South African Tourism
Marketing South Africa in Sweden
First edition - 2010
South African Tourism is the tourism marketing organisation of South Africa South African Tourism is the official tourism marketing organisation of South Africa. We market across the world focusing on three groups of travellers – international leisure travellers, domestic and regional traveller, and business tourists who travel to South Africa for conferences and incentives. A key part of our business is to: Understand the market
Choose the attractive segments
Market the destination
This booklet has been developed from desktop research to provide an overview of the Swedish tourism market and to help market South Africa in Sweden. It is the first edition for this market and marks the beginning of our efforts to better understand this tourism market. Detailed information on marketing plans can be obtained from the Regional Director: Europe (see address on back cover). Current information on arrivals from Sweden to South Africa are available on our website www southafrica net/research www.southafrica.net/research.
Marketing South Africa in Sweden Third Edition 2010
2
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
3
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Market Overview General Statistics Sweden is nearly one-third the size of South Africa in terms of land area; however, its GDP per capita is more than nine times that of South Africa Key Facts z z z
Demographics
z z z z z
Västra Vä t Götaland
z
Gävleborg pp Uppsala
Dalarna
Political Facts
z z z
Stockholm Örebro z
Östergötland Jönköping
Halland Skåne
Key Economic Indicators
z
Swedish Name: Sverige Area (Land): 410,335 sq. km. Capital: Stockholm Population, 2008: 9.18 Million Birth rate1: 10.13 births/1,000 population Death rate1: 10.21 deaths/1,000 population Life Expectancy at birth1: 80.86 years Literacy y Rate2: 99% Sweden, a member state of European Union, is a constitutional monarchy, headed by the King. However, the parliament (Riksdag) holds supreme authority King: Carl XVI Gustaf Pi Prime Minister: Mi i t F d ik R Fredrik Reinfeldt i f ldt Parliament: The parliament of Sweden has only one legislative chamber, with 349 members, which chooses the Prime Minister Currency: Swedish Krona Krona, SEK Gross Domestic Product (at current prices) – GDP Value, 20083: EUR 328.9 Billion – GDP per capita, 20083: EUR 35830.5 – GDP growth rate, 2003–20084: 4.6%
Note: 12009 estimated value; 22003 estimated value; 3Average annual exchange rate of SEK 1 = EUR 0.10418, for 2008, has been used; 4Growth rate calculated on GDP value in national currency Source: CIA World Fact book, 2009; IMF; Oanda; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Regional Characteristics – Population More than half of the Swedish population resides in the three most populous counties of Stockholm, Västra Götaland, and Skåne Counties1
% of Population
Total Population2, 2008 (in Thousands)
Stockholm
21.4%
Västra Götaland
16.8%
Skåne
13.1%
Östergötland
4 6% 4.6%
Jönköping
3.6%
335
Uppsala
3.5%
327
Halland
3.2%
Örebro
3.0%
278
Gävleborg
3.0%
276
Dalarna
3.0%
276
1,981 1,558 1,215 423
294
Note: 1List of top 10 counties by population, out of a total of 21 Swedish counties; 2Population as on December 31, 2008 Source: Statistics Sweden; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Age Distribution Sweden’s population is ageing, and a significant increase is expected in population above 60 years, by 2030 Swedish Population p Pyramid, y 2000 Female
Swedish Population p Pyramid, y 2010
Male
Female
Thousands
Thousands
Swedish Population Pyramid, 2020 Female
Male
Swedish Population Pyramid, 2030
Male
Female
Male
Thousands
Thousands
Source: US Census Bureau, International Database; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
6
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Market Overview GDP and Relative Wealth Sweden ranks among the top-twenty economies in the world, in terms of GDP per capita (at PPP), deriving its wealth primarily from services-based industries Top 20 Countries by GDP GDP, 2008
Composition C iti off Sweden’s S d ’ GDP1, att Current C tP Prices i (b (by production approach), 2003 and 2008 250
3.9% 1%
226 4% 7%
200
2% 3%
187 6%
24%
150
2%
Rank 1
Qatar
€58,779
Agriculture, hunting Agriculture hunting, forestry and fishing
2
Luxembourg
€56,341
3
Norway
€36,725
Electricity, gas and water works
4
Singapore3
€35,008
5
Brunei
Construction industry
6
USA
€32,421
M Manufacturing f t i
7
Hong Kong
€29,965
Producers of services
8
Switzerland3
€29,520
9
Ireland
€28,778
10
Netherlands
€27,718
11
Iceland
€27 658 €27,658
12
Kuwait
€27,278
13
Austria
€27,259
14
Canada
€26,720
15
UAE
€26,580 ,
16
Sweden
€25,514
17
Denmark
€25,494
18
Australia
€25,230
19
Belgium
€24,887
20
UK
€24,847
EUR (Billion) 100
62% 62%
0
2003
GDP per capita2 at PPP (EUR)
Mining and quarrying
26%
50
Country
2008
Darussalam3
€34,306
Note: 1The figures have been converted from SEK to EUR using the average annual exchange rates for 2003 and 2008; 2Average annual exchange rate of USD 1 = EUR 0.68341, for 2008 has been used; 3Estimated value Source: Statistics Sweden; IMF; Oanda; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Personal Disposable Income and Relative Attractiveness Sweden has the ninth highest per capita personal disposable income in the world, and can be considered as an attractive tourism market Per Capita Personal Disposable Income per Annum1,2,3, 2008 25,000 23,138 20 710 20,710 20,000
19,938
19,395
19,271 18,089
18,033
17,792
17,172
17,009
16,570 15,228
14,833
