Issue 4 July 2012 - Tourism Tattler by Tourism Tattler

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SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

Contents Issue 4 (July) 2012

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)87 727 8643 / 31 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 Official Trade Journal of:

The Regional Tourism Organisation of Southern Africa (RETOSA) PO Box 7381, Half Way House, 1685 Tel: +2711 315 2420/1 Fax: +2711 315 2422 Webite: www.retosa.co.za

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EDITORIAL 05 From the Editors Desk / Cover Story 06 Letters to the Editor 07 Competitions 08 About SATSA / About RETOSA 09 Regional branding strategy for SA 10 ICTP launches in Seychelles ACHIEVEMENTS & ACCOLADES 11 Seychelles Minister honoured 12 Tourism Sparkler - Roshene Singh 13 Trade Awards ATTRACTIONS 15 Destination tourism benefits BUSINESS & FINANCE 16 Streamlining global travel 17 Building assets with barter 18 Creating a personal budget CONSERVATION 19 TRACKS for Giants completes first leg EVENTS 20 TAFI Conference 21 T&TBE Conference 22 Indaba in retorspect LEGAL 24 From the Bench

MARKETING 25 SAT increases cross border marketing 26 Tourism Business Index 27 SATSA Market intelligence Report 28 New travel demand from BRIC wcountries PHOTO GALLERY 31 Photographer Profile - Stu Shapiro NICHE TOURISM 34 Cultural Tourism Strategy launched RISK & INSURANCE 35 Aviation insurance SAFETY & SECURITY 36 Media handling support TECHNOLOGY 37 Gadgets & Gizmos TRADE NEWS 38 Trade Snippets TRANSPORT 41 Shaping the future of touism mobility RESPONSIBLE TOURISM 42 The diference between Responsible and Sustainable Tourism 43 Regional Sustainable Tourism certification

EDITORIAL CONTRIBUTORS Juergen Thomas Steinmetz Kagiso Mosue Marjorie Dean Martin Jansen van Vuuren Nigel Willmott Zamani Mbatha

Adv. Louis Nel Alex Boguslavsky Bob Meyer Carol Dlomo Claire Warneke Des Langkilde Harold Goodwin

ADVERTISING SPONSORS The Southern Africa Tourism Services Association (SATSA) PO Box 900, Ferndale, 2160 Tel: +2786 127 2872 Fax: +2711 886 755 Webite: www.satsa.com

SATSA PROUD SPONSOR

02 04 15 21

BnB Sure SATIB Trust Sani Pass Hotel & Leisure Resort SATIB Insurance Brokers

24 Savage, Jooste & Adams Attorneys 35 SATIB Insurance Brokers 44 TransMedia Barter

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.

JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

The Hallmark of Quality Tourism in Southern Africa Displaying the SATSA logo on your marketing collateral tells your customers that your organisation has complied with stringent membership criteria relating to legal, statutory and liability requirements. SATSA membership will inspire trust and confidence from your target market by endorsing good business practice, as well as provide you with additional benefits, such as: • Bonding (financial guarantee); • Employee Provident Fund; • International quality awareness; • Member-to-member benefits; • Trade show representation; • Supplier discount benefits; • Representation with government; • Access to Legal Aid Club; • Networking opportunities; • Dispute resolution. For more information visit:

www.satsa.com

Tel: 086 12 SATSA (72872) E-mail: membership@satsa.co.za

The Mark of Quality Tourism in Southern Africa

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

EDITORIAL

From the Editor’s Desk As the Tourism Tattler Trade Journal will be published monthly from this edition onward, it has fewer pages making for an easier read from cover to cover, and is packed with useful information that we hope will be of benefit to your business and staff members. Our industry has a wealth of knowledgeable and experienced individuals who are willing to share their advice with readers. We welcome you to ask questions and to share your opinions and even gripes through our Letters to the Editor forum. If there is one theme running through this July edition, it is the continuing need for, and benefits of, co-operation between all players in the travel and tourism trade. This month, the Seychelles hosts the inaugural meeting of the International Council for Tourism partners (ICTP), the RETOSA Board of Directors meeting and the ROUTES Africa Forum for airlines (page 10). These developments must be welcomed, as it is becoming clearer by the day that to succeed in tourism, operating as an individual no longer makes sense, especially from an economic point of view. South Africa is structuring marketing into Africa (page 25) and, while we need to look at individual new markets, such as those of BRICS (page 28), destination tourism routes (page 15), niche tourism marketing strategies (page 34) and sustainable tourism (pages 42-43), our marketing needs to exploit commonalities as well as differences.

Historical analysis of tourism statistics is important in planning your businesses future marketing strategy, but how do you sort the wheat from the chaff? The Tourism Business Index and the SATSA Market Intelligence Report (pages 26-27) has the answers. One really tricky time for tourism companies, is when they are in the news – for the wrong reasons. A mistake in handling the media can be a very expensive error, and tsi can offer practical support (page 36). It is always a pleasure to report on awards for members of our industry, from individual accolades (page 12) to a whole raft of trade awards to Southern African products and services (pages 13-14). It’s going to be a busy time for the tourism industry in September and October. Two significant conferences will be taking place – the Travel and Tourism Business Exchange, hosted by TBCSA and the Travel Agents of India Federation (TAFI) Conference in Durban. See pages 20 and 21 for more information on how you can leverage these events to your advantage. We also take a retrospective look at INDABA 2012 (pages 22-23). And we have some tips on how barter trade can build your assets in tough times (page 17) as well as a very simple but effective 5-step plan to put together an effective personal budget that’s easy to understand and thus to keep to (page 18). Enjoy your reading. Marjorie

Cover Story Seychelles is also the host country for the International Council for Tourism partners (ICTP) inaugural meeting and the airlines ROUTES Africa Forum. The Seychelles Minister responsible for Tourism and Culture, Alain St.Ange has been recognized by Madagascar for his work in promoting tourism in the Indian Ocean Vanilla Islands. This recognition comes only months after La Reunion bestowed on the Minister a Certificate naming him an Ambassador for La Reunion. Read more on page 11.

Our cover for this edition features the beautiful Seychelles, setting for the RETOSA Board of Directors meeting this month. Just looking at the Experience Southern Africa logo, you can see just how big an area RETOSA represents, all of Africa below the equator, including some of the most desirable tourist destinations on the planet. If we can truly co-operate from governmental level down we can achieve so much more. During May, RETOSA collaborated with the Commonwealth secretariat in preparation to compile a destination brand management and communication strategy, with implementation guidelines, for the Southern Africa region. The workshop, which was convened at the ICC Durban during INDABA 2012 was attended by public and private sector representatives from all fifteen RETOSA member states, including senior tourism officials, travel industry experts and consultants. Read more on page 09.

It just shows what can be done when the tourism industry of a small country applies its mind to making its mark internationally, and puts its effort, mouth and money where it really counts in a well-co-ordinated effort, including its neighbours. A lessonthat other destinations in Africa can surely learn from. JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

LETTERS TO THE EDITOR

and the UK dates back to 1948! Under this, we have three airports where SAA is protected, Durban, Cape Town and Johannesburg. So we need to persuade the Department of Transport’s Aviation Department to adjust the out of date BASAs. SAA has stated that they are focussing on Oliver Tambo International Airport (ORTIA) in Johannesburg as its main hub for both regional and international flights. This accords with successful international practice. So now for the SAA/UK route the BASAs are out of date, and there is no need to protect SAA’s interests on UK/SAA flights at Durban or Cape Town. Dear Editor There is a lot of loose talk and anger in the industry concerning the South African Airways (SAA) decision, announced in June, to cut its direct services between Cape Town and London. One point has to be made clear from the outset: This is actually, like it or not, rational behaviour for a profit-focussed airline, and has to be seen in an international airline context. For years, we have demanded that SAA become a profitable carrier, and not need “bail outs” from government. In this context it has to be noted that SAA is no longer a “National Carrier” for South Africa, but a “Flag Carrier” - and there is a big difference. However, we, as SATSA, do accept that the withdrawal is, from a tourism perspective, a big blow. The loss of capacity alone is detrimental to the country’s reputation. But there is a positive way forward, which could work much better for tourism. We have to rid ourselves of the long-established, but now out of date assumption, that our tourism industry stands or falls by what SAA decides. We now operate in a very different world. First of all, as well as Southern Africa, we are marketing the destination as South Africa, not individual cities and areas, and we operate in an environment where every city in the world is trying to make better use of its airport, for both passenger and freight traffic. We have to rise above purely local considerations and learn to work together. SATSA’s sincere hope is that the MECs from Durban and the Western Cape can work together in the best interests of both. For our problem lies not with individual airlines, but with the Bilateral Air Services Agreements (BASAs) under which they operate. For example the one which governs air travel between South Africa

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The way is clear to go for “Open Skies” at these airports with all that implies. The MECs for KwaZulu-Natal and Western Cape can form links with other countries and cities for both economic development and tourism. Open Skies would mean allowing airlines to have 3rd, 4th, 5th 6th and 7th Freedom rights, and would open the way to good quality charter operations, and long-haul airlines that operate outside the restrictions of the Star and other airline alliances. These airlines could use Boeing 747s on the routes, and that in turn allows them to carry a profitable mix of passengers and cargo. For that is where the money in airlines lies right now - in CARGO. Make that profitable and they will bring the tourists in the cabins up above. It will also bring more money from exports into the areas concerned. And BASAs are out of date for another reason. Why should we labour to negotiate separate agreements today with, say, individual countries that are members of the European Union (EU), when everything else they do is done jointly? It doesn’t make sense. So we need to revive the negotiations for a Horizontal Agreement with the EU -- i.e. negotiating one agreement to cover the whole EU. There were negotiations for two years along these lines, but these were stopped for fear of compromising the interests of SAA. In light of recent business-based decisions at SAA this whole process must be looked at again - and with urgency. Lobby your MEC to think about these ideas! Tourism is no longer tied to SAA’s coat tails. We have other choices, and we need to explore them, and explore them now! Michael Tatalias CEO - Southern Africa Tourism Services Association

The winning letter published in the Tourism Tattler Issue 5 (Aug) 2012 edition will receive a copy of National Geographic’s ‘Eye of the Leopard’ DVD with the compliments of Livingstones Supply Co – Suppliers of the Finest Products to the Hospitality Industry. Letters should be sent by 18 July 2012 to editor@tourismtattler.co.za This 55 minute film by Derek and Beverly Joubert follows the remarkable life of one small leopard from when she is just 8 days old every step of the way until she is 3 years old and on the brink of adulthood. Legadema, as she is named, works her way into your heart as she slips in and out of danger virtually every day, running from baboons and hyenas but also making landmark strides in hunting and surviving. It is the story of a mother and daughter relationship as well as that of an emerging huntress in Botswana’s magnificent Mombo region of the Okavango Delta.

For more information visit: www.livingstonessupplyco.co.za

SATSA / RETOSA Tourism Tattler Trade Journal

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EDITORIAL

READER COMPETITION

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A 6 Month Legal Advice Contract To enter this reader competition simply ensure that you are optedin to the Tourism Tattler mailing list by subscribing at http://www. tourismtattler.co.za/subscribe and answer the following question by email: “‘What is the date that the CPA was passed by parliament? – is it 2008, 2009 or 2010” The correct answer may be found under the Legal Section on page 24 of this edition. Email your answer with Legal Advice Competition in the Subject field to editor@tourismtattler.co.za by 18 July 2012. Remember to include your contact details (Name, company trading name, telephone numbers, City/Town, Province and Country). The first correct email received will win a six month legal advice contract with the compliments of Adv. Louis Nel, which is valued at R9,000. Adv Nel (B.Comm, LL.B. LL.M.) acts as legal facilitator in the travel & tourism industry in which he has 30 years’ experience. COMPETITION RULES Adv Nel will determine the winner by means of a ‘lucky draw’ i.e. all the correct answers will be collated and the first name to be drawn will be the winner. • The prize is restricted to South African citizens or South African registered companies;

• The name of the winner will be published in the Tourism Tattler August 2012 edition; • The draw will be carried out by Adv Nel in a completely honest and transparent manner and in his sole discretion and no correspondence will be entered into; • The prize winner will be sent a contract to complete, sign and return to Adv Nel; • The prize winner does not have to pay anything at inception or for the 6 month period unless Adv Nel’s services are utilized for more than one hour in any month during the 6 month period (in which case the additional hour or part thereof will cost you R900.00 or a pro rata amount) or if any of Adv Nel’s templates are purchased (at discounted prices); • The benefits of the prize are as follows: • Access to Adv Nel at no extra charge for one hour per month for a 6 (six) month period; • Access 7 days a week (including week-ends & public holidays); • Discounts (up to 30%) on workshops & templates; • Any work over and above the monthly hour is charged at R900 as opposed to R1,500. For more information call +27 (0)11 463 4556 or email louis.nel@corporateoptions.co.za

WINNERS OF THE GO GARDEN ROUTE COMPETITION CONGRATULATIONS to Charlene Ramsden of Greenlife Africa Safaris and Sihle Mavuso of The New Age Newspaper, whose competition e-mail entries were the first to be received by the Tattler’s Executive Editor. Charlene and Sihle each won a three night long weekend breakaway for two people sharing, including activities in Knysna, Plettenberg Bay and Oudtshoorn with additional activities in Tsitsikamma, provided with the compliments of Go Garden Route. For more information visit: http://www.gogardenroute.co.za

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SATSA / RETOSA Tourism Tattler Trade Journal

EDITORIAL

RETOSA invites you to collaborate Southern Africa has become a tourism and economic powerhouse of the African continent. The Regional Tourism Organisation of Southern Africa (RETOSA) is a permanent body and legal entity of the Southern African Development Community (SADC) responsible for tourism growth and development. RETOSA board meetings are held in a different member country each time to give host countries an opportunity to showcase unique attractions and promote inter-regional relationships, experience and knowledge. The more countries and people know of each other’s tourism products and heritage the better they are able to promote the region as a single but multi- faceted destination, which ultimately would lead to improved tourism development and poverty reduction across member states. The fifteen SADC / RETOSA member countries are Angola, Botswana, Democratic Republic of Congo, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, South Africa, Seychelles, Swaziland, Tanzania, Zambia and Zimbabwe. Fortunately, tourism in the region has focused on culture, wilderness and biodiversity for a long time and many of the destinations have been inherently green and environmentally friendly. However, there are still many ways in which the region can improve and RETOSA takes this opportunity to encourage all in the industry to make a positive impact by finding innovate ways to reduce their carbon footprint.

