Kenyans frequent flyers in Africa despite high ticket costs, visa hurdles

Data shows 29 percent of locals travelled by air between 2017-2019, beating the continent’s average of 26 percent.

More Kenyans travelled by air over the past two years within Africa compared to their South African and Nigeria counterparts, despite high ticket costs and difficulty in getting visas, a survey showed.

A report by US travel technology provider, Sabre Corp, showed that about 29 percent of Kenyans travelled by air between 2017 and 2019 — beating Africa’s average of 26 per cent.

About 27 percent of South Africans travelled by air over the period compared to 21 percent by Nigerians. Sabre surveyed 5,869 travellers from the three countries of which 1,500 indicated that they had travelled in the past two years.

And in what could be indicative of opportunities for airlines and tourism service providers, the survey showed that given an opportunity to travel freely across the continent, Kenyans’ preferred destinations would be South Africa, Seychelles, Madagascar, Mauritius, and Ethiopia.

In a similar situation, more South Africans would wish to travel to Kenya than their Nigerian counterparts.

According to Sabre corporation survey, conducted from October 2017 to October 2019, air travel has increased by just two per cent in the three years since its 2016 survey.

Feeling Unsafe

Sabre, a travel technology company based with largest Global Distribution Systems provider for air bookings in North America, blames high costs and difficulties getting visas by African citizens wishing to travel abroad.

Further, the study shows that other obstacles hindering travelling include feeling unsafe, difficulty in bookings, complicated travel routes, a lack of routes and no desire to travel.

Travellers showed a significant increase in their willingness to travel since its 2016 report, almost half of travellers willing to spend more than $100 (Sh10,000) on ancillary services that improve their journeys — indicating a significant retail opportunity for African airlines.

“The appetite for travel has increased significantly since our 2016 study, yet actual air travel journeys have only very slightly grown, said Dino Gelmetti, vice president Europe, Middle East and Africa, Airline Solutions at Sabre.

“This highlights the extent of the opportunity for African carriers if they are able to break down barriers to travel, and help travellers to find their cheapest or most suitable fares.”

Biggest pain points for African travellers are — 35 per cent of respondents say they often experience delayed flights, 34 per cent says it takes long to proceed to the next flight, 28 per cent says there is not enough entertainment onboard, while 24 per cent says there is not enough to do at the airport.

Travellers are also frustrated with waiting times and overall experience of checking in, the study shows.

Away from the grim picture, the positive part is that respondents said if they were able to travel more freely within the continent, they would be willing to spend 27 percent more on travel and one-two extra trips per year.

Currently, the study estimates that Africans spend an average of $1,145 (Sh114,500) per person annually, with 27 per cent increase in travel spends annually to an estimated $156,700 (Sh156,700) if allowed to travel freely.

Given a chance to choose between their local airline over foreign airline, Kenyans first would consider cheaper tickets, comfort onboard, latest technology, and pride in the country’s airline comes last.

The study also shows that there is potential growth in customers willing to spend more on ancillary services, an indication of the retail opportunity for airlines that can effectively personalise offers.

Peace of mind

Current spend per traveller on ancillaries annually stands at $98 (Sh9,800), a figure deemed could increase to $123 (Sh12,300).

More Kenyans are willing to spend more on onboard food and beverages, extra checked luggage and in-flight entertainment as opposed to Nigerians and South Africans who would prioritise on in-flight Wi-Fi and insurance.

Travellers like the convenience of online booking but value the advice and peace of mind of booking through a physical agent.

The study recommends that air travel firms ought to make travel easy and accessible — break down barriers to travel by optimising routes and pricing, and improving the shopping, booking and check-in experience.

Expand of reach to capture both leisure and business travellers is necessary.

They are also advised to leapfrog foreign carriers by operating digitally — invest in the latest digital technology to help address traveller pain points and improve the travel experience.

Airlines also ought to inspire travellers — adopt a multichannel sales strategy across both new and traditional channels such as through travel agents, websites and mobile.

The Sabre study further advises them to operate like a retailer — invest in data-harnessing technology to help understand each traveller’s individual needs, offering each person the right product in the right context at the right time.

