The South African conference industry needs to stay abreast of burgeoning competition from the rest of Africa, which is increasingly becoming a focal point for international PCO’s.
This was the message from Zelda Coetzee, National Chairperson of the Southern African Association for the Conference Industry (SAACI), at a panel discussion at this week’s Incentives, Business Travel & Meetings (IBTM) Africa expo held in Cape Town as part of Africa Travel Week. She called on the local industry to reinvent itself and “think out of the box” in order to keep up with competition from the rest of the continent, particularly in sub-Sahara Africa.
Coetzee said the biggest opportunity created by the growth was the need for supply chain services to PCO’s in Africa and the need for more professionalism. She said Africa has become a hot destination for incentives and the exchange rate means good value, but training and service levels lag behind.
However, there is much government support and commitment in Africa to tourism and growing the conference industry and those involved in the industry have a positive attitude, which also serves as an appeal for overseas PCO’s, added Nina Freysen-Pretorius, VP of the International Association of Conferences and Conventions (ICCA). She said safety and security were not as big an issue as often believed. She said more big international association meetings were rotating to Africa, however they were becoming smaller and shorter in duration.
According to information presented to the panel discussion by various delegates, growth in Africa is showcased by Lagos, which plans a new convention centre and expects an increase of 23 000 hotel rooms between 2014 and 2017, while Addis Ababa last year recorded a 24% growth in tourism and so far this year is experiencing a 30% plus increase.
Gerard Hounkponou, Officer-in-Charge of the 1000-delegate United Nations Conference Centre in Addis Ababa, said Ethiopia’s economy is growing at 11%. He said Addis would have eight five-star hotels by the end of May 2015. It already has 24 four-star hotels with 10 000 rooms. Hotels in Addis Ababa enjoy 75% occupancy rate.
Meanwhile, East Africa is boosting its convention facilities. The Arusha International Conference Centre in Tanzania has been expanded to accommodate more than 1 300 delegates. Upgrades are planned for the Kenyatta International Conference Centre (KICC) in Nairobi. All this is contributing to Africa’s changing image as a conference destination.
Coetzee said SAACI in October last year reshaped its business plan aimed at professionalising the industry and looking at signing up members beyond South African borders. It plans to establish branches in Lusaka and Windhoek soon, which will assist the professionalizing of the industry there. ICCA has established an office in South Africa as a sign of its confidence in Africa and its growth potential, said Freysen-Pretorius.