In part, the aims of RETOSA are to increase tourism to the region through sustainable developments and initiatives, improve regional competitiveness and to create investment awareness for tourism development in the region and ultimately, to reduce poverty in local communities. RETOSA works together with the region’s national tourism ministries and numerous strategic partners such as SATSA to achieve these, but without you, the private sector and media who have invested their time, resources and wealth into the products and services that make the Southern Africa experience so unique to our region’s visitors, we cannot truly succeed. There is a never-ending source of publicprivate partnership and investment opportunities available and I invite you to collaborate in these. The private sector possesses a wealth of experience and knowledge on the region, in all facets of the local travel and tourism trade, and I encourage you to share your expertise with others by contributing to our official trade journal, the Tourism Tattler. Kwakye Donkor, Marketing and Communication Director For more information contact +27 11 315 2420 or email marketing@retosa.co.za or visit: www.retosa.co.za

About SATSA “SATSA has been the Hallmark of Quality Tourism in Southern Africa for more than 40 years”. Craig Dysdale - SATSA President Our Vision is to be the most recognised and sought after endorsement of good business practice in the Southern Africa Tourism Industry. Our Purpose is to provide domestic and international tourism buyers with quality advice and reliable information on credible tourism partners in Southern Africa. Our Aim is to help our members manage successful, profitable businesses that are part of a vibrant and sustainable inbound tourism industry. We achieve this by focusing on: LOBBYING – We champion the interests of our members with Government to ensure South Africa has a legislative and fiscal framework that allows their businesses to grow and prosper. PROFESSIONALISM – We promote best practice and encourage lifelong learning. We facilitate through mentoring of newcomers to the tourism industry, and other means, the provision of vocational and management training that will improve quality, encourage staff development and provide the prospect of a fulfilling and rewarding career path in inbound tourism. To ensure standards are maintained, SATSA members are required to update all their information every year.

abroad and in Southern Africa through a programme of business and social events. SATSA has an Executive Committee (ExCo), elected by members, that is charged with making policy decisions concerning the running of the organisation. The National Office is managed on a day-to-day basis by an appointed CEO, COO and staff. SATSA is committed to enhancing quality in tourism throughout Southern Africa and has signed an MoU with RETOSA to facilitate this objective. SATSA is committed to transformation in the industry and has signed an MoU with the Tourism Empowerment Council of South Africa to this effect. SATSA promotes Responsible Tourism SATSA is the only inbound non-government organisation whose members are bonded against involuntary liquidation of other members. SATSA offers members a variety of benefits from an excellent provident fund, insurance and specialist legal advice, to arbitration in case of disputes. SATSA looks after the interests of the private sector and private enterprise by lobbying government on behalf of its members - and others in the industry.

NETWORKING – SATSA is a trans-national organisation, but provinces in South Africa have their own Chapters, with a Chair and Committee. This SATSA works with other tourism organisations to promote and run various allows members to be more involved in provincial matters at a local level. national recognition programmes. The chapter structure also enables SATSA to obtain detailed feedback from its members on issues affecting the tourism industry. Through our Chapter SATSA promotes education in tourism through its Annual Conference, its bi-weekly electronic newsletter SATSA RAP and its journal, The Tourism meetings and annual conference we provide opportunities for our members to develop relationships with tourism suppliers, buyers and partners both Tattler, which is available in both online and print versions. For more information visit http://www.satsa.com

SATSA / RETOSA Tourism Tattler Trade Journal

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Regional Branding and Communications Strategy for Southern Africa The Regional Tourism Organisation of Southern Africa (RETOSA), in collaboration with the Commonwealth Secretariat, have commissioned UK based Yellow Railroad International Destination Consultancy, to prepare a destination brand management and communication strategy and implementation guidelines for the Southern Africa region, writes Des Langkilde. To gather input from both the private and public sectors, RETOSA used the Indaba travel trade show at Durban’s International Convention Centre during May to convene a workshop. The workshop was attended by public and private sector representatives from all fifteen RETOSA member states, including senior tourism officials, travel trade, industry experts and consultants. Francis Mfune, executive director of RETOSA opened the proceedings. “The SADC region currently has a two percent share of the international travel market and want to grow this to five percent by 2020. A cohesive brand and communication strategy is an essential component in achieving this aim”, he said. Tom Buncle, Managing Director of Yellow Railroad stated in his opening address that; “Establishing Southern Africa as a brand in the minds of international travellers will be built on four key pillars, namely diversity, wilderness, humanity and climate but how RETOSA members engage and support the brand is critical to its success.” Buncle identified three travel motivation trends in his presentation, these being; Feel Fulfilled - Typically emanating from “old” Western Europe, North America, Australasia and Japan this group want to visit “undiscovered” destinations that offer “active” relaxation, escapism, authenticity and personal fulfilment. Fly and Flop - Buncle describes this group as “Sunticipation” who want resort-based venues and are family-orientated and priceconscious. They largely emanate from Northern Europe, “New” Eastern Europe and Russia. Bling and Buy - This group demonstrate their wealth and social status and are noted for their ostentatious consumption habits. “Look where I’ve been!” and “What’s global warming got to do with me?” are typical mantras from this group who predominantly emanate from “New” Eastern Europe, Russia, China, Brazil and India. Describing the benefits of a successful brand, Buncle maintains that brands that are distinctive, have a personality, and memorable, can distinguish themselves from competitors and build loyalty at a premium price. He differentiates branding from marketing as; Branding – who you are (personality / essence) Marketing – how you communicate this to your customers.

Tom Buncle, Managing Director of Yellow Railroad urged for collaboration. “A destination brand is the mix of the core characteristics of the place that makes it distinctive and memorable. It is the enduring essence of the place that makes it different from all other places (and competitors). Importantly, the brand exists in the eyes of the beholder. It has to be credible and real, it cannot be manufactured. It is the way in which a destination nurtures, develops and presents its core characteristics to its main audiences that enables it to establish, reinforce, or even change its reputation” says Buncle. Describing the primary risks to destination branding, Buncle cites conflicting stakeholder interests, political compromise, dishonesty and unclear thinking as contributing factors that result in bland, indistinct and consequently forgettable brands. “Branding is no substitute for substance, says Buncle. Your brand already exists – it just needs clarification, commitment and communication. A brand is not budget dependent – communicating it is what costs.” In concluding his presentation, Buncle urged RETOSA members to collaborate through shared resources, market intelligence and skills development. “As a region, southern Africa is only as strong as its weakest link. Individual interests must be put aside in favour of shared goals to attain consumer credibility.” Audience participation highlighted stumbling blocks that the governments of member states would need to address as priorities for the Southern Africa brand to succeed, which included air access constraints, cross-border visa issues, corruption and nepotism among other constraints. Yellow Railroad will be presenting their brand strategy proposal by the end of October this year. For more information or to contribute to this proposal email tom@yellowrailroad.com JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

EDITORIAL

Seychelles

chosen as ICTP launch venue The International Council of Tourism Partners will be formally launched, with 244 members from over 40 countries, at the tropical island paradise of the Seychelles on July 07th. The formation announcement was made at last year’s World Travel Market. The phenomenal growth of ICTP, under President Professor Geoffrey Lipman and Chairman Thomas Juergen Steinmetz of the eTN Group, is evidence that ICTP was and is needed as a now formal alliance of tourism destinations committed to green practice and sustainability. The ICTP General meeting will be flanked by the RETOSA Board of Directors meeting on one side of the calendar and the much awaited Routes Africa meeting from July 08th to 10th, for which record registrations have been pouring in, all drawn no doubt by the appeal of the Seychelles as ‘THE’ destination in the Indian Ocean. “I am pleased to announce that with the support of our executive members and the Minister of Tourism & Culture of the Seychelles, our inaugural launch meeting will take place along with a combined Executive and Academy Board meeting in the Seychelles on July 7. We’re inviting all government and private industry stakeholders to join us in the Seychelles on July 7 for this important event, when we will be setting the future role of our fast-evolving organization. ICTP will be announcing hotel, media, and airline sponsors for these two events shortly” said Steinmetz. ICTP is a new grassroot travel and tourism coalition of global destinations committed to quality service and green growth. The ICTP logo represents the strength in collaboration (the block) of many small communities (the lines) committed to sustainable oceans (blue) and land (green).   ICTP engages communities and their stakeholders to share quality and green opportunities including tools and resources, access to funding, education, and marketing support. ICTP advocates sustainable aviation growth, streamlined travel formalities, and fair coherent taxation.   ICTP supports the UN Millennium Development Goals, the UN World Tourism Organization’s Global Code of Ethics for Tourism, and a range of programs that underpin them. The ICTP alliance is represented in Haleiwa, Hawaii, USA; Brussels, Belgium; Bali, Indonesia; and Victoria, Seychelles. ICTP membership is available to qualified destinations free of charge. “ICTP will not be a lobbying body, but will from time to time express views on what we believe are self-evident realities that others may not want or be able to express. That’s why we will introduce “The Bernies” a novel Award for cant and hypocrisy about Travel and Tourism that will profile the best examples every year. Nor do 10

SATSA / RETOSA Tourism Tattler Trade Journal

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we see ourselves as an alternative to the other excellent bodies that are supporting the Travel and Tourism sector at public, private and civil society level – internationally regionally, nationally and locally. Rather we will be a valuable complement – hopefully allowing ICTP Members to amplify the benefits from participation in these organizations programs and events - by our focus on quality and green growth, our unique presentation of members’ commitments and our value added support services” said Steinmetz. The first Executive and Academy Board Meeting and Members General Meeting will convene from 10.00 to 11.00, while the members General meeting will convene from 11:00 to 13:00 in the Conference Room of the Ministry of Tourism & Culture in the Seychelles capital of Victoria.  Lunch will be served at 13:00 pm, and a media conference is scheduled for 3:00 pm.   CURRENT AGENDA 1. Chairman’s Report: Organization for 2012/13  2. President’s Report: Policy for 2012/13  3. Green Growth: Rio +20 – a low-carbon future  4. Travel, Tourism, Quality and Happiness – The Natural Step  5. Announcements and member contributions   6. Other Business   At the first Members General Meeting, ICTP will be announcing the organization’s Advisory Board.  ICTP is inviting all current members, as well as members of the Seychelles Tourism Industry and other “like-minded” stakeholders who wish to join ICTP and attend the meeting.   To RSVP your attendance at the Members General Meeting, please email: member@tourismpartners.org or call +1-808-566-9900   Visit www.tourismpartners.org for more information on the goals and objectives of ICTP, how to join, how to support and how to promote them.

SATSA, RETOSA and Tourism Tattler join ICTP The Southern Africa Tourism Services Association has joined the ICTP as an association member, as has the Regional Tourism Organisation of Southern Africa (RETOSA), while the Tourism Tattler Trade Journal has joined as a media partner in supporting the aims and objectives of the ICTP.

ACHIEVEMENTS & ACCOLADES

Seychelles Minister St.Ange honoured by Madagascar for standing behind the tourism efforts of the Vanilla Islands

The work being carried for tourism in the Indian Ocean Vanilla Islands by Alain St.Ange, the Seychelles Minister responsible for Tourism and Culture has been recognized by Madagascar only months after La Reunion bestowed on the Minister a Certificate naming him as an Ambassador for La Reunion. The ‘Order National’ by Madagascar duly signed by Andry Nirina Rajoelina, the President of the Republic, was presented to Minister Alain St.Ange at a formal ceremony during the 2012 edition of the International Tourism Fair of Madagascar, by Minister Jean Max Rakotomamonjy, the Madagascar Minister responsible for Tourism in the presence of Mrs Annick Rajaona, the Director for International Relations and Spokesperson for the President, Mr Eric Koler, President of the Office National du Tourisme de Madagascar and other dignitaries. With the full Guard of Honour and trumpets blaring, Minister Jean Max Rakotomamonjy read the Official ‘Ordre National’ Number 2012 – 570 of the 30th May 2012 confirms Alain St.Ange as ‘Commandeur de l’Ordre National’ before placing the Medal on Minister Alain St.Ange and presenting him with his Official Certificate. Madagascar said that they were thankful for the key role being played by the Seychelles Minister in the development of tourism for the region and for increasing the visibility of the region. “Your work and your support is assisting Madagascar Tourism find its rightful place. For this we are thankful and we count of your continued personal involvement. We thank you for being in Madagascar for the International Tourism Fair to express solidarity for the island’s tourism industry” Minister Jean Max Rakotomamonjy said. Addressing the ceremony Minister Alain St.Ange said that he was

honoured and emotional to be so decorated by Madagascar. “I can only say that I remain committed to the Indian Ocean Vanilla Islands concept and that I will work with the six islands of the Indian Ocean group to ensure we all see success for our respective island’s tourism industry” Minister St.Ange said. It must be remembered that this recognition comes but a couple of months since La Reunion had used the ITB Tourism Trade Fair in Berlin, Germany to present the Seychelles Minister Alain St.Ange with a certificate recognizing him as an Ambassador of La Reunion for his tireless work in the promotion of the Indian Ocean Vanilla islands region. Alain St.Ange was responsible for inviting La Reunion to be co-host alongside the Seychelles for the 2012 Carnaval International de Victoria and this had helped La Reunion to be more visible in front of a large bank of press coming from the four corners of the world. At the press briefing at the Kempinski Resort, the day before the official opening of the Carnival International de Victoria, the Indian Ocean Vanilla Islands Carnival, Alain St.Ange spoke about La Reunion as the Indian Ocean island that offers “Swiss Like” mountains and a gentle passive volcano. “Seychelles and La Reunion complement each other as ideal twin-center holiday options,” Minister Alain St.Ange had said. Both Seychelles and La Reunion form part of the six islands Vanilla Islands region in the Indian Ocean, and both these islands at that time reconfirmed their willingness to continue to cooperate in the field of tourism promotion as they agreed to continue to seek to convince the other islands of that block to also embrace the Carnaval International de Victoria, the Indian Ocean Vanilla Islands Carnival, as the event that can increase visibility of the region.   Seychelles, La Reunion, Madagascar, Mauritius, Mayotte and Comoros all form part of the Indian Ocean Vanilla Islands Group. The Islands have undertaken joint marketing initiatives to increase their regions visibility. Last year the Vanilla Islands Group organised an airline meeting in Mauritius to discuss the way forward with all airlines serving the islands of the Indian Ocean. Since then, much has changed in the individual situation of all the airlines who serve the region (Air Seychelles, Air Mauritius, Air Austral and Air Austral). Pascal Viroleau of La Reunion as Head of the IRT (La Reunion Tourism) has called for a follow up meeting in Seychelles in July. His call has already been welcomed by Seychelles, Madagascar and Mayotte. JULY 2012

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ACHIEVEMENTS & ACCOLADES

Tourism Sparkler Roshene Singh named an Internationalist “I do not do my work alone. I work with an inspired and hard-working team at South African Tourism, whose dedication to the brand and to the destination is the envy, I’m sure, of destination marketing organisations the world over. “ Roshene Singh, chief marketing officer, South African Tourism.

