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South African Tourism China by Bradley Brouwer Regional Manager: Asia Pacific

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Slide no. 1 South African Tourism 2012 Consumer LandscapeTrade LandscapeOpportunities South African Tourism China

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Slide no. 2 South African Tourism 2012 Consumer Landscape - Tourist Arrivals from the Chinese market 2011 Chinese Tourists to SA: 84,883 (24.3% increase compared to the same period in 2010) Jan to Apr 2012 Chinese tourists to SA : 41,161 (73.1 % increase compared to the same period in 2011) MICE groups, FIT and leisure travel groups are our main targeted consumers

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Slide no. 3 South African Tourism 2012 Consumer Landscape - Chinese Market The number of Chinese outbound tourism is expected to reach 78.4 million passengers in 2012 which will be an increase of 12%. The outbound tourism consumption is expected to achieve a higher level of $ 80 billion, an increase of 16% * China has become an even more important source market for South Africa. China's outbound market is already 1.2 times that of U.S. outbound market and 3.5 times that of the Japanese outbound market BRICS-wide cooperation and partnership among business and industry will offer boundless opportunities In-depth and themed tours are becoming a trend. Tourists show interest in themes like culture, wine, food, safari, hiking and eco tourism * Statistics from China Tourism Research Institute

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Slide no. 4 South African Tourism 2012 Consumer Landscape for Chinese Consumers The main approach for most Chinese consumers for long-haul outbound travel is through travel agencies. SA itineraries for most Chinese visitors are tightly controlled by travel agents based in China. The population of fully-independent travellers (FIT) and semi-independent travellers (SIT) is growing among veteran tourists. Direct search engines like www.qunar.com and www.ctrip.com help people to tailor make their own itineraries and trips. www.qunar.comwww.ctrip.com The internet remains Chinese visitors' key source to get destination information. Social network service platforms such Sina Microblog and QQ chartroom have become widely recognized as a means to share travel stories, destination attractions, and personal experiences. The Spring festival (Chinese New Year) around February and the Golden Week in October are still the best time for Chinese travelers to visit overseas destinations with friends or family.

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Slide no. 5 South African Tourism 2012 Consumer LandscapeTrade LandscapeOpportunities South African Tourism China

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Slide no. 6 South African Tourism 2012 JMA Partners in the Chinese Market SAT China signed joint marketing agreements with 7 travel trade in Beijing, Shanghai, Guangzhou and Hong Kong in 2012 These trade partners cover tourism products through online selling, wholesale and direct selling. Covering group travel, FIT, and Mice.

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Slide no. 7 South African Tourism 2012 Changes in trade and products Change from traditional packaged tours to an in-depth tour of a destination Change from traditional land arrangements to affordable luxury standards Paying more attention on high end consumers than in the past Offer diversified products to fit the needs of families, couples honeymooners, parents and children, professional adventurers and photographers etc. The Chinese market is driving to be very eco/ green friendly There is an increase in MICE business it is becoming more popular because corporate meetings and incentives are a substantial new opportunity There are many offerings to these groups/incentives regionally and Long- haul.

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Slide no. 8 South African Tourism 2012 Challenges in the Chinese Market Competition in the Chinese market is heating up as more countries aquire ADS status. Carrier capacity from Hong Kong to Johannesburg are 7 days a week, Flights from Beijing to Johannesburg are currently 3 times a week and will need to up capacity on this route. Other flights are available via hubs. Visas are a challenge for FIT travelers in China Safety and Security remains and will always be a key concern for Chinese although less so after the successful hosting of the World Cup. The Chinese market is Long Haul and Chinese enjoy short public holidays, therefore Chinese enjoy short itineraries but cover more countries and destinations (have to be shared with SADC countries)

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Slide no. 9 South African Tourism 2012 Consumer LandscapeTrade LandscapeOpportunities South African Tourism China

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Slide no. 10 South African Tourism 2012 Access to Opportunities - Trade Educate the trade with the latest information and itinerariesAnnual SAT Trade WorkshopsFUNDI online campaignsLaunch of SA themed storesCooperated with key trade mediaAttended ITE, CITM and participate at CIBTM