EUR
15 000 15,000
10,000
5,000
0
USA
France
Germany Belgium
UK
Italy
Canada Australia Sweden Netherlands Japan
Spain
Greece
Note: 1Personal Disposable Income is personal income after the deduction of personal direct taxes and fees fees, and current transfers abroad (such as gifts); 2The value of Annual Disposable Income has been converted from base currencies of individual countries to EUR (€) using the average conversion rates for 2008; 3The value of Per Capita Personal Disposable Income per annum has been calculated by dividing the Annual Disposable income for 2008 (Euromonitor International) by the respective country’s population figures for 2008 (IMF) Source: Euromonitor International; IMF; Oanda; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Vacation Participation Nearly three quarters of Swedish population go on vacation, with 16% of their trips to international destinations Percentage of Swedish Population Taking Holidays1, 2003–2008
Percentage of Swedish Population Taking Domestic and International Holidays, 2008
100%
100%
29%
27%
26%
25%
25%
24%
Non-Holiday Takers
International
84%
Domestic
80%
60%
40%
71%
73%
74%
75% %
76%
76%
H lid T Holiday Takers k 1
Percentage of Total T Trips
Percenttage of Popula ation
80%
16%
60%
40%
20%
20%
0%
0%
2003
2004
2005
2006
2007
2008
2008
Note: 1Includes both Domestic and International tourists Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; Euromonitor International; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Vacation Participation by Age Groups A majority of Swedish holiday takers (~60%) are in the age group of 35–64 years
Swedish Holiday Takers1 by Age, 2003–2008 100%
5.5%
5.0%
5.5%
6.0%
6.0%
6.5%
Over 65 years 50–64 yyears 35–49 years
Percentage of Holiday T Takers
80%
30.5%
30.0%
30.5%
30.5%
30.5%
30.5%
25–34 years 15–24 years 0–14 years
60%
30.0%
31.0%
31.5%
31.0%
31.5%
31.0%
17.0%
16.5%
16.0%
16.0%
16.0%
15.0%
8.0%
8.5%
8.5%
8.5%
8.0%
8.0%
9.0%
9.0%
8.0%
8.0%
8.0%
9.0%
2003
2004
2005
2006
2007
2008
40%
20%
0%
Note: 1Includes both domestic and international tourists Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
10
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Market Overview Vacation Participation by Gender The proportion of females among Swedish holiday takers is slightly higher than that of males
Swedish Holiday Takers1 by Gender, 2003–2008 100%
Male Female
Percentag ge of Holiday T Takers
80%
49.0%
48.0%
48.0%
48.0%
48.0%
48.0%
51.0%
52.0%
52.0%
52.0%
52.0%
52.0%
2003
2004
2005
2006
2007
2008
60%
40%
20%
0%
Note: 1Includes both domestic and international tourists Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Market Overview Vacation Participation by Length of Trips Short trips (0–3 days) are more common among Swedish holiday takers; however, their proportion decreased during 2003–2008 Length of Trips by Swedish Holiday Takers1, 2003–2008 100% 11.2%
12.2%
11.8%
12.2%
11.9%
11.3%
Over 7 days 4–7 days 0–3 days
Percenttage of Total T Trips
80%
27.1%
27.2%
27.2%
27.3%
27.2%
29.2%
61.7%
60.6%
60.6%
60.9%
60.9%
59.5%
2003
2004
2005
2006
2007
2008
60%
40%
20%
0%
Note: 1Includes both domestic and international tourists Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
12
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Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Outbound Travel Propensity Relative to Other Countries Sweden ranks among the top-twenty outbound markets, as well as long-haul markets in the world Top 40 Outbound Markets in the World, 2005 and 2008
100
2005
80
Million M
2008
60 40 20 Hung gary
Finla and
Kazakhsstan
Eg gypt
Brrazil
Iran
Bulga aria
Austrralia
Indone esia
Denm mark
Pola and
Bela arus
Norw way
Czzech
Irela and
In ndia
Taiw wan
Turrkey
Ausstria
Korea R Rep
Sp pain
Belg ium
Malayysia
Roma ania
den Swed
Switzerl and
pore Singap
Me xico
Ja pan
Ukra aine
Netherla nds
Italy
Fra nce
Cana ada
Hong Ko ong
Russsia
Ch hina
USA U
UK
Germ any
0
Top 20 Long Haul Outbound Markets1, 2005 and 2007
40
2005
Million
30
2007
20 10
Mexico
Israel
Switzerland
Spain
Belgium
Ne etherlands
India
Rep Korea R
Sweden
Brazil
Italy
Russia
Australia
France
Japan
China
Germany
Canada
UK
USA
0
Note: 1The long haul outbound data was calculated using the proportions estimated from WTO data source and applying it to the Euromonitor data. It is the closest approximation as this data is not available Source: Euromonitor; IMIS; WTO Yearbook of Tourism Statistics, 2007; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Total Travel Volume The number of outbound trips by Swedish travellers increased at 1.7% annually, to ~14 million, during 2003–2008 Total Outbound Trips by Swedish Travellers, 2003–2008 20
16
1.7% 12 6 12.6
13.3
13.6
12.9
13.4
13.7
Million
12
8
4
0
2003
2004
2005
2006
2007
2008
Source: “Tourism Flows Outbound – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Key Long-and-Short Haul Destinations Trips by Swedish outbound travellers to short-haul destinations account for nearly four times the trips to long-haul destinations T Outbound Top O tb dD Destinations ti ti ffrom S Sweden, d 2007 100%
80%
14%
Other European Destinations1
4% 4% 5%
2% Croatia Finland Turkey Italy
5%
Greece
9%
France
A t i 2% Austria %
60%
40%
Others2 Japan
21%
Canada
Short-haul3
82%
10.9 million
2% 2% 2% 2% 3%
2% 2% 2% 2% 3%
UK
6%
10%
Denmark
8%
10%
Germany
13%
Norway
Singapore Brazil Saudi Arabia South Africa
6%
9%
Australia
Malaysia India Tunisia Egypt gy Cyprus
18%
China
20%
USA Long-haul3
14% %
S i Spain
18%
2 5 million 2.5
Thailand
20%
0% Short-Haul Destinations
Long Haul/Short Haul3 Total Outbound Trips = 13.4 million
