enterprise programme background information for travel agents
DESCRIPTION
Sho’t Left Enterprise Programme Aims of the Enterprise Programme 1.To have 100 Sho’t Left Travel Specialists in the field by the end of To make travel more accessible to all South Africans – by having travel agents who understand the unique needs of the emerging local market and are able to sell accordingly 3.To provide knowledge and insight to travel agents to equip them to build enterprises around the domestic travel market in futureTRANSCRIPT
ENTERPRISE PROGRAMMEBACKGROUND INFORMATION FOR
TRAVEL AGENTS
Sho’t Left Enterprise Programme
About the Enterprise Programme
• Launched in 2005• To support Travel Agencies in developing a greater
domestic leisure tourism focus• Forms part of the Domestic Tourism Growth
Strategy from Government• Will help the industry with transformation and BEE
charters • Is a joint partnership between SA Tourism and
ASATA• Open to PDI travel agents (and students as part of
practical training) in the country
Sho’t Left Enterprise Programme
Aims of the Enterprise Programme
1. To have 100 Sho’t Left Travel Specialists in the field by the end of 2006
2. To make travel more accessible to all South Africans – by having travel agents who understand the unique needs of the emerging local market and are able to sell accordingly
3. To provide knowledge and insight to travel agents to equip them to build enterprises around the domestic travel market in future
Sho’t Left Enterprise Programme
Domestic Tourism Growth Strategy
• Developed by DEAT (Department of Environmental Affairs & Tourism) and SA Tourism
• Based on extensive research – local research and internal case studies
• Designed to help the industry focus on drivers for growth
Sho’t Left Enterprise Programme
Strives to contribute
to …
Sustainable GDP Sustainable GDP growthgrowth
Sustainable job Sustainable job creationcreation
Redistribution and Redistribution and transformationtransformation
… through delivering
sustained ...
Increases in tourist Increases in tourist volumevolume
Increases in tourist Increases in tourist spendspend
Increased length of Increased length of staystay
Improved geographic Improved geographic spreadspread
Improved seasonality Improved seasonality patternspatterns
… by acting in a focused
way to …
Understand the marketUnderstand the market Choose the attractive Choose the attractive segmentssegments Market the DestinationMarket the Destination
Facilitate the removal Facilitate the removal of obstaclesof obstacles
Facilitate the product Facilitate the product platformplatform
Monitor and learn from Monitor and learn from tourist experiencetourist experience
Promote transformationPromote transformation
Sho’t Left Enterprise Programme
The Domestic Tourism Growth Strategy is based on four areas of focus
1. Increasing volumes2. Increasing expenditure 3. Reducing seasonality
4. Improving geographic spread
Sho’t Left Enterprise Programme
In 2003 the Tourism market value in South Africa was just over R100 Billion – almost half of that was domestic
53%
47%
International Domestic
Sho’t Left Enterprise Programme
In 2003 the tourism industry hosted 6.5 million international visitors and 8.1 million domestic holiday trips
45%
55%
International Domestic
Sho’t Left Enterprise Programme
46.3
27.88
15.1
0.0
20.0
40.0
60.0
Popu
latio
n - M
illio
ns
2003
SA pop.
universe (adults 18yrs and over)Travelling pop.
The South African Domestic Travelling Population has room for growth
Sho’t Left Enterprise Programme
Nearly two thirds of trips are for VFR (Visiting friends and relatives). Although Leisure travel accounts for only 16%
of all trips, it accounts for 44% of all expenditure
0
5000000
10000000
15000000
20000000
25000000
30000000
35000000
No
of T
rips
05101520253035404550
% o
f tot
al v
alue
No of Trips 8100000 5300000 3100000 800000 32000000% Value 44.5 4 12.8 1.4 37.2
Holiday Religious Business Medical VFR
The opportunity to improve the GDP
contribution from domestic tourism is in the holiday or
leisure segment
Sho’t Left Enterprise Programme
Many South Africans do not
have a culture of holiday travel
• No weekend trips 96%• No trips at all 84%• Of those who do travel
– 83% take one trip a year
Total 29773126100%
One W/E Trip 684837
2% Two W/E Trips 283054
1% Three Or More W/E Trips 259020
1% No W/E Trips 28546215
96%
Total 29773126100%
One Trip 25834589%
Two Trips 12387344%
Three Or More Trips 796207
3% No Trips 25154728
84%
%
%
%
%
%
%No. Of Trips (Not W/Ends):Past 12 Months
Row %
No. Weekend Trips:Past 12 Months
Row %
%
%
Taken from AMPS 2004
Sho’t Left Enterprise Programme
Most trips are taken during school holidays with a notable decline in the number of trips taken
between August and November (2003 figures)
1.4
2.2 2.2
2.9
9.4
4.8
2.53.1
5.5
3.7
5.3
6.3
0
1
2
3
4
5
6
7
8
9
10
Trip
s ta
ken
(Mill
ions
)
Sho’t Left Enterprise Programme
KZN in both the biggest source of domestic travel and the biggest receiver of domestic travel (Note this is all travel
not only leisure)
02468
101214
Mill
ions
of T
rips
KZN
Gauten
g
E Cap
e
W Cape
Limpo
po
F Sta
te
N Wes
t
Mpuma
N Cape
Travel From Travel To
Sho’t Left Enterprise Programme
Domestic Tourism Summary1. Domestic tourism is as valuable as international
tourism 2. Domestic tourism is not developed in SA – there still a
lot of room for growth3. Holiday travel has the best potential to grow the GDP of
South Africa – so this is where the focus is4. There is a need to develop a culture of leisure travel –
the few who do take holidays mostly take only one trip a year – we can convert people to take more trips more often
5. Domestic tourism is mainly in four provinces and follows a seasonal pattern – we need to direct tourism to lesser visited provinces and at different times of year
Sho’t Left Enterprise Programme
Sho’t Left Enterprise Programme
Who is the South African Domestic Holiday traveller?