South African Tourism was delighted to learn recently that chief marketing officer, Roshene Singh, has been named an Internationalist for her leadership in global destination marketing work that shows ‘outstanding thinking in brand communications’. The honour was bestowed by The Internationalist, a global publication based in New York, that explores the best of global branding and marketing, creating a resource for marketing and communication professionals; celebrating pockets of excellence; and stimulating fresh thinking and application in a world that is truly a global village. Singh finds herself in the company of a small number of global marketers of excellence who have been awarded the honour. She is only the second South African to have the accolade bestowed on her, and also only the second destination marketing executive to be so honoured. Others who have been named Internationalists include former marketing Council of South Africa CEO, Yvonne Johnston and executives from global companies and brands such as MasterCard, the Boeing Company, Coca-Cola, Proctor and Gamble and Century Fox International. In reacting to the news, Singh said she was honoured to be named a member of what has become an exclusive club of marketing professionals who are as dedicated to the 12

art and science of marketing as they are to the brands they champion. “However,” she said, “I do not do my work alone. I work with an inspired and hardworking team at South African Tourism, whose dedication to the brand and to the destination is the envy, I’m sure, of destination marketing organisations the world over. Credit also needs to go to the larger South African Tourism industry. As important stakeholders, they make it easy for us to promise an amazing experience in South Africa where the people are warm, friendly and welcoming where we connect with our visitors, and give them more than just a fantastic holiday... we give them the emotional gift of new friends and a yearning to return to South Africa. “It’s always been a group effort. Our destination is successful because we work as a team. Together, we win awards, hearts, minds and an ever growing share of the global travel market.” Singh has served as chief marketing officer at South African Tourism for four years. Under her leadership the destination brand has grown to become instantly recognisable in 16 key markets around the world. She has worked to entrench marketing partnerships with the world’s premier global media (some of which have won coveted international awards) and has worked to make South

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Africa one of the top five most prominent destinations on global social media platforms. The strategy for destination marketing is a consumer-focussed (rather than a product-focussed) one that has seen South Africa keep pace and sometimes exceed growth in the global travel industry in spite of challenging world economic conditions. In commenting on the 18 winners of the Award this year, The Internationalist says: “Without their extraordinary efforts, inspiration and energy in today’s ‘always on’ world with increased emphasis on accountability and responsibility, many marketing programs simply would not have gotten off the ground. The Internationalists represent a variety of industries, locations and number of years in the profession, but all take the role of brand champion to heart. “There may never have been a more exciting time to be a marketing leader, despite today’s complexities. The global overlay of regulations, carbon footprints, CSR, cultures, languages, political environments and a myriad of differing perspectives all contribute to describing one of the world’s most challenging occupations – played on a very public stage fraught with immediate customer reaction that directly affects a brand’s potential for success.”

ACHIEVEMENTS & ACCOLADES

maintain an overall rating of four or higher, out of a possible five, as reviewed by travellers on TripAdvisor. Additional criteria include the volume of reviews received within the last 12 months. Massinga Beach has also been invited to participate in the 2012 World Luxury Hotel Awards™. For more information visit: http://www.massingabeach.co.za/

NAMIBIA Legacy’s Desert Jewel Casino shines at PMR awards

BOTSWANA Tuli Safari Lodge comes runner-up in Sunday Times Travel Magazine’s Value for Money Awards Tuli Safari Lodge has come runner-up in the Sunday Times (UK) Travel Magazine’s Value for Money Awards 2012 in the Africa & Middle East category. These annual awards are recognised as one of the travel world’s ultimate accolades and are decided by a team of expert panellists. For more information visit: http://www. tulilodge.com/

MOZAMBIQUE Marlin Lodge awarded Certificate of Excellence We are proud to announce that TripAdvisor has congratulated Marlin Lodge on earning the prestigious 2012 Certificate Of Excellence Award. TripAdvisor travellers consistently commend Marlin Lodge with the highest praise, and TripAdvisor recognise our 4.5 rating as an exceptional achievement. If you would like to experience what so many others have in excellence please send an enquiry to reservations@marlinlodge.co.za or phone +27 (0)12 940 4212/3/4

Massinga Beach In Inhambane, Mozambique, Earns 2012 Tripadvisor Certificate Of Excellence The accolade, which honours hospitality excellence, is given only to establishments that consistently achieve outstanding traveller reviews on TripAdvisor. Approximately ten percent of accommodation listed on TripAdvisor receive this prestigious award. To qualify for the Certificate of Excellence, businesses must

The Desert Jewel Casino based at the Windhoek Country Club Resort in Namibia, has been rated as the top casino in Africa by PMR Africa. The PMR Africa awards aim to celebrate leaders in their fields by pegging their services and offerings against their nearest competitors. The awarding of the top African casino, outside of South Africa, to the Desert Jewel Casino at the Windhoek Country Club Resort is testimony to the hard work, dedication and commitment displayed by the team and management – in making it a leader in its industry. The awards are the culmination of a research process whereby companies and institutions are rated based on the perceptions and experiences of respondents, with a strong focus on evaluating and measuring customer service and customer satisfaction. For more information visit: http://www.windhoek.co.za/hotel.cfm?hotelid=12

SOUTH AFRICA Tempest Wins Baobab Award Low cost car rental company Tempest and its long term advertising partner, The Old Shanghai Firecracker Factory have won AdReview’s coveted Baobab award, which recognises successful client/agency relationships. With revenues up by 20% Tempest is expected to report its best year yet, despite tough trading conditions; proving that added value, long-term relationships and good brand positioning pays off. Over the years Tempest’s payoff line has changed from ‘no frills, no fuss’ to ‘ridiculously low rates’ to now promoting added value with its new strapline ‘your way to a great day’. Matthews says that the recent re-positioning of the brand and message is working well. “We love the new brand campaign because it’s exactly what Tempest is all about and it is paying off. Our financial year ends in June and Tempest will post its best result ever, a real achievement when considering how tough things are in the travel industry, with airlines and hotels fighting for occupancy.” For more information visit: http://www.tempestcarhire.co.za/

Le Quartier Francais wins SMITTY Award Le Quartier Francais, a luxurious Relais & Châteaux country inn situated in the French Huguenot valley of Franschhoek, in the Cape Winelands, has been awarded the SMITTY for Best Single Social JULY 2012

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ACHIEVEMENTS & ACCOLADES

Media Promotion, Individual Hotel/ Resort, Global. The award was announced at the inaugural Travel and Leisure Social Media In Travel & Tourism Awards (SMITTYS) on 06 June in New York City. The award was for the Dr Von Paris Facebook competition, which turned a bad incident (a customer left without paying their bill) into a fun and innovative social media competition that really resonated with the social media followers. Owner Susan Huxter said, “We realize that the key to creating a connection between the brand and our fans via social media is using fun & interaction. This campaign was successful because it allowed our followers a chance to get creative with a bad situation and choose their own alias if they were going to skip out on their bill”. For more information contact: Susan Huxter +27 21 876 8452 susan@lqf.co.za or Robyn Watkins +27 21 876 8452 - robyn@lqf.co.za

Eastern Cape Social Entrepreneur receives award at World Economic Forum on Africa The Executive director of the Wilderness Foundation, Andrew Muir was one of five leading innovators named as the Social Entrepreneurs of the Year 2012 Africa by the Schwab Foundation for Social Entrepreneurship at the World Economic Forum on Africa. “This award will help us to build on what has already been established with regards to the Umzi Wethu programme as well as our other social investment and environmental programmes. We will have access to the Schwab Foundation’s global network, providing unprecedented opportunities to engage global decision makers,” says Muir. The Wilderness Foundation is headquartered in Port Elizabeth, Eastern Cape. The awards were presented to the winners by Klaus Schwab, Founder and Executive Chairman of the World Economic Forum, on the opening day of the meeting in the presence of President Ali Bongo Ondimba of Gabon, President Goodluck Ebele Jonathan of Nigeria, President Jakaya M. Kikwete of Tanzania, and Prime Minister Meles Zenawi of Ethiopia.

vulnerable youth, the three Umzi Wethu academies train young men and women between the ages of 18 and 25 for jobs in the hospitality and eco-tourism sectors. Umzi Wethu harnesses the power of the wilderness, promotes personal wellness in a nurturing home context, provides credible training, and secures sustainable job placements in the hospitality and eco-tourism industry on behalf of the graduates. In the area of Experiential Environmental Education, the Wilderness Foundation has established the “Pride” and “Imbewu” projects which were developed to fulfil the need for an environmental education outreach programmes among disadvantaged youth from urban and rural areas. For more information visit: http://www.wildernessfoundation.co.za/

Mossel Bay Honey Project wins UN Award Mossel Bay-based Why Honey? has been named a winner in the SEED Awards for 2011. The SEED Initiative For Entrepreneurship in Sustainable Development (SEED stands for Sustainable Economic and Environmental Development) which is hosted by the United Nations Environment Programme World Conservation Monitoring Centre (UNEPWCMC) - was founded in 2002 by UNEP, UNDP and the IUCN to contribute towards the Millennium Development Goals and to similar commitments made at the Johannesburg World Summit on Sustainable Development. Thirty five innovative start-up ventures in Burkina Faso, Cameroon, Egypt, Ghana, Kenya, Madagascar, Nepal, Nigeria, Rwanda, Senegal, South Africa, Sri Lanka, Tanzania, The Gambia, Uganda, and Zimbabwe were selected for the 2011 SEED Awards. The SEED Awards aren’t just about money - rather, emphasis is placed on providing assistance and advice on developing and improving the winners’ business plans; profiling winning initiatives at national, regional, and international level; and providing access to relevant institutions, organisations, and businesses (including SEED winners and alumni, SEED Partners, SEED Supporters, and SEED Associates). The Awards also include in-country workshops that cover the key elements needed to build successful social and environmental enterprises - while winners receive grants of US $5,000. For more information visit: http://www.whyhoney.co.za/

The Schwab Foundation for Social Entrepreneurship was founded by Klaus Schwab, Founder and Executive Chairman of the World Economic Forum, and his wife, Hilde. Since its inception in 2000, the Foundation has been identifying the world’s leading social entrepreneurs in over 40 countries around the globe. Two of the main programme areas that the Wilderness Foundation focuses on are Social Intervention and Experiential Environmental Education. The Umzi Wethu programme is one of the foundation’s flagship intervention projects. Aimed at displaced and socially 14

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To be featured in the Trade Awards section email: editor@tourismtattler.co.za

ATTRACTIONS

Destination Tourism benefits new breed of tourists and operators

Himevillle • Southern Drakensberg

Destination tourism is not a new concept but these days tourists are becoming more interested in what they can do and the variety of activities available to them in a particular area, making this concept more relevant and important than ever, writes Carol Dlomo. The habits of the time-constrained, modern tourist make the need for a collaborative marketing strategy for an area’s tourism stakeholders essential and the trend in tourism is leaning more and more towards marketing an area as a destination or ‘tourism node’. These nodes are areas which play host to a concentration of tourist activities and accommodation. The newly formed Drakensberg Experience route’s chairman, Chris Hearne says, “Currently the average tourist is eager to travel, is financially well off, but is time poor and wants to see and experience more in a shorter time period. So ultimately, they will experience what they can in the time given and then move on to the next destination. The Drakensberg Experience was started in 2008 as an initiative between the NGO Open Africa and the Bushman’s River Tourism Authority (BRTA). The then chairman, Lawence Fenner, heard about Open Africa building sustainable tourism routes in South Africa and approached them to set up a route which would encompass the Umtshezi and uKhahlamba municipal areas and focus on the majestic northern and central Drakensberg.” As a result the new route was born and centred on the Drakensberg World Heritage site, including the Northern and Central Drakensberg and has since been administered by the BRTA with a healthy membership of over 100 members made up by the relevant local tourism and hospitality stakeholders. The route starts at Hidcote in the South, goes through to the Sterkfontein Dam in the North and includes the towns of Estcourt, Winterton, Bergville, Weenen and Geluksburg; covering the area up to but not including the towns of Colenso and Ladysmith. According to Hearne, the major advantage for tourist stakeholders being members of the Drakensberg Experience is the exposure through worthwhile, collaborative and cost-effective marketing tools. They are not only featured on the Open Africa website, within the tourist map produced by Drakensberg Experience and included

Get in touch for our STO Rates & Conference packages 033 702 1320 I www.sanipasshotel.co.za I reservations@sanipasshotel.co.za

on the N3 Gateway website (the tourism arm of the N3TC, the toll concession holders for the N3 highway), but also through all other marketing and PR initiatives being undertaken by the association. N3 Gateway’s objective is to persuade travellers using the N3 to exit the highway and spend time on their way to or from the sea at any of the amazing tourist destinations along the way. Chris Hearne said, “Being part of a much bigger umbrella organisation has given us access to all the major outdoor and tourism trade shows where N3 Gateway participate with their own stand. This is a huge bonus to our members as it creates a much larger marketing base and gives the various products the platform to demonstrate to the possible future travellers that they offer reliable and quality tourism experiences.” Now that the Drakensberg Experience route’s mechanisms are in place, the main drive is to expand the vision to look beyond their doorstep and adopt a broader strategy. Discussions are afoot with the Maloti / Drakensberg Route Forum to establish a route encompassing Lesotho, the Drakensberg Experience Route and ultimately giving the larger tourist area a much bigger marketing budget. Chris Hearne feels strongly that they need much more exposure through the South African embassies overseas and access to public sector funding which is currently non-existent.

To view the route, visit: www.openafrica.org/route/drakensberg-experience-route or http://www.n3gateway.com/index.php?q=viewlisting,1,Bushmans_River_Tourism_Association JULY 2012

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BUSINESS & FINANCE

Streamlining Global Travel During May the Tourism Ministers of the G20 countries (neatly called “T20”), met together with the Heads of UNWTO, WTTC, PATA and others to finalise a proposed input to June’s Heads of State meeting in Mexico, writes Juergen Thomas Steinmetz. The subject under consideration by the T20 - Facilitation of Tourism and particularly e-visas – which we call streamlined travel is one of the three priorities that ICTP has identified as key elements in its green growth and quality advocacy agenda; along with sustainable aviation expansion and fair taxes.

So too would turning the mechanics of visas into a real public / private sector partnership while retaining even stronger security oversight, with government setting and controlling the entry criteria but using smart and properly supervised private sector agencies for routine welcoming and processing.

It’s very much thanks to the vision of President Calderon on the role of Tourism as a socio-economic driver that there is even a hope of engagement with the G20 at this critical moment in world affairs. The G20 is about big global policy issues like financial markets, saving the Euro and fighting terror – a positive paragraph about tourism in its communiqué will be a big success in itself.

What would make good sense is a very simple review and generalization of the best global practice – like Chinese or South Africa welcoming Australian e-visas, the APEC Business Card. Who would have thought a few short years ago that China’s borders would have a system where you can press a button to rate the performance of the border entry (and departure) agent,

For all the rhetoric surrounding the number of jobs that can be created by increased travel flows, the ones that matter the most to travellers (and if you think about it, also to destinations, whose reputations are on the line) are in border processing agencies and security control, where staff cutbacks are actually a big part of the problem and where innovation and imagination could really make big, big change.

Last but not least, the great future growth in visitor wealth creation and streamlined travel must not simply focus on the industrialised states. On the contrary, as these are the very export flows that can most help development, there needs to be parallel consideration to ensure that improved techniques and technologies are also made available to the poorest countries, as well as financial support for capacity building - systems improvement and staff training.

