Tag Archives: Nils Flaatten

SA is not projecting the right image, affects business, says Western Cape Tourism Minister Alan Winde!

On the day that Finance Minister Pravin Gordhan presented South Africa’s mid-term budget in Parliament, and announced that SARS revenue collected is R5 billion less, and is unlikely to grow next year, Minister Alan Winde closed the Wesgro AGM with refreshing honesty, and said that the Finance Minister’s speech meant that provinces would receive the same allocation as the current financial year, meaning a lower buying power next year due to cost increases.  He also said that currently South Africa is lacking leadership, and is not projecting the right image to the outside world, given the strike of the SA Transport and Allied Worker’s Union, the Marikana massacre, and the capsizing of the Miroshga off Hout Bay.

Minister Winde’s sombre closure of the AGM reflecting the tough trading conditions which the Western Cape businesses can expect for the next two years, and which have already affected Wesgro’s performance in not meeting its top targets of Investment.  The Trade, Investment and (new) Tourism promotion body celebrated its 30th anniversary this year, and probably presented negative figures for the first time in many years.  It has an interesting method of setting targets, at a high and a low band.  In most measurements presented, Wesgro exceeded the ‘low road’, but did not meet the ‘high road’ budgets in its Investment and Trade Promotion divisions.  Wesgro Chairman Benjamin Kodisang started off the proceedings by also adding his negative view of the world, expressing that he is ‘a concerned man, who has never found the world in the situation it is in now, economically, socially, and politically’.  He challenged business persons in the Cape to ‘stand up, and be counted’, and to show leadership, as contained in Wesgro’s Vision of leading ‘the creation and promotion of a compelling global destination for investment, trade and destination marketing for the benefit of all people in the Western Cape’. Good news is that the Western Cape economic growth has outshone that of the national economy for the eleventh year running, with a growth rate of 3,1 % currently, driven largely by a 7% growth in exports, mainly of fruit.  Over a third of exports go to Asia, and one-quarter to Europe (of which one-fifth is wine).  R1,24 billion in Investment was attracted to the province in the past year, it was reported.  More than 1000 jobs were created in the same period.  The dominant export markets for the Western Cape remain the UK, France and Germany, but the West Africa Trade Corridor is gaining importance, in particular Nigeria, Angola, Cameroon, and Côte d’Ivoire.  Angola has taken over from Mozambique as the province’s largest trade partner in Africa, said Nils Flaatten, Wesgro CEO.  Brazil, India and China, all BRICS countries, are important for partnerships to promote the economy of the Western Cape.  The United Nations Procurement Programme, incorporating our province as one of only three developing areas, is a bonus for the Western Cape.

In April Wesgro incorporated Cape Town Routes Unlimited, which no longer operates by that name, but which still has a Board in place until the Western Cape Tourism Act of 2004 has been repealed, likely to be in April 2013. The Wesgro Act is being amended too, to allow the organisation to adopt the role of tourism promotion too.  Deon Cloete, Chairman of the Cape Town Routes Unlimited Board, also painted a picture of a tough economy and the effect of the incorporation of the organisation into Wesgro, the contribution of conferences to the Western Cape economy having been R254 million instead of the projected R360 million, even though the number of conferences grew.  The 1,4 million tourist arrivals means an 8% decline, while spend by foreign tourists had declined by 16% to R18 billion, he said.  The province sold 26% of the national bednights, and the average spend per day on a trip was R1420.   Cloete warned of a ‘tough year’ ahead, despite the country’s most popular tourism destination, the V&A Waterfront, being in the Cape and having achieved 22 million visitors.  Minister Winde highlighted that 600 conferences and events had been held in the Western Cape in the past year.

Flaatten said that the vision going forward is to cross-sell the Western Cape in a three-prong Trade, Investment and Destination Marketing approach.

Embarrassing is the glowing write up in the Wesgro 2011-2012 Annual Report of Cape Town Tourism CEO and Wesgro Board member Mariette du Toit-Helmbold: ‘Under her  leadership Cape Town Tourism has won critical acclaim as a Visitor Services and Destination Marketing Organisation doing sterling work at the coal face of one of the country’s fastest growing industries’. The City of Cape Town clearly does not agree, having taken the responsibility of Destination Marketing away from Cape Town Tourism, announced at the Cape Town Tourism AGM just a week ago!

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

Is SAA heading for a crash-landing? Disaster for Tourism!

