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Kenyan tourism registers remarkable improvement
The Kenyan tourism industry registered remarkable improvement in the year 2016 according to the Kenya economic survey report of 2017 following aggressive marketing in domestic and international markets as well as improved security. There was however jitters in the market following the political uncertainty in the country a situation that has had a devastating impact on business and especially the hospitality sector with many hotels recording low occupancy levels during this period. Anthony Ngunga, General Manager, Crowne Plaza Nairobi joins CNBC Africa for more.
Wed, 18 Oct 2017 08:05:51 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Significant increase in arrivals in 2017, driven by conferences and the Maasai Mara migration
- Sharp decline in business post-elections, with hotels struggling to maintain occupancy levels
- Emphasis on tapping into resilient markets, diversifying strategies, and enhancing security measures
The Kenyan tourism industry has seen significant growth in 2017, with a sharp increase in the number of arrivals compared to previous years. This positive trend was a result of aggressive marketing campaigns both domestically and internationally, as well as improved security measures. However, the recent political uncertainty in the country has created a sense of apprehension in the market, particularly impacting the hospitality sector. Many hotels have reported low occupancy levels due to the uncertainty surrounding the political situation in Kenya. Anthony Ngunga, General Manager of Crowne Plaza Nairobi, sheds light on the challenges faced by the industry and discusses potential strategies to navigate through the current hurdles.
Ngunga highlighted that the hospitality sector in Kenya experienced a surge in arrivals up to August 2017, recording over 100,000 arrivals in July alone. This upturn was attributed to various factors, including hosting conferences in Nairobi, the migration period in the Maasai Mara, and the influx of observers during the elections. However, following the elections, the industry witnessed a sharp decline in business, with many hotels struggling to maintain a 30% occupancy rate, a significant drop from the previous 70%.
The aftermath of the elections and the subsequent uncertainty in the country have led to widespread cancellations and a sense of insecurity among tourists and business travelers. Ngunga emphasized the far-reaching impact of the tourism industry, affecting not only hotels but also the entire supply chain, from farmers to taxi drivers. The current situation has raised concerns about the future of the industry and the need for proactive measures to mitigate the effects of the political climate on tourism.
In response to the challenges posed by the current environment, Ngunga discussed the importance of tapping into resilient markets such as Uganda, South Africa, and Tanzania. He underscored the need to tailor packages and marketing strategies to cater to these markets, which have demonstrated more stability in the face of political uncertainties. Ngunga also emphasized the importance of diversifying and exploring new markets in Eastern Europe and Asia to reduce dependency on traditional markets like Europe and America.
Furthermore, Ngunga called for long-term strategic planning and government support to drive the growth of the tourism industry. He stressed the need for adequate funding for marketing efforts and the development of new market segments. Ngunga highlighted the potential of the African market and suggested exploring opportunities to attract visitors from countries within the continent, noting the resilience of African travelers in times of uncertainty.
Addressing security concerns, Ngunga emphasized the crucial role of the government in ensuring the safety of tourists and investors. He noted that security lapses can have devastating effects on the economy, leading to layoffs, reduced investments, and overall economic downturn. Ngunga called for enhanced security measures to protect investments along the coast and safeguard the tourism sector from external threats.
In conclusion, Ngunga urged a shift in focus towards emerging markets such as India and China, citing the vast potential of these markets for growth. By capitalizing on the large population base of these countries and implementing integrated marketing strategies for the region, Ngunga believes that Kenya can attract a significant number of visitors and sustain its tourism industry amidst political uncertainties. With a strategic approach and government support, Ngunga remains optimistic about the resilience of the Kenyan hospitality sector and its ability to weather the current challenges.
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