Supplier relationships Supplier relationships are another
critical aspect of managing seamless
travel into Africa. TMCs can
demonstrate significant value through
their knowledge and understanding
of reputable service providers that
operate in Africa.
“Corporate customers are looking
for reliability, safety and security when
choosing a travel supplier,” says
Air Mauritius sales and marketing
manager, Wouter Nel, noting that
because of its four-star Skytrax rating,
excellent safety record and worldrenowned
service, Air Mauritius is a
corporate airline of choice.
While getting around Africa has
its challenges, many carriers are
increasing services in the continent
because they recognise the potential
there.
Wouter points out that corporate
customers are also price sensitive in
Africa due to weakening currencies.
“Air Mauritius has excellent value
propositions in line with the corporate
needs, such as our last-minute airport
upgrade to business class for R1 850.”
THE complex and demanding
nature of travel into Africa
provides TMCs with a significant
opportunity to demonstrate the
value of their services.
Many corporates are beginning
to realise the need for more Africaspecific
travel policies, because
the nature of corporate travel into
Africa is different to elsewhere in
the world. For example, one major
challenge for corporate travellers
is finding suppliers that offer a
high standard of service, and
consistently so.
When it comes to unique
requirements of Africa-specific
policies, Tourvest Travel Services
coo for Africa, Louis Van Zyl,
says the main considerations are
payment restrictions; turnaround
times often due to Internet or
bandwidth issues; language
barriers; a lack of GDS content; the
manner in which data is captured
and reported; and available online
solutions.
“These unique considerations
force the TMC to create solutions to
meet the client’s travel management
needs. It accentuates the value
creation role a TMC needs to
deliver. Where there is complexity –
from a TMC perspective – there is
value creating opportunity and it is
this opportunity American Express
Global Business Travel has
invested in,” says Louis.
When it comes to value, Louis
says TMCs can demonstrate this
in the form of measurable travel
management objectives achieved.
“Some key measurable focus areas
would be savings, control, data
accuracy, content accessibility,
process efficiencies, online
adoption, and service level quality.”
He goes on to say that a TMC
needs to be prepared to provide
value in every aspect of service
delivery, particularly when it
comes to operating on the African
continent.
“It is for this reason we have
chosen to invest so heavily in our
partner network and technology
solutions so that we can deliver
when a client needs any type of
service solution,” says Louis.
When it comes to operating in
Africa, a particular service may be
critical in one market but not as
critical in another. As a result of
this, it is important for a TMC to
offer tailor-made solutions. “We
have focused on each market we
operate in as an attempt to deliver
to the client’s specific needs
and, collectively, we can offer a
competitive, consolidated value
proposition in the market,” says
Louis.
Maria Martins, director of
programme management for Carlson
Wagonlit Travel, agrees that TMCs
can demonstrate value by guiding
the corporate client on the best
solutions per country, and also
through collaboration and support
from the TMC network.
Safety and security
There has been a huge shift
towards cost savings in planning
and organising corporate travel
around the world. However, when
it comes to operating in Africa,
corporates would rather focus on
safety and reliability, and forego
cheaper rates.
Indeed, the most important
consideration for any company
is the safety and security of its
employees, says Shaun Lovett,
head of business development,
oil & gas division, Africa & Middle
East, Wings Travel Management.
Therefore, TMCs need to be able
to display their ability to look after
employees through individual
tracking, emergency medical
services and quick access, no
matter where they are in the world.
When it comes to services
offered by a TMC, Maria says all
services are important but she
agrees with Shaun that most
important would be security,
24-hour support and traveller
tracking.
Technology is an important
part of the TMC offering and
will continue to become more
important in the future. As travel
often occurs in high-risk areas,
constant updates sent to the
traveller are often essential, as are
updates to whoever is expecting
the traveller to be at a specific
place at a specific time when
there has been a delay. “The TMC
should take care of this without
even being notified by the client,”
says Shaun.
Cost savings
While the emphasis is on safety
and security, Shaun notes that there
is still a major trend towards cost
savings in the Africa travel space.
