TRAVEL NEWS WEEKLY

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SOUTHERN AFRICA’S TRAVEL NEWS WEEKLYFebruary 10 2016 I No. 2385

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FEATUREFEATURE

More affordable, more accessible

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Thompsons Groups and Incentives is inviting travellers to visit the Mother City and experience the Cape Town Jazz Festival. The operator is offering two- and three-night fly-in packages from Johannesburg, starting from R6 400 and including flights, taxes, transfers, accommodation with breakfast and a two-day weekend Jazz Festival ticket. Pictured here (from left) preparing for a night of jazz are Thompsons Groups and Incentives’ Phillipa Matshoe (sales executive), and Leon Pretorius (international department team leader). Photo: Megan Fischer

Jazzing it up!

LFC deadline hovers – agents thrown a lifeline Debbie baDham

THE recently released specifics around the Default Insurance Programme (DIP) have been hailed

by industry professionals as good news for agents with the March 1 deadline of Iata’s new local financial criteria less than a month away.

It was originally communicated that agents joining the DIP would still be required to post a 12-month guarantee with Iata.

However, Charmaine Brogden for Jack and Seach Insurance Brokers, which is the appointed agent to administer the DIP on behalf of the insurer, Lloyd’s of London, says any agent who currently does not post a guarantee in favour of Iata will be able to enter the DIP scheme before March 1 without having to post any guarantee.

She says, if an agent already posts a guarantee in favour of Iata and wants to join the DIP scheme, the agent will be required to amend the beneficiary in favour of the insurer once Iata has confirmed that they no longer require the guarantee. “If they opt to enter the scheme after March 1, then under the new Iata local financial criteria rules, they will have already posted a guarantee in favour of Iata and will then need to amend the guarantee in favour of the insurer instead,” she comments.

The stipulation that agents will need to post a guarantee for the DIP should they have a guarantee in favour of Iata is simply an underwriting criterion, says Charmaine. She says the more agents that join the DIP, the more premium the scheme can accumulate. The more quickly the fund is built up, the sooner

Charmaine can approach the insurer about removing that clause.

Industry professionals agree this is good solution for agents with cash-flow issues. “Agents have been worried about posting the guarantee – not everyone has that kind of money,” comments Marco Cristofoli, md of Harvey World Travel – Southern Africa.

Without doubt it’s a one-year lifeline for smaller agents who don’t currently have a guarantee, agrees Wally Gaynor, md of Club Travel.

Rod Rutter, chief operating officer of XL Travel, says while the expense of paying R11 per ticket still means the bank guarantee is first prize for larger agencies that can afford it, for smaller agents the DIP is now the best route to go. He believes the industry may yet see agents opting to ticket through someone else, but says this will depend largely on agents’ mix of business.

However, Garth Wolff, ceo of the eTravel Group, believes that a lot of smaller agents will opt to pay the R11 per ticket. He is of the opinion that, over the long term, the industry will still see more agents giving up their Iata licences but that in the short term people will avoid change if they can. “They will realise over time this may mean they need to increase their fees and, as a result, some will opt to go the ITC route.”

Wally agrees, saying ongoing financial and bureaucratic difficulties will eventually wear agents down. “The bureaucracy in dealing with the airlines and Iata will not go away and this will force many agents to throw in the towel eventually.” n

Was SAA to Abu Dhabi doomed from the start?Dorine reinstein anD Darise Foster

SAA’s route network has been called into question in the aftermath of the Johannesburg-Abu Dhabi route having been scrapped. The airline was allegedly warned of the route’s lack of profitability before it launched.

The airline told TNW on January 29 that it had decided to pull the service that it launched on March 29 last year.

Inside sources at SAA have told TNW that the final business case for the Johannesburg-Abu Dhabi route was signed off in August 2014, at which point the route had all the components to be successful. However, in the eight months between the signing of the business case and the actual launch of the flight, the circumstances in South Africa changed substantially – the Ebola outbreak had heavily affected

To page 2

More than just a stopover

NEWSTRAVELSTART

Major funding secured

2 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

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Rubes® By Leigh Rubin

NEWSFor the record

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SAA to Abu Dhabi

travel from China, South Africa’s economy had taken a serious knock, Emirates had obtained the rights for a seventh daily frequency to Johannesburg, and both Qatar and Turkish Airlines had obtained the rights to up their frequencies to South Africa.

The sources say that in March 2015, just short of a month before the launch, it became clear that the route would no longer be profitable as a result of these external circumstances and that at that time, both the treasury and the SAA board were alerted to this fact by the ceo and the chief commercial officer.

But by this time, it was impossible to pull the route. The flight had been booked almost to capacity for the first three months at launch fares. However, sources reveal that an exit strategy was developed. When Emirates then approached SAA, saying it had changed its stance on the codeshare facilities and that it would allow SAA codeshares past its hub in Dubai, the leaders of SAA headed to Paris to

sign the deal. However, the plug was

pulled on the Emirates deal to codeshare beyond Dubai at the last minute for reasons that are still unknown. Despite the fact that the Emirates deal was torpedoed, the airlines’ chief officers took a decision in September last year to pull the plug on the Abu Dhabi route and signed the papers for the cancellation of the route.