Improved demand has solidified the performance of the aviation sector in Kenya with the International Air Travel Association (IATA) projecting that the industry’s growth is expected to double in the next two decades, a move that is expected to boost the gross domestic product (GDP) by $11.3 billion.

The growth is expected to stem from an increase in journeys made through the Jomo Kenyatta International Airport in Nairobi that is expected to grow by an additional 11.3 million passengers, creating over 449,000 jobs.

“Over the next 20 years the Kenyan market could more than double in size, resulting in an additional passenger journeys … and a $11.3 billion boost to GDP by 2037,” says IATA regional vice president Muhammad Ali Albakri.

Source: https://www.businessdailyafrica.com/datahub/Kenyans-frequent-flyers-in-Africa/3815418-5411334-view-asAMP-jv5opf/index.html?__twitter_impression=true

Message from the CEO

For most of us, 2020 is going to be a turning point. Because it’s another chance to live tomorrow over again. A chance to reset, to decide what is important and what is worth working for.

As we welcome the new decade, we also reflect on the past year.  It is clear that 2019 has presented some huge challenges for our industry. We realized a slow growth of under 2%, at the back drop of a slowing local economy and an uncertain global landscape with happenings e.g. trade wars, terrorism, political unrest, climate change and the disruption created by technology and innovations.

However, looking forward, customers continue to be committed to travelling and exploring new experiences, new markets and new opportunities. Our readiness to respond to these new trends in the market will drive the Members success.

We are devoting this year to KATA’s strategic plan implementation, growing the Members business through strategic partnerships and collaborations, while playing a key role on the Vision 2030 alignment with the KATA mandate.  Additionally, we shall focus extensively on developing business intelligence tools that will provide interactive quantitative data on industry drivers for purposes of informing the Members business strategies.

To strengthen the competitive edge for KATA in 2020, it is important that we engage together in the positioning of KATA as the most TRUSTED travel association in the industry. Consumer confidence is essential to sustaining the growth of healthy passenger bookings for our members.

The future has a way of showing up whether we ask for it or not, and it pays to be ready for it. To help KATA to prepare effectively for 2020, we need your feedback on the services we provide and areas you will be requiring additional support or facilitation. We shall be conducting a Member Survey, and we count on your proactive and honest responses, towards delivering on your expectations.

Finally, on behalf of everyone at KATA, I would like to wish you, your families and colleagues a happy, healthy and remarkable 2020.

 

Agnes Mucuha,

Chief Executive Officer,

Kenya Association of Travel Agents

 

Kenya Association of Travel Agents (KATA) announces departure of Nicanor Sabula and appointment of Agnes Mucuha as new CEO

The Kenya Association of Travel Agents (KATA) has announced the appointment of Ms. Agnes Mucuha as its new Chief Executive Officer effective 1 January 2020. Ms. Mucuha will be taking over from Mr. Nicanor Sabula who has resigned from the position to pursue other interests.

Mr. Sabula has served as CEO since 2015 and is credited for having turned around the Association into a vibrant and respectable organization in the travel and tourism industry both within and out of the country.

KATA Chairman Mr. Mohammed Wanyoike, in a statement, termed the outgoing CEO as a very progressive leader that passionately served the Association with dedication and brought positive energy and optimism in the travel trade. “His vision, drive and focus on results have materially strengthened KATA. It is during his tenure that the Association revamped its membership services, professionalized its secretariat staff and purchased an office space,” he added. I wish on behalf of the Board and the entire membership of KATA to thank him sincerely and wish him success in his future endeavors.

In announcing the appointment of Ms. Mucuha, Mr. Wanyoike noted that she was assuming the position at a time when the travel industry was going through significant changes and expressed confidence that she would be able to steer the organization through them. “Agnes brings in a wealth of experience having previously worked in the hospitality and aviation industry. She has practical knowledge and deep understanding of the industry which coupled with strong networks with industry stakeholders positions her well to lead the organization into the next phase of growth.” 

Previously, Ms. Mucuha worked at Sarova Panafric Hotel, Fairmont Hotels and Resorts and Qatar Airways. She is vastly experienced in Sales and Marketing and her immediate past responsibility was working as the Operations Director at a family-owned business. 

