itb 2014 trip report v3 judy lain

An inspiring place to discover

ITB BerlinTrip ReportMarch 2014

Radiefa Williams & Judith Coetzee


Presentation structure

• Introduction to ITB Berlin

• Market insights

• Feedback from show

• What SAT is doing in Germany

• Insights from show

• Next steps


Introduction to ITB Berlin

• Dates: 5th – 9th March 2014• Venue: Berlin, Germany• Purpose of show: To bring together travel partners on a Business-to-

Business platform– Exhibitors: 10,147 (from 189 countries, 26 halls)– Congress delegates: 22,000– Trade visitors: 114,000– General public: 60,000– Total no. of visitors: 206,147

• 43 South African products featured on the South African Tourism platform


Introduction to ITB Berlin

Wesgro’s objectives for participating at ITB Berlin:

– Promote Cape Town and the Western Cape as a leisure, business and events destination

– Build further awareness of our destinations offerings– Nurture trade relations with our tour operators, travel trade and continue

strengthening our relationship with SAT– Pursue co-operative marketing opportunities with partners that can

ensure growth– Gain market insights and share these with our regional partners


Marketing insights


Market insights*

• Third quarter results 2013:

– Total foreign arrivals into SA: 2.4 million (2.9% increase compared to

same period 2012)

– Europe Growth: 6.7% (21,057) in arrivals

• Highest growth Germany: 15,6% (8,459)

• Followed by Netherlands: 8,8% (2,630)

• UK still main source market and accounts for 29% of total arrivals

from Europe

*SAT Tourism Index Q3 2014


Market insights*

Purpose of visit


Country Leisure Business Medical Religious Other

France 48.0% 39.4% 12,6%

Germany 59.3% 31.4% 9.3%

Italy 62.2% 33.2%

Netherlands 66.4% 24.2% 9.4%

Sweden 46.9% 42.3%

UK 63.7% 29.4% 6.5%

Other Europe 54.3% 38.1% 7.4%


Market insights*

Repeat Rate


Country 1st time 2 – 3 times 4 – 5 times 6 – 9 times 10 or more

France 66.9% 17.0% 8.2%

Germany 63.6% 21.2% 5.8% 4.4% 5.0%

Italy 67.9% 15.9%

Netherlands 54.1% 19.7% 11.1% 7.9% 7.3%

Sweden 68.2% 16.4%

UK 47.7% 20.7% 9.5% 10.7% 11.3%

Other Europe 63.9% 16.5% 7.7% 5.1% 6.7%


Market insights*

Average Length of Stay


Country Average number of nights

France 13,6

Germany 16,9

Italy 10,6

Netherlands 16,7

Sweden 12,4

UK 14,1

Other Europe 14,6


Market insights*

Accommodation usage


Country Hotel Guest House

B&B Game Lodge

Self Catering

VFR Backpackers / Hostel

Camping / Caravan

Trains / Ships

Hospitals

Other

France 83,319 61,811 17,743 21,793 67,589 48,412 15,576 1,211 0 0 39,595

Germany 191,922 85,714 87,314 28,546 117,114 196,284 45,556 18,578 0 3,402 138,919

Italy 89,460 28,071 20,786 29,056 6,159 30,220 6,973 9,060 0 0 5,443

Netherlands

79,586 42,653 40,238 34,761 82,683 51,940 31,473 7,324 31,008

Sweden 13,208 4,934 3,803 3,059 11,113 11,870 2,316 437 0 0 3,706

UK 291,830 102,543 48,464 62,238 142,040 460,758 39,519 12,195 10,459 0 84,434

Other Europe

347,653 103,746 67,401 63,944 74,839 229,395 45,982 22,890 12,484 525 60,588


Market insights*Provincial distribution: Share of Arrivals


France Germany Italy Netherlands Sweden UK Other Europe0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

