TIR Apr_May18.pdf - Page 6

Business challenges will continue in 2017
AS we reach the end of the
year, it must be admitted that
this has not been a banner
year for business. There have
been ups and dow ns and
some have been doing much
better than others. But most
travel agents and tour wholesalers have been feeling the
Unless there is a last minute surge in bookings, even
the end of year holidays will
not provide the usual icing
on the cake. The cake did not
meet expectations.
It is not a worldwide phenomenon. There have been
political issues and security
concerns in a number of usually popular tourist destinations but that has not deterred
John Wardall
Sarah Cornwell
Tel: 021 789 0053
Mob: 072 772 2189
Dominic Wardall
Richard Holmes
Sarah Robertson
Kate Els
Shannon Latimer
markets in other parts of the
world from travelling to alternative places.
As inflation has been negligible in other markets, ours
has continued to climb and,
forget official figures, real inf lation for the South African population which forms
the vast bulk of international
travel prospects has been
much higher.
The rand has f luctuated
erratically all year, with sharp
spikes defining the perpetual
political crises and social unrest, which continue to plague
us more than 20 years after
the majority got the vote and
the ANC came to power. And
there seems no end in sight.
Price rises rationalised by
While airline sales to some
destinations have risen, although yield is often down,
many customers have been
searching for cheaper ground
arrangements and turning to
providers as Airbnb, downgraded hotels or staying with
friends and relatives.
Next year may well provide
little relief. If South Africa’s
economic prospects are themselves downgraded by one or
more of the ratings agencies,
the rand, jobs, investment
and sentiment could all take a
further beating. Neither have
we seen the end of political
turmoil and social unrest. We
are in for another challenging
year. Enjoy the holidays and
fingers crossed for 2017!
Passenger satisfaction depends on technology
Dominic Wardall
Tel: 021 789 0053
Mob: 082 620 6425
Airlines and airports making the most of innovations in technology will have a competitive
edge, according to results of a passenger survey by the International Air Transport Association. IATA said the feedback proved travellers were happy to share personal information if it
meant fewer hassles…
IATA’s 2016 Global Passenger Survey gathered information from 7,000 air travellers
of every age, class and gender in more than
140 countries. The findings showed passengers were looking to technology to improve
their travel experience.
Passengers want to be able to do more of
the traditional airport process off-airport by
taking advantage of digital self-service options. In 2016, the percentage of passengers
who checked-in online and used a mobile
boarding pass increased to 71 percent. 33
percent want to self-tag their luggage and
39 percent would use electronic bag tags. 
A considerable number of passengers
would like to travel to the airport baggagefree: 26 percent want their luggage picked
Andrew Watson
Tel: 021 447 1724
Mob: 071 677 3858
Beverley Gough
Brenda Smith
Nerina Nicholson
9 Ruby Terrace
Cape Town
PO Box 745
Noordhoek, 7979
Tel: 021 789 0053
MW Media
up from home and delivered to the airport
and 24 percent wanted to be able to drop
off their luggage away from the airport. 61
percent expressed interest in tracking their
bags throughout the journey. IATA said
airlines were facilitating this by adopting
baggage resolution 753, which tracks bags
at major journey points, such as loading and
“Passengers want to arrive at the airport ready to fly… If the industry meets its
internal programme goals, then by 2020,
80 percent of global passengers will have
access to more self-service options,” said
Pierre Charbonneau, IATA’s Director, Passenger and Facilitation.
Passengers identified airport security and
border control processes as two of their
biggest pain points. The top frustrations
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World Media Co.
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were the wide variation in security screening procedures at different airports and the
intrusiveness of having to remove personal
items. A majority of passengers only want
to pass through security and border control
“With 40 percent of passengers choosing
their route based on airport transfer experience, airlines and airports can’t afford to
ignore passengers’ wishes,” IATA said.
Passengers want airlines and airports to
offer them a more customised travel experience, with 85 percent willing to provide
more personal data to make this happen.
Airlines and airports that make the most
use of technology innovations will ultimately edge forward, IATA maintained. Passengers want to be fully connected
onboard, preferably through
their own devices; 51 percent
of passengers, a 12 percent increase on 2015, would prefer to
use their own devices onboard
to access entertainment options. “With availability of Wi-Fi
connectivity continuing to have
a direct impact on the overall air
travel experience, adopting the
latest onboard Wi-Fi technology remains an effective way for airlines to
distinguish their brand,” IATA said.
Nick Careen, Senior Vice President for
Airport, Passenger, Cargo and Security,
added: “Passengers want convenience and
quick results with their bookings and checkin, a seamless and secure airport experience
and uniquely tailored experiences throughout their journey. They are ready to embrace
the benefits of new technology when it
comes to enhancing their travel experience.
Airlines and airports that recognise this and
provide passengers with easy-to-use mobile services, self-service options and onestop security checks will improve the travel
experience and passenger satisfaction.”

December 2016
CONGRATULATIONS to Candice Giloi, from True
Blue Surf & Island Travel, who was spotted with her
TIR in front of the highest waterfall in Mauritius.
Candice is the winner of an American Tourister
Lightrax suitcase, valued at R1,999!
Get ready to travel in style with the sporty looking
American Tourister Lightrax range. Loaded with functional features, this lightweight luggage of spinners
(from 2.6kg for the 55cm bag) incorporates a new
kind of luggage lock to prevent any movement of
the zippers by locking them
securely into the body of
the bag, preventing anyone breaking into your
luggage through the
zipper while in transit.
Available in black, turquoise and raspberry.
> Read the full GPS report here:
Fears over the decline of the GDSs due to
initiatives by the airlines, which appeared
to many to put them in jeopardy, appear
unfounded as they continue to develop
more trade-friendly solutions.
TIR Southern Africa
they pay extortionate interest, is losing its appeal as servicing the debt becomes unmanageable. And this is the
group on which travel suppliers and retailers depend.
High earners too are now
reviewing their travel plans
as many have seen their investments flagging.
Travel packages to all parts
of the world, including Europe, Asia, America and the
Indian Ocean, which often
provide by far the best value for families, have seen an
overall drop in sales, for some
in terms of customer numbers and others in terms of
price. This is a bitter pill for
retailers, for whom they provide high-return sales.
Industry View
John Wardall
rand declines never get reversed when the exchange
rate improves.
A lack of confidence in the
economy and the political direction of the country deters
investment, makes people
nervous for their jobs and the
future and causes many to
put the brakes on discretionary spending such as travel.
The middle class, the forgotten group most impacted
by tax increases and costs
associated with formal housing, motor vehicles, schooling and utilities, is under
great pressure. Even credit,
on which a disproportionate
number of South Africans
depend on, particularly, discretionary spend for which
Predictions that foreign visitor numbers to
the US will plummet following the election are pretty unlikely. Tourists heading
for Disney World are more interested in
seeing Donald Duck than avoiding Donald
United Continental is the latest airline to
hit economy passengers with extra charges for previously standard features. The
usual, disingenuous rationale: “Customers
have told us they want more choice”. Really? That isn’t a choice they want.

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