effluent produced during desalination and discharged into the Bay could potentially change the bottom-dwelling fauna which support the fish communities on which the dolphins feed.” The research thus far has shown that the Bay is well stocked with cetaceans. The research “Humpback dolphins are found year round and there appear to be about 50 individuals that visit the Bay; between 150 and 400 bottlenose dolphins are here most of the year; common dolphins are seen occasionally in large groups of up to about three hundred specimens; small numbers of Bryde’s whales have been seen between January and April; and groups of about thirty humpback whales, and forty southern right whales a day visited last season. (The migratory species are

SATSA Tourism Tattler Trade Journal

generally seen from June to October.) Also, a pod of between five and twenty false killer whales was seen in May last year,” said Ms. James. The position of each sighting is accurately recorded using a surveyor’s theodolite - which can be set up at any of six observation stations that the researchers have established at the Cape St Blaize Lighthouse, the ATKVHartenbos Resort, the Garden Route Boutique Hotel and Spa and at several private homes. Observations are carried out on about four days out of every seven. Both the business and conservation communities of Mossel Bay have contributed to the study. “Fred Orban of the Oystercatcher Trail in

3/2011

Vlees Bay has provided logistical support and accommodation; Maracon Civil contractors has provided various materials and surveying data; and Moss Car Rentals gave us the use of a vehicle for a year - thanks to the hard work of Rhenia Niemand of the Dana Bay conservancy,” said Ms. James. She said that the research would shortly be extended to Vlees Bay (the first bay to the west of Mossel Bay) so that comparative studies could be made between Mossel Bay and a relatively untouched, but geographically similar ecosystem. Mossel Bay Tourism’s Marcia Holm said that the study was of great interest and vital importance to tourism in the town. Mossel Bay’s economy is built on tourism, and the ocean is one of the greatest attractions. Because of the relatively long term of the study, the hard data proves that Mossel Bay is an excellent whale and dolphinwatching destination, and the knowledge that’s being built up will help planners to ensure that human impact on our ocean environment is kept to a minimum,” she said. “Members of the public are always welcome to talk to us when they see us working in the field,” said Ms. James. “We value the opportunity to tell people about our work and the need to protect whales and dolphins in South African waters.”

TRADE NEWS

Thompsons promotes Family Fun in Botswana Whether followers of Animal Planet’s hugely popular Meerkat Manor, or not, adults and children alike will find the antics of meerkat families in the Kalahari absolutely fascinating. Thompsons Africa, the Inbound Division of the Thompsons Travel Group, has launched a new child-friendly, 5-night package, with the opportunity to witness, first hand, these delightful creatures as they go about their daily business, as well as enjoy incredible game viewing and mokoro trips in the Okavango Delta. A specialist and passionate guide will inspire children to learn about and love the wilderness. Families who book a ‘family safari’ will have their own private vehicle, with their own guide and tracker, who will look after them both on game drives and in camp. Children are cared for full time, allowing parents some well-earned rest! Programmes are based on the ages, sexes and interests of the children. Not only will they be entertained, they will learn a great deal from activities such as spoor castings, using spotlights, fishing, mammal, bird and plant identification, identifying night sounds and making greeting cards out of natural materials. Children are also involved in camp duties and are often found preparing snacks for their game drives with the chefs! If they are not busy, they are asleep, but always happy. The package includes 2 nights in the Central Kalahari and 3 nights in the Okavango Delta, on a fully-inclusive basis and all air transfers, ex Maun. Golf tourism launches new association South African Golf Tourism Association (SAGTA) has been set up with the aim of marketing South Africa as a top golf destination in both local and international markets. The establishment of SAGTA was inspired by this country having received the International Association of Golf Tour Operators (IAGTO) ‘Golf Destination of the Year 2011’ award for the African, Indian Ocean and Gulf States last year. SAGTA has been fully endorsed by IAGTO, the global organisation for the golf tourism industry. It has 1 556 accredited golf tour operators, golf resorts, golf courses, receptive operators, airlines, tourist boards, approved media and business partners in 82 countries, and controls over 80 per cent of golf holiday packages sold around the world, apart from Asia. All SAGTA members will automatically become members of IAGTO. The main benefits of joining both associations include opportunities to gain local and international marketing exposure to increase business and profits and being part of a united voice for golf tourism in SA. IAGTO Chief Executive, Peter Walton, says the formation of association will make golf tourism more economically viable in SA. “Through SAGTA, South Africa will be able to generate sustainable growth and increase revenues,” he says. “By uniting the private sector the golf tourism industry will be able to portray a clear image of what the destination is all about.” For more information contact SAGTA at info@sagta.co.za. Ezemvelo assists in game capture in India Two Ezemvelo KZN Wildlife members of staff have been invited by the Indian Government to advise them on game capture techniques. Head of Game Capture Mr Jeff Cooke and veterinarian Dr Dave Cooper