• There are three main groups which have been identified through research
1. Established2. Emerging3. Untapped
Sho’t Left Enterprise Programme
Established Travellers – 0.9 million people who generate R8.9 billion tourism spend
• This market are already travelling for leisure purposes and have knowledge and understanding about tourism products around the country
• They can still be enticed to go on more trips and spend more in low season
• Two groups here are:– Independent Young
Families and Couples– Golden Active Couples
Sho’t Left Enterprise Programme
Untapped Travellers – 5.9 million people who generate R1.7 billion tourism spend
• This market are low income travellers and are currently spending money on basic living necessities. When they travel it is for religious or family reasons
• They can be encouraged to travel more, but this will be a much harder sell than to the Emerging market
• Two groups here are:– Home based families– Basic needs older
families
Sho’t Left Enterprise Programme
Emerging Travellers – 6.3 million people who generate R7.5 billion tourism spend
• This market includes South Africans who are already travelling – some may have even been on a holiday – but they are not very knowledgeable about tourism offerings, the value of holidays, how to book, plan and budget for a holiday.
• This market represents the biggest opportunity for growth in domestic tourism – and it is here that Sho’t Left is focussed.
Sho’t Left Enterprise Programme
0
1
2
3
4
5
6
7
Mill
ions
0
1
2
3
4
5
6
7
8
9
10
Bill
ions
No of people 0.9 6.3 5.9No of Trips 2 4.2 1.2Holiday Value 8.9 7.5 1.7
Established Emerging Untapped
The holiday leisure traveller in the emerging market can be increased both in terms of
volume (no of trips) and value (holiday spend)
Sho’t Left Enterprise Programme
Emerging Travel Target Market comprises of three segments – the biggest being the young & upcomings
Market Demographic Size & Value Package Fit
Young & Upcoming Age 18-30Middle income – R5000 to R10000
5.1 millionR3.1 Billion
Fun, vibrant, full of life, exciting & challenging
Striving Families Age 25 to 45Middle incomeR5000 to R10000
0.4 millionR2.0 billion
Relaxing, family fun, friends, memories
Well-off Homely couples
Age 30+Middle to upper incomeR10000 to R20000
0.8 millionR2.4 billion
Enriching, inspiring, unique, fulfillment
Sho’t Left Enterprise Programme
Domestic Leisure TourismStrategic overview
Overall objective: Develop and stimulate a culture of holiday travel by demonstrating
that the doors of travel are open to all
Market:Emerging Travellers with a focus on the Young & Upcoming segment
Message: Holidays are affordable, do-able and good for you
Action: Take more short breaks, more often
Vehicle:New tourism brand: Sho’t Left
Sho’t Left Enterprise Programme
An introduction to Sho’t Left
Sho’t Left Enterprise Programme
• Conceptualised in early 2004 and launched in June 2004
• Sho’t Left is a marketing campaign designed to1. Create awareness of what
is available to see and do in SA
2. Demonstrate that the doors of travel are open to all
3. Encourage people to take action – make an enquiry, make a booking
Sho’t Left Enterprise Programme
Sho’t Left• Term taken from Taxi-Lingo• Means – “drop me off just
here”• Alludes to the fact that it is
easy to travel, it is “just around the corner”
• Uses the Welcome Icon – internationally and locally recognised symbol of tourism
• Has strap line: “Affordable Mzansi (SA) Holidays” to clearly position the brand
• Is always promoted with the SA Tourism Help-line and web-site addresses to prompt action
Sho’t Left Enterprise Programme
Sho’t Left Campaigns are run in three periods through the year
• Off-peak season focus• Majority spend in
winter months1. Feb to Apr2. May to Aug3. Sept to Nov
– Investment 2004 R7 million– Investment 2005 R20 million 0
10203040506070
Jan Feb
Mar Apr
May Jun Jly Aug
Sep
Oct
Nov
Dec
Sho’t Left Enterprise Programme
Stimulate Domestic market
to take more short
breaks, more often
TV ProgrammesSABC 2
2004 Inserts2005 Chalenj Reality Show
2006 Repeat of Chalenj
Advertising & PRIncluding newspaper, taxi advertising, radio, cinema,
billboards, lots of PR – articles, interviews and
media events
Sho’t Left Campaigns
OutreachRoad shows to large
employers, events, expos, Shopping centres etc
Sho’t Left Enterprise Programme
Print Advertising
