Hotels lose their competitive edge amid the rise of Airbnbs

The exponential growth of Airbnb in major towns around the country is shaking up the Kenyan hospitality industry as it devours a share of traditional hotels’ revenues.

The proliferation of the service has also seen a significant drop in room prices and occupancy rates, a spot check by Weekend in Business shows.

Over the past 10 years, Airbnb has grown into the world’s largest online marketplace for accommodation and now qualifies as a disruptive innovation.

And just as in the rest of the world, the hospitality industry in Kenya is slowly experiencing a shift as hotels and lodgings lose out to the rising popularity of Airbnb services.

A spot check shows that more landlords who own holiday homes within Nairobi, Kisumu, Nakuru, Naivasha, Mombasa, Nyeri, and Nanyuki towns, among others, have turned to the Airbnb platform and are reaping huge returns.

Since its launch in 2008, Airbnb has become popular among travellers seeking affordable accommodation, convenient location and household amenities.

In Nyeri County, for instance, iconic hotels including the Outspan, The White Rhino, Treetops and the Greenhill Hotel, which offer traditional accommodation, are on the verge of closing down as Airbnbs eat into their market share.

According to the Nyeri-based owner of Hampton’s Apartment, Linet Murage, holiday homes have become popular, threatening the existence of traditional hotels.

She says Airbnbs have an edge over these hotels in that prices are negotiable, allowing clients to stay for extended periods. “I decided to venture into the Airbnb business after noting that holiday homes were in high demand in Nyeri,” says Ms Murage.

She ventured into the business in 2021 by converting her house into a holiday home to compete with surrounding hotels.

“It was not an easy road. In 2019, I was a casual labourer but started saving from the little I earned. I invested the savings in furnishing and decorating my house. After the pandemic, I discovered that those looking for accommodation had started shifting to other towns, where there were holiday homes,” says Ms Murage.

She later rented the house next door after her neighbour moved out and converted it into an Airbnb too. Studies show the Airbnb business model has flourished for many reasons.

Customers like having access to an enormous supply of properties and rooms at a wide variety of prices, often more competitive than hotels, and Airbnb collects commissions on every booking.

In addition, players say, the company does not follow conventional rules. “Airbnb does not ensure the security of guests, it’s not taxed in some jurisdictions, and it has the flexibility to add new supply because of a lack of regulation,” says one study into the business model.

This has benefitted entrepreneurs like Ms Murage, who is capitalising on the boom.

The beauty of the Airbnb concept is that one does not have to legally own the building, with many operators hiring out rented space, which they furnish to meet the required standards.

And with guests increasingly opting to stay in Airbnb accommodations, competition between traditional hotels and Airbnb is boiling over.

“The industry has become very competitive. To offer the best customer service, I offer breakfast, laundry, toiletries and a chef on request. If a client gets the best service, they will refer you to other clients. I only charge Sh3,000 per night and allow only two visitors in one room,” she says.

Cause disruption

Ms Murage sees holiday homes as the future of accommodation and dreams of expanding her business.

And she has every reason to be optimistic. A recent study showed that the rise in popularity of Airbnb was always going to cause disruption to the established Kenyan hotel industry, much in the same way that Uber upset traditional cab companies.

This disruption can be understood as part of a wider move towards disruptive technologies and online community marketplaces, experts say.

The desire for homeowners to earn an income by sharing their homes has unlocked a hitherto underutilised asset through the Airbnb platform.

“Many hotels offer very poor services, while an Airbnb offers clients a totally different experience. Home sharing platforms are likely to gain more ground over time as travellers become increasingly aware of their benefits,” says Ms Murage.

She added that landlords who own holiday homes are ready to comply with the Kenya Revenue Authority (KRA) and ensure their businesses are registered.

“People are embracing Airbnb. It is a good business to venture into, let all those willing to join get their business registered to avoid giving room to conmen,” she said.

James Mwangi, a lodging owner in Nyeri, said since the launch of Airbnb in the town, his business has taken a considerable hit. “We used to get many clients, but they now prefer to book Airbnbs located outside the town for a quiet night’s rest, leaving our rooms empty,” says Mr Mwangi.

He now plans to convert his rooms into Airbnbs to stay in business. One of the more obvious ways hotels have been responding to the competitive threat of Airbnb has been via their pricing strategies.

While it’s not ideal, it’s still preferable for a hotel to have some minimal level of occupancy rates at discounted prices compared to managing an empty hotel.