SAA has been in the news in the past few days for all the wrong reasons, eight of its eleven Board members having resigned in what must signal the lack of confidence in the management of the airline and its future.  As our tourism industry is strongly reliant on SAA to bring tourists to the country, and to Cape Town specifically, the SAA situation is of vital importance to all tourism players.

Cheryl Carolus, Chairman of the SAA Board, is one of the Directors who resigned, with Bonang Mohale, Russell Loubser, Louis Rabbets, Jabulani Ndhlovu, David Lewis, Teddy Daka, and Maggie Whitehouse, but she has not motivated her decision.  Russell Loubser has been vocal, saying that SAA, SA Express, and Mango deserve the support of the South African government, being its largest shareholder, but that they are not receiving it, reported The Citizen. Loubser called for emotional, financial, and moral support, given the economic downturn and the competitive airline industry. The operations of the company have had to be executed in accordance with the Public Finance Management Act, he said, which meant that they could not run the company as a commercial enterprise, in which they would ordinarily hire and fire staff, or change routes. ‘But a company like SAA which is totally dependent on the government requires in return the total support of the shareholder. And right now it is finding it difficult to work with the shareholder’.  Issues that have been tabled for months do not get resolved, Loubser explained, particularly the burning issue of an additional R6 billion which the airline requested from the government to execute a strategic plan which had been approved by the government. He said that in the past three years since he had been a member of the SAA Board, the company had ‘never been properly capitalised’.

The resignations were precipitated by the delay in the tabling of SAA’s Annual Report by the deadline of 30 September, as the auditors had not finalised the financial statements, and the funding request not having been finalised with the Treasury, reported The Times. The funding requested is to cover fleet replacement costs, the introduction of a premium economy class, and the extension of business class cabins on long-haul flights. Yet Ms Carolus stated that the Minister is ‘lying’, as the financial statements have been completed, and withholding them is ‘illegal’, reflecting on the Board directors, reported The Times today. The Annual Report for SA Express was also delayed.  Last year the financial statements for SA Express had to be withdrawn, when found to be ‘materially misstated’. Last month the Minister fired all except one Board member of SA Express, for accounting errors going back to 2008!

Earlier last week Ms Carolus had summarised the Board’s achievements as flying to new destinations, sacrificing domestic routes to the benefit of international routes, modernising and increasing the fleet, and in addressing fraud and corruption.

Minister of Public Enterprises Malusi Gigaba appointed eight new directors to caretake the Board positions, with Vuyisile Kona as the new Chairman, and Andile Mabizela, Andile Khumalo, Bonisizwe Mpondo, Dr Rajesh Naithani, Carol Roskruge, Raisibe Lepule, and Nonhlanhla Kubeka as the new Directors, representing expertise in the fields of aviation, management, state governance, and finance, and which he said would assist the government in ‘propelling the airline to greater heights‘!  The Minister issued a statement, describing the resignation timing as ‘bizarre’, and condemned ‘the leakage of confidential government information’ as an ‘abuse of free speech’, without explaining what information leak he is referring to.  The Minister also explained that the term of most Board members would have come to an end anyway, at the scheduled AGM on 15 October.  The Minister assured staff, passengers, and suppliers that the Board resignations would not disrupt the operations of SAA.

Cape Town’s tourism industry was badly hit by SAA’s decision to close down its Cape Town – London direct flight route in mid-August, selling one of its three slots at Heathrow, and creating a Southern African hub in Johannesburg, forcing all international SAA flights to land in Johannesburg, and then connect to Cape Town on a domestic flight.  This strategy is proving fatal for tourism, as we continuously receive feedback that international flights arriving simultaneously at OR Thambo airport are causing Passport Control and Baggage Collection congestion, meaning that the connecting flights are missed by international visitors, for which SAA tries to cash in on ticket change charges!  This is a dreadful first tourist impression of our country!

The declining quality of SAA’s food and beverage service and poor hostess service was well-documented by German wine writer Mario Scheuermann, who flew from Frankfurt to Johannesburg, to attend CapeWine 2012 in Cape Town last week.  He wrote that the wines were of sub-standard quality, and ran out two hours after take-off, that the food was dreadful (his photograph), and that the mineral water had run out before landing in Johannesburg.  The party of German VIP visitors missed its connecting flights due to the congested airport facilities, and had to wait for three hours to catch a new connecting flight to Cape Town!

