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Richard Corcoran - Kenyan Tourism In Dire Straits
Mukiri
#11 Posted : Saturday, April 05, 2014 11:03:09 AM
Rank: Elder

Joined: 7/11/2012
Posts: 5,222
Rankaz13 wrote:
When I was in high school, I recall studying Tourism (Human Geography or so it was called) as a topic and in there was a sub-topic: Tourism in Switzerland. To this day, one thing has remained in my mind: the state of their domestic tourism, which contributes numerous revenues to the exchequer, creates employment and helps cushion the industry in case of a downturn in the numbers or spending of int'l tourists. Sasa hapa kwetu twangoja nini?Sad Sad

A certain rich Wazuan here, makes his money from domestic tourism. He saw a gap and went for it.

Proverbs 19:21
alma
#12 Posted : Saturday, April 05, 2014 11:13:27 AM
Rank: Elder

Joined: 7/20/2007
Posts: 4,432
Mukiri wrote:
Rankaz13 wrote:
When I was in high school, I recall studying Tourism (Human Geography or so it was called) as a topic and in there was a sub-topic: Tourism in Switzerland. To this day, one thing has remained in my mind: the state of their domestic tourism, which contributes numerous revenues to the exchequer, creates employment and helps cushion the industry in case of a downturn in the numbers or spending of int'l tourists. Sasa hapa kwetu twangoja nini?Sad Sad

A certain rich Wazuan here, makes his money from domestic tourism. He saw a gap and went for it.


Good for him. But why is it that it was cheaper for me to go to Tanzania than to go to Mombasa?

How long do you think it will take the domestic tourist to figure out that a while he may pay $30 to enter the Mara, he'll only pay $10 to enter Kruger and yes its cheaper?

Gov't policy on security issues is a joke and now the chicken are coming home to roost.

Do you know that 1 new hotel in Mombasa that was completed recently was closed after a few months coz of bad business?

Do you know that 2 major hotels have shut down for good this year in the coast? Do you an idea that this year the booking rates in the HIGH season was lower than last year and the previous year?

Every tour operator will tell you, the domestic tourist will never earn for the exchequer as much as the foreigner.

But if you think this is another debate about Kenya is sovereign, keep at it.

Meanwhile

Real Data

There are 9000 searches monthly for "Kenya Safaris". That's the same for "Tanzania Safaris". Yet to advertise for Tanzania it will cost you $9 per click while for Kenya it will cost you $5. So tour operators worldwide are seeing Tanzania as more profitable to their business. That is the real data.

Now lets move on to Kenya is sovereign talk.
Jose: If I make it through this thug life, I'll see you one day. The Lord is the only way to stop the hurt.
ecstacy
#13 Posted : Saturday, April 05, 2014 11:19:13 AM
Rank: Elder

Joined: 2/26/2008
Posts: 4,449
I like the fact that Richard Corcoran has been able to factually articulate the case. It is not a pro/anti-establishment discussion or tourism industry seeking favours but core bread and butter issues at discussion here. Interesting angle on the data from alma too about online searches.

Dr Richard Leakey as a professional did make this sector receive a major hearing ear in President Moi's regime due to the donor funding and appease required from Kenya. Left to 'ourselves' we are cannibalizing each other. Devolution and involvement of county governments run by short term thinkers just complicated it.

At the root, poor governance (little creativity with resource mobilisation) and corruption are our undoing.

As an example, maybe any county legislation impacting local an forex gains +/-ve needs to go through review at central government for strategic review. At the end of the process, the county still keeps a portion of the income generated but core legislation remains at central government.

An Economic Crimes Bill should be enacted where in part poaching and corruption are declared economic crimes with special well staffed courts where wealth restitution is effected as well as severe punishment like death/life imprisonment.

Punitive actions when taken have a way of containing negative human behavior.
alma
#14 Posted : Saturday, April 05, 2014 11:26:54 AM
Rank: Elder

Joined: 7/20/2007
Posts: 4,432
In fear of being labelled unafrican, I believe that the tourism sector should not be allowed to be in the hands of the present day leaders.

Give Paula Kahumbu the KWS job and there shall be no poaching. Give Richard Leakey that tourism docket and we get rid of silly gov't bureaucracy.

This gov't hired CEO's who are basically very good at milking people's pockets dry. They are the type of CEO who is concerned with revenue generation eg restructuring, retrenchment and such tools.

They should have hired especially for this docket the type of CEO who's skill is market share increases.

But we are one.
Jose: If I make it through this thug life, I'll see you one day. The Lord is the only way to stop the hurt.
B.Timer
#15 Posted : Saturday, April 05, 2014 11:37:55 AM
Rank: Veteran

Joined: 5/31/2008
Posts: 1,076
There is certainly a problem that calls for attention, but I also get a feeling that matters are being over hyped here.
Actualy my take is that the write up by Richard Corcoran has certain valid points, but also many half truths based on business interest biases

The VAT matter was poorly and hastily implemented, complicating pricing issues for businesses. If my memory serves me well, it was formally adopted in the budget estimates read out in June 2013. As required by the constitution, the proposal was floated a couple of months earlier for the public to reflect on them.

In regard to security, I agree that the government needs to do more, as the current situation is worrying.

I also do agree that Poaching can be checked much better than we are doing. To be fair though, Tanzania and other African Countries are also faced with this menace.

Businessmen will always attempt to lobby Government as they canvass for preferential treatment even in circumstances where it is not justified.

Why for example would tour vehicles expect to
have a different set of rules in relation to other PSVs!!

