Exploring the travel and tourism industry in South Africa

As traditional tourist destinations face numerous challenges such as over-tourism, environmental impacts, economic instability, rising inflation and a high cost of living, South Africa is in a good position to accommodate changing trends in tourism. Iconic game reserves like Kruger Park and unique scenery such as Table Mountain have helped the country to remain competitive, even in difficult economic times, and tap into the enhanced focus on eco-tourism, cultural experiences, and natural resources.

Changing trends in global tourism

Sustainability and eco-tourism shifts seem to have less impact on large tourists groups that sign up for value for money package deals, or who are simply looking to have a good time in the sun with no regard for the local population. Testimony to this is the recent pushback by locals from the most popular reasonably priced destinations in countries like Spain, Greece, and Portugal who blocked beaches and harassed tourists. They have been complaining that their quality of life has been compromised by tourism, making it difficult for them to afford accommodation.

Over-tourism to these destinations presents an opportunity for South Africa, and time is of the essence given that holiday bookings are made well in advance. European countries will feel the impact of protests in the next holiday season, but destination choices are made well before then.

Tourism is an important sector of the South African economy with the industry having directly and indirectly contributed around R459bn (6.8% to the GDP) to the economy in 2023, increasing by 8.8% from R422bn in 2022. The World Travel and Tourism Council (WTTC) estimates the contribution will increase to around R600bn in 2024.

South Africa’s advantages and challenges

South Africa’s remoteness is compensated for by low prices, which are an important aspect of destination selection for the average tourist, along with convenience and relaxation. A pleasant and vibrant social atmosphere, a safe and secure environment and convenient and accessible transport were the main attractions for affordable Spain.

The importance of government support and marketing

Mindful of this, South Africa is looking at implementing several initiatives to boost the tourism industry. An example of immediate benefit is the removal of visa requirements for Ghanaians late last year, resulting in a strong rebound in the number of tourists from Ghana. South Africa has seen an increase in arrivals from the fast-growing West African nation of 71% (this year to date) from 2019 numbers, according to a Daily Investor report. This increase far surpasses the average tourism recovery rate since the Covid-19 lockdown, worldwide and for South Africa. In both instances, the 2019 level is expected to be reached only this year.

According to Daily Investor, African tourism is still lagging 12% behind 2019 numbers, translating into a R3bn for South Africa. loss in direct revenue. The Who Owns Whom report on Travel and tourism, travel agencies, tour operators, and related services in South Africa includes a wealth of statistical and other information and showcases the competitive advantages of the South African tourism industry.

South Africa, with its nature reserves, heritage sites and scenic routes and places, is a competitive player in the global tourism industry. With planned infrastructure projects, efficient logistics, and focused marketing it can improve its ranking as one of the best countries to visit.