TRAVEL NEWS WEEKLY

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SOUTHERN AFRICA’S TRAVEL NEWS WEEKLYMay 18 2016 I No. 2398

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FEATURECORPORATE TRAVEL

Are corporates going direct?

NEWSCRUISING

NCL targets SA for growth

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An enhanced partnership between Travel Vision and Access to Africa is expected to bring competitive rates for travel into Africa to the South African market. Pictured here are (from left): Travel Vision ceo, Dharmesh Kooverjee and Access to Africa gm, Stephen Jordaan. For more on this story see page 24. Photo: Jani Rust

Experts on Africa

New cover for agents on its way Debbie baDham

A NEW professional insurance product designed specifically

for retail travel agencies – to protect agency owners – will soon be launched in the South African market.

Specifically, the insurance will meet the need for cover in the case of errors and omissions made by staff (i.e. ADMs), fidelity cover in case of theft by employees, and directors’ and officers’ liability.

Steven Jack, ceo of Jack

and Seach Insurance Brokers, which underwrites the Default Insurance Product (DIP) scheme in South Africa, says that while rolling out the DIP the company received numerous requests for such a product geared specifically to travel agents.

While the DIP covers agencies in the event that they default against airlines, the new insurance product is aimed at introducing a new level of standards into the industry, says Charmaine Brogden, who represents Jack

and Seach in the SA market.Vanya Lessing, ceo of the

Sure Travel Group, says that while the directors of most agencies would have liability insurance, insurance that caters for employee negligence would be welcomed. “The uptake of the product would depend a great deal on its affordability,” she says.

Marco Cristofoli, md of Harvey World Travel Southern Africa, agrees, saying that while some of these aspects of the product are already

To page 2

Showdown at IndabaDorine reinstein

A WAR of words erupted between CNN anchor, Richard Quest, and SA Tourism Minister Derek Hanekom at Indaba as Richard laid into the South African government for “mismanaging” SAA.

Richard was responding to President Zuma’s recent address to employees at SAA offices, saying government would not sell the national airline as it had the potential to contribute to the growth of the country’s economy.

Said Richard: “The President played to the public when he said he’s never

going to sell SAA. Then he went on to say that SAA shouldn’t have cut routes, it should be expanding. I’m suggesting SAA has become a political football and that needs to stop.”

Richard also accused government of having “sticky hands”, adding: “You have an airline that is managing to lose money when everyone else is making money. You have an old fleet that needs upgrading, and you haven’t got a ceo.”

Minister of Tourism, Derek Hanekom, reacted, saying South African ministers do not have sticky hands. “We

have a national carrier. We have no choice because it belongs to us: our hands belong there.”

Hanekom admitted there was an opportunity to make the national carrier more efficient and profitable. “There’s a collective responsibility from a team of ministers to ensure that those changes happen: stability in leadership is very important; a good board is very important. We are addressing these problems.”

Meanwhile, deputy minister of finance, Mcebisi Hubert Jonas, said in a statement

To page 24

FEATURE

Match client to destination

At the time of going to press, Comair was on its way to court to fast track an urgent application to interdict the Air Services Licensing Council (ASLC) from suspending its domestic licence and grounding the airline with immediate effect. This followed a meeting with the Council on May 11 where Comair asked for another extension to prove to the ASLC that it was compliant with foreign ownership regulations (the ASLC Act stipulates that no more than 25% of the voting rights in a domestic airline may be held by foreigners). A decision by the Council was yet to be made. Ceo of Comair, Erik Venter, told TNW the airline was heading to court to try and pre-empt any decision the Council made to ensure the airline would not be grounded with immediate effect. “We just want to be sure we have the interdict in hand before any decision is made,” he said. See eTNW.co.za for more on this story as it unfolds.

STOP PRESS

2 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

NEWS

Rubes® By Leigh Rubin

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offered in the local market, a product such as this would provide agents with a great deal of peace of mind, especially in current trading conditions when aspects of dealing with suppliers are beyond agents’ control. For example, an insurance product

that offers third party cover would be particularly welcome given the number of suppliers within the industry that have recently defaulted, he says.

Even though these products are already available through different insurance providers, none of the products are agent specific, says David Pegg, md

of Sure Viva Travels. It would also be more convenient to place all insurance needs under one company rather than spreading them out across different providers, he says.

The new product is expected to be available in the market soon.

From page 1

New cover for agents on its way

DIP updateInsurer of the Default Insurance Product, Jack and Seach, has announced concessions for agents wanting to join the scheme.

“We’ve taken note of the quick roll out of the product and the resulting

potential for confusion within the industry,” says Charmaine Brogden. Agents who, prior to Iata’s new local financial criteria, were not required to post a guarantee with Iata but did not make the March 1

deadline to enter the DIP scheme and were then required to post a guarantee according to those new criteria, will now be allowed to enter the scheme without posting a guarantee. n

CAA sets the record straight on SAX grounding Dorine reinstein

THE South African Civil Aviation Authority has spoken out about safety

concerns that led to the grounding of SAX earlier this month, refuting accusations that political pressure resulted in the SACAA allowing the airline to take flight only one day later.

On April 19 and 20, SACAA conducted an audit of SAX operations. The focus of the inspection was on in-flight occurrences reported by the operator’s crew through Air Traffic and Navigation Services (ATNS). The aim was to seek reassurance that the incidents had been adequately addressed by SAX, spokesperson of SACAA, Kabelo Ledwaba, told TNW.

“To the regulator’s surprise, SAX could not produce records relating to the reported occurrences. That automatically raised alarms regarding their safety management systems and procedures. The question was: why was the airline not able to account for all the reported occurrences? How could they claim to be safe when they are not even aware of incidents that happened during a flight? How do they know when a deficiency is serious enough and warrants that an aircraft be sent to the workshop for repairs?”

The airline had until April 29 to provide the regulator with an action plan detailing how they were to address the identified concerns, Kabelo says, which

the airline did. However, the proposed action plan was unfortunately found to be inadequate, he adds, saying a meeting was held the same evening between SACAA and SAX technical teams. “It was clear that the SAX team was not in a position to offer the required level of safety assurance regarding their operations.” SACAA then took a decision to withdraw the airline’s Air Operator Certificate.

“Any insinuation that suggests that the suspension was an impromptu decision is misguided. The operator had about ten days to engage SACAA in order to get clarity and the requisite assistance that would have helped them to produce a realistic corrective action plan. It is important to clarify that from the onset; the [airline] knew the consequences of not submitting an acceptable action plan addressing the audit findings.”

Kabelo explains the suspension was not a reprisal; it was a precautionary measure aimed at avoiding catastrophic incidences. “There is never an appropriate time to suspend operations. SACAA will always take immediate action on any matter that threatens

aviation security and safety because aviation tragedies usually happen with little or no warning.”

Claims that the SACAA approved SAX’s license to fly due to political pressure are “simply not true”, says Kabelo. “SACAA’s principle is to engage with the license holders and no one else,” he says, adding that civil aviation regulations make no distinction between public or privately-owned operators.

Kabelo also addressed remarks that suggested SACAA is “obsessed with paper work”. “The nature of SACAA’s work revolves around evidence and records. ‘Paper work’ is important and serves as the necessary evidence required in line with civil aviation regulations.”

While the suspension of SAX has been lifted, SACAA will continue to monitor and oversee the full implementation of SAX’s corrective action plan, says Kabelo. The regulator has started intensifying its oversight of the airline’s entire operation, he says.

Spokesperson of SAX, Refilwe Masemola, says SAX is in continuous correspondence with SACAA to ensure the airline meets SACAA’s requirements. “SAX holds the safety of its passengers with the highest regard. The reason we have been without incident over the last 22 years is testament to that fact. We would never compromise on safety standards for the sake of commercial gain.” n

“Any insinuation that suggests that the

suspension was an impromptu decision is

misguided.”

UK simplifies visas for SA TNW pick: ‘You get what you pay for’ – TMCs Comair fights to keep flying amid foreign ownership dispute Ticket sales open for direct flights to Brazil US enforces new visa and passport requirements

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4 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

NEWS

To the point

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PURETOURS unveiled 16 all-inclusive Robinson Club resorts in seven

countries to the South African retail travel trade in the first week of May. This follows PureTours signing an exclusive GSA agreement with the resort division of TUI, the world’s largest travel and tourism company. “This is one of the most significant travel launches the travel industry has seen in some time,” said Claus Martin, director

of PureTours. The resorts fall into the premium category of traveller experience, aimed at high net worth individuals. “Robinson Club resorts are based on quality, fitness and healthy lifestyle. We have conducted detailed market research and our target market includes active travellers, sports lovers and families,” said Kerstin Gibert, director of international sales at Robinson Club, who came out from Germany for the

roadshow. Travel agents will earn 10% commission, said Greg Taylor, gm of PureTours. He added that Robinson Club is offering the travel trade the opportunity to experience the resorts, launching 1 000 free nights. Consultants can take up two nights complimentary and add on five nights at a discounted rate for fam trips. PureTours sells the land packages but can arrange the flights too if travel agents require. n

Ticket sales open for direct flights to BrazilLATAM Airlines Group (LATAM) has opened ticket sales for its direct flights between Johannesburg (JNB) and São Paulo-Guarulhos International Airport (GRU), effective October 3.

