25 November 2009
editorial
Johannesburg — WITH 450000 soccer fans expected to descend on SA next June, it is not surprising that there is already a scramble for accommodation and flights.
Recently, prices have been ratcheted up as tour operators, fans and business people frantically attempt to secure airline tickets or hotel rooms.
Adding pressure to prices is the fact that no one yet knows which teams play in which cities. Those details will only be decided next Friday when Fifa holds the World Cup draw in Cape Town.
As a result, hotels and airlines have either held on to their inventory or sold their stock well in advance, making the few available rooms and seats hugely expensive. These artificially high prices have led some tourism operators and service providers into the false belief that fans will pay no matter what the price.
It a dangerous misconception that could hurt the future growth of the country's tourism industry and, in the short term, leave operators holding a very expensive but unwanted baby. For one thing, the current prices of hotel rooms and airline tickets are likely to drop substantially after the December 4 draw, when airlines, hotels and tour operators adapt to the World Cup schedule. New rooms and airline seats will be released into the market as companies put into play plans to meet huge demand.
Furthermore, while many fans will arrive clutching strong currencies such as euros or dollars, many are middle-class travellers who cannot afford hugely inflated prices. Charge too much and they stay away.
No doubt there will be far more demand than supply for travel services around key events such as the semifinals and final and those wanting to travel over that period will have to pay a premium.
But let us not forget what we want to achieve: sustained growth in tourism, long after the last whistle is blown. Overcharging is like harvesting saplings: You sacrifice huge returns in a few years' time for small gains now. Rip the fans off and they will never return.
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