Long-Haul Destinations
Note: 1Includes European countries not shown separately in this graph; 2Others includes countries of Central and South America, Australia, Asia, and Africa; 3The proportion of long-haul and short-haul destinations is taken from UNWTO and applied to Euromonitor data Source: World Tourism organisation (UNWTO); “Tourism Flows Outbound – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Purpose of Visit and Type of Travellers Nearly 70% outbound trips by Swedish travellers are for leisure purposes. A majority of these trips are taken with families or with partner Purpose of Outbound Trips by Swedish Travellers, Travellers 2003, 2005, and 2008
Type of Outbound Leisure Trips1 by Swedish Travellers, Travellers 2005 and 2008
100%
100%
27.6%
27.9%
Percentag ge of Outbound d Trips
80%
60%
40%
72.2%
72.4%
72.1%
20%
10.4% 0 %
Business
Leisure
Percentage off Outbound Leisure Trips
27.8%
5.7%
0%
80%
9.1% 8.9%
60%
40%
4.0%
Organised G Tour Groups
9.8%
Singles
10.0%
10.1%
12.1%
23.7%
20.3%
32 0% 32.0%
34 5% 34.5%
2005
2008
20%
Others
9.3%
Backpackers Friends Couples Families
0%
2003
2005
2008
Note: 1Distribution of leisure trips by type was not available for 2003 and 2004 Source: “Tourism Flows Outbound – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Length of Trips Short trips are more common among Swedish international travellers, with nearly half of them taking trips that are less than four days long Length of Outbound Trips by Swedish Travellers, 2003–2008 100%
Over 7 Days 24 6% 24.6%
24 2% 24.2%
24 3% 24.3%
23 4% 23.4%
24 4% 24.4%
24 5% 24.5%
27.7%
28.2%
28.0%
28.5%
27.9%
28.0%
47.7%
47.6%
47.7%
48.2%
47.7%
47.5%
2003
2004
2005
2006
2007
2008
4–7 Days y 0–3 Days
Percent of T Total Outbound d Trips
80%
60%
40%
20%
0%
Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Importance to South Africa: Arrivals from Different Countries Sweden is among the top-ten1 long-haul travel markets for South Africa, in terms of the number of arrivals. However, it ranks lower than other European countries1 Total Arrivals to SA by Market1 (excluding Africa), 2003 and 2008 600
2003 2008
Thousands off Arrivals
500
485 456
400
287
300
257
238
187
200
121 128 128 128 100
100 72 35
57
50 56
41 52
29
44
43 40
17
36
21 28
0
CAGR (2003 2008) (2003–2008)
UK
USA
1.2%
8.9%
Germany Netherlands
-1.5%
France
1.2%
0.0%
Australia Canada
6.9%
10.4%
Italy
India
Sweden
China
Brazil
Japan
2.2%
4.8%
8.4%
-1.2%
15.4%
5.3%
Note: 1Only the countries covered in the study are considered Source: SAT, 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Total Swedish Travel Volume to South Africa After a decline during 1998 –2001, Swedish arrivals to South Africa experienced continuous growth at the rate of ~11% annually, during 2002–2008 Number of Arrivals from Sweden to SA, 1998–2008 70,000
CAGR (1998–2001) -3.8%
CAGR (2002–2008) 10.7%
60,000
Num mber of Arrivals s
50,000 42 2 42,772
44,050
39,149
40,000
35,619 32,247 29,381
, 30,000 23,927 20,868
20,890
20,213
1998
1999
2000
20,000
18,576
10,000
0
2001
2002
2003
2004
2005
2006
2007
2008
Source: SAT, 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Arrivals from Sweden South Africa increased its share in the growing Swedish outbound travel market, during 2003–2007 Swedish Arrivals to SA1, 2003–2007 2003 2007
Share of SA in Total Outbound Travel from Sweden 50
Arrivals from Sweden to SA 0.41% 0.40%
0.43%
CAGR 2003–2007 Arrivals: 9.8%
0.5%
0 42% 0.42%
0.39%
0.4%
Thous sands of Arriva als
42.8 39.1
40 35.6
0.3%
32.2 30
29.4 0 2% 0.2%
20
0.1%
10
0
Percentage S Swedish Outbo ound to SA
60
0.0%
2003
2004
2005
2006
2007
Note: 1Arrivals data has been sourced from SAT, and percentage share of South Africa has been calculated from World Tourism Organisation (UNWTO) data Source: World Tourism organisation (UNWTO); SAT 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Importance to South Africa: Economic Value The spend per trip of travellers from Sweden to South Africa is comparable to spend by travellers from the UK and Germany Importance to South Africa, 2008
Market
Seasonality Inde 1 Index
Distribution2
Spend Per Trip 34 in SA (Rand)3,4
Arrivals
Value (in Million Rand)3
UK
8.3%
1.68
12,700
485,166
5,868
Germany
10 3% 10.3%
1 84 1.84
12 500 12,500
238 306 238,306
2 736 2,736
Netherlands
15.8%
2.12
15,100
128,097
1,630
France
10.7%
2.39
10,300
127,956
1,239
Italy
32.1%
1.91
11,500
55,545
595
Ireland
10.5%
1.71
15,100
42,015
582
Sweden
18.3%
1.71
12,700
44,050
516
Switzerland
11.9%
1.87
13,500
36,607
443
Note: 1An index value of 0% represents perfect seasonality, i.e., the market is not characterised by large fluctuations from month to month. A value of 100% means that seasonality is very poor, i.e., the market is characterised by large fluctuations month by month; 2Average number of provinces visited by all foreign tourists; 3Total Foreign Direct Spend (excl. capex.); 4Rounded-down to the nearest hundred Source: SAT Departure Survey, 2008; SAT 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Travel Patterns Out of Sweden Tourist Spend in South Africa South Africa’s tourism industry benefited due to appreciation of the Swedish Krona, relative to the Rand, in 2008 Spend Per Trip1,2 by Swedish Travellers in SA, 2003 2008 2003–2008
Exchange Rate, Rate Rand per SEK SEK, 2003–2008 2003 2008 1.5
20,000 7.1%
Ra and
15,000 10 000 10,000
, 9,000
10,700
12,700 9,200
9,800
9,500
2005
2006
2007
5,000 1.0
Rand / SE EK
0
2003
2004
2008
SEK 9,700 12,300 10,800 10,700 9,100 10,200 Spend Per Day1,3 by Swedish Travellers in SA, 2003–2008 1,200
Rand