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Slide no. 11 South African Tourism 2012 Educated trade partners to give credible recommendations to their large consumer bases with detailed and visual information and itineraries The first South African-branded travel store jointly opened by South African Tourism and Utour Travel in Beijing CBD in November 2011 A 2nd South African themed travel store will jointly be opened by South African Tourism and CYTS in Sept 2012 by our Deputy Minister of Tourism. SAT Activities - Trade

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Slide no. 12 South African Tourism 2012 SAT has cooperated with SAA, Best of the Best Tourism and Travel Link to launch the FUNDI 2012 campaign from August to October 2012 Identify and select practitioners from the travel trade to become a FUNDI SA travel expert on South Africa. SAT Activities FUNDI Online Campaign

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Slide no. 13 South African Tourism 2012 SAT Activities - Trade SAT China cooperated with 5 key trade media across the board in China Attended ITE and CITM and will participate at CIBTM with the National Conventions Beurro

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Slide no. 14 South African Tourism 2012 Supported the Eco Tourism Ambassadors program run by our Hong Kong JMA partner African Panda Attended and supported the African Day event held in Hong Kong SAT Activities - Trade

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Slide no. 15 South African Tourism 2012 In March 2012, South Africa welcomed 233 pax MICE group from China. They traveled to South Africa to hold their "Global Distributor Tourism Seminar. This incentive group focuses on awarding high level distributors. It also improves communication between distributors and the senior managers. Besides their official arrangements in South Africa, this MICE trip covered a Pretoria urban visit, Sun City and its surrounds, safari in Pilanesberg Game Reserve, sightseeing, a visit to 1 of the New 7 wonders of nature Table Mountain, a Cape Peninsula Tour and high end shopping. SAT Case Study MICE Group from China

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Slide no. 16 South African Tourism 2012 South African Tourism China facilitated a much smoother and convenient visa application procedure to minimize the documentation required for guests to apply for the visa. During this trip, the whole team were deeply touched by South Africa's pleasant climate, its people, the picturesque scenery and their diversified itinerary. All the members were inspired by the prestigious attractions that has left a lifetime of memories about South Africa in their minds. As to the convention reception resource in South Africa, considering the main business activity had taken place in Johannesburg, this MICE group was very satisfied with their accommodation and the entertainment. The hotels were equipped with a great variety of conference facilities, venues and related high tech features which is the ideal choice for Chinese MICE travel. SAT Case Study MICE Group from China

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Slide no. 17 South African Tourism 2012 The timely sharing of the latest South African travel newsMedia FAM trips Using stories of local people to position South Africa as a welcoming destination Media road shows Cooperated with media on various activities Awards from Chinese media Online campaigns Access to Opportunities - Media

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Slide no. 18 South African Tourism 2012 SAT Activity - Media Cooperation South African Tourism cooperated with media on various activities to promote South Africa as a preferred destination in the Chinese market

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Slide no. 19 South African Tourism 2012 SAT Activity - SAT Awards in 2012 OrganizationAward to SAT Sina TravelBest Partner Award South African Tourism Best of Best Tourism The Most Favored African Travel Destination South Africa The MICEAnnual International Destination South Africa National Geographic Traveler Best Outdoor Travel Destination South Africa Travel Weekly Magazine Editors' Special Honor Award Best Nature Wonder Destination South Africa

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Slide no. 20 South African Tourism 2012 20,000 fans 35,000 fans SAT official website: www.southafricantourism.cn SAT Activity - SAT Activities with Social Media

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Slide no. 21 South African Tourism 2012 SAT Activity - Effective use of social networks Optimal use of Social networks in China is becoming increasingly critical to save on marketing budgets, yet highly effective to reach our target audience in large numbers. Social media acts as a communicating bridge between our tourism office and the market. South African Tourism dedicated resources to take good advantage of social media platforms to provide timely responses and positive interaction with fans and followers

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Slide no. 22 South African Tourism 2012 Highlighted Events in 2012

