Tourism Tattler June 2013

32

description

This edition of Africa's premier travel trade journal features articles on business legislation, conservation, climate change finance, hospitality and marketing.

Transcript of Tourism Tattler June 2013

Page 1: Tourism Tattler June 2013

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JUNE 2013 03Tourism Tattler Trade Journal

EDITORIAL05 From the Editors Desk Cover Story 06 Article Discussions ACHIEVEMENTS amp ACCOLADES Trade Awards - visit our website AVIATION07 Airlines amp Tourism in SA BUSINESS08 The two faces of SArsquos economy10 The Big Business Bribery Bill CONSERVATION12 Wildspotting Online14 Rhino Knights Update COMPETITION17 Wine Tourism South Africa DESTINATIONS18 Visa requirements EVENTS20 RETOSA Events Calendar for June

PUBLISHERTourism Tattler (Pty) LtdPO Box 891 Umhlanga Rocks 4320KwaZulu-Natal South AfricaCompany RegNo 200601525207Website wwwtourismtattlercoza

MANAGING EDITOR Des LangkildeTel +27 (0)87 727 8631Cell +27 (0)82 374 7260Fax +27 (0)86 651 8080E-mail editortourismtattlercozaSkype tourismtattler

EDITOR Marjorie DeanTel +27 (0)11 886 9996Fax +27 (0)11 886 7557E-mail communicationssatsacoza Skype satsa-comms

ADVERTISING MANAGER Bev LangkildeTel +27 (0)87 727 8643 Fax +27 (0)86 656 3860Cell +27 (0)71 224 9971E-mail bevtourismtattlercozaSkype bevtourismtattler

SUBSCRIPTIONSEmail subscriptionstourismtattlercoza Skype subscribetourismtattler

Issue 6 (June) 2013

The Regional Tourism Organisation of Southern Africa (RETOSA)Tel +2711 315 24201Fax +2711 315 2422Webite wwwretosacoza

Disclaimer The Tourism Tattler is published by Tourism Tattler (Pty) Ltd and is the official trade journal of the Southern Africa Tourism Services Association (SATSA) The Tourism Tattler digital e-zine is distributed free of charge to bona fide tourism stakeholders Letters to the Editor are assumed intended for publication in whole or part and may therefore be used for such purpose The information provided and opinions expressed in this publication are provided in good faith and do not necessarily represent the opinions of Tourism Tattler (Pty) Ltd SATSA its staff and its production suppliers Advice provided herein should not be soley relied upon as each set of circumstances may differ Professional advice should be sought in each instance Neither Tourism Tattler (Pty) Ltd SATSA its staff and its production suppliers can be held legally liable in any way for damages of any kind whatsoever arising directly or indirectly from any facts or information provided or omitted in these pages or from any statements made or withheld or from supplied photographs or graphic images reproduced by the publication

Adv Louis NelBrent WillieDes LangkildeIsabel Wolf-Gillespie

Contents

ENVIRONMENT21 Access to climate finance HOSPITALITY22 Hotels financial balancing act23 Putting bums in beds LEGAL24 lsquoPOPIrsquo Act - Part 2 MARKETING25 SATSA Market Intelligence Report26 Email Marketing - Part 2 NICHE TOURISM28 Red-tape Tourism RISK30 Travel trade insurance - Part 7 TRADE NEWS Trade Snippets - visit our website

Environment Access to climate finance

Niche Tourism Red-tape Tourism

The Southern Africa Tourism Services Association (SATSA)Tel +2786 127 2872 Fax +2711 886 755Webite wwwsatsacom

Official Travel Trade Journal of

02 SATIB Insurance Brokers04 Globe Lotter Tours04 Neilrsquos Transfers04 Heritage Clothing04 Sports amp Events Tourism Exchange

EDITORIAL CONTRIBUTORS

MAGAZINE SPONSORS

SATSA PROUD SPONSOR

04 BnB Sure24 Savage Jooste amp Adams Attorneys27 Kondwana Marketing29 SATIB Insurance Brokers32 TransMedia Barter

Business Bribery Bill Conservation Wildspotting Online

Marketing Email Marketing

National Accommodation Association of South Africa (NAA-SA)Tel +2786 186 2272Fax +2786 225 9858Website wwwnaa-sacoza

IN THIS ISSUE

17

25

12

21

28Official Media Partner to

Seychelles Hospitality amp Tourism Association Tel +248 432 5560Fax +248 422 5718Website wwwshtasc

10

Ivo VegterJanine MareLoane SharpMarjorie Dean

Martin Jansen van VuurenMartin HatchuelPieter Philipse

Competition 10 x Wine Tourism Books

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Reach 30 000+ Travel Tradebull Tel +27 (0)87 727 8643

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bull Skype bevtourismtattlerAd includes bullMagazine (Print amp Digital)bullNewsletter (Email Ad)bullWebsite (Banner Ad)

ReadersMonthly

Call Bev

JUNE 201304 Tourism Tattler Trade Journal

EDITORIAL

From the Editorrsquos Desk

Cover Story

Well Indaba is behind us for another year so now itrsquos back to work and running our tourism businesses And the daily work of running a business features large in this edition This is not the glamorous side of tourism that our clients see but itrsquos the essential stuff that keeps our industry running

On pages 8-9 Loane Sharp looks at the economy of South Africa ndash whatever else may happen we still have to operate in this environment and Loane says publicprivate partnerships are increasingly the way to go

We also tackle the vexed question of red tape in business ndash a bugbear to anyone who actually runs an entrepreneurial enterprise See what well known columnist Ivo Vegter has to say about that on page 28

We look at an intriguing new way of capturing data about wildlife on pages 12-13 And hear about progress from the Rhino Knights initiative ndash just one of many imaginative initiatives being undertaken in the cause of helping to stop the slaughter of one major species

Brent Willie looks at the vexed question of visas ndash another stumbling block to the expansion of African tourism on pages 18-19

And we consider a recent report on access to finance for improving our efforts to comply with ever stricter new climate-friendly regulations as well as what is happening in the hotel business that is eroding margins And we consider a new way to put lsquobums in bedsrsquo

There are our usual features on marketing and insurance so plenty of real meat in this Tourism Tattler to keep you reading

Marjorie

The Greek philosopher Herakleitos (Heraclitus) of Ephesus foresaw the future when he said ldquoThe Only Constant In Life Is Changerdquo Without change all things wither into a state of what the Greeks called lsquoatrophyrsquo or withering away

At Tourism Tattler change has certainly avoided atrophy We have come a long way since the media titlersquos humble beginnings in the 1990rsquos as an internal newsletter for SATSA members Back then the Tattler consisted of just 12 pages in single colour and a quarterly print run of under 1000 copies

In 2003 Tourism Tattler was registered as a publishing company with the aim of growing the magazinersquos circulation to a broader travel trade audience with more in-depth and relevant editorial content It became a glossy journal still covering SATSArsquos affairs although that role became more the domain of the weekly and latterly fortnightly SATSA RAP newsletter Tattler became more representative of the broader African travel trade industry encompassing other travel trade organisations such as RETOSA NAA-SA and SHTA who adopted the media title as their official trade journal with more associations coming onboard soon

With the advent of digital publishing the Tattlerrsquos reach has spread throughout Africa and globally where the publication is valued as an information and knowledge resource for tourism professionals The Tattler now has over 28000 subscribers located in every continent in the world and in 34 of Africarsquos 55 countries (AU member states)

Readership exceeds 30000 with social media linkages accounting for the difference In terms of subscriber profiling by travel trade sectors 43 are DMC (Tour Brokers Travel Agents Tour Operators Adventure Operators Transport Operators) 38 Accommodation (Hotels Lodges Guesthouses Attractions) and 19 are in the Travel Trade Service provider category

With global readership language preferences became a priority but with the introduction of the journalrsquos content being published as blog-style articles on the Tattler website since November 2012 Google Translate has overcome the language barrier Itrsquos interesting to note that of our Africa-based subscribers 46 are English 19 French 7 Arabic and 5 Portuguese speaking

Over the next few months readers will see the Tattler evolve yet again to better reflect the media titlersquos change from magazine publishing to content management and distribution

New innovations to be launched include Mobi Apps a searchable travel trade directory with Google Maps integration a PR self-upload feature for Trade News and Accolades an Affiliate Referral Programme and Email Marketing Services The next phase in our evolution will include an online travel community network aimed at profiling Africarsquos wealth of tourism products facilities and attractions to both inbound and domestic travellers alike

We look forward to sharing these innovations which are aimed at growing Africarsquos tourism industry and enhancing your businesses marketing efforts

JUNE 2013 05Tourism Tattler Trade Journal

Whither Atrophy

ARTICLE DISCUSSIONS

Article Comments - MayCONSERVATION

Rhino poaching - to Breed to Dehorn or to Poison

I have spent many moons applying my mind as an anthropologist and conservationist to this (rhino horn) debate Furthermore the Pro-trade fraternity is very well organised and have presented many well-researched and convincing arguments to support their stance We at Transfrontier Africa have sat back and evaluated every article and motivation from this arena Herewith my opinion

We are talking about a typical supply-and-demand scenario when discussing trading in rhino horn There are a few facts that must be borne in mind

1 We already trade in rhino horn (albeit illegal and via poaching) - as much as five per day

2 New end-user markets have developed - thereby increasing the demand on a daily basis

3 This is not just about CTM (Chinese Traditional Medicine) as was originally thought it has become a status symbol in Vietnam and China to have an ornamental horn on display

4 Experiments in 1994 to introduce the Saiga Antelope horn as an alternative to rhino horn and accepted by the CTM Council The species was reported to number almost 25 million In the ensuing years that population dwindled by 95 due to hunting pressure for their horns Do we have that quantity of rhino

5 From the above example the market is not only vastly bigger than the early 1990rsquos but new end-users have begun to develop making the sustainable use of rhino horn an impossibility

(Note To read all 14 points made by Craig in this comment visit the article at wwwtourismtattlercozap=3725 - Editor)

It is therefore our opinion (mine and that of Transfrontier Africa) that the trade in rhino horn is both unethical (from a social and economic perspective) and unjustifiable As conservationists we must be

Discussion Forum

On the Tourism Tattler website click on the Article Discussion icon located above the lsquoSharersquo bar beneath each article - this

will open the discussion page in a new browser tab

How to contribute to article discussions

Or simply comment beneath the website article

JUNE 201306 Tourism Tattler Trade Journal

For more information visitwwwlivingstonessupplycocoza

The winning comment posted on the Tattler website during the month of May 2013 will receive a

GOVINO CHAMPAGNE 4 PACK ndash Valued at R154 with the compliments of Livingstones Supply Co ndash Suppliers of the Finest Products to the

Hospitality Industry

An alternative to Stainless Steel game drive cups the very green and award winning Californian designed Govino Champagne glasses allow you to enjoy fine wine in settings where breakable glass is as no-no or fine stemware is not available Reuse it abuse it but eventually recycle itGovino is equal to the quality of imported German wine glasses and are made from PETg so theyrsquore unbreakable and 100 recyclable Govino Champagne Glasses are ideal for Game Drives Beach Weddings Picnics Pool Areas and All outdoor events

Your comment has been chosen as the prize winner for May A copy of

Dereck and Beverly Joubertrsquos lsquoEye of the Leopardrsquo DVD will be delivered to you with the compliments of Livingstones Supply Co ndash suppliers of the finest products to the hospitality Industry

Editor

Win Congratulations to Craig Spencer

cognisant of the flaws in the structure of our society as well as that of our government

Craig Spencer - BWANA

The following are just a few of the comments made beneath certain articles posted on the Tattler website during the month of May

TRADE NEWS

Gautengrsquos Winter Wine Fest gears up for July

Your on line magazine is fantastic informative and so interesting Thank you so much I canrsquot wait to plan my next trip

Dianne

CONSERVATION

A Rhino Knightrsquos Tale

Dear Lloyd amp Isabel Your Rhino Knights and Earth Awareness campaigns are truly inspiring I would love to make a donation but I canrsquot do that by text message Can I make a contribution on your website or using paypal Please let me know the best way

Peace happiness and good fortune be with you for your epic journey and always

Nick Bodie

(Note Donations by various methods in support of the Rhino Knights campaign can be made at wwwearthawarenesscoza - Editor)

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 2: Tourism Tattler June 2013

JUNE 2013 03Tourism Tattler Trade Journal

EDITORIAL05 From the Editors Desk Cover Story 06 Article Discussions ACHIEVEMENTS amp ACCOLADES Trade Awards - visit our website AVIATION07 Airlines amp Tourism in SA BUSINESS08 The two faces of SArsquos economy10 The Big Business Bribery Bill CONSERVATION12 Wildspotting Online14 Rhino Knights Update COMPETITION17 Wine Tourism South Africa DESTINATIONS18 Visa requirements EVENTS20 RETOSA Events Calendar for June

PUBLISHERTourism Tattler (Pty) LtdPO Box 891 Umhlanga Rocks 4320KwaZulu-Natal South AfricaCompany RegNo 200601525207Website wwwtourismtattlercoza

MANAGING EDITOR Des LangkildeTel +27 (0)87 727 8631Cell +27 (0)82 374 7260Fax +27 (0)86 651 8080E-mail editortourismtattlercozaSkype tourismtattler

EDITOR Marjorie DeanTel +27 (0)11 886 9996Fax +27 (0)11 886 7557E-mail communicationssatsacoza Skype satsa-comms

ADVERTISING MANAGER Bev LangkildeTel +27 (0)87 727 8643 Fax +27 (0)86 656 3860Cell +27 (0)71 224 9971E-mail bevtourismtattlercozaSkype bevtourismtattler

SUBSCRIPTIONSEmail subscriptionstourismtattlercoza Skype subscribetourismtattler

Issue 6 (June) 2013

The Regional Tourism Organisation of Southern Africa (RETOSA)Tel +2711 315 24201Fax +2711 315 2422Webite wwwretosacoza

Disclaimer The Tourism Tattler is published by Tourism Tattler (Pty) Ltd and is the official trade journal of the Southern Africa Tourism Services Association (SATSA) The Tourism Tattler digital e-zine is distributed free of charge to bona fide tourism stakeholders Letters to the Editor are assumed intended for publication in whole or part and may therefore be used for such purpose The information provided and opinions expressed in this publication are provided in good faith and do not necessarily represent the opinions of Tourism Tattler (Pty) Ltd SATSA its staff and its production suppliers Advice provided herein should not be soley relied upon as each set of circumstances may differ Professional advice should be sought in each instance Neither Tourism Tattler (Pty) Ltd SATSA its staff and its production suppliers can be held legally liable in any way for damages of any kind whatsoever arising directly or indirectly from any facts or information provided or omitted in these pages or from any statements made or withheld or from supplied photographs or graphic images reproduced by the publication