Hotels are also listing themselves on the Airbnb platforms to tap short-term clients.

They are also leveraging amenities like swimming pools, steam rooms, gyms, ample parking and adequate security, which Airbnbs lack, to counter the new wave of competition from the platform.

Source: Zurulink

Forum on tourism, creatives, cultural industries to launch at ATLF 2023 in Gaborone

The emergence of creative tourism reflects the growing integration between tourism and different place making strategies, including the promotion of the creative industries.

It is against this background that the African Continental Free Trade Area (AfCFTA) is partnering with Africa Tourism Partners (ATP) to host the inaugural forum on tourism, creatives, and cultural industries.

The launch of the forum will take place during the Africa Tourism Leadership Forum & Awards (ATLF) scheduled for October 4-6, 2023, at the Gaborone International Conference Centre, Botswana.

Following the development, Botswana is gearing up for the hosting of the inaugural AfCFTA Forum on Tourism, Creatives, and Cultural Industries.

The forum seeks to involve key Pan-African and intra-Africa travel and tourism stakeholders and related sectors to harness the value of the continent’s creative and cultural assets in order to stimulate demand for intra-Africa travel. It will also highlight and harness emerging trade opportunities with regards to intra-Africa travel and tourism investments sectors, and will be used to launch the newly established Africa Tourism Private Sector Alliance (ATPSA), an apex body for Africa travel and tourism private sector.

Moreover, the objective of the forum is to use the body to leverage the opportunities under the AfCFTA. Themed, “Shifting demand dynamics to shape the future of intra-Africa Travel”, the 2023 ATLF & Awards will present distinct networking avenues, business opportunities and learning programmes relating to intra-Africa travel, franchising, creative industries and culture, tourism investment, MICE (Meetings, Incentives, Conferences and Events), digitalisation and more. The forum discussions will be led by renowned global experts, ministers, CEOs, business executives, policy-makers, entrepreneurs, academics, researchers, practitioners and DMCs.

As well, hotels, lodges, guest houses, B&Bs, DMCs, restaurants, tour operators, travel agents, online travel agents, marketing agencies, NTOs, DMOs, associations, women associations, youth association, entrepreneurs and all key industry stakeholders are set to benefit from high level B2B sessions, tourism entrepreneurship masterclass, intra-Africa travel & tourism roadshow & exhibition starting on October 3, 2023. The ATLF & Awards 2023 will also feature destination showcase & presentations from all participating Africa member states as a way of promoting destinations to a wide spectrum of global participants.

Excited to host the 6th annual ATLF, Botswana has expressed its readiness to enthral the over 500 physical delegates, including the media and hosted buyers from across the globe at the Gaborone International Convention Centre, Grand Palm, Gaborone, the country’s capita; city and across other attractions.

The ATP is a UNWTO-affiliated award-winning Pan-African tourism development and strategic destination marketing advisory firm. The firm specializes in tourism and MICE strategy formulation, investment facilitation and promotion, research, master planning and destination market development and capacity building across Africa’s travel, tourism, hospitality, aviation and golf sub-industries.

On the other hand, the African Continental Free Trade Area (AfCFTA) is a free trade area encompassing most of Africa. It was established in 2018 by the African Continental Free Trade Agreement, which has 43 parties and another 11 signatories, making it the largest free-trade area by number of member states, after the World Trade Organization, and the largest in population and geographic size, spanning 1.3 billion people across the world’s second largest continent.

Source:   Business Day

President Ruto Says Investment in Cultural Tourism Will Expand Economic Opportunities

The Government is keen on promoting cultural tourism to generate more tourism revenues.

President William Ruto said the Government will exploit Kenya’s rich cultural heritage to diversify tourist attractions.

He argued that tourism is no longer just about sights and sounds but also about the people.

He noted that the Government will partner with Counties to support cultural preservation initiatives.

He cited the provision of funds for Maa Cultural Festival that will be celebrated annually.

“Today’s tourist is drawn to authentic cultural experiences; therefore, today’s tourism must meet a higher standard,” he said.

He made the remarks on Tuesday during the Maasai Cultural Festival at Sekenanie Gate, Narok County.

He was accompanied by Cabinet Secretaries Peninah Malonza (Tourism) and Soipan Tuya (Environment), Governors Patrick ole Ntutu (Narok), Joseph Lenku (Kajiado) and Jonathan Lati Leliliit (Samburu) and a host MPs.