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Slide no. 23 South African Tourism 2012 SAT Activity FAM Trip Meetings Africa FAM Trip February 2012 Focusing on MICE travel, the participants received the latest information about SA MICE tourism from Meetings Africa, and completed a post tour. Cape Town International Jazz Festival FAM Trip March 2012 South African Tourism hosted media to the CTIJF with a post tour and developed music journeys to experience South African culture and music

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Slide no. 24 South African Tourism 2012 2012 INDABA FAM Trip - May INDABA tourism Trade Show was attended by 14 Trade and 6 media delegates received comprehensive SA tourism information and a post tour. Little Karoo Magic Press Trip June 2012 In-depth adventure and SA colorful scenery National Geographic FAM Trip June 2012 SAT China cooperated with National Geographic China to invite Chinese celebrity Professor Yu Dan to explore the rainbow culture, friendly people and the remarkable history of South Africa SAT Activity FAM Trip

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Slide no. 25 South African Tourism 2012 In order to create maximum brand awareness and promote South Africa as lifestyle and culture destination to China, National Geographic, the first high-grade geographic magazine which deeply demonstrates multiculturalism, goes to South Africa for a media FAM tour. In conjunction with the promoting focus which is SA culture, SAT China invited Professor Yu Dan and National Geographic China magazine to comprehensively feel SAs profound history, culture and scenery. The FAM trip included spectacular sites like the Kruger National Park, Blyde River Canyon, Johannesburg and surrounds, Cape Town, Kimberley and Pretoria, covering SA attractions like Table Mountain, wildlife safaris, scenic beauty, and culture. SAT Activity case study South Africa in Yudans Eyes

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Slide no. 26 South African Tourism 2012 National Geographic will publish a 50 page special issue named "South Africa in Yudan's eyes to introduce SA culture and history to Chinese tourists and to promote South Africas outstanding natural beauty, rich wild animal recourses, abundant diamond resource, award winning wines and cuisine. After the trip NG launched the South Africa in Yudan's eyes forum. Professor Yu Dan shared her lovely story and precious experience in SA which attracted over 100 photographers and tourism enthusiasts. Moreover, National Geographic proposed a full live report on Sina Weibo for this trip and online promotion on its official website. SAT Activity case study South Africa in Yudans Eyes

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Slide no. 27 South African Tourism 2012 SAT Activity Trade Workshops 2012 SAT held 2012 annual Trade Workshops in Beijing, Shanghai and Hong Kong 40 trade companies from South Africa with 700 Chinese trade guests and 75 trade media attended the workshops

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Slide no. 28 South African Tourism 2012 SAT Activity SAA Non-stop Flight 2012 South African Airways non-stop flight between Johannesburg and Beijing landed on February 1, 2012 in Beijing. This marked a significant milestone in promoting trade and tourism in both China and South Africa SAT supported this initiative with SAA.

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Slide no. 29 South African Tourism 2012 SAT Activity Media Roadshow SAT held the 2012 Media Roadshows in January 2012 in Beijing, Shanghai and Guangzhou to showcase South Africa and to thank media for supporting SAT. 94 key media and SAT trade partners were invited to attend this roadshow.

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Slide no. 30 South African Tourism 2012 SAT Activity Online Campaign SAT launched Tastes of South Africa Online Campaign to promote SAs food and ecotourism in May 2012

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Slide no. 31 South African Tourism 2012 SAT Activity OOH Advertising Beijing Bus Bodies x5 Beijing Light Box ADS x 15 Shanghai Metro x 1

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Slide no. 32 South African Tourism 2012 Upcoming Activities

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Slide no. 33 South African Tourism 2012 SAT Upcoming Activities Attend CITM and participate at CIBTM. 2 nd Tribe Leader FAM Trip

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Slide no. 34 South African Tourism 2012 SAT Upcoming Activities World Traveler FAM Trip August 2012 SAT has cooperated with World Traveller to further explore the "Top 10 Stopovers on the Garden Route" in South Africa Sunny Holiday FAM Trip SAT China will hold a Sunny Holiday FAM Trip with an online campaign to showcase South Africas sunny holidays at the end of 2012

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Slide no. 35 South African Tourism 2012 Thank You