The challenge is that many governments talk a big game when it comes to tourism and jobs, but often those who are talking the loudest and extolling the job creation delivery of the sector, are the same ones who are cutting back on their support systems, because of austerity programs. This makes no sense and even less in countries where travellers are also cynically targeted for special taxes, charges and duties.

This last point may seem tough during austerity, but it will give help where it’s most needed and ensure that the T20 party is inclusionary.

Twice as many staff, twice as many machines – more if necessary and working shifts correlated to aircraft arrival times would make a huge difference, as would smart processes that speed through prereview edvisitors and nationals while increasing the scrutiny of non - routine by secondary oversight. It’s not rocket science: it’s common sense and a real interest in decently moving people.

In the final analysis however, streamlining travel is not just about increasing the numbers of travellers for socio-economic gain, although it is that – it’s also about decency in dealing with people and humanizing the system. Less like herding sheep - more like welcoming visitors and encouraging exports. Juergen Thomas Steinmetz is the Chairman of International Council of Tourism Partners (ICTP) and publisher of eTurboNews. For more information visit: www.tourismpartners.org and http://www. eturbonews.com

East African Single Tourist Visa The much touted East African Single Tourist Visa is likely to flop as partner states dither on harmonising policies and laws, analysts are warning. The original plan was to have the regional common Tourist Visa in place in November 2006, but six years later, the document is still non-existent, says the East African. A task force appointed to study EAC’s preparedness for a single tourist visa discovered that the member countries are yet to set up basic infrastructure to facilitate EAC-bound tourists utilise the regional tourist visa system. Findings of the study seen by The EastAfrican highlighted concerns such as harmonisation of immigration management systems as well as ICT systems used by the partner states to network with border points and embassies. All partner states immigration departments need to have sophisticated ICT equipment that will not only allow them to exchange security data, but also detect and weed out fake visas. Rwanda for instance has the requisite ICT equipment but is waiting for the other EAC member countries to acquire them as well. Rwanda’s Minister of East African Community Affairs, Monique Mukaruliza says that much as Rwanda is ready to implement the EAC single tourist visa, it cannot go it alone. The EAC Sectoral Council on Tourism and Wildlife Management is also not happy, saying the process had been long overdue. As a result, the Council has, however, sanctioned the EAC Partner States which are prepared to introduce the single visa to proceed bilaterally under the principle of variable geometry. Source: theeastafrican.co.ke 16

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BUSINESS & FINANCE

10 Ways that barter can play in building your assets Both the value and the borrowing power of a typical business can be increased if the business owner takes action to increase cash-flow and reinforce its predictability. And corporate barter can play a major role in the enhancement of business strategies, writes Bob Meyer. If you’re so busy earning a living on a daily basis that you don’t take the time to focus on activities which can make your business more valuable, more predictable, and more manageable... here are some suggestions. It’s important to think about the future sale price of your business and attracting the best buyers, now, while you have the luxury of time to increase its market value. Today is the best time to begin developing and implementing the strategies needed to build the value of your business. It is the largest single asset on a typical entrepreneur’s personal balance sheet. Use these 10 strategies to increase your company’s market value. In almost every case barter can play an important role in maximizing the value of these strategies. 01 Constantly contain costs by acquiring needed products and services whenever possible at your lower marginal cost of doing business through barter. 02 Diversify your customer base by bringing in new business through your trade exchange.

03 Improve operating efficiencies by trading for equipment or services that increase company efficiency, i.e. fax machines, computers, phone systems, courier, accommodation and other services. 04 Make the business more recession-resistant by continually broadening your base of customers. This can be achieved by sustained advertising, through the efforts and assistance of your trade exchange - which builds your company’s name and develops a stronger image in the marketplace.

05 Use working capital more productively by taking advantage of every trading opportunity. Replace cash purchases with barter purchases. 06 Encourage internal teamwork through the use of rewards, bonuses, and perks for employees - all or which are available on barter trade. 07 Improve profit margins by trading at your marginal cost of doing business. Your barter or marginal cost of doing business does not include your fixed costs, as these are stable and covered by your ongoing cash business. 08 Increase sales by developing new products or services. More barter sales mean more cash-flow and money for research and development of new products and services.

09 Improve market share automatically when barter sales are obtained. 10 Emphasize non-cyclical products and services by balancing out the boom and bust cycles of the cash world. Adding barter to your arsenal is a counter-cyclical business strategy. For more information visit: www.transmediabarter.com or call +27 (0)87 727 8631 or email des@transmediabarter.com

About the author: Bob Meyer is the founder and publisher of BarterNews magazine (www.barternews.com), established in 1979. In 1997 he was the third inductee into the International Reciprocal Trade Association (IRTA) “Barter Hall of Fame.” JULY 2012

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BUSINESS & FINANCE

Steps to setting up a

Personal Monthly Budget

Getting started with your personal budget and getting organised can be daunting. Making a start to work towards personal financial discipline takes a bold step in the right direction. Getting your personal budget and spending plan in order is the first step in the right direction, writes Nigel Willmott, CFP® professional.

3 Envelope Keep an envelope in your ‘money diary’. During the month keep all your slips – ATM withdrawals and till slips. Write a short description on each slip which will identify the spend type.

4 Monthly bank statement On the last day of the month draw a bank statement for the month that has passed.

5 30 minutes – directions for use Financial freedom starts with getting the basics right – getting your personal budget right. It isn’t difficult or time consuming to get the basics together. Here is what you will need;

• At the beginning of the month set up your budget; • During the month record all expenditure in your money diary • Every week clear out your wallet or purse and deposit the slips into your envelope;

• budget planner • notebook

• At the end of the month draw a bank statement for the month that was;

• envelope • your monthly bank statement

• Reconcile the entries in your money diary and your slips to your budget that you set at the beginning of the month;

• 30 minutes a month.

1 Budget Planner You can set up your own budget planner using Excel or you can sift through the Internet for a format or system that works for you. There are many ‘free to download’ examples available. Tip: When you set up your expenses think of Fixed, Variable and Discretionary. When you begin to ‘shed’ expenses to get your budget to balance you must work backwards to cut. Account for ALL expenses – no matter how arbitrary or trivial – it all adds up. Don’t park anything in the denial space.

• Reconcile your bank statement to your budget. Make sure that all transactions are accounted for; • Outcome – did you achieve your budget? Reset for the coming month; • Repeat the process. Financial Education is the key to Financial Freedom. Keep yourself financially capable and adopt a healthy attitude to your personal money management.

2 Notebook – ‘money diary’ When you are starting out a handy way to get into the financial discipline rhythm is to create a ‘money diary’. Keep a notebook of all your expenditure. Make a few simple columns; Date

Expense description

Amount

At the end of the month you are going to track each entry back to your initial budget to begin to compare accuracy and identify where there is wastage spend. This will ensure that you accurately account for each bit of expenditure during the course of the month. You will quickly identify negative trends and bad habits. 18

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Nigel Willmott CFP® is the Managing Director of motivate | today, an independent holistic financial life skills company focused on the financial education needs of employer groups, universities and schools. For further information visit: www.motivatetoday.co.za

CONSERVATION

First leg of TRACKS of Giants expedition successfully completed

Two months into the epic, five month Tracks of Giants expedition, the team is getting accustomed to the physical demands of the course as well as the harsh Namibian environment, writes Claire Warneke. The Tracks of Giants expedition kicked off on the Atlantic coast of Southern Africa in Namibia on Tuesday, May 1, 2012 and will see the team transverse Southern Africa to finish their journey on the east coast in KwaZulu-Natal on 5 September, 2012. Conservationists, Ian McCallum and Ian Michler will be doing the entire journey without the use of mechanical transportation. The toughest part of the journey so far has been dealing with the extremely high daytime temperatures which have forced the team to travel in the early hours of the morning, rest during the heat of the day, and continue their travels in the early evening. The average daytime temperature has ranged between 38 and 42 degrees Celsius. The first five days, saw a group of eleven “trekkers” travel on foot from Rocky Point on the west coast of Namibia to Puros. The group was made up of Chris Bakkes and Festus Mbinga, both from Wilderness Safaris, and Mandla Buthelezi from the Wilderness Leadership School who led the group. For this leg, the team were also joined by Vance Martin from the WILD Foundation in the USA, John Kasaona and Boas Hambo from the Integrated Rural Development and Nature Conservation (IRDNC), Jerome Mukuyu, a university student from Windhoek, and Robin Uatokuuta who works at the Puros Conservancy camp site.

conservancy policy. Their early work laid the foundation for the now national communal conservancy movement, which covers nearly 17% of Namibia. “We were delighted to be able to join the Tracks team when they visited a number of the remote north western conservancies,” says Dr Jacobsohn. “Namibia’s considerable conservation successes are directly due to the partnership our government has formed with the 71 communities who have registered conservancies and manage their wildlife sustainably. Our community conservation experiences are thus relevant to some of the other countries Tracks will be visiting.” Cycling through the Namib desert, the team has come across diverse wildlife in a seemingly barren landscape including elephant, a cheetah with her cubs, aardwolf, and a bat-eared fox. Michler notes that although the journey has just begun, it has already highlighted a number of conservation issues including land-use competition, tender and stakeholder disputes, human-animal conflicts and the vital need for corridors for both wildlife and the rural nomadic Himba people. “Our most demanding challenge is going to be recording these disputes, challenges and successes as accurately and authentically as possible,” he says.

According to Ian Michler, highlights of the first leg included “a closeup sighting of an elephant, plenty of oryx and springbok and the occasional jackal and ostrich.”

The Tracks of Giants expedition will explore various models that include ecological thinking and implementation, bridging the gap between the needs of humans, wildlife, and the changing environment.

Founders of Integrated Rural Development and Nature Conservation (IRDNC) Garth Owen-Smith and Dr Margie Jacobsohn who joined the “Two Ians” for the second leg of the Namibian section. IRDNC is an influential community-based conservation organization, which has been instrumental in the success of northern Namibia’s

Follow the Tracks of Giants on: Twitter: www.twitter.com/tracksofgiants Facebook: www.facebook.com/tracksofgiants Website: www.tracksofgiants.org – read the personal stories of the trailists via their blogs on www.Tracksofgiants.org JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

EVENTS

TAFI Convention to be held in Durban 5-8 October 2012 One of the key factors driving growth in the inbound tourism market these days, is the explosion of travel from new markets, such as China and India, writes Marjorie Dean. With new markets in mind, SATSA CEO Michael Tatalias and ExCo member Bunny Bhoola, visited the Travel Agents Federation of India (TAFI) convention in Dubai in 2010, where they made a bid for South Africa to host the 2012 TAFI Convention. TAFI sent a team of four of their ExCo members, hosted by TKZN to visit Durban, and the bid was then accepted. SATSA and TKZN then attended the 2011 TAFI Convention in Macao, where the announcement was made that Durban was to host the 2012 TAFI Convention for an expected 1000 delegates. This is quite a feather in South Africa’s cap, and both SATSA and TKZN are determined that this will be the best TAFI Convention ever. This TAFI convention is a major event in the tourism calendar in India, and we are delighted to host it in South Africa for the first time. More than 1000 delegates (businessmen, entrepreneurs and travel agency owners) are expected to attend. Between them, they are collectively responsible for a very significant chunk of all the outbound long-haul tickets sold within India. With a 122 per cent growth in Indian visitors to South Africa over the past five years, India has firmly established itself as one of South Africa’s most dynamic and crucial tourism markets. About 67 039 Indian tourists arrived in South Africa between January and September last year – 29 per cent more than the same period in 2010. This, coupled with the surging Indian economy, will ensure that India plays an important role in the South African tourism scene for the years to come. From a South Africa tourism industry perspective, the TAFI convention presents a unique opportunity for South African businesses to interact directly with some of India’s top tourism ‘decision makers’, and strategically position themselves within this surging market landscape. The conference will serve as a platform for professional development, tourism information and intelligence exchange.

KZN MEC for Tourism and Environment, Michael Mbuyakhulu concludes discussions to host the TAFI Convention in Durban with TAFI President Ajay Prakash. TAFI & Attendee Profile The Travel Agents Federation of India (TAFI) brings together travel agents, tour operators, hoteliers, airlines, cruise companies and other travel industry related companies on a common platform across the subcontinent. Annually 12.07 million tourists leave the Indian sub-continent with outbound tourism growing at 9.0 per cent per annum. TAFI currently handles 70 per cent of outbound ticket sales. Rising incomes, changing attitudes and a desire to travel abroad had increased the desire among Indians for outbound travel. The PCO Mrs Bunny Bhoola of African Link Tours has been appointed to act as the Professional Conference Organiser (PCO) on behalf of SATSA. Mrs Bhoola put in a large amount of work to assist SATSA in securing this important event, and was instrumental in winning the bid for KZN. All bookings and arrangements will be handled by African Link Tours. To enable Southern African companies to take full advantage of this unique event, we have designed an Exhibition Area that will allow SATSA members, and Southern African product, a significant opportunity to market their wares to this influential group of travel professionals in our own back yard. We are offering YOU the first opportunity to secure space in the special Exhibition Area in the main hall of the Durban ICC. Exhibition space is limited and will be allocated on a first come, first served basis, with SATSA members in good standing given priority. All lunches and teas will be served within the exhibition area, so that convention delegates have the maximum opportunity to interact with exhibitors. For more information contact Bunny Bhoola on +27 83 632 2420 or +27 333 453175 or email: bunny@africanlink.co.za

HOW YOU CAN PARTICIPATE: ADVERTISING: The Tourism Tattler will be distributed to delegates at the TAFI Convention. Contact Beverley for special rates bev@tourismtattler.co.za SPONSORSHIP: Become a sponsor of the event and ensure that YOUR logo is prominently displayed. EXHIBIT: Secure your space (3m x 3m sq.) in the Exhibition Area. Confirmation Forms can be obtained from: events@ africalinktours.co.za

The Exhibition Opportunities brochure can be downloaded at: The TAFI delegation visited the SATSA stand at Indaba in May. 20

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http://www.tourismtattler.co.za/downloads/taficonvention2012.pdf

EVENTS

Tourism Month

to kick off with industry tourism conference The Tourism Business Council (TBCSA) confirmed that the inaugural Travel & Tourism Business Exchange will take place from 2 to 4 September 2012, in Johannesburg, writes Kagiso Mosue. Formerly known as the Travel, Tourism and Hospitality Conference Southern Africa, the Exchange is a joint initiative between the Tourism Business Council of South Africa (TBCSA) and five of its member associations. They are the Association of South African Travel Agents (ASATA), the Federated Hospitality Association of Southern Africa (FEDHASA), the National Accommodation Association of South Africa (NAA-SA), the Southern African Vehicle Rental and Leasing Association (SAVRALA) and the Southern African Tourism Services Association (SATSA). “The main objective of hosting a joint industry conference is to facilitate industry cooperation and to reduce the proliferation of conferences within the sector,” says TBCSA Chief Executive Officer Mmatšatši Marobe. “By convening one conference at the beginning of Tourism Month 2012 we aim to create a central platform where members can address industry specific issues, as well as the challenges and opportunities which impact on the entire sector.”