How countries are aborting Africa open skies ambition

Africa’s quest to achieve open skies is increasingly becoming a pipe dream as countries move to protect their airlines. This is despite efforts by different agencies to create a seamless airspace.

With open skies plan now a distant dream, passengers will continue to pay heavily for air ticket as countries move to protect their airspace in order to cushion their local carriers from competition.

The International Air Transport Association (IATA) says protection of national airlines is the reason Africa airfares are sky-high

Kenya and Tanzania are the latest countries to deny other airlines the rights to fly to a third country other than their hub in what appears to be a deliberate move to protect their domestic carriers.

Kenya Civil Aviation Authority (KCAA) in a gazette notice December last year failed to grant permission to Saudi Arabian Airlines and Ethiopian Airlines who had sought permission to vary their licences.

Saudi Airlines wanted variation of its existing licence to include the routes Jeddah/Nairobi/Maastricht and Jeddah/Nairobi/Liege. However, this request was not granted.

On the other hand, Ethiopian Airlines, the fiercest competitor of the Kenya Airways, wanted variation of its existing air service licence to include aircraft type B737F, a request which was also denied.

KCAA Director General Gilbert Kibe could not reveal the reasons why the carriers were denied permission, only saying “that is a regulator’s decision and I cannot comment on it.”

In Tanzania, the country’s aviation regulator has denied low budget carrier Fastjet permit to re-introduce flights to the country.

The decision to turn down Fastjet’s application was reached last year by the Tanzania Civil Aviation Authority board last year December.

The low-cost carrier had been operating in Tanzania before it was liquidated last year after failing to meet its debt obligation.

Before its collapse, the airline had been offering low prices and perhaps its presence would have impacted negatively on the earnings of the recently revived air Tanzania.

In an interview with Shipping& Logistics, recently, regional vice president of IATA for Africa and the Middle East, Muhammad Ali Albakri said the reason why air tickets have remained high in Africa is because of lack of a common airspace.

Mr Albakri urged African countries to fast-track the agreements that have been signed before, and which are aimed at introducing a single airspace to enable passengers enjoy the benefits of reduced cost of travel. “Cost of air travel remains high in Africa because of lack of open skies as each country tries to protect their airlines. This eventually affects the passengers,” said Mr Albakri.

African nations, Mr Albakri noted, are hurting their economies by protecting their national carriers with reluctance in implementing open skies policy.

“With open skies policy, it means that more airlines will fly and the cost of air ticket will be affordable. This means that countries’ economies will benefit from this,” he said.

In 1988, a number of African countries came together with a view of creating an open airspace for ease of movement and boost trade on the continent in what was called Yamoussoukro Declaration.

In 2000, the decision was endorsed by heads of state and government at the Organisation of African Unity, — now African Union— and became fully binding in 2002.

However, to date, not much has been done in regard to adoption of the open skies policy by member states as 14 nations have not ratified the treaty.

African nations are protecting their airlines from stiff competition, putting in doubt whether the dream of open skies policy will be achieved.

Source: https://www.businessdailyafrica.com/corporate/shipping/How-countries-are-aborting-Africa/4003122-5410040-8g5fgbz/index.html

 

 

AFAMCO appoints Nic Sabula as Managing Director

AFAMCO, the premier Association Management Company (AMC) on the African Continent has announced the appointment of former CEO of the Kenya Association of Travel Agents (KATA) as its Managing Director.

Nicanor Sabula is a seasoned African association executive with more than a decade of experience within the global nonprofit space as well as a known figure in Kenya’s travel and tourism industry.

“It is with great pleasure that we announce the addition of Nicanor to the AFAMCO team,” said Jeffers Miruka, a principle of AFAMCO. “He brings great skill to the company, having developed lasting relationships with volunteers and associations while ensuring the attainment of their goals, regardless of the industry or membership represented. My global partner and I are confident that he will support the growing professional and trade associations and nonprofit organizations throughout Africa.”

Sabula has been in the nonprofit sector both as a volunteer and as a staff member, working and serving in senior leadership positions of national and international membership organizations.