But SAA says the route in question did not perform well, made losses and so it applied for the withdrawal of its resources. SAA maintains that claims that the board was notified one month before the launch sound “suspicious or opportunistic”. “An investigation has been initiated into all circumstances around the launch of this route. We must just resist the temptation to debate the

merits or otherwise of that exercise in the media,” says SAA spokesperson, Tlali Tlali, noting that TNW’s faceless sources could be self-serving.

On hearing the news of the route cut, agents took to TNW’s sister publication, eTNW, to question why the route was launched in the first place.

“More homework should have been done before launching it and before teaming up with Etihad, which is the weakest of the Gulf Three and [considering that] Abu Dhabi is the second-weakest hub after Bahrain,” said Buchanan Execu Travel owner, Garth James.

When SAA first announced it had cut back frequency on the route from daily to three times a week in November, Sure Viva Travels md, David Pegg, commented: “When Etihad is selling flights from Abu Dhabi to London at R1 170 return, it means SAA receives less for its eight-hour [portion of the] flight to Abu Dhabi than it does for its one-hour flight to Durban – you don’t have to be a rocket scientist to see where that is heading.”

From page 1

In the February 3 issue of TNW, in the article ‘Discoveries Worldwide offers new take on packaged tours’, Discoveries Worldwide team members were incorrectly titled as Royal African Discoveries’ staff. The caption should have read: Discoveries Worldwide’s Mitzalyn Alsonso Cruz, Thuli Khumalo and Michelle Jansen. While Royal African Discoveries is the inbound brand and parent company, Discoveries Worldwide is the outbound brand and any staff working in the outbound division are titled accordingly. TNW apologises for the error.

Travelstart secures major investment

TRAVELSTART, online travel booking portal, has secured $40m

(R650m) in funding from MTN and global technology investors Amadeus Capital Partners. The investment will be used to accelerate the company’s growth into new markets.

“The market potential

for Travelstart is huge. The company is already a tour de force in emerging markets and with this new round of funding, Travelstart will be able to fast-track its already rapid growth,” says Andrea Traversone, partner at UK-based technology investor Amadeus Capital Partners.

Andrea will join Travelstart’s board of directors as part of the financing.

Stephan Ekbergh, ceo of Travelstart, says the capital gives the company additional resources to expand quickly and strategically into new markets, innovate, and deliver its services in more countries. n

Both SAA and Etihad have confirmed that SAA cutting flights between Johannesburg and Abu Dhabi will not affect their codeshare.

When the route was first launched, it was described as the second phase of a “strategic partnership” between the airlines, significantly developing the codeshare agreement between SAA and Etihad and allowing travellers to connect to various destinations

around the world. “We will continue to

serve our customers on the basis of the codeshare to enable them to access points beyond Abu Dhabi,” Tlali said.

He added that Etihad would be an operating carrier and SAA would be a marketing carrier on these routes.

“The only difference is that there will not be SAA metal on this route,” said Tlali.

Etihad Airways has

confirmed to TNW that it will increase capacity on its existing Johannesburg-Abu Dhabi daily route through the deployment of larger aircraft.

“There will be phased delivery of five new Boeing 787s over a seven-month period, beginning in May, where the 299-seat Dreamliners will be deployed as replacements for existing aircraft on our daily scheduled services,” the airline said. n

What happens to the strategic partnership?

“An investigation has been initiated

into all circumstances around the launch of

this route.”

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4 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

NEWS

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Flight Centre says thank you!

The Flight Centre Travel Group hosted valued suppliers at The Country Club in Auckland Park, Johannesburg, to thank them for their support in 2015. As a special surprise, Air Mauritius regional manager Carla da Silva (pictured right) was presented with a cake in celebration of her recent birthday. Also pictured at the event (above, from left) are: Jackie Turnbull, director of The Holiday Factory; Carla; Andrew Stark, md of Flight Centre; and Sue Botes, commercial manager of British Airways. Photo: Megan Fischer

Air Seychelles launches flights to China

AIR Seychelles has launched a once-a-week, non-stop service between

Seychelles and Beijing, effective February 2.

Flight HM887 departs Seychelles at 10h40 on Tuesdays, and arrives in Beijing at 01h30 the following day.

The return flight HM888 departs Beijing at 02h50 on Wednesdays and arrives in Seychelles at 10h20.

The flight is operated by a 254-seat Airbus A330.

Air Seychelles’ flight HM60 departs Johannesburg at 14h00 on Wednesdays, Fridays and Sundays, arriving in Seychelles at 20h55.

The return flight HM61 departs Seychelles at 09h25 on Wednesdays, Fridays and Sundays and arrives in Johannesburg at 12h35. n

New logo, brand for FCMCORPORATE travel agency, FCM, has changed its logo and branding, with the change forming part of a number of new developments within the business.

