Tag Archives: B&B’s

Build more hotels, open more restaurants in Cape Town: TripAdvisor tourism tsunami on its way!

Cape Town has made it to the top of the TripAdvisor 2011 Travelers’ Choice Destinations Awards, beating world cities and destinations Sydney, Machu Picchu, Paris, Rio de Janeiro, New York City, Rome, London, Barcelona and Hong Kong.  It is a fantastic accolade for our wonderful city, and could lead to millions of visitors to Cape Town, if the TripAdvisor numbers are to be believed!

“With beautiful scenery, great wine and gorgeous weather, it’s easy to see why Cape Town, which also played host to last year’s World Cup, has topped this year’s list” said Emma Boyle, TripAdvisor spokesperson.

I am extremely sceptical of TripAdvisor, a love-hate site for hospitality establishments, that allows users to rate hotels and restaurants around the world.  Boldly they claim to have “over 45 million trusted travel reviews and opinions”, which Cape Town Tourism promptly misinterpreted on its blog as being the number of voters for Cape Town.

 

While I am delighted at the visibility for Cape Town as a result of the top ranking of our Mother City, the market researcher in me was disappointed in TripAdvisor’s announcement not answering two key questions:

*   who participated and voted for the top destinations?

*   what methodology was used, including sample size, vote methodology, time period of vote, etc, or was it purely based on the number of Google-type searches recorded on the TripAdvisor site? 

A vague sentence in the TripAdvisor announcement stated: “honor top travel spots in the world based on millions of real and unbiased opinions from TripAdvisor travelers.  Award winners were determined based on a combination of travelers’ favourite places and overall destination popularity”.  “Millions of TripAdvisor travelers around the globe have helped identify the world’s top travel spots,” said Barbara Messing, chief marketing officer for TripAdvisor. “The Travelers’ Choice Destinations awards not only recognize some of the most beloved travel destinations worldwide, but serve as inspiration for millions of travelers looking to plan their next trip.”

As a registered TripAdvisor owner for my four establishments, each with their own e-mail address, I received four e-mail announcements of the winning destinations, which means that all TripAdvisor users and product owners will have received the e-mail on Thursday, clearly a potential benefit for our city in terms of future enquiries and bookings.  Yet I was not requested to participate in a poll to choose my favourite travel destinations on any of the e-mail addresses.

When one clicks onto ‘Cape Town’ on TripAdvisor, a top ranking of B&B’s, hotels, restaurants and things to do appears.  Here the rankings are explained, in that they are based on a ranking derived from an average user score out of 5.  The number of reviewers having stayed/eaten at an establishment is also mentioned.

Once again the TripAdvisor sceptic that I am, and knowing that reviews can be written by establishments themselves (a severe criticism TripAdvisor faces continuously), by competitors wishing to disparage fellow establishments via false reviews (another severe criticism TripAdvisor faces), and by vindictive anonymous past guests, with a difficult procedure for owners/managers to respond to these, I was particularly interested in the Restaurant top 10 listing for Cape Town, as judged by TripAdvisor reviewers:

1.   La Colombe – on the 2010 Eat Out Top 20 shortlist

2.  The Opal Lounge 

3.   Caffe Hausbrandt – this is where it gets to be odd – this is a coffee shop on Green Market Square that I have never heard of

4.   Miller’s Thumb in Gardens

5.   Constantia Uitsig

6.   Savoy Cabbage

7.   Fork

8.   Willoughby’s

9.   Brio

10.  Carne

Only La Colombe made the Eat Out Top 20 shortlist, but did not make its Top 10 list in 2010, as its chef Luke Dale-Roberts left and opened his own restaurant The Test Kitchen.

The Top 10 Hotels list for Cape Town, as rated by TripAdvisor users, is as follows, ranked from 1st onwards: 2Inn1 Kensington, Derwent House Boutique Hotel (which was rated by an astounding 598 reviewers), Blackheath Lodge, Four Rosmead, An African Villa, Steenberg Hotel, dysART, Kensington Place, Villa Zest Boutique Hotel, and Table Bay Hotel.  Only two hotels are on this list, the rest being guest houses or small boutique hotels. 

