BUSINESS TOURISM STRATEGY 19 AUGUST 2009 PRESENTED BY GAO SELEKA

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1 BUSINESS TOURISM STRATEGY 19 AUGUST 2009 PRESENTED BY GAO SELEKA

2 CONTENTS Vision and Division Strategic Objectives Business Tourism Unit Functions Business Tourism Objectives Background Facts and Figures Strategic and Annual Performance Plan Target Markets Interventions and Cost

3 MPUMALANGA TOURISM & PARKS AGENCY OVERVIEW MTPA VISION Mpumalanga, your world class tourism destination DESTINATION MARKETING STRATEGIC OBJECTIVES To ensure a sound tourism and bio-diversity conservation strategic framework To ensure a sound stakeholder network To ensure sound service delivery To ensure internal business excellence within the MTPA

4 MPUMALANGA TOURISM & PARKS AGENCY OVERVIEW CONT... BUSINESS TOURISM UNIT FUNCTION Business Tourism Unit is a marketing unit within the Destination Marketing Division of Mpumalanga Tourism and Parks Agency. Business Tourism is a trip undertaken to attend a meeting, conference, exhibition or as part of incentive.

5 BUSINESS TOURISM STRATEGIC OBJECTIVES To attract business tourism (meetings, incentives, conferences and events) to the Province To work with industry partners to increase business tourism in the Province To develop, attract/bid and support major conference/events into to the Province

6 BACKGROUND South Africa host 23 % of all meetings in Africa. It is currently ranked 28 th by Union of International Association (UIA) as top meetings destination and ranked 18 th on the Foreign Direct Investment(FDI) Index as an attractive foreign investment destination. South Africa hosts 860 international conferences/events annually, some of them are World Economic Forum 2007, UN World Summit and International Aids Conference.

7 FACTS AND FIGURES Business Tourism contributes 30 % of all foreign tourist in South Africa. Total Global Business Travel Demand is expected to grow by 3.5 % per annum, in real terms, between 2009 and 2018 is expected to generate US$843bn of economic activity during 2008, growing to US$ 1,443 by the year 2018 (South African Tourism) However, there is 20 % drop in global business tourism travel due to recession (SAACI Congress 2009 Pretoria)

8 STRATEGIC AND ANNUAL PERFORMANCE PLAN International arrivals by million (1.4million in 2008) Domestic trips - 8 million (2.2m in 2008) Increase domestic market share to 8,90% from 7% in 2008 Jobs created ( in 2008) GGP contribution - 8% by 2015 vs. 4,8 in 2008) Spend billion by 2015

9 TARGET MARKETS Our emphasis is on business tourism travellers who travel to South Africa for meetings, conferences, exhibitions and incentives. Focus on three primary segments: -Associations (Global and regional associations with significant engagement in South Africa and with senior representation) -Inter-Governmental meetings(meetings of representatives of government and government institutions usually within multi-lateral or regional organisations) -Incentive Corporate (Incentive houses that send people to South Africa, International companies with significant investment in SA and South African business doing business internationally)

10 TARGET MARKETS Meetings, Conventions, Exhibitions Primary Markets: South Africa Gauteng Universities Rest of the South Africa Secondary Markets South Africa Durban, Cape Town Type Medical, Science, Manufacturing, Mining, Insurance and Transport Incentives Primary: Asia, Japan, Europe, USA, Australia Type: Insurance, Pharmaceutical, Conservations groups, Sporting groups, automotive

11 SOUTH AFRICA S KEY SOURCE MARKETS MTPA will establish relations with SAT offices based in the key source markets, with the objective of leveraging on their approved marketing programmes. Core Markets: - UK/ Germany/USA;/Netherlands/France Emerging Markets: - India/China/Japan/Russia/Brazil/Australia African Markets : - Mozambique/Swaziland/Angola/Nigeria

12 PARTNERSHIPS Create partnerships with hotels and conference venues which will make contribution towards the roll-out of the strategy Work with industry partners to increase business tourism in the province and collaborate with other stakeholders such: - government departments, - tertiary institutions, - professional conference organizers(pco), - meeting planners - destination marketing companies(dmc), - incentive houses and associations

13 CONVENTION AND INCENTIVE STRATEGY Objectives To increase the awareness of Mpumalanga as a key destination for the meetings and incentives industry To add value to other Mpumalanga activities within the overall business tourism sector Strategies To increase media awareness of Mpumalanga as a meetings, convention and incentive destination

14 TRADE SHOWS/WORKSHOPS Participate in key meetings and convention industry trade shows/workshops aligned with SAT Meetings Africa (South Africa February) IMEX (Germany May) IBTM (Spain December) ICCA (Italy November) AFRICA (Swaziland/Mozambique,West [Nigeria], & SADC [Angola]) AUSTRALASIA (Japan, South Korea & China) June DOMESTIC/REGIONAL WORKSHOPS