“Nicanor impressed the AFAMCO partners with his evident ability to navigate the African nonprofit association space, on a global scale,” said Gregg H. Talley, FASAE, CAE. “Whether designing new projects, managing voluntary Boards, leading teams of varying sizes or handling the many other aspects of organizations and their needs, he will definitely make this role his own, helping AFAMCO’s expanding list of African association client partners to achieve their goals.”

In his role as AFAMCO’s Managing Director, Sabula will provide strategic direction, executive leadership and oversight of the organization’s operations. He will also be responsible for strategy formulation, stakeholders’ engagement, financialmanagement, revenue generation and client service delivery.

“I am pleased to be joining the team at AFAMCO to provide leadership in a field that I am very passionate about-Association management- and I am looking forward to helping African associations grow and fully exploit their potential,”said Sabula on his appointment.

Nicanor has since stepped down from his role as the Chief Executive Officer at Kenya Association

of Travel Agents (KATA), a membership-based organization that represents the interests of travel agents in Kenya. While at KATA, he has been credited for turning around the organization into one of the leading trade association in the travel and tourism industry in Africa. His stint saw the membership of the Association grow by a 35% and non-dues revenues grow two-fold. He also oversaw the recent purchase of KATA’s new office premises and the transition of the organization legal status from a Society to a Company limited by guarantee.

Previously, Nicanor has served as the Chief Executive Officer of the East Africa Association of Grantmakers (EAAG) and the Association of Professional Societies in East Africa (APSEA).

 

About AFAMCO

African Association Management Company (AFAMCO) was jointly founded in 2018 by Gregg H. Talley, FASAE, CAE, President and CEO of Talley Management Group, Inc. (TMG), and African association professional Jeffers Miruka of Kenya. AFAMCO provides associations with global experience, local connections, education and opportunity on the African Continent, while enabling growth for the organizations each company represents. AFAMCO, headquartered in Kenya, also assists international, national and regional associations that want to establish themselves in Africa.

Source: https://voyagesafriq.com/2020/01/06/afamco-appoints-nic-sabula-as-managing-director/

UAE launches multi-entry tourist visas for all

The United Arab Emirates on Monday introduced a multiple-entry visa scheme valid for five years for all nationalities, with the aim of turning the Gulf state into a tourism hub.

“#UAE Cabinet chaired by @HHShkMohd, approves new amendment for tourist visas in #UAE,” the government of Dubai Media Office tweeted, referring to Sheikh Mohammed bin Rashid Al Maktoum, the UAE prime minister and ruler of Dubai.

“The new tourist visa will be valid for 5 years and can be used for multiple entries and is open for all nationalities,” the Dubai Media Office wrote.

Sheikh Maktoum said on Twitter that the UAE currently attracts 21 million tourists a year.

Travelers from Africa, some South American countries, Arab states outside the Gulf, and European states from outside the European Union and former Soviet Union previously needed visas.

In October, Dubai is to host Expo 2020, a big-budget global trade fair.

Source: https://www.thejakartapost.com/travel/2020/01/07/uae-launches-multi-entry-tourist-visas-for-all.html

 

Nigeria rolls out visas on arrival to Africans

Nigeria has introduced visas on arrival to all African travellers, dropping the requirement that they apply in advance, effective January 2020.
According to Inside Travel, President Muhammadu Buhari announced the move on 12 December on Twitter during the Aswan Forum for Sustainable Peace and Development inaugural meeting in Egypt. “Nigeria is committed to supporting the free movement of Africans within Africa. We will commence the issuance of visas at the point of entry into Nigeria, to all persons holding passports of African countries.”

As reported by Traveller 24, ease of access for Africans across the continent has also been on the agenda for SA, as the Department of Home Affairs (DHA) began testing the electronic visa (e-visa) applications for Kenya, ahead of the festive season at the beginning of December. An e-visa pilot with Nigeria is set to begin in January 2020.

Once fully rolled-out, prospective visitors will be able to apply online for visas, at home, office or place of work.

The adoption of visa on arrival by African countries is in line with the Free Movement of Persons and the African Passport policy adopted by the African Union in 2016.