Despite this sounding unpatriotic, we would encourage international visitors to fly to Cape Town with any airline other than SAA, and to avoid flying into the country via Johannesburg at all costs!  Direct Cape Town connections are or about to be offered by BA and Virgin from London, by Edelweiss from Zürich, by Lufthansa from Munich, by Emirates from Dubai, by Air France from Paris, by Turkish Airlines from Istanbul, and from Amsterdam by KLM.  Maybe  the cancellation of SAA’s Cape Town-London route is a blessing in disguise for our city, given the poor reports about the airline’s service and quality!

POSTSCRIPT 2/10: Swedish guests checking in at Whale Cottage Camps Bay today praised the ease of connection via Swiss from Copenhagen to Zürich, and then the direct flight by Edelweiss to Cape Town, for its friendly service and fantastic price of R 5500 each for the full return trip.

POSTSCRIPT 2/10: Today it was announced that the government has given SAA a ‘guarantee’ of R5 billion!

POSTSCRIPT 2/10: Southern African Tourism Update has published a letter today from a tour operator reporting on two client flight cancellations due to overbooking, handled unsympathetically by SAA staff.

POSTSCRIPT 3/10: Mario Scheuermann has shared the details of his return journey on SAA two days ago.  The food quality was slightly better, there was more wine available but the quality offered still was poor.  There was a problem with the cooling, so all beverages were warm, i.e. not cooled!  The service was equally poor.  Interesting would be to hear the evaluation of the food and wine offering by the SA Culinary Olympics team, which was on the same flight to Frankfurt!

POSTSCRIPT 7/10: The Times reports that the smaller independent airlines are furious that SAA has been given a R 5 billion lifeline by the government, saying that this is driving low-cost airlines out of business. Nine out of 11 airlines that started operating locally in the past 20 years have gone into liquidation, mainly due to an oversupply of domestic seats, ‘a legacy of the optimism of 2010’. Now 1time wants a bail-out by the government too.  The small airlines are asking for a cut in the fuel levy, as well as reduced fees for ACSA, Air Traffic Navigation Services, the SA Weather Service, and the Civil Aviation Authority.

POSTSCRIPT 10/10: Southern African Tourism Update reports this evening that the new Chairman of the SAA Board is questioning why the Cape Town – London route was cancelled, and is apparently in talks with the Mayor of Cape Town Patricia de Lille to reinstate the route.  One wonders why he is not talking to our Western Cape Minister of Tourism Alan Winde, the CEO of Wesgro Nils Flaatten, and/or Cape Town Tourism CEO Mariette du Toit-Helmbold!  One of the three SAA slots at Heathrow have been sold, which may make the reinstatement difficult.

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

Tourism is ‘bread and butter’ of Western Cape, says Minister Alan Winde!

The tourism industry in the Western Cape makes up 10 % of the R 450 billion Western Cape economy, says Western Cape Minister of Finance, Economic Development, and Tourism Alan Winde, and thus forms the ‘bread and butter’ of the province.  A large part of the industry consists of small businesses, that need to be ‘professionalised’ to run their businesses as businesses.  The Minister shared that a massive sporting event with tourism benefit is to take place in May next year.

A spontaneous request to have a coffee with Minister Winde, who is known to not stand on ceremony, is friendly and approachable, allows one to call him by his first name, is good on Twitter and offers his contact details if he can assist in a matter, led to an invitation from his office to meet with him in his provincial office in Wale Street.  From the guest list I had to sign, I saw that I was one of three industry operators meeting with the Minister on Monday afternoon, a reflection of his open door policy. The reception room is part office, but felt very homely, like someone’s lounge, and the staff is exceptionally friendly, head of the office Tammy Evans, spokesperson Phumzile Van Damme, and PA Lucille Fester coming to introduce themselves.

The Minister’s office is spacious, with a leather couch, upholstered chairs, and paintings of District Six. It feels friendly and welcoming.  Minister Winde explained his approach to his position is as he would run his business, being responsive, approachable, and accessible, not like politicians that are corrupt, hide in their ivory towers, and don’t care about their electorate, he said.

We talked a lot about Wesgro, and it was a relief to hear that a head of tourism will be appointed, and key tourism positions will be filled due to contract positions not having been renewed when Cape Town Routes Unlimited was closed down and merged into Wesgro on 1 April. The Minister is proud of his plan to place the tourism promotion agency inside Wesgro, as he believes that ‘tourism is business’, and used agriculture as an example of also being included in Wesgro’s trade and investment activities.