The shift in branding places greater focus on offering a personalised service blended with global technology platforms, says Euan McNeil, gm of FCM.

“The change represents the direction in which FCM is heading,” says Karen Cooke,

FCM’s global marketing leader. Some of these changes include a new global reporting platform, a profile management tool and new online booking technology.

“FCM is also in the process of implementing an employee share scheme,” says Euan.

“Our people are the core of our business, and this exciting change will help to ensure our people share in the continued success of FCM,” he adds. n

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6 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

ChinaChinaMore affordable, more accessible

A favourable exchange rate and increased competition on the route from SA will attract more travellers to China. Dorine Reinstein reports.

CHINA is set to become an increasingly popular destination for South

Africans in 2016 as a result of the introduction of Air China’s direct service between the two countries, say travel professionals. The fact that it is an affordable destination at a time when the rand is severely weakened will further boost travel between the two countries, they agree.

“Air China has launched in South Africa with great success and will definitely boost both leisure and corporate tourism. We will undoubtedly see demand grow in the next year,” says Keith Gow, md of Gateway Travel and Tours. He predicts that the destination will prove so popular that Air

China will soon increase its frequency to seven flights a week.

An increase in capacity on a particular route automatically increases competition and has a positive impact on pricing, says Theresa Szejwallo, md of Trafalgar. While Air China is the only airline offering direct flights, there are numerous routes through the Middle East on offer, which are considered competition. “Air China has introduced greater availability on the route to China and its codeshare with SAA is also beneficial for travellers wanting to fly into Beijing directly from Johannesburg,” she says.

“No other carrier offers a direct non-stop service with the added convenience of

the codeshare agreement with South African Airways. This allows travellers to book flights from any SAA destination to Beijing and beyond in China on one ticket. In addition, frequent flyer miles accrue on these codeshare flights,” agrees Noorjehan Vadachia, sales and marketing director for Avoca Travels.

The strengthening of China-Africa ties has also prompted a significant increase in traffic for both corporate and leisure travel between the two countries, says Abel Alemu, Ethiopian Airlines’ regional manager for Southern Africa.

“The fact that many Chinese companies are investing in Africa has led to stronger economic and social ties,” he adds.

How affordable is it? Airfares will remain very competitive for the time being, comments Vernon Buxton, marketing consultant for Dragon Holidays. He says Air China commenced its service with a special fare and this will probably last until capacity builds on the route.

However, Vernon says the rand rate of exchange could hinder a major boost in leisure travel to China from SA and adds that corporate travel is likely to increase faster than leisure travel.

Keith disagrees, saying that China is a very affordable destination even for travellers from South Africa, who are faced with

a crippling currency. He points out that Gateway Travel and Tours offers all-inclusive packages from R23 000pp.

In China prices are also very affordable, Keith says, with the clothing markets a particular hit with South Africans, as they offer high-quality clothes at very cheap prices.

“If you compare the rand exchange rate against local Chinese currency, the renminbi/yuan, with the euro or US dollar, China is definitely one of the more affordable destinations to visit,” agrees Mary Reynolds, spokesperson for Wendy Wu Tours.

Book it!

Wendy Wu Tours has launched new Discovery Tours. Designed with the more inquisitive traveller in mind, Discovery Tours feature authentic cultural and active experiences, bringing travellers closer to China’s extraordinary sights, its people, and their way of life. Examples include hiking on the Great Wall; calligraphy on Mt Qingcheng; cycling in Yangshuo and Dali; or walking along the Rice Terraces.

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Experience the highest calibre China tours & quality “Join-In” tours (ex Beijing) on regular fixed dates. We offer the best leisure, corporate or incentive

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chien@dragonholidays.co.za 011 803 6983

ChinaIn a Class of Our Own!

English- speaking guides | Dedicated drivers |Private departures

Beijing • Shanghai • Li River Cruise at Guilin Terracotta Army • Three Gorges of the Yangtze

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QUICK READ FOR BUSIEST PEOPLE Wednesday February 10 2016 n 7

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Email : alljnbetctostaff@ethiopianairlines.comTel: 011-326-1190

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Group tours are the way to goCHINA still presents significant challenges for Western travellers. The most considerable barrier is, without a doubt the language, which is why most tour operators advise group tours instead of individual travel, especially for first-time travellers. Group package tours provide the easiest and cheapest way to see the country’s major sights.

It is important to have a ground operator that is reputable and has the necessary infrastructure to take care of your clients, says Wendy Wu’s Mary Reynolds. “China is not the same as the south-east Asian destinations that are easily accessible, easy to get around and where communication with the locals is easy.

“With the considerable communication and cultural barriers it is therefore best to travel on an escorted tour instead of independently. China has vast cultural and natural attractions to be explored and the country is huge, a factor that makes an escorted tour the best option,” Mary adds.

“Challenges such as the language barrier and navigating the highways and roads are both negated when travelling on a group tour,” agrees Trafalgar’s Theresa Szejwallo.