flew to India on 17 January 2011 to advise on the capture and relocation of Indian bison (gaur) which are to be re-introduced to their former range in a protected area in the Indian state of Madya Pradesh. The Ezemvelo KZN Wildlife Game Capture Unit hosted an Indian delegation on a fact-finding mission to the Hluhluwe-iMfolozi Park in 2008. The gaur - or Indian bison - is a very large herbivore similar to the Cape Buffalo and as the Ezemvelo KZN Wildlife Game Capture team have an outstanding international reputation in the capture, handling and relocation of large herbivores such as white rhinos and buffalos, the Indian Government extended an invitation for Mr Cooke and Dr Cooper to advise them. This initiative is being sponsored by CC Africa and Beyond. “Ezemvelo KZN Wildlife has very solid international reputation with regard to its game capture unit which is one of the best in the world, and we are very pleased to be in a position to pass our knowledge and experience to other countries,” said Ezemvelo KZN Wildlife CEO Dr Bandile Mkhize. “Mr Cooke has successfully headed our Game Capture unit for many years, and Dr Cooper is certainly one of the foremost wildlife veterinarians in southern Africa,” he added. “It is a great honour for Ezemvelo KZN Wildlife, and South Africa, for members of our staff to be invited to advise the Indian Government,” said Dr Mkhize. “The high standard of the Game Capture Unit in the capture and handling of wild game has been repeatedly endorsed by the South African game industry, particularly through the annual game auctions held by Ezemvelo KZN Wildlife over the past 24 years,” he added. The Green Bus Project by the Green Cab Company The Green Cab Company cc recently launched the Green Bus Project initiative which will provide an effective, cost efficient and environmentally sustainable transport alternative for getting visitors to Table Mountain National Park – Cape of Good Hope section. Amiene van Der Merwe and Lynn Maggot have worked successfully within the tourism industry over many years. They identified the need for affordable, regular transport in the area. The transport service to Cape Point Nature Reserve is currently entirely dependent on selfdrive vehicles, tour companies and guides who provide day tours or taxi services – thus the access is severely limited and under-serviced. The Green Bus Project run by the Green Cab Company will be tackling the increasing congestion on the roads in the peninsula and in particular to Cape Point. There is a growing need for responsible travel and a scheduled service to Cape Point will benefit visitors to the area. The service is also likely to attract additional visitors who hesitated to stay in the area due to a lack of affordable public transport. These visitors will now be able to access the reserve (one of the key tourism attractions in the region) without being dependent on scheduled expensive tours, taxis or hired vehicles. Guest house owners in the area can make use of the transport offer as an added value service for their guests. The service is likely to attract additional guests, thus promoting tourism growth in the south peninsula. In addition to the logistical solution of providing ‘public’ transport in the area, in the form of a regular shuttle service to the reserve - the benefits of a green transport solution will be welcomed by tourism business owners in the area who are particularly receptive to ecological solutions to tourism growth in a particularly sensitive environmental zone (and world heritage site). Everyone in the region is extremely aware of the fragility of the environment and the need to preserve our natural heritage for future generations. This transport solution will encourage tourism growth as well as preservation and sustainability of our environment and our people – for these are the corner stones of tourism. 3/2011

