DATE: 22 nd MARCH 2017 TIME: 14:30 for 15:00 17:00 VENUE: Cape Town International Convention Centre (CTICC), Roof Terrace THEME: ECONOMIC DEVELOPMENT IN TOURISM Introductions and Welcome: Facilitator Theuns Vivian Introduce SLIDO opportunity for questions on this platform Solutions driven session please propose a solution when commenting Cape Town Tourism Neighbourhood Video Khayelitsha Guest speaker: Minister Alan Winde, MEC for Economic Opportunities in the WC Air Access Program: has created a perfect partnership; a collaboration of private and government money. Accolades to this sector as on 14 th March, CT voted best airport in Africa, no 19/100 in the world. Creating an extra 600 000 seats on direct flights to CT) New properties: Hotels being built to accommodate extra visitors; Marriot, Raddisson, Silo & Ritz upgrade Air BnB: previously 15 000 properties in CT area, as of last week 17 500 properties. The industry disruptions will be discussed. Madiba Legacy Route: Established to link story telling to that of the new life size statue to be placed on the balcony of the city hall. An opportunity for photographs and stories to be shared. A museum at city hall will tie in with Robben Island and potentially ease of access to his house at Drakenstein will be looked into. Cross Cape Cycle Route: A network across the province incorporating events. Routes will include Plettenberg Bay to CT using gravel roads and off the beaten tracks. Not necessarily overland and will include smaller villages to help with opportunities to these communities ie. Rheenendal/Keurhoek. This will be launching in May. Air BnB Properties: - Uber expanded into Uber eats. Air BnB is growing fast. These disrupters can either be accepted and legislated or one can fight against them and ban them all together. Ie. In Paris/Berlin/New York, air BnB has been banned. JAMMS 2017 22 nd March: Discussion Notes Page 1
- We would like to create an enabling environment for these disruptions the world is changing rapidly and we need to be inclusive. - This presents an opportunity for a conference (possibly in July/August) to discuss these disrupters, and to get the regulators alongside traditional tourism companies to discuss a way forward. Perhaps in collaboration with Wesgro it would be a facilitating environment for regulation discussions and the creation of an enabling environment. Guest speaker: Minister Winde Q & A session Q) Name not given: Small Bed and Breakfast is struggling to register with zoning in their area. The costs exceed R250k and by-laws prohibit the operation of business. Unregistered guest houses are able to operate with no recourse. There is red tape and it is expensive to remain legal and compliant. A) One needs to look at the eco-system and environment of that area/ Gentrification in that area specifically. Please pass your details onto me so that we can speak to the city and discuss the regulations for that area. There may be a blanket solution. Q) Ray de Vries, Water from Air: There is a need for water at the moment. I have a product to assist, but the City council are not available/approachable. My product is a disrupter and its needs to be embraced. In some way the Province needs a solution to water and I have it. A) Green Cape exists for the energy sector. The City of CT needs approx. 800 mil L of water per day. All opportunities are currently being looked at through the Green Cape platform and all potential solutions and entrepreneurs are being given access through this platform. Q) Margie Biggs, The business of food & wine tourism: An annual conference not held in the Metropole could not receive support from the City of CT. It was then moved into an area within the Metropole, including smaller capacity and change of date to meet the requirements of the city. Now the city will no longer support the conference and the costs are higher since moving into the metropole area. Now what? A) CT municipality can not support another municipality. There are approx. 1500 events a year and not all receive funding. The same can be said for Wesgro. There is a policy framework in place, along with an application process for funding. I would suggest approaching another municipality. Q) Brad Page, Air BnB host/entrepreneur: Currently employ 5 pax and see it as an opportunity to create employment. Air BnB needs to be embraced and supported. A) This will hopefully be achieved through the conference. How we enable and create this for tourism moving forward. Discussions around red tape blockages/regulations as well with the guides. The new experiences offered, and look at budget towards training new guides. JAMMS 2017 22 nd March: Discussion Notes Page 2
Guest speaker: Minister Hanekom, National Minister of Tourism There are 9 MECs, and we most likely need to look at each Province individually with Provincial frameworks and overall strategies to incorporate the individual Tourism needs of each Province. CTT and MEC are all doing a great job promoting tourism in the WC. Tourism stats: 2016 was an excellent year for Tourism. With a 13% increase in International arrivals, 21,5% increase in Germany arrivals and 38% increase in China arrivals. This is a sign of confidence. Sustaining this growth in 2017 has to continue. 2015 saw a 6.8% decline in arrivals. Tourism General: SA has a good offering and an understanding around what needs to improve/factors needs to be looked into ie. Are we marketing in the correct countries, are we neglecting others this will allow for a better understanding and improved strategies. The Tourist Experience in a guesthouse, restaurant, etc. is a good one. Tourism Future: We have big ambitions at SAT/SISA with the CEOs of tourism companies meeting and working together towards inclusive growth. There is a 5 in 5 strategy/2021 5 years = 5 mil more tourists over 5 years. (4 mil international and 1 mil domestic) The growth must benefit as many people as possible with inclusive growth. The NTSS (Nationals Tourism Sector Strategy): The revised version, Vision statement guides us; Vision: For South Africa to be one of the most preferred tourist destinations in the world and to maximise the economic potential of the tourism industry for our country and its people. Mission: To develop and implement a world-class tourism marketing strategy for South Africa. In pursuance of this, SA Tourism will: Develop and implement domestic, regional and international marketing strategies informed by research, information and knowledge-sharing; Develop and implement a business events strategy; Implement and maintain a recognisable, credible and globally benchmarked system of quality assurance; Facilitate strategic alignment of provinces and industry in support of the marketing of tourism; Continuously align efforts to support tourism growth; and Ensure the efficient utilisation of resources in order to deliver against the tourism strategy. There are 5 Pillar foundations for growing the Tourism Economy in SA; 1. Effective Marketing 2. Market Barrier Removal 3. Visitor Experience 4. Broad Based Benefits JAMMS 2017 22 nd March: Discussion Notes Page 3