She says most travel directors on group tours speak Mandarin and English. “As local experts they are also perfectly positioned to tell the

story of China with all the beautiful nuances that are so particular to the country.”

Group tours also tend to offer a cost-effective way to see the country, comments Dragon Holidays’ Vernon Buxton. He adds, however, that it’s important for travel agents to make sure that

groups are kept small and intimate.

Smaller groups allow for tailor-made itineraries where travellers can experience the best of China at their own pace while making the most of their time and budget, agrees Avoca Travels’ Noorjehan Vadachia.

She says mass-produced, fixed-departure tours have certain advantages, allowing travellers to see places of which they wouldn’t normally be aware. “You hear about the sights from the point of view of a local perspective and it saves you the hassle of having to negotiate prices.”

However, Noorjehan warns there are also some downsides to fixed-departure tours. “They waste your time at over-priced souvenir shops. There is a set itinerary and most of the time, it starts later than it’s supposed to. The danger in having to fall in with everyone else means that there’s a chance travellers won’t be able to see and do everything. Some of your clients will have to adapt to strangers with likes that may differ from theirs. Organised tours are also less rewarding than solo travel.”

Vernon BuxtonBring along the family!WHILE China may not be top of mind when a client approaches you for a family-friendly destination, the country is definitely worth a mention for adventure-seeking families.

“The Middle Kingdom is full of places that would suit families with children of all ages,” says Avoca Travels’ Noorjehan Vadachia.

Many visitors underestimate how generally safe and easy it is to travel with a family in China, she says. “Most destinations are linked by direct flights, and trains and buses have reliable schedules, so getting from A to B with kids in tow might not be as stressful as you think.”

There are also a great number of amazing activities for children, says Noorjehan. These include the Great Wall ski lift, toboggan rides, acrobatic shows in Shanghai

and Beijing and attractions such as scorpions on a skewer in Beijing, Giant Panda cuddle in Chengdu, and the Princess makeover in Suzhou shows in Shanghai and Beijing. Alternatively, travellers can ride bikes through rice paddies, explore caves, go rock climbing or float down river on a bamboo raft in Yangshuo. Kung Fu classes that are kid-friendly or those with a Shaolin Master, and kite flying in Shanghai are among other activities on offer.

Wendy Wu Tours offers a 10-day ‘In Pursuit of Pandas’ tour, says Mary Reynolds. She says families can also embark on activities such as rickshaw rides through the Hutongs (narrow streets) in Beijing, learning about the Terracotta Warriors in Xi’an or learning the art of Chinese calligraphy. Other options include cycling along

the ancient City Wall in Xi’an, visiting the Giant Pandas in Chengdu, or meeting favourite Disney characters at Hong Kong Disneyland and Shanghai Disney Resort, which opens on June 16 in the Pudong District.

Repeat travellers may venture further afield to see Suzhou, the city of lakes, cruise the mighty Yangtze River, take the Bullet Train to Lhasa or gaze in awe at the natural beauty of Guilin while sailing the Li River. They can also visit the charming West Lake in Hangzhou or step back in time in ancient Lijiang or, if they’re bold enough, walk the glass bridge amidst soaring karst peaks in the majestic Zhangjiajie National Forest Park.

China is just so huge and has so much to offer that one visit is not enough to see it all, says Noorjehan.

Hong Kong Disneyland, always popular with families.

8 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

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CHINA, VIETNAM, CAMBODIA, JAPAN, INDIA & BEYOND

Contact details: Tel: 010 001 9998reservations@wendywutours.co.za

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Best time to visit AVOCA Travels’ Noorjehan Vadachia, advises what travellers can expect during different times of the year. Low season – November to FebruaryDomestic tourism is at a low ebb but things are busy and expensive because of the Chinese New Year. The weather is very cold in the north and

at high altitude and only warm in the far south.

Shoulder season – February to April, September to OctoberExpect warmer days in spring and cooler days in autumn. In the north, autumn is the optimal season, with fresh weather and clear skies. Accommodation prices

peak during holidays in early October.

High season – May to August Be prepared for summer downpours and crowds at main attractions and tourist hot spots. Accommodation prices peak during the first week of the May holiday period.

Book it!

Did you know?

Avoca Travels works closely with Air China to offer a selection of affordable tours. These include an eight-day Beijing itinerary from R10 897pps; eight days in Beijing and Shanghai from R16 997pps; ten days in Beijing, Xi’an and Shanghai from R20 597pps, eight days in Beijing and Phuket from 16 097pps and six days in Beijing and Mumbai from R16 897pps. The tour prices include return flights from Johannesburg, airport taxes, all transfers, the Bullet Train trip between Beijing and Xi’an (where applicable), selected tourist-class hotel accommodation, breakfast daily, and full-day sightseeing tours with lunch and dinner where applicable.

Ethiopian Airlines currently operates 21 weekly flights to three of the major cities in mainland China, with daily flights to Beijing, Guangzhou and Shanghai. It also operates six weekly flights to Hong Kong. All services are operated by Boeing 777 aircraft.

