BUSINESS TOURISM A VITAL COMPONENT OF THE SOUTH AFRICAN ECONOMY?
South Africa is a popular destination for business travellers, who spend on average three times more than their leisure counterparts. Business travellers cross over significantly into leisure travel through tours before and/or after their business activities and return trips in subsequent years with their families.
the Southern African Association for the Conference Industry (SAACI) is the recognised umbrella body of the conference and meetings industr y in Southern Africa. It is well-poised to take responsibilit y for this vital economic component
in the region.
SAACI connects, supports and educates the business events industry in Southern Africa by creating a sustainable environment for business growth. Founded in 1987, it is the recognised professional association for the business events industry. With over 1 500 members, SAACI protects the integrity and professional image of the industry, ensuring that it gains the respect and admiration of the business leaders it serves.
But lip-service does not balance the books, it is actual deeds that count. Thus, whilst South Africa is the leader in the meetings industry in Africa, SAACI also serves as conduit for the business traveller who visits the continent.
So why come to this part of the world for a congress or convention? With its firstworld infrastructure, ideal climate and breathtaking scenery, not to mention its friendly people, South Africa is an ideal location for international congresses and conventions. The country has well over 1 000 world-class conference and exhibition venues, ranging from intimate bush hideaways to large-scale, hi-tech convention centres. All of these offer a wealth of leisure activities, pre and post-tours and events - from walking with elephants to first-hand experiences of African culture to luxury shopping and relaxation.
One in every 22 working South Africans is employed in the tourism sector. When it comes to creating employment, the tourism sector has remained resilient despite tough economic conditions. Tourism generated almost 32 000 net new jobs in 2017. With the number of international tourists visiting our shores increasing from 10 million in 2016 - and growing - the tourism sector is set to remain an important driver of job growth in particular industries. We are still seeing tourism jobs growing, despite a sluggish economy.
South African President Cyril Ramaphosa said in his February state of the nation address the country intends to raise this to 21 million visitors by 2030. This strategy targets, among others, the largest and fastest growing source markets of India and China, as well as strong markets on the continent. In addition to direct jobs, this export industry could generate as many as t wo million more jobs in food and agriculture, construction, transport, retail, and the creative and cultural industries by 2030. The partnership between government and business will be deepened to realise this vision. SAACI fully supports the president in this and will do its utmost to support even more international conferences and meetings to Africa.
Tourism is the world’s largest industry, with events accounting for $1.5 trillion of total GDP supported by global business events. This would rank the sector as the 14th largest economy globally, larger than the economies of countries such as Australia, Spain, Mexico, Indonesia, and Saudi Arabia and in in many developing and transition economies it has emerged as the dominant tool for economic growth. Business tourism is a lucrative, fast growing segment in this large industry sector.
Add to this the fact that the business tourist is less cost sensitive than leisure tourists, spending on average twice as much per day. In total 75 percent of business travellers extend their trip for leisure. The arithmetic is thus a no-brainer.
SAACI fully endorses the notion that while tourism packages for conventions and international trade shows and conferences attract hundreds to thousands of delegates, often from many countries, tourism and convention planners must include tourism add-ons for delegates to celebrate our destinations and create immersive experiences for travellers and delegates. These events may include city tours and sightseeing as a regular part of their programmes. Not to mention acres of golf courses - golf add-ons can be particularly lucrative. A recent study by the National Golf Foundation in the United States found that golfers travelled more frequently and stayed longer than non-golfers. In an effort to fit golf into their business trips, business travellers lengthened their stay or took additional business trips for golf while entertaining clients. Food for thought?
What are the Business Tourism Trends?
Accompanying families - a growing number of business travellers bring families on business trips. Offer children’s programmes, including a child carer taking children on sporting activities and sightseeing trips while parents are working.
Adventure travel - executives are increasingly attracted to the adventure venue business trip, which combines team building and strategic planning needs with adventure travel. Adventure vacations for organisations are designed to boost morale and develop leadership in corporate employees, also providing perks like rafting trips or water skiing.
Embrace new technologies - internet promotion, electronic ticketing, computerised reservation. Develop in-house TV channels that feature activities appealing to business tourists such as weekend tours, theatre, golf options, restaurants, special cultural and recreational events and departure flight information. Develop 1-3 hour tour packages for people in transit.
Out-of-the-Ordinary
Particularly in Africa, ‘off-the-beaten-track’ is a tremendous opportunity to attract meetings, conventions and exhibition traffic through the promotion of locations, high-quality services and cost-effective options.
Business tourism experts and destination marketers must use the opportunity to strategically position themselves to convention and meeting organisers as a world class corporate destination with ‘out-of-this-world’ tourism potential.
The Golden Rule
Business travellers are savvy, extremely sophis tic ate dan dwell-travelled. They do not mind paying, but demand value for money.
In all of this SAACI’s professional standing has and will always stand it in good stead. It is the professional organ is ati on of choice and it will support its members to deliver the services their clients expect and of which they are proud.
“It’ s harvest time… harvest the business tourism opportunities to grow our economy.”