It's tourism_ stupid_ by gyvwpsjkko

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									Date : December, 04 , 2008 Publication : Finweek ­ English Edition Page Number: 17




                                                                                                                                                       | SOCCER WORLD CUP |

                                                                                                                                     It's tourism, stupid!
                                                                                                                R17,4bn (up from the R2,3bn             behind 50 000 permanent jobs
                                                                                                                anticipated in the bid book) in         and 88% of visitors polled dur­
                                                                                                                World Cup related infrastructure        ing the tournament said they'd
                                                                                                                SA's private sector isn't being left    "definitely or probably" recom­
                                                                                                                behind and has splashed out on          mend a trip to the country and
                                                                                                                hotel infrastructure.                   16% of visitors combined their
                                                                                                                    In Johannesburg alone, 22           World Cup trip with an extended
                                                                                                                new hotels with a combined              holiday.
                                                                                                                capacity of almost 3 000 rooms              In Germany, 4,5m litres
                                                                                                                are being/have been built. Car          of beer were drunk and 3,5m
                                     ALTHOUGH THE 2010 Soccer               to be aware they'll have only       hire companies are doubling             sausages were sold during the
                                     World Cup is going to inject an        two weeks ­ at most ­ to do         their fleets to a combined              month of the event. "In SA we'll
                                     approximate R8,5bn in spending         their World Cup business," says     90 000 vehicles, while emerging         have to think about something
                                     by the 500 000 foreign specta­         Gillian Saunders, head of the       entrepreneurs are converting            unique to sell ­ like bunny
                                     tors and teams, the event will be      unit. "Everything needs to be       their homes or building new bed         chows," says Saunders.
                                     over before many business­             done in those few days."            and breakfast facilities for the                 SIKONATHI MANTSHANTSHA
                                     people notice it in provinces               Grant Thornton is central      expected overseas invasion.                          sikonathirmri>finweek.co.za

                                     such as Limpopo and Mpuma­             to the preparation activities for        Says Saunders: "This is more
                                     langa. Some might be in for a          the tournament, as it does work     a tourism event than a soccer
                                     nasty surprise, as the World Cup       for SA's Department of Sport        one. Soccer will be played for
                                     isn't going to last more than          and Recreation's and the City       only 96 hours but people will
                                     nine days in Mpumalanga's Nel­         of Johannesburg's economic          stay for at least a month." Johan­
                                     spruit, the only host city in that     modelling for the event. It's       nesburg's OR Tambo Internation­
                                     South African province.                also doing consulting work for      al airport will see up to 30 000
                                          According to Grant Thorn­         nine of the stadiums hosting        more arrivals and departures on
                                     ton's tourism, hospitality and         the event, as well as most of the   the busiest days and Gauteng's
                                     leisure business unit, Nelspruit       host cities. The unit also worked   hotel capacity will have to pro­
                                     will host four games between           on SA's unsuccessful 2006 Soccer    vide up to 190 000 more beds in
                                     16 and 25 June 2010. And no            World Cup bid.                      the three days the province will
                                     single team will play there more            A large chunk of the pro­      host three matches. Gauteng will
                                     than once, meaning supporters          jected R8,5bn will be spent on      get the lion's share of the event,
                                     and fans won't be staying in the       accommodation (25%) transport       as it hosts 21 of the tourna­
                                     same place for the duration of         (18%) to get to game venues and     ment's 64 games.
                                     the three first round games.           on food (15%). Grant Thornton            The good news for SA is that
                                          That might result in many         estimates a good R5bn will go       the soccer World Cup will leave a
                                     shattered dreams if people cur­        to those categories and that the    legacy of increasing tourist arriv­
                                     rently invest overzealously in         transportation figure excludes      als well after the tournament.
                                     anticipation of a quick buck in        costs of getting into and out       Grant Thornton expects a 60%
                                      18 months'time.                       of this country. Although Gov­      increase in arrivals up to 2015. In      Event will be quick.
                                                                                                                2006 the event in Germany left           Gillian Saunders
                                          "People in those areas need       ernment is spending around



                                                                                                                                                              4 DECEMBER 2008 FINWEEK ■ 17




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