Must-see attractionsCHINA is a destination on every traveller’s bucket list, agree both tour operators and travel agents. However, most tour operators say China is a once-in-a-lifetime destination, with very few repeat travellers.

“Most visitors stick to the popular sights and there are no new attractions to persuade travellers to veer off the beaten track,” says Dragon Holidays’ Vernon Buxton. As a result of this, most South African tour operators focus on China’s major destinations. “Few venture away from the Forbidden City, the Great Wall, the Terracotta Warriors, Yangtze and Li River cruising and Shanghai,” says Vernon.

He says the Golden Triangle of Beijing, Shanghai and Xi’an is a good introduction to the country for first-time visitors, enabling them to see the Great Wall, the Forbidden City, Tiananmen Square and the Temple of Heaven, followed by the bustling, ultra-modern hub of Shanghai, where they can experience the Bund, shopping on Nanjing Road and the Yuyuan Garden before moving on to Xi’an to view the Terracotta Warriors, City Wall Park and Wild Goose Pagoda.

Destinations such as Beijing, Shanghai, Xi’an and

Hong Kong that are well known, will further grow in popularity, agrees Avoca Travels’ Noorjehan Vadachia. She predicts that places such as Chengdu, Chongqing, Guilin, Yangshuo, Suzhou, Lhasa, Lijiang, Hangzhou, Zhangjiajie, Guangzhou and Yiwu will also become popular destinations with South Africans.

Each city has its own unique appeal, says Wendy Wu Tours’ Mary Reynolds. These include vibrant Beijing, which is filled with historic sites; Shanghai, a glitzy, high-flying metropolis with traditional streets and ageless culture woven between the skyscrapers; and Sichuan, home to a relaxed and friendly capital, Chengdu, which features Giant Pandas

in their natural habitat and is the gateway to the natural wonders of the Huanglong Pools and Mt Emei.

Lhasa is a city on the roof of the world, where it’s easy to leave modernity behind, wander the Barkhor Circuit and get lost in the magnificent Potala Palace, says Mary. Guangzhou, on the other hand, is popular for business and trade fairs, especially in the manufacturing industry. While Hong Kong is sophisticated and lively and full of colonial heritage and Chinese character, Macau mixes Mediterranean style with Chinese traditions, creating a unique and fascinating experience. It is the only place in China where gambling is legal.

A Yangtze River cruise is on most visitors’ bucket lists.

China

At Chengdu, visitors meet Giant Pandas in their natural habitat.

Did you know?

Wendy Wu has updated its Classic Tours to show travellers authentic, local China. Travellers can visit a local family, learn about modern dating at Matchmakers’ Corner, visit a local kindergarten and more, giving them the opportunity to find out about daily life in this fascinating country. n

QUICK READ FOR BUSIEST PEOPLE Wednesday February 10 2016 n 9

A popular stopover destination, Singapore has more to offer local travellers. Michelle Coleman reports.

More than just a stopover SINGAPORE drew 15,6m

international visitors in 2013 alone, according

to the Singapore Tourism Board. However, while it is a popular stopover destination for South African travellers, the city is not yet viewed as a standalone destination.

For South Africans, Singapore Airlines offers one of the few direct services into the region, bolstering Singapore’s stopover and short-stay status. The airline offers regular airlift between SA and Singapore, coupled with excellent air connections to the rest of Asia and worldwide (Changi Airport is used by over 100 airlines flying to 300 cities).

Being a major gateway to south-east Asia, the city does feature on the itineraries of incentive groups, usually in combination with neighbouring countries. Says Elmari Oberholzer,

incentive consultant at Wow Incentives and Events in Johannesburg: “We use Singapore as a stopover destination – usually two nights – for incentive groups, due to the good connections offered by Singapore Airlines to other destinations such as Bali, Vietnam and Borneo. Singapore is also a popular choice for trip extensions for individual delegates who wish to stay on for a few extra days.”

However, the popular stopover is not yet viewed by South Africans as an end destination. “Singapore suffers the perception of not having enough in the way of attractions and activities to warrant a full incentive or leisure option on its own,” says Gill Dewar, md of GCD Consulting, adding that she is not quoting much at the moment for Singapore.

“However, we have had corporate bookings in

the past – and I cannot remember ever doing a straight incentive in Singapore only.”

Nonetheless, Gill believes there is a lot to do within the city itself. “Singapore is a good option for travellers to consider due to direct flights, no visas, a favourable exchange rate and the variety of hotels and products on offer. All the new facilities on the island and at Sentosa have certainly opened up the destination as well,” she says.

The fact that English is the language of business and entry visas are not required increases convenience. Sally George, market development manager for Singapore Airlines in South Africa, says South African business people who work with Singaporeans are also attracted to their positive work ethic and proactivity.

The ‘easiest place in the world to do business’ – World BankAS A business destination, Singapore boasts numerous accolades. The World Economic Forum’s Global Competitiveness Report for 2014/15 (which measures productivity and prosperity) ranks the city-state Asia’s most competitive country and the second most competitive country in the world. The World Bank

recently positioned the city as the ‘world’s easiest place to do business’ for the ninth time (Doing Business 2015 Report), and The Economist Intelligence Unit ranked Singapore as having the best Business Environment in Asia Pacific (EIU Country Forecast Report 2013).