The Top 10 things to do in Cape Town is an odd collection, and appears to include companies who offer tourism services: Table Mountain Walks with a guide, Table Mountain, Kirstenbosch National Botanical Gardens, Cape Hiking and Cycling Tours, Langa Township (a strange inclusion), Lion’s Head, Boulder’s Beach, Cape of Good Hope, Cape of Good Hope Nature Reserve, and Abseil Africa from Table Mountain.

Time will tell whether the TripAdisor 2011 Travelers’ Choice Destination Award for Cape Town will make itself felt in terms of the benefit of ‘millions’ of TripAdvisor reviewers visiting our country and our city, something every accommodation establishment and restaurant sorely needs and hopes for for the bleak winter lying ahead.  There has been no sign of any increase in enquiries since the TripAdvisor 2011 Travelers’ Choice Awards were announced last week.

Chris von Ulmenstein, Whale Cottage Portfolio:  www.whalecottage.com   Twitter: @WhaleCottage

New Cape Town liquor trading by-law put on ice!

The City of Cape Town has lost face with its planned introduction of the new Liquor Trading Days and Hours By-Law today, in that it has had to backtrack twice in the past few days, demonstrating the lack of professionalism of the City’s Liquor Policy Task Team, which worked on the by-law for the past two years, and thereby one questions if they can be taken seriously going forward.

The long-awaited City of Cape Town Liquor by-law was meant to become effective today, and many outlets selling alcohol are unhappy about what is perceived to be draconian legislation to curb liquor sales, in the interest of reducing accidents due to drunk driving, a problem particularly prevalent in the Western Cape – however the City’s by-law ads do not mention this reason for the city’s new Liquor by-law! 

A UCT student in Social Development, Policy and Management, Rowan Dunne, discovered earlier this week that the by-law has not been fully gazetted, in that three amendments made since it was gazetted in September 2010 have not yet been gazetted, and will only be so on 14 January, making any attempt by the City to apply the liquor regulations illegal until then, reports the Cape Times.

In addition, the new by-law would have meant that all pubs, hotels and restaurants selling alcohol would have had to close their sales at 2h00 this morning, the new time limit meant to have been introduced by the by-law.  But given that it has not been gazetted, outlets could stay open as late as they liked on this longest party night of the year.

From today, the by-law was meant to have prohibited the selling or drinking of alcohol in hospitality establishments before 11h00, and after 23h00 in residential areas, and after 2h00 in CBD areas.   The City already had to amend the 11h00 morning deadline, to accommodate champagne breakfasts.   Sparkling wine may be used for such breakfasts, on condition that it is served with food.

Ironically, the number of deaths due to accidents has fallen dramatically this festive season, compared to the previous two years, due to stricter roadside controls by the traffic authorities, and strict new laws regarding fines/imprisonment due to excessive speeding, and driving drunk.   In addition, the Cape Argus has commenced a “Name and Shame” campaign, publishing on its first page names of persons who have been convicted of drunk driving.

Strangely too Mayor Dan Plato said in an interview on Kfm earlier this week that the City did not have enough law enforcement officers, and that these would initially be visiting establishments to educate them about the new by-law.   The City has also advertised the by-law regulations in the local Cape Times and Cape Argus newspapers.

The times at which alcohol may be served and drunk are as follows:

Residential areas:  B&B’s, guest houses, backpackers, pubs, taverns, restaurants, night clubs, theatres, places of entertainment, sports clubs –  11h00 – 23h00  (Hotels until 2h00)

“Local or neighbourhood business centres”:   B&B’s, guest houses, hotels, backpackers, pubs, bars, taverns, restaurants, night clubs, theatres, sports clubs, places of entertainment – 11h00 – 23h00    (Sports clubs until midnight, rezoned Hotels until 2h00.  Liquor stores and specialised wine shops may sell alcohol from 9h00 – 18h00 Mondays – Saturdays)

“General Business centres” : B&B’s, guest houses, hotels, backpackers, pubs, bars, taverns and restaurants – 11h00 – 2h00 (Supermarkets, specialised wine shops and liquor stores may sell alcohol from 9h00 – 18h00 Mondays – Saturdays) 

Industrial areas: Pubs, bars, taverns, restaurants, night clubs, theatres, places of entertainment, sports clubs – 11h00 – 2h00 (Liquor stores and specialised wine stores 9h00 – 18h00 Mondays – Saturdays)

Agricultural areas (i.e. wine farms): Guest accommodation, pubs, bars, restaurants, ‘tourist facilities’ and sport clubs – 11h00 – 2h00.  Wineries may sell and serve wine from 11h00 – 24h00 every day of the week, and may sell it for off-consumption from 9h00 – 18h00 every day of the week.