Tickets are available on the GDS and priced from R12 791 including taxes, but the airline is set to announce discounted launch fares later this month.

During October, flights will operate on Mondays, Thursdays and Saturdays with flight JJ8163 departing JNB at 23h10 to arrive in GRU at 04h45 the next day. Return flight JJ8162 will operate on Wednesdays, Fridays and Sundays and depart GRU at 23h55 to arrive in JNB at 14h10 the next day.

From November 1, flight JJ8163 will operate on

Tuesdays, Fridays and Sundays departing JNB at 22h10 to arrive in GRU at 04h45 the next day. Return flight JJ8162 will operate on Mondays, Thursdays and Saturdays and depart GRU at 23h55 to arrive in JNB at 14h10 the next day.

The airline will operate a Boeing 767 aircraft with 191 seats in economy class and 30 in business class on the route. n

More flights to ZimbabweAIR ZIMBABWE has increased frequencies for its services from Johannesburg to Harare and Bulawayo.

Pr manager, Shingai Taruvinga, said the airline had introduced a Sunday frequency to the Johannesburg-Bulawayo route, which it now serves four times a week. Mid-day flights have also been added to the morning Johannesburg - Harare flights.

“We have introduced more frequencies to our Jo’burg flights to give more options to our customers as we continue growing our market, especially in South Africa, as it receives many travellers

and it continues to be a developing destination,” Shingai said.

Shingai said it was the responsibility of the national airline to ensure that inflows to Zimbabwe increase in a bid to improve tourism.

The airline was striving to integrate the region through air access and has recently embraced e-technology, she said.

“We want to assist businesses to tap into activities in these cities where we are resuming services,” she said, adding that services had recently been resumed to Dar es Salaam. “By opening up more routes, more opportunities can be exploited.” n

New ship for Regent Seven SeasREGENT Seven Seas will add a sister ship to the new Seven Seas Explorer to its fleet, expected to be delivered in 2020. This new Explorer-class vessel will build on the success of Seven Seas Explorer – dubbed ‘the world’s most luxurious ship’ – which will debut later this year. “Our new ship will retain many of

the high-end features and amenities we have recently unveiled, including gourmet dining, plush lounges and spacious accommodation, such as a rendition of the Regent Suite,” Regent said in a statement. “We will be sharing more details about the newest member of our fleet over the course of the next year.” n

Cemair ups flights to BloemTaryn nighTingale

CEMAIR will add two new flights on its Johannesburg-Bloemfontein service, effective May 15.

Flight 5Z0118 will depart JNB on Mondays at 18h30 to arrive in BFN at 19h30. Flight 5Z0117 will depart BFN at 06h15 to arrive in JNB at 07h10.

Last week the airline increased this service with the addition of a daily flight, which

operates Monday to Saturday. Flight 5Z0116 departs JNB at 12h00 to arrive in BFN at 12h55. Return flight 5Z0115 departs BFN at 13h30 to arrive in JNB at 14h25.

Cemair said that customer demand was the reason for increasing the flights. “People are really impressed with our level of service and have requested additional flights in order to give them more flexibility,” the airline said in a statement. nPictured at the Johannesburg launch event of Robinson Club are (from left): Claus Martin,

Kerstin Gibert and Greg Taylor of PureTours. Photo: Susan Reynard

Robinson Club open for business

Singapore Airlines has confirmed that from May 17, flights from Singapore to South Africa and India will depart from Changi Airport Terminal 3. “Flights to other West Asia Africa destinations (Dubai, Sri Lanka, Bangladesh and Maldives) will remain at Terminal 2,” the airline said in a statement. The airline has also confirmed that codeshare flights operated by SilkAir (MI) will also remain Terminal 2.

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6 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

NEWS

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A brief look at this week’s hotel news

Drakensberg hotel to undergo refurbishmentPREMIER Hotel Sani Pass in the Mkomazana Valley in the southern Drakensberg, is due to undergo a full refurbishment, to be completed by December 1. The refurbishment will see the hotel change from three-star to four-star status, with renovations including air-conditioning installed in facilities and rooms, and WiFi throughout the hotel and garden rooms outside the main hotel building. The upgrade will include 34 new rooms. All rooms will have balconies and views of the Sani Pass and southern Drakensberg. New facilities include a wellness centre and a conference centre, accommodating up to 300 guests in cinema style.

Mabula Game Lodge undergoes refurbishmentsMABULA Game Lodge, in the Waterberg region of Limpopo, recently completed extensive upgrades to the lodge and launched a new Mabula Game Lodge brand. The refurbishments, which took 18 months to complete, saw a new entrance being added to the reception as well as a new brick pathway leading to reception. The refurbishments also included new linen, furniture, blinds, tiles, basins and fittings in the bathrooms. The conference areas and venues were also upgraded.

Mombasa resort invests millions in renovationSAROVA Whitesands Beach Resort in Mombasa, Kenya is to undergo a US$3,6m (R53,6m) renovation in June, to be completed by September. The resort will remain operational during this period. The 335-room resort will have 135 rooms undergo refurbishment at a cost of US$3m (R44,6m), while the renovation of its four conference rooms will cost US$650 000 (R9,7m). The large conference room seats 400 delegates while the three others can accommodate 300, 250 and 120 delegates respectively.

PillowTalk NCL targets SA for growth Hilka Birns

NORWEGIAN Cruise Line, known for its freestyle cruising concept, is to

grow its market share and brand awareness in Southern- and Central Africa after appointing three key preferred sales agents (PSAs) in South Africa.

It has entered into new marketing and distribution contracts with Johannesburg-based Development Promotions and Durban-based Inspirations Travel & Tours (ITT), while renewing its long-standing partnership with Cape Town’s Triton Cape Sea Travel, which previously held the contract since 2000.

This was announced by Christian Böll, NCL’s md for Europe, Middle-East and Africa, and Nick Wilkinson, gm for Northern Europe, Middle East and Africa, following a joint strategy meeting with all three partners in Cape Town earlier this month.

“We have identified South Africa, Southern- and Central

Africa as prime markets for us, in line with our global strategy of expanding our presence around the globe,” Nick said. NCL’s existing SA market share was estimated at 20% and the company was targeting double-digit growth year-on-year, he added.

By expanding its PSA base, Christian said NCL would expand its distribution across South Africa, extend its reach into sub-Saharan Africa and enable investment opportunities across a much wider distribution network.

The plan is for each PSA to market to its preferred travel trade partners and so expand NCL’s customer base across the region, but agents will still be able to book through any of the three PSAs. DP md, Jackie Adami, said the arrangement with NCL was “very well structured” to ensure that all travel consortia would receive the same deals and commissions. “NCL does not want to shift the market but to gain market,” she explained. The three companies would

also work together, for example, in running road shows for NCL.

“It’s a new concept to sit around the table with your competitors and discuss how to market a product,” said ITT’s director of business and marketing, Dana Webber. She said ITT would draw on its strong presence in Southern- and Central Africa to package tours, such as three nights in New York followed by a four-night NCL cruise. It would also focus on opening South America to South Africans.

Triton Cape owner, Stewart Venn, said the company had been fortunate to have had the sole distribution contract with NCL in this market for so long, as the cruise line operated through multiple partners in other countries. He said NCL’s greater focus on South Africa meant more resources in terms of marketing support and road shows. With incentive cruising picking up, Triton Cape would focus on group and incentives for NCL going forward, he said. n

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8 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

NEWS

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Specialised ski experiences

Dreams showcased its specialised ski offering at a recent media event to award the new Miss South Africa, Ntandoyenkosi Kunene (centre), an all-expenses paid SkiDreams trip to Neustift, Austria with her sister, a prize valued at R180 000. Dreams ceo, Erica Barrett (right), launched the SkiDreams specialised programme with the help of skiing experts, Mel Bird (left) and her husband Russel Bird in October 2015. Mel and Russell are experts on ski destinations and have packaged the best experiences on offer at the various ski destinations for the brochure. SkiDreams offers fully hosted packages, semi-hosted packages and non-hosted. Photo: Susan Reynard

Revamped mobile app adds flights, featuresTRAVELSTART has revamped and relaunched its mobile flight booking app, Flapp. Launched last year and initially only offering end-to-end flight bookings between Johannesburg and Cape Town, the app’s upgraded features include additional airlines, destinations and the ability to book travel insurance.

Users can now search, book and pay for flights worldwide. They can search for the best fares on domestic and international flights across multiple airlines and then select additional services, such as flexi tickets and travel insurance.

Users are able to create an account with their passenger information as well as securely store credit card information to speed up

the booking process. After booking, flight confirmation is emailed directly to the user.

“Flapp is like having Travelstart in your pocket. We have invested considerable resources in distilling the form and function of our website into an app environment and with 50 000 downloads across iOS and Android devices so far, we’re really pleased with the outcome,” said Russell Jarvis, head of communications.