0.5
7.2%
800
590 460
490
510
580
650
400 0
0.0
Average yearly exchange rate
2003
2004
2005
2006
2007
2008
0.9
0.9
0.9
0.9
1.0
1.3
SEK
2003
2004
2005
2006
2007
2008
500
680
580
560
560
520
Note: 1Total Foreign Direct Spend (excl. capex.), 2Rounded-off to the nearest hundred; 3Rounded-down to the nearest ten Source: SAT Departure Survey, 2003–2008; OANDA; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
23
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Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
24
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Channel Key Trends in the Swedish Travel Market z
Impact of the Global Economic Slowdown
z z
z
Increasing Use of Online Travel Retail Products
Increase in ActivityActivity based Travel
z
z
z
Impact of Low-cost Carriers
z
Economic slowdown negatively impacted the tourism in Sweden. Tourism spending by Swedish travellers suffered due to: – Decreased disposable income – Depreciation off the Swedish S Krona, compared to currencies off neighbouring countries This led to domestic holiday becoming a preferred option among Swedish travellers However, in 2008, the number of outbound travellers from Sweden did not decline, as most of the bookings were made prior to the onset of the economic slowdown Online sales of travel products grew at the rate of ~13%, during 2003–2008. Some of the major drivers were: – Increased internet penetration in Sweden – Participation of an increased number of traditional travel agencies in online sales – Advantages, such as low costs, booking tickets directly with the supplier’s website Increased popularity of the online sales channel has led to: – Increase in the number of online intermediaries – Pressure on traditional travel agencies to reduce prices There is an increasing interest in activity-based tourism for both domestic and outbound travellers from Sweden – Tourists are increasingly looking beyond traditional tour packages and attractions for a unique experience – Adventure/trekking holidays was the fastest growing segment, during 2003–2008 Since 2003, most low-cost carriers in Sweden recorded a steady growth in volume. In some cases, the profit margins g were higher g than that of scheduled aircrafts Increase in the popularity of low-cost carriers has resulted in: – Pressure on scheduled airlines to reduce prices – Rise in the demand for air travel – Establishment of remote airports to handle the rise in traffic flow. For instance, the Skavasta airport, outside Stockholm has become the third largest airport in Sweden (due to increased air-traffic of low-cost carriers) Stockholm,
Source: “Travel and Tourism – Sweden”, Euromonitor International, November 2009; “Travel Retail – Sweden”, Euromonitor International, November 2009; “Outbound Travel – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Channel Travel Retail Outlets The number of travel retail outlets in Sweden increased at an annual rate of ~1%, during 2003– 2008. Over 50% of the total outlets were tour operators Number off Travel Retail Outlets O in Sweden, S 2003–2008 2,500
Exchange Services1 Travel Agents Tour Operators 2,000
0.72%
Num mber of Outlets s
1,700
1,713 57
1,750
1,739
1,729
67
63
72
1,762 79
74
1,500
723
725
729
731
737
741
920
925
933
936
939
942
2003
2004
2005
2006
2007
2008
1 000 1,000
500
0
Note: 1Dedicated currency exchange outlets only Source: “Travel Retail – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Channel Travel Retail Sales by Products Sweden’s travel retail sales grew at an annual rate of ~3% , during 2003–2008, to reach over EUR 6 billion. Adventure/trekking holiday, though a small segment, grew the fastest during this period Travel Retail Sales1 in Sweden by Products, 2003–2008 7.5
Other travel retail products Other transport
7.0 2.9%
EUR (Billion)
2.5
2.0 1.5
0.1 0.1
30 3.0
30 3.0
0.1
0.1 0.1 01 0.1
03 0.3
Adventure/trekking Holiday Spa packages
3.3
5.6
2.5
Cruise
6.2
6.1
6.1
6.0
3.0
6.6 6.4
6.5
0.1 0.1 0.1
03 0.3
0.3
0.4
0.6
0.6
0.6
0.7
06 0.6
07 0.7
07 0.7
1.1
1.0
2003
2004
0.1 0.1 0.1
0.4
Traveller’s cheques
3.2
31 3.1
Fly-drive Accommodation only
0.1 0.1 0.1 0.4
0.7
0.7
07 0.7
0.8
0.7
1.0
1.0
1.1
1.0
2005
2006
2007
2008
0.1 0.1 0.1
City break Package holiday Fli ht only Flight l
1.0 0.5 0.0 Note: 1The figures have been converted from SEK to EUR using the average annual exchange rates for 2003–2008 Source: “Travel Retail – Sweden”, Euromonitor International, November 2009; Oanda; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
27
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Channel Travel Retail Internet Sales by Products The value of online travel retail sales almost doubled during 2003–2008. Flight only bookings and traditional package holiday sales accounted for more than two-thirds of the online sales in 2008
1,200
Travel Retail Internet Sales2 in Sweden by Products, Products 2003–2008 Other travel retail online
Commentary z
sales1
Other transport only
– The proportion of online sales in the overall travel retail market increased from 7% in 2003 to 12% in 2008
Car rental only Dynamic packaging 900
Accommodation only Traditional package holiday
EUR (Million)
Flight only
747
13 3% 13.3%
683 628
600
481 401 300
82
125
4 12 1 24
103
158
5 14 1 35
Online travel sales grew at an annual rate of ~13%, compared to only ~3% growth of the overall travel retail sales
543
124
6 17 1 45
6 20 1 53
53
6 23 1
6 25 1
55
z
Increasing internet penetration in Sweden is the key growth of online travel retail sales driver for the g
z
