London (UK) is a firm favourite for South African business travellers in 2023, followed by Dubai (UAE) and Paris (France).
According to preliminary research from Corporate Traveller, a division of the Flight Centre Travel Group released on Monday, London will remain the top dog in the year to come and it was one of the only destinations where airfares had remained the same this year from 2022.
Bonnie Smith, general manager at Corporate Traveller said, “We’ve noticed for example that advance booking behaviour has very much remained on par with 2022. Businesses are booking on average 15 days before travelling. What has changed, however, is the top five international and regional business destinations and the airfares to get to these destinations.”
Smith said, “Heathrow is one of the top international airports for corporate traffic originating from South Africa, with many South African businesses having headquarters in the UK or being listed on the London Stock Exchange. We are, therefore, not surprised to see London in top position once again this year.”
In second place was Dubai, which was a newcomer in its top three international business destinations, and interest was picking up.
“Part of the reason for this increased interest is the fact that Emirates has considerably upped the number of flights to South Africa. From March onwards, the total frequency of Emirates flights into South Africa will be 42 weekly flights. That does not mean airfares have decreased. On the contrary, the price for an economy class ticket has increased 53% in 2023, compared to 2022,” she said.
This as inbound tourism to Dubai has flourished in 2022 with the hotels seeing 15-year occupancy highs, according to KPMG.
The UAE now hosts one of the richest hospitality markets in the world; with an expected 25% growth in the industry by 2030 and 40 million new visitors staying at hotels in Dubai by 2031.
In third place was Paris, France followed by Amsterdam, Holland, and Mauritius.
“With conferences and events picking up, it is not surprising to see Paris, Amsterdam and Mauritius in the top five,” said Smith.
Airfares to Paris had decreased by 14% compared to 2022. Meanwhile, economy class fares to Amsterdam had increased by 45% and fares to Mauritius by 24%.
In Africa, the top regional destination for 2023 was Entebbe/Kampala in Uganda.
According to the Department of International Relations and Cooperation, Uganda has been identified as an anchor state for South Africa, particularly given its geo-political position within the East African region; its relative economic size and importance for trade with South Africa and as a destination for South African investment. Airfares to Entebbe were up by 18% compared to last year.
Nairobi, in Kenya, was the second most popular destination for South African business travellers with airfares having only increased slightly by 5%.
In third place was Antananarivo in Madagascar.
“South Africa has always been an important source market and supply-chain link for Madagascar’s business and leisure tourism sector. Johannesburg’s OR Tambo International Airport is well positioned for Madagascar-based businesses and travellers to access destinations within Southern Africa,” she said.
Global passenger demand is expected to recover to pre-pandemic levels on most routes in 2023.
Traffic measured by the International Air Transport Association increased by 44.6% year on year in October, 2022 on a global scale while passenger numbers in 2023 were expected to surpass the 4 billion mark for the first time since 2019.
The latest Global Business Travel Association poll this year also reveals that spending is at 68% of pre-Covid levels, while for international business travel bookings have recovered to 54% of 2019 levels and spending is at 58%.
BUSINESS REPORT