Open letter to the Minister of Tourism, the Honourable Tokozile Xasa.
I read with interest and concern that your department is embarking on
a programme of ‘Radical Economic Transformation’ of the tourism industry, and that it is devoting some R40 million (€2.4m) a year of its very limited funds to this purpose.
As a member of the industry, I am concerned that your priorities have not been clearly defined and thought that it would be useful for all of us in the industry to put our heads together to create a vibrant dynamic world-class industry in this country that will be to the benefit of everyone.
My own career is typical of how one can progress with little more than enthusiasm and hard work. As a farmer’s son from Louis Trichardt, I knew nothing about the tourism industry until I went on my first international trip at the age of 29. I started running a hotel booking agency called BOOK YOU with some partners. After 10 years I felt confident enough to manage my own show and in 1978 I started Thompsons Tours with a staff complement of two. The business concentrated on selling holidays to South Africans, but when Mandela was released in 1992, we began trading in a very small way as an incoming tourism business that subsequently became known as Thompsons Africa. It was, and still is, led by the very capable Linda Pampallis.
The company employs just under 200 full-time people and its composition is similar to that of the country as a whole. More women than men are employed, all religions are represented and whites represent less that 20% of the total. Turnover for the past year was just over R800 million (€48.3m).
The interesting thing about the business is that we designed it to be cash-flow positive – you pay before you stay – which meant that the growth from most humble beginnings was possible without ever borrowing money.
The point about all this is that we need to create an environment in which entrepreneurs with drive and enthusiasm can thrive. It does not matter if the leaders are black, white or khaki, they just need to be good. The barriers to entry are low in this industry. The capital intensive areas – airlines, hotels, trains, ships and coaches – do not provide the creative energy required to set the world alight. It is ordinary people who need to be encouraged to come up with fresh ideas, and it is our collective responsibility to ensure that this takes place.
May I suggest that you call a meeting of the industry leaders to discuss what role the Government can play and how it can help all races.