Gauteng Wcape Ecape KZN Mlanga Limpopo Nwest Ncape Fstate


Market insights*

Activities undertaken by tourists


Coun

try

Shop

ping

Nigh

tlife

Them

e pa

rks

Trad

ing

Casi

no

Adve

ntur

e

Spor

ting

com

pete

d

Spor

ting

spec

tacu

lar

Busi

ness

Educ

atio

n

Cultu

re, h

erita

ge, h

isto

ry

Wild

life

Beac

h

Soci

al

Med

ical

Heal

th

France 53,40% 64,10% 30,40% 16,80% 40,30% 9,10% 33,60% 37,20% 29,80% 16,10%Germany 59,30% 67,70% 28,30% 4,30% 24,80% 30,90% 8,30% 34,80% 40,50% 31,70% 23,40%

Italy 54,10% 55,60% 33,60% 13,90% 32,10% 35,80% 44,00% 24,50% 13,20%Netherlands 60,60% 75,90% 30,90% 27,40% 25,70% 41,70% 47,90% 33,30% 21,10%Sweden 51,20% 63,10% 14,80% 42,30% 21,50% 27,20% 15,20% 21,10%UK 58,50% 69,80% 24,90% 3,20% 22,70% 27,80% 5,20% 27,60% 36,90% 35,30% 32,50%Other Europe 52,30% 63,60% 26,70% 3,50% 22,10% 35,70% 5,70% 33,80% 35,80% 31,60% 19,50%


Feedback from the Show



From left: Annareth Bolton Stellenbosch Wine Routes, Mariette du-Toit Helmbold, Destinate, Radiefa Williams Wesgro, Annemarie Ferns, Stellenbosch 360, Carrie Hopkins Cape Town Tourism and Inge Dykman, Cape Town Tourism

Artwork on the Cape Town & Western Cape Stand



National Tourism Minister: Minister van Schalkwyk Meeting with SA exhibitorsCape Town & Western Cape stand



ITB Exhibitors briefing event (SA Embassy)

Welcome and address by H.E. Rev Dr Makhenkesi Arnold Stofile, Ambassador of South Africa to Germany

Acknowledged provinces, SA products, SAT Germany team and encouraged all to work together and to continue to invest in the German market as these travellers will continue to book long-haul travel.

Keynote address by Minister Marthinus van SchalkwykInternational tourists arrivals reached 1,087 million, a growth of 5% in 2013; Africa +6%Minister thanked SA products and provinces for their continued investment in the German market and applauded SAT Germany team for innovative campaigns, media drives and excellent market analysis and performance. SAT presented an overview of their German market highlights, press trips and trade & consumer campaigns.



Engagement with tourism industry, stakeholders, trade, media and airlines

Christophe Hoppe, Chief Editor Reise Inspirationen, Radiefa Williams Wesgro, Michael Bentele Director SAA Frankfurt, Annemarie Ferns, Stellenbosch 360

Elisa Carmona Ledesma, RCH Hotel Representative, Horst Frehse, Twelve Apostles, Hannah Kleber, HK PR, Annemarie Ferns Stellenbosch 360, Stephan Gotta SAT Germany, Radiefa Williams Wesgro



Bloggers Event – SAT in cooperation with CONDOR / Thomas Cook

Deputy Head of Mission: SA Embassy Mr Horst Brammer, Minister Plenipotentiary



• Engaged with a range of bloggers of diverse interests ranging from senior travellers, safaris, hiking, outdoor experiences, food, wine, special interests with the majority covering lifestyle, nature and culture

• CONDOR is one of the main Thomas Cook brands, running operations in Germany, Austria and Switzerland

• Thomas Cook contracts with 300 hotels in South Africa• CONDOR operates 3x weekly flights from Frankfurt to Cape Town

between November – April• 6 bloggers from the event, will participate in a trip to South Africa

hosted by CONDOR in partnership with SA Tourism in October 2014– Wesgro will potentially supported the Cape Town & Western Cape leg



Opportunities with bloggers:

• Regions that are not well known or want to appeal to a specific audience can find a platform for representation through bloggers

• Bloggers have loyal followers and a huge amount of credibility amongst these followers