Flapp is designed to load fast to reduce data costs. The user interface works well for people on the go, with clear information and seamless process to ensure the journey on mobile devices is as smooth as possible, he said. n

Abu Dhabi upgrades mobile offering ABU Dhabi Tourism & Culture Authority has launched an upgraded version of its Visit Abu Dhabi mobile application of comprehensive tourist services. Users of Version 4.0 – available on iPhone, Android and Windows phones – now have access to enhanced information also seen on the Visit Abu Dhabi website.

Mouza Al Shamsi,

acting executive director of marketing and communications of TCA Abu Dhabi, said the app now allowed users to book taxis and find the best bus routes and schedules to points of interest.

“The app has also been integrated with TripAdvisor, to allow access to reviews for all locations, hotels and restaurants,” he added. n

Brussels Airport departures hall reopens

BRUSSELS Airport held a reopening ceremony for its departure hall on

May 1, which was damaged in the terror attacks on March 22. Arnaud Feist, ceo of the Brussels Airport Company, said the airport is “returning to an almost normal situation”.

Work continues in the Brussels Airport departures hall, with damage caused by the explosions not fully repaired. The airport operator plans for the facility to be fully operational by the start of Europe’s summer holidays.

As of May 2, 111 check-in desks are open in the departures hall, in addition to the 36 desks in the temporary constructions. This means that 147 check-in desks and several self check-in kiosks in the departures hall and temporary construction will be

available to passengers. This extra capacity will make the experience more comfortable for passengers.

Additional security measures are in place across the airport and passengers are urged to take note of the following: Arrive at the airport three

hours ahead of scheduled departure time.

Travel light: do not take more than necessary.

Respect the liquids and gels restrictions.

Check in online through relevant airline’s website.

Bring a printed copy of reservation, ticket or boarding pass.

Keep identity card or passport ready when arriving at the airport.

Only passengers are admitted in the departures hall and the temporary constructions. n

back to the province by helping to get more people into Gauteng and into the Cradle of Humankind World Heritage Site, which becomes more attractive to people when once they grasp the enormous significance of this site in terms of the shared origins of all humans in Africa. I would also love the opportunity to make people realize the immense range of activities and specialist offerings which are available in Gauteng. Most people could spend two weeks in Gauteng and experience the lifestyles which they really aspire to if only they were aware of the incredible diversity of experiences available in our province. In terms of land mass,

Gauteng is the smallest province, but it packs the biggest punch of tourism experience in the country.”

Enthusiastic and committed entrepreneurs like Mpho Mache prove that young entrepreneurs can give as good as they get, and better. Underestimating the aspirant tourism providers of Gauteng is to wholly misunderstand the dynamic future of tourism in Gauteng.

Gauteng Tourism will also feature the Gauteng events calendar, the Gauteng Signature Collection and the Gauteng Travel App at Indaba 2016. The main programme of Tourism Indaba 2016 runs from 06-09 May, 2016.

The Gauteng Tourism Sector Strategy has led to the discovery and promotion of incredible tourism talent in the province. According to Gauteng Tourism CEO Siphiwe Ngwenya “Gauteng Tourism has run programmes to identify Small and Medium Micro Enterprises (SMMEs) which show the potential to uplift the Township share of the provincial tourism economy, resulting in the unveiling at tourism Indaba 2016 of some very exciting new tourism talent. We are confident that they will make a very positive impression on the government sector, the Tour Operators and Trade in general, and we are looking forward to an unprecedented period of growth and transformation in the tourism profile of our province,” concluded Ngwenya.

Ngwenya elaborated: “In February this year we held an SMME Indaba at Kliptown and with the help of the Southern Africa Tourism Services Association (SATSA) were able to par down from over 100 very

promising SMMEs to identify the cream of the crop from the industry perspective. We are bringing them to Indaba with the dual purpose of exposing them to the industry as well as of honing and developing their finer marketing skills to make them indelibly imbedded in future tourism marketing offerings.”

Young entrepreneur Mpho Mache, the founder of Tshuku Tours, was delighted to be selected as one of the participating SMMEs. “Going with Gauteng Tourism to Tourism Indaba 2016 is an amazing opportunity,” said Mache. “As an SMME we get exposed to the heavy-weights of the tourism industry and we the opportunity to benchmark ourselves against those companies who have achieved what we are aspiring towards. Going to the Indaba allows you to educate yourself on trends which help you to realize if your offering is the best fit with what clients are looking for. It’s also a great opportunity to give

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For more information on what’s happening in Gauteng, what to do and where to go, visit www.gauteng.net download our Gauteng Travel Guide APP on Google Play and App Store, follow us on Facebook ilovegauteng, on Twitter @visitgauteng with #GPLifestyle #GeePeeShotLeft

10 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

MY LIFE AS AN AGENT

As part of its new series, My life as an agent, TNW profiles different personalities in the travel industry. This week Darise Foster speaks to Marco Ciocchetti, ceo of XL Travel.

Agents, it’s time to specialise

IF TRAVEL agents are going to survive in this dynamic industry, they need to hone their offering and

become specialists in a particular field, says Marco Ciocchetti, ceo of XL Travel.

Following the retirement of former coo, Rod Rutter, Marco has taken over the helm of the XL Travel Group, with plans for it to be recognised as the most innovative travel group around, supporting intelligent travel solutions that ultimately result in tangible benefits and sustainable returns for its members and shareholders.

Marco is the former md of XL Sandown Travel and previously held the position of president of Asata.

“The industry has changed dramatically from when I first entered 37 years ago,” says Marco, maintaining that the biggest difference between then and now is that today the customer has more knowledge than the average consultant who enters the industry.

“When I first entered the industry, I was consulting after three weeks. These days, if you promote someone to consultant after three weeks, they will resign after three days because the customer knows so much more than they do,” he says.

The answer to this for leisure consultants is to specialise in a particular field. Destination specialisation, he notes, is a good place to start.

“Customers often enter a travel agency having researched the destination they are planning to visit – so knowing a little bit about everything will not help the consultant when the customer comes in asking specific questions about a particular destination. They are looking for a consultant who will tell them to avoid certain areas in that destination while they are there and list the reasons why, or suggest some places for the customer to visit. They want a consultant who knows more than they do,” says Marco.

Luxury travel is also a good place for agents to specialise, says Marco, as is cruising. “With cruising, there are dozens of cruise lines that claim

to offer a five-star product but one could be offering a five-star product for a rowdy crowd, while another could be for a more upmarket crowd. It is for the agent to really know the differences between each cruise product and provide useful information to the customer that they will not find anywhere else,” he says.

Even though familiarisation trips do not take place as frequently as they did in the past, making it more difficult for consultants to gain first-hand experience about products and destinations, Marco says there are still ways for agents to gain the necessary knowledge.

“Yes, travellers walk into an agency having researched a particular area, but rather than seeing the Internet as a competitor, agents need to see it as a tool that allows them just as much access to information as it offers their clients,” he says.

Consultants wanting to learn more about a particular destination or product should conduct as much research as possible, using brochures and the internet, then approach their managers and ask them to sponsor a trip to a particular destination to verify what they have learned. “I do not believe there would be a single manager or owner who would not want to contribute towards education,” he says.

For corporate consultants, on the other hand, it is more important to understand why they are performing certain functions. This will, in turn, keep their clients happy.

“Consultants need to understand what the term ‘value’ is in the corporate space because it is not simply responding to the client on time or offering a 24-hour service. These consultants need to know why a customer would need a TMC and always be thinking of phrases such as ‘reporting’, ‘duty of care’, ‘account management’, ‘travel policy management’, and so on – then understand why each of these is important and what value they add to the overall service being offered to the client.”

Marco challenges TMC owners and managers to ask their consultants to provide reasons as to why they are performing certain functions. “If their response is: ‘because you told me to’, then that is the wrong answer and they likely believe they are simply there to book flights, hotels and cars but these are just peripherals,” he says.

TMC consultants should understand what the result of each one of their entries will be and understand why each of these entries is important to the client, says Marco. This greater understanding will also make the consultants’ jobs more interesting, while ensuring real value is delivered to the client, he says.

Marco Ciocchetti. Photo: Shannon Van Zyl

Four things you should know about Marco1. Marco’s greatest achievement

in travel thus far has been conceptualising and opening the first XL Sandown Travel concept store. “It was the first real concept travel agency in South Africa and seeing it succeed at a time when traditional travel agencies were beginning to be threatened by OTAs has always brought me great joy,” he says.

2. His favourite destination in the

world is Switzerland. “It is a country of near perfection and is amongst the cleanest on earth,” he says.

3. He has a passion for sport and is an avid supporter of Juventus FC, the Lions and Roger Federer. He also enjoys motor racing and a weekly game of golf.

4. His advice to agents is: “Don’t fight change. Accept change and find solutions.” n

For a FREE subscription to TNW contact Gladys on

gladysn@nowmedia.co.za

“When I first entered the industry, I was consulting after three weeks. These

days, if you promote someone to consultant after three weeks, they will resign after three days because the

customer knows so much more than they do.”

Marco Ciocchetti

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When it comes to experiences offered by skiing destinations, what makes one different from the other? Taryn Nightingale consults the experts.