He noted that the United Nations Educational, Scientific and Cultural Organisation has identified induction of boys ahead of initiation, shaving of morans and meat-eating ceremony that marks entry into adulthood as Intangible Cultural Items.

“I extend my gratitude to the Maasai community for their unwavering commitment to the preservation of Maa traditions and culture. Your resilience has given Kenya a global identity and enriched our nation’s cultural mosaic,” he said.

The President said Government will start ceding 50 percent of revenues from national parks to host communities as part of efforts to transform their lives.

He said the move was aimed at benefiting host communities, through projects aimed at uplifting their lives.

“I have directed that all revenues from our national parks and game reserves should be divided equally between the host counties and the national government,” he said.

Source: CapitalFm News

Uganda, Kenya Seek to Complement Each Other to Maximize Tourism Potential

Uganda and Kenya have announced dates for the second edition of the Uganda-Kenya coast tourism conference set for November this year.

Speaking on Tuesday, the state minister for Foreign Affairs, John Mulimba said the conference is yet another opportunity for both countries to seek to maximize the tourism potential between them.

“Uganda possesses some unique tourism products that can be used to make it one of the world’s leading tourist destinations. We possess some of the rarest primates in the world, Namugongo Martyrs shrines, source of River Nile and the rich culture, among others,” Mulimba said.

“Kenya is Uganda’s leading source market and last year alone, over 370,000 Kenyans visited Uganda for various reasons. Also, Uganda is Kenya’s second leading source market after the USA. Just last year over 150,000 Ugandans visited Kenya and out of those 22,000 visited the Kenya Coast.”

He said the conference is yet another opportunity for both countries to increase their tourism potential.

“The increasing number of tourists between Uganda and Kenya Coast has been aided by the improved air connection between Entebbe and Mombasa. Currently, Uganda Airlines operates three weekly direct flights between Entebbe and Mombasa. This is complimented by daily flights by Kenya Airways through Nairobi. Moreover, it is also possible to travel between both countries by road, using national identity cards. Thus, it is possible to leverage on the improved connection to grow the tourism between Uganda and Kenya coast.”

Uganda to tap into Kenyan coast

Kenya’s coastal tourism is booming with thousands of tourists going to the country enjoy various tourism products including the historical Fort Jesus, beaches, resorts, marine national parks, elephant sanctuary, the dolphins, slave caves, sacred forests, Vasco Da Gama Fort, white sands, coral reefs, diving and snorkeling among others.

However, according to Amb.Paul Mukumbya, Uganda’s Consulate General in Mombasa, Uganda seeks to tap into these big numbers.

He insisted that each of these countries needs each other.

“The Kenyan coast is one of the biggest hubs for tourism on the continent mainly because of the biggest beaches. On the other side, in Uganda we have products that are not at the Kenyan coast like the Mountain Gorillas, Chimpanzees, adventure tourism on River Nile, a special product called the Kampala nightlife, cultural tourism and many others that Kenya doesn’t have. By joining synergies, we can tap into each other’s tourism numbers,” Mukumbya said.

“The concept we are working with is creating synergies and working through complementarity at the Kenyan coast and Uganda. We want to see that if someone comes to tour the Kenyan coast, on the same itinerary, they can visit Uganda and look at the beauty we have and the vice versa as those who come to Uganda can visit the Kenyan coast.”

According to Stephen Asiimwe, the Executive Director of Private Sector Foundation Uganda (PSFU) by tapping into the tourism numbers to Kenya’s coast, Uganda stands a chance to also grow its tourism numbers.

He added that Uganda is well placed to tap into these numbers.

“The thousands of tourists to the Kenyan coast have money and time. They have done Zanzibar a hundred of times, Serengeti and many other places but they don’t know what is happening this side (Uganda). I can bet you if we can get them here, they can spend the money as they enjoy what Uganda has to offer,” Asiimwe said.

The second Uganda-Kenya coast tourism conference will be held between November 13 and 14 at Neptune Paradise Beach Resort and Spa in Diani, Kwale County in Kenya under the theme, “Consolidating Networks, Synergies, and Diversity to Maximize the tourism potential between Uganda and Kenya Coastal Region”.

The conference will also have tourism excursions, and farm trip.

Source: All Africa

Kenya’s tourism market makes an impressive comeback

  • In the first half of 2023, Kenya’s tourism sector experienced an impressive 31% increase in earnings compared to the same period in the previous year.  
  • The industry’s revenue growth was propelled by a 32% increase in tourist visits, with the number rising from 642,861 to 847,810. 
  • Leading markets for arrivals included the US, Uganda, Tanzania, the UK, and India, while both domestic tourism and visits for business, conferences, and meetings also contributed to the positive trend.

