Tag Archives: Mother City

Tourism in the Cape: is it up, or is it down?!

Reports about the status of the tourism industry in Cape Town and the Western Cape in the last few days are enough to confuse anyone, as the view on how the industry is doing this summer, two months into the season, appear contradictory, some saying that it is better, and others saying that it is the worst ever!

Reports about a FEDHASA Cape media review held last week contradict each other.  The Cape Argus, using the headline ‘Hotels catch the scent of recovery’, reported that a ‘fair’ season is expected this summer. It stated that the industry had come through a ‘pretty bad year’.   Gotravel24 had a more realistic headline ‘Worst year yet for Cape Town tourism’, quoting FEDHASA Cape Chairman Dirk Elzinga admitting for the first time that the past year has been ‘one of the worst the Cape Town tourism industry has ever seen’.  When we wrote about the tourism crisis in winter, which was subsequently picked up by the Cape Argus, Elzinga did not seem perturbed, and said that Cape Town was just experiencing its annual seasonal dip!

In its review FEDHASA Cape indicated that average revenue per available room decreased by 10% this year, due to the ‘double dip recession’ in Europe as well as the 20% increase in accommodation rooms for the World Cup. The past winter was particularly tough, with four hotels and 10 restaurants that were FEDHASA Cape members closing their doors (many more non-FEDHASA restaurants closed their doors too). Elzinga is hopeful of a recovery, based on average revenue per available room increasing by 5 % in October, relative to the same month a year ago.  Occupancy was estimated to reach 60 – 80 % this summer, Elzinga said, and events such as the J&B Met, the Two Oceans Marathon, and Cape Town International Jazz Festival would attract more local tourists, the type of tourist Elzinga said Cape Town tourism businesses should encourage.  However, Eye Witness News’ report on the FEDHASA Cape  meeting was that ’70-80 percent hotel occupancy (could not be referred) ‘as a standard anymore’.  Elzinga sees positive spin-off from Cape Town being named the World Design Capital 2014, and a provisional New7Wonders of Nature. We have written before that none of the accolades that were heaped upon Cape Town so far this year have led to any significant increase in tourism to Cape Town, probably because tourism from the United Kingdom has all but dried up.

FEDHASA Cape also used the opportunity to share results of a 30-week pricing survey conducted not only for Cape Town hotels, but also for hotels in Barcelona, Melbourne, Vancouver, Boston, Nice, Hong Kong and Munich, chosen to be comparable to Cape Town in that they are not capital cities, and attract convention business.  The survey was instituted due to feedback levelled against the local accommodation industry for its high prices, which FEDHASA Cape wished to dispute.  Predictably it did so, stating that ‘….the Mother City is not out of line with its peers around the world’.  No hard statistics, such as average hotel prices, are provided from the survey. The FEDHASA Cape survey had found that Cape Town’s price and room offering is wider than that of the comparative cities, with the exception of Barcelona.  Five star hotel rates generally are on a par with the comparative international hotels.  Room rates for 4-star hotels were up to 20 % lower than the international hotels, the report states.  We too have checked Cape Town rates at the top-end hotels, and conducted three telephonic surveys, in May, August and November this year, finding a wide range of 5-star hotel rates, and that rates had been lowered in the harsh winter months.

Moneyweb also reported on the hotel pricing survey of FEDHASA Cape, writing that the finding about Cape Town’s hotel prices being on a par with those in other international cities was a ‘surprising result’.  The description about the worst winter is far more explicit, as being ‘one of the most dismal in recent memory”! Elzinga is quoted as saying that Cape Town is ‘not cheaper, but also not more expensive. People think that prices in Africa should be lower than in Munich or Singapore. But luxury costs the same; it doesn’t matter where you are’. An interesting observation by FEDHASA Cape was that those hotels that did not drop rates recovered more quickly than those hotels that cut rates. Our Whale Cottage hotel surveys demonstrated that all hotels decreased rates in winter, contradicting FEDHASA Cape’s observation!  What Elzinga did not appear to consider was that given the lower operational costs of running an accommodation establishment in Cape Town relative to the comparative cities, on labour costs alone, combined with the 20 % increase in accommodation supply since last year, accommodation prices should have decreased, based on the law of supply and demand.  A further negative impact on rates should be the cost of long haul air travel and airport taxes to Cape Town. Therefore there can be no justification for Cape Town’s hotel prices to be the same as those of its international counterparts.