Small Holdings:  Guest accommodation, pubs, bars, restaurants, ‘tourist facilities’, sports clubs – 11h00 – 24h00 (Wineries as for agricultural areas above).

On Tuesday this week, Councillor Taki Amira had announced that the City was going ahead with the introduction of the by-law, and that it applies from today.  Outlets with liquor licences were threatened that they could lose their licences.  On Thursday, he did an about-turn, after a meeting with city club and bar owners, as well as with Dunne.   “The City would like to allay fears of club and restaurant owners with regards to the enforcement of the City’s new Liquor Trading Days and Hours By-Law.   The by-law will be phased in over the next few months and will not be stringently endorsed until all role players have been extensively informed about the new legislation.”  Club owners are uncertain of their zoning, and which time limit therefore applies to them in respect of the closing time.  

The City’s by-law is likely to become a benchmark for other municipalities in the Western Cape.   The City’s by-law advertisement already warns that “the new Western Cape Liquor Act takes away the automatic right of renewal for an annual licence”.   The ‘policing’ of the by-law by the public is encouraged in the City’s by-law advertisement, and could lead to misuse for ‘political’ or ‘points-scoring’ purposes, and lead to bad neighbourliness. 

The City’s Clubs, Bars and Restaurant Association is planning legal action, and plans to approach the Cape High Court on Monday, to fight the by-law.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com  Twitter: @WhaleCottage

‘Star wars’ lead to much milder Tourism Grading accommodation assessment!

In March accommodation establishments were shocked to receive an onerous set of guidelines for a new grading assessment system to be implemented by the Tourism Grading Council of South Africa.  It caused such an outcry that the Tourism Grading Council had to delay its implementation of the new grading criteria by four months.  

Input was sought from assessors, who themselves appeared to be unhappy with the greater number and more onerous criteria to be evaluated, and from accommodation establishments, both individually and as representatives of accommodation associations, such as the Camps Bay Accommodation association, which I head up.   The Tourism Grading Council must have been overwhelmed by the response it received from the industry, to such an extent that it had to go back to the drawing board, and delay the implementation of the new assessment criteria to this month.

The new criteria have been implemented, and many accommodation establishments have been in shock, and taken the bold decision to revoke their star grading, not feeling that they will meet the new criteria sufficiently enough to make them retain their previous star grading.   What is surprising is the poor communication by the Tourism Grading Council, in having had feedback that many establishments would withdraw from the voluntary grading assessment system, and that many others were unhappy with the extremely onerous proposed requirements.   The CEO of the Tourism Grading Council was invited to speak to accommodation establishments in Franschhoek, Somerset West and Hermanus, but no one (least of all Cape Town Tourism, who sadly remained silent on the topic) set up an information session with Cape Town based accommodation establishments.

We were critical of a number of new grading assessment criteria which were proposed, but are willing to give the new system a try.  Despite having been assessed by the Tourism Grading Council since its inception about ten years ago,  the new grading systems requires all existing clients of the Tourism Grading Council to be registered from scratch.  When I received the close to 20-page document for registration alone, and knowing that I would have to complete it for four Whale Cottages and not just for one guest house, I was immediately switched off, so switched off in fact that I have not had the energy to complete it yet.  Some of the information that is requested purely for the registration process includes the following: 

*   Company turnover (this should have no relevance to the grading)

*   Number of employees (this should have no relevance to the grading)

*   Number of “visitors handled by your company on an annual basis” – most establishments might know their occupancy, but number of guests per annum is not a standard measurement in an establishment.

*   Bank details are required, with onerous details requested such as date of opening the account, with details of the accountant and insurer too, information which has no relevance to the Tourism Grading Council, in our opinion.   The questionnaire states that bank details are requested in the case of (unspecified) refunds – however, the ‘Schedule of Conditions’ excludes any refunds to be payable “for any reason whatsoever”.  