As a result of the continuous global recovery, the tourism industry in Kenya saw a 31% increase in earnings in the first half of the year through June compared to the same time in 2022.

In the last six months, the tourism industry booked Ksh152.6 billion ($1.06 billion), up from Ksh116.2 billion ($807.79 million) in 2022, according to data from the Kenya Tourism Board (KTB).

The revenues increased as tourist visits increased by 32%, from 642,861 to 847,810 in the same time in 2022. One of COVID-19’s hardest-hit industries was international travel and tourism, which is expected to recover to pre-pandemic levels in 2023.

“The tourism sector in Kenya experienced a remarkable upswing in international arrivals leading to a positive effect on the country’s tourism receipts,” said the KTB in its report. “This performance is a 92 percent recovery when compared to the 2019 performance of 929,814 arrivals same period. Of significance is that June 2023 arrivals closed at 168,051. This is a growth of one percent when compared to 166,692,” the report adds.

Holidays continued to be the primary reason for entry closure throughout the study period, accounting for 338,509 (39.9%) of all entries. Visits for business, conferences, and meetings came in second with 226,908 arrivals, an increase of 26.8%, while visits to family and friends came in third with 213,417 arrivals, an increase of 25.2 percent.

44,620 (5.3%) people used the transit system. Other goals included sports, medical, education, and religion, totaling 24,356, a gain of 2.9%.

According to the data, the US (118,480), Uganda (89,968), Tanzania (69,777), the UK (65,563), and India (42,805) are the top five countries for overseas arrivals.

Some important markets have outperformed 2019 (January–June) performance, including the US (up 7% from 110,743 to 118,480), Italy (up 15.6% from 22,017 to 25,451), Germany (up 4% from 32,142 to 33,418), Rwanda (up 34.5% from 18,845 to 25,422), and Ethiopia (up 66.1%).

The Netherlands increased by 6.9%, from 19,123 to 20,442, Nigeria increased by 7.3%, from 15,307 to 16,424, Ghana increased by 28.1%, from 5,137 to 6,583, and Russia increased by 40.8 %, from 2,514 to 3,539.

Domestic tourism increased throughout the time period under study, with bed nights concluding the year 2023 (January–June) at 2.3 million, up from 2.02 million. This represents a 16 percent gain. The Easter holidays and business travel, respectively, are to blame for the best-performing months of April and June.

Source: Business Insider Africa

Africa banks on visa-free travel to support tourism

Africa’s tourism is having a moment, two years after the sector was hit hard by the Covid-19 pandemic.

Some countries are pushing for an end to intra-Africa visas, while others are revamping memorials, putting up new archeological sites and introducing longer visa tenures to prop up tourism numbers.

By end of the first quarter of 2023, international arrivals across Africa had hit 88 per cent of pre-pandemic levels, with North Africa surpassing 2019 levels by 4 per cent in the same period, according to United Nations World Tourism Organisation data.

Kenya is aggressively campaigning for African integration, headlined by the removal of visa restrictions for citizens from other African countries travelling into the country for business.

Over the next five years, the country has set an ambitious target to boost its tourism numbers to 10 million, about five times its best-ever arrivals number recorded in 2019.

New leadership at the Kenya Tourism Board, a government agency mandated with marketing the destination, confirmed these targets.

“The new board is starting its assignment when the tourism sector is quickly recovering from the impact of the Covid-19 pandemic that put tourism on its knees,” KTB chairperson Francis Gichaba said in statement.

“Focus will be on the quick-wins to bolster the arrivals.”

Kenya’s rate of tourism recovery in terms of arrival numbers is already 72.4 per cent of pre-pandemic figures, compared to a global recovery figure of 63 per cent, according to Kenya’s 2022 annual tourism performance report.

Since May, Kenya has announced the removal of visa restrictions for citizens from the Democratic Republic of Congo, Djibouti and the Comoros.

In February, the governments of Botswana and Namibia signed an agreement allowing citizens of the two Southern African countries to cross each other’s borders without passports.

Botswana has also initiated a discussion with Zimbabwe to scrap passport requirements between their countries. Other countries that have recently initiated talks to remove visa barriers include the DRC and Uganda.

Memorial Tourism

Memorial tourism is also gaining traction across Africa as governments invest in restoring cultural and historical sites.