Adv Louis NelBrent WillieDes LangkildeIsabel Wolf-Gillespie

Contents

ENVIRONMENT21 Access to climate finance HOSPITALITY22 Hotels financial balancing act23 Putting bums in beds LEGAL24 lsquoPOPIrsquo Act - Part 2 MARKETING25 SATSA Market Intelligence Report26 Email Marketing - Part 2 NICHE TOURISM28 Red-tape Tourism RISK30 Travel trade insurance - Part 7 TRADE NEWS Trade Snippets - visit our website

Environment Access to climate finance

Niche Tourism Red-tape Tourism

The Southern Africa Tourism Services Association (SATSA)Tel +2786 127 2872 Fax +2711 886 755Webite wwwsatsacom

Official Travel Trade Journal of

02 SATIB Insurance Brokers04 Globe Lotter Tours04 Neilrsquos Transfers04 Heritage Clothing04 Sports amp Events Tourism Exchange

EDITORIAL CONTRIBUTORS

MAGAZINE SPONSORS

SATSA PROUD SPONSOR

04 BnB Sure24 Savage Jooste amp Adams Attorneys27 Kondwana Marketing29 SATIB Insurance Brokers32 TransMedia Barter

Business Bribery Bill Conservation Wildspotting Online

Marketing Email Marketing

National Accommodation Association of South Africa (NAA-SA)Tel +2786 186 2272Fax +2786 225 9858Website wwwnaa-sacoza

IN THIS ISSUE

17

25

12

21

28Official Media Partner to

Seychelles Hospitality amp Tourism Association Tel +248 432 5560Fax +248 422 5718Website wwwshtasc

10

Ivo VegterJanine MareLoane SharpMarjorie Dean

Martin Jansen van VuurenMartin HatchuelPieter Philipse

Competition 10 x Wine Tourism Books

Book this AdAt only

R74700($8566) per month

wwwglobelottercomnhughestelkomsanet011 975 1153 or 084 227 9000

Wildlife T-Shirts that capture the image of Africa

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wwwneilstransferscoza

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Reach 30 000+ Travel Tradebull Tel +27 (0)87 727 8643

+27 (0)87 727 8631

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bull Cell +27 (0)71 224 9971

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bull Skype bevtourismtattlerAd includes bullMagazine (Print amp Digital)bullNewsletter (Email Ad)bullWebsite (Banner Ad)

ReadersMonthly

Call Bev

JUNE 201304 Tourism Tattler Trade Journal

EDITORIAL

From the Editorrsquos Desk

Cover Story

Well Indaba is behind us for another year so now itrsquos back to work and running our tourism businesses And the daily work of running a business features large in this edition This is not the glamorous side of tourism that our clients see but itrsquos the essential stuff that keeps our industry running

On pages 8-9 Loane Sharp looks at the economy of South Africa ndash whatever else may happen we still have to operate in this environment and Loane says publicprivate partnerships are increasingly the way to go

We also tackle the vexed question of red tape in business ndash a bugbear to anyone who actually runs an entrepreneurial enterprise See what well known columnist Ivo Vegter has to say about that on page 28

We look at an intriguing new way of capturing data about wildlife on pages 12-13 And hear about progress from the Rhino Knights initiative ndash just one of many imaginative initiatives being undertaken in the cause of helping to stop the slaughter of one major species

Brent Willie looks at the vexed question of visas ndash another stumbling block to the expansion of African tourism on pages 18-19

And we consider a recent report on access to finance for improving our efforts to comply with ever stricter new climate-friendly regulations as well as what is happening in the hotel business that is eroding margins And we consider a new way to put lsquobums in bedsrsquo

There are our usual features on marketing and insurance so plenty of real meat in this Tourism Tattler to keep you reading

Marjorie

The Greek philosopher Herakleitos (Heraclitus) of Ephesus foresaw the future when he said ldquoThe Only Constant In Life Is Changerdquo Without change all things wither into a state of what the Greeks called lsquoatrophyrsquo or withering away

At Tourism Tattler change has certainly avoided atrophy We have come a long way since the media titlersquos humble beginnings in the 1990rsquos as an internal newsletter for SATSA members Back then the Tattler consisted of just 12 pages in single colour and a quarterly print run of under 1000 copies

In 2003 Tourism Tattler was registered as a publishing company with the aim of growing the magazinersquos circulation to a broader travel trade audience with more in-depth and relevant editorial content It became a glossy journal still covering SATSArsquos affairs although that role became more the domain of the weekly and latterly fortnightly SATSA RAP newsletter Tattler became more representative of the broader African travel trade industry encompassing other travel trade organisations such as RETOSA NAA-SA and SHTA who adopted the media title as their official trade journal with more associations coming onboard soon

With the advent of digital publishing the Tattlerrsquos reach has spread throughout Africa and globally where the publication is valued as an information and knowledge resource for tourism professionals The Tattler now has over 28000 subscribers located in every continent in the world and in 34 of Africarsquos 55 countries (AU member states)

Readership exceeds 30000 with social media linkages accounting for the difference In terms of subscriber profiling by travel trade sectors 43 are DMC (Tour Brokers Travel Agents Tour Operators Adventure Operators Transport Operators) 38 Accommodation (Hotels Lodges Guesthouses Attractions) and 19 are in the Travel Trade Service provider category

With global readership language preferences became a priority but with the introduction of the journalrsquos content being published as blog-style articles on the Tattler website since November 2012 Google Translate has overcome the language barrier Itrsquos interesting to note that of our Africa-based subscribers 46 are English 19 French 7 Arabic and 5 Portuguese speaking

Over the next few months readers will see the Tattler evolve yet again to better reflect the media titlersquos change from magazine publishing to content management and distribution

New innovations to be launched include Mobi Apps a searchable travel trade directory with Google Maps integration a PR self-upload feature for Trade News and Accolades an Affiliate Referral Programme and Email Marketing Services The next phase in our evolution will include an online travel community network aimed at profiling Africarsquos wealth of tourism products facilities and attractions to both inbound and domestic travellers alike

We look forward to sharing these innovations which are aimed at growing Africarsquos tourism industry and enhancing your businesses marketing efforts

JUNE 2013 05Tourism Tattler Trade Journal

Whither Atrophy

ARTICLE DISCUSSIONS

Article Comments - MayCONSERVATION

Rhino poaching - to Breed to Dehorn or to Poison

I have spent many moons applying my mind as an anthropologist and conservationist to this (rhino horn) debate Furthermore the Pro-trade fraternity is very well organised and have presented many well-researched and convincing arguments to support their stance We at Transfrontier Africa have sat back and evaluated every article and motivation from this arena Herewith my opinion

We are talking about a typical supply-and-demand scenario when discussing trading in rhino horn There are a few facts that must be borne in mind

1 We already trade in rhino horn (albeit illegal and via poaching) - as much as five per day

2 New end-user markets have developed - thereby increasing the demand on a daily basis

3 This is not just about CTM (Chinese Traditional Medicine) as was originally thought it has become a status symbol in Vietnam and China to have an ornamental horn on display

4 Experiments in 1994 to introduce the Saiga Antelope horn as an alternative to rhino horn and accepted by the CTM Council The species was reported to number almost 25 million In the ensuing years that population dwindled by 95 due to hunting pressure for their horns Do we have that quantity of rhino

5 From the above example the market is not only vastly bigger than the early 1990rsquos but new end-users have begun to develop making the sustainable use of rhino horn an impossibility

(Note To read all 14 points made by Craig in this comment visit the article at wwwtourismtattlercozap=3725 - Editor)

It is therefore our opinion (mine and that of Transfrontier Africa) that the trade in rhino horn is both unethical (from a social and economic perspective) and unjustifiable As conservationists we must be

Discussion Forum

On the Tourism Tattler website click on the Article Discussion icon located above the lsquoSharersquo bar beneath each article - this

will open the discussion page in a new browser tab

How to contribute to article discussions

Or simply comment beneath the website article

JUNE 201306 Tourism Tattler Trade Journal

For more information visitwwwlivingstonessupplycocoza

The winning comment posted on the Tattler website during the month of May 2013 will receive a

GOVINO CHAMPAGNE 4 PACK ndash Valued at R154 with the compliments of Livingstones Supply Co ndash Suppliers of the Finest Products to the

Hospitality Industry

An alternative to Stainless Steel game drive cups the very green and award winning Californian designed Govino Champagne glasses allow you to enjoy fine wine in settings where breakable glass is as no-no or fine stemware is not available Reuse it abuse it but eventually recycle itGovino is equal to the quality of imported German wine glasses and are made from PETg so theyrsquore unbreakable and 100 recyclable Govino Champagne Glasses are ideal for Game Drives Beach Weddings Picnics Pool Areas and All outdoor events

Your comment has been chosen as the prize winner for May A copy of

Dereck and Beverly Joubertrsquos lsquoEye of the Leopardrsquo DVD will be delivered to you with the compliments of Livingstones Supply Co ndash suppliers of the finest products to the hospitality Industry

Editor

Win Congratulations to Craig Spencer

cognisant of the flaws in the structure of our society as well as that of our government

Craig Spencer - BWANA

The following are just a few of the comments made beneath certain articles posted on the Tattler website during the month of May

TRADE NEWS

Gautengrsquos Winter Wine Fest gears up for July

Your on line magazine is fantastic informative and so interesting Thank you so much I canrsquot wait to plan my next trip

Dianne

CONSERVATION

A Rhino Knightrsquos Tale

Dear Lloyd amp Isabel Your Rhino Knights and Earth Awareness campaigns are truly inspiring I would love to make a donation but I canrsquot do that by text message Can I make a contribution on your website or using paypal Please let me know the best way

Peace happiness and good fortune be with you for your epic journey and always

Nick Bodie

(Note Donations by various methods in support of the Rhino Knights campaign can be made at wwwearthawarenesscoza - Editor)

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 3: Tourism Tattler June 2013

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bull Email bevtourismtattlercoza

bull Skype bevtourismtattlerAd includes bullMagazine (Print amp Digital)bullNewsletter (Email Ad)bullWebsite (Banner Ad)

ReadersMonthly

Call Bev

JUNE 201304 Tourism Tattler Trade Journal

EDITORIAL

From the Editorrsquos Desk

Cover Story

Well Indaba is behind us for another year so now itrsquos back to work and running our tourism businesses And the daily work of running a business features large in this edition This is not the glamorous side of tourism that our clients see but itrsquos the essential stuff that keeps our industry running

On pages 8-9 Loane Sharp looks at the economy of South Africa ndash whatever else may happen we still have to operate in this environment and Loane says publicprivate partnerships are increasingly the way to go

We also tackle the vexed question of red tape in business ndash a bugbear to anyone who actually runs an entrepreneurial enterprise See what well known columnist Ivo Vegter has to say about that on page 28

We look at an intriguing new way of capturing data about wildlife on pages 12-13 And hear about progress from the Rhino Knights initiative ndash just one of many imaginative initiatives being undertaken in the cause of helping to stop the slaughter of one major species

Brent Willie looks at the vexed question of visas ndash another stumbling block to the expansion of African tourism on pages 18-19

And we consider a recent report on access to finance for improving our efforts to comply with ever stricter new climate-friendly regulations as well as what is happening in the hotel business that is eroding margins And we consider a new way to put lsquobums in bedsrsquo

There are our usual features on marketing and insurance so plenty of real meat in this Tourism Tattler to keep you reading

Marjorie

The Greek philosopher Herakleitos (Heraclitus) of Ephesus foresaw the future when he said ldquoThe Only Constant In Life Is Changerdquo Without change all things wither into a state of what the Greeks called lsquoatrophyrsquo or withering away

At Tourism Tattler change has certainly avoided atrophy We have come a long way since the media titlersquos humble beginnings in the 1990rsquos as an internal newsletter for SATSA members Back then the Tattler consisted of just 12 pages in single colour and a quarterly print run of under 1000 copies

In 2003 Tourism Tattler was registered as a publishing company with the aim of growing the magazinersquos circulation to a broader travel trade audience with more in-depth and relevant editorial content It became a glossy journal still covering SATSArsquos affairs although that role became more the domain of the weekly and latterly fortnightly SATSA RAP newsletter Tattler became more representative of the broader African travel trade industry encompassing other travel trade organisations such as RETOSA NAA-SA and SHTA who adopted the media title as their official trade journal with more associations coming onboard soon

With the advent of digital publishing the Tattlerrsquos reach has spread throughout Africa and globally where the publication is valued as an information and knowledge resource for tourism professionals The Tattler now has over 28000 subscribers located in every continent in the world and in 34 of Africarsquos 55 countries (AU member states)

Readership exceeds 30000 with social media linkages accounting for the difference In terms of subscriber profiling by travel trade sectors 43 are DMC (Tour Brokers Travel Agents Tour Operators Adventure Operators Transport Operators) 38 Accommodation (Hotels Lodges Guesthouses Attractions) and 19 are in the Travel Trade Service provider category

With global readership language preferences became a priority but with the introduction of the journalrsquos content being published as blog-style articles on the Tattler website since November 2012 Google Translate has overcome the language barrier Itrsquos interesting to note that of our Africa-based subscribers 46 are English 19 French 7 Arabic and 5 Portuguese speaking

Over the next few months readers will see the Tattler evolve yet again to better reflect the media titlersquos change from magazine publishing to content management and distribution

New innovations to be launched include Mobi Apps a searchable travel trade directory with Google Maps integration a PR self-upload feature for Trade News and Accolades an Affiliate Referral Programme and Email Marketing Services The next phase in our evolution will include an online travel community network aimed at profiling Africarsquos wealth of tourism products facilities and attractions to both inbound and domestic travellers alike

We look forward to sharing these innovations which are aimed at growing Africarsquos tourism industry and enhancing your businesses marketing efforts

JUNE 2013 05Tourism Tattler Trade Journal

Whither Atrophy

ARTICLE DISCUSSIONS

Article Comments - MayCONSERVATION

Rhino poaching - to Breed to Dehorn or to Poison

I have spent many moons applying my mind as an anthropologist and conservationist to this (rhino horn) debate Furthermore the Pro-trade fraternity is very well organised and have presented many well-researched and convincing arguments to support their stance We at Transfrontier Africa have sat back and evaluated every article and motivation from this arena Herewith my opinion

We are talking about a typical supply-and-demand scenario when discussing trading in rhino horn There are a few facts that must be borne in mind

1 We already trade in rhino horn (albeit illegal and via poaching) - as much as five per day

2 New end-user markets have developed - thereby increasing the demand on a daily basis

3 This is not just about CTM (Chinese Traditional Medicine) as was originally thought it has become a status symbol in Vietnam and China to have an ornamental horn on display

4 Experiments in 1994 to introduce the Saiga Antelope horn as an alternative to rhino horn and accepted by the CTM Council The species was reported to number almost 25 million In the ensuing years that population dwindled by 95 due to hunting pressure for their horns Do we have that quantity of rhino

5 From the above example the market is not only vastly bigger than the early 1990rsquos but new end-users have begun to develop making the sustainable use of rhino horn an impossibility

(Note To read all 14 points made by Craig in this comment visit the article at wwwtourismtattlercozap=3725 - Editor)

It is therefore our opinion (mine and that of Transfrontier Africa) that the trade in rhino horn is both unethical (from a social and economic perspective) and unjustifiable As conservationists we must be

