SA lags international tourism growth

Source: Tourism Update, 22/08/2016

Despite significant growth, David Frost, Satsa CEO, points out that
over recent year`s South Africa`s tourism growth has stagnated.


Overseas arrivals to South Africa for the first half of this year are
up 19% year-to-date, compared with 2015, according to the latest
arrival stats from Statistics SA. Total arrivals to South Africa are
up 15% year-to-date compared with 2015.


However, despite significant growth, David Frost, Satsa CEO, points
out that over recent year`s South Africa`s tourism growth has
stagnated. "The last four years, we`ve actually stood still," said
Frost. Frost points out that internationally, growth in arrivals
average about 4% a year. Had 4% growth been achieved in South Africa
year on year since 2012, the total number of arrivals for the first
six months of 2016 would stand at 5 166 532. South Africa`s actual
arrivals is 4% lower than this, with the total number of arrivals for
the period from January to June 2016 at 4 969 087.


Tourism Update tracked the first six months of arrivals to South
Africa over the last four years. While total arrivals to South Africa
for the first six months is 15% up compared with the same period in
2015, when a significant decline in arrivals was experienced, overseas
arrivals to South Africa for the first six months of 2016 are up by
only 0.57% compared with the same period for 2012. The total number of
overseas arrivals for the first six months was 1 163 478 and 1 170 148
for the years 2012 and 2016 respectively.


Compared with the first six months of 2015, arrivals from the US are
up by 19%, and the UK up by 2%. However, these key source markets
experienced slow growth on 2012 figures. Arrivals from the US for the
first six months are up by only 5% compared with the same period in
2012, with a total of 163 257 arrivals between January and June.


Arrivals from the UK for the first six months are up 3%
compared with the same period in 2012, with a total of 222 942
arrivals.


Germany, the third biggest source market into SA, is showing healthy
growth over the past few years. Arrivals from Germany for the first
six months is up 21% compared with 2015. Germany also leads the
tourism growth for the first half of the year compared to the same
period in 2012, up by 19% with a total of 142 092 arrivals between
January and June.


Commenting on the outlook ahead, Frost said there were a number of
challenges facing growth for 2017. "If we`ve got capacity constraints
in Cape Town in terms of hotels and high-end game lodges, we need to
be looking at markets that are able to visit in winter." Frost added
that product development was needed in the northern part of the
country so that every itinerary to South Africa did not have to
include Cape Town. "If we`ve got capacity constraints in Cape Town, we
can`t grow."


For the 2014 arrival figures, Stats SA stopped counting people
transiting through SA as tourists. As a result of the revision, in
order to compare figures after 2014 with previous years, it is
necessary to deduct the transit figures from the totals, which Tourism
Update has done for the purpose of this report.