Dynamic packaging has been the fastest growing online product, with an annual growth rate of over 19%, during 2003 –2008
z
Flight g t only o y boo bookings, gs, tthe e largest a gest se selling go online ep product, oduct, accounted for about 40% of the online sales. It also grew at a CAGR of ~16%, during 2003–2008
z
Contribution of traditional package holiday products to the online sales reduced from ~31% in 2003 to ~23% in 2007 H 2007. However, iin 2008 th the proportion ti iincreased d tto 26%
z
Ving, Apollo, and Fritidsresor are the leading online travel retail agencies in Sweden
156
155
152
193 159
180
208
285 154
165
170
188
2003
2004
2005
2006
310
0
2007
2008
Note: 1Others include tourist attraction entrance fees, car rental hire, travel insurance, and foreign currency purchase sold via exchange services, which may be located within travel agents; 2The figures have been converted from SEK to EUR using the average annual exchange rates for 2003–2008 Source: “Travel Retail – Sweden”, Euromonitor International, November 2009; Oanda; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
28
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Channel Travel Retail Products: Top Players Sweden has a consolidated travel retail market, the top ten players had a cumulative market share of ~99%, in 2008
100%
Swedish Travel Retail Products Market Share, 2004, 2006, and 2008 3.9% 1.7%
90%
17.0%
5.0% 5.0%
Percenttage of Retail Va alue
80%
2.1% 3.6%
4.4% 5.1%
4.3%
70%
60%
3.8%
5.9%
4.9%
5.7%
5.2%
Commentary
3.8%
Others1
4.6%
Always AB1
5 0% 5.0% 6.8%
6.3%
40%
12.8%
0%
Sweden’s travel retail market is considerably consolidated — the share of the top ten players increased from ~83% in 2004 to ~99% in 2008
z
Forex Bank AB is the largest player in the travel retail market
Resia Travel Group p AB BTI Nordic AB Hogg Robinson Group plc Ving AB
7.0%
– Its market share increased from ~34% in 2004 to ~46% in 2008, while the market share of the other players remained constant or increased marginally
Fritidsresor AB Ticket Resebyraer AB
8.5%
Kuoni Scandinavia AB American Express/Nyman & Schultz AB
7.0%
8.6%
11.1%
10.1%
Forex Bank AB
5.6%
50%
z
45.2%
45.6%
2006
2008
z
A ffew other th major j players l also l performed f d well in 2008 – Ving Sverige recorded a 31% increase in profits, in 2008 – Apollo travel group posted the highest sales per outlet, compared to other companies, in 2008
34.4%
2004
Note: 1Value not available for 2008 Source: “Travel Retail – Sweden”, Euromonitor International, November 2009; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
29
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Channel Availability of Flights to South Africa Sweden is well connected to South Africa through indirect flights via other European countries. There are no direct flights from Sweden to South Africa 123 Flight Routes from Sweden to SA1,2,3
Stockholm
Flights to South Africa1
Amsterdam z
z
There are no direct flights g from Stockholm to Johannesburg and Cape Town
London Paris
Airlines that offer indirect flights to Johannesburg:
Frankfurt Zurich
Madrid
– SAS, SAS Lufthansa and United via Frankfurt – Swiss International Airlines via Zurich – Air France via Paris – British Airways and SAA via London
Addis Ababa
– KLM via Amsterdam – Ethiopian Airlines via Addis Ababa – Iberia via Madrid – Turkish Airlines via Istanbul – Qatar Airways via Doha
Johannesburg Cape Town
1Assuming
Note: flights for May 17– May 23, 2010, checked on March 17, 2010; routes have been shown; 3Routes shown are not exhaustive Source: Expedia; Ethiopian Airways; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
2Only
30
direct or one-stop flight
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Channel Flights to Competing Destinations (1 of 2) Mostly two-stop flights are available from Sweden to Australia. Only Air China and Thai Air provide flights with one stop. There are no direct flights from Sweden to Kenya 12 Routes to Australia1,2
Stockholm
12 Routes to Kenya1,2
Helsinki
Stockholm
Copenhagen Amsterdam London
Amsterdam Frankfurt
London Zurich
Paris
Istanbul
Beijing Doha Hong Kong
Bangkok Kuala Lumpur
Air China Thai Air International
Nairobi
Singapore
SAS Cathay Pacific L fth Lufthansa
Turkish Airlines
Qantas
British Airways Kenya Airways
British Airways Finnair KLM Air France
Shortest flight time: 21 hr:30 min
Sydney
Shortest flight time: 12 hr:00 min
KLM BMI Qatar Airways Swiss Air International
Note: 1Routes shown are not exhaustive; 2Assuming flights for May 17– May 23, 2010, checked on March 17, 2010 Source: Expedia; Kenya Airways; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
31
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Channel Flights to Competing Destinations (2 of 2) Sweden is connected to India through indirect flights available to Mumbai and Delhi. Connectivity with Thailand is also good, both direct as well as indirect flights are available 12 Routes to India1,2
Stockholm
12 Routes to Bangkok1,2
Helsinki Moscow Stockholm
London
Helsinki
Frankfurt
Paris Zurich
London
Istanbul
Amsterdam Frankfurt Vienna
Kiev
Paris Doha
Delhi
Istanbul
Mumbai SAS Turkish Airlines British Airways United
Thai Air International Austrian Airlines Aerosvit Airlines KLM Turkish Airlines Finnair Lufthansa Air France Qantas
Swiss International Air France Qatar Airways Lufthansa Finnair Aeroflot-Russian Airlines
Shortest flight time (to Mumbai): 11 hr:00 min
Bangkok
Shortest flight time: 10 hr:20 min
Note: 1Routes shown are not exhaustive; 2Assuming flights for May 17– May 23, 2010, checked on March 17, 2010 Source: Expedia; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