15 UNIVERSITY STRATEGY Target Market Targeting academics and administrative staff from the universities in the region Inter-Provincial associations/ research group leaders who are university academics Objectives To assist the academic market in attracting conferences to Mpumalanga Province To educate and provide advice on hosting a successful conference

16 UNIVERSITY STRATEGY Motivate academics to bid for national and international conferences Conduct a market research study to determine sources of funding available for academic conferences Generate academic leads for potential national and international conferences Introduce academics involved in conferences to Mpumalanga convention facilities

17 INDUSTRY ASSOCIATION MEMBERSHIP International Associations - International Congress and Conventions Association (ICCA) - Society of Incentive & Travel Executive (SITE) - Meeting Professional Industry (MPI) National Associations - South African Association Conventions Industry(SAACI) - South African Meetings Industry Federation (SAMIF)

18 DATABASE STRATEGY Objectives To maintain and enhance the operations database to aid in decisionmaking and monitoring and evaluation to meet member and client need To market the product and services of Mpumalanga via referrals Strategies Undertake consumer(delegate) research to identify the true worth of the business tourism industry

19 DATABASE STRATEGY Enhance and maintain database on planned meetings and events Service conference organizers with promotional aids, brochures and assist with product referrals Develop and enhance the database of key association, corporate end users and meeting planners, and utilize the marketing prospects of the national database to assist the sales team in the provision of marketing leads

20 AMBASSADOR STRATEGY Objectives To increase conventions and events into Mpumalanga Province with an immediate economic benefit To increase awareness to the Province s stakeholders as to what is the role of the Agency Strategies Establish MICE Ambassador Programme targeting key influential people in the industry

21 DELEGATE BOOSTING PROGRAMMES Appoint key ambassadors to the MP Ambassador campaign (work in close collaboration with the Office of the Premier s Ambassador Programme) Appropriate public relations activities to create awareness of the Ambassador campaign Regular production of a newsletter to provide a consistent channel of communication with the network Develop a programme of incentives for conference business attracted to the Province

22 DELEGATE BOOSTING PROGRAMMES Develop, implement and facilitate a delegate boosting programme in order to increase visitor numbers to meetings and conventions confirmed to Mpumalanga Offer leisure packages to conference delegates to encourage length of stay in the province which will result in more economic impact.

23 HOSTING/GUEST PROGRAMMES/BUYER FAMILIARIZATION TRIPS Familiarization trips to be organized for the following groups in order to give them exposure on the province s product offering - corporate executives, professional conference organizers, - meeting planners, event organizers, tertiary institutions representatives and government representatives. Leverage on the Meetings Africa (Africa s only business tourism show) by organizing Pre & Post Tours for Hosted buyers from targeted markets. Leverage on major conferences/congress hosted in other provinces by hosting decision makers/buyers.

24 BIDDING ASSISTANCE To research upcoming conferences/events using association database to determine which one to bid for Partner with relevant stakeholders to lobby and bid for conferences and events for the Province. Assists in the bidding process for events/conference Provide destination market intelligence

25 INTERNATIONAL REPRESENTATION Appointment of a Business Tourism Sales Agent in one key source market Establish & maintain relations with business tourism associates in the key source markets Predominantly promote MP as the province for meetings, conferences, events and incentive destination due to its richness in adventure, history, wildlife, golf & health spa centres Brand awareness / Brand repositioning Activations MP to make available promotional material Public relations MP to constantly update BTSA on current affairs Where necessary attend Business Tourism Exhibitions/Workshops on behalf of MP

26 INTERNATIONAL REPRESENTATION CONT Can assist in setting up appointments at EITBM, IMEX and other shows Can assist by identifying credible & major trade partners when doing trade calls

27 COMMUNICATION/ TRADE MARKETING Marketing the province in relevant MICE publications to create awareness about Mpumalanga s Business Tourism services and products Meeting Planners Guide Incentive Guide Electronic Delegate Boosting Postcards Electronic presentation Website (include Request for Proposal form) Business Tourism Magazines(i.e. Meetings SA, Southern Africa Conference, Exhibition & Events Guide and Mpumalanga Companies)

28 SUMMARY OF INTERVENTIONS & COST Partnerships R Convention & Incentive Strategy R University Strategy R Ambassador Strategy R Trade Shows/Exhibition Strategy R Industry Associations Membership R Database Strategy R Hosting/Guest Programmes/Buyer Familiarization Trips R Delegate Boosting Programmes R Bidding Assistance R International Representative R TOTAL COST R2.7m

29 Thank you

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