Discussion Forum

On the Tourism Tattler website click on the Article Discussion icon located above the lsquoSharersquo bar beneath each article - this

will open the discussion page in a new browser tab

How to contribute to article discussions

Or simply comment beneath the website article

JUNE 201306 Tourism Tattler Trade Journal

For more information visitwwwlivingstonessupplycocoza

The winning comment posted on the Tattler website during the month of May 2013 will receive a

GOVINO CHAMPAGNE 4 PACK ndash Valued at R154 with the compliments of Livingstones Supply Co ndash Suppliers of the Finest Products to the

Hospitality Industry

An alternative to Stainless Steel game drive cups the very green and award winning Californian designed Govino Champagne glasses allow you to enjoy fine wine in settings where breakable glass is as no-no or fine stemware is not available Reuse it abuse it but eventually recycle itGovino is equal to the quality of imported German wine glasses and are made from PETg so theyrsquore unbreakable and 100 recyclable Govino Champagne Glasses are ideal for Game Drives Beach Weddings Picnics Pool Areas and All outdoor events

Your comment has been chosen as the prize winner for May A copy of

Dereck and Beverly Joubertrsquos lsquoEye of the Leopardrsquo DVD will be delivered to you with the compliments of Livingstones Supply Co ndash suppliers of the finest products to the hospitality Industry

Editor

Win Congratulations to Craig Spencer

cognisant of the flaws in the structure of our society as well as that of our government

Craig Spencer - BWANA

The following are just a few of the comments made beneath certain articles posted on the Tattler website during the month of May

TRADE NEWS

Gautengrsquos Winter Wine Fest gears up for July

Your on line magazine is fantastic informative and so interesting Thank you so much I canrsquot wait to plan my next trip

Dianne

CONSERVATION

A Rhino Knightrsquos Tale

Dear Lloyd amp Isabel Your Rhino Knights and Earth Awareness campaigns are truly inspiring I would love to make a donation but I canrsquot do that by text message Can I make a contribution on your website or using paypal Please let me know the best way

Peace happiness and good fortune be with you for your epic journey and always

Nick Bodie

(Note Donations by various methods in support of the Rhino Knights campaign can be made at wwwearthawarenesscoza - Editor)

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 4: Tourism Tattler June 2013

EDITORIAL

From the Editorrsquos Desk

Cover Story

Well Indaba is behind us for another year so now itrsquos back to work and running our tourism businesses And the daily work of running a business features large in this edition This is not the glamorous side of tourism that our clients see but itrsquos the essential stuff that keeps our industry running

On pages 8-9 Loane Sharp looks at the economy of South Africa ndash whatever else may happen we still have to operate in this environment and Loane says publicprivate partnerships are increasingly the way to go

We also tackle the vexed question of red tape in business ndash a bugbear to anyone who actually runs an entrepreneurial enterprise See what well known columnist Ivo Vegter has to say about that on page 28

We look at an intriguing new way of capturing data about wildlife on pages 12-13 And hear about progress from the Rhino Knights initiative ndash just one of many imaginative initiatives being undertaken in the cause of helping to stop the slaughter of one major species

Brent Willie looks at the vexed question of visas ndash another stumbling block to the expansion of African tourism on pages 18-19

And we consider a recent report on access to finance for improving our efforts to comply with ever stricter new climate-friendly regulations as well as what is happening in the hotel business that is eroding margins And we consider a new way to put lsquobums in bedsrsquo

There are our usual features on marketing and insurance so plenty of real meat in this Tourism Tattler to keep you reading

Marjorie

The Greek philosopher Herakleitos (Heraclitus) of Ephesus foresaw the future when he said ldquoThe Only Constant In Life Is Changerdquo Without change all things wither into a state of what the Greeks called lsquoatrophyrsquo or withering away

At Tourism Tattler change has certainly avoided atrophy We have come a long way since the media titlersquos humble beginnings in the 1990rsquos as an internal newsletter for SATSA members Back then the Tattler consisted of just 12 pages in single colour and a quarterly print run of under 1000 copies

In 2003 Tourism Tattler was registered as a publishing company with the aim of growing the magazinersquos circulation to a broader travel trade audience with more in-depth and relevant editorial content It became a glossy journal still covering SATSArsquos affairs although that role became more the domain of the weekly and latterly fortnightly SATSA RAP newsletter Tattler became more representative of the broader African travel trade industry encompassing other travel trade organisations such as RETOSA NAA-SA and SHTA who adopted the media title as their official trade journal with more associations coming onboard soon

With the advent of digital publishing the Tattlerrsquos reach has spread throughout Africa and globally where the publication is valued as an information and knowledge resource for tourism professionals The Tattler now has over 28000 subscribers located in every continent in the world and in 34 of Africarsquos 55 countries (AU member states)

Readership exceeds 30000 with social media linkages accounting for the difference In terms of subscriber profiling by travel trade sectors 43 are DMC (Tour Brokers Travel Agents Tour Operators Adventure Operators Transport Operators) 38 Accommodation (Hotels Lodges Guesthouses Attractions) and 19 are in the Travel Trade Service provider category

With global readership language preferences became a priority but with the introduction of the journalrsquos content being published as blog-style articles on the Tattler website since November 2012 Google Translate has overcome the language barrier Itrsquos interesting to note that of our Africa-based subscribers 46 are English 19 French 7 Arabic and 5 Portuguese speaking

Over the next few months readers will see the Tattler evolve yet again to better reflect the media titlersquos change from magazine publishing to content management and distribution

New innovations to be launched include Mobi Apps a searchable travel trade directory with Google Maps integration a PR self-upload feature for Trade News and Accolades an Affiliate Referral Programme and Email Marketing Services The next phase in our evolution will include an online travel community network aimed at profiling Africarsquos wealth of tourism products facilities and attractions to both inbound and domestic travellers alike

We look forward to sharing these innovations which are aimed at growing Africarsquos tourism industry and enhancing your businesses marketing efforts

JUNE 2013 05Tourism Tattler Trade Journal

Whither Atrophy

ARTICLE DISCUSSIONS

Article Comments - MayCONSERVATION

Rhino poaching - to Breed to Dehorn or to Poison

I have spent many moons applying my mind as an anthropologist and conservationist to this (rhino horn) debate Furthermore the Pro-trade fraternity is very well organised and have presented many well-researched and convincing arguments to support their stance We at Transfrontier Africa have sat back and evaluated every article and motivation from this arena Herewith my opinion

We are talking about a typical supply-and-demand scenario when discussing trading in rhino horn There are a few facts that must be borne in mind

1 We already trade in rhino horn (albeit illegal and via poaching) - as much as five per day

2 New end-user markets have developed - thereby increasing the demand on a daily basis

3 This is not just about CTM (Chinese Traditional Medicine) as was originally thought it has become a status symbol in Vietnam and China to have an ornamental horn on display

4 Experiments in 1994 to introduce the Saiga Antelope horn as an alternative to rhino horn and accepted by the CTM Council The species was reported to number almost 25 million In the ensuing years that population dwindled by 95 due to hunting pressure for their horns Do we have that quantity of rhino

5 From the above example the market is not only vastly bigger than the early 1990rsquos but new end-users have begun to develop making the sustainable use of rhino horn an impossibility

(Note To read all 14 points made by Craig in this comment visit the article at wwwtourismtattlercozap=3725 - Editor)

It is therefore our opinion (mine and that of Transfrontier Africa) that the trade in rhino horn is both unethical (from a social and economic perspective) and unjustifiable As conservationists we must be

Discussion Forum

On the Tourism Tattler website click on the Article Discussion icon located above the lsquoSharersquo bar beneath each article - this

will open the discussion page in a new browser tab

How to contribute to article discussions

Or simply comment beneath the website article

JUNE 201306 Tourism Tattler Trade Journal

For more information visitwwwlivingstonessupplycocoza

The winning comment posted on the Tattler website during the month of May 2013 will receive a

GOVINO CHAMPAGNE 4 PACK ndash Valued at R154 with the compliments of Livingstones Supply Co ndash Suppliers of the Finest Products to the

Hospitality Industry

An alternative to Stainless Steel game drive cups the very green and award winning Californian designed Govino Champagne glasses allow you to enjoy fine wine in settings where breakable glass is as no-no or fine stemware is not available Reuse it abuse it but eventually recycle itGovino is equal to the quality of imported German wine glasses and are made from PETg so theyrsquore unbreakable and 100 recyclable Govino Champagne Glasses are ideal for Game Drives Beach Weddings Picnics Pool Areas and All outdoor events

Your comment has been chosen as the prize winner for May A copy of

Dereck and Beverly Joubertrsquos lsquoEye of the Leopardrsquo DVD will be delivered to you with the compliments of Livingstones Supply Co ndash suppliers of the finest products to the hospitality Industry

Editor

Win Congratulations to Craig Spencer

cognisant of the flaws in the structure of our society as well as that of our government

Craig Spencer - BWANA

The following are just a few of the comments made beneath certain articles posted on the Tattler website during the month of May

TRADE NEWS

Gautengrsquos Winter Wine Fest gears up for July

Your on line magazine is fantastic informative and so interesting Thank you so much I canrsquot wait to plan my next trip

Dianne

CONSERVATION

A Rhino Knightrsquos Tale

Dear Lloyd amp Isabel Your Rhino Knights and Earth Awareness campaigns are truly inspiring I would love to make a donation but I canrsquot do that by text message Can I make a contribution on your website or using paypal Please let me know the best way

Peace happiness and good fortune be with you for your epic journey and always

Nick Bodie

(Note Donations by various methods in support of the Rhino Knights campaign can be made at wwwearthawarenesscoza - Editor)

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 5: Tourism Tattler June 2013

ARTICLE DISCUSSIONS

Article Comments - MayCONSERVATION

Rhino poaching - to Breed to Dehorn or to Poison

I have spent many moons applying my mind as an anthropologist and conservationist to this (rhino horn) debate Furthermore the Pro-trade fraternity is very well organised and have presented many well-researched and convincing arguments to support their stance We at Transfrontier Africa have sat back and evaluated every article and motivation from this arena Herewith my opinion

We are talking about a typical supply-and-demand scenario when discussing trading in rhino horn There are a few facts that must be borne in mind

1 We already trade in rhino horn (albeit illegal and via poaching) - as much as five per day

2 New end-user markets have developed - thereby increasing the demand on a daily basis

3 This is not just about CTM (Chinese Traditional Medicine) as was originally thought it has become a status symbol in Vietnam and China to have an ornamental horn on display

4 Experiments in 1994 to introduce the Saiga Antelope horn as an alternative to rhino horn and accepted by the CTM Council The species was reported to number almost 25 million In the ensuing years that population dwindled by 95 due to hunting pressure for their horns Do we have that quantity of rhino

5 From the above example the market is not only vastly bigger than the early 1990rsquos but new end-users have begun to develop making the sustainable use of rhino horn an impossibility

(Note To read all 14 points made by Craig in this comment visit the article at wwwtourismtattlercozap=3725 - Editor)

It is therefore our opinion (mine and that of Transfrontier Africa) that the trade in rhino horn is both unethical (from a social and economic perspective) and unjustifiable As conservationists we must be

Discussion Forum

On the Tourism Tattler website click on the Article Discussion icon located above the lsquoSharersquo bar beneath each article - this

will open the discussion page in a new browser tab

How to contribute to article discussions

Or simply comment beneath the website article

JUNE 201306 Tourism Tattler Trade Journal

For more information visitwwwlivingstonessupplycocoza

The winning comment posted on the Tattler website during the month of May 2013 will receive a

GOVINO CHAMPAGNE 4 PACK ndash Valued at R154 with the compliments of Livingstones Supply Co ndash Suppliers of the Finest Products to the

Hospitality Industry

An alternative to Stainless Steel game drive cups the very green and award winning Californian designed Govino Champagne glasses allow you to enjoy fine wine in settings where breakable glass is as no-no or fine stemware is not available Reuse it abuse it but eventually recycle itGovino is equal to the quality of imported German wine glasses and are made from PETg so theyrsquore unbreakable and 100 recyclable Govino Champagne Glasses are ideal for Game Drives Beach Weddings Picnics Pool Areas and All outdoor events

Your comment has been chosen as the prize winner for May A copy of

Dereck and Beverly Joubertrsquos lsquoEye of the Leopardrsquo DVD will be delivered to you with the compliments of Livingstones Supply Co ndash suppliers of the finest products to the hospitality Industry

Editor

Win Congratulations to Craig Spencer

cognisant of the flaws in the structure of our society as well as that of our government

Craig Spencer - BWANA

The following are just a few of the comments made beneath certain articles posted on the Tattler website during the month of May

TRADE NEWS

Gautengrsquos Winter Wine Fest gears up for July

Your on line magazine is fantastic informative and so interesting Thank you so much I canrsquot wait to plan my next trip

Dianne

CONSERVATION

A Rhino Knightrsquos Tale

Dear Lloyd amp Isabel Your Rhino Knights and Earth Awareness campaigns are truly inspiring I would love to make a donation but I canrsquot do that by text message Can I make a contribution on your website or using paypal Please let me know the best way

Peace happiness and good fortune be with you for your epic journey and always

Nick Bodie

(Note Donations by various methods in support of the Rhino Knights campaign can be made at wwwearthawarenesscoza - Editor)

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 6: Tourism Tattler June 2013

JUNE 2013 07Tourism Tattler Trade Journal

AVIATION

I attended the Hotel Investment Conference Africa (HICA 2013) which was convened at the Elengeni Hotel in Durban from 8 to 10 May and looking at the programme I noticed that one of the panel discussions was called lsquoHard talk between airlines tour operators and hoteliers - What needs to be done to generate the required numbers of tourist to visit the region ndash address issues such as seasonality geographic spread increasing the touristrsquos average length of stay and spendrsquo So the prospectus description reads

I thought the premise of the question was wrong so I asked Michael Tollman executive chairman and CEO of Cullinan Holdings whether we shouldnrsquot rather be looking at what visitors want and then working towards delivering on that Surely we should consider demand rather than what we want

The most helpful way to answer me he said was to look at the problem from a global perspective Southern Africa is just one destination and itrsquos competing against many other major markets in which pricing and products are more competitive

ldquoWe should be doing more to assess the trends in travel and working together to grow the business Look at Egypt before its current political problems its tourism industry pulled together and their arrivals grew from almost nothing to 16 million a year Southern Africa should be getting those numbers This is a beautiful country with fantastic infrastructurerdquo said Tollman

Too expensive

Michael is a director of various companies that have interests in hotels cruising coach touring tour operations and more and he said that their experience is that people want value and service

ldquoSouth Africa is expensive if you compare the price per mile or per hour against other long-haul destinationsrdquo