Brush up on your destination expertise!

DIFFERENT skiing destinations are defined by unique

characteristics – information that agents can use to match their clients with the right destination.

Switzerland is the most expensive of the four ski experiences, which makes it quite an exclusive destination. Erica Barrett, ceo of SkiDreams describes the Swiss ski experience as chalet style and good hotel accommodation with a quiet Après-ski (social activities and entertainment that occur at ski resorts) offering. “Swiss resorts are often pricey and are viewed as more exclusive than other European Ski destinations,” she says.

The ski experiences in Switzerland are characterised by the country’s history, proud culture and unique nature, says Greg Taylor, gm of Pure Skiing, adding that the country is great for romantic and somewhat quieter trips. Both Greg and

Erica agree that the Swiss experience is best suited to people with expensive tastes and a high budget.

France is best known for its high altitudes and big mountains, says Greg, commenting that although the experience is a good choice for families and caters to skiers of all levels, the high altitude can sometimes be tough on young kids. Erica says that these slopes are well-groomed and suggests that this experience would be ideal for families and smaller groups who prefer quieter evenings.

“Austria has it all in my opinion,” says Greg. “Many people consider Austria to be the home of European skiing. It has a very authentic feel to its ski resorts, which exude great charm. Austria is known for its Après-ski and mountain huts scattered around the ski area. Many of the resorts in Austria are at a lower altitude than those in France or Switzerland,” Greg

says, adding that Austria also offers the best value for money.

Erica says that the excellent ski schools and friendly locals make Austria a relaxed and popular ski destination. Groups, families and single folk who enjoy good skiing and even better parties will be best suited to skiing in Austria, she says.

For social travellers who enjoy a good eating culture, Italy is ideal. Erica describes the ski experience in Italy as relaxed, with a focus on food. She says Italian hospitality is that of people welcoming you as if you were family. “It is not uncommon to stop for an early lunch on the slopes and end up staying for three hours, enjoying wine, and endless food all served to you by the typical Italian Mamma in their private home,” she says. Although it lacks a little in the Après-ski department, Greg says it is a good choice for foodies who like to stay out late partying at night.

Sell skiing like a proTHE best way to sell a ski package is to make sure that you get the correct brief from the client so that you can sell the package most ideal for them. This is according to Pure Skiing’s Greg Taylor. He advises that agents ask clients how many times and where they have skied before. Travel agents also need to know their client’s biggest priority: is it to party, or ski, or stay at a good village for non-skiers? He also stresses that it is important to understand what your client’s accommodation needs are.

SkiDreams’ Erica Barrett agrees that the client needs to know what they want from their ski holiday, adding that budget is another important consideration.

A good product knowledge will also assist agents in clinching the deal. Anthea Hay, owner of Peak Adventures, says that by knowing the location of the prospective accommodation in relation to the ski lifts, the travel agent can reduce the amount of time the client would have to walk in ski boots.

She says that agents should also remember that accommodation in some parts of Europe is very different to what South Africans are used to – as such they should advise their clients that the rooms will be smaller and that there may be fewer facilities available

than at South African properties. She says that this is especially the case with family run bed and breakfasts or self-catering apartments where owners sometimes don’t speak English. “Self-catering units do not include linen, cleaning or cleaning on departure and some self-catering establishments also require refundable breakage deposits,” says Anthea.

Travel agents should also know that when they book their clients on skiing trips from early December to mid-January as well as in late March that the resorts offer a “snow-guarantee”, says Erica. Neustift-im-Stubaital (Austria) has the largest ski-able glacier and the resort offers a snow guarantee during this time. Cervinia in Italy also offers a snow-guarantee at this time, as does St Anton in Austria, she says.

Erica Barrett

QUICK READ FOR BUSIEST PEOPLE Wednesday May 18 2016 n 13

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yDrinks vouchers

yAccommodation

yAirport return scheduled transfers

yBreakfast daily

y7 Dinners Included

ySpecial Christmas & New Years’ Dinners

yGuided ski excursions

ySki Doo ride up the mountain and bum board down

yResort representative

ySki equipment hire

ySnow carting

yWine Tasting Evening

yTravel Insurance including hazardous pursuits

Cervinia Festive Season Package Inclusions:

Ski Cervinia in Italy this festive season

Set departure 10 /11 night fully hosted packages available from R29 285.00 per person sharing.

Bonus: Ski Lesson

in SA before departure

For more information visit: www.scdreams.com or contact us on +27 11 217 5555.

Have you asked the right questions?THE importance of knowing what to ask your clients at the onset of a ski enquiry in order to gain their confidence is important. Peak Adventures’ Anthea Hay compiled the following checklist for TNW: Do you know how many

times the client has skied before and, if so, where? If they have skied before, have you asked if they want to try something different?

The position of the accommodation is critical to the experience. Does your client want a hotel in the centre of the town for evening activities or on the slopes to sk-in-ski-out?

Maybe your client wants to improve their ability – have you offered them ski school services?

If they have skied

before (and are possibly advanced skiers) have you suggested a higher category of skies and boots?

Have you asked if they perhaps want to snowboard instead, as this is sometimes at a different cost?

Do you have the exact birth dates of any children under 18? Remember that different resorts and countries work on the date of birth and give different discounts on passes, hire, etc.

Have you checked which category of accommodation the client wants and what rooming requirements they may have for a larger number of people or children?

Have you checked if the client wants all meals

included or perhaps if they want the freedom to try the local bistros, pizzerias, pubs and restaurants in the evenings?

Have you asked your client if they want to wait for a coach transfer or if they have the budget for a private transfer that would get them to the ski resort earlier? Transfers from airports to a ski resort can be lengthy especially after a long flight. Buses can take longer as they only run on specific schedules and cause unnecessary delays. A train to the nearest station to the resort is a scenic and cheap alternative. However, travellers may have to do some train changes en-route and therefore transfer luggage across platforms.

Stay on top of insurance requirementsTHE ski experts agree that insurance should be a priority when booking a ski holiday. “Remember to ensure that your client’s insurance cover is comprehensive. A helicopter airlift can amount to thousands of Euros,” says Pure Skiing’s Greg Taylor.

“Always buy the most that you can afford,” advises Simmy Micheli, manager of sales and marketing for TIC.

Wybrandt Lubbe, travel insurance sales manager of Bidvest Insurance Group, agrees and says the biggest pitfall would be for the client to think that they have cover in place only to realise that they actually do not qualify for that specific benefit.

According to Simmy, travellers should pick

full medical cover that includes transportation and repatriation, adding that the most common winter sport injuries are to the knees, ankles, legs and shoulders. “Repatriation after a serious back or leg injury may require a business seat or two for the journey,” she says, noting that besides medical expenses the insurance company may also need to cover the eventuality of a medical escort and the cost of the client’s seat there and back, including possible additional costs such as monitors, breathing assistance and/or intravenous equipment. As such, she says that not having full medical cover could become very expensive in the event of a serious injury.

Must-knows for your clients Goggles are essential as

they keep your face warm and protect your eyes from the falling snow.

Don’t take any leather-soled shoes as they make it difficult not to slip.

Dress in layers and carry a small backpack to carry your clothes in when you heat up.

Don’t overdress at night when you go out as the restaurants are very well insulated and normally you are not outdoors for

more than ten minutes. The dress code in ski

resorts (especially smaller villages) is generally jeans, t-shirt or golf shirt and good walking shoes/boots with a ski-jacket.

South Africans need to be patient in restaurants. In a 130-seater restaurant there will only be eight to ten staff and often it is only the owner and the family working. Food is prepared as fresh as possible and

served when ready. Italians eat very late and

only fill up restaurants from about 21h00 – 22h00, allowing South African clients to dine at their usual time of 19h00.

Bars in Austria often do not charge travellers for their drinks straight away but run a tab for their customers. South Africans need to remember to settle their tab before the night ends. n

“Remember to ensure that your

client’s insurance cover is comprehensive.”

Greg Taylor

14 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

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Corporate travel

Value deters clients from going directAre more corporates choosing to book direct? Debbie Badham investigates.

Agents and suppliers are seeing a definite trend toward direct bookings

but smart TMCs know where to add value.

TNW’s sister publication, eTNW recently ran a survey on corporate travel to which 131 agents responded.

51% of respondents said said they had noticed an increase in corporates booking air travel direct through the supplier; 66% said this was the case for accommodation bookings. On the other hand, only 41% of respondents said they were experiencing direct booking behaviour in car rental.

One of the main factors that seems to affect whether or not a corporate will choose to book direct relates to whether the client is booking a local or international itinerary, with 72% of agents saying that corporate travellers are willing to book local travel direct but not international travel. Another significant factor is the complexity of the itinerary in question – 89% of agents said corporates would not book more complex itineraries

direct through their suppliers.

For the most part, suppliers agree that there has been a general trend towards corporates approaching them directly. City Lodge Hotel Group’s divisional director for sales and marketing, Peter Schoeman, says this is particularly the case for small to medium-sized corporates. “Bigger corporates still tend to use agents as their travel needs are more difficult to manage that those of smaller companies.”