Michael Tatalias, CEO of SATSA says, “One industry conference will save valuable time and money when compared to previous years where all tourism associations hosted member-based conferences on an annual basis. These conferences usually attracted the same delegates and tend to address the same macro-economic issues.” The conference will comprise two-and-a-half days of deliberations, exhibitions, networking and social events with an expanded programme allowing for close delegate interaction. Marobe concluded that the timing of the conference was significant with September being Tourism and Heritage Month in South Africa. “This is an opportune event that gives us time to reflect on the current state of the industry, and to further deliberate growth opportunities for our industry going forward.” To find out more about registration and the conference programme, log on to http://www.tourismvision2020.co.za/

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SATSA / RETOSA Tourism Tattler Trade Journal

EVENTS

INDABA 2012 in retrospect INDABA 2012 at the ICC Durban, South Africa concluded in May with exhausted exhibitors, visitors and media alike catching up on business contacts made over the four days of the event, writes Des Langkilde. Sentiment varies on the success of this year’s trade show with some saying that the quality of enquiries was much better than previous years, while others felt that the show was quieter than last year. “INDABA needs to be reinvented”, said Cany Bugler from Tri Active Events. “I noticed a lot of municipalities being represented on provincial stands in the DEC hall, which were populated by SME’s who had no idea on how to leverage business. Perhaps we need more local INDABA type events, where these SME’s can display product to local tour operators and DMC buyers with a more focused approach.”

clients on their stand. Other innovations this year included an electronic matchmaking diary, which according to SA Tourism enabled over 3 700 business meetings, a social media #Indaba2012 Twitter hashtag that kept media updated on news via a Twitter Wall screen located in the media centre and an INDABA App for iPhone, Blackberry and Android devices that attained the top 20 list for downloads on the Apple App store by the third day of INDABA. The transport sector was well represented, with Mercedes-Benz

SHAPING OUR FUTURE TOGETHER The theme of the show ‘Shaping our Future Together’ was enhanced with a number of new innovations, such as the oversubscribed ‘Shongololo’ Speed Marketing Sessions, which gave exhibitors access to some 200 hosted international buyers in a series of short meetings conducted over three group experience sessions, namely ‘sustainable and responsible tourism’; ‘adventure tourism’ and ‘cultural and heritage tourism’. “This ‘speed-dating’ approach gave us an opportunity to meet and present to potential buyers that we would not have had access to in previous years, although I feel that the five minute presentation limit could be reduced to allow more exhibitors to participate”, says Johan Radcliffe from Dirty Boots Adventure Guide, a SATSA member who represented twelve of his

Deliberating on the Routes Africa forum to be held in Seychelles during July are from left to right; Kwakye Donkor, Marketing and Communications Director, RETOSA, Minister Alain St.Ange of Seychelles Tourism and Culture, Elsia Grandcourt, Chief Executive Officer at the Seychelles Tourism Board, Beverley Langkilde, International Sales Director at Tourism Tattler and David Germain, Director; Africa and the Americas at Seychelles Tourist Office. displaying their ever popular Vito, Viano and Sprinter vehicles strategically displayed opposite the Mystrals food court in the outdoor arena. “We had a lot of enquiries from the passing trade and are pleased with this years Indaba”, said Hycanth Lutuli of Mercedes who was manning the stand. SADC The Mercedes-Benz stand with (inset) Kgomotso Tatane of Mercedes, Siyabonga Nhleko of Mr Coach and Hycanth Lutuli of Mercedes. 22

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The SADC Hall at INDABA was once again a hive of activity. The Seychelles stand saw the much anticipated ROUTES Africa Forum being actively promoted. The forum, which takes place in Seychelles

EVENTS

from 8 to 10 July, will provide a platform for Africa to discuss the way forward in aviation on the continent, where the potential to have the biggest growth in tourism movements exists. The Seychelles Minister, Mr Alain St.Ange said that Seychelles wanted not a talk shop but a discussion forum for Africans to hear each other and discuss together with airline partners who have a serious and genuine interest in Africa. In keeping with the theme of the show, SA Tourism coordinated an event at Maxis Cultural Village in Umlazi where media and dignitaries witnessed the signing of a ‘Three City Tourism Alliance’ agreement between Cape Town Tourism, Durban Tourism and Johannesburg Tourism. The partnership introduces a new era for collaboration on events and trade shows, domestic and international marketing campaigns, information dissemination, collateral and online campaigns, as well as shared knowledge on an executive level.

Mariette du Toit-Helmbold, Cape Town Tourism CEO, with Phelisa Mangcu, Joburg Tourism’s acting CEO, and Philip Sithole, head of Durban Tourism, signing the Three Cities Alliance tourism marketing agreement.

THE MINISTER’S ADDRESS In his address at the INDABA Opening Ceremony, National Tourism Minister, Mr. Marthinus van Schalkwyk invited the sector to collaborate in the face of strong competition and to work together to remove barriers to international tourists to southern and South Africa. He stressed the importance of partnership among all the different components of South Africa’s tourism value chain to achieve the country’s tourism targets of 15 million international tourist arrivals, 18 million domestic tourists and 54 million domestic trips by 2020. “Achieving these 2020 targets will not simply fall into our laps. Over the next eight years, we will have to work harder than ever before; we will need to work together as we have done in the past. Together, we must keep our eyes on ever-changing consumer preferences, diversify our products, maintain excellent service, innovate our distribution channels, and ensure that we continue to deliver value for money. We must ensure that all our people share in the benefits of our new growth,” said van Schalkwyk. The Minister’s statement was supported by South African Tourism’s Chief Executive Thulani Nzima, who said; “This was the INDABA at which the industry truly came together to share the strong affinity and common objectives that binds the industry together; to collaborate for future growth, to share ideas and to work for a future shaped by all who work in tourism, and by all who are affected by tourism. Our preliminary feedback has been very good, with delegates emphasising the value of their interactions at INDABA and the quality of the networks made and business relationships forged.”

RETOSA The theme of the show was also followed through by the Regional Tourism Organisation of Southern Africa (RETOSA), who conducted a destination branding and communication strategy workshop in collaboration with the Commonwealth Secretariat, and coordinated by Tom Buncle of Yellowroad International Destination Consultancy from the UK. “Establishing southern Africa as a brand in the minds of international travellers will be built on four key pillars, namely diversity, wilderness, humanity and climate but how RETOSA members engage and support the brand is critical to its success”, said Buncle in his opening address. Audience participation highlighted stumbling blocks that the governments of member states would need to address as priorities for the brand to succeed, which included air access constraints, crossborder visa issues and corruption among other constraints. “The SADC region currently has a two percent share of the international travel market and want to grow this to five percent by 2020”, said Francis Mfune, Executive Director of RETOSA. Yellowroad will be presenting their brand strategy proposal by the end of October this year.

RETOSA’s Executive Director Mr Francis Mfune making his introductory remarks at the RETOSA / Commonwealth Secretariat Destination Branding and Communication Strategy workshop, while Mr Tom Buncle, Managing Director of Yellowstone International Destination Consultancy deliberates the proceedings of the workshop. JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

MARKETING

SA Tourism increases efforts in marketing the destination in Africa land markets South African Tourism has conducted consumer research in the Africa land markets of Botswana, Mozambique and Namibia. Through this research South African Tourism was able to establish what the focus for those three markets will be for the April 2012 to March 2013 period. Phumi Dhlomo, Regional Director: Africa at South African Tourism said the combined potential for growth from the three markets contributes significantly to South Africa’s overall tourist arrivals figures. “We are currently working on implementing a communications strategy for these markets that will allow us to increase the frequency with which these tourists travel to South Africa.

decrease, curtailed spend and shortened length of stay. South African Tourism’s research analyses the growth potential; key consumer target groups; and consumer leisure ideals in each market. It also analyses the best media to use to reach consumers in each of the markets.

“We decided to conduct research in Namibia so that we could determine the number of people already travelling to South Africa “We want to show Mozambicans, Namibians and the Batswana the and whether it’s worth the industry’s while to actively market other experiences available in South Africa outside what they have destination South Africa in Namibia. Whilst South African Tourism will not roll out brand campaigns in always done when visiting. Whilst there is a lot of work to be done in the Namibia, we see a bigger opportunity for the provinces and will endeavour coming two years, we are confident KEY FINDINGS that we will be able to quantifiably to work closely with the Provincial Arrivals from Mozambique grew 4.5% from grow tourist volume, spend and Marketing Authorities in outlining 1 330 000 in 2010 to 1 339 000 last year length of stay,” Dhlomo said. package requirements for the Namibian traveller,” Dhlomo says. South Africa’s share of Botswana’s The Mozambican market is outbound travel has decreased by 2.5% performing well. The total number of “South African Tourism needs to people travelling across borders grew defend present arrivals numbers from 51.5% in 2010 to 46.2% in 2011 by 4.5 percent last year to 1 390 000. and increase frequency of travel South Africa is the most popular travel Of these, 211 000 came specifically by communicating the benefits of destination for Namibians as 47.3% of the for the purpose of taking a holiday, leisure travel in South Africa. In 558 800 trips taken in 2010 were to South whilst 426 000 came to South Africa Botswana, we will keep defending Africa. Second and third most popular to go shopping for personal reasons. existing arrivals and arrival frequency The remainder of arrivals visited for as well as growing awareness of the destinations for Namibians are Botswana business, for medical reasons or to variety of events South Africa offers and Germany visit friends and relatives. Collectively, visitors. Family-orientated events are these visitors spent R13.5 billion whilst especially important for Botswana in South Africa. visitors.” South Africa’s share of the Botswana market declined 5.7 percent between 2009 and 2011. This was the largest drop in arrivals since 2003. In 2009, a record number of 836 000 Botswana tourists visited South Africa. The majority of Botswana tourists who travelled to South Africa were repeat visitors. Research shows that 3.1 percent of all visitors have been to South Africa at least ten times. Total foreign direct spend from Botswana declined by 17.2 to 1.9 billion in 2011. This is attributed to a number of factors including arrivals’ 24

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From June 2012 South African Tourism will host product briefing sessions for trade in Botswana and Mozambique whereby they will be given comprehensive information on the consumer research findings. This will allow the travel trade to put plans in place for consumers in terms of suitable packages that address their travel leisure requirements and how they consume information. For more information visist: http://www.southafrica.net

LEGAL

The CPA and

Supplier Rights

CONSUMER COMPLAINT - POINT OF DEPARTURE & ISSUES TO BE CONSIDERED – PART 1– The Consumer Protection Act (CPA) was passed by parliament in 2008. If suppliers were to read the CPA from the ‘half full glass perspective’, they will notice that it provides the supplier with many rights and recourse. However, it is imperative that suppliers realize these rights and recourse as it will not ‘fall in their lap’. The next couple of inserts will identify these rights and suggest how suppliers can go about ‘protecting’ their businesses. The first takes a more positive view of complaints and why suppliers are not in such an invidious position as many of the ‘prophets of doom’ are making out the case to be.

Firstly the CPA clearly states that consumers cannot simply ‘use and abuse’ their rights and a body adjudicating a dispute will have to address in each scenario whether or not the consumer in question behaved within the ambit of the prescribed behaviour i.e. did the consumer behave responsibly? [Section 3 (1)(e)]. Secondly the body adjudicating is called upon to create a ‘culture of responsible consumer behaviour’ [Section 3 (1)(f)], hence they should not make awards or find for consumers who behave contrary to such a philosophy! Disclaimer: This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice. As every situation depends on its own facts and circumstances, professional advice should be sought in each instance. © Adv Louis Nel, BENCHMARK, JULY 2012.

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SATSA / RETOSA Tourism Tattler Trade Journal

MARKETING

Tourism Business Index

The recent release of the 2011 Tourist Arrival statistics by South African Tourism and the publication of the 6th edition of the TBCSA FNB Tourism Business Index (TBI) provide an opportunity to take stock of what progress the Travel and Tourism industry is making in terms of growth and what the prospects are for the next quarter and the balance of 2012, writes Kagiso Mosue. Following the news that tourist arrivals grew by 3.3% in 2011, analysis of the TBI for Q1 of 2012 suggests signs of recovery in business performance possibly being driven by domestic business travel. “We noted that the arrival statistics for December 2011 indicated a healthy 9% growth on December 2010 and we hope that the trend has continued into Q1 of 2012” says Mmatšatši Marobe, CEO of the Tourism Business Council of South Africa (TBCSA). According to the latest index, business performance surpassed the norm (100) to deliver a 101.9 score, moving positively for the second consecutive quarter and surpassing industry expectation. “When compared to the expected industry performance of 82.2 for the first quarter of 2012, the industry performed far better”, explained Gillian Saunders, Principal at Grant Thornton who compile the index for the TBCSA. However the travel and tourism industry remains guarded. “Whereas there is a sense of cautious optimism”, says Marobe, “there is still a concern that the reported 3.3% growth in last year’s tourist arrivals was not experienced in the trade and that business did not realize this growth in real terms”. The key question is therefore – where are all these additional arrivals to South Africa going? Where are they staying, eating and what tourism experiences are they enjoying whilst in the country? For most of 2011, accommodation establishments were selling rooms at a much slower pace and tourism businesses were forced to devise aggressive sales strategies to boost otherwise depressed sales. It is interesting to note that the industry is a little less optimistic as it enters the traditional low season with additional concerns about escalating input costs largely as a result of energy and transport price increases; this has also put a damper on the industry’s employment prospects in the short-term. However, on the positive side, the projected index for Q2 is above that projected for Q2 in 2011. TBI sponsor, FNB Head of Tourism, Wiza Nyondo says “The improved 26

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The TBI has recorded a higher actual performance than expected for the second consecutive quarter, indicating a degree of caution in the industry in terms of outlook, with actual performance beating these cautious expectations. industry performance does seem to indicate that any industry undergoes business cycles. However, what really matters is in the cash flow of businesses where the growth needs to be felt. The costs of running these businesses, as an indicator in the index remain a key concern and could be an inhibitor for real growth and job creation. Overall, we remain confident in the market outlook hingeing upon the improving macroeconomic environment and hard work of the industry. In future, business will have to be very innovative, and should not overlook the drive to grow the domestic market to sustain current growth”. “Tourism has been recognised as a major driver of the SA economy. Based on the latest report from the World Travel and Tourism Council, in 2011 the sector contributed a total of R251.8bn to the GDP and generated just over a million jobs,” says Marobe “but to reignite the tourism engine we need to become more competitive in our thinking and our approach. We need to keep pioneering in the emerging markets, whilst protecting our traditional markets; we need the industry and government to work even more closely together in terms of both our destination marketing and on the supply side where the cumulative effect of producer- driven inflation and non-aligned aviation policy is combining to reduce our global competitiveness.” The TBCSA FNB Tourism Business Index (TBI) is an overall indicator of the “health” of businesses trading in the tourism sector. This is a business tool that can assist particularly independent and small businesses to understand their operating environment, while large businesses are able to use the index to interact with their various stakeholders. The TBI for Q2 can be downloaded at: http://www.tourismtattler.co.za/downloads/tbiQ1.pdf

MARKETING

Market Intelligence Report The information below was extracted from available data as at 05 June 2012, writes Martin Jansen van Vuuren.

