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All right, 25 minutes to 8 o'clock here in power business with me. And as I mentioned before the news, the news headlines we'd be heading into our power boardroom. Remember, you can always call in, share your views, your comments on 086198700.
or WhatsApp us on 083 303 7093, then we're also on X at a power FM 987. I remember to use the show hashtag power business almost on X at NOSIPO underscore. But now mega business conferences and international summits have become powerful catalysts for economic growth, not only drawing global attention to South Africa, but also generating millions in revenue.
from the landmark BRICS summit to events like Meetings Africa and Africa's Travel Indaba. These high-profile business gatherings provide lucrative opportunities for economy, spurring job creation, boosting local businesses and attracting foreign investment. Now, as South Africa continues to position itself as a premier destination for international conferences, including the upcoming 2025-20 summit, the financial benefits are key.
But to help us unpack this conversation is Tandiwa Matibela, a global manager for PR communications and stakeholder relations, South African tourism. Tandiwa, a very good evening and welcome to Papa'sness.
Now, Tundi, can you give us an overview of the business event sector in South Africa and explain then the role of South African tourism and the National Convention's Bureau playing in this industry's value chain? In 2018, the South African business event sector is also known as the MICE industry, which stands for Meetings and Centre Conferences and Exhibitions, which is actually the part of the tourism sector that brings together those kinds of events.
At this site, I was valued at $6.6 billion in 2023. And it is estimated that by 2032, it will be valued at about $25.9 billion, these are dollars that I'm talking about. So it is a big part of a contributor to the economy.
And what we do at South African tourism because our mandate is to increase the number of people that actually come to South Africa. And we all know that people come to a country for, go to a country for different reasons. So the mindset that actually focuses on those people that we refer to as business events delegates, those are people that come and travel to a country to attend either a big meeting, a conference or for business purposes such as maybe if they are incentivized by their company.
And the role that we then do as a African tourism is that we go to different parts of the world, different source markets, and we actually position in markets at Africa as a country to come to when we want to host an event. One of our own own events is called Meetings Africa, and it will take place in February 2025 at the Sentin Convention Center. And as an example, we are currently out at IBTN World, which is in Spain, Barcelona.
where we are once again joined by various players in the private sector. We are there showcasing when we're being met by a minister of tourism, Minister Patricia Dineo, and we are showcasing South Africa's offering when it comes to hosting these big events. And I guess in with South Africa said to host in the 2025 G20 summit, which will bring over 40 global heads of state to our shores,
How do you think this event will enhance South Africa's reputation as a top business and tourism destination?
Well, because we will have the world's biggest leaders actually descending up on South Africa, I think that is the biggest proof point for us to say that we actually can host big events. But also the beautiful thing about the G20 summit is that throughout the year, we'll be having a series of meetings, which actually provides us with a repeat opportunity to showcase our capabilities to host events of various sizes.
But the G20 summit will also do for us. And obviously, it's an iconic one because it will be first, it's the first time that it will be also hosted on African soil is that it provides us with an opportunity to not showcase that Africa, but the rest of the African continent too. And to continue partnering with that sector in putting the continent on the global map.
Yeah, and I think that my next question, you know, a bit of a might be an important one, you know, because especially because small businesses at medium-sized enterprises play such a crucial part in our economy. But how do business events, you know, benefit small and medium-sized enterprises in South Africa? And what role do these enterprises play in the overall success of mega business events?
I am so glad that you asked that question because it is something that we're very passionate about at South African tourism, and indeed, as the great tourism sector and business and et cetera. As you know, part of the G&U priorities are that we need to make sure that in everything that we do, we promote inclusive growth and we do everything possible to reduce unemployment and poverty. So what we do, and we've always done it for a long time at South African tourism, is that
we make sure that we provide smaller players within the tourism sector, both from the business events perspective, as well as from a major traveler, with an opportunity to be able to have access, market access. So when we do go up to take shows that are hosted globally, as an example, as the one that I've cited earlier, we make sure that we take with us SMMEs and we give them an opportunity to showcase what their businesses are all about so that people can actually
Often use them when they come to South Africa. In fact, that is what we did this afternoon in Spain, where we gave our SMME an opportunity to meet with the people that we call by as in those are the people that look at various services in the country and then they bring an event there. That is one of the things that we do there. But also very importantly, what you say about SMME is that you also they are able to find
you know, innovation, you know, and also agility that comes with being a small business. And these are the things that add a unique aspect to our offering as a destination, both from even an agent or business event sector. So that's also very important. And also sometimes you may find that some meetings can be hosted in a very unique way. You can imagine hosting a meeting, for instance, in the Cougar
Or imagine just giving it that different flair in a township, or in a smaller dorky where you can also overlay that with a quick character. And that's the role that the small businesses can play. And of course every small business is led by a person.