FEDHASA Cape sees a positive impact of direct flights to Cape Town by Air France and Swiss-based Edelweiss, but which could be countered by the cancellation of Malaysian Airlines flights to Cape Town next year.  Elzinga has called for more marketing by Cape Town Tourism and Cape Town Routes Unlimited in India and China, given the problems with the USA and European economies.

At Whale Cottage we have compared Occupancy over the past five years, and we have seen a steady decline over this period, halving over the five year period.  Occupancy at Whale Cottage Camps Bay this month will be the second best this year after the record 88% in February, and an improvement on last November, but is far below the 88 – 96% occupancy experienced in November between 2007 -2009.

FEDHASA Cape only predicts a recovery for the Cape Town accommodation industry in 2013, with occupancy and room rates returning to a ‘normal level’.   The European and USA economies are in such disarray that one wonders how any tourism body can make any prediction about the future of tourism, especially given FEDHASA Cape’s poor interpretation of the industry in winter!  FEDHASA Cape also indicates that bookings are increasingly last-minute, which makes it even more difficult to predict future tourism performance. We urge FEDHASA Cape to be conservative in its estimates, and to not create hopes about the season for the industry, which led to disastrous results when Grant Thornton did the same about the soccer World Cup last year.

The Protea Hospitality Group has seen similar cause for optimism, its Danny Bryer, Director of Sales, Marketing and Revenue, writing a letter to the editor of Southern African Tourism Update that it saw occupancy increase by 3-4% in August and September. Against the background of the unstable USA and European economies, Bryer says that it is hard to make predictions for the hospitality industry, especially with the heavy discounting taking place (contradicting Elzinga too).  Bryer pleads for an end to discounting, even though his hotel group probably is the one to slash rates most severely, quoting day by day rates, and generally is at the bottom end of the rates scale in the comparative hotel rate surveys we have conducted: “Continued discounting devalues every hotel in South Africa, as the battle is fought on price rather than value”. Bryer says the proof of this is that the average daily rate has decreased and the costs are increasing, meaning a declining profit.  This can only be turned around with an increase in rates, he argues.  He deplores that developers, investors and owners added on new rooms, the accommodation oversupply resulting in hotel closures and local companies taking over the management of international hotel groups. Bryer warned against reducing one’s offering to justify a lower price.  Offering value for money is vital.  He also warned that 3, 4 and 5 star hotels are marketing their rooms at similar price points, which he believes to be ‘foolhardy and unnecessary‘.  The Protea Hospitality Group is focusing on offering value-added packages for the domestic market this summer.

Bryer was also quoted in Business Report, saying that their December bookings are up on a year ago, that 5-star guests are travelling again, but that ‘inbound business to South Africa is still quite tight and long haul flights are losing out to short haul’.  The South African Tourism Services Association (SATSA) CEO Michael Tatalias predicts a better ‘holiday’ season than last year, but says that the rates charged will be more realistic than in the past.

Western Cape Provincial Minister of Tourism Alan Winde warned that he will present a ‘bare-bones’ 2012 budget in March, and about ‘emptier’ provincial government coffers and budget cuts, which could impact on its funding of tourism too, reported the Cape Argus last week.  Winde said that the local economy had to be ‘buffered against current shocks in traditional markets’, and urged exporters in the province to find ‘high-growth emerging markets’.  The European growth outlook is poor too, the fourth quarter prediction being one of slipping back into recession, reports Business Report.

What is certain is that it is impossible to predict the summer season until Easter, given the continued economic woes of our tourism source markets, the UK market being sorely missed, and the forecast of Europe slipping back into recession.  Bookings for the summer ahead for Whale Cottage Camps Bay look good until 10 January. Domestic tourism will be the major source market for the medium term, until the global economy recovers.

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

‘100 Women, 100 Wines’ “frivolous, patronising joke”, wasted tourism spend!

We have previously written about Cape Town Tourism embracing the ‘100 Women 100 Wines’ competition, promoting it actively, and listing it in its ‘Strategic Plan’ as a means to ‘stimulate domestic tourism demand’.   The competition brought 100 women to the V&A Hotel in the Cape Town Waterfront on Saturday for one day, hardly a major boost to domestic tourism, especially as a number of the participants were from the Cape anyway! The wine industry has slated the event as ‘frivolous’, ‘patronising’, and a ‘joke’!