Ghana wants to see a million tourists every year visiting the newly-refurbished Kwame Nkrumah Memorial Park. As the first African nation to gain Independence from colonial rule, this cultural heritage site has huge significance for all people of African descent, and the area had been closed for renovations since 2015.

Among the new attractions are a presidential library and Freedom Walk.

“The burial site of Kwame Nkrumah must be appropriate to his status as the outstanding pan-Africanist of this generation and for his exceptional contribution to the liberation of Africa from colonialism and imperialism,” Ghanaian President Nana Akufo-Addo said during the park’s reopening.

The country now has plans to build more historical parks and museums.

In Benin, a vast memorial and tourist complex is under construction at the coastal town of Ouidah. The town was once one of the most active slave trading ports in Africa. The route where slaves were taken to ships is lined with monuments that lead to a memorial arch, The Door of No Return.

Work on the modernisation of the area began in 2020 and will entail historical reconstruction of a slave ship, gardens of remembrance and recollection, an artisanal village and a hotel. The project is expected to position the country as a major destination for tourists from the diaspora.

In Egypt, a number of archaeological museums, including one of the oldest, the Graeco-Roman Museum, are getting a facelift and modern fixtures as the country ramps up marketing of its “civilisation journey”.

The country’s newest project, the Grand Egyptian Museum, is possible by the end of 2023, according to independent information site, grandegyptianmuseum.org. It is expected to be the largest archaeological museum complex in the world, hosting more than 100,000 artefacts.

The introduction of a multi-entry visa valid for five years, the extension of some tourist visas to three months and cashless payments at museums, are just some of the measures being taken to drive up Egypt’s arrival numbers and encourage longer stays.

Between January and June, Egypt recorded over 7 million tourists arrivals, and the country projects the number to hit 15 million by year-end, against 11 million recorded in 2022.

Source: The star

Africa’s tourism industry on the rebound

Following the COVID-19 pandemic crisis that left the tourism industry across the continent on the brink of collapse, the sector is said to be on the rebound, according to the United Nations’ World Tourism Organization (UNWTO).

The latest UNWTO data shows international arrivals across Africa were back to 88% of pre-pandemic levels at the end of the first quarter of this year with North Africa performing particularly strongly. In this particular sub-region, arrivals were 4% higher than the pre-pandemic levels of 2019 in the same period.

At the global level, international tourism receipts reached US$1 billion in 2022, a 50% growth in real terms compared to 2021. Among African destinations with available data, Morocco and Mauritius notably exceeded their 2019 tourism receipts in the first quarter of 2023.

These findings were shared at a recent high-level meeting in Mauritius which was convened from July 26-28 by the UNWTO. The 66th regional meeting which was held under the theme: ‘Rethinking Tourism in Africa’ provided ministers and senior officials from the continent a platform to share knowledge, ideas, and good practices for building a resilient tourism sector.

The UNWTO welcomed delegations from 33 countries, including 22 tourism ministers, two deputy ministers and four ambassadors to the meeting, the most important annual event for the region’s member states.

Zurab Pololikashvili, the Secretary General of the UNWTO told high-ranking officials that there is need to rethink and re-align the sector’s role as a driver of development and opportunity across the continent.

“Our vision for African tourism is also one of strong governance, more education and more and better jobs. To achieve it, we aim to promote innovation, advocate for Brand Africa, facilitate travel, and unlock growth through investment and public-private partnerships,” he said.

Pololikashvili said the UNWTO continues to lead tourism’s shift to greater sustainability, recognizing the impact of extreme weather events, including the potential for heat waves to cut off the lifeline the sector offers for destinations worldwide.

At the same meeting, Patricia Scotland, the Secretary General of the Commonwealth, a voluntary association of 56 independent but, mainly former British colonies, called for more collaboration than ever before, if a resilient tourism sector that works for people, prosperity and the planet is to be harnessed. She highlighted the intricate vulnerability of the tourism industry and the collective action needed to address it.

The meeting in Mauritius comes at a time when the global tourism industry is on the path to recovery after suffering a crushing blow from the COVID-19 pandemic. In 2020 alone, the sector faced a severe setback with 1.1 billion fewer international tourist arrivals and the loss of over 100 million jobs worldwide.

“Despite a strong recovery in 2022, to almost two-thirds of pre-pandemic levels, the world today is tightly bound by a tangled knot of crises spanning global economic, environmental and security systems, which pose series threats to the tourism sector,” Scotland told the delegates.

