Hotels resort to special deals

Cape Town - According to the chief executive of a Cape Town five-star hotel, the global economic crisis is already affecting luxury tourism in South Africa

Ursula Gray, from the Cape Royale Hotel in Green Point, said on Tuesday that most of the luxury hotels in South Africa are struggling to raise their occupancy levels over the holiday season, and many are offering previously unheard-of special offers as a means of enticing additional guests.

The good news for tourists is, however, that "as a consequence, those international visitors still willing to travel to South Africa will benefit from the improved value-for-money offering, as well as the weaker local currency," Gray said.

She referred to figures recently released by the South African tourism office, and pointed out that during August - traditionally a month which sees an improvement in the number of international travellers to South Africa following the low season - actual numbers declined, with the Far East market recording the most significant decrease.

"In times of economic crisis, the Asians are often the first to stop travelling," she said, "while lead times for visitors from Europe or the US are generally a little longer.

"With a further slump in the global economy during October and November, the outlook for the luxury tourism industry is increasingly negative. These figures are borne out by IATA statistics relating to the sharp plunge in international air passenger traffic, with carriers to Africa being the hardest hit."

- I-Net Bridge