Sceptical as I tend to be when it comes to the marketing activities of Cape Town Tourism, I checked what information was available via Google, as we have not received information about this event as members of Cape Town Tourism.  Not much was written about the competition – only two blogposts by organiser Clare “Mack” McKeon-McLoughlin (why does she not use her real surname?) of Spill Blog, a media release and two website posts by Cape Town Tourism, and three participant blogposts.   Sponsors of the competition were TOPS by Spar, Newmark Hotels (V&A Hotel), Destiny magazine (with a circulation of 26128 ‘black diamonds’), and Cape Town Tourism. The aim of the competition was to generate “South Africa’s Best 100 Wines” list, a ludicrous claim made by Cape Town Tourism in its media release.

The competition premise was that 80% of women buy wines in supermarkets, thus making the brand decision, which is largely made on the basis of word of mouth recommendation by friends.  On the basis of this statistic, Ms McKeon-McLoughlin devised a competition whereby 50 women could enter, by motivating by e-mail why they and a friend should be invited to be a ‘judge’ in a wine competition “where you choose and pick the wines that you prefer, wines that suit your palate and mood, and that you would be more than happy to recommend to a friend”. The ‘judging’ took place at the V&A Hotel in the Waterfront, with participants having been flown to Cape Town (if not from the Cape); attending a lunch, a cocktail party, and a gala dinner; participating in the ‘judging’; and spending the night in the V&A Hotel.  About 30 % of the group of hundred women were from Cape Town and the Winelands, judging from Twitter. Cape Town Tourism refused to confirm the geographic breakdown.

The patronising media release written by Cape Town Tourism stated that ‘this event will see women from different backgrounds being empowered as opinion leaders in the field of wine, and will set in motion the debunking of the myth that this right is reserved for the connoisseurs and the ‘bourgeois” (who writes stuff like this?!).  Their website post also stated that the participants reflected the South African demographic profile, but the ‘black diamonds’ dominated.  Cape Town Tourism appears to have forgotten that this country has four ‘demographics’, and not just two, as is visible from their delegate photograph. Categories in which wines were selected are ‘Girls Night Out’, ‘Celebration’, ‘Sunday Lunch’, ‘Braai drinking’, ‘The in-laws are coming’, The Big date – romance is in the air’, ‘Long lunch’, ‘Mid-week easy drinking’, Posh Present, ‘Baby it’s cold outside, ‘Bubbly’, and ‘Kiss and Make Up’.  Ten wines were allocated per each of the ten categories, hardly a ‘judging’, and more of a classification of the 100 wines, information not provided as to how the original list of 100 was selected!  The Cape Town Tourism media release quoted its CEO Mariette du Toit-Helmbold as follows: “The innovation of food and wine is an integral part of what makes Cape Town an inspirational city.  We are looking forward to welcoming 100 women from across South Africa to Cape Town, and sharing our best wines and gourmet offerings with them.  Winter is the perfect time to explore our wine culture and our partnership with 100 Women 100 Wines demonstrates our commitment to unlocking Cape Town’s superb winter offering to the domestic market. We look forward to celebrating this as an annual event”! We do not believe that the event met the stated goal at all, as only the food of one hotel was experienced by the delegates, and mainly non-Cape Town wines were ‘judged’!

We asked Cape Town Tourism CEO Mariette du Toit-Helmbold two questions about her organisation’s involvement in the event: what would its benefit be for domestic tourism to Cape Town, and how much did Cape Town Tourism pay for sponsoring the event.  This is the rude response we received on Twitter to our e-mails from Mrs Helmbold (she has not replied to our e-mails about the event):” For info on role in #100women event follow @CapeTownTourism‘s tweets. Event fund = R20 000″.

We question Cape Town Tourism’s sponsorship of the event, which will have gone to the organisers.  If Cape Town Tourism pays R20 000 for each of the 70 local and international events (we did not know that there are so many events in Cape Town in a year) it claims to support, it would be paying a precious R1,4 million, which it could use to greater benefit to attract more tourists to Cape Town by means of fewer, more fundamental events.  It is unheard of for a tourism bureau to pay a sponsorship fee, it being usual for them to just endorse an event, to give it credibility.  One wonders how Cape Town Tourism could have seen so much benefit in the event that they paid for it, and had the time to handle the (poor) publicity for it! It is clear that Cape Town Tourism has little knowledge of the wine industry, and blindly endorsed an event without credibility in the wine industry, and without any tourism benefit.  No local media (radio or newspaper) covered the event.