*   Documentation is required for company registration, provincial/municipal registration, ‘sufficient’ insurance cover from one’s insurer (would they ever say it is sufficient?), BEE scorecard compliance, liquor licence and municipal rezoning.

Ten pages are dedicated to the Tourism Grading Council “Schedule of Conditions”, which include the following:  assessors may “overnight”, and in that instance accommodation, lunch or dinner (specifying that it be a 3-course meal – most guest houses and B&B’s do not offer meals other than breakfasts), one drink, one local call and one breakfast must be provided.  The form on which one has to sign acceptance of these assessor rights differs from the detail provided in the Schedule of Conditions, the former being very vague.  We have seen the ‘overnight’ privilege abused in the past, with assessors bringing partners and using their assessment visits as their annual holiday.   It is also a way in which establishments can ‘influence’ the assessor in terms of the expenditure on the meal and drinks offered, taking the assessment out of the purely professional level.  The time commitment to an “overnighting” assessor is tremendous – instead of a 2 -3 hour assessment visit, one is required to entertain the assessor from late afternoon until check-out the next morning, an extremely onerous time commitment for the owner/manager of the business.

*   fees are payable annually, which is as before – in fact the fees must be paid upfront, so that the assessment can take place. 

*   assessments must be done annually

*   “The TGCSA has the choice of the assessor to be assigned for the annual assessment at its discretion” – this is most contentious, as grading is voluntary in general, and one has always been able to select one’s own assessor.

*    The Tourism Grading Council will award a star grading.

*   One may dispute the grading awarded

*   Graded establishments must maintain their establishments’ standards to comply with the grading awarded, and must display their grading plaque (which has been changed, meaning that each establishment must order a new one).

*   Establishments must promise to not offer “any gratuity/incentive/bribe to any person in order to influence such person…”, clearly referring to the assessors, and to only provide truthful information

*   The Tourism Grading Council excludes its liability for any claims against it caused by any claims which may be lodged against a graded establishment.

*   Should the establishment be sold, it cannot cede or sell with it the current grading, which means that it has to be terminated, and the establishment must be assessed from scratch for the new owners.

All of the above relates to the paperwork purely to be (re)registered with the Tourism Grading Council!  The application form was not offered to the industry for input originally.  We have been told that most of questions are for one to receive government business!

A most pleasant surprise is that the actual assessment has been vastly simplified compared to the initial draft, which ran to 60 pages, and the criteria have been relaxed relative to what was intended in the draft, making most of them little different to the existing assessment criteria.  We highlight the most important ones:

*   The scoring for 4 stars, which was proposed to change to 74 – 88 % in the draft, has been changed back to the current 85 – 94 %

*   The draft document required a security guard, and onerous specified security features.   This caused an outcry due to the cost of the extra staff and features needed.  Now the minimum requirement is for the ‘best possible” safety and security to be offered for one’s guests, including providing emergency information, contact details of staff on 24 hour call, adequate lighting outside and inside the establishment, the “best possible locking devices”, and a safe for valuables (in the draft the safe was specified to be a laptop size one, but this requirement has been dropped, probably out of cost considerations in replacing existing safes).

*  Statutory obligations include being registered as a business; registered with the provincial authority (the exact registration is unclear); having public liability insurance; and complying with local authority fire; and hygiene and building access regulations.

*   The establishment must be open throughout the year, except if seasonal in nature, and if being renovated

*   No discrimination of any kind is allowed, in terms of denying access to any guests

*   Marketing communications must specify the cost of accommodation, meals, refreshments and any extra services, as well as surcharges and levies, and must be quoted inclusive of VAT;  the cancellation policy must be communicated; the “in-house rules” must be visibly communicated; and all facilities and amenities must be “honestly” described

*   Bed linen and towels must be changed every five days – given water shortages and rising electricity costs, the draft requirement of changing towels daily and of changing bed linen every three days having caused an outcry.

*   The bedroom and bathroom size, specified in square meters per accommodation type and star grading in the draft document, has been dropped, the only requirement being that the space “should allow guests to move easily”, with a minimum ceiling height to cater for guests 1,8 m tall, and should provide “freedom of movement”.   The minimum bedroom and bathroom sizes were a very sore point in the draft, and would have disqualified many establishments from retaining their current star grading.