I have no issue with the park fees being increased to $90 as Kenya deserves to earn equitable revenue from her resources and as is usual, every passing year, prices across all sectors go up as a matter of course.

Whining about small scale operators and calling for their obliteration is to lose it completely.
For starters, you begin small before you can grow big. In any case would anybody show me a sector where the small operators don’t exist. Even media has the gutter guys eking out their living right there.

I am not persuaded that Liberty Africa Safaris Kenya is making any losses!! How!! Its just a fat lie. One that stinks.
He would have to demonstrate how that happens, otherwise I am not sold out on this.

Irony
Isnt the proliferation of lodges in our parks an indication of business fortunes!! Why would any businessman invest in a resort with no prospects for returns!

Year in year out we keep hearig how we should grow our tourist arrival numbers.
Doesnt that of necessity mean that we have to increase our bed capacity!

Finaly, just as Richard Cocoran may have voted for Uhuru, so did the Matatu guys, the brief case operators, hotel industry investors, ranch owners around the Parks etc.
Dunia ni msongamano..
alma
#16 Posted : Saturday, April 05, 2014 11:56:52 AM
Rank: Elder

Joined: 7/20/2007
Posts: 4,432
Unlike most people, I only look at data. And its not impressive. Action needs to be taken or 2015 will be a horrible year.

Just follow the links below and you will understand that what Mr. Corcoran wrote should not be wished away as the ramblings of a crazy white man.

The move will see over 2,000 employees laid off from about fourty hotels in the North coast and thirty in the Kenyan south coast.

Falling Tourist Numbers Could Drive Coast Hotels Out Of Business

Low Tourist Arrivals Hit Hotels In South Coast

The area, which is a popular tourist destination, has only 21 hotels and currently has bed occupancy of about 60 percent, according to the Tourism Promotion and ICT county executive Adam Sheikh.

Bad Reviews whether real or imagined cannot be wished away either.

Safaris More expensive from yesterday?



The worst case scenario is where is the gov't when people are saying negative things about the country? Having press conferences with the Daily Nation is not where they are needed.

Why would private tour operators be the people telling unknowing tourists that Kenya is safe?

Just follow this thread and shake your head.

Quote:
I witnessed an impressive attempt to stop terror today: On my way to the Tanzanian border, about 10 km from Lunga Lunga, I was pulled out of a taxi and stood under a tree for about 20 minutes, together with two European women from a different car, while the police phoned in our passports.

Meanwhile, buses and cars full of Africans zoomed by without being pulled over.

At the border I was asked for my yellow fever book, but not a single African was checked that I could see.

Good to know they are getting on top of this Caucasian terrorist problem.


Now its up to you to believe what you wish to. But numbers don't lie.

If this gov't is doing anything to stop the slide, I have not seen any evidence. But I'm willing to be educated.
Jose: If I make it through this thug life, I'll see you one day. The Lord is the only way to stop the hurt.
Obi 1 Kanobi
#17 Posted : Saturday, April 05, 2014 2:16:17 PM
Rank: Elder

Joined: 7/23/2008
Posts: 3,017
From that article, the real problems I think we have are:
- Insecurity; this will definitely kill the coast circute and may be our tourism
- Poaching, if it reamins unchecked
- Overdevelopment of the Mara.

All the others are neither here nor there, the park entrance fee is fine, VAT is fine, brief case whatever are simply someone mourning about competition
"The purpose of bureaucracy is to compensate for incompetence and lack of discipline." James Collins
B.Timer
#18 Posted : Sunday, April 06, 2014 12:10:22 PM
Rank: Veteran

Joined: 5/31/2008
Posts: 1,076
alma
#19 Posted : Sunday, April 06, 2014 12:23:40 PM
Rank: Elder

Joined: 7/20/2007
Posts: 4,432
B.Timer I thought I was going to see data. You are showing me a link about projections.

My friend. The data is damning. There is no way to hide from that.

The tourism industry needs a major injection of Jubilee gov't machismo.

Bring in the First Lady. Her participation in a marathon is GREAT for the country. Let her work on our PR.

Lakini trying to pretend that things are rosy is a recipe for failure.

I know that's the jubilee motto. Kusema na kutotenda. But on this one, data is not lying. You are.

I'm saying that as someone who's seeing a major decline in bookings from the industry first hand. From 50 bookings a day to 5 a day. Accross the board.

The queries you get from the bookings are simply

"how safe is Kenya in October? I'm coming with my family and want to know if I should come to Kenya or Tanzania."

The above is copy pasted.
Jose: If I make it through this thug life, I'll see you one day. The Lord is the only way to stop the hurt.
washiku
#20 Posted : Sunday, April 06, 2014 12:44:21 PM
Rank: Chief

Joined: 5/9/2007
Posts: 13,095
In matters economy and its management, I don't believe in "we feel that..." I believe in actual numbers. The issues the tourism sector is going through are not solely Jubilee made and thus this discussion should soberly go beyond who is to blame to what is to be done. If a company realises that one of its valued product is declining in sales, it calls for a crisis meeting and lays down strategies on reviving it. They could be promos, marketing, price cuts etc...Here, we already know the issues affecting tourism. Numbers show we are doing badly. Madam CS admitted as such recently. My question is: What is she doing to change the perception of the investors and consumers of the sector that things will change? Where are the offers? Where are the brand managers to initiate an aggressive campaign? What are we doing to stop the poachers? Can we as a country answer these two questions comprehensively?

1. WHY should I invest my billions in your hotel industry?

2. WHY should I come to enjoy my dollars/shillings over my holiday in your country?
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