He wanted to illustrate his point so he got quotes for return flights on a given day in May for both business and economy class travellers from London to New York Miami Sydney or Johannesburg (ldquoBusiness class tourists are of particular interest because they spend morerdquo)

ldquoIt takes 22 hours 55 to fly from the UK to Sydney and 10 hours 45 to Johannesburg ndash but even though itrsquos more than double the flying time the flight to Sydney was 9 less expensive than the flight to Johannesburg

ldquoAnd whilst it takes almost the same amount of time to Miami or Johannesburg business class to Johannesburg is 69 more expensive than business class to Miamirdquo

The actual quotes

bull LondonNew YorkLondon (7 hours 30 minutes) Business class pound250475 Economy class pound77375 (this was the lowest possible

Airlines and Tourism in Southern Africa - cleared for takeoff

Working in isolation as competitors the airline industry and hence tourist arrival figures to the

Southern Africa region are doomed to fail writes Martin Hatchuel

fare in business class A fare of pound 42775 was available in economy)

bull LondonMiamiLondon (9 hours 5 minutes) Business class pound315075 Economy class pound85475 (the cheapest possible fare in business class was pound282175 and in economy pound57275)

bull LondonSydneyLondon (22 hours 55 minutes) Business class pound487785 Economy class pound129785 (the cheapest possible fare in business class was pound405485 and in economy pound97085)

bull LondonJohannesburgLondon (10 hours 45 minutes) Business class pound532385 Economy class pound87385 (the cheapest possible fare in business class was pound512585 and in economy pound87385)

pound532385 from London to Johannesburg It shouldnrsquot be like that

ldquoYou canrsquot successfully set prices in isolationrdquo said Michael

ldquoTravel and hospitality are like any other business ndash to be perceived as offering value you have to pitch your prices in line with whatrsquos being charged in other marketsrdquo

Other reasons why SA lags

This isnrsquot the only reason South Africarsquos lagging behind he said therersquos also the generally accepted perception about crime (and Irsquod suggest the way we report about it But thatrsquos another discussion)

ldquoI donrsquot believe crime should be an issue when it comes to tourism because if you look at the data the number of crimes against tourists is negligible crime generally doesnrsquot happen in the places where tourism takes placerdquo

Also he said visas are a challenge ndash and here I laughed because Irsquod recently idled through the back pages of The GSA and read the visa requirements of the various countries and shook my head at all the hoops they expect you to jump through before theyrsquoll deign to allow you to visit ldquoItrsquos almost as though they donrsquot want touristsrdquo I said Michael agreed ldquoIt would be good to achieve a uni-visa for all Southern African countries including Mauritiusrdquo

In the end though he came back to that simplest and most difficult of business basics value ldquoTour operators airlines and hotels ndash itrsquos important that we all work together to give value to our customers If they leave and wersquove exceeded their expectations theyrsquoll come back and theyrsquoll send their friendsrdquo

Marc Cavaliere Head of Global Sales Development at South African Airways delivered a presentation titled lsquoAirlift amp Air Accessrsquo which describes the current state of affairs in the Sub Saharan Market and the airlines focus on tourism The presentation can be downloaded at wwwtourismtattlercozadownloadsAirlift-and-Air-Access-in-sub-Saharan-Africapdf

This article was originally published as a blog on behalf of the TBCSA For more insights from Martin Hatchuel visit wwwthistourismweekcoza

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 7: Tourism Tattler June 2013

The private sector by contrast has improved its competitiveness It is vibrant innovative and increasingly competitive and can stand up to comparison with any country in the world

The World Economic Forum ndash the Swiss non-profit foundation funded by the worldrsquos largest 1000 multinational business enterprises ndash produces the annual Global Competitiveness Report A countryrsquos ranking is based on 111 dimensions ranging from property rights to innovation and tax rates South Africa ranks 52nd out of 144 countries

It is possible to split these dimensions between the private sector (such as the quality of professional management and the availability of financial services) and the public sector (such as the quality of public infrastructure and the reliability of police services) The private sector in South Africa is ranked 34th in the world (alongside Chile) whereas the public sector is ranked 80th in the world (alongside Guatemala)

SArsquos private sector is in its best shape ever

The proportion of national income attributable to private business enterprises (including the largest category sole proprietors) has increased from 39 percent in 2000 to 51 percent in 2012

The real risk-adjusted return on capital of South African listed businesses is currently 10 percent ndash the highest in the world and twice as high as the five percent achieved in apartheid-era South Africa

In some notable areas ndash including accounting standards corporate board effectiveness securities exchanges financial rights soundness of banks and access to credit ndash South Africa ranks the very highest (1) in the world

For black South Africans employed in the private sector incomes are rising by 11 percent per annum nearly treble the four percent increase for whites and racial disparities between wage-earners are likely to disappear within a decade

Excellent tertiary education options in the private sector particularly in Gauteng have created a class of black commerce and finance graduates who within a few short years will transform the management of South African enterprises As the latest census shows a substantial number of young Africans are no longer becoming teachers and nurses but rather accountants and business managers

In response to high income tax rates and restrictive labour laws many South African small businesses are re-forming themselves in

The two faces of SArsquos economyBUSINESS

JUNE 201308 Tourism Tattler Trade Journal

the informal sector where they donrsquot comply with labour laws or pay income taxes

According to Adcorprsquos calculations South Africarsquos true unemployment rate is around nine percent not 25 percent as Statistics SA would have us believe because an estimated 42-million more people are involved in the informal sector than the official figures suggest

SArsquos public sector by contrast is in an advanced state of collapse

Private alternatives are springing up all over the place in response to government incompetence

There are more private security guards (421 000) than police officers (151 000) Government school enrolments fell five percent in 2012 whereas low-fee private school enrolments grew 23 percent

Judges complain that the most interesting commercial cases now go to private arbitration side-stepping the courts altogether Private hospitals possessing only 12 percent of the countryrsquos bed-nights treat 35 percent of all ldquobelly buttonsrdquo each year

Eschewing the countryrsquos highly restrictive labour laws and regulations businesses now employ 36 percent fewer workers to perform a given unit of work than they did in 1990

South Africarsquos public sector ranks notably poorly in such areas as labour hostility (144th out of 144 countries) crime and violence (134th) primary education (132nd) regulatory burden (123rd) organized crime (111th) nepotism by government officials (110th) electricity supply (94th) and reliability of police (90th)

Even that paragon of administrative efficiency the South African Revenue Service (SARS) was so aggressive in collecting income taxes between 2006 and 2011 that it drove 440 000 small businesses into the informal sector

At present 17 percent of taxpayers account for 243 percent of tax revenues ndash and 45 percent of taxpayers account for nearly 40 percent of tax revenues The ldquoone percentrdquo in South Africa shoulders the highest incidence of income tax in the world

Just one evil Unemployment

Perhaps the greatest government failure has been in the area of unemployment

Government officials have recently started pointing to the ldquotriple evilsrdquo of poverty inequality and unemployment In reality there is just one evil poverty and inequality reduced essentially to the problem of unemployment poor people do not have jobs and inequality between those who have formal sector jobs is comparatively small

The Global Competitiveness Report 20122013 tells the story In the public sector our competitiveness has declined significantly Individuals and institutions are infected by a general malaise of corruption

incompetence and ideological bankruptcy writes Loane Sharp

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 8: Tourism Tattler June 2013

BUSINESS

How to get moreGerman Tourists to SA

FVW TRADE MAGAZINE - wwwfvwdeThe leading trade magazine for tourism and business travel businesses in Germany(Subscription rate and reach)Distribution 31 582

Tourism Tattler represents FVW Mediengruppe as their

BIZ TRAVEL MAGAZINE - wwwBizTraveldeA monthly trade magazine for staff in charge of business travel and event (MICE) planning and purchasing in GermanyDistribution 30 002

TRAVEL TALK MAGAZINE - wwwTravelTalkdeA weekly magazine for travel agents in Germany TravelTalkde is the network for travel sales staff This is where about 14000 German travel agents discuss latest industry news and exchange know-how Distribution 31 020

ContactBeverley LangkildeTel +27 (0)87 727 8634Cell +27 (0)71 224 9971Email bevtourismtattlercoza

advertising agent for the SA region

For example South Africarsquos Gini coefficient is 063 (ie very high inequality) when measured using income When measured using consumption the Gini coefficient is smaller because government reduces inequality by taxing middle- and high-income individuals and making transfers to the poor including the provision of free or low-cost public services

South Africarsquos Gini coefficient is 058 when adjustments are made for social grant income (ie old age pensions disability grants family and other allowances workmenrsquos compensation claims alimony and other income from individuals)

South Africarsquos Gini falls further to 054 when adjustments are made for free water sanitation electricity and other free public services

Finally the Gini falls to 052 when adjustments are made for direct personal income tax While this Gini coefficient is still relatively high and difficult to compare to other countries it clearly indicates that true inequality in South Africa is much lower than is generally reported for the reason that the impact of government social policies on inequality is substantial

PrivatePublic co-existence

It is highly unlikely that these two sets of circumstances ndash a prospering private sector and a predatory public sector ndash can co-exist for long What we are no doubt observing is the ldquohollowing-outrdquo of the state where only empty symbols of public service remain ndash generously paid civil servants who lack accountability and are concerned more with trade union appeasement than service delivery

Public services such as education health security and infrastructure will have to be provided by the private sector and the remaining public services ndash border controls vehicle licensing tax collection and the like ndash will remain what they are now fast becoming namely opportunities for petty bribes

South Africans are responding to these forces in rational ways For example growing numbers of people have started under-reporting their incomes to the authorities for the purpose of income tax evasion As a whole 45-million people report to Statistics SA enumerators that they earn income in the taxable range whereas 62-million are actually paying income tax to SARS ndash an undercount by Statistics SA of 27 percent Or stated differently the average taxpayer income is R266 641 per annum according to SARS and R193 325 per annum according to Stats SA ndash an undercount of 28 percent

Ever entrepreneurial South Africans are finding interesting ways to ldquojiverdquo the tax system According to our calculations the authorities are only collecting two-thirds of the income taxes owing to them

Households have succeeded in hiding from the tax authorities around one-half of their incomes a figure that hasnrsquot changed appreciably over the past 50 years

Conclusion

There is a great deal of good news about the country very nearly all of it from the private sector A sure-fire recipe for low-stress living is to cancel the newspaper switch off the SABC and spend more time trying to understand and debate the truth of this beloved country of ours

Loane Sharp is the Labour Economist at Adcorp wwwadcorpcoza

JUNE 2013 09Tourism Tattler Trade Journal

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 9: Tourism Tattler June 2013

For the first time since the end of Apartheid businesses will have to ask the governmentrsquos permission to operate The wealthy elite can thank Minister of Trade and Industry Rob Davies for a new age of protectionism The poor can thank him for a new age of oppression exclusion

corruption and unemployment writesIvo Vegter

The reaction to the Licensing of Business Bill gazetted by Trade and Industry Minister Rob Davies gave the public only 30 days to become aware of this monstrosity and file comment The draft is dated 18 March 2013 so by now as the mafia would say wersquore shit outta luck

So herersquos how the New New South Africa is going to work Unlike the Old New South Africa in which citizens for the first time tasted the fruits of freedom it will be more like the Bad Old South Africa in which government bureaucrats had the power to inspect the books search the premises shake down the owners and shut up the shops of ldquoundesirable elementsrdquo

You see in 1991 in the early stages of the negotiations that led to the liberation of South Africa and the peaceful transition to freedom and democracy a law was passed that abolished the Apartheid rules that required all businesses to seek government permits to operate

The government of Verwoerd Vorster and Botha used those laws to raise the barriers and costs for new entrants into the market to curb the growth of the informal and small business sector to limit where businesses where allowed to trade and what they were allowed to trade in to harass those of whom the government did not approve and ultimately to enforce the racist segregation policies that benefited white and particularly Afrikaans business at the expense of the majority

Business Act of 1991

The law that liberated South African business was crafted by the Law Review Project and was known as the Business Act of 1991 For the first time blacks were freely permitted to enter into business and companies across the board were relieved of their bureaucratic straitjackets Laws such as these were responsible during the first decade of democracy for South Africarsquos rapid rise up the world rankings on personal political and economic freedom However that rise has stalled and reversed On all the major indices of freedom kept by such august bodies as Freedom House the World Bank the World Economic Forum the Institute for Property Rights and Transparency International South Africa has been sinking like a stone in the most recent decade

Mr Davies it appears is intent on completing the reversal to Apartheid-style government control over the entire economy His draft Bill published with the approval of Cabinet will repeal the Business Act of 1991 in its entirety along with all associated proclamations and regulations

In its stead everyone who proposes to do business of any sort even if it is only to hawk home-grown mielies at a taxi rank will have to ask the government for permission A license will be subject to a fee yet to be determined administrative penalties subject to the discretion of

BUSINESS

The Big Business Bribery Bill

JUNE 201310 Tourism Tattler Trade Journal

bureaucrats and ultimately jail time of up to 10 years for conducting an unlicensed business

Violations for which licenses may be denied suspended or revoked range from relatively serious offences such as causing riots or selling stolen property (including intellectual property such as branded clothing or entertainment) to the sort of bureaucratic laws that almost everyone at some point falls foul of such as employing illegal immigrants or violating tax law All are already illegal under existing law

Not daunted by the administrative failures at the former Cipro now known as the Companies and Intellectual Property Commission the Bill calls for an elaborate and expensive new register of all businesses to be maintained containing full particulars of even the rats and mice

Inspection

Almost everyone with a government job title and a uniform is deemed to be an ldquoinspectorrdquo under this law from customs officials and police

officers to health and safety inspectors and even traffic cops Additional inspectors can be appointed by the minister should this army not suffice

These inspectors will have wide-ranging powers Armed only with the ldquoreasonable suspicionrdquo that ldquoa business is being conductedrdquo they will have the right to enter and search premises investigate complaints question anybody on the premises confiscate goods (they ldquomayrdquo issue a receipt) summon business owners to appear before them and shut down premises temporarily or permanently

Of course the Bill claims that all this is done to ldquopromote the right to freedom of trade occupation and profession and any rights contained in the Constitutionrdquo and to combat illegal activities Another purpose is to prevent illegal immigrants from being able to work or conduct business in South Africa and to combat the sale of counterfeit merchandise and other unlawful products

Potential harms

Here are just some of the harms the Licensing of Businesses Bill would cause

It would vastly expand the potential for bribery and corruption If I were an official with a penchant for lining my own pockets Irsquod call this the Christmas Box Bill

The provisions are so broad and vague and the recourse for company owners so onerous and time-consuming that all you have to do to land a generous pay-off even from a perfectly legitimate business is issue a threat There is no check on your power to summon someone

ldquoYou do not examine legislation in the light of the benefits it will convey if properly administered but in the light of the wrongs it would do and the harms it would cause if improperly administeredrdquo

US President Lyndon B Johnson

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 10: Tourism Tattler June 2013

BUSINESS

to your office or turn up at their office with a squad of goons and a threat to search the premises seize records and warehouse stock interview disgruntled employees or shut down the business while you ldquoinvestigaterdquo a ldquocomplaintrdquo