SATSA Tourism Tattler Trade Journal

TRADE NEWS The Sandton Sun receives official Chaine des Rotisseurs Professionals Plaque The Sandton Sun, a proud member of the internationally renowned gastronomic society – Chaine des Rotisseurs – has officially been a Professionals Plaque (Blazon) by the association for its flagship restaurant, Vin mmx. The Chaine des Rotisseurs is devoted to upholding high standards of gastronomy throughout the world and the Blazon is a prestigious mark of approval awarded by the society to few select members. The Blazon, which is made from moulded brass by master craftsmen, is awarded based on criteria such as the ability of an establishment to consistently provide excellence in food and service. This achievement means immediate recognition for Vin mmx as a first-class dining location and is a sign of distinction for all Chaine members as well as those looking for an establishment of quality and excellence. The Sandton Sun is the first in the Southern Sun group to receive such an accolade and will remain committed to maintaining its superb level of cuisine, service and hospitality. Says Peter Davidson, general manager of the Sandton Sun: “We are extremely proud of this achievement given that the restaurant is not even a year old yet. Vin mmx formed part of the 6th level renovations which took place last year and also includes San Restaurant and San Deck. Combined, this entire social arena has proved to be a huge success.” New Three Cities hotel in Umhlanga Gateway Umhlanga – one of Durban’s most significant growth hubs – is widely regarded as the ‘new’ business district of Durban. Development of this area is continuing at a rapid rate, with the construction of the 146 room Gateway Hotel expected to conclude by 01 June 2011. The R180-million development includes the hotel with extensive conferencing facilities and the adjacent restaurants which overlooks the Wave Pool at Gateway Theatre of Shopping. A roof top pool and bar has been especially designed to provide panoramic views of Gateway and the Umhlanga hills. Developed by Old Mutual (Investment Group – Property Investments), the four-storey hotel and conference facility is being operated by the Three Cities Group; one of Africa’s largest hotel management companies. Focusing on the environment, all companies involved in the development of the Hotel are working towards opening a facility that has a small carbon footprint. The contractor, Grinaker-LTA – in its commitment to the environment – has decided to work around (rather than over) some natural obstacles. Certain natural vegetation will be retained, including an ancient fig tree on the northwest corner of the site. According to Murray Burger – Three Cities Group Engineer – both contractor and developer took cognizance of the Green Building Council of South Africa’s commercial building guidelines to ensure that all the ‘greening’ aspects were accounted for. These aspects include waste management (reuse and recycling of building materials), top-soil re-use, local sourcing of materials and environmental management (reducing the impact of building practices on the environment). The Hotel is situated in the existing coach park at the Gateway Theatre of Shopping. The northwestern face of the Hotel is covered by a striking ‘leaf’ façade – a feature that will proudly proclaim the Hotel’s ‘green’ design technique. NEW Northern Cape Tours from Thompsons Thompsons Africa, the Inbound Division of the Thompsons Travel Group, is uncovering some of the hidden treasures of the Northern Cape and is now offering, and actively promoting, a number of new and fascinating guided tours and self-drive options in this land of big skies and wild flowers. It is here, just outside Kimberly, that we find the second largest flock of flamingos in Africa, these numbering over 50 000. This city of firsts was the original home to what is now the University of the Witwatersrand as well as South Africa’s first Stock Exchange. Kimberly’s Victorian architecture is evident, even in the surrounding townships, and it was here that famous English businessman, founder and diamond mining magnate, Cecil John

SATSA Tourism Tattler Trade Journal

3/2011

Rhodes, formed the De Beers Mining Company in 1880. Only Sutherland’s crystal clear night skies’ gazillions of stars outnumber Namakwa’s worldfamous shower of countless spring wildflowers. The bitter conflict brought about by the Anglo-Boer War has left its mark on the Northern Cape, where many battles and skirmishes were fought, with memorials and memorabilia found today throughout the region. Thompsons Africa’s NEW 4-day Kgalalagadi Transfrontier Park package, which departs from Upington Airport, offers a remote, unique and tranquil wilderness experience. A number of other tours, ranging from 1 to 4-days, explore the Richtersveld National Park and surrounds. Starting at Port Nolloth, highlights vary from drives through Halfmens (Halfhuman) pass, Akkedis (Lizard) pass to the Hand of God, and the opportunity to study plants and trees endemic to this area and found nowhere else in the world, to interaction with local herders, as well as visits to the mining town of Alexander Bay, Kuboes, home to the Nama People, Kleinzee Diamond Mine and Kleinzee Museum, and a visit to the largest colony of Cape fur seals in the Southern Hemisphere. Self-drive packages are also available, with the flexibility to explore the towns of this fascinating part of the Country, with its many unique attractions, totally at leisure. Cape Town Tourism calls for more tourism companies to enter Climate Change Leadership Awards The recipients of the second annual Climate Change Leadership Awards (CCLA) have been announced. These awards serve to recognise inspiring South African companies, individuals, schools and youth groups that are playing big roles in combating climate change with green and sustainable initiatives. Those winning awards were from across South Africa, with many Cape Town-based companies receiving accolades and special commendations. Taking second and third place respectively in the 2011 CCLA Climate Hero Award for Communities and/or Individuals category: • Lyzette September - for her Climate Change Diary; and • Blouberg Eco-Schools Node - for its efforts towards better environmental education and management. In the private sector, there were Cape Town based winners from a variety of categories including Agriculture and Food, Retail, SMME and Financial Services. “It’s so great to hear about these initiatives that are being started by South Africans that care about a sustainable future.” says Cape Town Tourism CEO Mariette du Toit-Helmbold. “We hope to see more entrants – and winners – from the tourism sector next year. Cape Town Tourism has been advocating for quite some time, that the sheer economic value of Cape Town’s natural heritage is driven largely by its importance to tourism and for this reason it is vital that sustainable practices govern all of our actions going forward but it is particularly important that the custodians of the tourism industry move towards ever-more sustainable, responsible practices.” “Initiatives such as the Climate Change Leadership Awards are absolutely necessary to create recognition for those companies who are putting action behind their commitment to a sustainable future. We applaud all the finalists and winners of the Climate Change Leadership Awards, particularly those doing their thing in the Mother City! ” Cape Town is the birthplace of Responsible Tourism. The Cape Town Declaration is the global foundation for Responsible Tourism and, in 2008, Cape Town’s key tourism players committed to a Responsible Tourism Charter as the foundation of future tourism development. This charter has been realised with The Responsible Tourism