We discussed seasonality, not only in tourism, but also in business generally in the Western Cape, and how tourism has a ripple effect on all businesses, every Western Cape business being in the tourism business, even though they may not offer accommodation nor are they restaurants.  Excellent news is that Premier Helen Zille signed off support for a massive 12 km marathon to be held in the province, attracting 50000 runners next May, and to be organised by Elana Meyer.  We shared with the Minister that the Camps Bay Business Forum is looking to attract businesses to the prime beachfront suburb in the winter months, and is planning to host two special events, in May and in September next year.

An interesting concept is that ‘Cape Town is a second city to Johannesburg’, the Minister said, as Melbourne is to Sydney, and Rio de Janeiro is to Sao Paulo in Brazil.  It will always be a beach and holiday city predominantly, yet needs businesses to support and grow the local economy. He mentioned the shocking statistic that only 3% of Cape Town’s income is business related, the rest coming from tourism. ‘Cape Town is a great place in which to do business’, he said, and he is encouraging the growth in conventions, attended by businesspersons. He is proud of the growing multinational call centre industry in Cape Town (e.g. Lufthansa), and it is the home of the oil and gas industry. He mentioned with pride that DHL has set up its Africa head office in Cape Town, while Steinhoff International has opened offices in Stellenbosch. If we had more business in the Western Cape, more businesspersons would fly first and business class, and therefore the Cape Town – London route would be more profitable for SAA, and its axing in two weeks time could have been prevented.  The Minister has challenged Wesgro CEO Nils Flaatten to come up with a plan to fill the Lufthansa flights between Cape Town and Munich (the change takes place in October due to Lufthansa not being allowed to land late at night at Frankfurt airport due to noise restrictions), to ensure that flights are as full as possible, and that Lufthansa retains the Cape Town – Munich route for more than the year that it has committed to.  The Minister would even like to see international tourists use Munich as a hub instead of London, so that they can fly directly into Cape Town, so avoiding having to fly via Johannesburg, even if they are coming from the USA, other European destinations, or Eastern Europe.

Africa is an important continent for business, as it has six of the top ten fastest growing world economies, and hence Wesgro is focusing its energy on the BRICS countries as well as Africa. He dislikes the use of the term ‘Gateway’ to describe Cape Town’s geographic role relative to other African countries, the Minister said, because of its link to ‘gate’, and would rather that the terms ‘platform‘ or ‘springboard’ be used in this context.

The local tourism industry is divided into two extremes, one part being large hotels and tour operators, with organised industry representation, and the other part consisting of many small ‘mom and pop’ tourism business owners, such as B&Bs and tour companies, and not represented at industry level.  The latter need to be ‘professionalised’, the Minister said.  They need skills training in how to run their businesses, how to do marketing, and how to reinvent their businesses. He mentioned a number of examples, such as the parking area blocking the restaurants from the kite-surfing beach in Saldanha Bay, and the Knysna forest having an old-world feel of 30 years ago with little tourist appeal, no operators having seen the business potential in the forest, such as offering yoga and retreats, picnics, unique weddings, and more. One of the Minister’s favourite examples is the West Coast Fossil Park outside Langebaan, which has world-class historical fossils of whales, walruses, sabre tooth tigers, and more, and is highly sophisticated scientifically, but is not from a visitor and tourism perspective. This is set to change, with the R30 million they have received from the Lotto, and the province is also contributing, to create a tourism route.

The Minister is very excited about the idea which he has for an Events app, which will request information of one’s favourite activities (e.g. winetasting), and will communicate with the user in providing information of all wine-related events to be held over the year, to allow the user to book for such events well in advance.  A ‘hackathon’ of tech geeks is to be briefed by the Minister in September, to develop the app within two to three hours.

We ended off our chat about the False Bay Coastal Route, and the allegation levied by the previous Tourism Minister Lynne Brown, of the ANC, of Minister Winde ‘stealing‘ her plans. The Minister has seen no need to respond, given that the plans belong to the Western Cape, and not to a political party. The plan is to develop ‘recreation space’ along the False Bay coastline, to encourage locals and tourists to spend time on the beach, coming for walks, buying something to eat or drink from an informal trader, playing soccer and volleyball, or camping along the beach at new campsites.  It will include the Zeekoevlei eco-park, and the upgrade of Monwabisi, including the provision of security, funded by the Ministry with assistance from the City of Cape Town and the National Tourism department as seed money, to act as a catalyst to attract developers to the area.

