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Annual Report 2017/2018

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Annual Report 2017/2018 ANNUAL REPORT 2017/2018 LOOKING BACK AND LOOKING FORWARD Sustainability has been the Cape Town Tourism has, over the past However, this year has not all been buzzword on many lips, year, emphasized working with all about sustainability when it comes during the recent drought and stakeholders, proactively marketing to managing our natural resources, resulting water restrictions. the destination globally to entice it has also been about facilitating These restrictions extended as visitors and to spread the message the coming of age of a more robust far as impacting our individual that Cape Town remains a must-visit tourism industry in underdeveloped businesses and ultimately our destination. areas of our city, through our eKasi destination suffered as tourism Sessions, Board Development Fund numbers starting “drying up”. We’ve partnered with other and SMME Marketing Incubator. We Future Forward thinking, through organisations and companies, also partnered with NYC & Company scenario planning, improved such as Sanlam and their 2-Minute on a City Twinning agreement, that communication across all sectors Shower Songs campaign, spreading promoted tourism between the of our economy and showed our the City of Cape Town’s Save Like a two destinations. We have also collective and collaborative spirit Local message far and wide; we’ve introduced our Muslim-friendly in facing this unprecedented encouraged all tourism businesses initiatives, in order to capitalise on challenge head-on. to apply corrective measures and one of the fastest growing tourism to provide messaging to visitors to sectors globally, and to increase Cape ensure sustainability; we’ve worked Town’s desirability as a destination. with Destinations International Whether it is through engaging to apply best practices in crisis with community tourism operators, management; and we continuously new source markets or international revisit our ongoing strategies to be partners, we look forward to a future in-line with the current situation. in which we will remain the go-to industry connector. FROM THE CEO Dear Members, Partners, Colleagues and Friends It has been a period of immense pressure for the tourism sector; the drought has changed our landscape forever. We emerge from this period more alert and aware of our vulnerability regarding sustainable tourism challenges. We’ve learnt, innovated and adapted to go beyond survival to attaining a future for our industry. Through a mammoth communication effort, collaborating with multiple stakeholders and partnering with big business we’ve truly learned to Save Like a Local and to share that information with our visitors, while spreading the message that Cape Town is a world-class destination. As we look to an archived past of 40 years from our inception as CapTour in 1978, we have been reshaping our organisation and industry in response to the evolution of our city to reflect the Cape Town Tourism you are a part of today. Together, we can seek to develop a future archive that’s rich and full. In the midst of this, we have continued to market Cape Town as a leading, ENVER DUMINY award-winning destination. We believe that as we forge ahead with future- CEO, Cape Town Tourism based strategies to reach wider markets and to attract domestic, regional and international visitors, we will be contributing to a robust industry that fosters economic growth. As Cape Town Tourism, we’d like to acknowledge and thank each and every one of you for standing firm during this time and acting swiftly to ensure that our industry has a future, a bright one that is a beacon on the global stage of sustainable tourism. Together, we are living the goal of being Future Forward. CAPE TOWN TOURISM ANNUAL REPORT 2017/2018 FROM THE CHAIRPERSON Dear Members, Partners, Colleagues and Friends In the three years since I have been Chairperson of Cape Town Tourism, the industry has dealt with all kinds of hurdles; visa and birth certificate issues, the Ebola crisis fallout, natural disasters such as fires and droughts and a challenging economic environment. During all of these things, we’ve been working behind the scenes to leave a lasting legacy, a foundation for future development. Highlights include working with neighbourhood businesses at our eKasi Sessions to hear what challenges are faced and to ENVER MALLY work towards addressing those, as well as providing networking Chairperson, Cape Town Tourism opportunities between smaller neighbourhood businesses and large enterprises. This was authentic and personal, and I believe is creating a lasting impact that contributes to industry sustainability. Another highlight has been participating in the rollout of the Board Development Fund and being able to take an active role in partnering with and mentoring some fantastic businesses. The great thing about mentoring is that the mentor is learning along