CALVYN GILFELLAN

Chief Executive Officer

Cape Town Routes Unlimited

Provincial

2010 Feedback

JAMMS Session

Crystal Towers, Century City

15 September 2010 1

Introductory remarksDriving an Events StrategyDestination AccessWinter Brand OfferingNiche MarketingDestination Marketing Lessons

Quo Vadis?

Contents

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• Against all odds: how we produced the best World Cup ever!• The challenge: How do we capatilise on this?• Currently there is a bit of a lull.• Whose responsibility is it to get us out of the lull?• You, us: the tourism fraternity.• FIFA, LOC, Deadlines provided the centripetal force now we must be that.

Introductory remarks

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Key Imperatives for tourism in the Western Cape

• World Economic Crisis, swine flu and declining volumes from core markets

• Leveraging what’s left of the 2010 FIFA Marketing Opportunity

• Alignment of provincial and city governments: window of opportunity

• Optimisation of Scarce Funding Resources for greater effectiveness and efficiency

• Employing cutting-edge marketing as well as management methodologies and techniques to position Cape Town & Western Cape as a top-notch destination

Driving an Events Strategy

The 2010 FIFA World Cup™ was obviously the jewel in the

destination’s crown!

• Destination has the capacity to host major events

•CTRU supports 30+ events every year in Cape Town

Western Cape, with six events generating an estimated direct

economic impact of R 780 million to the destination

•Winter events include the Vodacom Funny Festival, Pick n

Pay Knysna Oyster Festival, Cape Town Book Fair, ARISE

Cape Town Fashion Week, Wacky Wine Weekend, Riebeek

Valley Olive Festival and Various Flower Shows.

• Events webpage receives 14 000 hits per month4

CTRU uses events as a platform to:

• Profile Cape Town & Western Cape as a premier destination

• Attract visitors – drive numbers

• Showcase our region’s indigenous talent and offerings

• Send messages to a captive audience

• Create unforgettable experiences for our visitors

• Address the regional spread of visitors into the province

• Encourage repeat visits

• Encourage extended stay

• Events Blueprint being developed

Driving an Events Strategy cont.

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The success of any regional city destination is linked to the

availability of direct flights from source markets as well as

water and land access.

Direct flights to Cape Town currently include the following source markets:

United Kingdom – British Airways, South African Airways, Virgin Atlantic Airlines Germany – Lufthansa (Seasonal) Amsterdam – KLM

Middle East – Emirates and Qatar Airways Malaysia, Buenos Aires, South America – Air Malaysia Singapore - Singapore Airlines Turkey – Turkish Airlines, developing market

Destination Access

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Source markets in Africa are contingent on direct flights. As it stands, the majority of direct flights from Africa are linked to JHB.

The following source markets in Africa have direct links to Cape Town:

Namibia – major source market Uganda – high yield market, important to develop Angola – important to develop

The CTRU Board has tasked the CEO and ACSA General Manager, Deon Cloete, with a draft Airlift Strategy.

Land and water access points to the destination:

Namibia, Northern Cape – N7 - Scenic JHB, Eastern Cape, KZN – N1 KZN, Eastern Cape – N2 – longer route but scenic

Cape Town & Western Cape is increasingly becoming a popular cruise liner destination. During the World Cup cruise liners docked at the V&A Waterfront and acted as mobile hotels

CTRU’s Coastal MOU with Eastern Cape Tourism and KZN Tourism includes

areas of cooperation on developing ‘cruise tourism’

Destination Access Cont.

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The World Cup has proved that the destination can host mega events anytime of the year. • “Another Reason to Visit” Campaign

•Generally focuses on retirees – have time to travel, flexible income• Beyond the 90 Minutes marketing campaign• Cape 365 – A real opportunity to revive this concept

International campaigns during Cape Town’s Winter period could involve other destinations:

• Middle East tourists travel in their Summer, which is during our Winter and generally travel to colder destinations• Europe and USA tourists travel during our low season, mainly for safaris – packaging is important• Namibia’s high season is during our low season – joint packages

Winter Brand Offering

Golf/Sport TourismWine TourismCruise TourismPaleo TourismAgri-tourismYouth TravelGreen TourismAdventure Tourism

Niche Marketing

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Destination

Marketing

LessonsPOSITIVE:•The manner in which locals embraced and responded to the historic call to duty was a major revelation •The responsiveness of the local tourism industry to the challenges of a high season in a traditional low season was great•The massive swing in positive media sentiment here and abroad – balanced, responsible coverage of the past 3 weeks is worth diamonds and gold in marketing terms!• Our tourism infrastructure is now truly world-class • Flexible packaging

NEGATIVE:• Not all businesses or regions have profited• Over supply of 5-star accommodation• Still too many safety & security incidents against tourists• Cape Town Stadium-Newlands debate

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Quo Vadis?

•Call to action – all hands on deck•Leverage off the huge brand SA awareness

• Top of mind awareness is high, but we need to convert this into real numbers• Conversions/call to action• How?

• Through JMAs, with top overseas travel operators• Aggressive promotion of travel specials• Higher visibility in new markets• Exploitation of new (social) media• Provincial and local support for one massive, national marketing campaign as Brazil is currently doing• More brilliant ideas from JAMMS• Appropriate institutional arrangement to take these ideas forward

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THANK YOU

Photo: City of Cape Town

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