Mrs Helmbold did not attend the event at all, spending the weekend in Pringle Bay, and Cape Town Tourism’s PR Manager Skye Grove appears to have only popped in at the sponsored event. However, Mrs Helmbold was at great pains to Tweet about the event on Saturday, overstating the ‘benefits’ of the event for tourism to Cape Town as follows:

*  “#100women is supported by @CapeTownTourism as part of focus on building winter brand, food/wine tourism and domestic tourism”

*   “#100women is 1 of many good examples of how partnerships can be used to accomplish much through events without investing a lot of money”.

*   “#100women 100 wines event is 1 of more than 70 events supported by @CapeTownTourism and 1 of earmarked domestic tourism events of year”.

Cape Town Tourism Tweeted ‘comments’ from delegates about how good they felt about being in Cape Town, but these were prescheduled via Tweetdeck, and do not appear to have been ‘live’ comments from delegates, making one question their credibility. In its website post at the conclusion of the event, Cape Town Tourism wrote ‘testimonial’ comments about Cape Town, quoting senior executives who apparently had never been to Cape Town before.   Some ‘justification’ Tweets were sent by them during the weekend event:

*   “#100women 100 wines event proving that South African women love their friends, their wine, their food…. and Cape Town” (no delegate Tweets proved this!)

* “City Press & Sunday Times at #100women event – this is how we do business. Unlocking CapeTown’s stories through national & int (sic) media” (City Press sent only a Trainee Journalist, and the Sunday Times was represented by their wine writer Neil Pendock, who in fact was one of the organisers!  There were no international media representatives).

*   “We are loving the vibe at #100women 100wines. Women from all over SA falling in love with the Mother City and our food and wine offering” (not supported by delegate Tweets)

*  “Proud partners with @NewmarkHotels, @1time_Airline & Tops at Spar of #100women100 wines. All about telling CapeTown’s food & wine stories” (no such ‘stories’ have been seen in the media!).

Pendock is known to be a good friend of Mrs McKeon-McLoughlin, and wrote about the event twice on his The Times ‘Pendock Uncorked’ blog in two days. He was the scorer at a previous round ‘judging’ event, as well as at the weekend event, at which the list of 100 wines was finalised.  He ‘shyly’ discloses in his first blogpost that he ‘advised 100 Women 100 Wines on selection of wines for the event’, vastly understating his involvement, and he makes no disclosure of his involvement in the second blogpost.  He praises  the ‘seminal’ idea of the ‘revolutionary’ competition (these two descriptions seem a gross exaggeration), alliteratingly (as he is fond to do) writing that “Mack” (whose real surname is known to him) gathered ‘ordinary women’ (not ordinary at all, from the descriptions of their careers) from ‘Pretoria, Porterville and Putsonderwater’ (maybe his creativity to alliterate town/city names with Johannesburg and Stellenbosch was limited!).  Pendock gives sponsors 1Time Airlines, V&A Hotel, Destiny magazine, and ‘Spar’ (not getting its bottle store brand correct) a punt in his blogpost, but does not mention sponsor Cape Town Tourism nor brand ‘Cape Town’ in his blogpost at all! Pendock is known as a very critical wine writer, and would have slated such a frivolous competition, had he not been involved in its organisation, especially as the wines were ‘judged’ sighted at the weekend event, his biggest criticism of Platter judging.

On Twitter only 55 Tweets were generated by 15 Twitterers over the two days, a poor tally. The ‘black diamond’ Destiny delegates from Johannesburg appear to not have embraced Twitter yet.  Newmark Hotels probably received the best benefit of the exposure on Twitter, with some Tweets praising its V&A Hotel.  The sponsors airline 1-Time, Cape Town Tourism, and Destiny, and TOPS at Spar came off worst, in receiving no acknowledgement at all from the delegates!   Only eight wines out of the 100 tasted and tested, being Graham Beck MCC, Stellenrust Timeless, Warwick The First Lady, Nederburg Riesling, JC le Roux, Miss Molly, Le Bonheur Sauvignon Blanc, and De Morgenzon Sauvignon Blanc, received Twitter mentions during the tasting. Distell  sponsored the wines for the dinner, and the Fleur du  Cap wines appeared to receive more favourable comments on Twitter than did the wines in the 100 Wines testing collection!

