Hospitality Looking beyond
The South African hospitality industry for 2013 to 2016 is expected to trend upwards despite the current economic climate, since room demands are predicted to increase at a higher rate than supply and a general growth in overall occupancy is said to occur.
The year 2008 brought financial crisis and consequently, growth declined sharply with occupancy rates declining from 71.8 percent in 2007 to 53 percent in 2011. A negative difference of 18.8 percent. It has been predicted that the average rate in hotel occupancy will increase in 2016 to 62.1 percent.
While travel and tourism continue to stimulate growth in the hospitality industry, the entire number of visitors to South Africa from foreign countries is expected to rise by 4.1 percent to 16.9 million by 2016. After the 2010 World Cup, the number of visitors was expected to decline. Instead, the numbers continued to rise.
Since 2012, guest houses in South Africa have been the highest performing category. Camping sites, caravan, and hotels will increase slowly as occupancy increases.
Hotels capture the attention of business travellers and also the holiday makers with money to spend. Guest houses appeal to travellers looking for local culture and comfortable surroundings. Camping and caravans target visitors interested in low cost accommodation, and finally, game lodges market to people looking to explore the outdoors and be among nature.