It may also depend on the country where the accommodation is being booked, comments group ceo for Cresta Hotels, Glenn Stutchbury. “For Botswana, most corporates still prefer to book through their travel agents as it is easier for them to get both accommodation and flights from one source. With Zimbabwe and Zambia, corporates seem to be doing both, going through agents and sometimes going direct, especially for last-minute reservations.”

Many suppliers are left with little choice but to allow

corporates to book through whichever channel they deem fit. As the Birchwood Hotel’s founder and director, Kevin Clarence, comments: “We were traditionally a business-to-business operation. Initially we tried to allow agents to be our main sales arm but this brought in little revenue, particularly in terms of accommodation. As a result, we had no option but to go direct to corporates as a sales approach.”

However, other suppliers maintain they are still business-to-business operators, as is often the case with tour operators. Annemarie Lexow, sales and marketing manager for TravelVision maintains that agents are the company’s only access point of sale to the direct public as it is still a traditional wholesale operator.

Making the cut Agents argue that the direct booking trend only applies to instances where TMCs are not delivering real value. Claude Vankeirsbilck, chief sales and marketing officer of Tourvest Travel Services, says there is no indication of

a trend towards corporates cutting out the services of a “value-generating” TMC.

“In fact, just the opposite, judging by the new customers we at Tourvest, through our operating brands American Express Global Business Travel, Seekers Travel, Maties Travel and Indojet Travel, are bringing on board.” He says there is enormous value in Tourvest’s online travel management solution, which counters any value in going direct to the supplier.

Wally Gaynor, md of Club Travel, agrees and says there will always be situations in which a new procurement manager will want to try new options but that the reality in trying to deal direct with multiple suppliers (airlines, hotels, car-hire companies) is not so easy. “The reality usually hits home very quickly that the perceived savings are not there and the management of the relationship is time consuming and costly.”

However, as well as for the obvious value, whether corporates book direct will also depend on the nature of their travel programme. “It is dependent on the volume of spend, number of travellers and complexity of travel programme,” says Maria Martins, director of Programme Management for Carlson Wagonlit Travel South Africa.

She says most of the agency’s clients want to book direct but by using CWT’s online booking tool. “In this way, while reducing costs and having direct access to reservations and their travel policy, preferred suppliers and rates are also applied.”

Peter Schoeman

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CORPORATE TRAVEL

When do corporates go direct?GENERALLY, says chairperson for the Global Business Travel Association, Howard Stephens, corporates will decide to go direct based on their size. While for a smaller company it might make sense to book direct, much larger corporates would have to set up their own travel departments in order to take the place of the TMC if they chose to go this route.

Howard says a buyer’s reasoning for wanting to deal direct with suppliers might relate to the client’s fear that the TMC is putting deals through its own preferred suppliers rather than getting them the best possible deals. “Buyers want to make sure deals are put through the right channels,” he says. This also relates to whether or not the

suppliers used by the TMC are of a certain standard.

It will ultimately always come back to the bottom line agrees, CWT’s Maria Martins. She points out that self service through an online booking tool provides a quick, efficient solution with full visibility of all possible fare options for air travel rates for accommodation and ground transportation. “It is proven that when travellers make their own selection they choose cheaper fares, due to visual guilt,” she says. “And with the instant, automated approval process in place, linked to an online booking tool, managers can ensure the lowest fare options are taken.”

Costs are also cut through the lack of booking and service fees, which can add quite a bit to the

overall cost, says City Lodge’s Peter Schoeman. “Take a Road Lodge for instance. A R550 room night could become a R750 room night after booking and service fees.”

Greater control over bookings is another motivator for direct bookings. “Flexibility over weekends and holidays as well as immediate answers are some of the reasons why clients might choose to deal direct with suppliers,” says Cresta’s Glenn Stutchbury. He points out that if an agent is only available during the week from 08h00 to 17h00 and an urgent situation arises, the corporate client cannot afford to wait for business hours.

“Technological advancements have simply made it easier for

individuals to make their own reservations for flights and hotels,” he says.

The Birchwood Hotel’s Kevin Clarence agrees, saying that, ultimately, when booking direct, the client would have more control over making sure their requirements are met, at the same time reducing inefficiencies brought about by barriers to communication. “From our experience, having another party involved in the chain of communication can lead to confusion, particularly when it comes to booking conferences. The marketing manager or PA contacts the agent and the agent then contacts us. By the time the corporate’s requirements have reached us, there can be important elements lost in translation.”

Ensuring your valueULTIMATELY, it should be easy for agents to demonstrate their worth to corporates, because a good TMC will compensate for the cost of its fees through the money it saves its client.

“Unless a client has minimal spend, few travellers or a very simple travel programme, the value provided by a TMC offering a full suite of travel products, management tools and programme management, still realises overall cost reduction and business benefits to the corporation and to the

travellers,” says CWT’s Maria Martins.

Suppliers are quick to recognise the value that a good travel management company brings to the equation. “TMCs provide the sort of end-to-end solution, which includes visa and other services that corporates require,” says Edward Frost, regional commercial manager for South and East Africa, British Airways. “This is particularly true in the case of complex bookings and multi-sector trips.”

City Lodge’s Peter Schoeman agrees that the

value agents bring to the equation relates primarily to process flow. “It can be easier to deal through a travel agent if you are a company with a lot of travel requirements. Accounts can also be easier to handle through an agent,” he adds.

The relationships that agents bring to the equation are equally important. As Cresta’s Glenn Stutchbury points out, agents are the experts. “They have destination knowledge and established relationships with suppliers that a corporate might not have.”

All of this doesn’t mean

agents won’t lose clients, says Club Travel’s Wally Gaynor, however he says sometimes clients have to leave their TMC to realise their worth. “We have lost accounts only to regain them when they next go out to tender. We recently had a client who decided to book a group direct through an airline and was horrified to discover that the airline was not available 24/7. The clients soon discovered cheap can be expensive.

“The bottom line is, if you know your stuff and charge a fair price for what you do, you will be fine.”

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Glenn Stutchbury

“It is proven that when travellers make their own selection they

choose cheaper fares, due to visual guilt.”

Maria Martins

QUICK READ FOR BUSIEST PEOPLE Wednesday May 18 2016 n 17

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Top tips to show valueINDUSTRY experts have combined their collective knowledge to provide agents with top tips for making sure corporates appreciate the value they bring to corporate deals. Make it personal, says

Club Travel’s Wally Gaynor. “Know your client, know their likes and dislikes and give them what they want but also what they need. Offer suggestions and offer alternatives, charge a fair price and be able to justify what you do. Often only when there are problems do clients actually realise the value of a relationship with a human being who cares. When the chips are down, try asking a computer for help, or for that matter try and get hold of someone at an airline in times of crisis.”

Share information that is not known to the general public and advice that the

customer probably didn’t think of when searching and comparing bookings online, says TravelVision’s Annemarie Lexow.

Be proactive and flexible, says Cresta’s Glenn Stutchbury. “Office hours no longer apply. Agents need to be available all the time for their key clients. Thanks to mobile devices and technology in travel, this is possible for those who are prepared to change with the changing times.

The Birchwood Hotel’s Kevin Clarence says agents need to have a full understanding of the supplier’s offering and the client’s requirements to be able to construct a deal that suits both parties. Corporates have very little time to give and agents who prove themselves reliable and trustworthy are a convenient time-saving option, he says.

FOR an independent agent, the idea of pitching for a corporate account can be daunting. Especially since, most often, there is a lot of research and paperwork involved.

Lorrae Olofsson, director of EQ Travel, an eTravel ITC that manages a number of different corporate accounts, provided TNW with advice for newcomers to the corporate travel scene.

She says agents who are considering taking on corporate accounts should be mindful of the fact that this would be a difficult endeavour without the support of a consortium. This has a great deal to do with the fact that buying power is an important consideration when dealing with corporate customers.

Other key services agents should be sure they can provide before venturing into this space include reporting, which can be linked back to the agent’s accounting processes. Lorrae says they also need to ensure they have all their certificates in order and

up to date, including audit and tax clearance, BEE, Iata and Asata. “Corporates will want to see all of these documents and will, in fact, conduct their own due diligence on you,” she cautions.

It’s worth noting that corporates are also generally looking for an agent/small agency with entrepreneurial flair as well as one that can provide significant value. Her advice to agents preparing to tender for a specific corporate account is to do their homework and find out exactly what that company’s needs are. “Sometimes the client wants frills that they don’t actually need,” she says, adding that combining your expertise as an agent with comprehensive research will often give you a better idea of what the corporate needs than they have themselves. She says this then becomes a highly attractive proposal to corporates, who are ultimately looking for a good consultant who can save them money.

Going to tender Unfortunately, there is no one-size-fits-all solution when prepping for the tender process. Lorrae says tenders come in all shapes and sizes and that the online applications often require agents to upload all requisite documents.

She says it’s a good idea for agents to pick and choose tenders according to those they think will be a good fit for their service offering. “For example, if the company is looking for an in-house consultant, don’t even bother.”

