Smaller hotel groups and independent accommodation establishments are doing all they can to stay afloat during the global COVID-19 pandemic, and this includes leveraging their lower cost structures.
“While the COVID-19 lockdown has severely affected our operations and business in general, we see tremendous opportunities for growing our business at the same time,” says ANEW Hotels and Resorts ceo, Clinton Armour.
Clinton told Travel News that flexibility, relationships, adaptability to change, combined with recognising its own skill-set, were what was giving the hotel group the confidence to push through and look ahead.
“Many hotels outside the large hotel chains, have high cost structures that are not going to be sustainable in the future,” said Clinton. “We are committed to not only ensure our hotels survive through this time, but are better positioned for the future, post-COVID-19.”
Ceo of the Federated Hospitality Association of Southern Africa (Fedhasa), Lee Zama, said this was a tough period for all, with the association doing all it could to support the industry.
“We hope to ensure they make applications to the various support funds available. We want all accommodation establishments to use this time to plan for post-lockdown opening,” said Lee. “This would mean relooking at cost structures, marketing plans, skills required and the implementation of safety protocols against COVID-19.”
Lee said almost all the properties in the Fedhasa net had volunteered as quarantine facilities. “Fedhasa has been working with the Tourism Business Council of South Africa (TBCSA) and has negotiated a cost-recovery price that all establishments may charge the government for quarantine.
“Fedhasa is working alongside the TBCSA to track the UIF TERS applications and it is providing guidance to members, as well as finalising the safety guidelines and protocols that will be implemented across the hospitality sector.”
Lee said Fedhasa expected domestic tourism to lead in the tourism industry’s recovery. “The recovery of the hospitality sector is linked to the overall tourism activity in the country. All our inputs have been channelled through the TBCSA, as we represent the sector in this council.”
Clinton believes that great-value travel experiences will be sought by South Africans post-COVID-19. He also believes his group has a good understanding and knowledge of the SA market and its sensitivity to pricing, as well as its ability to pitch its products correctly to the local market.