Source: https://www.bizcommunity.africa/Article/410/747/199434.html

 

Millennials need travel advisors

The majority of millennials find it more difficult to book with an online travel agency than to shop online for other products and services, according to a recent Travelport survey. The survey found that 59% of millennial respondents found OTAs harder to navigate than other online shopping.

That, coupled with some other findings — like that most travelers surveyed found complicated rules and terms and conditions around cancellations or changes frustrating — is good news for travel advisors.

“It’s an indication of the fact that, generally, you have a track of when complexity goes up in any purchase, the need for human intervention arises,” said Simon Ferguson, president and managing director of the Americas for Travelport.

Travel is no different, Ferguson said. The more complex the product, the more likely the purchaser wants to interact with a human prior to buying.

Take, for instance, cruising: Cruises are mostly still booked through advisors, because they are complex products, he said.

“Whenever we see the complexity go up, we see the need for human intervention coming in, and that means travel advisors are certainly getting involved,” Ferguson said.

He believes younger generations are finding it harder to book travel on OTAs compared to other online shopping experiences at least in part because they’re comparing it to purchases made on, for instance, Amazon.

Those are single, nonperishable goods. It’s not a complex purchase.

“Travel is a complex item, and it is just harder to display,” Ferguson said. “This is a challenge we have in our platform, displaying different types of rooms [and other differentiating factors].”

Ferguson posited that consumers, especially younger ones, are used to things like one-click ordering that just don’t exist in travel.

He also said he believes younger generations are generally more adventurous than the generations before them, preferring more complicated trips, also good news for advisors.

Travelport’s survey indicates that younger generations often turn to travel professionals for recommendations (50% of millennials, 25% of Generation Z and 20% of Generation X respondents indicated that’s the case).

The survey did include one statistic that seems inconsistent with the experience of many travel agencies and their client base: Only 8% of baby boomers said they always turn to travel professionals for recommendations.

Ferguson pointed out that the survey asked consumers specifically if they always turn to travel professionals; boomers might be more likely to do the same things repeatedly and already have favorite providers they turn to. Time is also likely a factor in that particular statistic, he said: Retired people, many of whom are boomers, have more time on their hands to research travel themselves.

Regardless, though, Ferguson said the numbers indicate travel advisors should feel more confident about going after a younger clientele, because they’re interested in working with travel professionals. To do that, he suggested thinking about the people an agency employs and looking for a younger demographic. He also encouraged agencies to consider bringing on interns that might have a future in the industry.

“There is this perception a little bit that the younger generation, the ‘silent travelers,’ as they’re called, they don’t want to talk to anyone,” Ferguson said. “They just want to do everything on their phones. Well, clearly, it’s not true.”

Source: https://www.travelweekly.com/Travel-News/Travel-Agent-Issues/Insights/Millennials-need-travel-advisors

IATA Management Developments

The International Air Transport Association (IATA) announced changes to its Strategic Leadership Team and corporate structure. The changes will enable IATA to better serve its customers and stakeholders as the association implements a strategy focusing on its core competencies of standard-setting and adoption, advocacy, and services and products.

  • Effective 1 January 2020, Aleks Popovich (currently Senior Vice President for Financial and Distribution Services) will lead a newly formed Customer and Business Services (CBS) division. Customer and Business Services will manage the operations of IATA’s industry settlement systems, central sales and marketing, and its customer service.
  • Effective 31 December 2019, Mark Hubble, IATA’s Senior Vice President for Aviation Solutions, will retire from IATA after 16 years of service. The Marketing and Commercial Services division which he led will be dissolved, with its functions largely incorporated in the newly formed Customer and Business Services division.
  • Effective 1 January 2020 a newly formed Financial, Distribution and Data Services (FDDS) division will group the association’s work on digital transformation, efficient industry processes, product differentiation and business intelligence. This division will replace the former Financial and Distribution Services division. Popovich will lead FDDS on an interim basis until a recruitment process is completed.
  • Progressively, some 50 positions will be added to IATA’s advocacy capabilities. Many of these will be within the Member and External Relations division (MER). MER is currently being led on an ad interim basis by Brian Pearce, IATA’s Chief Economist, following the retirement earlier this year of Paul Steele as Senior Vice President Member and External Relations.