Nigel Cattermole, fearless wine-knowledgeable owner of Wine @ the Mill, laughed about the event, and called it patronising and a joke.  He said that most of the 100 wines in the collection were bulk mass-produced wines, being ‘mediocre to poor’.  ‘There is no providence in these wines’, he added.

The ‘100 Women 100 Wines’ competition is a farce in more ways than one: The results, in generating a ‘Top 100 best wine list for women’, will hardly be an accolade winemakers would strive to achieve, not having any credibility.  Cape Town Tourism’s involvement in the competition is questioned, given that its energy should be focused on attracting as many tourists to Cape Town as possible, a group of 100 (of which many were from Cape Town or Stellenbosch anyway) making only a negligible  impact on tourism in our city, if any at all, given that the delegates stayed at the V&A Hotel, had all their meals and drinks there, and all activities took place at the hotel, meaning that there was little spend by them in the rest of the V&A or in Cape Town. The association with the competition is a serious dent to the credibility of Cape Town Tourism, in supporting a competition that is patronising to women; is frivolous and lacking credibility in its results; was poorly marketed; benefits the Winelands more than Cape Town; does not meet its intended goal of growing ‘domestic & intl (sic) markets’; does not meet the goal of ‘building winter brand, food/wine tourism and domestic tourism’, and makes no contribution in addressing the tourism crisis in Cape Town!

POSTSCRIPT 31/8: Cape Town Tourism has sent us a comment in reaction to this blogpost, in the name of ‘Thandiwe’, with a false e-mail address thandimotse@yahoo.com, in defence of Cape Town Tourism’s sponsorship of the ‘100 Women 100 Wines’ event, using similar yet contradictory information contained in its Media blogpost and a Tweet about the event.  A Google search confirmed that the only reference to ‘Thandiwe Motse’ is from two mentions on the Cape Town Tourism website.  We have not allowed the false comment, and we are surprised that Cape Town Tourism’s PR department would stoop so low in trying to justify their involvement.

POSTSCRIPT 1/9: The latest Spill blogpost brags about the success of the ‘100 Women 100 Wines’ event, quoting all feedback it has received on Twitter and its blog, even from its co-organiser ‘Dr Neil Pendock’!  Interestingly, the blogpost refers to ‘Thandiwe Moitse’, with a different spelling of the surname compared to the way Cape Town Tourism spells it.   There are no Google entries for this business executive, on either spellings of her surname!  The Cape Town Tourism spelling in its Tweets and media blogpost is the same as the spelling in the Comments posted to this blogpost!

POSTSCRIPT 3/9: A ‘judge’ of the first stage of the event, who was given a voucher for a meal at Societi Bistro by the organisers, and who expressed her dissatisfaction on Twitter with the poor quality of the meal and the service, was called by Mrs McKeon-McLoughlin and asked to remove her Tweet, as she had promised Societi Bistro that they would receive good publicity if the restaurant donated the vouchers!

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

Telegraph Travel ‘Cape Town City Break Guide’ an improvement, but not error-free!

After writing about the disastrous error-filled and outdated Conde Nast Traveller  Guide to Cape Town earlier this week, it was refreshing to see a link on Twitter about the Telegraph Travel’s  ‘Cape Town City Break Guide’, written by local travel writer and ‘destination expert’ Pippa de Bruyn (author of a ‘Frommer’s Guide’ to South Africa and to India, and of  ‘A Hedonist’s Guide to Cape Town’), resulting in a far more accurate guide for the tourist visiting Cape Town.

The Guide kicks off with the Beauty positioning for Cape Town (the one that Cape Town Tourism has just thrown away by using ‘Inspirational’, as the new positioning for Cape Town, even though it is not unique for Cape Town and has been used by others, including Pick ‘n Pay!), in stating that “Cape Town is one of the most beautiful cities in the world”.  It is accompanied by a beautiful shot of Clifton, with the Twelve Apostles as backdrop.  The reasons for travelling to Cape Town are motivated as its ‘in-your-face beauty’; the pristine white beaches; the proximity of nature; spotting zebra and wildebeest on the slopes of Table Mountain; watching whales breaching in False Bay; being ‘halted by cavorting baboons near Cape Point’; being a contender for World Design Capital 2014 with its art galleries, ‘hip bars’, opera, and design-savvy shops; the unique marriage of Dutch-origin vegetable gardening, winemaking introduced by the French (this fact must be challenged, as it was the Dutch who established the first wine farms), Malay slaves’ spices, and English ‘Georgian mansions and Victorian terraced homes’;  its contrasts of pleasure and poverty, of ‘pounding seas and vine-carpeted valleys’, and its award-winning wines and produce offer ‘some of the best (and most affordable) fine dining in the world’.