*   Airconditioning is only required of 5-star establishments – the draft required all 4-star and 5-star establishments to have airconditioning, causing an outcry due to the cost of purchase, as well as cost of running in terms of electricity.   A heater or fan must be made available.

*   Colour TV’s are required, but no longer have to be flat-screen, as specified in the draft

*   “Stationary (sic) and writing materials” must be supplied, a new requirement

*   Telephones in guest rooms are optional, and not a requirement

*   One of the biggest issues was the provision of an 18 hour reception service in the draft document – this has mercifully been changed to “reasonable hours during the period that the establishment is open”.

*   the minimum Breakfast requirement is a Continental one.  Breakfast serving time was specified in the draft, and this has been removed.

The Tourism Grading document for Guest Houses contains 38 pages of guidelines of how assessors are likely to score the criteria out of 10 points.  Assessors welcome the new criteria and scoring sheet, saying that it takes the subjectivity out of the assessment.

It is a shame that the Tourism Grading Council communicated the initial draconian draft document, as it frightened many of its existing graded properties from renewing their grading.   The Tourism Grading Council has made no attempt to inform its clients that the initially strict criteria have been greatly relaxed, making it likely that establishments will retain their  existing grading – a PR campaign aimed at existing graded establishments is sorely needed!   One wonders how much of taxpayers’ money was wasted by designing a draft assessment document, utilising consultants, when the Tourism Grading Council has largely reverted back to where it was in March this year!   It needs to address the registration questionnaire, in terms of length and onerous requirements, as this is now the only off-putting part of being assessed.

POSTSCRIPT 28/10:  We believe that this blog post may have led to the Tourism Grading Council sending out an invitation to Cape Town accommodation owners/managers to attend a four hour breakfast presentation at the Cape Town International Convention Centre on 3 November.  While we salute this very late attention to Cape Town’s accommodation industry, in trying to obtain buy-in to the new grading assessment criteria, breakfast time is the one time of the day that guest houses and B&B owners cannot be away from their establishments, and certainly not for four hours!    It proves how out of the touch the Tourism Grading Council is with its customers. 

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com  Twitter: @WhaleCottage

Tourism News: South Africa loses ‘value for money’ image in UK

Tour operators say South African accommodation has become too expensive for their UK clients, and they have called on local accommodation suppliers to relook their prices for 2011, reports South African Tourism Update.

Portfolio of Places representative in the UK, James Westrip of Africa Collection, says that the “good-value-for-money perception” of South Africa has gone in the past year.  This changed perception about tourism prices, coupled with tough economic times in the UK and the strong Rand “…is proving problematic for us all”, he said.  He feels that “SA is pricing itself out of the market”.   Portfolio of Places has experienced its worst year ever in its more than 20-year existence, we have been told.

Another operator said that it is no longer feasible for local establishments to increase their rates by 10 % annually, in excess of the inflation rate.  These increases effect the value for money perception of South Africa, says Louise de Waal of Baobab Travel.  She stated that budget accommodation options often are questionable as far as quality goes, and therefore cannot be booked.  Tourvest Inbound’s Martin Wiest says that high pricing makes our country less competitive globally.

&Beyond’s Gary Lotter acknowledges that not all accommodation establishments have increased their prices above the inflation rate, or at all, but it is the strong Rand that is the root of the problem.  He also said that if establishments were to drop their rates, they could receive more business, although this is not guaranteed.

Westrip also complained about establishments charging their direct clients better rates than they do tour operators, even though their clients may be a once-off and tour operators usually are loyal to establishments and book them regularly.  De Waal queried the wisdom of last minute rate reductions, and called for early-bird discounts instead.

It is interesting to read that tour operators cry wolf about high rates when it is the operators that are exceptionally greedy in their commission demands.  Africa Collection takes 20 % commission on bookings it gives Portfolio of Places clients, on top of close to the entry level R20000 annual advertising costs for the Bed and Breakfast Collection advertisers.  While the standard commission rate is 10 %, tour operators tend to do business with establishments if they can get commissions of 20 % or more, leading their business to go to hotels rather than guest houses and B&B’s, which would be far more affordable for tourists. 

It may well therefore be the tour operators that are the cause of the loss-of-value-for-money image that they are complaining about!

A survey on the Southern African Travel News  website shows that the majority of respondents indicated that they have frozen their rates.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com  Twitter: @WhaleCottage