She also highlighted the disproportionate impact on small island developing states (SIDS), which are heavily reliant on tourism. In 2020, the SIDS experienced a 9% decline in their gross domestic product, significantly higher than the global average of 3.4%

Given that two-thirds of the world’s small island developing states are part of the Commonwealth, Scotland emphasised the fact that sustainable tourism is a priority for the Commonwealth. She stressed the urgency of addressing these challenges collectively, adding: “We need to leave this meeting with a plan to deliver an inclusive, sustainable, and resilient tourism sector. This is imperative for the economy of each country which depends on it in Africa and beyond.”

Describing the meeting as a pivotal opportunity, Scotland invited countries to work together on an array of innovative legal and financial solutions for the tourism sector. “We already have the knowledge, the ideas, the innovation and the technology to develop and deliver these solutions… What we need is leadership and a shared commitment not to go alone, but to go together.”

Scotland said she has confidence in Commonwealth Africa’s ability to show that leadership and set the continent on a path of sustainable and resilient tourism industry.

In order to support this effort, she outlined how the Commonwealth’s work could assist countries in addressing tourism challenges through knowledge exchange, data-sharing and capacity-building. In particular, Scotland spoke about the Commonwealth’s ‘Their Future, Our Action’ project, which has been enhancing the economic resilience of small states.

She highlighted two tools developed through this project which can support the efforts of African countries. The first tool, the ‘Common Pool Asset Structuring Strategy,’ consolidates individual finance applications into country-wide opportunities, while the second tool, the Political-Economic Resilience Index, provides credible data on the economic and vulnerability levels of small states, making inward investments more attractive.

This work, she added, was backed by the Commonwealth’s ongoing advocacy on the reform of global financing rules to make development and climate finance more accessible to small states, enabling them to invest more in sustainable development, climate action and tourism resilience.

Source: Independent

Two thirds of travellers say sustainability is key in leisure tourism decision

Egypt ranked 4th for sustainability performance compared to competing destinations, report by Bain & Company finds

The market for sustainable tourism is set to boom, with two-thirds of travellers saying sustainability is an important factor when choosing leisure holidays, a new survey showed.

The focus on green travel comes as tourism is bouncing back strongly from the coronavirus pandemic, with the sector expected to reach $17 trillion by 2027, compared with $11 trillion before the pandemic that damaged the industry, a July report by Bain & Company said.

About 64 per cent of the survey respondents said that sustainability considerations influence their choices.

The report said 66 per cent are willing to pay extra for more sustainable offerings and 57 per cent would recommend a holiday destination based on sustainability considerations.

Looking ahead, 73 per cent of consumers surveyed expect sustainability to become more important over the next five years.

“The uptake in sustainable tourism is driven by an appetite to travel sustainably and make more responsible choices,” Karim Henain, partner at Bain & Company Middle East, said.

Bain has developed a framework defining the components of sustainable tourism: environmental impact (eco-friendly transport and accommodation), social responsibility (diversity, equity, and inclusion standards), and community engagement (contract with locals), he said.

The global travel and tourism industry is facing increasing pressure from environmental campaigners to reduce its carbon emissions given concerns about the impact of billions of passengers who are expected to take to the skies in the coming years.

The Bain study aimed to better understand the behaviour and preferences of travellers interested in the Middle East and North Africa (Mena) as a destination. The research covered consumers from Germany, Italy, France, the UK, Saudi Arabia and China.

The research found that there is a “significant opportunity” among the “sustainability enthusiasts” segment of travellers interested in visiting the Mena region.

Bain defined sustainability enthusiasts as those who consider sustainability “extremely important,” both in their daily life and when travelling for leisure.

Sustainability enthusiasts were found in all markets surveyed, but their demographics varied by country, the report said.

For example, those from China and Saudi Arabia were mainly highly educated millennials, whereas their European peers were almost equally spread across age groups, income and education levels.

Sustainability enthusiasts represent an important market of untapped growth for the green travel and tourism industry, according to Bain.

For example, compared to other survey respondents, they are four times more likely to consider sustainability aspects as “extremely important” when choosing a holiday destination and seven times more likely to recommend a holiday destination driven by sustainability.

They are also 1.6 times more willing to pay for more sustainable choices, at a premium of 15 to 20 percentage points compared to non-enthusiasts, the Bain study showed.

“While we recognize that there is a ‘say versus do’ gap in terms of what consumers actually choose and how much more they are willing to pay for more sustainable choices, sustainability enthusiasts remain a significant segment that countries can tackle through different sustainability offerings,” the report said.