But the impact will be much broader than just making corruption childrsquos play

Even if all the inspectors ndash that is all the police traffic officers customs agents and sundry other civil servants ndash are public-spirited souls who are as honest as the day is long the Bill can be abused in a myriad of ways

Big business benefits

Established businesses can and will use it as a sledgehammer against competitors and especially against upstart competitors who havenrsquot yet learnt how to navigate the maze of red tape or canrsquot afford entire ldquocompliance departmentsrdquo to manage the bureaucracy

In fact expect big business to back Davies and to support this Bill After all they can afford the cost of bureaucracy and benefit from hurdles for their competition

So if they do support it donrsquot for a moment believe it will be good for any business other than their own or that their motive is anything other than a venal desire to hurt competitors and kowtow to the bureaucrats who award them their tenders Therersquos nothing wholesome about the cosy alliance between government officials and their business cronies so it is unwise to take the croniesrsquo word for the desirability of a Big Brother law

Besides competitors this law will be useful to assorted racists xenophobics and moralising Mother Grundys who can all use it to shut down shops and traders of which they disapprove on the flimsiest and most self-serving of grounds Expect it to be war especially at the small-business end of the market where three-quarters of all hiring and half of all turnover takes place

The cost of it alll

In the sluggish economic climate of today it is already a scary prospect to risk your career and savings on starting a new business in large part because of the bureaucracy associated with it According to the SME Growth Index a third of all small businesses reported that their survival has been threatened in the last year It estimates that the cost of red tape is on average about 4 of turnover which at the margin is more than enough to turn tentative profitability into certain bankruptcy for a small business It also notes that it hits small firms more than twice as hard as big companies ldquoRed tape is thus particularly regressive and hurts those firms that are most vulnerable the mostrdquo the reportrsquos authors write

Three-quarters of surveyed businesses said it has become more difficult for them to do business over the last year and while they cited numerous reasons more than one in five pointed to red tape regulation and the cost of doing business as impediments to growth

We canrsquot eat platitudes and when faced with fines and even 10-year jail terms for not asking permission to make a living sweet-sounding words are no consolation

The NBPrsquos view

The National Development Plan has this to say about small business ldquoSome 90 of jobs will be created in small and expanding firms The economy will be more enabling of business entry and expansion with an eye to credit and market access By 2030 the share of small- and medium-sized firms in output will grow substantially Regulatory reform and support will boost mass entrepreneurship Export growth with

appropriate linkages to the domestic economy will be critical in boosting growth and employment with small and medium-sized firms the main employment creatorsrdquo

Not if Rob Davies gets his way The Licensing of Businesses Bill must be fought and it must be defeated People who trade in illegal merchandise violate municipal by-laws and zoning regulations or employ illegal immigrants can already be prosecuted under existing law Sad to say

this onerous new Bill will join a growing list of repressive and regressive law proposed by a ruling party that once fought for our freedom

Twenty years ago a new free South Africa dawned Perhaps it was too much to expect daylight to last forever So before my publican gets shaken down and closes up shop Irsquom off to the pub for some sundowners

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

JUNE 2013 11Tourism Tattler Trade Journal

A new Bill which merely raises the burden on doing business further will force many companies to shut down even if their operations are perfectly legitimate Especially in the informal sector expect owners to seek corporate employment and employees to be out on the street In the name of law and order this Bill will condemn thousands if not millions of South Africans to unemployment and poverty

More on the Business Licensing BillThe Helen Suzman Foundation had this to say about the Business Licensing Bill (excerpt extracted from wwwhsforgza dated 09 May 2013) - Editor

Objections

The Mises Institute of South Africabull the use of the Constitution to justify the Bill is invalid as it does not

authorise the State to require peaceful individuals to have permission to engage in voluntary exchange in any clause

bull the power of inspectors may lead to an increase in corrupt practices as there are no regulations on this power given to inspectors

bullhawkers could face an astonishing punishment for doing business

State reaction

According to Lionel October Director General of the DTI advantages of this Billl arebullby registering informal sector traders would also be able to get onto

a database which would allow them to gain access to government support programmes

bull registration of informal businesses would help the Department to target support at such businesses

bull the Bill would also help the government to crack down on traders selling items such as pirated DVDs

bull that businesses such as bars taverns or restaurants already in possession of the necessary licence needed to operate would be exempt

bull that the granting of licences will ensure greater security to operate a business

Private sector reaction

Business Unity SA (wwwbusaorgza) believes that the Bill will unintentionally impede the growth and development of small and medium enterprises (SMEs) and further harm a sector with an already high business failure rate

This is also worrying considering that most economists see SMEs as being the engines of growth in developing economies

The Bill contradicts the National Development Plan (NDP) which sees 90 percent of all jobs by 2030 derived from the small enterprises sector

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

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NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 11: Tourism Tattler June 2013

JUNE 201312 Tourism Tattler Trade Journal

CONSERVATION

The origins of Wildspotsorg were forged over a decade ago when Wally Petersen founder of the Kommetjie Environmental Awareness Group started mapping species localities on the southern Cape Peninsula Over the years this grew into a useful database and soon interesting trends appeared on the migration and distribution of individual species

The database was extended with Wallyrsquos travels around southern Africa and Madagascar In particular studies were done on the large numbers of animals killed on the roads

Two close friends from the eco-tourism and wildlife hospitality industries Russ Weston of Greenlife Africa and Jurie Moolman of Djuma Game Reserve saw the huge value in the many significant observations and in 2012 the three of them planned and developed a user-friendly recording system wwwwildspotsorg

In a very short period of time Wildspots rapidly grew to encompass over 7 000 records comprising over 800 unique species These include records from Botswana Namibia Swaziland Mozambique and Madagascar Wildspots is a non-commercial free website and the information is freely available to everyone working in the biodiversity field Wildspots records are contributed to the ADU and Mammal Map databases

About the founders

Russ Weston is a nature ambassador family man humanitarian and free spirit who was a foremost pioneer of experiential travel in

Three enterprising conservationists have developed a website to track and record the migration and distribution of individual animal bird and insect species and are appealing to game reserves wildlife conservancies NGOs and tourists alike to share their sightings in a

national database writes Des Langkilde

Southern Africa Before starting Greenlife in 1992 Russ spent time as a research assistant and specialist nature guide leading expeditions throughout Southern Africa

Jurie Moolman is a hospitality provider and owner of Djuma Game Reserve - a 9000 ha private game reserve which forms part of the Sabi Sands Private Nature Reserve and the Greater Kruger National Park He is also involved in breeding rare and endangered animals at his 35 000 ha Thaba Tholo facility near Thabazimbi

Wally Petersen says that they can offer a special company membership badge to those members and websites that promote Wildspots to their guests ldquoWe plan to add more components and specify categories such as marine life to Wildspots soon We need experts to assist us with identification and systems to categorize the wealth of biodiversity appeal to the travel industry specifically guesthouses safari camps and country estates to come on board in the various areas We also appeal for local experts to adopt specific areas to help us qualify recordsrdquo

Recording Wildlife Spotting Online

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 12: Tourism Tattler June 2013

JUNE 2013 13Tourism Tattler Trade Journal

Citizen Science

The Wildspots system provides excellent tools for specific research projects for closed and public collaboration logging

The aim is to focus primarily in the educational field and the founders hope to take Wildspots to over a thousand schools throughout southern Africa particularly those in the rural areas where biodiversity information would be particularly valuable ldquoWe believe that young wildlife observers will have a better chance of becoming young conservationists The power of observation can never be underestimated There is a growing global trend that recognizes the value of Citizen Sciencerdquo says Petersen

ldquoThe tourism industry can make a huge contribution as the website provides great opportunity for tourists to make a meaningful contribution by logging species they encounter during their safari activities By observing and recording the wildlife sightings around them the visitors experience will be enhancedrdquo adds Petersen

Each facility can set up their own unique focus area to map and record species sightings with the greatest of ease Guests will have a personal record of their visit with great features including wildlife checklists location maps and field notes Property owners have tools on Wildspots to accurately define their reserve boundaries and invite contributors and members

Website features

Record

A Record represents a wildlife sighting that has been captured on Wildspotsorg - at its most basic it includes the species of animal seen the date and the geographical position assisted with Google Maps In addition the Record can include a specific time field notes and a photo

Start recording your wildlife sightings and let your rangers and guests document their encounters on unique personal and collaborative maps

MobiApp

A Mobile Application has been developed to capture wildlife sightings from Android smartphones or tablet devices while out of Internet and cellphone range The MobiApp will store the users records and publish them to wildspotsorg when back in wifi or signal range These basic records are available for editing verification and adding field notes and images at a later stage

To date Wildspots contributors have recorded over 755 unique species of animal These include

bull 6739 Wildlife Records (2563 photos spotted by 156 contributors)

bull 4205 Birds (485 species)

bull 1799 Mammals (110 species)

bull 411 Reptiles (92 species)

bull 180 Amphibians (34 species)

bull 81 Others (29 species)

bull 63 Insects (57 species)

Timeline Map

Users can explore wildlife records on a map and adjust the time range of when these records where seen The map can also be adjusted to only show species of particular interest

Records

The most recent or all wildlife records can be filtered by species (Mammal Reptile Bird etc) with or without a photo as well as adjust the time range

Photos

Species identification is enhanced through a Wikipedia link for information and photos of animals In addition an Animal Wiki database of animal species that contains basic information such as common and scientific names distribution maps and photos is integrated into the website

Groups

Allows users with a shared wildlife interest to form a Group and contribute records to the Group - much like a Facebook or LinkedIn Group

Users can easily create their own Group or join an existing Group that focusses on a specific geographic area wildlife category or species All members will have access to collaborative records which can be kept private or shared

Add your Game Reserve

Wildspots Areas allows users to explore areas around South Africa and get an insight about what wildlife is being spotted there This tool builds dynamic checklists for the area The data is then available for download in an Excel file format

Wildspots For You

Letrsquos all collaborate and enjoy our wildlife legacy

Wildspots is a free service for your unlimited use It will soon become a major educational tool as the founders team up with travel networks eco schools and field guide training faculties Assist in creating an audit of South Africarsquos wildlife heritage noting the existence of species and affording them the recognition and protection they deserve

We invite sponsors and partners to assist us with growing this initiative from the grassroots upwards

For more information contact Wally Petersen on wildspotsorggmailcom or visit wwwwildspotsorg

This screenshot off the Wildspots website shows an example of a record and its

interactive features

CONSERVATION

The image below of a Water Monitor (Varanus niloticus) sighting on the authorrsquos eco estate property in Ballito KwaZulu-Natal was loaded onto the Wildspots website It just goes to show that even amateurs can contribute to the database

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 13: Tourism Tattler June 2013

JUNE 201314 Tourism Tattler Trade Journal

Wow what an amazing time we have had since leaving Durban on May 01

Heading out from Kainon School in Westville with a huge crowd gathered to wish us well was overwhelming to say the least The last six months of preparation have been hectic and when the day of departure finally came emotions were flooding over Happiness relief and a fair dose of some anxiety

The route over the first week has taken us from Durban to Richmond through the Coleford Reserve and to Underberg where we spent a wonderful time with great friends

In Underberg the freezing cold arrived and did not abate until we reached Cradock Waking up after a night in the tent with frost all around makes getting changed a rather challenging and funny undertakinghellip Whilst trying to put my one foot through tight leggings balancing on the other foot to avoid the freezing ground with my bare toes was reason for hysterical laughter more than once To cycle in cold conditions is difficult my chest gets tight and muscles become cold very quickly It is hard to decide whether to wear another layer or not when pedaling uphill you start to sweat but going downhill the extra layer is more than welcome and needed I have never been one for the cold and this has been the biggest challenge for me on this stretch The physical exercise and demand on my body has been manageable and so far I am coping well

Travelling through Matatiele and Mount Fletcher along portions of the mountainous Freedom Challenge route we reached Rhodes over the highest pass in South Africa Naudeacutes Pass measures 2500m above sea level and at the top the wind nearly blew me off my bike After the climb we dropped down for about 25km into Rhodes and from there proceeded through Barkly East Sterkstroom Tarkastad and the beginning of the Karoo to Cradock Willowmore Outdshoorn and Calitzdorp

Arriving in the Cape Wine region we travelled through the stunning areas of Montagu Villiersdorp Franschhoek and Stellenbosch We have travelled through some very remote areas without reception for many days and I am writing this from Durbanville Cape Town having covered almost 2000kms so far Today is a physical rest day

Following our article published in the May edition (lsquoA Rhino Knightrsquos Talersquo) Isabel Wolf-Gillespie reports on her progress since departing on her arduous 10000km journey to raise awareness of the plight of Africarsquos dwindling rhino population

Rhino Knights Update

CONSERVATION

to recuperate strength and energy and to catch up on all media and communication

As part of the awareness campaign we have been conducting a research questionnaire asking conservation organizations individuals reserves environmental science students etc what they believe are the problems with the poaching crisis and what possible solutions are This has been a complete eye opener for all of us and the more questionnaires are being filled out the more we realize the value of it After the completion of the campaign we will evaluate this and get involved in active anti-poaching measures

Self-funding this campaign has been very challenging and Lloyd has flown back to Durban for a few days to sell our car to keep us on the road In George Knysna and Plettenberg Bay we had some fantastic events organized (A trail run by Nature Sport Company a visit and presentation to the Nelson Mandela Metropolitan University Saasveld campus and a fund raiser dinner at the Grand Cafeacute amp Rooms) and we are very grateful for the support we received A heartfelt thank you to the organizers

Tomorrow (Tuesday 04 June 7pm for 730pm) we are holding a talk at the Atlantic Imbizo Conference Centre in Cape Town and will move on up the West Coast towards Namibia the day after

Thank you to everyone that has helped us so far As always without the generosity and kindness of the South African people this would not be possible

Stay well and be Happy

Isabel

Information on dates for fun runs and the proposed route can be found on our website wwwearthawarenesscoza If you would like to get involved in the campaign become a sponsor or to show your support email us on isabelridingforhorsescoza

Or follow us on FaceBook at wwwfacebookcomRhinoKnights

Donations for as little as R10 ($113USD) can be sent via SMS to 48716 with the words RHINOKNIGHTS in the text field

This picture was taken at Nelson Metropolitan University Saasveld campus where we met John Lucas the founder of Explore 4 Knowledge - education through

adventure Pictured from left to right are Lloyd Gillespie John Lucas Isabel Wolf-Gillespie and Raphaela Wolf

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 14: Tourism Tattler June 2013

These beautil animals and what they represent have become tainted by

human greed Their image distorted

Our studies have shown that Ever expanding infrastructure

has resulted in excessive poaching of elephants for their ivory and compression of elephants within their range