The Minister impresses with his hands-on approach to promoting tourism, and having run businesses in tourism town Knysna, he has practical experience of what small businesses need from his department.  The Western Cape is blessed with its dynamic Premier Helen Zille and its savvy Finance, Economic Development and Tourism Minister Alan Winde.

POSTSCRIPT 5/8: Minister Alan Winde announced on 2 August that in the last three years, the Western Cape has attracted 80 international investment projects, to the value of R30 billion, and creating close to 7000 jobs. The projects have come from the United Kingdom, the USA, France, Germany, and The Netherlands, and include companies such as Amazon, IBM, Harley Davidson, ColorMatrix, and Altech setting up in the Western Cape.

POSTSCRIPT 5/8: The ‘multimillion Rand‘ upgrade of Zeekoeivlei to provide braai areas, eco-friendly toilets, and a massive lawn similar to that at Kirstenbosch, has created 100 jobs, and is aimed at enhancing the area’s attractiveness as a tourist destination, reports the Cape Argus. The national Department of Tourism contributed R25 million, and the Western Cape government R1 million, for the upgrade.  The Rondevlei, which borders Zeekoeivlei, has hippos, the only reserve in Cape Town.  The park attracts 130000 visitors annually, and this number is set to increase.

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

Wesgro’s marketing of Western Cape: around the world in 80 days already!

After having met Wesgro CEO Nils Flaatten two months ago, a week after he had taken over the responsibility for marketing the Western Cape from Cape Town Routes Unlimited, which organisation was incorporated into the trade and investment promotion agency on 2 April this year, we requested feedback about the progress made in marketing the region. Mr Flaatten had asked the industry to give him a month to get the organisational integration completed. An e-mail request for feedback on the marketing progress earlier this month led to an invitation by Mr Flaatten to meet with him on Tuesday.

The most exciting news for the local tourism industry, and Mr Flaatten’s first major challenge, is the 5 July meeting called with SAA’s General Manager Theuns Potgieter by Wesgro with 15 players in the Western Cape, including local and city government, an Eastern Cape tourism marketing body representative, and larger tourism companies, to discuss SAA’s decision to cut its Cape Town-London route as of 15 August. The airline will be asked to motivate its decision in culling the route.  Joint destination marketing between the Western Cape and SAA in bringing in tourists from destinations such as Beijing, Sao Paulo, Mumbai, Melbourne, various African destinations, and Buenos Aires will be discussed too.   Subsequent meetings will be held with the airlines which will continue to serve the Cape Town-London route, including BA, Virgin, and Emirates, to discuss bringing in more flights to Cape Town.

The parking organisation was perfect, and Mr Flaatten chose for us to go to Doppio Zero on St George’s Mall for the meeting.  He had copies of the slides which he used for his recent presentation at FEDHASA Cape’s AGM, which I had requested via his secretary, but the wait was worthwhile, as Mr Flaatten was able to explain his points in greater detail.  Mr Flaatten is a very precise person, and he referred repeatedly and proudly to the progress that he and his new team have made in the ‘two months and 19 days’ since their integration. In the past 80 days Wesgro has undertaken the following Marketing activities:

*   Mr Flaatten and Solly Fourie, Head of the Western Cape Department of Economic Development and Tourism, accompanied an (unnamed) Chairman of a JSE-listed hotel company to Buenos Aires, to meet six outbound tour operators. Mr Flaatten praised their product knowledge of the Western Cape. He said that the withdrawal of the Cape Town-Buenos Aires Air Malaysia route is a serious blow to tourism from Argentina. His journey from Cape Town to Buenos Aires via Johannesburg took 24 hours, previously a direct flight of 7 hours flying west.

*   Bjorn Hufkie from Wesgro’s Conventions Bureau accompanied the (unnamed) Managing Director of a JSE-listed hotel company to Saudi Arabia and Kuwait

*    Participated in exhibitions: Arabian Travel Market in Dubai, IMEX 2012 in Frankfurt (incentive travel, meetings and events); and Indaba in Durban. Mr Flaatten said that all six the RTOs were represented on the Western Cape stand, and that they will ‘raise the bar’ for 2013.