“The TMC that can display the
best value for money will have a
huge advantage in the market,”
he says, adding that a TMC has
to display the ability to realise
savings that the company cannot
achieve itself, such as discounted
rates through its relationships
and bargaining powers with key
providers. “TMCs must also be able
to add value through technology,
with software that can package data
in a useful manner to clients, so
that they are able to manage their
budgets down to the last cent.”
With the focus on cost cutting, the
TMC needs to provide usable data
to showcase its value to clients.
“Wings has recently launched a
ground-breaking reporting tool,
goData, that has helped its clients
identify areas for improvement in
their travel programmes,” says
Shaun, mentioning that the new
reporting tool drills down into
individual booking behaviours and
fare choices and the impact of
costs associated with a particular
travel choice. This type of detail
helps travel managers educate
travellers for future trips and
ensures a savings trend.
Flexible technology
Technology also has a crucial role
to play in travel throughout Africa
and is allowing the industry to
deliver tailor-made solutions to
specific corporates. Louis says
the key is flexibility, and that
corporates should not rely on a
“one size fits all” approach when
planning corporate travel in Africa.
“With our recently developed
online travel management portal,
we offer an online solution
that combines the strengths
of online booking technology
with local expertise through a
single servicing solution,” says
Louis. “Each market has its own
complexities, and, as a global
TMC, we have factored in all these
local nuances to offer clients the
best possible travel management
solution.”
Visa issues
Visas are a critical service component
for South African corporates travelling
into Africa and it is important for TMCs
to offer a service solution that can
remove the pain from the visa process.
Louis says Tourvest consultants
impart visa information to South African
clients at point-of-reservation. “An
in-house visa service is provided and
we can support the application process
based on embassy or consulate
regulations. We can also co-ordinate
pick-up and delivery of documents via
local courier services,” he adds.
Flight access
Exposure to a fully integrated African
network will ensure corporates have
access to any fare type available,
either through the GDS, online, or
through a direct relationship with the
airline. In some instances, offices
also have access to local airline
reservation systems to cater for
airlines not represented in the GDS.
“Being a TMC operating across
Africa requires a flexible service
approach to access inventory, and
that’s what American Express Global
Business Travel offers,” says Louis.
Traveller’s tips
Louis says agents and TMCs alike
can only provide travellers with tips
for travelling in Africa when they
have enough experience planning
and booking within the African
network. “We have experience in
every market we operate within (23
markets in sub-Saharan Africa), and
our service is delivered through
our online portal technology, which
links each market with the client’s
needs,” he says.
Payment solutions
Payment solutions are another
unique Africa-specific policy
requirement, says Maria. “Cards
are not widely accepted, and places
commonly travelled to do not
necessarily provide ATM facilities
for the drawing of cash.” She adds
that although there is reticence to
carry cash, it is still the most widely
accepted form of payment in Africa.
This remains a challenge for
corporates to manage travel for the
blue collar travellers. “It requires the
TMC to provide a pre-payment option
for accommodation and services,
which in itself is a challenge
because of time delays and changes
to reservations.”
TNW7300SD
Supplier relationships
Supplier relationships are another
critical aspect of managing seamless
travel into Africa. TMCs can
demonstrate significant value through
their knowledge and understanding
of reputable service providers that
operate in Africa.
“Corporate customers are looking
for reliability, safety and security when
choosing a travel supplier,” says
Air Mauritius sales and marketing
manager, Wouter Nel, noting that
because of its four-star Skytrax rating,
excellent safety record and worldrenowned
service, Air Mauritius is a
corporate airline of choice.
While getting around Africa has
its challenges, many carriers are
increasing services in the continent
because they recognise the potential
there.
Wouter points out that corporate
customers are also price sensitive in
Africa due to weakening currencies.
“Air Mauritius has excellent value
propositions in line with the corporate
needs, such as our last-minute airport
upgrade to business class for R1 850.
Sub-Saharan Africa –
travel picks up
SUB-SAHARAN Africa
has seen an increase
of 6,4% in international
arrivals in September,
according to figures
from FowardKeys, which
monitors future travel
patterns by analysing
14 million reservation
transactions each day.
