MKTE 2018 Market Presentation Platform: Africa

Event Africa Contributor 03/10/2018 Industry Events
mkte 2018

Day 1 of Magical Kenya Travel Expo 2018 saw the launch of the new feature, Market Presentation Platforms. The inaugural educational sessions unpacked both the US and Chinese Markets and today the sessions explore the African and Indian Markets.

The Africa Market Presentation will be happening at 11:00 in the Lenana/Abedare Foyer.

Africa is gradually emerging, not only as a tourism destination but also as a tourist source market for Kenya and beyond. The number of Africa-outbound market will reach 62 million by 2030, according to UNWTO. The African middleclass is also on the rise estimated at about 300 million out of a population of about one billion.

The Africa traveller is a young, educated, techno-savvy, professional and multipurpose in travel combining business & leisure. Besides the African nationals, Africa hosts numerous expatriates as diplomats, investors, NGOs, and professionals. There is a clear need to position Kenya in this new emerging Africa.
Kenya has a competitive edge over other African countries:
  • There is little language barrier: in most parts of Africa, English is a common official language
  • Accessibility: Kenya is easily accessible to many African markets by air and by road.
  • Cultural distance: there is little or no cultural distance between Kenya the rest of Africa in terms of dressing, food, cultural practices, cultural values etc.
  • The use of IDs and interstate passeshas make travel even more accessible, especially to East Africans
  • Visa on arrival incentive
  • Investment in select African markets over the past years is paying off
  • Nairobi is more cosmopolitan, has hub status and social scenes with less or no racial undertones

Focus Markets: South Africa, Nigeria & East Africa

Arrivals in Africa grew by 8% in 2017, according to UNWTO’s World Tourism Barometer. The continent consolidated its 2016 rebound with a record of 62 million international tourists in 2017 and contributed 29% of the total tourism arrivals. The key beneficiary was North Africa where tourist arrivals rose by 13% compared to 2016, whereas the sub-Saharan Africa increased by 5%.

Key Barriers

Consumer’s uptake of the destination are:

Awareness levels about Kenya are low – travellers and travel agents rarely see Kenya as a potential holiday destination because they currently do not know much about the country

The cost of a holiday and a trip to Kenya is the main concern for both travellers and travel agents. Travellers want to know that they will be able to afford everything during their trip. Travel agents find it hard to sell Kenya because it is too expensive especially compared to other competing destinations.

South African Market

8% of the entire South African population has the propensity to travel, which is around round 6 million. The major cities by business and population are, Johannesburg, Durban and Cape Town.  The majority of travellers to any destination from South Africa hail from Johannesburg, as much as 70%.

The traveller is looking for:

  • Value for money; cheapest is not always best but what you get for your money should be recognisable.
  • New experiences; cultural, culinary etc.
  • “Brag factor” – if others, especially celebrities, are seen in Kenya on social media or on TV
  • Ease of access from South Africa
  • Visa-free

Nigerian Market

Nigerians travel for business and leisure purposes. Leisure travel is steadily growing from 50% of total arrivals in 2015 to 61% of total arrivals in 2016. Urban centres, such as Nairobi and Mombasa, hold the highest appeal due to the rich offering of social scene and shopping.

The Nigerian consumer is a very impulsive and known for being a last-minute traveller that favours ease of access. Visa requirements are a key driver for the short breaks.

East Africa

Theres is a potential to post more arrivals in the country and Uganda is currently one of Kenya’s top tourist source markets from Africa. Kenya serves as an alternative quick getaway and awareness levels are considerably high. However, there is room for improvement as about 13%of Ugandan travellers still do not know what Kenya has to offer.
Nairobi and the Kenya Coast remain popular destinations for regional travellers. In most cases, place brands such as Diani, Mombasa and Nairobi are becoming more popular than the overall country brand.

Across all segments in each market, affordability, availability, familiarity and recommendations are vital determinants of purchase into the Kenyan market.

See what other markets will be featured, here.