32
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Channel Flight Price: South Africa vs. Competing Destinations Pricing of flights from Stockholm to Johannesburg and Cape Town is low, compared to most of its competing destinations, on a EUR/km basis Details of Flights from Sweden to SA and Major Competitor Countries Countries, 2010 Lowest Published Round-Trip Fare2 (EUR)
Flight Time (incl. stopover) Departure / Return (Hours)
One Way Distance (km)
Cost / km (EUR)
(STO) Stockholm – Johannesburg, South Africa — British Airways3
933
24:15/22:25
9,524
0.10
(STO) Stockholm – Beijing, China — Air China
828
08:30/09:30
6,724
0.12
1,275
17:35/18:25
10,334
0.12
742
15:05/10:20
6,011
0.12
1,285
29:20/21:304
10,208
0.13
(STO) Stockholm – Nairobi, Kenya — British Airways3
872
12:50/23:15
6,920
0.13
(STO) Stockholm – Delhi, India — Aeroflot-Russian Airlines3
722
10:55/29:30
5,574
0.13
(STO) Stockholm – Lima, Peru — KLM3
1,757
17:05/16:25
11,439
0.15
(STO) Stockholm – Sydney, Sydney Australia — Qantas4
2 868 2,868
30:25/30:15
15 589 15,589
0.18
(STO) Stockholm – Hanoi, Vietnam — Lufthansa4
2,278
28:10/17:50
7,896
0.29
(STO) Stockholm – New York, USA — Continental
2,088
08:45/08:10
6,336
0.33
(STO) Stockholm – Bangkok, Thailand — Thai Air International
5,129
10:20/10:50
8,275
0.62
Route1
(STO) Stockholm – Cape Town, South Africa — Swiss/Lufthansa4 (STO) Stockholm – Ottawa, Canada — Air Canada3 (STO) Stockholm – Brasilia, Brazil — TAP Portugal/Lufthansa3
Note: 1Direct flight routes have been considered, if available, else, data presented for indirect flight; 2Lowest listed roundtrip fares from consolidator, inclusive of taxes, as on 18th March, 2010. Assuming travel on 2nd April, 2010 and return flight on 4th April, 2010; 3Flight between Stockholm and destination is an indirect flight having one stop; 4Indirect flight with two or more stops Source: Expedia.it; Travel Math; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
33
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
34
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Competitors Relative Market Position of Prioritised Competitors The number of trips by Swedish travellers to South Africa, during 2003–2007, grew at a smaller rate, compared to trips from Sweden to major competitor countries (except Canada and Australia) Trips by Swedish Travellers to Major Competitor Countries1, 2003–2007 1,200
1,088
927
Thou usands of Arriv vals
900
744 621 600
50 300
6 13 26 32 27 29 18
211
87
6 16 30 33 38 32 26
825 46
7 17 32 35 36 29
39
8 19 30 36 36 36
40 43 47 145
130
110
337 286
254
291
209
221
222
2003
2004
2005
307
9 25 32 35
CAGR 2003–2007 Peru
12 9% 12.9%
Vietnam
18.4%
Canada
5.7%
Australia
2.5%
Brazil
10 3% 10.3%
South Africa
9.8%
India
27.0%
China
30.5%
USA
12.4%
Thailand
15.6%
374
0
2006
2007
Note: 1Competitor countries were selected from Brand Tracker study, November 2009 Source: World Tourism organisation (UNWTO); Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
35
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Competitors Competing Destinations Offering Similar Products (1 of 2) Australia, Brazil, India, Thailand, and Vietnam compete strongly1 with South Africa on the basis of beach experience… South Africa
Australia
Canada
USA
Peru
Kenya
B Beach h
Nature / N Wildlife
History / Culture
Adventure
Scored high for “describes extremely well” Note: 1Strong competitors based on performance ratings “How well do the following attributes describe each international leisure destination using a scale from 1 to 7 where 1= “does not describe at all” and 7= “describes extremely well” Source: SAT Brand Tracking, November 2009; Photolia; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
36
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Competitors Competing Destinations Offering Similar Products (2 of 2) …In addition, Australia and Kenya, compete1 with South Africa on nature/wildlife and adventure. China, India and Peru are competitors1 of South Africa as historical/cultural tourism destinations South Africa
Brazil
China
India
Thailand
Vietnam
B Beach h
Nature N t / Wildlife
History / Culture
Adventure
Scored high for “describes extremely well” Note: 1Strong competitors based on performance ratings “How well do the following attributes describe each international leisure destination using a scale from 1 to 7 where 1= “does not describe at all” and 7= “describes extremely well” Source: SAT Brand Tracking, November 2009; Photolia; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
37
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
38
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Current Swedish Travellers to South Africa: Demographics Age Distribution A majority of Swedish travelling to South Africa are in the age group of 25–44 years
Swedish Travellers to SA by Age, 2003–2008 100% 8%
7%
8%
10%
12%
11%
11% 80%
21% 25%
15%
18%
Percen nt of Travellers s
18–24 years
17%
17%
18%
19%
23%
20%
25%
23%
7%
9%
2007
2008
13%
22% 20%
40%
35–44 years 25–34 years
18%
18%
55–64 years 45–54 years
18%
60%
65+ years
18%
32% 20%
25%
11%
21%
25%
14%
11%
10%
2004
2005
2006
0%
2003
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
39
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Current Swedish Travellers to South Africa: Demographics Gender Distribution Males comprise a majority of the Swedish travellers to South Africa, and their proportion increased during 2003–2008 Swedish Travellers to SA by Gender, 2003–2008 100%
Female Male
Percen nt of Travellers s
80%
44%
41%
56%
59%
2003
2004
33%
39%
41%