Egypt has launched several initiatives to improve the sustainability performance of its travel and tourism sector.

The North African tourism-dependent country aims to provide continuous support to eco-certified tourism establishments and businesses, increase sectoral awareness of sustainable operations and reduce the negative impact of harmful tourism development and practices.

Overall, Greece ranked first as the holiday destination perceived to be most sustainable, while Egypt ranked fourth.

However, the perception of Egypt significantly improved among sustainability enthusiasts, who ranked it second after Greece.

“Egypt has a significant opportunity to develop its sustainable tourism industry. If developed and positioned well, this will allow Egypt to tap into new tourist segments, expand the network of promoters for tourism in Egypt, and get a higher share of wallet,” the report said.

“A concerted effort and mobilisation from all players in the tourism ecosystem in Egypt is required to capitalise on this opportunity.”

Source: The National News

DER Touristik and Lufthansa Group Partner to Expand Sustainable Aviation Fuel Usage in Tourism

In order to meet the challenges in the area of climate and environmental protection, DER Touristik and the Lufthansa Group are expanding their cooperation: As part of a strategic partnership, DER Touristik is the first major tour operator to purchase Sustainable Aviation Fuel (SAF) from the Lufthansa Group.
This consists of biogenic residues such as used cooking oils and reduces CO₂ emissions by around 80 percent compared to conventional kerosene. With the SAF it has purchased, DER Touristik will offer its guests more climate-friendly air travel using SAF at no extra charge. The costs for the SAF are covered by the tour operator.

Specifically, DER Touristik uses the SAF purchased from the Lufthansa Group to improve the carbon footprint of selected products. These tours will be presented in the DERTOUR Magalog – a mixture of magazine and catalog – to be published in September 2023 with the title “Conscious Travel”. For example, an SAF share of 20 percent will be fed into the flight system for the Lufthansa flights of the 2024 round trips presented in the Magalog. This will reduce the passenger’s individual flight-related CO₂ emissions. These round trips include two individual DERTOUR trips to Ireland, where guests travel locally by public transportation, as well as five guided small-group trips to Albena on Bulgaria’s Black Sea coast, Menorca, Andalusia, Madeira, and Lisbon and Porto. By the end of 2024, selected Lufthansa Group flights booked in addition to one of the sustainably certified hotels in the new DERTOUR Magalog will also feed 20 percent SAF into the flight system at DER Touristik’s expense. In addition, REWE Reisen in Germany and Billa Reisen in Austria will each put together two more sustainable vacation offers with Lufthansa Group flights in Europe in the fall of 2023.

As part of the strategic partnership between DER Touristik and the Lufthansa Group, various other measures are also planned that will sensitize vacationers and travel agency experts to the topic of SAF and make it tangible for them, including an expert study trip to Ireland for travel agencies. Last spring, the Lufthansa Group and DER Touristik had already jointly launched more sustainable travel offers in an initial test run.

A crucial key to more sustainable flying

“We are very pleased to have DER Touristik as a cooperation partner at our side who is committed to the sustainable transformation of the travel industry, who is breaking new ground together with us and who is sensitizing its customers to forward-looking travel offers,” says Frank Naeve, Senior Vice President Global Markets & Stations Lufthansa Group. “With our airlines, we want to connect people, cultures and economies in the most sustainable way possible, reduce the environmental impact of flying and use required resources as efficiently as possible. The use of Sustainable Aviation Fuel is a crucial key to more sustainable flying in this regard.”

“Our goal is to make tourism more climate-friendly and reduce emissions from vacation travel. A key lever in this is flying,” explains Dr. Ingo Burmester, CEO DER Touristik Central Europe. “At the same time, we are investing in the shift toward a lower-emission airline industry with our commitment. As a tour operator and flight broker, we see it as our responsibility to get involved in this area. As an industry, we can only achieve change by joining forces and standing shoulder to shoulder with long-standing, trustworthy partners such as the Lufthansa Group.”

The Lufthansa Group has set itself ambitious climate protection goals and aims to achieve a neutral CO₂ balance by 2050. Already by 2030, the Lufthansa Group wants to halve its net CO₂ emissions compared to 2019 through reduction and compensation measures. The reduction target until 2030 was validated by the independent Science Based Targets initiative (SBTi) in August 2022. The Lufthansa Group was the first airline group in Europe with a science-based CO₂ reduction target in line with the goals of the 2015 Paris Climate Agreement. For effective climate protection, the Lufthansa Group is focusing in particular on accelerated fleet modernization, the use of SAF, the continuous optimization of flight operations, and offers for its private travelers and corporate customers to make a flight or the transport of cargo more sustainable. In addition, the Lufthansa Group has been actively supporting global climate and weather research for many years.

