South Africa Hits Tourism Milestone In 2023 By Exceeding 8 Million Inbound Trips: Euromonitor International

  • South Africa recorded a significant increase in arrivals, with trips rising by over 40% to exceed eight million trips in 2023
  • Country expected to return to pre-Covid tourism levels, with inbound trips projected to surpass 10 million in 2024
  • Regional tourism also gains momentum benefitting from shared cultural background

South Africa reached a travel and tourism milestone in 2023, recording a substantial increase in arrivals with trips rising over 40% to exceed eight million, according to data analytics company Euromonitor International.

The country has aligned all tourism elements to create a positive environment for growth. South Africa is now close to 90% of its pre-Covid arrival numbers with inbound trips projected to surpass 10 million in 2024, underscoring its strong recovery and appeal as a key destination within the region.

According to Euromonitor International, South Africa gained over ZAR100 billion in inbound receipts in 2023 and is expected to see further opportunities for growth in 2024. Tourism in South Africa is on a continuous development path, at 14% average year-on-year trips growth between 2014 and 2024.

Christy Tawii, Research Manager at Euromonitor International, said: “Tourist arrivals from traditional key markets such as Europe and the United States, as well as new markets like China and India, began to regain momentum, largely driven by South Africa’s reputation as a value-for-money destination and the advantages offered by a weak currency. Visitors from these regions choose to extend their stays, further boosting the sector.”

South Africa benefits from shared cultural backgrounds with all Africans

A significant portion of South Africa’s inbound tourists in 2023 were regional travellers from within Africa, benefiting from shared cultural backgrounds and a growing familiarity with the destination. Regional tourism is expected to strengthen further in 2024, with South Africa continuing to serve as a key destination for travellers within Africa.

Tawii said: “Although transportation and visa processes are still improving, they have made inter-regional travel more accessible, fostering growth in this sector. The introduction of a visa-waiver scheme between South Africa and Ghana in November 2023 is an example of initiatives that have facilitated easier travel between African nations, supporting the rise in regional tourism.”

SA enhances its reputation as a diverse and multifaceted destination 

South Africa offers more than the traditional safari experiences commonly associated with other African markets. The country’s tourism strategy emphasises its strong infrastructure and diverse tourism offerings, which include rich cultural heritage, historical landmarks, adventure tourism, and eco-tourism, appealing to a wide range of international travellers.

Tawii said: “In addition to these established offers, South Africa continues to diversify its tourism portfolio by tapping into unexplored areas such as star bathing, agritourism, culinary tourism, luxury experiences and MICE (Meetings, Incentives, Conferences, and Exhibitions) tourism.

“By securing sustainable revenue streams and attracting new and diverse high-value source markets, South Africa is positioned as a destination that caters to a wide range of interests and preferences. This strategic expansion not only broadens South Africa’s appeal but also enhances its competitiveness in the global tourism market. The country’s diverse offering positions helps it capture a substantial share of this spending.”

Increasing focus on domestic tourism to adapt to global challenges

Tawii said: “South Africa’s tourism industry has adapted to global challenges with renewed focus on the domestic market. According to our research, domestic tourism remained a significant contributor to South Africa’s tourism revenue, accounting for over 45% of total value sales.

“Recognising the potential opportunity of local travellers, especially within the middle and high-income segments, tourism operators have developed tailored travel packages and experiences designed to meet the specific needs and expectations of these groups. These initiatives were aimed at making domestic travel more attractive and accessible, encouraging South Africans to explore their own country.”

Critical digital developments will impact travel and tourism by 2028

Artificial Intelligence (AI) is set to revolutionise how consumers interact with and book travel products and services, driving a paradigm shift in the industry. The travel industry is gearing up for a digital transformation that will be driven by big data, AI, and a focus on mobile and online platforms. These developments will play a crucial role in shaping the future of travel, ensuring that businesses remain competitive and responsive to the changing needs of consumers.

Tawii said: “In our analysis on how various travel businesses plan to adapt to the evolving landscape our research identified critical digital developments over the next three to five years.

 “Building a strong mobile presence emerged as a priority, with 45% of companies already offering trip management apps. This trend underscores the industry’s recognition of the importance of mobile technology in meeting modern consumer expectations. Businesses are preparing to integrate new technologies across their operations, driven by the understanding that staying relevant in a competitive market necessitates embracing digital tools. Despite concerns about digitisation impacting personal connections in the tourism industry, these new digital avenues offer unique opportunities for growth, differentiation and innovation.”

For more information view Euromonitor’s Travel in South Africa report.

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