One of the original Asian Tigers, the city has a strong

reputation for business friendliness – relatively free of constraints and corruption, with high rankings from all the credit rating agencies such as Fitch, Moody’s and Standard & Poor’s. Its infrastructure is developed, its population skilled and its network readiness is ranked second in the world by the World

Economic Forum. Singapore is one of the

world’s leading financial centres as well as a major oil-refining centre and logistics hub. The economy is also dependent on exports. The country’s Economic Development Board lists 19 leading industries – among them are aerospace

engineering; chemicals; energy; electronics; healthcare; marine and offshore engineering; pharmaceuticals and biotechnology and precision engineering. Emerging sectors include the automotive industry; lifestyle products and services; safety and security and space.

Biz opportunities ACCORDING to International Enterprise Singapore and the Economic Development Board, South Africans are doing business in Singapore in diversified sectors such as services, trading and food and beverage.

Some of the more notable SA companies with a presence include Dimension Data, Sasol and Nando’s. SA business travellers visiting the city are involved in the fields of finance, chemicals, petroleum, iron and steel, vegetables and fruit. They also attend conferences in the city state, with medical gatherings being popular.

Last year, workforce management group, Adcorp, announced its intention to set up a south-east Asian hub in Singapore. The Financial Mail quoted ce, Richard Pike, as saying the company had a two- to three-year window to establish a recruitment

business in a region that would hold half the global workforce in the next 30 years but in which the world’s biggest players had yet to gain a firm foothold.

The choice of Singapore was based on the plethora of multinational head offices in the city, each with staffing needs, as well as the city-state being largely English-speaking and holding the world’s third-deepest capital market.

However, tour operators say accommodation and costs of staying in the city are pricey. Additionally, Mohamed Firhan Abdul Salam, area director, Middle East & Africa for the Singapore Tourism Board (STB) based in Dubai, says South African representation at trade shows is generally low, put down to distance from the market, but the STB is keen to engage travellers to take part more often in these events.

10 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

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How to get around Compact Singapore – with an area smaller than New York City – is easy to get around. The fastest transport system is the MRT rail network. A Singapore Tourist Pass will allow unlimited travel for one day for S$10 (R96), two days

for S$16 (R154) or three days for S$20 (R192). The pass can also be used on the city’s bus system. Metered taxis can be hailed at the roadside or at taxi stands but it’s advisable to check on surcharges before getting in.

Singapore Airlines offers daily flights between South Africa and Singapore, four of them commencing in Cape Town and routed via Johannesburg, and the balance starting in Johannesburg. The daily service offers passengers flexibility and convenience. In business class, the airline features a fully flat bed, facilitating a good night’s sleep before arrival. n

Brush up on local customsIT IS helpful for travellers to bear in mind that Singapore has a multi-ethnic population, made up of Chinese, Indians and Malays. You could be greeted with a handshake, a bow or a namaste with hands together in prayer mode.

Singapore’s multicultural traditions may require some negotiating. Take names, for example. The Chinese use the surname first, followed by one or two first names. It is generally best to refer to Chinese colleagues by the honorific (Mr, Mrs, Ms) followed by the surname. Malays will use their first name followed by the Arabic ‘bin’ or ‘bint’, meaning son or daughter of, followed by the father’s name. It is generally acceptable to use the honorific followed by the first name in addressing business people of Malaysian descent.

Caution governs the Singaporean style of doing business and this may come across as indecision to the uninitiated. Reading between the lines and attention to

non-verbal communication are often required. Politeness and calm should be observed at all times. Visiting business executives are advised to show respect for chains of command.

Appointments should be made well in advance, steering clear of the Chinese New Year (end of January to mid-February) when many businesses close. Business cards must be exchanged, after initial introductions, using both hands. On accepting a business card, it should be read before being put away. If hosted for a meal, guests

should let the host order and not eat until the host begins.

Dress for year-round hot and humid tropical weather and daily rain showers, which can be heavy but are usually brief. Casual business attire is generally acceptable on account of the weather.

Business etiquette should be researched ahead of meetings as this could make the difference in concluding a deal. For after-hours eating, shopping and entertainment, download the pocket guide ‘Enriching Your Singapore Business Experience’ for tips in 10 city precincts.

SINGAPORE

Business cards are exchanged using both hands.

Did you know?

Diarise these dates!The following are key trade shows in Singapore for 2016: February 16-21: Singapore

Air Show, Changi Exhibition Centre;

March 10-13: International Furniture Fair Singapore, Singapore Expo Convention

and Exhibition Centre; April 12-15: Food and

Hotel Asia, Singapore Expo Convention and Exhibition Centre;

May 31-June 3: BroadcastAsia and CommuniAsia, Marina Bay Sands.