TRADE NEWS Policy for the City of Cape Town. In addition, Cape Town Tourism is a founding member of Cape Town’s Climate Change Coalition, a partnership created between the City of Cape Town, tourism, business and education to ensure that Cape Town’s carbon footprint is minimised and that more responsible economic strategies are developed. ‘The Last Lions’ premieres in Botswana This new documentary film, produced and shot on Duba Island, Botswana by world- renowned wildlife film-makers Dereck and Beverly Joubert, premiered in Botswana on 08 April 2011, before an audience that included President Ian Khama, his Cabinet Ministers, MP’s and the House of Chiefs. ‘The Last Lions’ is a National Geographic production that Dereck and Beverly produced and shot over the past four years, a labour of love obviously, but also a film that has a burning message to match, one that reflects their passion -- the desperate plight of big cats, in this case lions, in Africa. When this filming couple were born there were 450,000 lions across Africa, but today only 20,000 remain. It’s been a message they have been trying to get out for some time as there are only 20,000 lions left in the wild. They expect to see the extinction of these animals in 10 years at the present rate of decline! Their film states this clearly, and is a call to action from all who love the African bush and its animals. ‘Cause An Uproar’ - www.causeanuproar. com - is the window to that campaign. National Geographic Entertainment have offered to give ALL of its profits to the Big Cats Initiative. As a result, all of those funds go directly to solving the problem, to conservation of lions in Africa. An additional campaign involved National Geographic giving 10 USA cents to lion conservation in Botswana every time the Last Lions trailer is viewed online. So the Joubert’s film now has the opportunity to give back. Already the campaign has raised over six figure numbers and continues to grow. All of that and more will go back to Botswana and the lions. ‘The Last Lions’ is a National Geographic Entertainment film. Now you can get involved by going to www.causeanuproar.com and learn what you can do to save the last lions through the Big Cats Initiative. Trail blazer appointed CEO of Lonrho Hotels Much like the Lonrho Hotels brand itself, the company’s new Chief Executive Officer, Ewan Cameron, has years of experience which he brings to the table. At just 38, this British born hotleier has an extensive knowledge of European, UK and African hotels. He was an obvious choice to head up this luxury hotel group. Cameron is well aware of what it takes to run a successful hotel, having worked his way up from assistant manager of the Swallow Hotel Glasgow to the position he is in now, all in a relatively short amount of time. Notable achievements on his way to the top − which will no doubt hold him in good stead at Lonrho − included being Global Account Director of the Forte Hotels Group. He was both Director of Franchise Operations in Europe, the Middle East and Africa, and Vice President of Development in Africa for the Intercontinental Hotels Group. Most recently, he was Managing Director of Africa Sun Hotels Ltd, before taking the helm at Lonrho Hotels. “Lonrho Hotels is committed to establishing hotels in Africa’s high growth destinations. Being part of Lonrho plc, one of the best known brands in Africa, with enterprises in 18 different counties, and a proven luxury hotel operator, Lonrho Hotels has the potential to once again be the business traveller’s preferred hotel in Africa,” says Cameron. Cameron has a team of 532 in the company. As an Industry leader Cameron is adept at providing insights into: • The hotel trade • Working in Africa,