And you can never underestimate what discount the power of that personal touch and that warmth, that unique warmth that African feel that we bring to every business that we do. Yeah, that is definitely true. We definitely bring our own flair and our own warmth to what we do. But, you know, South Africa has already secured in bids to host 25 international business events by 2029, which I expected to bring in over 240 million rand.
Can you give us then some details about these events and the broader impact they're expected to have on South Africa's economy?
You know, the work that we do as a South African National Convention Bureau, which is a business unit of South African tourism, is that we commit funds so that we can support certain bids that then bring together, you know, money and people to South Africa because that's very important. So these events vary from the medical sciences to life sciences, the manufacturing sector,
the commerce sector tourism and of course the creative industries. What these events really do for us is that firstly they help in positioning our country which is very important.
so that we can continue attracting big business events, such as obviously the G20 that was cited, but also so that we cannot also attract major travelers as an example. So these events are really, really big for us. And of course, they contribute to the number of arrivals, because once we've got big events, it means we're able to receive a big number of people all at once, which is really great for our economy as well.
And through these big events, then people get employed because then they offer different services to the people that actually come for these events in our country. But what is also very important is that these events actually then contribute to the knowledge economy because as people need to know that you shared, you know, innovation that shared, and actually it really does promote the knowledge economy, which is something that South Africa leads in as you will very well know.
And lastly, it's that cultural exchange, something that you cannot necessarily put money to, but it gives that rich heritage that a person and experience that one takes over as they go through different stages.
And you know, I want to know in terms of, because we have these mega events, these mega conferences, but sustainability is also sort of key to this. And beyond the economic impact, how are these business events helping them to promote sustainable practices and innovations in the tourism and mice industries in South Africa?
In fact, it's become almost like a non-negotiable that if you're going to host an event, it needs to be sustainable. And remember, sustainability comes in terms of prosperity, which is around the economic impact we've touched on.
that any event brings to a country. It's also really around, you know, being green and ensuring that whatever it is that we do does not actually damage the environment, which is very important. So you will find in all events that we hold, including the Meetings Africa, that is actually hosted by South African Tourism in partnership with Heart and Tourism in Joseph Tourism, of course, hosted a sense in convention center. We ensure that we do practices that are not actually detrimental
to the economy, to the environment, and also even in the way in which we make sure that, you know, the people and the community benefits, because that's also very important and that is part of sustainability. In the things that we do when we go out and we show our delegates, you know, South African experiences, we make sure that there's a benefit to the economy. How we also source the services that we then bring to the event is really about ensuring that we involve the economy so that in the long term, this sustains not only livelihoods, but of course, lives.
And you've been very sort of elaborate, you know, Tandiwa in terms of these mega sort of events. But, you know, as you've mentioned, looking at the success of meetings, Africa and Africa's travel in Dhaba in previous years, what lessons can we learn then to continue driving the growth of the business events sector in South Africa? I think the biggest lesson, and it's something that it's an African tourism move up, I've got it for a while now.
You know, the power of partnerships and the power of collaborations extends very fine wide.
And it's got very far reaching benefits for us as a set up broadly. But so that is the one lesson that's very important for us is that we continue with the partnerships and collaborations. As an example, at both meetings, Africa, as well as Africa's covered in other, which is an event that we also host in May, is that we've extended our offering at the show. So we now have what we call the aviation pavilion, where we then showcase land
What that then does is that it gives not only more content to the show, but it also kind of presents the sector in its broader, you know, you know, might sort of speak. So that's the one lesson that we've learned. And of course with each and every event, we look at how we can enhance that experience so that people continue to come to our country. And that is also something that, you know, we have applied over time.
But also in just what is contained in our event calendar, what it is that they delegate the people that come to the conference can take out. So that is what we refer to as the value of the trade event itself. So these are some of the lessons that we've learned and these are some of the lessons that we continue to apply as they enhance and improve our staging of these shows.
And I guess finally then in closing then, what are the key considerations in for South Africa as it plans to host more international business events in the future? What improvements are being made to ensure even greater success? I think the thing that we've seen work, which is also something that I've highlighted already, is that the biggest key consideration is that we do it together. By together as in together as a country, we partner, we collaborate for the greatest success of our country.
And indeed, with some of our shows of our greater continent. And that is the most important thing, of course, as we do so, we'd like to make sure that we benefit the people of our respective countries, because that is actually the failure. We must make sure that we contribute economically, and we actually must make sure that people walk away with a greater knowledge, with more experiences that they can then apply and bring in more people to their country. And those are the things that I think are really important when you look at the business sector.
Yeah, very important considerations there. But that's all the time we have this evening, Tandiwa. Thank you so much for your insights this evening. Thank you so much, Natiwa, and good evening to all the listeners. Fantastic. That was Tandiwa Matibela, a global manager, PR communications and stakeholder relations at South African tourism for our power boardroom this evening, looking at the economic impact of business events.
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