The recent surge in South Africa’s international arrivals reflects the country’s high appeal as a tourist destination.
So said Andreas Lackner, VP – Operations, Africa & Indian Ocean, Hilton.
Lackner responded to a recent report by SiteMinder, a software platform that aims to unlock the full revenue potential of hotels, which stated that international guests made up more than half (56%) of hotel arrivals in South Africa last year, reflecting a year-on-year growth rate of 21%.
He confirmed that Hilton also experienced a significant increase in international arrivals last year.
“In 2023, we experienced a remarkable 24% increase in international visitors compared with the previous year. While we continue to see strong domestic demand, this has been complemented by a considerable growth in international bookings,” Lackner said.
He added that the hotel’s key source markets for South Africa include the US, the UK, and Europe, with a rise in the Chinese market also evident.
“There is a strong mix of leisure and business travel, which is indicative of South Africa's appeal for both purposes. Noteworthy is the exponential growth in the Chinese market, which has experienced a remarkable 30% increase compared with 2022.
“Overall, these trends underscore South Africa's enduring appeal as a premier destination and emphasise the importance of adaptability among hoteliers to cater to evolving traveller preferences and behaviours,” Lackner said.
Sandra Kneubuhler, Country Director of Sales and District Director for Radisson South Africa, agreed that, over the past year, Radisson had witnessed a significant rise in the number of international visitors to its South African properties, primarily from key markets such as Western Europe, the UK, and the US.
Kneubuhler further noted that Radisson had identified that guests are increasingly prioritising local experiences and showing a keen interest in environmentally sustainable practices.
Booking trends
For Hilton, the majority of travel bookings were from individuals and small groups. However, the group is beginning to witness the gradual recovery of larger leisure groups.
The hotel company had also noticed a shift in average lead time bookings, most notably in the one-month and eight to 14-day windows.
“This trend aligns with the changing business mix, particularly the growth in conference group business since 2022, which often requires a longer booking window,” Lackner said.
For Radisson, booking lead times were shorter than they were in the past, however, over the last six months it had seen an increase in longer lead times, up to 18 months out for luxury hotels.
Radisson has also seen a steady and notable increase in direct bookings. “This trend is most notable in the Western Cape and safari hotels but not yet evident in the Gauteng-based hotels,” Kneubler said.
Lackner said that Hilton's reservation sources exhibit diversity, with direct bookings accounting for the majority – more than half – of all reservations.
“Additional Hilton-owned channels, like Hilton Honors, come in next, followed by third-party booking sites, which form part of our distribution channel mix. Hilton Worldwide Sales, our sales arm, continues to play a critical role in driving interest in South Africa as a destination of choice amongst international guests by showcasing all the unique experiences the country has to offer,” he said.
The busiest periods for Hilton’s South African properties are August, September, and October, driven by increased conference group business and corporate travel.
“We also see heightened leisure demand in the last two weeks of December, coinciding with the holiday season. Other months maintain a consistent flow with a well-balanced mix of corporate, leisure, and business groups,” Lackner added.
Kneubler noted that the peak summer months (October to March) remain Radisson’s busiest months, whereas July/ August are the quietest months.
Lackner concluded that Hitlon was looking forward to growing its presence in South Africa with the upcoming opening of Hampton by Hilton Sandton Grayston – its first Hampton by Hilton on the African continent – later this year, as well as the addition of Canopy by Hilton Cape Town Longkloof in the next 12 months.