The research process that follows the application can be time consuming and involves asking the corporate a lot of questions to be able to establish what they really need. Lorrae says a good example of this would be establishing needs when it comes to reporting, and whether in the current economic climate clients actually need 16 different people handling this function, as they might think they do.

NewsflashProfessional Passenger Services has launched a new online booking management tool, Tousca, to assist the travel industry in sourcing superior suppliers of shuttles and chauffeurs. The system went live on May 1. Tousca also enables small- and medium-sized enterprises to function professionally, explained Dorian Toussaint, ceo of Professional Passenger Services. “The Tousca system is a single system wherein any corporate, travel aggregator and online booking tool can locate all their approved shuttle and chauffeur suppliers, each with their own unique rates and offering, and with our API will be able to embed the technology into any online booking tool so that using Tousca will be a seamless experience,” he added. Tousca is not an Uber-type offering as it operates in the prebooked transport arena. The technology is geared for worldwide use and Dorian said he is looking at neighbouring countries as well as India, Malaysia and Australia.

How to pitch for corporate accounts

To page 18

18 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

When two companies find synergyWe welcome

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CORPORATE TRAVEL

Did you know?

MARRIOTT Rewards has added three new benefits for members of its loyalty programme: Experiences Marketplace offers all members greater access to a range of experiences. Elite Concierge Service provides a dedicated concierge, available to an initial group of Elite

members, to streamline the travel experience. Guaranteed Late Checkout gives Gold and Platinum Elite members of Marriott Rewards and

the Ritz-Carlton Rewards increased flexibility and peace of mind, with checkout as late as 16h00.“We’re evolving how we engage with, recognise and reward our loyal guests,” said Thom Kozik, vp of loyalty at Marriott International. “Loyalty is not just about our members choosing to stay with us. We want to make their travel more seamless and personalised and we also want to deliver memorable experiences that go beyond the stay.” Marriott Rewards are available for stays in all 100 Protea Hotels and African Pride Hotels.

Going to tender with the backing of the consortium is also a big help, says Lorrae. She notes that it also helps to take on board the right partners, particularly when it comes to the client’s particular technology needs. “The technology offering is a very important part of the tender. In particular, corporates want to know how you can help them streamline their payment process.”

Strict SLAs When putting together the actual agreement with their prospective clients, agents also need to be sure they protect their own interests. In particular, Lorrae says agents should ensure that strict service level agreements are in place, leaving no room for “scope creep” putting agents in a position where

they are also providing a secretarial service for which they are not being paid. “Agents should be very clear on what the remuneration model will look like, signing a financial agreement upfront which specifies that each transaction that is completed after hours has a specific fee.”

She notes that some corporates want to organise the agreement to have a management fee as well as a service fee but in this case, the fee should then increase should the volume of transactions increase. It’s important that the prospective client provides the agent with an accurate projection of their business volumes and transactions so that they can put together an accurate financial agreement.

It’s also important for agents to know where to

pitch and when to let the tender go. “Never undersell yourself,” Lorrae cautions.

Helpful tips Lorrae has the following advice for agents looking to clinch the agreement: Make your presentation

punchy. Don’t use too many slides.

Profile the company’s staff. For example, if the company has lots of millennials they will almost certainly require a mobile proposition.

Travel and entertainment are two of the largest spends for most companies and, as such, often the financial director is present. In this case make sure you, or someone with you, can speak numbers.

Explain to them that the value you as a TMC can deliver will save them money. In other words the TMC pays for itself.

From page 17

Meetings must focus on experiencesTHE International Association of Conference Centres (IACC), the global professional association representing small- to medium-sized meeting and conference venues, has published the first research of an initiative that aims to determine future industry needs.

IACC Meeting Room of the Future was developed to explore what the perfect environment needs to deliver exceptional meeting experiences, with the first set of research unveiled in New York recently.

The research report highlights that the meetings industry is transitioning at a rapid pace. “While the overall objectives and goals of meetings have generally remained constant, there are clear indicators that the adoption and use of technology, the physical design of meeting space and the emphasis on experience creation will become increasingly important,” said Mark Cooper, IACC ceo.

“Compounding the pressure on meeting planners to adopt and incorporate these tangible meeting elements is the increased requirement to demonstrate the value of meetings to their leadership, peers or clients while simultaneously operating in an environment of shrinking

budgets. It is critical for meeting venues to respond accordingly and provide those elements that are increasingly sought after and important to the overall meeting objectives.”

He said the impact of meeting venues on delegates’ productivity, creativity and ability to respond to new ideas and thinking was becoming better understood.

According to the report, 75% of responding meeting planners said that their current role involved more “experience creation” versus two-to-five years ago, while over 77% of respondents reported that access to interactive technologies such as tools to encourage audience participation, collaborative communication platforms and others, were more important now. A total of 47% said flexible meeting space was a priority.

Mark said using these indicators as a road map for future trends, meeting planners were predicting an increased emphasis on, and need for, select venue elements. Currently, the flexibility of meeting space is the most important venue element when evaluating meeting space followed by access to interactive technology and networking spaces adjacent to the meeting/event space.

The meetings industry is transitioning at a rapid pace.

QUICK READ FOR BUSIEST PEOPLE Wednesday May 18 2016 n 19

What do buyers look for in a TMC? WHICH elements in the corporate travel service offering are most important for TMCs to focus on? TNW asked chairperson for the GBTA, Howard Stephens, for his advice on exactly what it is corporates seek out in a prospective travel partner.

Technology is an important part of the TMC’s offering. Howard points out that, as a specialist, the TMC often has access to far more sophisticated technology than the corporate and as this technology does not necessarily have to be kept in-house with the corporate, advanced technology can easily provide agencies with the edge they are looking for. Key, says Howard, is for TMCs to process travel queries using technology to fulfil this requirement, freeing up consultants to focus on high-touch aspects of travel.

“TMCs need to reinvent themselves through both the technology they provide and their negotiating power,” he advises. Negotiating power is an important consideration for corporates when deciding on a TMC to partner with. While Howard says it can sometimes be problematic when negotiating through a TMC as most TMC technology is linked directly to their own list of preferred suppliers, it can also be highly beneficial for corporates, especially in cases where the TMC is able to negotiate a better rate for the corporate than they themselves can access.

Industry knowledgeIn light of this, benchmarking of the best average rates is advantageous knowledge that TMCs can bring to the party. “During negotiations, TMCs can definitely assist with industry-type knowledge of the best average rates that are currently being offered in the market,” says Howard, and, in so doing, the agency can

assist its client to negotiate best possible rates.

Information on and tracking of spend is important to corporates trying to cut back on their travel spend. Howard comments that it’s particularly important for the TMC to be able to tell its clients what they are spending and where.

TMCs also need to demonstrate their superior travel knowledge to the corporate – for example, he says, in more specialised areas like Africa, what do corporates need to know?

Emergency services Duty of care is becoming an increasingly important area for corporates and, as such, Howard says the ability on the part of the TMC to provide a back-up emergency service offering is a big selling point. Most important for the corporate, he says, is how to get their people back if there is an issue. “TMCs need to know who the travellers are and be able to get them out.”

Equally important is access to a 24-hour emergency call centre. Howard notes that generally corporates also want access to executive members of the TMC in an emergency situation. A dedicated key account manager is another important consideration and this person should be available in emergency situations to meet with the corporate to discuss the best course of action.

Dedicated managementAn individual within the TMC who can provide the client with dedicated focus is also of significant value. Howard says corporates value the top-level expertise and support that comes with an offering like this and will be prepared to pay for the dedicated attention.

In line with this, a consultancy-based service is also a strong selling point for agencies. He says many corporates are looking for a travel partner who can act as an adviser both on the travel and conferencing front and who is able to ask the right questions. “For example, who are your travellers and what are they trying to achieve?”

Accurate pricing Pricing is always going to be an important area for corporates and it’s very important for the TMC’s pricing to be just right. Howard explains that the price needs to compare favourably with the cost of the corporate managing travel themselves. While corporates are willing to pay for a service that is valuable to them, the cost charged by the TMC also cannot be excessive.

This is where technology again plays an important role as it will enable the TMC to charge a cheaper price for processing travel bookings and then charge extra for the consulting service they provide.

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Technology is an important part of the TMC’s offering. With British Airways, travel agents can win an iPhone 6 for enrolling a company on the On Business programme where one of the company’s employees has travelled in the same month. Agents can enter each time they enrol a company with an employee travelling that month. There are four prizes on offer each month. The draw for May happens on June 17 and for June on July 15. To enter, agents need to enter the code OBZAPD16 when they enrol a company. Agents can find out more about On Business at https://onbusiness.britishairways.com/web/ba.

“TMCs need to reinvent themselves through both the technology

they provide and their negotiating power.” Howard Stephens

Win with BA

20 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

Integrate ‘bleisure’ into corporate policyMarketing manager of Thompsons Travel, Hayley Walls, offers her expert advice on how agents can help their clients introduce bleisure travel into their corporate policies.

THE bleisure trend (combining business and leisure) is taking South Africa by storm. An increasing number of corporates have indicated that they are ready to spice up their business trips with some leisure time.