We are le with fragmented populations and disrupted migration routes

For more information contactBrian Courtenay

Satib TrustP O Box 427

Umhlanga Rocks 4320South Africa

Email brianelephantsalivecom

If you would like to see their social life restored and their linking corridors

maintained join us at Indaba

where you can help us raise nds for the research and conservation

programs aimed at rectifying and restoring their former lives

ELEPHANTS ALIVE IN ASSOCIATION WITH SAVE THE ELEPHANTS IS A REARCH AND CONSERVATION BASED ORGANISATION

INVOLVED IN CREATING AWARENS OF ELEPHANTS AND THEIR SURVIVAL AT A TIME WHEN POPULATIONS

ARE BEING DECIMATED ACROSS AFRICA

11 - 14 May 2013 Albert LuthuliConvention Centre

(Durban ICC) South Africa

Supported by

JUNE 2013 15Tourism Tattler Trade Journal

CONSERVATION

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 15: Tourism Tattler June 2013

Find a Business Travel Partner Fast

Whether you are looking for a Destination Management Company a Professional Conference and Event Organiser an Airline a Shuttle Service

Car Hire or City and Safari Lodge Accommodation SATSA members are just a click away - right on your desktop in fact

Besides the member search function the SATSA Widget will also keep you updated on local travel trade news events and topical information relating

to the region

By doing business with a SATSA member yoursquoll have peace of mind knowing that your selected travel trade partner in southern Africa adheres to strict

annual compliance criteria in terms of legal financial and insurance credibility And yoursquoll find it reassuring to know that our members are

Bonded to cover advance deposits against your booking

For more information visitwwwsatsacom

or contact086 12 SATSA (72872)

E-mail membershipsatsacoza

Your Credible Tourism Partners in Southern Africa

Download the SATSA Desktop Widget

wwwsatsacomwidgetwidgethtml

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have

access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply)

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 16: Tourism Tattler June 2013

wineries (those that make less than 5 000 cases of wine a year) and it showcases the winners of the popular Klink Awards ndash launched by Wine Tourism South Africa in 2012 In addition wine route information has been updated with editorial reflecting the inherent character and images capturing the scenic beauty of each region

Restaurant Reviews

Wine Tourism South Africa has reviewed and rated the top cellar-door restaurants on all 25 wine routes featured in the 2013 Wine Tourism South Africa handbook To cater for the whole spectrum of wine tourists the guide encompasses a range of traditional cellar-door bistros country kitchens and heritage contemporary and global cuisine establishments as well as informal family and fine dining venues Something for everyone

Review Criteria

Wine Tourism South Africarsquos reviewers take into account the entire eating-out experience ndash from the vineyard setting views and wine farm ambience to the welcome service comfort and style of the

venue Review criteria also focus on the use of local Winelands produce seasonal menus food- and wine-tasting menus and authenticity of cuisine ndash as well as culinary technique flavour balance and presentation Reviewers are paid by Wine Tourism South Africa and not by the restaurants themselves nor do the restaurants know that they are being reviewed

The 288-page 2013 Wine Tourism Handbook can be ordered online at wwwwinetourismsouthafricacoza

COMPETITION

To enter simply ensure that you are opted-in to the Tourism Tattler mailing list by subscribing at httpwwwtourismtattlercozasubscribe and answer the following question by email

ldquoWhich edition of the Wine Tourism South Africa handbook is being offered as a prize in this competitionrdquo

Email your answer with Wine Tourism South Africa Competition in the subject field to editortourismtattlercoza by 27 June 2013 Remember to include your contact details (Name company trading name telephone numbers citytown province and country)

The first ten correct entries drawn after the closing date will each win a 2013 Edition of the Wine Tourism South Africa handbook valued at R9900 each

Wine Tourism is about the entire experience ndash people places wine food and activities ndash and in South Africa that experience is deep rich and meaningful as well as being a whole lot of fun The Wine Tourism Handbook is a guide to these experiences highlighting the farms the dining and deli options places to stay and things to do along each of the countryrsquos beautiful wine routes

This image-rich full-colour comprehensive guide to the farms restaurants accommodation venues and activities found in South Africarsquos Winelands is one of Wine Tourism South Africarsquos (WTSA) most prestigious products It works in tandem with WTSArsquos other exciting social media and online platforms and campaigns to drive interest in the varied wine tourism offerings of the country

The 2013 edition boasts several key refinements to previous editions but retains its unique core by offering a comprehensive list of farms complete with opening hours contact details and easy-to-read maps as well as a number of carefully selected destinations for dining staying and playing

This year the Gourmand Award-winning publication offers independent reviews of Winelands restaurants ranging from delis to five-star establishments as well as route-by-route reviews of boutique

1 of 10 Wine Tourism

Handbooks

Note Read the Terms and Conditions of this competition which can be downloaded at wwwtourismtattlercozaDownloadsWine-Tourism-Handbook-Competition-TermsConditionspdf

Win

WINNER OF THE NKWICHI LODGE COMPETITION FROM THE MAY 2013 EDITION

CONGRATULATIONS to Tracy Pitchers of Europcar in Johannesburg whose competition entry was the first correct entry to be drawn

Tracy has won a 4 Night Getaway for 2 valued at R2376000 and consists of Four nights for two people sharing at Nkwichi Lodge in Mozambique The prize is on a full board accommodation basis (all meals including tea and coffee) laundry non-motorised activities community bed-night levy and government taxes

wwwmandawildernessorg

The book is brilliant I have a guesthouse and it is the book my guests find the most useful when selecting which wineries to visit I would say that

for a visitor wanting to explore our wonderful winelands the Wine Tourism Handbook is the only

book they need Well done on a great wine guide

Monique Alexander ndash Guesthouse Owner

ldquo

ldquo

JUNE 2013 17Tourism Tattler Trade Journal

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 17: Tourism Tattler June 2013

The visa-application ritual is an unavoidable rite of passage to international travel for holders of South African passports as many countries impose a gauntlet of requirements before allowing entry This ritual is often the only thing standing between your potential clients and the vacation of their dreams In this article Brent Willie looks at five of the easiest and five of the most difficult countries

to get into with a South African Passport

Not all visa requirements

JUNE 201318 Tourism Tattler Trade Journal

DESTINATIONS

are created equal

Hong Kong is sometimes described as the New York of the East thanks to its bright lights skyscrapers and cosmopolitan blend of nationalities who call the country home Still the island retains its distinctly Chinese character in some of the architecture and much of the food South African passport holders can visit Hong Kong for up to 30 days without a visa

Jamaica and much of the Caribbean is a tropical paradise that welcomes South African passport holders without much hassle A valid passport gets them in for up to 90 days without a visa The islandrsquos friendly resort towns of Ocho Rios Montego Bay and Negril are ideal for unwinding on the beach with a cocktail in hand while the sunsets over the ocean

4 Kenya

Unlike neighbouring island Australia New Zealand does not require that South African tourists apply for a visa before travelling Whatrsquos more is that South African tourists can stay up to three months to take in the islandrsquos natural splendour provided that on arrival they show evidence of onward travel and that they have enough money for food accommodation and such during their stay

3 Jamaica

2 New Zealand

Depending on where a South African tourist is planning to go this last hurdle can either be a daunting heap of paperwork and complex set of procedures to follow or it can be a breeze Regardless of the destination and intricacies involved in the visa application it is always best to advise your prospective client to contact a visa specialist for assistance There is generally a lot of money involved in planning an overseas vacation and the last thing you want your client to do is spend money on accommodation flights and other travel arrangements without securing his or her visas

The range of visa requirements is broad and varies from country to country Many require that South African passport holders apply for a visa weeks before travel with some even cautioning that airline tickets only be confirmed after theyrsquove issued the visa For other countries itrsquos as easy as presenting a valid passport on arrival

Easiest and most hassle-free countries to get into with a South African passport

There are fewer than 100 countries in the world where South Africans can go without a visa Many countries in South America Africa Asia and the Caribbean for example allow South African tourists to stay for as many as three months visa free All of them typically require that the tourist has evidence of onward travel such as a ticket or a confirmed reservation and that his or her passport is valid for up to six months after their planned departure Among these are some surprising must-see tourism meccas These are my top 5 selections

1 Hong Kong

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 18: Tourism Tattler June 2013

JUNE 2013 19 Tourism Tattler Trade Journal

DESTINATIONS

About the Author Brent Willie Head of Sales at Global Visas South Africa has extensive experience in immigration and relocating clients from around the world and has expert knowledge on visas and visa requirements

The Rio Carnival the Amazon rainforest the 2014 soccer world cup the bronzed sculpted bodies that line the countryrsquos more than 2000 beachesmdashthere are plenty of reasons to visit Brazil Like much of South America immigration requirements for South African tourists to Brazil are pretty relaxed allowing stays for up to 90 days without a visa

Most difficult countries to get into with a South African passport

Itrsquos best to warn your clients that the difficulty in getting a tourist visa when they need one isnrsquot in whether or not it will get approved Thatrsquos the easy part The hard part is navigating the sometimes-complex application procedures and forking out the hefty fees for something that in some cases will expire in a few months These are some of the more difficult to navigate

The word ldquoSchengen visardquo is enough to trigger an episode of post-traumatic-stress disorder for anyone who has ever had to plan a visit to multiple countries in the European economic area which is the European Union countries plus Iceland Liechtenstein and Norway A Schengen visa allows tourists to travel freely between countries in the European economic areamdasha good idea except the application can get tricky

Your client will need to submit the application to the embassy or consulate of the country that is their main destination based on the length of their stay If they canrsquot make that determination because for example they will be staying in each country for an equal amount of time they then should submit the application to the embassy or consulate first country theyrsquoll be entering in the European economic area

The visa itself takes a few days to process and issue but advise your client to apply at least three to six weeks before they intend to travel

2 United Kingdom

It is important that you advise potential clients to always check the requirements for their specific destination before they travel because countries are always renegotiating and changing visa arrangements The Global Visas South Africa website wwwglobalvisascom has up-to-date information on global immigration and visas for a range of popular destinations

Even though South Africans are required to apply for a visa to visit the United States this visa probably offers your client the most bang for their buck America is huge spanning diverse destinations such as wine valleys of Napa and Sonoma in California the ski resorts of the Rocky Mountains and the beaches of southern Florida Not only

that the tourist visa can be issued with a 10-year validity period The drawback however is the lengthy application form the approximately R1500 cost depending on the exchange rate and the wait times for an appointment and for your clients passport with the visa inside to be returned

South African passport holders used to be able to jet into the United Kingdom without having to apply for a visa beforehand That all came to an end a couple of years ago A tourist visa to the UK will set your client back almost R1200 for a stay of up to six months

3 Australia

As with the UK Australiarsquos tourist visa requirements for South Africans are aimed mainly at establishing their identity and confirming that they are bona fide tourists who plan to return home at the end of their trip The requirements are similar and tourists should probably travel with copies of these as well Once they navigate this the beaches of the Gold Coast and street side cafes of Melbourne are good ways to unwind from the stress

4 Russia

Russia is famous for its Soviet-era architecture and rich cultural heritage However to experience any of it South African passport holders need to apply for a visa

5 United States

Kenyarsquos mix of abundant wildlife mountainous terrain and luxurious seaside resorts on the Mombasa coastline make the country an attractive travel destination It has a bit of something for everyone South Africans can visit Kenya without a visa for stays up to 30 days

5 Brazil

1 The European Union

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 19: Tourism Tattler June 2013

JUNE 201320 Tourism Tattler Trade Journal

EVENTS

RETOSA EVENTS CALENDAR - JUNE 2013Date Event Description Venue

Ghanzi Agricultural Show

GhanziMr Gaseitsiwe

RETOSA has launched an annual events calendar aimed at keeping the travel trade informed on forthcoming events in each of the 14 RETOSA member countries namely Angola Botswana DR Congo Lesotho Malawi Mauritius Mozambique Namibia Seychelles South Africa Swaziland Tanzania Zambia and Zimbabwe

Each monthrsquos events will be published in the Tourism Tattler and the full yearrsquos events for each country can be downloaded at wwwtourismtattlercozadonwloadsretosa2013calendarofeventspdf

RETOSA Annual Events Calendar

Karibu Travel and Tourism Fair

ArushaAn annual event where by East Africarsquos travel and tourism industry congregates to exhibit products and services to regional and inter-national travel agents and tour operators

31 May ndash 02 June

BOTSWANA

20 - 22 June

MALAWI

SEYCHELLES

TANZANIA

TBA

Chizangala ndash Gule wa mkulu Festival

and Mwezi wawala Festival

Within Chewa settlements

Also known as lsquothe Great Dancersquo Gule wamkulu is performed at the request of the village headman on the occasion of funerals of village members puberty initiations and the installation of chiefs and is part of the legacy of royal ritual inherited from the Chewa past Mwezi wawala is a Nanzikambe Arts Festival initiative

TBA

Independence Day NationalCelebrated on June 25th each year to commemorate the country gaining inde-pendence from the colonial government of Portugal with traditional dance poetry and music performances Festivities in Maputo are always pre-ceded by a presidential speech

25 June

MOZAMBIQUE

National Day18 June

Independence Day29 June

(National Day committee)

Nedbank Imvelo MTB Classic

Mlilwane Wildlife Sanctuary

The Nedbank Imvelo MTB Classic takes place at Mlilwane Wildlife Sanctuary on an annual basis at the beginning of June Itrsquos one of Swazilandrsquos in fact Southern Africarsquos truly great cycling events The event typically of-fers four distances of approximately 10km 22km 35km and 65km for cyclists

09 June

SWAZILAND

Zambia International

Trade Fair (ZITF)

Ndola Showgrounds Ndola ndash Copperbelt Province

Trade Show business to business and general public

26 June ndash 07 July

ZAMBIA

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 20: Tourism Tattler June 2013

The National Business Initiative (NBI) presented the findings of its study A private sector view of enhancing private sector access to Climate Finance in South Africa to an Accelerate Cape Town and KPMG Sustainability Forum held in Cape Town recently The forum heard that the Western Cape Government through its lsquoGreen Economy Strategy Frameworkrsquo aims to see the province becoming the lowest carbon province in South Africa and the leading green economic hub of the African continent

Joanne Yawitch CEO of the NBI and Jenny Cargill Special Advisor to the Premier of the Western Cape presented the findings of the study

Yawitch explained the background to this project which was to determine how to enhance private sector access to funding for the implementation of low carbon projects in South Africa

There were three main objectives to this project ndash namely to identify the available funds their criteria and value to determine barriers to accessing funds and assuming a barrier was the availability of information conduct an informative road show with project developers This proved difficult for a number of reasons amongst them being few private sector institutions having dedicated funds ndash perhaps because there are differing views on what constitutes a low-carbon fund Therefore the project evolved to a more general financial sector view on barriers to both the availability and uptake of low-carbon finance

Opportunity

Yawitch briefly explained the analytics and statistics gleaned from the research and the barriers were grouped into four mega-opportunities which were further analysed using two primary frameworks and the following was foundbull Unlock product innovation in the financial sector in relation to the

greenlow-carbon economybull Make it easier for new market entrants and improve communication

between project developers and finance institutions bull Align perceptions of the green economy and work together to

resolve structural issuesbull Drive low-carbon projects into larger companies

Yawitch ended her presentation by saying that ldquoyes therersquos money and projects but there is insufficient interaction between the two The NBI is planning a road show for the first week in July aimed at project developers and companies because while there are short term solutions the project revealed that collaborative action is required to address systemic changesrdquo

