Travel trade talks transformation

AS PART of its mandate
for this year, Asata is
assessing the level
of BEE transformation the
industry has reached. Industry
experts say that, although
transformation has taken
place over the last 20 years,
its progress has been slow,
particularly in terms of black
ownership.
Ceo of Asata, Otto de Vries,
says the travel industry is
constantly being challenged
by government with claims
that it hasn’t done enough
to transform. “How do we
respond to that if we don’t
have a clear sight of the level
of transformation that has
taken place?” says Otto.
As a first step, Asata is
asking all its members to
provide it with their BEE
certifications during their
membership renewal process,
which is currently taking place.
Robyn Christie, gm of
Travelport Southern Africa,
says the industry has achieved
exceptional transformation
in the last 20 years but the
last five years show it’s not
happened quite at the rate
the industry would have liked.
“Entrants in the industry
reflect the demographic of
the country, but in terms of
management and ownership –
it’s a different picture.”
Dinesh Naidoo, group
operations director of SWG
Tours, agrees and says the
scarcity of black-owned travel
companies could be a result
of the lack of exposure to
travel this demographic had
in the past. He says existing
black industry leaders often
aren’t given enough exposure
to the industry as there is a
fear these employees will be
poached by competitors.
“Because the market is
saturated by white-owned
established travel agencies,
it’s become increasingly
difficult for [new black-owned
businesses] to penetrate the
industry,” says Gomolemo
Manche, owner of Lerato
Travel.
Some of the biggest
challenges black entrants
face is the substantial Iata
guarantee that needs to be
paid to be accredited. “The
majority of travel tenders from
both the private and

public sector state it as a
prerequisite to obtain them
as a client.” Furthermore,
she says, “Travel is a capitalintensive
business that
often requires pre-payment,
especially if the agency
does not have accounts with
suppliers.”
Dinesh says to really make
progress, the industry must
define transformation and
outline the goals it wants to
achieve. “A BEE level 1 or
level 2 certificate doesn’t
equal transformation,” says
Dinesh.
“Real transformation is
about creating an environment
where all demographics
can thrive,” says Themba
Mthombeni, ceo of Duma
Travel. He says many
companies in the industry
make the mistake of thinking
having a black investor is
enough to be “transformed”.
The focus should be on giving
previously disadvantaged
people the opportunity
to understand the travel
business so that they have the
capability to be entrepreneurs.
“Our children should enter an
environment that leverages
the strengths and uniqueness
of our country to ultimately
build a better industry.”
Robyn says transformation
is not just about changing
the colour of the industry, but
transforming it into a viable
career with viable business
opportunities. “It must be as
attractive to work in the travel
industry as it is to work in any
other.