JOBSCOMMUNITYNEWSBirths, deaths, marriages, promotions – we want to know! Please fax or e-mail TNW’s Debbie Badham, at debbieb@nowmedia.co.za or (011) 327 4094.

QUICK READ FOR BUSIEST PEOPLE Wednesday February 10 2016 n 11

Appointments

Pick of the week

These adverts were selected from the vacancy section of www.travelinfo.co.za For more details contact jobs@travelinfo.co.za

brought to you by

TNW

7533

Office Manager – Cape TownQuantex Recruitment GroupStrategic & analytical thinker wanted! Grade 12 + HR/Accounting qualification required. Competent in conflict management, mediation & negotiation. Project management experience required. Email: lee@quantex.co.za

Senior/Top Intermediate Travel Consultant (French speaking) – Johannesburg NorthProfessional Career ServicesCorporate consulting experience ess. Galileo/Amadeus. Ability to handle international bookings. SA citizen or have permanent residency. Email: jeancv@pcs-sa.co.za

Outbound Consultant – Johannesburg Lee Botti and AssociatesNorth. Successful agent! Outbound knowledge coupled with Amadeus. Take ownership of full travel needs. Salary to R15 000. Email: catherinep@nowjobs.co.za

Leisure/Corporate Consultant – SandtonEquity Connections ccHandle high-end corporate bookings with leisure spin-off. Liaise with clients on all travel related enquiries. Senior role, great salary! Email: equitycon@mweb.co.za

Junior Consultant – BryanstonWendy’s Travel PersonnelBubbly personality to work in small office booking Mauritius packages and flights. Minimum 2 years’ wholesale experience essential. Email: wtppositions@icon.co.za

Reservations Consultant – S/Suburbs, Cape TownQuantex Recruitment GroupSell luxury houseboat holidays for a leading tour operator! 3+ years travel/tourism/reservation experience a must. Tourism reservation system experience required. Email: bridget@quantex.co.za

Spanish Travel Consultant – Johannesburg Professional Career ServicesDesigning of leisure FIT tailor-made itineraries. 3-5 or more years’ inbound tour operating experience. Preferably South American Spanish. Sal neg. Email: nonocv@pcs-sa.co.za

Assistant to Res Manager – JohannesburgLee Botti & AssociatesReputable agent seeks 6 years’ inbound experience. Tour plan and reservations essential. Specialising in Southern and East Africa. Salary R18 000. Email: catherinep@nowjobs.co.za

Senior In-House Consultant – Johannesburg NorthEquity Connections ccWork in busy three-man in-house handling corporate/leisure bookings. Book local, regional, international travel, handle visa, forex, insurance requests. Email: equitycon@mweb.co.za

Why should you use us?

TNW7516

National offices

Interview face-to-face

Obtain detailed references

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Abide by APSO ethics

Contact us at enquiries@nowjobs.co.za

Promote your product in our Thailand Feature

TNW7535

TRAVEL NEWS WEEKLY

Issue date: 23 March 2016Booking Deadline: 24 February 2016Contact: dianac@nowmedia.co.zaTel: +27 11 214 7356

Aiding a good causeClub Travel’s financial director, Gary Mulder, and other golfers affiliated to the JDI Foundation, turned out at the Westlake Golf Course to support the worthy beneficiary of their fundraising efforts. In close partnership with Club Travel, this year’s beneficiary was the CHOC Childhood Cancer Foundation of South Africa. Pictured here handing the cheque over to the CHOC home are (from left) Lana Loots (CHOC); Gary, Willie Loots (CHOC); Luana Visagie (Club Travel marketing manager); and Alicia van Onselen (CHOC).

The ‘Big Easy’ swings into townBig Easy Wine Bar & Grill Durban, signature restaurant of South African golf icon, Ernie Els – opened recently at Hilton Durban. The venue promises to be the perfect place to spend time with friends and family, for a drink after work, to watch some sport and enjoy great food. The menu is a combination of Ernie’s favourites and some local flavour with a twist, all authentic South African and Durban fare. Pictured here is the former world number-one and four times major winner, known as the ‘Big Easy’, lending a hand in the kitchen!

n Vincent Rague has been appointed an independent non-executive director at City Lodge Hotels. Kenya-based, he is a BA Honours graduate (economics and statistics) from the University of Nairobi and is the co-founder of private equity firm, Catalyst Principal Partners. He is also the chairman of Financial Sector Deepening Africa and is a director on the boards of Group Five, Pan-Africa Infrastructure Development Fund and Kenya Airways.

n Ayanda Mazibuko, currently the deputy gm at the Palazzo, has been appointed gm at Southern Sun Newlands with effect from March 1. He

started at Tsogo Sun in 2013 as the rooms division manager of the Palazzo and after a year was promoted to deputy gm. In his time at the Palazzo he was involved in the R60m refurbishment of the hotel and also the addition of the new

Rosa restaurant. In 2015, he successfully completed the Executive Development Programme run by the Tsogo Sun Academy in partnership with the University of Stellenbosch business school.