The National Business Initiativersquos latest research report presents a private sector view on eleven barriers to climate finance in South Africa with a view to enhancing

Green Climate Funding in the country writes Marjorie Dean

Access to Climate Change Finance in South Africa

ENVIRONMENT

Cargill explained that the Western Cape Governmentrsquos lsquoGreen Economy Strategy Frameworkrsquo with a focus on a green economy is centered on investment in new and expanded market opportunities that support a low carbon resource efficient and socially inclusive economic pathway

The Western Cape Provincial Governmentrsquos main goal is ldquoto see the province becoming the lowest carbon province in the country and the leading green economic hub of the African continentrdquo To do this requires lsquoSMARTrsquo living and working mobility eco-systems agri-production and enterprise said Cargill

Further steps

Cargill reported that the next steps in this process are to consolidate the existing green economy capability and information prioritise an investment case within each of the five action areas identified and source funding for these investment cases The provincial governmentrsquos flagship initiative called 110 Green is also a great opportunity to build green networks between government and business

In the subsequent discussion session it became clear from the questions asked that many at the breakfast forum felt that the biggest barrier to action was knowing who to approach in government about lsquogreenrsquo issues Cargill responded by saying that businesses can approach the provincial government through Green Cape (a Sector Development Agency established to unlock the manufacturing and employment potential in the Green Economy in the Western Cape) and all the relevant information is on the Western Cape Governmentrsquos website Chris Whelan CEO of Accelerate Cape Town re-iterated businessrsquos commitment to working in partnership with the government in the sustainability sphere

What also became evident was that many delegates felt there is a lack of synchronicity or a systems approach between the City of Cape Town the provincial government and business There needs to be more knowledge sharing while moving onto a low carbon growth path If a systems approach could be put in place then when change is made in one area it will have a desired effect on all the other areas

You can download the full report at wwwnbiorgza

The NBI research has been funded by the Prosperity Fund of the British High Commission Foreign Commonwealth Office with technical assistance from KPMGrsquos Climate Change amp Sustainability Unit

JUNE 2013 21Tourism Tattler Trade Journal

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 21: Tourism Tattler June 2013

There are exchange rates transport to-and-from where theyrsquore headed plus getting around wherever theyrsquore going to consider But getting tourists to think about how important comfort security and safety are when they have their valuables in a back pack and how he or she needs a good nightrsquos sleep to get the most from their travelling days then the hospitality portion of their budget may start to make a little more sense And if theyrsquore travelling on business All of the above ndash as much if not more so

Choosing accommodation for leisure or business almost always comes down to location Can tourists or business travellers afford to lose precious time commuting in and out of the hub of where theyrsquore staying Take Cape Town for example they may choose to stay in Muizenberg but if getting the most out of the Mother Cityrsquos attractions or getting economic value from their business day in the city is a priority they need a quality trusted top hotel in a competitive location

Feel like theyrsquore buying the whole room

Point out the costs involved in order for a tourist-attractive hotel in a hub like Cape Town to deliver world-class services to its guests If itrsquos necessary to look world-class and deliver world-class it needs to be world-class This requires qualified employees adequate cleaning facilities for rooms and linen a qualified team of chefs and a fully equipped kitchen for catering and fine furnishings in rooms meeting rooms and hallways that contribute to a memorable and highly-rated experience At some point you need to charge guests so you need credit card facilities for payments that come with their own set of bank charges and before all of that you need capital investment This will probably be in the form of a loan from a bank with its own set of considerable monthly repayments and interest factors And then therersquos another petrol increase

As individuals and as organisations wersquore all susceptible to how a petrol price increase sends the rest of our bills into a state of serious concern due to the relative knock-on effect A hotel business is no different billings are based on a) capacity and b) the cost of consumables services and overheads before it can invoice a guest for anything And when therersquos a hiccup with Eskom or a price increase from same the costs have to be challenged ndash or absorbed ndash in order for the business model to continue to survive

As a service industry offering it is important for hotels to be consistent in their offering So for the hotel and tourism industry this means benchmarking the offering with international standards while meeting monthly financial targets throughout the year ndash even in the

Seeing as much of the world as possible is on most touristrsquos bucket lists Experience and memories constitute the return on their life investment but being able to get their heads around justifying the costs involved can be a

whole other story writes Janine Mare

HOSPITALITY

Hotel Industryrsquos Financial Balancing

Act

JUNE 201322 Tourism Tattler Trade Journal

off-season months ndash while being competitive at the same time The challenge then is for hotels to cut costs and save money behind the scenes ndash in areas that do not directly affect the guestrsquos experience so that the establishment remains competitive This helps to leverage return business which translates from happy clients and which in turn makes your business happy too

Therersquos a lot for a tourist to consider when choosing a hotel Is it a fly-by-night establishment where you canrsquot leave your passport in the room or is it one with a great reputation based on good reviews and that comes at a competitive price and in a good location

Balancing quality and costs

There are establishments that will meet you on both of these but how and where you choose to allocate your budget comes down to your unique set of leisure andor business needs Expenses are not about an irresponsible allocation of funds but rather a responsible allocation of funds where you can see and measure your Return on Investment (ROI) for what you put in

Whether itrsquos for business or pleasure be sure that where you decide to put your clientrsquos hard-earned money is an establishment that respects and understands the value of that hard-earned money

A hotelrsquos potential to make a decent ROI is dependent on its potential to book rooms to capacity ndash although this is rare Premium hotels in Cape Town for example work on a 60 annual occupancy and have to contend with some very tight margins And when this is the case if a hotel is selling a room at a nightly rate of R250000 how much are they ever really making when the hotel is never entirely full ndash a likely reality when you look at these averages of annual occupancy

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 62 83 72 58 49 48 48 50 69 62 68 74

These figures show the very definite risky reality that hotels face Even at its highest 83 occupancy in February this is still not full

For a more comprehensive report with truly sobering infographics visit the South African Hotels blog spot titled lsquoHotels and Their Financial Challengersquo at wwwsouth-african-hotelscom

Note There is an option available to increase hotel room occupancy - and improve cashflow - tap into the US$12 billion barter trade network See our article on page 00 in this edition of Tattler - Editor

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 22: Tourism Tattler June 2013

HOSPITALITY

JUNE 2013 23 Tourism Tattler Trade Journal

In todayrsquos economic environment there are few travel and tourism service providers who can claim to be running at full capacity throughout the year Unsold bed-nights empty seats in restaurants and on tour coaches are very much like perishable products in the FMCG sector - if you donrsquot sell them by the expiry date theyrsquore gone forever

But there is a very practical solution to this age-old dilemma Barter By barter I donrsquot mean exchanging a hotel room or restaurant table with meals for its equivalent value in candles or some other product or service that you donrsquot need Irsquom talking about currency in the form of barter dollars that is banked in the same way as cash transactions are paid via electronic funds transfer (EFT) and spent by procuring goods and services through the barter network to offset your normal cash transactions like buying advertising legal services linen car-hire real estate travel and accommodation to name but a few

A lucrative travel channel

According to the International Reciprocal Trade Association (IRTA) over $12 billion in barter trade was exchanged between 400000 companies worldwide last year

Considering that 40 percent of this $12 billion was bartered for media and 30 percent for travel and accommodation this is certainly an alternative travel channel that is worth tapping into

Bob Meyer the editor of BarterNews stated in an article published in the August edition of Tourism Tattler that ldquothe global value of annual economic activity facilitated by some form of barter trade exceeds USD 37 trillion The growth of barter and the economic activity that it facilitates is not limited by money but inspired and propelled by a lack of money With that said bartering stands to grow a lotrdquo

Four simple steps to tap into the barter market

ONE Open an account with a reputable corporate barter broker to gain access to local and international clients with barter dollars to spend TransMediaBarter has been in the barter business for 19 years and is represented in Southern Africa by yours truly so clearly I recommend their services

There is no cost to open an account no monthly or annual membership fee and no sellers finders or admin fees The way that TransMedia makes its revenue is when they help you to spend the barter dollars that you have earned by charging a 10 cash fee on the value of each barter transaction when you use funds from

We all know that advertising builds brands and generates new business leads but when marketing budgets shrink and cash-flow dries up we need to find practical solutions to retain top-of-mind awareness What better way to do

this than to trade onersquos excess inventory writes Des Langkilde

For hospitality and media barter trading opportunities in Southern Africa contact +27(0)87 727 8631 or email destransmediabartercom or visit wwwtransmediabartercom

Putting Bums in Beds with Barter

trading unsold bed-nights for media

your barter account This motivates the TransMedia team to provide solutions to your procurement needs as they only get paid when you have something to buy and not when you have something to sell

TWO Determine how much of your excess inventory you want to make available on barter trade For example if you own a 10-room guesthouse are running at 60 occupancy and charge R1000 per room per night on a bed and breakfast basis you may want to make 10 percent of your excess inventory available This would equate to 146 room nights or R146000 per annum Be sure to include VAT as barter trades must be accounted for

THREE Convert this allocation to coupons or vouchers TransMedia will buy these vouchers and sell them on to other international barter agents to sell to their clients Your barter trade account (just like any bank account) will be credited with the full value of the transaction (1454618 USD at the prevailing exchange rate while writing this article) So not only have you just sold 10 of your hitherto lost bed-nights and increased your occupancy rate overnight yoursquove also been paid upfront and have the means to reduce your cash procurement expenditure immediately

FOUR Brief TransMediaBarter on your media buying strategy (or any other procurement needs that you may have) TransMedia has a media planning and booking department and if we or our network of global barter agents donrsquot have the radio or TV station cinema magazine website or outdoor signage media in the country that you want wersquoll get them onboard And the best part is that only 10 of the transaction will impact on your cash flow

But thatrsquos not all - what yoursquove really done is to convert those empty and never to be recovered room nights into a cash saving solution that will generate new cash business because the prospects that respond to your advertising exposure arenrsquot barter clients

So whatrsquos holding you back Are you really going to miss this opportunity of tapping into an existing lucrative travel channel worth billions of dollars because yoursquove never done barter the way that it should be done before Or are you going to take action now and turn your occupancy rates around

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 23: Tourism Tattler June 2013

LEGAL

As mentioned in the first insert the POPI is based on eight principles ndash letrsquos look more closely at the first principle namely accountability

POPI requires the responsible person (that is the person who determines the purpose and means of processing the personal information ndash lsquoPIrsquo) (lsquothe RPrsquo) to appoint an Information Protection Officer (lsquoIPOrsquo)

Accordingly whether you are a travel agent tour operator PCO venue agent of any of these or in any other business and you process

Disclaimer This article is intended to provide a brief overview of legal matters pertaining to the travel and tourism industry and is not intended as legal advice copy Adv Louis Nel BENCHMARK June 2013

(ie lsquocollect disseminate or mergersquo) PI you need to appoint an IPO train himher and register your IPO with the Information Protection Regulator (lsquoIPRrsquo)

As a number of statutes require you to appoint a compliance person you may as well appoint such a person as your IPO

The duties of the IPO are

bull Submitting reports to the IPR

bull Drafting a data protection policy which must be (a) understandable and (b) address especially high risk information

bull Provide or arrange staff training and create a culture of compliance

Accordingly it is suggested that businessrsquos should do the following with immediate effect which tasks other than the first should be carried out by the IPO

bull Ensure that they have a lsquogeneral compliance personrsquo as per other statutes and entrust that person with the IPO duties as required by POPI

bull Draft an information security usage and retention policy (This is already a requirement in terms of RICA and has now become imperative)

bull Assess all the information dealt with by the business and categorize same so as to ascertain how to deal with each category

bull Train all employees at all levels

ndash PART 2 ndash ACCOUNTABILITY

The NEWlsquoPOPIrsquo aka

Debt collection Cashflow is the lifeblood of any business - bad debts threaten viability SJA assists from issueing summonses to executing judgementsContact tinalsavagecoza

Property Specialising in Sectional Title and Game Lodge development conveyancing mattersContact marleengsavagecoza

Personal Injury SJArsquos specialist departments have many years of experience with the Road Accident Fund and this area of the lawContact robhsavagecoza

Commercial Registration of companies trademarks amp searches Drawing up of contracts - leases sales of business joint ventures partnerships amp franchisesContact jonathanhsavagecoza

Commercial Corporate Advisory Services Liquidations Commercial Contracts Company Registrations and Intellectual Property Law Contact henniessavagecozaLabour and Administrative Law Specialising in Labour Law as well as public and private partnerships in the environmental contextContact mariusssavagecoza

Johannesburg Pretoria(011) 325 0830 (012) 452 8200E-mail infosavagecoza

Liabilities Specialising in Professional Indemnity Insurance Law Travel and Tourism liabilityContact waynefsavagecoza

wwwsavagecoza

O F P E R S O N A LINFORMATION ACT

P R O T E C T I O N

JUNE 201324 Tourism Tattler Trade Journal

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 24: Tourism Tattler June 2013

The information below was extracted from data available as at 30 May 2013 writes Martin Jansen van Vuuren

ARRIVALSThe latest available data from Statistics South Africa is for January 2013

Current period Change over same period last year

UK 34 392 -187

Germany 21 101 -60

USA 21 330 27

India 8 270 149

China 11 992 -35

Overseas Arrivals (excl same day visitors) 202 548 -37

African Arrivals 646 325 -42

Total Foreign Arrivals 850 759 -41

NB African Arrivals plus Overseas Arrivals do not add up to Total Foreign Arrivals due to the exclusion of unspecified arrivals which could not be allocated to either African or Overseas

HOTEL STATSThe latest available data from STR Global is for January to April 2013

Current period Average Room Average Room Revenue Per Available Occupancy (ARO) Rate (ARR) Room (RevPAR)

All Hotels in SA 627 R 983 R 616

All 5-star hotels in SA 648 R 1 771 R 1 147

All 4-star hotels in SA 631 R 940 R 593

All 3-star hotels in SA 648 R 1 771 R 1 147

Change over same period last year

All Hotels in SA 72 86 165

All 5-star hotels in SA 110 78 197

All 4-star hotels in SA 52 90 147

All 3-star hotels in SA 77 81 164

ACSA DATAThe latest available data from ACSA is for January to February 2013

Change over same period last year Passengers arriving on Passengers arriving on Passengers arriving on International Flights Regional Flights Domestic Flights

OR Tambo International 41 -02 -87

Cape Town International -64 -50 -33

King Shaka International 151 NA -89

MARKETING

Market Intelligence Report

WHAT THIS MEANS FOR MY BUSINESSThe decline in foreign tourism reflected in the Statistics SA data is countered with the increase in the performance of hotels as reflected in the STR data Discussions with hoteliers at Indaba confirmed that the hotels are achieving an improvement on their rates This improvement coupled with the improvement in occupancy rates is resulting in strong growth in revenue per available room (197 for the first four months of 2013 for 5-star hotels) The decline in ACSA data is due to the loss of capacity with the demise of 1Time

