He spoke of the need to enhance tourism’s job creation potential as part of his New Growth Path framework.

“We aim to increase the number of foreign tourist arrivals to South Africa from seven million in 2009 to 15 million by 2020,” the president said. “We plan to increase tourism’s total contribution to the economy from R189 billion in 2009 to R499bn by 2020.”

There is little doubt of the sector’s impact on the economy. In 1994, tourism’s contribution to the country’s gross domestic product was just less than 5%; in 2010, that figure rose to 7.7%.

The government believes tourism is well positioned to address unemployment, specifically as far as small, medium and micro enterprises (SMMEs) are concerned.

Some of the strategies President Zuma has outlined include strengthening our existing markets while exploring emerging economies, as well as growing the number of international conferences and sporting events that the country hosts.

The government will look into flexible visa requirements, improving landing slots at foreign airports, and improving tourism infrastructure.

Recovering from the World Cup hangover

According to industry commentators, however, achieving these ambitious targets will not be easy.

“The Fifa World Cup 2010 gave us a timely shot in the arm”, says Benjamin Memani, human resources director for the Protea Hospitality Group, “but in the absence of another major event, it is difficult to foresee any real growth in job creation with the impact of the global recession still upon us.”

Hoteliers are indeed facing tough times, which makes it difficult for them to foresee any growth in tourism, at least in the short term.

“The growth in tourism is currently static,” says Dirk Elzinga, chairperson of the Cape Board of the Federated Hospitality Association of Southern Africa. “Our traditional markets in western Europe and the USA are experiencing an economic crisis, while the domestic economy is flat.

“We need our national tourism agencies to market South Africa as a destination more aggressively to new markets, specifically the BRIC countries (Brazil, Russia, India and China), Africa and the Middle East.”

He is adamant that more needs to be done to make life easier for SMMEs, as this is where the real potential for job creation lies: “If a small business goes from employing three people one year to six the next, that’s an increase of 100%. The same growth is simply not possible for a large hotel chain.”

Elzinga points to the complex rezoning procedures that many city councils require of guest houses that want to expand their establishments.

He is wary of amendments to the current labour legislation, which may do away with labour brokers. “This will make it more difficult for the hospitality industry to use casual workers which, if you’re a catering company, for instance, is a big disadvantage,” he warns. “You may not have enough work to employ someone on a full-time basis.”

Countering the perception that the country is an expensive destination is another challenge.

“South Africa is a long-haul destination and is therefore not cheap,” says Elzinga. “More competition is needed within the airline industry to challenge SAA’s [South African Airways’] monopoly, and open up the skies.”

This sentiment is echoed by Katja Quasdorf, marketing manager for Jenman African Safaris. She says we need to be mindful of the fact that we are competing with other destinations for tourists.

“South Africa is an expensive destination, specifically when it comes to airfare costs,” she says. “We have to wake up and realise that just because tourists have dollars, euros or pounds, it doesn’t mean that they are able to splash out, especially if other destinations offer more affordable packages and experiences than we do.”

A winning formula

When it comes to bolstering tourism, industry players agree that a range of different strategies should be employed. These include better training for employees, focusing more on domestic and business travellers, and enhancing the green credentials of establishments.

Michael Holenstein, managing director of De Hoek Country House, believes students studying hotel management should be required to do more in-service training.

“The Swiss have a very good apprenticeship system, which is a public–private partnership,” he says. “Most hotels and restaurants are accredited to offer two- or three-year apprenticeships in all fields of the tourism industry. In this way, waiters, chefs, receptionists and housekeepers can all become professionals in their respective fields with a sought-after qualification.”

Tourism operators should harness the potential of the domestic market, according to Annie-Claude Bergonzoli, director of Relais & Châteaux, Southern and East Africa & Indian Ocean Islands.

“There are so many great opportunities for locals to experience within our region,” she says. “South Africa is not only for international visitors – this is a perception that must be changed.”

Elzinga points to the considerable impact of the burgeoning black middle class: “There are a growing number of people in South Africa who are now able to afford going on holiday – some for the first time in their lives. Even if this figure is growing by 1% a year, it is still significant.”

One sector that has huge potential is event and business tourism. Skye Grove, public relations manager for Cape Town Tourism, believes that tourism agencies should be realigning their strategy to make the most of this.

“We are currently focused on growing Cape Town’s events and business tourism industry in order to counteract the city’s seasonal travel nature,” she comments. “There is also more sustainability in these sectors, as corporates are generally less affected by financial restrictions and risks than individual travellers.”

Grove highlights the importance of eco-friendly tourism practices, as travellers become more discerning and move from mindless consumption to mindful consumption. She is confident South Africa will be able to adapt to take advantage of this trend.

“Travel is changing – travellers are increasingly aware of their carbon footprint; they require cultural experiences where they are able to genuinely connect with locals and have a multidimensional experience, whether travelling for work or for play. If we manage to get it right, then there will be great entrepreneurial and job creation potential.”

Katherine Graham