The ‘Cape Town City Break Guide’ includes the following recommendations:

*   travel time is suggested as ‘pretty much any time of the year’, and a warning of wet Julys and Augusts now is inaccurate, given the wonderful non-winter weather experienced in Cape Town during both these months this year!

*   misleading is the claim that Cape Town offers the best land-based whale watching in the world – this positioning belongs to Hermanus, and is corrected a few pages further into the guide.   Also misleading is the claim that the best ‘summer deals’ are available in October and November – most accommodation establishments have the same rate for the whole summer, and do not drop rates at the start of summer.

*   it is up-to-date in that use of the MyCiti Bus is recommended to travel between the airport and the Civic Centre, as well as to the Waterfront.  Train travel between Cape Town and Simonstown is not recommended, due to dirty windows and lack of safety, one of the few negatives contained in the Guide.  The red City Sightseeing bus is recommended, as are bus tours, taxis, Rikkis, and car hire.

*  The ‘Local laws and etiquette’ section does not address either of these two points.  Instead, it warns against crime when walking or driving, and recommends that tourists should not ‘flash their wealth’.  Potential card-skimming in the Waterfront and at the airport is also a potential danger, travellers to Cape Town are told, not accurate, and unfair to these two Cape Town locations.

*   Tourist attractions recommended are Cape Point, driving via the Atlantic Seaboard and Chapman’s Peak; wine-tasting in Constantia; the Kirstenbosch Botanical Gardens; exploring the city centre on foot, walking from the city centre to Green Point; taking a water taxi from the Convention Centre to the Waterfront; the Footsteps to Freedom Tour; the Company Gardens; the National Gallery; summer concerts at Kirstenbosch; tanning at Clifton beaches; shopping for wines or going on a wine tour; High Tea at the Mount Nelson hotel; going on tours which allow one to meet the ‘other half’  locals;  walking through the Waterfront or taking a sunset cruise; the Two Oceans Aquarium; eating fish and chips in Kalk Bay; going up Table Mountain by foot or cable car; day trips to Cape Point, the West Coast National Park to see the spring flowers, and the Winelands (referring to Franschhoek as the now out-of-date ‘Gourmet Capital of the Cape’, by stating that ‘it is the only place where you have award-winning restaurants within walking distance of each other’, not correct either).

*   in the ‘Cape Town Hotels’ section, it states disturbingly (and information out of date) that ‘Cape Town isn’t cheap’, and therefore suggests that clients stay in Oranjezicht, Tamboerskloof, Higgovale, and Bo-Kaap  (but none of these suburbs have restaurants, something guests would like to walk to by foot from their accommodation), as well as De Waterkant, the V&A Waterfront (probably one of the most expensive accommodation areas!), and ‘Greenpoint’ (sic).  Self-catering and ‘B&b’ (sic) accommodation is recommended.  Hotels previously reviewed by The Telegraph are listed: the Mount Nelson, Ellerman House, the Cape Grace, Cascades on the Promenade, Four Rosmead, An African Villa, Rouge on Rose, Fritz Hotel, and The Backpack hostel, an interesting mix of hotels, and not all highly-rated in its reviews. No newer ‘World Cup hotels’ are recommended. 

*   For nightlife, Camps Bay’s Victoria Road, Long Street and Cape Quarter are recommended.  Vaudeville is strongly recommended, but has lost a lot of its appeal.  Other specific recommendations are Asoka on Kloof Street, Fiction DJ Bar & Lounge, Crew Bar in De Waterkant, Julep off Long Street, and the Bascule bar at the Cape Grace.  The list seems out of date, with more trendy night-time spots being popular amongst locals.