ARRIVALS The latest available data from Statistics South Africa is for January and February 2012: Current period

Change over same period last year

Overseas Arrivals (excl same day visitors)

429 847

14.7%

89 812

05.1%

Germany

48 329

07.8%

USA

41 846

14.9%

African Arrivals

1 135 696

08.5%

Total Foreign Arrivals

1 564 740

10.2%

Note that African Arrivals plus Overseas Arrivals do not add to Total Foreign Arrivals due to the exclusion of unspecified arrivals, which could not be allocated to either African or Overseas.

HOTEL STATS The latest available data from STR Global is for the first four months of 2012: Current period

Average Room Occupancy (ARO)

Average Room Rate (ARR)

Revenue Per Available Room (RevPAR)

All Hotels in SA

58.4%

R 908

R 530

All 5-star hotels in SA

58.4%

R 1 644

R 960

All 4-star hotels in SA

59.5%

R 868

R 517

All 3-star hotels in SA

57.1%

R 700

R 400

Change over same period last year All Hotels in SA

06.5%

03.4%

10.1%

All 5-star hotels in SA

10.0%

02.1%

12.3%

All 4-star hotels in SA

07.5%

03.0%

10.7%

All 3-star hotels in SA

05.0%

03.9%

09.1%

Passengers arriving on International Flights

Passengers arriving on Regional Flights

Passengers arriving on Domestic Flights

02.8%

02.0%

0.03%

Cape Town International

09.8%

19.8%*

04.3%

Durban International

16.6%*

N/A

-01.8%

ACSA DATA The latest available data from ACSA is for January to April 2012: Change of same period last year OR Tambo

* Calculated off a low base

WHAT THIS MEANS FOR MY BUSINESS The data indicate that the increase in arrivals is starting to filter through to an improvement in hotel occupancies and rates. There is cautious optimism that the tourism industry is starting to recover. The devaluation of the Rand against major currencies should also assist in this recovery. Tourism enterprises should, however, offer excellent value and not depend on the currency in order to be competitive. For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit: http://www.gt.co.za

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SATSA / RETOSA Tourism Tattler Trade Journal

MARKETING

BRIC Countries Unleash New Travel Demand On this small planet, everything is interlinked; the economic crisis in the Eurozone quickly echoes all over the world. A recent programme on Carte Blanche highlighted quite a gloomy picture in the local tourism industry, caused by the loss of traditional European markets. The economic recession is badly affecting numerous businesses from hotels and guest houses to the world renowned game reserves, such as Shamwari, writes Alex Boguslavsky. However, one can find some positive side in these troubles. They are forcing people to be more open to new ideas and to explore unknown territories. In this case, beyond the European borders. Brazil, Russia, India and China (BRIC) are presently the most lucrative source markets, open, responsive and hungry for new destinations. While there is a consensus regarding the importance of Chinese, Brazilian and Indian markets, opinions on Russia are different. Due to historical reasons, business links with Russia are not developed so well as with other BRIC countries. Information on Russia is sometime one-dimensional. References to poverty and a struggling economy are quite often seen in our local media. This, in turn, affects prioritising BRIC markets, particularly in the case of financial constraints. It is therefore useful to assess the Russian economy and market in the frame of comparative analysis with other BRIC countries. The economies Let us start from the economy since this is a key factor for outbound travel in any country. Russia has the highest GDP per capita (PPP) among the BRIC countries (Table 1). Russia is surpassing Brazil by almost 50%, China twice and India four and a half times (IMF). The personal disposable income (PDI) represents a better indicator of the living standard in these countries and the ability of their residents to travel (Euromonitor). At the beginning of this millennium, Brazil was leading amongst the BRIC coalition with USD 2500. The three other countries were approximately at the same level of wellbeing or, more accurately, poverty (Russia – USD 850, India - USD 400 and China – USD 520). Then the oil- fuelled economic boom rocketed Russia to a leading position. For eight years, Russia achieved a remarkable growth of 28

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the PDI by almost 700% swiftly taking over other BRIC countries. A rapidly emerging middle class became a reality. As a matter of fact, millions of Russians are richer than they appear statistically. “We have 13% flat income tax, subsidized housing and utilities, and 10% savings. The rest of it is pretty much out there being spent,” says Natalia Zagvozdina, a consumer-goods analyst at Moscow investment bank Renaissance Capital (Bloomberg Businessweek). An estimated 70%-plus of Russians own the apartments they live in and utility costs are low enabling Russians to spend an average 74% of their income on the consumer market - and in Moscow up to 78%. Moscovites spend about 40% more in absolute figures than the average Western Europe consumer (realtor Cushman & Wakefield estimates). Other BRIC economies have also been booming, doubling and tripling their PDI figures during last decade. In 2011, the BRIC countries produced 108 out of the 214 new world billionaires, according to Forbes. China and Russia are adding new billionaires at a breakneck speed - 47% of China’s and 30% of Russia’s. The low PDI figures in China and India do not give a clear idea of the real size of their outbound travel markets. In countries with a population of more than one billion, even a small percentage amounts to tens of millions of people. For a rough assessment of middle class in these countries, Euromonitor is using the number of households with PDI over USD 10,000. In 2009, China was leading with 51 million households, followed by Russia (28 million), Brazil (22 million) and India (8 million). The rapid growth of middle class will enable China and Russia to further increase the gap with other two countries and, by 2014, reach an impressive 108 and 43 million households, respectively.

MARKETING

Demand for travel Outbound travel is, in some sense, a reflection of the nation’s economy as well as its democratic system. China and Russia have a lot in common in this respect. Only recently, both countries were under totalitarian regimes suppressing basic freedoms of their people, including the freedom to travel. However, the “iron curtain” was only fueling enormous interest in other countries and a desire to see them some time in the future. An explosive mixture of released demand and blossoming economies brought to life booming tourist markets in both countries. Russia is leading among the BRIC countries with 35,5 million outbound trips last year (SA Tourism) (39 million according to the Russian statistics Rosstat). China is quite close with 31.7 million trips leaving India and Brazil far behind with 12 million and 5.5 million trips, respectively (Table 2). These statistics require some clarification, both for Russia and, particularly, for China. The outbound travel of the Chinese citizens is composed of three parts: travel to Chinese Special Administrative Regions (SAR) of Hong Kong and Macau, to the border areas and to foreign countries (UNWTO / Chinese Outbound Tourism). The trips to Hong Kong and Macau amount to more than half of Chinese outbound travel. A considerable part of outbound tourism relates to the travel in border areas. Generally speaking, only those who go overseas in tour groups and some independent travellers to certain regions are considered as real leisure tourists or holiday makers. In contrast to official data from the China National Tourism Administration, IPK’s Asian Travel Monitor excludes not only travel to the two SARs and border areas but also to Taiwan. The resulting figure amounts to 16 million outbound trips placing China only in tenth position in the world’s top outbound markets in 2010 (IPK International). This figure represents a more accurate estimate of the market segment important for South Africa. Hence, to some extent, the present size of China’s outbound tourism has been overestimated, although its potential is great. The Russian outbound tourism is also evaluated differently by market analysts. According to UNWTO, the volume of outbound travel is assessed by a number of crossings the Russian border

by Russian passport holders. This figure amounts to 35.5 million. IPK International is taking into account only trips outside the CIS (Commonwealth of Independent States) reducing the market size to 21.6 million trips. A closer look at BRIC markets Let us take more careful look at the BRIC market. The major part of outbound travel is attributed to relatively inexpensive trips to neighbouring countries. However, South Africa is a remote country for all of BRIC. From the local perspective, travellers who can afford more expensive leisure in remote destinations represent a target group. The market segment of interest can be assessed by the number of long-haul trips. This approach is changing the picture within the BRIC group. China becomes the leader with about 7 million long-haul trips in 2010, Russia being the second (3.5 million) followed by India (3.1 million) and Brazil (2.8 million) (IPK International). However, one should note that the volume of long-haul travel in Russia would be much higher, if Europe was considered a long-haul destination similar to other BRIC countries. About 50% of Russian outbound tourism is attributed to Europe. For many Russians this is a matter of preference rather than cost. The emergence of large middle class would drive a dramatic growth of outbound travel in BRIC in future. According to Euromonitor‘s forecast, China and Russia will retain their leading positions in BRIC. During the first half of this decade, China and Russia are expected to increase the total volume of outbound travel by 20 and 12 million trips, respectively, increasing the gap with India and Brazil. Despite this optimistic forecast, some problematic areas should be mentioned. Problems for growth In China, bureaucratic policies represent the main problem. For example, most Chinese can travel abroad only in groups due to visa regulations (as well as for language and cultural reasons). Furthermore, the outbound travel is limited by the Approved Destination Status (ADS) programme. According to this programme, Chinese tourists are permitted to undertake leisure travel only to certain destinations, including South Africa. (Over 100 countries presently have the ADS status). For India, the weakness of currency is limiting the growth of outbound tourism since this is by definition an international business. In a country with a large middle class (on some estimates up to 25% JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

MARKETING

Russia and China are presently the biggest and fastest growing emerging source markets in the world. Both countries will dominate the world outbound travel in the years to come. The World Tourism and Travel Council (WTTC) predicts that Russia is well placed to become one of the world’s travel and tourism powerhouses before year 2016. The tourism industry in Russia in this decade, according to forecasts by WTTC, will be developing two times faster than that in the EU. The latest statistics only confirm this forecast – the outbound tourist flow in Russia in 2011 increased by 15% compared to the same period of the last year (compared to 5% for the world outbound tourism) (RATA-news). However, this lucrative market is somehow overlooked in South Africa. SA Tourism is limiting future growth markets by “…Brazil, India, China and Africa being all the BRICS countries with the exception of Russia, which also seems to be struggling economically” (SETE conference in Cape Town, July 2011). Russia is the only BRIC country where SA Tourism does not have an office. of the population), the low PDI (in terms of USD or € ) is reducing a number of international travellers to only 1% of the population. Compared to other BRIC countries, Russia has a relatively small population (if one can say this about 140 million people) and potentially smaller market. However, the scale of travel business in Russia is often underestimated. From the business perspective, various tourism sectors in the former Soviet Union’s (SU) republics should be taken into consideration. Their high integration into the Russian tourism industry substantially increases its real scale. Large Russian tour operators (Coral Travel, Pegas Touristik, Natalie Tours, TEZ and others) have a wide network of travel agents not only in Russia but also in the CIS and Baltic states. Hence, the Russian tourism industry provides access to source markets in other former SU’s republics, a region with a population of about 300 million people.

However, provincial tourism bodies began to pay more attention to the Russian travel market (RTM). Recently, the Western Cape Tourism MEC Alan Winde and Cape Town Tourism head Mariette du Toit Helmbold detailed their strategy including “… key new markets in Russia, India and Brazil, where economies are blossoming.” (Cape Argus, July, 2011). The first steps in this direction have also been made in the Eastern Cape where the Russian initiative is driven by the NMBT. This initiative had an overwhelming support from the private sector. An RTM Task Group was formed including the tourism bodies, public organisations and local companies. At the last meeting of the RTM Task Group, a decision was made to establish links with the relevant tourism bodies in the Western Cape. Interprovincial co-operation for joint promotion of the Cape region on the RTM could be an efficient tool required for success in this huge market.

Table 1. Economic characteristics of BRIC countries Country

GDP per capita PDI (USD)** (PPP) (USD)*

2000

Households with PDI over USD10,000 (million)**

2008

2009

2014

Brazil

11845

2500 5280

22 30

Russia

16687

850 6670

28 43

India

3703

450 820

8 15

China

8402

520 1740

51 108

(*) International Monetary Fund, data for 2011 (**) Euromonitor International

Table 2. Outbound tourism in BRIC Country

Outbound Trips 2010 (million)

Outbound Growth 2003-2010 (%)

Brazil 5.5 9 2.8

Russia

35.5 / 39* 10* 3.5 21.6 (without CIS)

2 12

India 12.5 18 3.1

China 31.7 19

(mainland)

6.9

16.1*** (without Hong Kong and Macao)

Source - SA Tourism/Euromonitor International (*) Rostourism / Rosstat (**) Euromonitor International (***) IPK International

Long-haul Outbound Trips Increase of outbound trips 2010 (million)*** 2010-2015 (million)**

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

PHOTO GALLERY Meet Cape Town Photographer Stu Shapiro Stu Shapiro claims that he is not creative. His photos however prove otherwise. Trained in the engineering department at UCT, most recently Stu has been found capturing loud, proud, and hidden gems at Afrikaburns Festival in the Karoo. Clearly his career path has taken an interesting turn. At the age of six he built his first robot out of a tape recorder, boxes and lights and then went on to win a few national UCT engineering competitions with a hovercraft. His bedroom was always wired up with motion sensors and his space-case at school had an alarm on it. â&#x20AC;&#x153;I think it has always been in my blood running concurrently with my artistic side of painting, design, 3D animation and photographing.â&#x20AC;? At 29, his latest creation is his walking studio light rig. While carrying what feels like a small car on his back Stu was recently able to catch the costume, colours and characters at Afrikaburns in motion. The lights on the rig overpower the sun creating a strong fill light which gives complete control of the foreground and background exposure.