What this means for the tourism industry depends on the industry sector within which you are operating Tour Operators catering to the foreign leisure market could see a decline in their business if the declining trend in foreign arrivals continues Guesthouses catering to the domestic business market that needs to fly to its destination could see a decline in their business due to the increase in the cost of flights Car rental companies could experience a decline in their business if the decline in the number of foreign and domestic passengers continues

The performance of hotels seems to be contrary to the Statistics SA and ACSA data which could partly be due to hotels recovering from a low base and partly because the growth in tourist demand during 2012 has started to make inroads into the increase in hotel supply in recent years

For more information contact Martin at Grant Thornton on +27 (0)21 417 8838 or visit httpwwwgtcoza

JUNE 2013 25Tourism Tattler Trade Journal

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 25: Tourism Tattler June 2013

MARKETING

Most of the newsletters I get in my in-box are from safari companies or DMCs generally informative on the product level telling me what location what activities and what accommodation they provide plus whom to contact and how to get there

So whatrsquos wrong with that Nice email from nice people - what exactly am I missing here

First of all I like getting newsletters from people in the business and often look to just see what it is they are doing but as soon as I see yet another ldquoLook at my productrdquo message I quickly click away We all get messages like this everyday and they are basically all the same churning out the same information over and over again You really canrsquot tell these newsletters apart unless they have been templated in which case that might have a pleasing effect after all

So how does one go about producing an effective newsletter

Letrsquos first go back to some essentials For instance what is important in sending out a monthly newsletter Is it the product you want to show or is it what your subscribers want to read We often forget to dig into the personas at the other end of our virtual pens to find out what ldquotheyrdquo value the most It is so easy to slip back into the old information bashing routine So letrsquos get under the hood with some simple specifics

Every successful newsletter does the following bull takes the customer on a short but interesting journeybull shows product information and bull illustrates the combination of both magnificently

These points are absolutely key to creating lasting relationships and of course trust I know itrsquos easy to say ldquoHey this is what we are going to dordquo and then leave out the important stuff so what exactly lies at the heart of a good relationship bonding newsletter Well it is most importantly lsquoINVOLVEMENTrsquo

What every subscriber really wants to know

What every subscriber wants to know and doesnrsquot ask is

lsquoHOW INVOLVED ARE YOU WITH YOUR PRODUCTrsquo

Aha So how do we explain or show subscribers how involved we are exactly Well quite simply by giving them a view of our actions our drive and our imagination Really what readers want is that we write about ourselves our colleagues what happens in the office or out in the bush how certain things were achieved how we and our colleagues coped with a difficult situation you name it - any personal anecdotes together with a healthy dose of humour Humour always

In part 1 (May) we looked at newsletters and where to start In this article we look at the actual content and

structure of a successful newsletter writes Pieter Philipse

works in forging relationships (even if you are an undertaker)

Thatrsquos it

No it isnrsquot now comes the fun part - merging your anecdotes and your product information together This takes a bit of imagination for example what anecdote can you tell that has something to do with the product you are selling Well that is something you have to figure out for yourself but my advice is to involve your colleagues your family and your friends Yoursquoll come up with something guaranteed after all if you are completely involved with your business yoursquoll find exactly what to write about

Last but not least

The header (tag line) of your newsletter is important make sure it directly rings a big bell with your subscribers Make sure your branding and newsletter design is personally targeted towards the markets and subscriber base you are dealing with

In Conclusion

If you are fed up sending just product information and maybe making a sale but instead want a the high response rate from your newsletters then at all times remember that your personal involvement with your business is the key to building lasting relationships and increasing sales with new and existing customers alike

If you have any questions regarding writing your own newsletters feel free to contact me at philipsekondwanacom

Next month I will be discussing newsletter design

For more information visit wwwkondwanacom

bullEMAILMARKETINGbullEMAILMARKETINGbullEMAILMARKETINGbull

ndash PART 2 ndash

Newsletter Content

JUNE 201326 Tourism Tattler Trade Journal

Subscribers to the Tourism Tattler magazine receive 30 discount on all our Email Marketing Web Design and other media services Go to the Kondwana Communications Email Marketing Page at KONDWANACOM and take advantage of

this offer today

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 26: Tourism Tattler June 2013

NICHE TOURISM

JUNE 201328 Tourism Tattler Trade Journal

Could Home Affairs offices licencing departments and similar bureaucratic facilities in South Africarsquos small towns compete on service delivery to create a new domestic tourism niche asks

Ivo Vegter

If you want an ID book passport or a driverrsquos licence and you donrsquot like queuing you have a few options One is to employ a professional queuing service which will handle much of the hassle for you If you prefer not to take risks with your most important documents or want to avoid the busier places altogether there are not many better places to go than a small town or a lightly-populated suburb So why not go there

The idea sprang from a report that the City of Cape Town issues frequently which charts waiting times for driving and learner driverrsquos licences

The waiting time in days varies tremendously You could wait between eight and 101 days for a learnerrsquos licence between 25 and 91 days for a driverrsquos licence between 66 and 144 days for a heavy vehicle licence and between 26 and 127 days for a motorcycle licence

You can get a learnerrsquos and driverrsquos licence in just over a month but not if you get both at the same place Milnerton Eastridge and Elsies River for example all score well on learnerrsquos licences but for driverrsquos licences you want to be at Brackenfell Durbanville Goodwood Lingelethu West New Ottery or Somerset West

The quickest combo ndash Elsies River and New Ottery ndash will get you a learnerrsquos and driverrsquos in only 33 days The worst ndash Joe Gqabi and Milnerton ndash have wait times of more than six months The best single office is Eastridge with Elsies River and Durbanville placing second and third while the worst place to get both licences would be Joe Gqabi or Kuils River where theyrsquoll keep you waiting 159 and 143 days respectively

Each location will have its pros and cons of course The more elegantly dressed are unlikely to seek out a rough neighbourhood even if the service is faster But what if smaller outlying towns entered into the fray Let them compete with each other for the best service at Home Affairs offices licensing departments and similar bureaucratic facilities As last weekrsquos column shows red tape is only going to get worse so any valve to relieve some of the pressure must surely be welcome

First hand experience

I have first-hand experience of excellent service at Home Affairs in George and by all accounts the Plettenberg Bay branch also doesnrsquot keep you waiting long Irsquove heard similar tales about many other small towns as well as the more outlying offices in major cities By contrast you frequently hear nightmare tales from the busier offices in urban centres where someone who has lost an ID and driverrsquos licence has to stand in several multiple-hour queues just to get their documents replaced

Why not take a break Do it in a nice touristy town where the service is good the views are scenic and the weather is mild

Towns that are good at providing services to citizens as measured by the sort of system Cape Town has for licences can use it to attract well shall we call them red-tape tourists

Red-tape tourismTaking the idea forward

Once the idea of seeking the best towns in which to obtain decent bureaucratic service has been established we might even find that some places begin to specialise Much like agriculture and mining resources are centred in particular towns some places can become known as motor licence central while another becomes the company registration capital of its province or the entire country

All of them will place competitive pressure not only on each other to improve but will receive impetus and assistance from local businesses and municipalities who have every incentive to place well in the red-tape tourism rankings

Objections

Of course there will be some objections The most obvious is that in competing for tourism business towns might let standards at their civil service offices slip so as not to disappoint visitors Arguably therersquos an equally strong motive to make it harder for them so theyrsquoll come back so whether this hypothetical has any merit is debatable A more plausible argument is that it may encourage corruption in order to boost performance metrics like waiting times failure rates and queue lengths

This objection is quite simply handled the integrity of these services ought to already be monitored ideally by outside parties without vested interests Donrsquot think citizens ndash and especially service providers such as driving schools and professional queuing services ndash do not already know exactly how corruptible officials are and do not already use this knowledge in their choice of service centre

Another problem is that visitors will use resources that ought to be spent on local residents This is half-true although one might argue that local residents have no right to better service than one can get in the worst parts of Johannesburg Durban or Cape Town Still local government for local citizens has some merit even if it is mostly motivated by prejudice A simple solution would be to levy an out-of-towner surcharge of say 50 on the usual administrative fee (Or charge a tourism levy - Ed)

Someone once said that if you seek a smaller government as a matter of principle it makes no sense to complain that government is inefficient You should desire an inefficient government since it can do less harm than an efficient oppressor

That view is smugly clever but there are places I donrsquot really want to go for academic principles and a three-hour Home Affairs queue is one of them I quite like the idea of bringing some competition into the market for government services And thatrsquos why I like the notion of letting not only civil service centres but entire suburbs and towns compete for the business of ldquored-tape touristsrdquo

Now all we need is for someone to run with the idea

Published with acknowledgement to the Daily Maverick - wwwdailymaverickcoza

About the Author Ivo Vegter is a columnist and the author of Extreme Environment a book on environmental exaggeration and how it harms emerging economies His book can be purchased at wwwexclus1vescoza

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 27: Tourism Tattler June 2013

RISK

Travel Trade INSURANCE

The previous four parts of this series extracted verbatim (with slight editing) from the SATSA Insurance Directive booklet were published in the December 2012 January February March April and May 2013 editions - Editor

PART 7

TYPES OF INSURANCE

Basically there are five kinds of insurance that really apply to the tourism industry

1 Financial Guarantee (Insurance Bond) - Refer December 20122 Liability Insurance - Refer January 2013 edition

bull General Public Liability - Refer January editionbull Passenger Liability - Refer January and February editionsbull Road Accident Fund Amendment Bill - Refer March editionbull Personal Accident insurance - Refer April editionbull Professional Indemnity insurance - Refer April edition

3 Vehicle - Refer April edition Property Insurance4 Travel Insurance Medical Rescue - Refer May edition5 Other Business Insurance (Buy amp Sell Key Person Provident

Fund)

OTHER BUSINESS INSURANCE

Part of being a business owner and breadwinner means making provision for unforeseen challenges Risks associated with life assurance are not pleasant to think about but they do play a significant role in your business and personal life The results could be disastrous if they are not properly insured and managed

All businesses have a unique set of financial requirements which need to be managed in times of crisis and Buy amp Sell agreements can provide reassurance as they provide a legal document that ensures that the business is not thrown into disarray if one of the shareholders dies or is disabled Buy amp Sell agreements preserve the continuity of business ownership and are designed to protect the shareholding of the partners or owners by providing the surviving shareholders with the funds needed to purchase the shares of the deceased shareholder

Key Person cover is an insurance policy that is taken out by an employer to insure the life of a key individual within the organization A key person is anyone within the business who significantly enhances profitability The policy provides the finance that will be needed to recruit and train a replacement for the position that the deceased key person has vacated

Businesses incur debt and shareholders generally have to sign surety for these debts which creates both business and personal risks Personal Liability insurance transfers the risk by providing cover for sureties signed by the business partners in the event of the insuredrsquos untimely death

As a responsible partner and parent it is important to be prepared for any eventuality especially death and disability Your familyrsquos standard of living could suffer in the event of death disability or dread disease

of one or both of the breadwinners Personal Life and Disability insurance cover provides the funds needed to continue supporting your family if you are unable to continue working due to illness or injury and ensure that major debt items such as home loans and car repayments do not cripple the family financially

After a lifetime of hard work retirement should be about enjoying a relaxing and well-deserved break but it can become a distant dream if the retirement funding that has been put into place is insufficient and basic needs cannot be met Retirement insurance cover allows for the investment of small sums of money on a monthly basis to accumulate to the desired capital needed to ensure a financially stress-free retirement

SUMMARY

This then largely covers the broader aspects of the insurances covering the tourism industry In summary a few important facts are worth repeating

bull Wherever possible make sure that your business is run as legally as possible Donrsquot give a claimant any unnecessary ammunition to help bolster their case

bull Always remain calm and provide the obvious humanitarian services to a client that you yourself would expect to receive were you in a similar situation

bull Make sure that you are reasonably well insured for all eventualities Donrsquot be pressured by horror stories and the threat of how a tourist will destroy you but be prepared for the normal accident situation Remember that many insurance policies overlap and you can be covered twice over in some respects

bull Make sure that all accidents of any nature are reported to a relevant official authority

bull Make sure that your policy covers you in all of the different countries in which you operate and for all the different activities that you conduct In other words does the policy you bought in Cape Town cover you for the hippo attack that occurs in the middle of the Okavango Delta

bull Ensure that all your paper work is up to date Try and make absolutely sure that your clients are aware of exactly what they are in for and that they sign acknowledgement of this fact

bull Make sure that your vehicles are in the best possible condition that they can be Donrsquot cut corners on safety measures

bull Make sure that the literature promoting your business is factual and not misleading

bull Never feel pressured to sign unreasonable contracts with agents that increase your liability and limit your rights to that of another country You operate in Southern Africa and that is where you must fight your battles

bull Select sub-contractors with care As far as practically possible try and only use SATSA members Should you use a contractor on a regular basis draw up a standard service agreement making them responsible for their product and giving you recourse in the event of non-performance

JUNE 201330 Tourism Tattler Trade Journal

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 28: Tourism Tattler June 2013

RISK

bull When a foreign operator is selling your product from their brochure or in fact even selling it without brochure inclusion try and ensure that they are representing your product accurately Wherever possible proof-read and authorise any literature that displays your product before being bound by it

bull Try and ensure that the gross price that your agent charges the consumer is a reasonable mark up and reflects good value for the service or product offered If prices are high client expectations are also high and this often leads to conflict at the point of supply

bull Beware of giving credit to agents who are lsquobad payersrsquo Many a time payment may be withheld in the event of a dispute and this puts you in a very vulnerable position A financially weak agent may try and use a complaint as a reason for non-payment

bull Make sure that your agentsrsquo cancellation policies are in line with yours Agents are under pressure to pay back deposits and return

funds at the last minute and this can leave you high and dry However you must be prepared to share some responsibility and risk with your foreign agent as they also have difficult parameters within which they work

bull Donrsquot be bullied into refunding agents if you feel it unjustified Make sure complaints are in writing and that you have had a fair chance to respond Insist on receiving all correspondence and get the full picture Proof of any refunds made by agents should be requested Obviously when the complaint is genuine act with dignity and try and sort out the situation as fairly and quickly as possible

bull Above all remember that your products or services are competing and being compared with those of all other similar products from all over the world Ensure that your prices are competitive and that your service is beyond reproach

Get the Tourism Insurance Directive booklet

DOWNLOAD (PDF)wwwtourismtattlercozasatsa-insurance-directivepdf

PRINTED COPYCollect at SATSArsquos offices 3rd Floor Petrob House 343 Surrey Avenue Ferndale Johannesburgor email communicationssatsacoza (Note that a nominal fee will be charged for admin postage or courier costs)

JUNE 2013 31Tourism Tattler Trade Journal

The Southern Africa Tourism Services Association (SATSA) is the only inbound tourism NGO to have established a Lost Advances Fund whereby members and clients of members have access to a measure of financial protection to cover forward booking deposits in case of the involuntary liquidation of a member We call this SATSA Bonded (Terms and conditions apply - for more information visit wwwsatsacom)

Travel Trade INSURANCE

Page 29: Tourism Tattler June 2013