5. Destination Management As follows; 1. Effective Marketing: SAT (South African Tourism): is the marketing body for South Africa. There is synergy between National/Provincial and the cities. Ie. Enver from CTT sits on the SAT Board. 2. Market Barrier Removal: Such as airlift and Visas. Most Visa issues have been in China and these have been addressed. India still has some processing challenges. The unabridged birth certificates apply mostly to the visa except countries. These regulations have changed and will be gazetted quite soon. A year ago this was a cabinet decision and specific proposals were done. 3. Visitor Experiences: To market a country we can not take anything for granted. How one experiences when visiting is important the Service Excellence aspect. The quality of the Guides are important. 4. Broad based Benefits: Inclusive growth and transformation has to take place. Measures are in place to contribute to grants, which can be translated into opportunities. 5. Destination Management: Improved inter-governmental relationships. Other challenges include infra-structure and by-laws. NDT need to liaise with municipalities regarding bylaws. Interactions and discussions with local authorities have to happen. Local Transport and the licencing issues to be discussed in the Tourism and Transport forum; with an actionable strategy (which is currently underway) With all of the above there are measures in place. Sustainability needs to be focussed on; Instruments that can be used to achieve goals have to be identified; Development of final instructions; TIP program assists with marketing; 400 enterprises receive business support; 2 incubators currently exist for small business. Water Challenges: There are a lot of initiatives in the WC, each have to be looked at individually before being able to move forward. Energy: Retrofitting of establishments has to take place in order to assist with energy efficiency. Air BnB: Can offer additional beds during peak times. It is a more flexible concept and allows guests to spend money in our economy. We need to apply our minds before the conference takes place. What would be the appropriate criteria/regulations to create certainty amongst JAMMS 2017 22 nd March: Discussion Notes Page 4
the industry. What level of regulation developments are needed but so as not to under or over regulate. Guest speaker: Minister Hanekom Q & A session Q) Ryan, Cape Canopy Tours: Local tourism offices are currently divided. How important is it for tourism office to exist for access to businesses and development in the smaller regions? A) The role of the local tourism offices varies a lot as the model around them varies. Some are municipality funded, others are product owners. This is a place to apply our minds at a policy level and to stock take and find the value that it adds. Better marketing tools for local offices need to be looked at. Non-tourism products should also be included as they all add value to the tourism economy. Local authorities must recognise the value of the economy in their own little towns. Q) Isac, Jacoob Yachts: Lots of schemes and incentives exist, but TEP has closed down. Empowerment programs is there a reason for their existence? A) TEP were not liaising with other enterprises to ensure that access/mentorship continues. Enterprise support is important from the starting steps to running. Ie. The grading of establishments and the role of the grading council. The larger hotels are not doing enough to promote the craft industry for example. Ie. Sellable art in their restaurants, Gift shops supporting the sale of only locally made goods. Industry in not maximising the potential of tourism in other sectors. Q) Peter Basson, Montague Guesthouse: Route 62 is one of the top 10 routes, however there are many barriers to growth at a local level. Would it be possible for pressure to come from the top onto local governments/municipalities to assist? A) There is a way. One could localise stakeholder meetings, which need to take place more. This will give access to people. Establish local associations for a voice to lobby and create an event/meeting and invite stakeholders for discussions. Q) Anthea Rossouw, Dream Catcher: We do homestays, but need more people. A) Tourists want traditional food and home stay experiences, etc. but we need to help package it. Ie. Large attraction like Sun City has assisted a neighbouring village and its community by getting them ready for home stays. This is one of NDTs incubator projects and it is working for the tourists and the local communities. Both Ministers thanked with gifts sponsored by SORENTO Venue Speaker: CTICC Julie-May Ellington Shared information on the growth of the CTICC, including large conferences already held and those still to come. The expansion of the new section of the CTICC to the value of R832mil will see larger conventions coming to the city. JAMMS 2017 22 nd March: Discussion Notes Page 5
Thank you and Raffle Prizes: Jeff Rosenburg 1. Cango Wildlife Ranch Entrance tickets (value R540) and a Winelands tour by MLT (value R2500.00) WON BY: Lorna, Hylton Ross 2. Cango Wildlife Ranch, crocodile experience and entrance tickets and a MLT city tour (value R1300) WON BY: Edgar Collins 3. Marine Dynamics (value R1900), Sorento dinner party décor voucher and entrance tickets to the SA Rugby Museum. WON BY: Kirsten Manning, Grant Thornton 4. Cano Wildlife Ranch behind the scenes tour and MLT weekend car rental (value R900) WON BY: Ruth Kamal 5. Family package to the SA Rugby museum (value R?) WON BY:? 6. Hotel Verde 1 night accommodation and Spier wine hamper WON BY: Esme 7. Hotel Verde 1 night accommodation and Spier wine hamper WON BY: Kirsten Manning, Grant Thornton 8. Hylton Ross Winelands tour WON BY: Kirsten Manning, Grant Thornton 9. Tickets to the Comedy Club, Waterfront for 6 people WON BY: Illana Clayton WINE SPONSORED BY: STELLENBOSCH HILLS BEER AND SOFT DRINKS SPONSORED BY: CTICC http://theplanner.guru/2017/03/27/cticc-hosts-joint-association-member-meeting-as-tourism-bodiesdiscuss-growth-opportunities-for-the-industry/ http://www.theevent.co.za/joint-association-member-meeting-economic-opportunities-hosted-cticc/ JAMMS 2017 22 nd March: Discussion Notes Page 6