Stu Shapiro Photography www.stushapiro.com info@stushapiro.com

+27 82 45 99118

JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

PHOTO GALLERY

All images copyright - Stu Shapiro

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

PHOTO GALLERY

JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

NICHE TOURISM

National Heritage and Cultural Tourism Strategy Unlocking the economic potential of heritage and cultural tourism to stimulate and grow tourism in South Africa is crucial to job creation and the economic development of the tourism sector. Speaking at the launch of the National Heritage and Cultural Tourism Strategy on 16 March 2012 at the historic Liliesleaf Farm in Rivonia (Johannesburg), Tourism Minister Marthinus van Schalkwyk said: “the strategy marks a significant milestone achieved in producing a guiding framework and the first blueprint for heritage and cultural tourism development in South Africa.” Informed by the White Paper on the Development and Promotion of Tourism in South Africa (1996) and the National Tourism Sector Strategy (NTSS) (2011) the strategic framework sets the following goals and aims: • To provide strategic guidance to support the integration and coordination of heritage and cultural resources into mainstream tourism for product development and sustainable tourism • To utilise heritage and cultural tourism products, through strategic partnerships and the participation of local communities, to stimulate sustainable livelihoods at community grass-roots levels • To provide an opportunity to raise awareness, increase education and profile the conservation needs of heritage and cultural resources for sustainable tourism which is in line with value of respect for culture and heritage as stated in the NTSS • To provide an opportunity for the diversification of tourism products and the formalisation of the segment or niche of heritage and cultural tourism, towards contributing to the growth of tourism as outlined in the objectives of the NTSS. Currently South Africa is promoted largely around its “safari-type” experiences. The Strategy moves from a point of view that heritage and cultural tourism products are the fastest emerging competitive niche products within domestic and international markets. The UNWTO estimates that heritage and cultural tourism accounts for 40% of international tourism. “The combination of culture, heritage and tourism is therefore an extremely potent economic engine,” Minister said. Cultural heritage tourism has provided opportunities for a wide range of SMMEs in the arts and craft industries, cultural landscapes and heritage sites and cultural festivals. Minister van Schalkwyk concluded by saying that: “We as a country are proud to be amongst the leading countries in Africa with eight World Heritage Sites, namely Robben Island, Cradle of Humankind, Mapungubwe Cultural Landscape, Isimangaliso Wetland Park, uKhahlamba / Drakensberg Mountain Range, the Cape Floral Kingdom, Richtersveld Cultural landscape and the Vredeford Dome. Let us continue to hone, develop and promote our unique South African treasures. Heritage and cultural tourism products create authenticity and distinctiveness in the global tourism market and therefore heritage and culture are important drivers in making a 34

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

destination attractive and competitive as it enhances the image and social cohesion of a destination. Our country’s heritage and cultural diversity are capable of being packaged into quality, innovative and authentic products that meet the market’s needs and provide value for money’’ The National Department of Tourism engaged with a range of stakeholders in the heritage and cultural fields, as well as the tourism sector, private sector and local communities in developing the National Heritage and Cultural Strategy. The Strategy recommends the prioritisation of certain programmes and flagship projects, for tourism development in partnership with relevant stakeholders such as the Department of Arts and Culture, Department of Environmental Affairs and the relevant provinces. The Departments will invest R6 million over three years for further development and active promotion of the eight World Heritage Sites in South Africa which were declared by UNESCO as sites of outstanding universal value for tourist attractions. It will further invest R80 million over a three year period on projects known for their ‘global significance’, which are: the Dinosaur Interpretative Centre in Golden Gate Highlands National Park (R50 million over three years), the (R20 million over three years) and the First Indigenous Peoples Projects (KhoiSan) in Graaff-Reinet (R10 million over three years). The strategy document can be donwloaded at: http://www.tourismtattler.co.za/downloads/National_Strategy_on_ Heritage_and_Cultural_Tourism.pdf

RISK & INSURANCE

Aviation Insurance An aircraft owner called his insurance broker, furious at hearing that his insurance premium was to be increased for his next renewal. “I NEED TO SAVE MONEY!!” he bellowed down the phone. “Certainly, Sir”, replied the broker, “and when would you like to save it…now, or later?” Buying aviation insurance is not as simple as it might at first appear. Whether viewed as a “necessary evil”, or a “grudge purchase”, an aircraft owner owes it to themselves to ensure they get proper protection and the best “bang for their buck”. Anyone in aviation knows the importance of maintaining perfect balance. The simplest example is the blades of a propeller, which need to be balanced with each other to ensure the best performance. Aviation insurance is much the same. A perfect balance needs to be struck between the four main elements of any insurance programme: Cost? Competitive, yes, but the cheapest is seldom worth having. Coverage? Are your coverage requirements properly catered for? Service? Is your broker, and selected insurer, sufficiently expert to provide on-going service of an appropriate standard, particularly following a loss? Security? Is the insurer financially strong enough to meet your claim?

A competitive premium is not necessarily the lowest offer on the table. It is so important to consider the Cost in combination with Coverage, to ensure that what you’re being offered is what you really need and that the cost hasn’t been trimmed by virtue of restrictions on coverage, or the introduction of fine-print that is designed to limit coverage, or reduce the cost of claims. It’s all-too-easy to be seduced by what appears to be a low Hull rate, without taking an overall look at the proposed insurance programme. There is little point in arranging your aviation insurance coverage through a broker that does not have expert knowledge and the necessary skills, infrastructure and experience to be able to provide you with the service you require. The same goes for the financial strength of your chosen insurer. Will it be around to settle claims for you when you really need it: possibly 5-10 years after a loss, if complex legal liability claims arise? Ensure your broker understands your requirements in terms of your insurers’ claims-paying ability and make sure you invest in a broker who uses only A-rated insurers to meet your chosen standard. For more information contact SATIB Insurance Brokers Aviation Division on 0861 SATIB4U (728 4248) or visit www.satib.co.za

JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

SAFETY & SECURITY

tsi Provides support in handling media One of the most difficult things to manage after a major crime incident or natural disaster is how to ensure the media gets the true story, rather than sensationalist untruths that can be detrimental to South Africa’s image, writes Annelie Barkema, Project Leader of the Tourism Safety Initiative (tsi). Crime and safety issues and the perception of these overseas can have a negative impact on the tourism industry’s marketing efforts abroad. They should therefore not be dealt with by the tourism industry alone.

tsi has devised a system to ensure that correct information is given to the media. The system enables the tourism industry to liaise with police, security services, disaster management services and the like, to coordinate the efforts of everyone concerned, and in this way, protect South Africa’s reputation. Unsuspecting people involved in an incident can find themselves accosted by the media, who are trying to get a story. Those involved in such incidents are often under pressure and in distress. They may say things they later regret – especially when some media manipulate a story to make it more sensational than the actual event warranted. In this way, innocent people can be hurt and their businesses damaged. Nowhere is this truer than the tourism industry, which generally makes for high-profile copy and splashy headlines.

tsi now offers immediate assistance to those involved in an incident. It helps them to deal with the media in a constructive and

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JULY 2012

helpful way, without exposing themselves, their staff or businesses to harassment and unwelcome, unwanted publicity that is not necessarily accurate.

tsi collects and co-ordinates information from a variety of sources, so that a fuller picture of what happened is put together. As soon as tsi receives a report of such an incident, local tourism authorities and police spokespeople are contacted and informed, and a press statement about the incident prepared. Media inquiries can then be referred to an official spokesperson. Survivors of the incident can in this way be protected from harassment while in a state of shock or distress, thereby avoiding further trauma. When the media get to the scene, there is already a statement to give them to deal with the immediate demand for a story. Where necessary, police or tourism officials can be prepared to address a press conference to clarify what has happened. To report any incident call tsi’s 24/7 hotline on: +27 (0)861 874 911 or e-mail: Tourism.Safety@satsa.co.za

TECHNOLOGY

gadgets gizmo’s This edition’s selection has been sourced with acknowledgement to Livingstones Supply Co. Suppliers of the Finest Products to the Hospitality Industry. http://www.livingstonessupplyco.co.za/

STIHL CHAINSAW MS381

Robust and reliable, equipped for big loads. 3.9kW.  Comes complete with a 45cm STIHL Guide bar & a 1.6mm STIHL chain reel. For Very heavy duty use. Price: R5,353.20 ($640.75) (INCLUDES CHAIN & 45CM G-BAR)

YAMAHA EF2400IS GENERATOR

The EF2400iS inverter combines light weight and the latest technology to produce the highest output in its class. - Ideal for a wide range of uses including emergency back up for home or office, and silent for outdoor usage such as camping and caravaning.   Price: R7,392.60 ($885.00)

STIHL METAL JERRY CANISTER 20L

Jerry Can 20 Litre. Meets all relevant Metal requirements.    Price: R383.24 ($45.91)

FIRE BASKET TALL

Decorative tall fire basket molded out of steel and painted with a heat resistant coat. Each fire basket comes with a protective base that stops damage to lawns or balconies. Made exclusively in South Africa.  Price: R1,130.00 ($135.37)

All prices indicated are per the currency exchange rate as at 18 June 2012 (1 ZAR = 0.119797 USD). JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

AFRICA

SEYCHELLES

New low-cost carrier for Africa from easyGroup?

Seychelles Plus integrates with Etihad Guest Loyalty Program

Lonrho Plc has announced the sale of its aviation business to British investment firm, Rubicon. The sale will allow the group to create Africa-focused lowcost airline FastJet, with easyJet founder, Stelios HajiIoannou’s easyGroup. It will list its aviation division on the London Stock Exchange (AIM). In a statement, the group said it had sold the unit to Rubicon for $85.7m and, as part of the transaction, Stelios’s easyGroup would own 5% of Rubicon.

Air Seychelles today announced that it would integrate its loyalty programme, Seychelles Plus, into Etihad Guest, the award-winning loyalty programme of Etihad Airways, effective June 16.

Earlier this year, Lonrho’s four-year programme of developing operational hubs in East, West and South West Africa for Lonrho Aviation was completed. Lonrho Aviation’s strategic hubs currently operate in Kenya, Tanzania, Ghana and Angola, providing an unparalleled route network and operating platform to launch across Africa.

Members of the Air Seychelles Plus programme, numbered at nearly 18,000, will automatically receive a new Etihad Guest membership. For every Seychelles Plus point in current accounts as at June 15, members will earn eight Etihad Guest Miles. Existing tier status will also be carried over to new Etihad Guest memberships. For example, Seychelles Plus Gold members will automatically be enrolled as Etihad Guest Gold members. For guests with memberships of both programmes, the accounts, including mileage balances, will be automatically merged. For more information visit: www.airseychelles.com/guest

For more information visit: http://www.lonrho.com/

SOUTH AFRICA New appointments at Springbok Atlas

MAURITIUS Starwood Hotels & Resorts to open luxury St. Regis Mauritius resort St. Regis Hotels & Resorts continues its dynamic global growth with the highly-anticipated St. Regis Mauritius Resort, scheduled to open on September 15, 2012. The Resort will have 172 elegant guestrooms and suites featuring lavishly expansive terraces, and an extravagant St. Regis beachfront villa, offering breathtaking ocean views. The Resort will also feature the signature St. Regis Butler Service, bespoke guest experiences and luxury accommodations tailored to global travellers. Trained in the English tradition, the butlers provide everpresent, yet unobtrusive service while anticipating guest needs and customising each guest’s stay according to his or her specific tastes and preferences. The St. Regis Mauritius Resort is currently accepting tour operator reservations. Online reservations will be made available on the hotel’s website from April 1, 2012. For more information visit: www.stregis.com/mauritius.

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

Johan Coetzer Operations Manager Johannesburg

Kim Gibbens Operations Manager Durban

Zingisa Mapasa National Business Development Manager

Industry icon launches Tourism and Hospitality Consultancy Industry stalwart, Lew Rood, has launched his bespoke Tourism and Hospitality Consultancy. A well known and respected personality within the local and international tourism industries, Lew’s new business venture is a natural extension of his already well established personal brand. Trading under ‘Lew Rood,’ Lew will offer his specialist expertise and vast experience

TRADE NEWS

to companies and individuals within the broader field of travel, tourism and hospitality. Having retired from Singita Game Reserves at the end of February, the timing is opportune for Lew to embrace his lifelong passion for “all that is new, worthwhile and rewarding.” His consultancy will offer expert advice to inbound tour operators, hotels and the international travel trade specialising in Africa. Services will include relationship building and linking of key industry players in order to expand trade markets and year-round business opportunities, as well as the sourcing and introduction of new products and services for international buyers. Lured to Johannesburg by Conservation Corporation (today, &Beyond), he assumed the position of International Sales Manager for their lodge portfolio, which included Singita’s Sabi Sand Reserve. He was later tasked with opening Singita’s sales, marketing and reservations office which now has its headquarters in Cape Town. For more information visit: www.lewrood.com.

Maropeng Up-Skills Seven Tour Guides Maropeng, the official visitor’s centre to the Cradle of Humankind World Heritage Site, recently up-skilled seven of its tour guides, adding to its already 13 strong contingent that have attained a formal tour guide qualification. Beverly Mokopo, Kiki Serokolo, Yvonne Moeletsi, Kgomotso Mokgosi, Mishack Mzandisi, Norman Maine and Mathabela Tshikoane are now Theta accredited with a Culture Guide Level 2 qualification enabling them to independently create a guided experience for customers as well as conduct a guided cultural experience in a limited geographical area. “A key focus for Maropeng is the training and up-skilling of its staff,” says Tony Rubin, Managing Director of Maropeng. “We are always on the lookout for staff who demonstrate the will, talent and commitment to further their careers at Maropeng.” For more information visit: http://www.maropeng.co.za/

Whale Watching Dashboard Launched Whale watching enthusiasts along the Western Cape’s Standfontein to Cape Point region can now check a whale sighting log to see where whales have been spotted by day, location and time.

Boulevard, Portfolio of Port and all our special events will don its finest garb for the culinary celebration taking place. The Vodacom George Cheese Festival has a strong charity support system and policy, and it is run as a fundraising event by the PTA of Outeniqua Primary School. Over the last four years the Cheese Festival has ploughed more than R200 000 back into the community. Enquiries: www.georgecheesefestival.co.za; info@georgecheesefestival. co.za, or call (044) 874 2332 (office) or the info line on 072 532 0189.

MSC Cruises Welcomes MSC Preziosa To The Fleet MSC Cruises continues its rapid expansion with the announcement that the company has finalized negotiations with STX France and signed a contract to take over a 140,000 ton cruise ship following the termination of the agreement with the original owner. The new ship is named MSC Preziosa and will become the 13th addition to the MSC Cruises’ fleet, as well as the precious fourth ship in the series of fantasia-class ships, which include MSC Fantasia, MSC Splendida and the long-awaited MSC Divina. MSC Preziosa will boast 1,751 cabins, 26 lifts, and 18 decks, 14 of them for passengers. Guests will be able to enjoy four main restaurants, two speciality restaurants, 21 bars, a casino, four swimming pools, including an infinity pool, 12 whirlpools, a bowling alley, a sports area with playing fields, a fitness centre, a children’s area and the superb MSC Aurea Spa. For more information visit: www.mscstarlightcruises.co.za

New Bust Of Mahatma Gandhi Unveiled At Constitution Hill India’s President Ms Pratibha Devisingh Patil has unveiled a bust of Mahatma Gandhi in the Number Four prison at Constitution Hill. The bust will form part of the permanent exhibition at Constitution Hill titled ‘The Prisoner with a Conscience’. Her Excellency Ms Patil commented: “The bust of Mahatma Gandhi at Constitution Hill will be a poignant reminder of the sacrifices and contribution made by this icon, a man who had such a profound impact on the world through his teachings and life.” ‘The Prisoner with a Conscience’ details the life and times of Mahatma Gandhi and the experiences that shaped his development through photographs, quotes, artefacts and audio material.

For more information visit: http://www.awhaleofaheritageroute.co.za/

George Cheese Festival Experience the best in local flavours and unforgettable hospitality at the 10th Vodacom George Cheese Festival to be held in George from 27 to 29 July 2012. This year, the Tour de Cheese, Academy of Whiskey, Brandy JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

TRADE NEWS

V&A Waterfront Awarded Heritage Green Standard

with a newly appointed Executive Chef, Emile Fortuin.