• • • • • • • • • • • • •

Travel trends Branding within hotel context Impact and role of tourism within an economy Hotel investment returns (Africa) Hotel Revenue Management Try-partnership between customer, hotel and travel agent Hotel guest expectations Opportunity for tourism growth in Africa Future for extended stay hotels in Africa How hotels enhance mixed-use developments Impact mobile technology is having on travellers Investing in our people and communities as we grow Competitive advantages of being a pan-African conglomerate

Zambezi Queen, Africa’s newest luxury river safari The Mantis group has introduced their latest exclusive experience - the Zambezi Queen, which will further diversify their product collection. This luxurious 45-metre floating boutique hotel situated on Botswana and Nambia’s great Chobe River will now offer Mantis clients another once in a lifetime experience. Guests can now experience the thrill of an African safari from their own private suite aboard this luxurious 45- metre boat. There can be few natural wonders as synonymous with Africa’s raw wilderness as this stretch of untamed waters. The Chobe River divides Botswana’s Chobe National Park from Namibia’s Caprivi Strip and its exotic banks boast one of the densest populations of wildlife on the African continent. The Zambezi Queen operates in five-star luxury, where the essence is about pampering, indulgence, and personalised comfort in the heart of African wilderness. She offers 10 Suites and four Master Suites, all en-suite with king or twin beds, private balconies and fans for those hot summer afternoons, full length sliding shutters for privacy and protection from the sun, sliding mosquito net doors and the finest finishes. Adrian Gardiner, CEO of the Mantis Group says “We are thrilled to introduce the Zambezi Queen to our collection. This will add yet another unique experience on offer to our Mantis clients. Going forward we plan to expand our collection of properties to all seven continents of the world. We wish to attach a five-star hospitality component to some of the world’s must-see wonders. The next opportunity for us is to be able to offer this unique game viewing experience from Africa’s newest luxurious yacht on the Chobe River. “In the future we will look further afield to include the Great Barrier Reef, the Amazon Jungle, the tigers and mystical palaces of India and the towering mountains of Nepal. This growth will follow the underlying philosophy of our Group’s mantra “Conserving a Vanishing Way of Life”, and as we expand into these key regions, it will be carried out in a responsible and ecological manner, supporting the local environment through community development projects, conservation of wildlife and the natural resources of the region” A two or three-night stay on Zambezi Queen includes collection from either Botswana Immigration at Kasane on the banks of Chobe River, or Impilila airstrip across the Namibian border. Special arrangements can be made for other land transfer requirements. Included in the price are all meals prepared by talented chefs; drinks with meals and during game drives ; water-based game viewing on smaller boats enabling close-up viewing in an environment where the animals feel comfortable; landbased 4x4 game viewing in Botswana’s Chobe National Park; tiger fishing in season; bird watching from smaller boats and land-based cultural tours of local villages. A dedicated team of experienced guides, chefs and hands-on staff will ensure a memorable experience for all guests. Thebe Tourism bids Monwabisi Fandeso farewell It was with reluctance and regret that the board of Thebe Tourism Group has accepted the resignation of CEO Monwabisi Fandeso. “Since joining Thebe family almost three years ago, Fandeso has been exemplary in his role as a valued member of the Thebe Investment Corporation executive team and in his role as CEO of Thebe Tourism Group. His commitment and dedication to the brand as well as his active involvement in Thebe’s business will definitely be missed,” states Vusi Khanyile, Executive Chairman of Thebe Investment Corporation. Under Fandeso’s leadership, Thebe Tourism Group has realigned its 3/2011

SATSA Tourism Tattler Trade Journal

TRADE NEWS

Roland Schoeman at Radisson Blu Hotel PE swimming pool overlooking Indian Ocean.