12 n Wednesday February 10 2016 QUICK READ FOR DECISION-MAKERS

TNW NEWS

brought to you by eTNW and

For all trade enquiries please call British Airways 010 344 0127

TNW7430

Zika not deterring travellersAre any of your clients concerned about travelling to Zika-affected areas?

No, they are not concerned at all

Yes, they are concerned

Yes, they are sufficiently concerned to have cancelled bookings

Travellers departing Durban can visit Mauritius for R2 100 (excluding taxes) with Air Mauritius. The offer requires travellers to depart South Africa before March 16 and the last return will be on March 22. Pictured here (from left) preparing for their Mauritian holiday are Air Mauritius head of sales and marketing, Wouter Nel and regional manager, Carla da Silva. Photo: Megan Fischer

The beach beckons... Controversial payment resolution to be scrapped? Darise Foster

INDUSTRY professionals are quietly confident that 2016 will be the year that

resolution 890, found in the Iata Travel Agents Handbook, is finally scrapped – or at the very least, reviewed.

The resolution warns against travel agents using their private credit cards to complete transactions on behalf of their clients.

While it is considered a commonplace practice, agents still stand the risk of losing their Iata accreditation should they be caught in the act.

“The recommendation to scrap, or at least review the wording of, resolution 890 will once again be put forward to the Passenger Agency Conference (PAConf) in June this year and we are cautiously optimistic that this time around, we might actually see results,” Asata ceo, Otto de Vries told TNW.

He says recommendations to review resolutions are deliberated by the local Agency Passenger Joint Councils (APJC) then put forward to the Passenger Agency Programme Global Joint Council (PAPGJC) – on which Asata has a seat through its membership at the World Travel Agents Associations Alliance.

But the work and proposals processed through local APJCs and ultimately the PAPGJC are recommendations only – changes to resolutions are ultimately decided at PAConf.

According to Otto, recommendations to review resolution 890 have been put forward for the last three years, but have been

defeated each time because the final ruling needs to be a completely unanimous vote. “We put it forward again to PAConf in October 2015 but it was narrowly defeated and has been referred back to the Payments Methods Working Group for further review,” Otto says.

Tourvest Travel Services cfo, Lidia Folli, who was appointed to the APJC in 2012, agrees that PAConf is very close to realising that the resolution needs to be updated.

“They have to take into consideration what the current market practice is and leave the credit rating function to the banks because the bank essentially takes the risk if agents use their own credit cards anyway,” she says.

Meanwhile, as Iata’s new local financial criteria begin to kick in and agents who opt not to enter the default insurance programme are required to remit large financial security amounts on either a weekly, fortnightly or monthly basis, Lidia predicts agents will seek alternatives to keep their cash sales down.

“While the resolution forbids agents using their private credit cards to complete transactions, it could be done

to reduce the guarantee, which Iata considers a risk,” agrees, Sure Travel ceo, Vanya Lessing.

Furthermore, Lidia fears there may be some market fallout if agents find they are no longer Iata accredited because they were unable to put up their guarantees.

“Should this happen, however, I think it will give PAConf more incentive to reconsider its position on the resolution,” she said.

Indeed, the call from the travel trade to have resolution 890 scrapped continues to grow – and is expected to gain traction as complications from the LFC arise.

One agent told TNW that using a private credit card instead of issuing cash tickets not only kept cash sales down, but protected agents against misplacing numbers and under- or over-paying BSP in terms of cash sales owed – thus risking their Iata licence anyway.

What’s more, the resolution in its current state left smaller agencies vulnerable to having their licence revoked as their payment patterns were easier to monitor than those of bigger TMCs, the agent added.

“I could never understand why an agent could not use their own card or even a company corporate card,” says Marco Cristofoli, md of Harvey World Travel in Southern Africa.

He points out that if there were insufficient funds or the amount was rejected for some reason on the agent’s card, all that would happen would be that the agent would get an ADM – just as they would with a client’s card. n

Weak rand to increase car-rental rates?Daniella Di Gaspero

THE weak rand is expected to result in higher car-rental rates, members of the industry have warned.

Commenting recently on the latest Tourism Business Index released by the Tourism Business Council of South Africa, Marc Corcoran, president of the Southern African Vehicle Rental and Leasing Association, said although overall performance of the industry had been

good over the holiday period, the industry would face a difficult operating climate this year as the depreciation of the rand would impact on new vehicle pricing.

Deon Ragunath, gm operations at Hertz Rent a Car, and Martin Lydall, cco at Europcar South Africa, said the current rand/US dollar exchange rate had resulted in a vehicle price and interest rate increase.

Martin said while the increase in Europcar’s rental

costs would depend on contracts and forecasted demand growth, the car rental company was expecting an average 10% increase to be implemented across the board.

“General economic pressures have had an increasingly negative impact on cost, and rising operational and accident costs have increased the cost base dramatically. The depreciation of the rand has added up to 20% to our cost base,” said Mark. n

“While the resolution forbids agents using their private credit cards to complete

transactions, it could be done to reduce the guarantee, which Iata

considers a risk.”

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