Cape Town’s iconic V&A Waterfront, one of South Africa’s most visited and recognised tourist destinations is the first of its kind in Africa to be independently audited and certified for its environmental compliance by the Heritage Environmental Management Company (Heritage). The V&A Waterfront, which attracts more than 23 million visitors annually, was awarded the Heritage Sliver classification after a recent bench-mark audit by Heritage. Management at the V&A Waterfront aim to achieve Heritage’s Gold classification within the next year through increased awareness generation and the implementation of more sustainable practices across all its operations.

Protégé of one of South Africa’s best-known culinary success stories, Reuben Riffel, Emile stays true to his mentor’s simple food philosophy and gives traditional Cape cuisine a new lease on life by adding an adventurous spin to the home-grown tastes and produce he experienced while growing up. Without any formal training and culinary qualifications under his belt, this young chef came a long way in a very short period of time. After his matriculation in 2006, Emile was discovered during a brief working stint at the Bread and Wine Restaurant at the Moreson Estate in Franschhoek by none other than Susan Huxter, the owner of this establishment along with the world-renowned Le Quartier Francais luxury hotel. For more information visit: www.therobertsonsmallhotel.com

For more information visit: http://www.heritagesa.co.za/

UGANDA

1time withdraws from Lanseria 1time Airline today announced that it will be withdrawing all of its flights to and from Lanseria International Airport with effect from 2 June 2012. 1time Airline CEO, Blacky Komani says that the retraction of the Lanseria routes was motivated by a decision to optimise its overall operations. “We have taken the decision to consolidate all our local and regional flights from OR Tambo International Airport and concentrate on our African projects that are currently underway. Pending seasonal demand, and commercial viability of the airport, we may look at reviewing our Lanseria services in the future.” For more information visit: www.1time.co.za

Protea to train Uganda’s next generation of hoteliers Protea Hotels Uganda and the Makerere University’s Business Faculty have signed an historic agreement to train the next generation of world class hoteliers and hospitality industry managers, who will together work towards growing East Africa’s tourism revenue in years to come. The agreement sees Protea Hotels becoming the sole provider of experiential training for the University’s Department of Leisure and Hospitality students; a move that has the blessing of Uganda’s Tourism Minister, the Honourable Professor Ebrahim Kamuntu. For more information visit: http://www.proteahotels.com/

Durban Airshow to take off on 14 July The Durban Airshow has always been known as Africa’s premier civilian aviation event, and is the World’s second oldest airshow, drawing thousands of people to Durban’s Virginia Airport. This year however, the airshow will form part of a six-airshow tour across Kwazulu-Natal, called the KZN Winter Air Tour. The Durban Airshow is set to be the grand finale of the tour. Tickets for the airshow can be purchased online on the Durban Airshow website (www.durbanairshow.co.za), or at the Pilot Shop at Virginia Airport.

New Executive Chef joins Reuben’s at The Robertson Small Hotel Reuben’s at The Robertson Small Hotel, a gourmet gem of the Breede River Valley which takes pride in lending culinary bliss to this 5-star boutique hotel in the eponymous town of Robertson, sizzles 40

SATSA / RETOSA Tourism Tattler Trade Journal

JULY 2012

ZIMBABWE Makeover At Victoria Falls Safari Lodge The dates have been set – 20-29 June 2012 for the much anticipated ‘makeover’ of the central building at Victoria Falls Safari Lodge, Zimbabwe. Soft refurbishments including new furniture, décor, painting, lighting, etc. will take place during the period of 22h00 – 06h00 each night with strict controls on movement and noise disruptions. Work will include the Reception, Buffalo Bar, Makuwa-Kuwa Restaurant, Tours & Activities, Library, television lounge, Internet Lounge and shop areas. For more information visit: http://www.victoria-falls-safarilodge.com/

TRANSPORT TRADE NEWS

Shaping the Future of Mobility in the tourism industry The South African Tourism industry has continued to show resilience in the midst of the global economic downturn. The numbers of foreign tourists visiting our shores confirms that indeed better days are to come, writes Zamani Mbatha. Mercedes-Benz South Africa (MBSA) values the immense contribution that the tourism industry has towards economic growth and job creation. Thus MBSA’s Commercial Vehicles division continues to develop products that are aimed at better positioning the tourism industry players to reap the benefits that are in the sector. MBSA has made significant investment in enhancing their range of vans. This is also specifically aimed at the tourism and transport industries to meet the current needs and the demands that come with the growth of tourism. The Mercedes-Benz Vans range is specifically designed to cater for both domestic and international tourists. These vehicles are consistently enhanced with new products and technologies that seek to offer best comfort and safety similar to that of a passenger car. It is not just the interior features that define the vans as high-end vehicles, but the powerful and sleek Mercedes-Benz exterior make them a force to be reckoned with on the road. Large door openings and terrific load compartments make the vans ideal and versatile. State-of-the-art engines combined with BlueEFFICIENCY measures on selected models to break new ground on fuel economy without compromising the pleasure of being on a Mercedes-Benz vehicle. Mercedes-Benz’s tourism-targeted products include the MercedesBenz Sprinter, Vito and Viano. Beyond offering a comfortable and luxurious experience in the car hire space, the three brands are making great inroads in the shuttle services for the hotel industry. The range caters for medium tour groups to distinguished VIP guests. The Mercedes-Benz Sprinter is a dominant player in the taxi industry. The Sprinter comes in two wheelbase versions, three body lengths and three load compartment heights. Low running costs and durability are synonymous with the Sprinter for the travel and tourism business needs. The Sprinter comes with a seating capacity of up to 22. The model ranges from 311CDI, 315CDI, 515CDI, powered by the 2.2L 4-cylinder engine, to 519CDI and 519CDI XL, powered by the best-in-class 3.0L V6 engine. Service intervals for Sprinter are up to 30,000km with 2 years/unlimited km warranty. The Mercedes-Benz Vito has a wide range of variants that include the Panel van, CrewCab and CrewBus including FUNCTION and SHUTTLE. The Panel van comes with a generous 5,200 litres of load volume, CrewCab with ample 3,160 litres while the FUNCTION and

Crewbus models can seat up to 9 people. The Vito range comes with powerful 2.2L and 3.0L Euro5 turbo-diesel engines with outputs from 100kW – 165kW. The cost-effective fuel consumption is as low as 7.2l/100km for 4-cylinder engines and 8.5l/ 100km for V6 engines, thanks to BlueEFFICIENCY technologies. The Mercedes-Benz Viano is a living testimony that a spacious vehicle needn’t be a compromise for comfort, luxury and eco-friendliness. The Mercedes-Benz Viano is ideally suited for prestigious guest experience from a family to a business delegation. Functionality of the Viano makes it too simple to rearrange rear seats to face each other allowing passengers to converse with ease during the journey. The Viano comes in four model lines which the 2.2CDI FUN with a pop up roof option, the 3.0CDI TREND and AMBIENTE, the 3.5V6 AMBIENTE as well as the 3.0CDI AVANTGARDE. The Vianos come with lavish 6-8 individual seats, all in comfortable nappa Leather. The low emission 4-cylinder and V6 engines with power output from 120kW to 190kW ensure a comfortable ride experience. It is the commitment of MBSA to ensure that industry clients get the best support possible for their vehicles. The need for tourists and guests to be seamlessly transported to their respective destinations can never be over-emphasised. MBSA value-added products available to van operators include CharterWay, AfterSales, Financial Services and Fleet management. These top product offerings seek to meet and exceed the customers’ requirements long after the sales transaction has been concluded. The Vito CrewCab, CrewCab, FUNCTION and SHUTTLE models come standard with the CharterWay BestBasic 5 year 90 000km service plan that can be upgraded to a CharterWay ServiceComplete maintenance plan at a nominal fee. The Viano range, as with all Mercedes-Benz passenger cars, comes standard with MobiloDrive 6 years/ 120 000km maintenance plan. To give Sprinter customers peace of mind with their vehicle, they can select a CharterWay package individualised to their exact requirements. The Mercedes-Benz Vans range offers good value to the clients in the travel and tourism industry while reducing the costs attached to our premium brand to our customers. JULY 2012

SATSA / RETOSA Tourism Tattler Trade Journal

RESPONSIBLE / SUSTAINABLE TOURISM

The difference between Responsible Tourism and Sustainable Tourism The decision by World Travel Market to launch World Responsible Tourism Day in 2007, with the support of the UN World Tourism Organization, marked a major change of gear, writes Prof. Harold Goodwin. The focus on Responsible Tourism broadened the agenda to include all three pillars of sustainability economic, social and environmental and the emphasis on responsibility challenged businesses to take action to achieve sustainability. This is reflected in the 2012 programme of panels and debates for WTM, which includes sessions on tourism and child protection, wildlife and activity tourism, volunteering and carbon emissions from flying. Our ambition is to educate, inspire and to challenge the industry to do more to achieve sustainability. We are asking some sharp questions this year: Is the industry inclusive enough? Is the industry doing enough to cater for people with disabilities? Are tourists paying enough for entrance to the world’s cultural heritage? Important questions, but it isn’t only about asking the challenging questions, it is also about inspiring people in the industry to take more responsibility for making tourism sustainable. Responsible Tourism is about making “better places for people to live in and better places for people to visit”: in that order. It is about using tourism rather than being used by it. It is about identifying the locally significant issues and acting to deal with them. In Cape Town the city council has identified seven local priorities: reductions in water and energy consumption and waste; increased local procurement and enterprise development; social development and skills development. The city council and tourism businesses in Cape

Town are taking responsibility, managing tourism to achieve these sustainability objectives and progress is being measured against clear agreed criteria. In this way progress towards sustainability can be driven across the whole tourism sector in Cape Town and delivery measured and reported. Over the last couple of years the phrase “Sustainable and Responsible Tourism” has gained currency. But they are not the same thing. There is a broad agenda of sustainability issues, long lists are constructed by groups like the Global Sustainable Tourism Council and most recently the European Union with its draft ‘European Charter for Sustainable and Responsible Tourism’. Responsible Tourism is about taking action, it is about identifying the economic, social and environmental issues which matter locally and tackling them, bringing the stakeholders together to exercise responsibility. We need to do much more if the challenge of sustainability is to be met; over the twenty years since Rio not enough has been done. There has been too much talk of sustainability and too little taking of responsibility. All forms of tourism can be more or less responsible. Responsibility is free; you can take as much of it you can handle. But others can undermine the efforts of a few, and there is a role for government and regulation to control the free riders. It cannot be right that the efforts of those businesses which take responsibility and try to operate sustainably should be undermined by those who carry on over exploiting our environments and the public realm. It is time move on from talking about sustainability and making lists, that was the agenda 20 or 30 years ago – now it is time to take responsibility, act and make a difference. For further information visit: http://www.haroldgoodwin.info/

SA Government seeks Sustainable Tourism This objective is contained in the Draft Tourism Amendment Bill approved by cabinet for tabling in Parliament. At the beginning of June, the tourism minister, Marthinus van Schalkwyk, indicated in his budget vote speech in Parliament that the bill was imminent and would be tabled in the third quarter of 2012. He added that he wanted his department to be a “catalyst for tourism growth and development in South Africa in order to crystallise the tourism mandate, our national tourism sector strategy (NTSS), which we adopted exactly one year ago”. The bill was published for comment in August last year. According to the cabinet statement, the bill aims to: • Develop and promote sustainable tourism both for local and international tourists 42

SATSA / RETOSA Tourism Tattler Trade Journal

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• Promote the effective marketing of South Africa as a domestic and international tourist destination • Promote high quality tourism products in order to grow, develop and transform the tourism sector • Improve cooperation and coordination between the three spheres of government in developing and managing tourism The proposed legislation also calls for the continued existence of the South African Tourism Board. It also intends empowering the tourism minister to appoint a tourism protector and a national registrar of tourist guides. The Government Gazette of 05 August 2011 calling for comment on the Draft Tourism Bill can be downloaded at: http://www.tourismtattler.co.za/downloads/

RESPONSIBLE / SUSTAINABLE TOURISM

Southern African network takes the lead in regional sustainable tourism development and certification The Sustainable Tourism Network Southern Africa (STNSA) aims to create an integrated regional approach to sustainable tourism certification in the region. STNSA membership is comprised of sustainable tourism standard-setting organisations, sustainable tourism certification bodies, business development service providers, tourism boards and other regionally focused organisations. Since 2007, members from eleven SADC countries and two observer countries (Madagascar and Kenya) from the continent have actively participated at STNSA events.

There are currently eight sustainable tourism certification programmes operating in Southern and East Africa: Botswana Ecotourism Certification System www.botswanatourism.co.bw

Ecotourism Kenya

Harmonisation of standards and sharing of best practice; Market development inclusive of joint marketing and collective awareness raising about the benefits of certification (for tourism businesses) and choosing certified products (for tour operators and independent travellers); Common approach to impact analysis and sharing of

www.ecotourismkenya.org

Eco Awards Namibia www.ecoawards-namibia.org

Fair Trade in Tourism South Africa www.fairtourismsa.org.za

Greenleaf Environmental Standard www.wildernessfoundation.com

Fair Trade in Tourism South Africa (FTTSA) has served as the elected Secretariat to STNSA since its inception, with its mandate being renewed periodically by members. STNSA held its first annual conference on 10 May 2012 at the Hilton Hotel in Durban, and the fourth Annual Meeting was convened the following day at the same venue. Highlights of the conference and meeting included: • Strong consensus of the need for collaboration between the eight certification programmes currently represented within the STNSA, based on mutual recognition, dual certification and collective marketing and campaigning strategies.

• Agreement to position STNSA as a Knowledge and Advocacy Network driven by a new, three-year programme of work, with FTTSA as elected Secretariat, focusing on:

impact information; Collective advocacy and lobbying of international and regional processes including the Global Sustainable Tourism Council and Eco Mark Africa; and Undertaking specific projects on climate change adaptation and mitigation (sharing knowledge and educational tools targeting the private sector and destination marketing organisations) and child protection (implementing the Tourism Child-Protection Code of Conduct on a regional basis). The commitment expressed by Network members during these events signals the start of increased cooperation, which will ultimately strengthen the region’s position as a leader in sustainable tourism development. For further information visit: www.sustainabletourismnetwork.co.za

Fair Trade In Tourism recognized by Global Sustainable Tourism Council Fair Trade in Tourism South Africa (FTTSA) is now one of ten sustainable tourism standards globally and the first in Africa to achieve formal recognition by the Global Sustainable Tourism Council (GSTC). The GSTC is a global initiative spearheaded by the UN Foundation dedicated to promoting sustainable tourism efforts around the world. The GSTC identified 144 sustainable tourism standards in use around the world, of which 30 applied for recognition during 2011. Each standard went through a rigorous review and authorization procedure and are considered equivalent to the

Global Sustainable Tourism Criteria. The Criteria are the worldwide, holistic definition of sustainable tourism incorporating cultural, socio-economic, environmental and sustainability management criteria. South Africa’s Minimum Standard for Sustainable Tourism (SABS 1162) was closely modelled on the Global Sustainable Tourism Criteria.

For more information contact: Jennifer Seif, FTTSA Executive Director, jennifer@fairtourismsa.org.za

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SATSA / RETOSA Tourism Tattler Trade Journal