Tag Archives: Overberg

‘Cape of Good Business’ is ‘cool’ in winter too!

Three directors of Cape Town Tourism and heads of important Cape Town business tourism businesses have joined forces to make a plea for how “cool” Cape Town is in the winter months, a period typically plagued by seasonality, with far reduced accommodation bookings, which has an impact on all sectors of the tourism industry. 

In an article in the Cape Times last week, Guy Lundy of Accelerate, Ian Bartes of Cape Town International airport, and Rashid Toefy of the Cape Town International Convention Centre wrote that of all South African cities, Cape Town is unique in its seasonality, which “makes it hard for the hospitality industry to be sustainable”.   They add: “With 18  five-star hotels now operating in the city, we must find ways to increase visitor numbers during winter.”  The tourism leaders says it is not a surprise that Cape Town sees so many restaurants opening and then closing, in that they build restaurants to meet capacity support in summer, but cannot see this through in the winter months when business falls away.  They also state that the number of passenger arrivals in April and May is half of that in December and January.

They blame this on the positioning and marketing of Cape Town as mainly a leisure destination, which “always seem to feature the Waterfront, Clifton and the Winelands on their covers”, with not enough promotion of the city as an investment and business destination.   Conference facilities, factories and office blocks do not feature in the city’s marketing collateral.   They call for more direct international flights to Cape Town, and more flights between the city and other African cities, to make Cape Town a world business destination, and a global African city, given that it already has a world class airport, good hotels, excellent infrastructure, ‘some of the finest restaurants’, natural beauty, entertainment, world-class technology, sophisticated business networks, and a favourable time zone for doing business with the UK, Europe, the Middle East and Africa. 

To make Cape Town a global business destination, it needs to be considered for meetings, incentives, conferences and exhibitions (the M.I.C.E. market).    The Convention Centre is ranked 34th in the world in size of business, and it plans to double its capacity to reach its goal of making the top ten list.    Winter is an ideal time for conferences, the writers say, in that most activities take place indoors.   Whilst conference delegates spend less time in a city on average, their average spend is higher than that of a leisure tourist.   The writers also state that the businesses of the Western Cape, e.g. food and wine, oil and gas, boat-building and ship repair, design, film, technology, renewable energy, asset management, business process outsourcing and medical research should expose their businesses to overseas markets via exhibitions and conferences, to attract business travellers to Cape Town and the rest of the Western Cape, including Winelands, West Coast and Overberg towns.

The World Cup demonstrated what a good winter weather city Cape Town can be, with rain on only three of the match days, and snowfalls on the mountains for a short while during the soccer tournament month.  The soccer fans were not put off by the rain and cold, and their ‘gees’ was not dampened in any way.   This leads to a renewed call for the ‘green season’ to be marketed in the winter months.  The cooler Cape weather is attractive to visitors from the Middle East, and the Asian countries, who have to endure hot and humid weather at that time.  The writers also suggest a winter sale, which reduces accommodation, restaurants, and clothing, as is done in Paris, Singapore and New York.   The writers seem unaware that the small accommodation industry has been leading the tourism sector for years, in reducing its rates by as much as half in winter.  This year the restaurants in Cape Town and the Winelands also came to the party, and offered good winter specials, some even extending these into current summer specials.

We support the writers’ call for more events to be hosted to attract visitors, but it is sad to read that the City of Cape Town does not have enough funding to support big events (there is activity by Cape Town Routes Unlimited in marketing a small number of approved events, all hosted in summer months).  

If Cape Town had no seasonality, airlines would fly into the city all year round, and would bring travellers, making tourism business more viable and reducing unemployment.   It is for this reason that the business tourism leaders ask that the tourism industry get on board the Cape of Good Business!  

It is interesting that the three writers are Board members of Cape Town Tourism, which focuses almost exclusively on leisure tourism, while the business tourism business that they are pleading for is in the domain of Cape Town Routes Unlimited, on which Board only ACSA is represented, and on which the three tourism leaders may have been able to make a greater contribution than at Cape Town Tourism.

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

Cape festive season tourism numbers down

The festive season saw fewer holiday makers in the Cape, they stayed for a shorter period, and they spent less during their stay, say the tourism authorities, reports Fin24.   According to the Cape Argus, international tourism numbers dropped by 6 %, compared to 2008, due to the recession and due to the stronger Rand, offering lesser value for money.

According to Cape Town Routes Unlimited CEO Calvyn Gilfillan the Garden Route was quieter, speculating that this was due to the water shortage in the area.   The bookings however were slow compared to previous years, long before the water crisis became a reality.   The Overberg (especially Hermanus) and the Cape Town city centre were quieter, while the Boland reported similar tourism numbers as last year.   The West Coast had improved visitor numbers, being a more affordable destination.

Tourists were looking for affordability, says Cape Town Tourism, and that is why 5-star hotels struggled financially as guests traded down to lower star accommodation or even to self-catering accommodation.   Fedhasa Cape reports that occupancy in 5 star hotels reduced by 10 – 20 % compared to last year, over the festive period, while 3 and 4 star hotels “did better”.

The lower number of visitors from Johannesburg was evident in Cape Town and especially Plettenberg Bay.  It is said that the Johannesburgers stayed home this festive season, to save money in order to renovate their homes, which they want to rent out for the FIFA World Cup, at which time they want to leave the country.  Even the Table Mountain Aerial Cableway Company had mainly Capetonians as visitors.

At Whale Cottage Camps Bay bookings are starting to look good from 28 January onwards, the start of the weekend on which the J & B Met takes place, and almost all of February is booked out already.  The Argus Cycle Tour in March is also good for business.

Upmarket restaurants have been reported to have also felt the pinch over the festive season, and many did not manage to fill their expensive tables for New Year’s eve, with prices as high as R 2 000 per person.

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