Transportation of animals at SA airports to undergo extensive changes The tragic death of 750 African Grey parrots on a flight during December 2010 from Johannesburg to Durban, led 1time airline, Bid Air Cargo (previously Express Air Services), one of the biggest movers of livestock by air in the country, and the NSPCA to instigate an investigation into animal and bird handling procedures at South African airports. A working committee of various stakeholders has been set up to investigate and implement best practice nationally. Rodney James, CEO of 1time airline says, “All the staff of 1time were deeply distressed by the death of the parrots and when Dr Steve Boyes of the World Parrot Trust explained the problems involved in the wild caught bird trade, we knew we had to act on it. Fortunately, our cargo partner, Bid Air Cargo had already been considering international best practice in the transportation of livestock and their recommendations as well as those of other stakeholders in the cargo and animal and bird industries will now be implemented.” Dr Steven Boyes of the World Parrot Trust Africa and Wild Bird Trust, believes the death of the parrots was caused by a convergence of factors and that no one party is entirely to blame. He says, “South Africa exported almost 25 000 African Greys in 2009, yet still needed to import over 5 000 wild-caught African Grey Parrots from the Democratic Republic of Congo. Continued trade in wild-caught African Greys threatens their persistence in the wild, and is unjustifiable, unethical and a significant threat to global biodiversity conservation. Transporting captivebred birds is one thing. Transporting stressed wild-caught birds, however, is an entirely different undertaking with significant risks to both the birds and human handlers. We are grateful to 1time and to Bid Air Cargo and hope that other airline cargo operators will assist in squeezing the pipeline of wild-caught birds being transported into or out of the country.” The working committee plans to implement: - a custom live animal terminal at airports with skilled personnel and a separate check-in counter for livestock - a national, accessible database of endangered species - that statistics of the movement of birds and animals through airports will be collated by the cargo operators and shared with the National Zoo, NSPCA, CITES (Convention on International Trade in Endangered Species of Wild Fauna and Flora) and government - a panel of experts on animals and birds who can advise and evaluate potentially risky transportation consignments and conditions - new booking procedures for the acceptance by Bid Air Cargo for animal or bird transportation. 48 hours notification will need to be given prior to travel which will allow ample time to check the bona fides of the cargo as well as best practice for transportation - recommendations for TETA (Transport Education and Training Authority) industry standards for the transportation of birds and animals via air and road - assistance through The Association of Air Cargo Operators Committee to raise awareness of the special needs of animal and bird transportation amongst its members and will share best practice - skills within the airline industry to be improved to be able to better handle the transportation of all animals. The committee which is to meet monthly is represented by: - 1time airline - Bid Air Cargo - Cargo Learning Academy - The Airline Cargo Operators Committee - The National Zoo - The NSPCA

For more media information, please contact Veronique von Rehbinder at Quintessential Communications on 082 803 1665 or e-mail veronique@ qecommunications.com.

The World Parrot Trust Issued on behalf of the working committee by Michelle K Blumenau, Turquoise PR & Marketing Communications T 011 728 5004 / 083 273 9891 / michelle@turquoispr.co.za

integrated tourism offering, strengthened the leadership team, and he also successfully led the company through some challenging times. Fandeso will continue in his role as CEO until the end of May 2011 to ensure executive business continuity. Beyond 31 May, Thebe Investment Corporation will continue to benefit from Fandeso’s contribution as a non-executive director on a number of its subsidiaries and investee companies. “We wish him all the very best for the future and look forward to our continued valued relationship, albeit in a new capacity,” continues Khanyile. The Thebe Tourism Group Commercial Director, Marilyn Lewis, will step into the role of CEO for an interim period. In her current role Lewis oversees all Thebe Tourism Group company financial matters. During the interim period, she will retain her Commercial Director responsibilities and duties. Lewis is an accomplished senior business executive with extensive tourism and wider commercial industry experience and has held various top executive management positions throughout her career. She is a Chartered Accountant by training and is commercially very astute. She excels at financial leadership, organisational regeneration and the development of tourism business strategies. “We look forward to Marilyn adding value in this role,” adds Khanyile. In making the announcement to the Thebe Tourism Board, Vusi Khanyile expressed his gratitude to Fandeso for his valuable contribution to the Thebe Tourism Group. “Monwabisi Fandeso has earned the respect and trust of his team, the wider Thebe family and the industry as a whole. We are proud of our association with him and long may it continue” concludes Khanyile. Tourism boost for Port Elizabeth five-star destination The Radisson Blu Hotel PE recently had the privilege of hosting many national and international visitors. Clive van Oudtshoorn, GM adds, “That week’s activities in Port Elizabeth has been exceptional for boosting our city’s business and tourism levels. The hotel, an 18-storey building situated on the Summerstrand beachfront enjoyed occupancies in excess of 90 per cent for the week. Events such as the Neil Diamond Concert, the Spec Savers Ironman 2011, the Grey Rugby Festival and many other on-going activities such as the Telkom SA National Championships, a trial event for the 14th FINAL Championships taking place in Shanghai, China this year, has contributed significantly to the marketing of our friendly city as the ideal tourist, sporting and business destination.”

Clive van Oudtshoorn, GM of Radisson Blu Hotel PE with singing sensation, Neil Diamond.

SATSA Tourism Tattler Trade Journal

3/2011