Sho’t Left Enterprise Programme
Has it worked?• Sho’t Left is already a known brand amongst the
target market • Response to the TV programmes and competitions
has been excellent• Media support and PR coverage has been excellent
– showing interest of the public in the concept and idea
• Call centre numbers have more than tripled• Web-site hits have increased 3000%• In the last nine months (Jul 04 to Mar 05) just over
6 million holiday trips were taken domestically
Sho’t Left Enterprise Programme
More than 65 calls a day
Note: call centre enquiries include all telephone calls, emails, faxes and exclude online brochure requests
South Africa: total enquiries handled by call centre by month from October 2004
0
500
1,000
1,500
2,000
2,500
2004 309 921 5272005 396 660 1,074 1,159 1,558 1,794 1,962 1,996
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Sho‘t Left
Sho’t Left Enterprise Programme
Web-site hits increased 3000%
Unique Visits and Total Page Views per month for South Africa 2005
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
Campaign Site Visits 3,686 4,252 3,629 1,085 13,579 30,507 25,934 23,758
January February March April May June July August
Sho‘t Left
Sho’t Left Enterprise Programme
Total number of domestic trips - Jul '04 to Mar '05
4.29
5.54
4.164.41
2.68
4.25 4.13
2.07
4.46
0.0
1.0
2.0
3.0
4.0
5.0
6.0
Jul-0
4
Aug
-04
Sep
-04
Oct
-04
Nov
-04
Dec
-04
Jan-
05
Feb-
05
Mar
-05
Latest statistics are already showing a change in seasonal patterns following the launch of Sho’t left
in May 2004
Sho’t Left Enterprise Programme
Sho’t Left and SADC
• The campaign has been adapted for SADC countries
• Similar markets and needs• Mozambique, Botswana, Swaziland, Lesotho and
Zambia are being targeted• Campaign starts Sept 2005
Sho’t Left Enterprise Programme
Domestic TourismIndustry Activation
Activating off-peak periods
ASATA TRAVEL AGENTSTo sell Sho’t Left Packages – brochure & POS delivered to
1200 outlets
ASATA SHO’T LEFT ENTERPRISE PROGRAMME
Employment and training of new staff to be Sho’t Left agents –
focusing on the domestic leisure market
Sho’t Left Enterprise Programme
ASATA Travel Agencies Kit
Hanging Mobile
Mouse pad
A1 Posters/Window Decals
Wobbler
Sandwich Board
Sho’t Left Enterprise Programme
Package brochure
Sho’t Left Enterprise Programme
Affordable Holidays
• SA Tourism is not in the business of developing packages for the industry
• SA Tourism have asked and guided the industry to select and develop packages which will appeal to the emerging travel market
• SA Tourism are happy to work with any credible supplier who is committed to growing the domestic leisure tourism market
• Selected packages are listed in a Sho’t Left brochure
• Many more are listed on the web-site
Sho’t Left Enterprise Programme
What is a good domestic package?
• City Breaks & Coastal getaways popular• Resorts with activities• All inclusive – meals and transport• Under R1000 per person sharing• Added value – tours, vouchers, tickets to an event• Weekends and short breaks • Bush retreats gaining in popularity
Sho’t Left Enterprise Programme
SHO’T LEFT PACKAGES ARE ALL COMMISSION BEARING TO THE INDUSTRY
7 % commission
10 % commission
10 % to Retail
SHO’T LEFT PACKAGES ARE PROCURED FROM ESTABLISHED AND EMERGING TOUR OPERATORS
Sho’t Left Enterprise Programme
Educational Leaflet – for clients who have never booked a holiday before or who are apprehensive
and unaware of what to expect
Sho’t Left Enterprise Programme
Sales Tools
• Use the Sho’t Left Brochure and Education leaflet• Use the Sho’t Left web-site• Use the TGCSA Accommodation Guide• Use the AA Accommodation Guide• Use the Country Life magazine, Getaway and other
publications• Contact and be aware of Local Tourism Authorities
and Tourism Associations • Bus, train and low cost airline bookings to get
people there and back are important add-ons – have these handy
Sho’t Left Enterprise Programme
IMPORTANT1. You don’t have to only sell Sho’t Left Packages2. Find your own affordable Mzansi holidays to market3. Work with your suppliers to come up with great offers 4. The big objective is to increase domestic leisure travel
Sho’t Left Enterprise Programme
Enterprise Cadets – next steps
• Go out and sell!!• Feedback session to be set up for late
Jan 2006• You will be the first to experience the
new Sho’t Left Fundi programme – now in development
Thank-you