*   The Restaurant section is most disappointing, given the great accolade given to the Cape Town fine-dining scene early in the guide. Four restaurants only are recommended, and many would disagree that these are Cape Town’s best, or those that tourists should visit: The Roundhouse in Camps Bay, Willoughby & Co in the Waterfront, 95 Keerom Street, and ‘Colcaccio (sic) Camps Bay’!  A special note advises ‘gourmet diners’ to check Eat Out and Rossouw’s Restaurants  for restaurants close to one’s accommodation.  Stellenbosch restaurants Overture, Rust en Vrede and Terroir are recommended, as are Le Quartier and Ryan’s Kitchen in Franschhoek, and La Colombe in Constantia.

*   Shopping suggestions include the city centre, Green Point, Woodstock, De Waterkant, and Kloof Street, the latter street not having any particularly special shops.  The Neighbourgoods Market in the Old Biscuit Mill is recommended as the ‘best food market in the country’ (locals may disagree, with the squash of undecided shoppers, and increasingly more expensive), and may recommend the City Bowl Market instead).  Art galleries are also recommended.

While the Telegraph Travel  ‘Cape Town City Break Guide’ is a massive improvement on the Condé Nast Traveller  Cape Town guide, even this guide contains unforgivable errors, which a local writer should not be making.  One would hope that Cape Town Tourism will get the errors fixed.  We also suggest that they recommend the addition of Cape Town’s many special city centre eateries, and that the accommodation list be updated.  The exclusion of Robben Island on the attraction list is a deficiency.   The delineation between recommendations for things to do in Cape Town is blurred in some instances with recommendations in towns and villages outside Cape Town, which may confuse tourists to the Mother City.  Overall, the Guide appears superficial and touristy, and does not reveal all the special gems that Cape Town has to offer.

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

Cape Town Routes Unlimited does not spend enough on Marketing

A heavyweight delegation from the Western Cape Department of Finance, Economic Development and Tourism, members of the Board of Cape Town Routes Unlimited, and ‘stakeholders’ of the organisation attended a presentation at the Table Bay Hotel last week, to receive feedback about Cape Town Routes Unlimited’s performance in the past twelve months, and its way forward.  Attendees also received a copy of the 2009/2010 Annual Report, a detailed document of the activities of the body which states that its “core business is marketing communications”.  It is a shame that so little of the organisation’s budget is spent on beneficial marketing on behalf of the tourism industry in the Western Cape.

The problem with handing out the Annual Report is that it reveals information which is not always to the benefit of the organisation, even though its “honesty” is commendable and meets accounting procedures.  A greater part (52%) of the R 38,5 million annual budget which Cape Town Routes Unlimited received from the Western Cape province in the past year, supplemented by R 15 million from additional special project income generated, was spent on administrative expenses rather than on marketing, which is bad news for the tourism industry in the Western Cape, which has seen the worst year ever, with most provincial tourism businesses having been detrimentally affected by the World Cup, by the strong Rand, and therefore by a reduced number of bookings. 

The importance of Marketing to the organisation is highlighted by the fact that the CEO, Calvyn Gilfellan, is also the Chief Marketing Officer.   He has three Marketing Executives reporting to him:

David Frandsen: Executive Manager – International Marketing: Europe and the Americas and the Convention Bureau 

Itumeleng Pooe: Executive Manager – International and Domestic Marketing: Africa, Asia, and the Middle East

Romeo Adams: Executive Manager – Marketing and Organisational Support 

In the Annual Report, each of these executives feeds back what their performance has been relative to targets set at the beginning of the financial year.   It is a shame to see how much of their time and action was directed at meeting administrative requirements in the preparation of the Annual Report as well as the financial reporting.   Many of the targets they set themselves seemed rather low, so that it looks good on paper when many are exceeded.   I was shocked to see the declaration of salaries of the Executive Management, and how some of these have increased in the past twelve months.   Gilfellan’s annual income is listed in the financial statements at just under R1 million (up by 6,6 % on the year before).  The Marketing Executives earned between R692000 – R839000 in the past year (close to R58000 – R70000 per month), salaries which seem way above the norm, especially when the industry cannot see much benefit of the work done by Cape Town Routes Unlimited!  Even the directors are paid emoluments, some as high as R26000.