61%
59%
2006
2007
49%
60%
40%
67%
51%
20%
0%
2005
2008
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
40
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Current Swedish Travellers to South Africa: Demographics Income Distribution The proportion of high income earners (earning more than R20,000 per month), from Sweden to South Africa, significantly increased during 2003–2008 Swedish Travellers to SA by Income Category (Monthly Income in Rand), 2003–2008 100%
14%
19%
15%
16%
10%
4%
< R10,000
10%
R10,000 to R19,999 R20,000 to R39,999
12%
≥ R40,000
80%
Percen nt of Travellers s
28%
22%
21% 25%
41%
60%
50%
40%
36%
38%
41%
47%
45%
20%
21%
18%
16%
2004
2005
23%
28%
0%
2003
2006
2007
2008
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
41
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Current Swedish Travellers to South Africa: Demographics Occupation A majority of Swedish travelling to South Africa are professionals, with their proportion having increased from 47% in 2003 to 56% in 2008 Swedish Travellers to SA by Occupation, 2003–2008 100%
21% 80%
Percen nt of Travellers s
10% 11%
16%
14% 9%
14%
15%
11%
13%
8% 16%
9%
6%
10%
10%
Others Student Retired - pensioner Executive - Managerial
11%
Professional
9%
9%
60%
12%
12%
13%
14%
16%
40%
20%
47%
46%
47%
2003
2004
2005
58%
59%
56%
2006
2007
2008
0%
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
42
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Current Swedish Travellers to South Africa: Demographics City of Residence Stockholm accounts for the highest proportion of Swedish travellers to South Africa; however, the number of travellers residing in other cities increased during 2003–2008 Major Cities of Residence of Swedish Travellers to SA, 2003–2008 100%
Others
11% 6%
1% 1%
80% 8%
14% 5% 6%
1% %
15%
2% 2% 5%
1% 2% 2% 3% 2%
32% 4%
Perce ent of Travellerrs
11% 13%
60%
20%
23% 1% 2% 3%
6%
16%
14%
5%
2% 1% 1% 2% 2% 2%
8%
9%
2% 2% 2% 2% 2% 2% 3%
Boras Vaxjo Vasteras Orebro Uppsala Linkoping Umea Malmo Gotenburg
10%
Stockholm
40% 61%
56%
52%
45%
20%
49% 41%
0% 2003
2004
2005
2006
2007
2008
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
43
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Agenda z
Market Overview
z
Travel Patterns Out of Sweden
z
Channel
z
Competitors
z
Current Swedish Travellers to South Africa – Demographics D hi – Travel Behaviour
Marketing South Africa in Sweden Third Edition 2010
44
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Current Swedish Travellers to South Africa: Travel Behaviour Summary Swedish travellers contributed ~R2.1 billion to the South African economy, during 2003–2008. The average contribution by a holiday traveller on a trip was higher than by other visitors, though business tourists spent the highest per day General Holiday
VFR
Business1
Business Tourists
All Swedish Arrivals
124,398 ,
14,154 ,
40,741 ,
15,225 ,
207,693 ,
R1.28
R0.12
R0.36
R0.11
R2.10
Value / Volume Index ((‘03 03–‘08) 08)
1 02 1.02
0 84 0.84
0 89 0.89
0 71 0.71
N/A
Spend / Day3 (‘03–‘08)
R680
R370
R600
R800
R550
p Spend p (‘03–‘08) ( ) Total Prepaid (Billion Rand)
R0 21 R0.21
R0 01 R0.01
R0 06 R0.06
R0 02 R0.02
R0 32 R0.32
TFDS (excl. capex)2 to Prepaid Spend (‘03–‘08)
0.60
0.96
0.62
0.49
0.65
2008 Average Length of Stay
13.64
15.61
11.52
7.55
19.39
2.3
1.7
1.4
1.4
2.0
Total Volume ((‘03–‘08)) TFDS (excl. capex)2 (‘03–‘08) (Billion Rand)
Average Number of Provinces Visited (‘03–‘08)
Note: 1Business: A trip which is undertaken to conduct commercial or formal transactions or activities that are related to a person’s job, e.g., visiting a client, signing deals, negotiating a contract (including import / export), etc.; 2Total Foreign Direct Spend (excl. capex.); 3Rounded-down to the nearest ten Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
45
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Current Swedish Travellers to South Africa: Travel Behaviour Purpose of Visit A majority of Swedish travellers visit South Africa for holidays, with business travel2 being the next most common and the fastest growing purpose of visit Primary Purpose of Visit of Swedish Travellers to SA SA, 2003 and 2008 8%
Other1
10%
6% %
Business Tourist
7%
Pe ercentage of Arrivals
75%
7%
8%
75%
VFR
60%
Holiday
12%
60%
Business Traveller2
Pe ercentage of Arrivals
100%
Percent of Swedish Arrivals to SA by Purpose Purpose, 2003–2008 Combined
26%
50%
64%
45%
30%
20% 15%
53%
25%
7%
7%
6%
0%
0%
2003
2008
CAGR (2003–2008)
Holiday
Business Traveller2
VFR
Business Tourist
Other1
4.2%
25.4%
10.7%
-3.3%
12.3%
Note: 1Other includes visitor categories, ‘Shopping Business’, ‘Shopping Personal, ‘Medical’, ‘Religion’ and ‘Others’; 2Business: A trip which is undertaken to conduct commercial or formal transactions or activities that are related to a person’s job, e.g., visiting a client, signing deals, negotiating a contract (including import / export), etc. Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
46
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Current Swedish Travellers to South Africa: Travel Behaviour Travel Partner Swedish travellers usually visit South Africa alone or with their spouse/partner. The proportion of Swedish visitors who travel alone, further increased during 2003–2008 Percentage of Swedish Travellers to SA by Travel Partners Partners, 2003–2008 100%
80%
7%
6%
7%
5%
4% 5%
4% 5%
10%
11%
12%
9%
6% 5%
Perc cent of Travelle ers
10% 18%
10%
2%
5%
1% 8%
Tour group
8%
8% 8%
9%
9%
9% 8%
Children under 18
11% 10%
Family/children over 18 Colleagues/associates Friends Spouse/partner Alone
60%