Source: breakingtravelnews

Hero Dubai Desert Classic achieves GEO Certified Tournament status

The Hero Dubai Desert Classic has become the first golf event in the Middle East and first within the DP World Tour Rolex Series to achieve GEO Certified Tournament status, demonstrating the event’s leadership among sustainable golf events.

The distinction is awarded and assured by the international non-profit GEO Foundation for Sustainable Golf, and is based on the strength of commitment, breadth and depth of action, and range of tangible measured impacts across a broad sustainability agenda.

Obtaining GEO Certified status has become a notable achievement showcased by many of the world’s most renowned golf venues and events.

Commenting on the achievement, Simon Corkill, Executive Tournament Director for the Hero Dubai Desert Classic said: ‘We are delighted that the Dubai Desert Classic is the first golf event in the Middle East to achieve this important distinction, and milestone. It speaks to our strong dedication to tackling priority environmental and social issues, as we strive to deliver meaningful net positive impacts through the event. With the wide reach that the tournament has, we hope this achievement will help to raise awareness and inspire other events, businesses, and individuals across the region and beyond.”

Meanwhile, Ahmed Al Khaja, CEO, Dubai Festivals and Retail Establishment (DFRE) at Dubai Department of Economy and Tourism (DET), said the Dubai Desert Classic’s certification is a laudable achievement.

‘With 2023 being the Year of Sustainability in the UAE, and as the country prepares to host COP28, the UN Climate Change Conference in Dubai, the Dubai Desert Classic’s certification is a laudable achievement and a meaningful step towards achieving the wider, national Net Zero objectives,” Al Khaja said.

“We congratulate them on their inspiring commitment to resource efficiency and climate action. This accomplishment sets an exceptional example of sustainable best practice within such high-profile global mass events, further reinforcing the city’s position as an international events hub in line with the Dubai Economic Agenda 2033 launched by our visionary leadership to further consolidate Dubai’s status as one of the top three global cities.”

The criteria for the certification of tournaments spans a range of priority sustainability themes and action areas; supported by detailed best practices; which are in turn weighted and scored.

A minimum number of points are required to achieve certification. These are verified by an accredited, third party and expert verifier, who visits during event week to observe practices, projects, and other activations on site.

A verifier report is then submitted to the GEO Certification Ltd team, a subsidiary of the GEO Foundation. If the criteria are met, certification is then awarded accompanied by key Continual Improvement Points.

Meanwhile, Ahmed Al Khaja, CEO, Dubai Festivals and Retail Establishment (DFRE) at Dubai Department of Economy and Tourism (DET), said the Dubai Desert Classic’s certification is a laudable achievement.

‘With 2023 being the Year of Sustainability in the UAE, and as the country prepares to host COP28, the UN Climate Change Conference in Dubai, the Dubai Desert Classic’s certification is a laudable achievement and a meaningful step towards achieving the wider, national Net Zero objectives,” Al Khaja said.

“We congratulate them on their inspiring commitment to resource efficiency and climate action. This accomplishment sets an exceptional example of sustainable best practice within such high-profile global mass events, further reinforcing the city’s position as an international events hub in line with the Dubai Economic Agenda 2033 launched by our visionary leadership to further consolidate Dubai’s status as one of the top three global cities.”

The criteria for the certification of tournaments spans a range of priority sustainability themes and action areas; supported by detailed best practices; which are in turn weighted and scored.

A minimum number of points are required to achieve certification. These are verified by an accredited, third party and expert verifier, who visits during event week to observe practices, projects, and other activations on site.

A verifier report is then submitted to the GEO Certification Ltd team, a subsidiary of the GEO Foundation. If the criteria are met, certification is then awarded accompanied by key Continual Improvement Points.

Andrew Lynch, Head of Sustainability for the European Tour group, said: ‘It is wonderful to see events across the DP World Tour schedule leaning into sustainability in this way. Making it integral to the way they are planned, staged, and promoted. It aligns fully with our own Green Drive strategy, and leadership actions we are taking across our own operations and our owned and staged events. We encourage all of our valued tournament promoters to join the Hero Dubai Desert Classic in making their tournaments a true showcase for sustainability.”

Source: khaleejtimes