*   Debbie Damant has been part of SA Tourism’s marketing mission to China and Japan

*   Met with Cape Town Tourism, the largest RTO (regional tourism organisation) of the six in the Western Cape, asking some ‘tough questions’ of them

*   Met with Eden RTO, and some of its LTO’s (local tourism bureaus)

*   Met with SAA at Indaba (prior to SAA’s bombshell announcement about the Cape Town-London route)

*   The Western Cape Tourism Barometer for the fourth quarter of 2011 was released.

*   The Wesgro website has been updated, incorporating its new additional Destination Marketing role, clicking through to the tourism information previously on the Cape Town Routes Unlimited website

*  One of the greatest achievements is the detailed listing of over 100 events in the province in the next six months, with detailed information about each event

*   Organisationally, the activities and marketing focus of the six RTOs (Cape Town, West Coast, Eden, Cape Winelands, Central Karoo, and Overberg), and its tourism bureaus within the municipalities within the RTOs have been captured, within a Customer Relationship Management program.  An intensive Facebook campaign to interlink and like the LTOs and RTOs is underway.

Looking ahead for the next 10 months the focus will be to deliver on the Annual Performance Plan in respect of destination marketing; create operational efficiency, effectiveness and cost savings, which savings will go into the Events budget, Mr Flaatten said; fill staff vacancies; strengthening relationships with the RTO’s and LTO’s, international airlines operating from Cape Town International, tourism trade bodies, SA Tourism, and other national tourism bodies; ‘impactful marketing and advertising of the destination’, website integration and marketing strikes in respect of tour operators, to keep up the ‘share of mind’; aggressively market the Conventions Bureau, pushing conferences into the provincial towns and villages too; stimulate Events and fund smaller events; and SMME development.   Wesgro is pitching to host SIAL Cape Town, which would become a fantastic new food event creating a ‘Global Food Marketplace’, already held in Paris and China, and is planned to be hosted in our winter months, to address Seasonality.  The Western Cape Tourism Marketing Plan is expected to be ready by September.  Inter-provincial travel within the Western Cape will be an important focus.  Mr Flaatten was requested to provide feedback on what Wesgro is doing for the tourism industry as frequently as possible, all media communication to ourselves having been terminated since Wesgro took over.  We fed back that the Tourism Bureaus are not passing on Wesgro’s information to its members, which seemed to surprise him.

Mr Flaatten provided a copy of the latest Tourism Barometer, surprisingly signed off by Calvyn Gilfellan, former CEO of the ex-Cape Town Routes Unlimited. In the last quarter of last year 216000 international tourists arrived in Cape Town, a welcome increase of 15% over the same period a year before.  Domestic arrival growth was far lower in the same period, at 4%, with just under 1 million visitors.  A large part of the report contains statistics of visitor numbers to the province’s key tourism attractions, and to the RTO’s local tourism bureaus, a very unreliable tourism barometer, given that fewer visitors require the information or booking services of tourism bureaus, doing most of their bookings at home via the internet before their departure.

Organisationally, the integration between the ex-Cape Town Routes Unlimited staff is complete, section 197 of the Labour Relations Act having been followed, in that all staff (also the Wesgro staff) were offered staff benefits at the higher level of those offered by Wesgro and Cape Town Routes Unlimited, so that all Wesgro staff now receive the same benefits.  A Memorandum of Understanding, a Memorandum of Agreement, and a budget have been signed by the Joint Working Committee guiding the integration. The Annual Performance Plan of Cape Town Routes Unlimited has been transferred to Wesgro.   For the financial year April 2012/March 2013, Wesgro now has a total budget of just more than R51 million, 45% being for Cape Town Routes Unlimited funding.  All ex-Cape Town Routes Unlimited staff now have Wesgro contracts, e-mail addresses, and business cards.  Staff have been grouped by functionality and accommodated on the 7th and 12th floors of the Waldorf building.  Provincial Tourism Minister Alan Winde’s department is working on repealing the Tourism Act of 2004, which will close down the Board of the ex-Cape Town Routes Unlimited, which currently has to remain operative as long as the current Act is in place.

Wesgro needs to start from the beginning in gaining the confidence of its Western Cape tourism constituency, which had little faith in its predecessor Cape Town Routes Unlimited. The outcome of the 5 July SAA meeting will be a crucial test of its negotiating skills. In addition, it will be judged on its ability to communicate with the tourism industry on a regular basis, via traditional media channels as well as Social Media marketing.

Wesgro, Waldorf Arcade, 80 St George’s Mall, Cape Town.  Tel (021) 487-8600. www.wesgro.co.za Twitter: @Wesgro

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