33% 40%
30% 34%
34%
30%
20%
25%
32%
27%
36% 28%
36% 26%
0%
2003
2004
2005
2006
2007
2008
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
47
Copyright © 2010 SA Tourism. Not to be reproduced without permission
Current Swedish Travellers to South Africa: Travel Behaviour Length of Stay The length of stay for majority of Swedish travellers to South Africa varied from 6 to 13 days during 2003–2008 Length of Stay of Swedish Travellers in SA, 2003–2008 25
Average Length of Stay Most Common Length of Stay
20 18.4
18.2
17.7
19.4
18.7
Num mber of Nights
16.1 15
14.0
14.0 13.0
10
13.0
9.0
6.0 5
0
2003
2004
2005
2006
2007
2008
Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
48
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Current Swedish Travellers to South Africa: Travel Behaviour Spend per Trip/Prepaid Spend Average prepaid spend by Swedish travellers to South Africa grew at a slightly higher rate, compared to TFDS (excl. capex.), during 2003–2008 30,000
1 2, 2003–2008 A Average P Prepaid id S Spend d and d TFDS2 (excl. ( l capex)) by b Swedish S di h Travellers T ll to t SA (Rand) (R d)1,2 2003 2008
22,900
Rand
20,000 13,700 9,000
10,000
12,000
15,900
14,000 10 700 10,700
12,700
9,800
9,200
2003–2008 CAGR
19,900 9,500
Prepaid p % 7.9% TFDS 7.1%
0
2003
2004
2005
2006
2007
2008
Average Prepaid Spend and TFDS (excl. capex) by Swedish Travellers to SA (EUR)1,2,3, 2003–2008 3,000
2003–2008 CAGR
EUR
2,300 2,000 1,000
1,600
1,500 1,000
1,800
1,700 1,300
1,100
Prepaid 0.6%
1,600 1,100
900
1,000
TFDS
-0.1%
0
2003 Average Exchange Rate
8.54
2004
2005
2006
2007
2008
8.03
7.93
8.53
9.67
12.08
Note: 1Rounded-down to the nearest hundred; 2Total Foreign Direct Spend (excl. capex.); 3The figures have been converted from ZAR to EUR using the average annual exchange rates for 2003–2008 Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
49
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Current Swedish Travellers to South Africa: Travel Behaviour South African Package Tour Types A majority of Swedish leisure travellers purchase package deals through travel agents; while they make independent bookings directly with the airline (via internet) and accommodation providers Package P k T Type P Purchased h d by b Swedish Leisure Travellers to SA1,2,3, 2008
Channel for Purchasing Independent Deals2,3, 2008 100%
0.9% 1.7% 0.1%
2.8%
Channel for Purchasing Packaged Deals2,3, 2008 100%
7.9%
0.2% 1.8%
8.3%
1.4% 1.7% 1.9%
24.0% Independent
75%
75%
58%
67.1% 50%
50%
61.0%
25%
Package
90.1%
86.7%
Airline
Accommodation
25%
42%
30.2% 12.4% 0%
0%
Airline
Accommodation Directly with Airline
Tour operator
Directly with place of accommodation
Direct with Airline via Internet
Didnt pay/stay with family/friend
Travel agent
1Package
Note: refers to the following: Full Package = Flight Flight, Accommodation Accommodation, Car hire and Food; Fully Inclusive Package = Flight Flight, Accommodation, Food and Coach; Package = Flight, Accommodation, and/or Car hire; Independent = Separate booking for Flight, Accommodation, Car hire, Coach and Food; 2Includes only travellers whose primary or secondary purpose of travelling is holiday; 3Data has been re-proportioned to make the total equal to 100% Source: SAT Departure Survey, 2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
50
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Current Swedish Travellers to South Africa: Travel Behaviour Activities Undertaken Visiting natural attractions and watching wildlife are the most common activities1 of Swedish travellers to South Africa Volume of Swedish Travellers to SA by Activity1, 2003–2008 Combined 200
158
Thousands of Tou urists
150 136 111
110
100
54 50
51
49 33 21 13 3
2
2
0
Visiting Wildlife natural atu a attractions
Beach
Cultural Business Theme historical sto ca parks pa s and heritage
Social Adventure Visited Sporting Medical Education Health Casino Cas o and a d Training
2
1
Trading Hunting
Note: 1Excludes Shopping and Nightlife Source: SAT Departure Survey, 2003–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
51
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Current Swedish Travellers to South Africa: Travel Behaviour Reasons for Satisfaction Exploring scenic beauty and wildlife/game-park experience are the most common reasons for satisfaction among Swedish travellers to South Africa Top 15 Reasons for Satisfaction Among Swedish Travellers to SA, 2004–2008 Combined1 72
Scenic beauty 64
Wild life / Game park / Safari 41
Friendly people / Hospitality 15
Visiting friends / family 8
Business opportunities Restaurants/food/wine
7
Culture & heritage
7
Weather / climate
6
Good service
6 5
Di Diverse experience i 4
Beach Good infrastructure
3
Sport
3
V l ffor money Value
3 2
Touring 0
20
40
60
80
Volume of Swedish Tourists (Thousands)
Note: 1The question regarding best experience was introduced in 2004, hence, the data has been presented for 2004–2008 Source: SAT Departure Survey, 2004–2008; Grail Research Analysis Marketing South Africa in Sweden Third Edition 2010
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Current Swedish Travellers to South Africa: Travel Behaviour Province Visited Western Cape is the most widely visited South African province by leisure travellers from Sweden, with ~80% travellers visiting this province S Provinces Visited by S SA Swedish Leisure Travellers1, 2003–2008 Combined C
Limpopo 3.9%
Gauteng 33.7%
Mpumalanga 29.1% North N th W Westt 7.4% Free State 3.7% Northern Cape C 2.6%
KwaZulu Natal 25.0%
Percentage of Travellers >50% Eastern Cape 32.8%
10-50% 10 50%