the way, too. Thank you for the privilege of working with you on paving the way forward for this dynamic organisation, I look forward to our continued collaboration, partnership and friendship. THE CAPE TOWN TOURISM BOARD (ALPHABETICAL): Chantelle Cole Julie-May Ellingson | Vice-Chairperson Brett Hendricks Jonathan Jacobs Enver Mally | Chairperson Grant Newton Wahida Parker Alushca Ritchie EX OFFICIO: Enver Duminy | CEO Lance Greyling | City of Cape Town Councillor Roxanne Moses | City of Cape Town OUR 2017/2018 BOARD MEMBERS Dr Theuns Vivian | City of Cape Town CTT EXECUTIVE TEAM Wayne De Wet | Finance and Corporate Services Leigh Franks | Marketing Services Lisa-Ann Hosking | Tourism Services CAPE TOWN TOURISM ANNUAL REPORT 2017/2018 LOOKING BACK 2017/2018 GLOBAL ACCOLADES FOR CAPE TOWN Best City in the World The Telegraph’s 2017 Travel Awards Cape Town became the first African city to be named a UNESCO City of Design in 2017 Crowned #1 City in Africa for Business Tourism Events International Congress and Convention Association (ICCA) - 2018 marks the fourth consecutive win Best Art and Culture Destination AFAR Travelers’ Choice Awards 2017 #1 City in Africa and the Middle East Travel + Leisure World’s Best Awards 2018 Most Affordable Long-haul Destination in the World Annual UK Post Office Report 2018 “From embracing where we’ve come from to understanding where we’re going, a Future Forward approach facilitates all that we do, from crisis management to marketing the destination and ensuring that a sustainable approach is applied at every turn.” – Enver Duminy, CEO CAPE TOWN TOURISM ANNUAL REPORT 2017/2018 KEY INDUSTRY INDICATORS (1 JULY 2017 - 30 JUNE 2018) CAPE TOWN INTERNATIONAL TOTAL ARRIVALS YOY GROWTH AIRPORT ARRIVALS 5 333 799 3% Cape Town International Airport (CTIA) welcomed 5.3 million passengers, a 3% increase on the previous year. International flight arrivals reported 13% year-on-year growth (YOY). 4 096 251 4 MILLION 3 MILLION “The increase in capacity and frequency of flights contributed to the positive growth recorded by CTIA including the likes of Airlink, 2 MILLION Eurowings, RwandAir and Kenya Airways.” 1 125 705 - Cape Town Air Access 1 MILLION 106 511 0 DOMESTIC INTERNATIONAL REGIONAL ARRIVALS ARRIVALS ARRIVALS Top International Source Market arrivals to Cape Town include Germany, United YOY Kingdom and the U.S.A. The source markets GROWTH 0% 13% 4% that saw the greatest YOY growth include Turkey, Italy, Australia and Denmark. Source: Airports Company South Africa (ACSA), July 2017 - June 2018 120 000 100% 100 000 80% TOTAL YOY GROWTH 80 000 60% 60 000 40% 40 000 20% 20 000 0% 0 -20% U.S.A ITALY INDIA BRAZIL SPAIN CHINA FRANCE SWEDENCANADA TURKEY IRELAND GERMANY BELGIUMNAMIBIA AUSTRALIA DENMARK NETHERLANDS SWITZERLAND UNITED KINGDOM UNITED ARAB EMIRATES Source: ForwardKeys: International Source Market Arrivals to Cape Town, July 17 – June 18 CAPE TOWN TOURISM ANNUAL REPORT 2017/2018 KEY INDUSTRY INDICATORS (1 JULY 2017 - 30 JUNE 2018) ACCOMMODATION SECTOR An increase in monthly occupancy was recorded from September - October 2017. The Average Room Rate “Cape Town has retained the highest share of hotel development increased over the period of July 2017 – January 2018, in South Africa. This is according to a regional focus from the however, a decrease in Average Room Rate was noted annual hotel pipeline survey conducted by W Hospitality Group. from February – June 2018 which the industry largely Cape Town has a quarter of the South African development attributed to the impact of the water crisis. pipeline with 1 063 rooms across six hotels planned.” - Trevor Ward, W Hospitality Group’s Managing Director from the Tourism Update R2500 100% AVERAGE R2000 80% ROOM RATE R1500 60% REVPAR R1000 40% R500 20% OCCUPANCY RATE R0 0% Source: Horwath HTL Accommodation JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN Performance Survey, July 17 – June 18 TOURIST ATTRACTIONS Cape Town Tourist Attractions showed a decline of 4% for the reporting period YOY. September was the peak month of performance for attractions, reporting growth of 3% YOY. 100 000 000 23 305 321 Cape Point 10 000 000 Chapman’s Peak Drive 1 149 055 879 289 1 075 620 1 161 206 1 000 000 453 015 306 912 499 702 Groot Constantia 100 000 Kirstenbosch Botanical Gardens 10 000 Robben Island Museum Table Mountain Aerial Cableway 1 000 Two Oceans Aquarium 100 V&A Waterfront 10 Source: Cape Town Tourism, Monthly 1 Attraction Data, July 17 – June 18 GROWTH YOY -2% -12% 2% 1% -18% -1% 1% -4% CAPE TOWN TOURISM ANNUAL REPORT 2017/2018 TOURISM SERVICES FACTS AND FIGURES HIGHLIGHTS (1 JULY 2017 - 30 JUNE 2018) 7% increase in VISITOR SERVICES visitor interaction: The Visitor Services team interacted with 360 871 visitors through our network of VICs. 1345 R3.9M Of the visitor interactions, the BOOKINGS TOTAL DIRECT BOOKING VALUE majority of interactions took FOR MEMBER PRODUCTS place at the accredited VICs (Canal Walk and V&A Waterfront).
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