According to a survey recently conducted by Thompsons Travel among its most loyal corporate clients, more than two-thirds (67%) of respondents have already combined business and leisure trips in the past. And

they’ve enjoyed it so much, they’re keen to embark on other bleisure trips in the next three years.

Let’s face it, with so many professionals adopting an ‘always on’ working style – toting their business mobile devices everywhere they go – blurring lines between business and pleasure just makes sense.

Businesses have definitely seen the positive impact bleisure can have on the motivation, satisfaction

and productivity of their employees. However, many companies have yet to address the subject in their travel policies.

There are a few reasons why companies should consider integrating bleisure into the corporate policy. Firstly, there’s the prickly issue of who will foot the bill when the employee decides to change into his swimming trunks for a few days on the beach after his meetings are done and dusted.

Although the vast majority of South African corporate staff (83%) say they are happy to pay for their leisure extension out of their own pockets, it’s better to outline all the details clearly in the travel policy to avoid any confusion.

Another important issue to address is travel risk management. Who is ultimately financially and legally responsible when the traveller extends his or her business trip and there is an

emergency ‘off the clock’? According to a recent

Collinson study, almost a third (31%) of companies say employees aren't protected during those bleisure days by the company’s travel risk policy. It’s a scary thought that employees could be spending added time abroad in the misguided belief that they are protected when they’re not. And therefore, it is important that this issue is addressed in the corporate travel policy.

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CORPORATE TRAVEL

QUICK READ FOR BUSIEST PEOPLE Wednesday May 18 2016 n 21

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CORPORATE TRAVEL

10 top tips

City Lodge offers Clicks Club Card holders discounts when staying at hotels within the group. Clients can get 5% off from Monday to Thursday and 30% off rack rates from Friday to Sunday. The group also offers its Spouse on the House weekend rate and its TeamScheme group weekend rate, which is applicable to group bookings for four rooms or more where two people are sharing.

How can clients include bleisure in their corporate policy? Here are 10 tips to help them get started:

1 Clients should announce company-wide that they will be adding bleisure guidelines into the corporate travel policy.

2 They should establish clear guidelines for what is considered leisure and what isn’t. These guidelines can be the basis to indicate who will pay for what.

3 Clients need to establish clear processes and tools to separate business expenses from leisure expenses.

4 They should add guidelines from the company’s insurer or broker on what exactly is, or is not, backed by the terms and conditions of the company insurance policy.

5 If the company decided to cover the employee during leisure days under the company’s risk management policy, it should stipulate that employees will only be covered for travel that doesn’t represent a significant departure from their original travel itinerary. High-risk destinations should be off limits.

6 If the company provides insurance for employees during their leisure break, employees must agree to adhere to certain duty-of-care measures, such as risk assessment and tracking.

7 The client should consider limiting the number of days that can be taken for leisure purposes to contain the risk to the individual and the company.

8 Advise clients to decide whether there are any limits to leisure travel activities. They should outline which activities are off limits for business travellers, even during the extended days of their trip.

9 Companies must give clear guidelines on where corporate travellers can book their additional leisure days. Employees should be advised to use the corporate booking tool or to speak to the TMC.

10 Clients should share special holiday deals or leisure add-on options with their employees. Our study showed that more than half of companies don’t communicate these specials with their staff.

Discounted rates!

22 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

TNW7591SD

CORPORATE TRAVEL

SMEs tap into technology to save on travelWHILE large corporate companies have a designated travel person or department, as well as a sizeable travel budget, the same cannot be said of smaller businesses. However, this does not mean that they cannot make the most of the latest technological solutions, especially if they have partnered with the right TMC.

Technology plays a pivotal role in assisting SMEs to compete with other national and international organisations. A study commissioned by Microsoft and undertaken by the Boston Consulting Group found that information and communication technology gave smaller businesses a competitive advantage.

The study comprised 4 000 SMEs in the US, Germany, China, India and Brazil, and found that entrepreneurs who were early technology adopters increased their annual revenues 15% faster than their competitors. Another important benefit of properly utilising technology is that it helps buyers and SMEs save time, as it alleviates a great deal of admin.

Tourvest Travel Services has realised that the vital SME market segment can benefit from powerful cost-saving tools that were initially developed for the larger corporate market. This is according to Tourvest Travel Services chief sales officer, Wayne Muirhead. “These solutions allow SMEs to access a wide range of low fares and prices across all travel categories (air, car and hotel) for domestic and international travel,” he says.

Tourvest’s technology solution offers the following: Online approval – all bookings need

to be approved before tickets are issued. The benefit is that buyers can hold the availability and price while waiting for the travel authoriser to approve.

Online quoting systems that enable bookers to compare various flight options.

24/7 support and service from trained travel experts and consultants.

Policy control to limit the choice the SME employees have when booking

travel in line with travel budgets. Simple reporting to track spend by

traveller, cost centre, access to online invoices and statements.“This solution incorporates ease

of set up and implementation, while simultaneously catering for simple business rules and negotiated vendor deals. Our strategic and preferred vendors have provided content and pricing to meet these target market objectives,” says Wayne.

Move with mobileMeanwhile, he says mobile is where the world is moving, and to ensure clients have access to Tourvest’s travel solution wherever they are, it is accessible through the web and smart devices. “Clients that use the product save in excess of 30% on their travel bill, and we have rolled this product out to over 50 SME clients.”

Meanwhile, Wayne says the SME market has been largely serviced by airlines, car-rental and hotel companies, which offer standard public fares to both the leisure traveller and the SME market.

“OTAs also provided the SME market with online comparisons of rates across various vendors,” he adds. However, the corporate market makes use of traditional travel consultants, TMCs, and technology, as well as the use of sophisticated online travel management companies to assist them manage and control their large travel spends.

The latest technology solutions for

SMEs include high-tech online travel management solutions, according to Uniglobe Travel ceo, Mike Gray.

These solutions include the following features: Online and mobile requisitioning and

trip planning. Online and mobile requisition

approval. Online booking systems. Online ticketing and itineraries. Mobile itineraries that are updated

in real-time with trip delays, changes, weather, and extra information like maps, as well as ground travel alternatives like Uber, taxis, rail and bicycles.

Online travel management reports, which include duty-of-care, passenger, and security reports.Mike says the best solution for an

SME includes all of these features. “Other simple solutions can be implemented, which only incorporate some of these features. These simpler solutions should be used when a travel buyer is only seeking an approval system or an itinerary solution.”

Wings Travel Management Business Development head, Corporate sub-Saharan Africa, Kim Parker, says a simple solution allows SMEs – who would normally make an Internet booking directly with airlines, hotels and car suppliers – to consolidate and manage their travel on an easy-to-use technology platform that assists with travel policy management, approval workflow and reporting.

High-tech solutions include real-time mobile itineraries.

Did you know?

TravelVision offers serviced apartments worldwide, available in studio or one-, two- and three-bedroom options, with fully fitted kitchens, washer-dryer or laundry facilities, digital TV, cleaning service, a 24-hour emergency contact and free WiFi. Selected apartments have fitness centres and breakfast rooms. Prices start from £139 (R2 933) a day. n

Birchwood launches new productDarise Foster

BIRCHWOOD Hotel and OR Tambo Conference Centre has launched a new product for corporate travellers looking to make use of the property’s conference facilities while saving on accommodation.

ValuStay@Birchwood is a designated portion of the Birchwood - located close to the reception area. It is made up of 96 of the hotel’s smallest rooms. Birchwood director, Kevin Clarence, told TNW that these rooms have showers only – no baths – and are priced appropriately from about R525pps, but they still offer guests access to all of the hotel’s facilities.

“We launched this product to serve the demands of our price-sensitive clientele who said they liked the property but needed a better rate on their accommodation,” he said.

“We can now say we offer a four-star product in Silverbirch@Birchwood for the discerning individual business traveller, a three-star product at the Birchwood Hotel itself which caters for large groups and a two-star product in ValuStay@Birchwood,” said Kevin.