• Bloggers are able to reach their audience within seconds (real time)• Bloggers are personal and express feelings and opionions



Rules of interaction with bloggers, the trendsetters of tomorrow:• High level of engagement

– Don’t mass mail a blogger– Establish a personal and authentic relationship

• Identify the right blog– Ensure your offering/story is relevant to the target market that reads the

blog

• Every blog wants to be unique– Don’t sell the same story to a number of bloggers. They each want

something unique to their readers



Stellenbosch Wine Routes and Stellenbosch 360’s Wine Tourism

Campaign:

• Stellenbosch Wine Routes and Stellenbosch360 launched their

trade marketing campaign “Ultimate Bucket List” where the winner

could win a trip to Stellenbosch, Cape Town and the Western Cape

• The objective of the campaign was to position Stellenbosch’s

position as an important wine destination in South Africa, and a

great place to explore the Western Cape from



German arrivals top performing long-haul destinations, competitors set, 2011 – 2013 (Source: TravelOne: ITB Report 2013)


What SAT is doing in Germany


What SAT is doing in Germany?

SA Tourism actively runs massive campaigns in the German market:• Joint marketing partnerships with 16 key tour operators in Germany to

ensure SA brand is visible to the consumer at point of sale• Across the board campaign activities include print advertising, billboard and

online sales, press trips, POS, video promotions, consumer functions, trade educationals

• Key partnerships with SAA to do joint campaigns at main train stations and Frankfurt airport

• Increasing SA’s presence in the press, generating huge coverage (Circulation: 82m, page impressions: 220m)

• Press trips hosted included journalists from high profile magazines such as Geo Saison, Feinschmecker and Travellers World

• Continuous training of travel agents through seminars and roadshows to build SA sales force in Germany


Insights and learnings



• German outbound market remain dominated by traditional channels• Germany’s travel agency network (approx. 9,753 agencies) is

mainly controlled by three conglomerates DER Touristik, TUI and Thomas Cook

• Nearly 174 tour operators are selling SA in Germany (mainly small and medium size companies)

• Most German travellers are still buying through traditional channels, however online sales continue to show growth with the younger market

• Travel agents want more information about environmental and social issues (for e.g. responsible tourism that increases the benefits for the residents of the destination)



• A wide variety of products are featured in the German tour operators brochures with the majority located in the Western Cape, Mpumalanga, Eastern Cape and Gauteng

• German traveller trends:– Golf holidays– Hiking holidays– Niche holidays for e.g. diving, surfing, birding, motor biking, youth travel– Most popular experiences are wildlife, scenery, lifestyle, culinary, wine

and culture– Specially family orientated products showing a demand (especially self-

drive along the Garden Route)



• Include tips for emergency contacts widely, online and in all marketing material

• Travellers need to be inspired, as Germans consider a multiple of travel options before making their choice

• FIT enquires on the stand:– Ideas on family holidays– Whales and nature– Cycling – Winter and Summer holiday ideas– Self drive ideas– Concerns: A few raised the safety issue as well as public transport



The traveller, beyond 2015– Busy lifestyles have changed how people travel, long extended holidays

will no longer be the norm• Result in more domestic travel with focus on City breaks, weekend

getaways etc– Consumers want life-enriching experiences to make up their little time

they do have to travel– Airlines to look at discount rates out of season– Low and Luxury travels segments showing growth– Middle price segment disappearing– Tailor made offers and services that are more relevant to target markets

special interests will show growth for e.g. culinary and wine, sports and adventure, gay and lesbian, sport and “Green”



• For the German traveller, it’s more than just sitting on the beach relaxing, they want to discover new places, people and different cultures

• Germans travel during their school holidays (July – August), leave (December – February) and two Easter weekends


Moving forward


Moving forward

• Assess cooperative marketing opportunities with South Africa Tourism

• Cooperative hosting of inbound tour operators (educationals) and media

• Develop and maintain database and CRM campaign with contacts made


Thank you | Dankie | Enkosi

itb 2014 trip report v3 judy lain

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