Bookings for the next
six months suggest a
sustained recovery. The
data shows Arrivals
On-The-Book from
October 2015 to March
2016 are now running
4% ahead, compared
with the same period
last year. This growth
marks a turning point,
after four years of
strong growth were
wiped out by the Ebola
outbreak, including flight
suspensions from August
2014.
According to Lindi
Mthethwa, regional
manager of sales and
reservations at African
Sun, one positive aspect
of travelling within SADC
regions is that there are
no visa requirements,
and there is also easy
access. “Travelling as far
as Tanzania is easy, with
available flight access
and no visa or security
issues,” according to
Lindi.
She says that African
Sun is also noticing an
increase in self-drives
from South Africa to
Zimbabwe. “The market
generally seems to feel
it is safe to drive to
Zimbabwe, and the roads
have improved as well as
security in the country.
The univisa between
Zambia and Zimbabwe
has also made it easier
for travellers to travel
between countries
and experience more
destinations in one trip.”
African Sun also
highlights that the new
terminal developments
at Victoria falls
International Airport
will have an immense
effect on increased
international and
domestic flights into
Zimbabwe, further
growing the corporate
and MICE business in
the region.”
Is Kenya too expensive?
KENYA is striving to revive
its tourism industry but
high hotel prices could
stand in the way. Hotels
in Nairobi are among the
most expensive in the
region, according to a survey
published by hospitality
research firm, STR Global.
With an average room rate
of US$122,30 (R1 622)
per night, hotels in Nairobi
charge almost double
the rates of hotels in
Johannesburg, where
travellers pay $72,90
(R967) per night. This is
despite low occupancy due
to security concerns and
travel advisories.
Thomas Emanuel, director
of Business Development,
STR Global, said: “In the
face of the recent terrorism
incidents in Kenya, Nairobi's
hoteliers have chosen to
maintain rates but they
have suffered with lower
occupancy.”
However, tour operators
say that, despite high
hotel prices, Kenya is not
necessarily pricing itself
out of the market. Onne
Vegter, ceo of Wild Wings
Safaris, says Kenya remains
high up on the list for many
international tourists who
are looking for an African
safari, despite the fact that
Kenya doesn’t benefit from a
strong dollar and weak local
currency as South Africa
does.
For the inbound, high-end
market, Kenya’s prices also
don’t form an obstacle
to travel, says Rowena
Robartes, specialist travel
consultant for Boundless
Africa. “I am not seeing a
drop in bookings to Kenya
for either price or safety
reasons. Top-end properties
are as expensive as those
of the same calibre in
Tanzania and Botswana and
even, in some cases, in
South Africa.”
Both Onne and Rowena say
government taxes and park
fees are a bigger challenge
for the country’s tourism
industry. “High taxation on
tourism services and airport
taxes are perhaps the most
detracting elements to
mid-range tourists,” says
Rowena.
Onne says although he
feels Kenya’s pricing is on
a par with the rest of East
Africa, in the context of the
country’s current challenges
to attract tourists, it would
make sense to reduce
prices. “The government
could assist in the form of
reduced taxes and park fees
if they were really serious
about turning things around
for Kenya’s tourism.”
Kenya has some of the
highest costs of ticket taxes
and access to international
air transport services for
visitors, according to new
data released from the
World Economic Forum. The
taxes and levies imposed on
hospitality establishments
across the country are
prohibitive, according to the
ceo of the Kenya Association
of Hotel Keepers and
Caterers, Mike Macharia.
Newsflash
The Tanzania Tourist Board (TTB) will launch a ‘one-stop-shop’ tourism portal to help tourists from
different countries to choose the services and offerings they want from Tanzania. The new system
will help TTB track the number of travellers visiting Tanzania and the type of attractions they are
most interested in. TTB hopes that the portal will create greater awareness about Tanzania, inform
tour operators, agents, hotels and service providers about the country’s offerings and give them an
opportunity to market the country.