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 May 18 2016 n 23

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

7584

Senior Consultant – CPTQuantex Recruitment GroupExquisite travel brand wants your 5+ years’ retail consulting experience and & team player attitude. Senior certificate & travel diploma required. GDS: Galileo. Email: bridget@quantex.co.za

Marketing Manager – JNB NorthProfessional Career ServicesMarketing qualification. Experience in inbound tour operator. Good knowledge of Southern Africa. Ability to travel. Develop & plan marketing strategies. Email: jeancv@pcs-sa.co.za

Senior Consultant – DurbanLee Botti & AssociatesYour corporate expertise is required to team up with this booming travel department and work for the best retail manager. Email: durban@nowjobs.co.za

Accounts Assistant – JNB NorthEquity Connections ccWork as right hand to accountant. Assist with full functions of debtors, creditors, financial reports, GL. Relevant experience essential. Email: equitycon@mweb.co.za

Account Manager (Senior Travel Corporate Consultant) – W.CapeCorporate Traveller Corporate Traveller is looking for goal driven senior travel managers to join their team. Email: lauren.grobbelaar@flightcentre.co.za

Intermediate Outbound Incentives Consultant – West RandWendy’s Travel PersonnelCompiling innovative incentive tour itineraries and sourcing the best suppliers per tour and ensuring the group’s needs are met. Email: wtp@icon.co.za

Product Manager – S/Suburbs, CPTQuantex Recruitment GroupLuxury T/O wants your passion for travel, your 5+ years’ senior level consulting experience & spectacular Southern & East Africa product knowledge. Email: lee@quantex.co.za

FIT Consultant - Camps Bay – CPTProfessional Career ServicesMin 5 years’ inbound tour operator exp. An all-rounder candidate, manage office, do marketing and consult. FIT’s/ day tours. Email: nonocv@pcs-sa.co.za

Sales Representative – DurbanLee Botti & AssociatesAre you a hunter in the world of travel? My client needs your “close the deal” and relationship management skills. Email: durban@nowjobs.co.za

Intermediate/Senior Reservations Consultant – JNB NorthEquity Connections ccLiaise with international tour operators and plan, design itineraries to budget. Suit intermediate/senior with minimum four years in-bound know-how. Email: equitycon@mweb.co.za

Travel Expert – BallitoFlight Centre Travel GroupLooking for a travel expert out there. Send us your CV if you want to join this dynamic team. Email: roxy.cant@flightcentre.co.za

TNW7585

TRAVEL NEWS WEEKLY

Issue Date: 13 July 2016Booking Deadline: 15 June 2016

Contact: dianac@nowmedia.co.zaTel: 011 214 7334/7356

Promote your product in our Travel Technology Feature

Pentravel spreads the Sunshine Pentravel has opened an additional two stores, one in the much talked about Mall of Africa in Midrand, Johannesburg and the other in Cape Gate, expanding its footprint to 32 shops. They are the third and fourth stores to be dubbed as the brand’s new-look “Sunshine Stores”, which feature fresh new layout, palette, dynamic video wall, interactive desks where consultant and client see the screen simultaneously, high-speed connectivity, and even a signature scent of coconut and vanilla. “Both locations are prime properties for us; The Mall of Africa is our first in the area and Cape Gate will service the rapidly expanding area of Cape Town as well as the outer-lying areas of Paarl. We anticipate both to perform very well,” says Sean Hough, ceo of Pentravel.

Ethiopian turns 70!

Ethiopian Airlines celebrated its 70th anniversary on April 8, with cake and smiles all round. Pictured here marking the milestone are (from left): Thembeka Bomi, reservation consultant; Naomi Chivinge, reservation consultant; Abel Alemu, regional manager Southern Africa; Mwaba Funga, reservation consultant; and Bathi Pendu, senior sales representative. From humble beginnings in 1946, the airline (part of Star Alliance) now connects 51 cities in Africa with 41 cities and major trading centres around the world. It operates 240 flights daily through its main hub of Addis Ababa and the airline has 76 aircraft in service. Photo: Shannon Van Zyl

n Dr Tanya Abrahamse has been appointed chair of the South African Tourism board. An existing board member since the new board was announced last year, she replaces Vincent Zwelibanzi Mntambo,

who has left the board. Abrahamse is also ceo of the South African National Biodiversity Institute. Her previous positions include: executive director of the TBCSA; deputy director-general of the Department of Environmental Affairs and Tourism; and chief director of President Nelson Mandela’s office.

n Ivana Naidoo has been appointed regional marketing communications manager at the Minor Hotels regional office in Johannesburg. She takes over from Michele Abraham, who has left to pursue other ventures. Ivana was previously with Ogilvy Public Relations, where she was senior public relations account manager.

24 n Wednesday May 18 2016 QUICK READ FOR DECISION-MAKERS

brought to you by eTNW and

For all trade enquiries please call British Airways 010 344 0127

TNW7430

Suppliers need to up their gameDo you feel valued by your suppliers?

Some suppliers

I used to but not anymore

Yes

No

Showdown at Indaba

that National Treasury would withhold government support until changes at the airline had been realised.

SAA has seen more changes at an executive level, with the suspension of gm of human resources, Thuli Mpshe. “The allegations against Ms Mpshe are of an extremely serious nature and warrant a proper investigation,” the airline said in a statement.

Marc Cavaliere, regional manager responsible for the Americas, has tendered his resignation and is serving notice until the end of June.

Despite problems at an

executive level, travel agents will keep supporting SAA.

“The people on the ground at SAA are incredible. They are the ones who are keeping the airline afloat,” says Rachael Penaluna, business manager of Sure Maritime Travel. She adds that what’s happening at SAA is a real tragedy but hasn’t necessarily impacted on consumer or trade confidence.

“I still channel everything through our Cape Town based account manager, who is awesome and efficient,” agrees Candice May, supply and product manager of Travelstart. “When an

airline has had seven chief executives in four years, you would think the overall trade and consumer confidence would be more affected. Unfortunately one just comes to expect this from SAA.”

“If in-fighting is impacting consumer confidence, it is most definitely not seen in our group’s support of SAA, nor in the lack of open seats when boarding an SAA flight,” says Franz Von Wielligh, gm of FlightSpecials. Franz says that although there are challenges, the relationships with people at SAA are fantastic. “They are very loyal and willing to deal with and assist the trade.” n

From page 1

Greek isles on a shoestring

Kulula holidays is offering special rates for trips to Greece and the Greek isles, priced from R17 575 per person sharing, valid July 1 - 31. Included in the offer is two nights in a three-star hotel in Athens; three nights in a three-star hotel in Mykonos; three nights in a three-star hotel in Santorini; ferry tickets for Athens-Mykonos-Santorini-Athens; and breakfast daily. Airfare and taxes plus any meals, drinks, tips, surcharges, travel insurance and other costs are excluded. Pictured here, Mosima Ramphele, product assistant for kulula holidays, explores a bit of Greece’s history. Photo: Shannon Van Zyl

New partnership opens up Africa for agentsDebbie baDham

TRAVEL Vision has enhanced its partnership with Access to Africa – a

destination management specialist for Africa – to bring agents more competitive rates and destination expertise for travel into Africa.

Faced with various challenges brought about by the current economic situation, greater emphasis has been placed on cutting costs, says gm of Access to Africa, Stephen Jordaan. The two companies have therefore identified synergies to eliminate unnecessary costs and improve their offering in the South African market. “The partnership allows us to increase volumes, which will serve as leverage in negotiating with suppliers,” he says.

The partnership, which became effective on May 1, is an extension of the joint venture, which Travel Vision and ATA entered three years ago. Dharmesh Kooverjee, ceo of Travel Vision adds that through the new venture Travel Vision will be able to offer agents an expanded and more holistic offering for both corporate and leisure travel in and around Africa. Fully-made itineraries are also available for travel within South Africa.

ATA’s network of partners and ground handlers are a significant advantage when it comes to the challenges experienced when booking travel in Africa – in West Africa in particular, says Stephen. Together, Travel Vision and ATA are now able to offer a comprehensive set of expertise from flights to hotels, transfers, private drivers and

security.In many African destinations,

payments are a particular challenge. Dharmesh notes that agents will now be able to contact someone in South Africa to handle these sorts of issues as opposed to having to go back and forth with suppliers based in another country.

Part of the expanded offering will include tapping into the leisure market as well as extending Travel Vision’s reach to Indian Ocean Island destinations, says Dharmesh. This includes the meetings, incentives, conferencing and events market.

As part of the new venture, ATA will move on site to Travel Vision’s offices and will undergo a slight change of branding to become ‘Access to Africa powered by Travel Vision’. n

UK visa applications just got easierDebbie baDham

THE UK has launched a new online application service in South Africa, “designed to provide a simple and intuitive customer experience”.

The infamous time-consuming procedure is expected to be simplified through the launch of the ‘Access UK’ online service. This is an alternative to the current Visa4UK service.

In a recent poll run by TNW’s sister publication, eTNW, travel agents indicated their frustration with the UK’s visa application service. Of the 122 agents who responded, 30% said the UK had the most admin-intensive application process.

“The UK has the longest visa application form. It

is very time consuming and asks the same thing over and again, just in different ways,” says ITC, Stuart Goodall.

The relevance of the questions posed is also an issue, says Rishen Radhella, manager of Travel Experts. “Some people were not comfortable answering certain questions, for example, the breakdown of their monthly expenses.” He adds that because time is valuable and because some clients were not familiar with the online visa application system used, agents were often the ones tasked with filling in visa forms.

“The form was too complex and people didn’t understand how to fill it in,” agrees Nicki Bramley of Giltedge Travel.

Travellers applying for a standard visitor visa, a visitor (marriage and civil partnership) visa, or a visitor (permitted paid engagement) visa are able to make use of the service, UK Visas and Immigration (UKVI) said in a statement.

Benefits of the online application service include a shorter form with questions ordered based on customer feedback. “It is dynamic and asks relevant questions based on a customer’s previous answers. What’s more, the service is available on mobile devices, enabling application forms to be completed on smartphones or tablets.” The service is accessed via the gov.uk website. Prospective applicants should make sure they click on ‘apply using the new service’.” n

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