In summary, Cape Town Routes Unlimited lists as its tourism marketing achievements in the past year the following: R20 billion of tourism business generated through international trade shows; organising the ’67 minutes for Nelson Mandela’ birthday celebration; close to 400 media mentions valued at R162 million, reaching 107 million persons – these are very bold claims!; Summer Welcome campaign; regional tourism road shows; organising Tourism Month; hosting VIP delegations; a green tourism initiative; SMME Marketing Support programme; receiving bookings at its Visitor Information Centers (set up in the Waterfront in opposition to Cape Town Tourism) to the value  of R2,4 million; a Google Adword campaign; a campaign with CNN; and an e-mail campaign in the Benelux countries.   Conventions are lucrative for tourism business in the Western Cape, and for Cape Town in particular, nine conferences having been secured for the next three years, to be attended by 5650 delegates, with R55 million in economic impact.

The recent upheaval caused by provincial Minister Alan Winde’s announcement that he wants to amalgamate Cape Town Tourism and Cape Town Routes Unlimited was not addressed by the Minister when he spoke at the meeting.   Cape Town Routes Unlimited Chairman Peter Bacon was critical of the separation between the two tourism bodies in his ‘Chairperson’s Review’: “… following the City of Cape Town’s withdrawal of its financial support and decision to mandate Cape Town Tourism to market the City and provide visitor support services on the ground. This effectively gave rise to the creation of a second Destination Marketing Organisation with the resultant confusion, duplication of effort and wasteful expenditure.”   Bacon does praise the closer co-operation between the Western Cape province, the City of Cape Town (which steadfastly is supporting Cape Town Tourism for the marketing of the Mother City) and municipalities in the province.   Cape Town Tourism is not mentioned by Bacon in this context.  Bacon states that the province is working on:

*  a clear vision for the development of the tourism industry

*  a single strategy with clearly defined roles, responsibilities and deliverables.

*   business plans for Cape Town Routes Unlimited,  Cape Town Tourism and other regional tourist organisations aligned to the goals and strategy of the province,

and this will lead to a Memorandum of Agreement to be signed between the Province and the City in the next twelve months, he writes.     

In his Chief Executive Officer’s Review, Gilfellan writes: “One of our organisation’s greatest achievements during this challenging year was that it established itself as a credible and authoritative voice in tourism”, on the basis of media comments requested from the organisation.   Many will question his claim.  He states that industry challenges are the following:

*   “overcoming the effects of the worse (sic) economic crisis to hit the the industry in 60 years

*   The slow pace of transformation and diversification of the industry

*   Stunted growth in our traditional core markets of the UK, Germany, Netherlands and France

*   Limited marketing resources compromising our global competitiveness, and

*   Institutional disarray leading to the current role confusion, duplication and possible fruitless expenditure.”

Gilfellan also looks to the future in his review, and calls for “a speedy resolution to the protracted institutional calamity”, referring to the problem between his organisation and Cape Town Tourism; Events, Sports and Business Tourism will capitalise on the World Cup; new target markets like Brazil, India, China, Russia, the Middle East and Africa must be targeted; a tourism community in which business, labour, government and the communities unify around a common vision and partnership;  embracing technological advances in marketing; promoting the principle of a ‘quadruple bottom line’, encouraging the tourism industry to pay attention to social responsibility, environmental sensitivity, economic imperative, and climate change.

In providing such detail to the industry, one can request Cape Town Routes Unlimited to connect with its stakeholders more frequently than once a year at a function; to allow stakeholders to ask questions so that a dialogue can be created at such functions; to inform stakeholders about achievements as frequently as possible, so that they can help spread the word about the work of the organisation (Cape Town Tourism is excellent at this);  to address the imbalance in “employment equity” by gender, occupation and population group; to improve its market research techniques, a weakness it shares with Cape Town Tourism; to contain any duplication in its marketing activities relating to Cape Town that is already managed by Cape Town Tourism; to address the non-sensical brand “Cape Town & Western Cape”;  and to speak to tourism leaders about how it can more effectively direct its marketing budget to the benefit of the industry, being Events, Events and more Events in the seasonal winter months. 

I am very impressed with Minister Winde, and how approachable he is – he has no airs and graces, picks up a phone to make a call to a tourism player with an opinion, is embracing social media with a Twitter account (@AlanWinde), and reads and comments on blogs related to tourism.  As an outcome to the presentation, hearing stakeholders reinforce how poor business is, he promised to set up a meeting to address the poor bookings issue, especially given the feedback from World Travel Market held in London last week that our country has priced itself out of the market.

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