Director General and CEO

IATA also announced that its Board of Governors will recommend an extension of the term of office of Alexandre de Juniac, IATA’s Director General and CEO, to the association’s Annual General Meeting which will take place in Amsterdam 22-23 June 2020. De Juniac’s current term is due to end in August 2020.

Source: https://www.iata.org/en/pressroom/pr/2019-12-17-01/

 

Fitness Holidays: A New Wellness Trend

Fitness holidays are fast catching on in Kenya as people inspired to test their endurance book trips with an exercise element. They travel to do boot camps, cycle in the wild, do yoga, triathlons or marathons.

Running holidays are among the most common, especially with establishment of groups like ‘The Medal hunters’ which plan weekend runs. Also, more Kenyans are taking up running to train for Majors, where they run six marathons across the world.

Jedidah Wairimu, an avid runner, always plans short touring excursions shortly after doing her half marathons.

“I just did Tigoni Half Marathon a few weeks ago, and I feel that the sight of the tea bushes as I ran was holiday enough for me,” says the businesswoman.

She started running to lose weight then the habit stuck. She then enrolled for Kilimanjaro Marathon which she participated in with a group of friends. She has several half marathons under her belt, with her most memorable one being The Big Falls Run.

 “I recently went for Victoria Falls Run in Zimbabwe with Bucketlist Adventures. After running the half marathon, we visited the falls and even toured neighbouring Botswana. I have also done the Rak, a half marathon in Dubai, Kigali Peace Marathon and other local races that help me tour Kenya. I was in Shompole in Magadi earlier in the year and in Iten just a few weeks ago,” says the mother-of-two.

Jedidah believes that anyone can run or take up their favourite activity and incorporate it into their life such that it does not feel like a burden.

“I am planning to run five half marathons this year starting with one in the Czech Republic and another in Portugal. I therefore have to plan to ensure that my business and my personal responsibilities as a wife and mother are not hurt but enriched by my fitness activities. I am hoping to see several tourist sites after the runs too,” she says.

As to anyone who would like to hop onto the trend, Jedidah advises that one should take it at their own pace. She is a firm believer that Rome was not built in a day, an adage that rings true in fitness.

Dance holidays are also becoming common. Jose Rogarow, known for his roga roga dance exercise moves, is a big advocate of fitness holidays. He is a rhumba instructor who organises holidays centred on dance and outdoor workouts. Sandra Nakweya never misses a rhumba retreat.

“I honestly love adventure and dancing so much. Marrying the two for me was a genius idea. I have gone to Sagana for the rhumba retreat, to Uganda and even to Mombasa. Each location feels different and brings with it its own scenery,” Sandra says.

“There is always an itinerary so you can pick which fitness activities to do or which ones to skip if you feel tuckered out from the previous session. You can then proceed to bungee jump or swim in the ocean if you so wish.”

Dan Odemba, a business man and rhumba enthusiast also recently hopped onto the fitness holiday bus.

 “I enjoy rhumba as it is fun and cardio and always manage to squeeze in time to do it at least twice a week. I therefore do not feel that holiday and fitness have to be two mutually exclusive. I went for a rhumba retreat last April to Kampala and in October to Arusha. I feel like fitness and going on holiday is not as arduous as people think it is and is quite enjoyable,” Dan says.

Monica Fauth, the founder of Lamu Yoga Festival, a weeklong fitness retreat says fitness and wellness is becoming a lifestyle.

“I feel like people should treat themselves with kindness. Wherever you are at on your fitness journey, celebrate it. If it is doing 10 minutes of yoga daily and indulging in your favourite delicacies, that is fine. Wellness is a journey. It is true that we are what we eat, but it all starts with recognising that and slowly working your way to where you envision yourself. Find what wellness means to you and nurture that,” Monica sagely advises.

Source: https://www.businessdailyafrica.com/lifestyle/fitness/A-New-Wellness-Trend-/4258372-5407502-4xxgws/index.html