1. Southern Sun Elangeni, Durban Ms. Mmatšatši Ramawela Chief Executive Officer POWER OF ONE ROAD SHOW 13 MARCH 2015

2. TBCSA: WHO ARE WE?  Umbrella organisation for travel and tourism in South Africa  Represent interest of organised business  Aim to create a viable environment for business to grow & thrive  Member-based representing all sub- sectors of T&T TBCSA: WHO ARE WE?

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4. TBCSA: WHAT DO WE DO? Lobby the Public Sector Monitor & Influence developments impacting on T&T Facilitate Key Industry Programmes

5. TBCSA: FACILIATED PROGRAMMES Destination Marketing 1% voluntary tourism levy contribution by tourism businesses Collaboration with SA Tourism to promote destination Tourism Knowledge & Market Intelligence Quarterly business index Indicates overall health of business performance Tourism Investment & Promotion Annual Investment conference: 09 – 11 September 2015 Knowledge Sharing, Education & Investment Opportunities Tourism Safety and Security Catalyst for a safe and secure environment for tourist and tourism businesses

6. TBCSA: WHAT HAVE WE ACHIEVED? SOME OF OUR NOTABLE ACHIEVEMENTS INCLUDE: Mobilised business in sector to speak with one voice Tourism BEE Charter - 1 st sector to establish such as Charter Successful lobbying for a dedicated Ministry for Tourism Actively involved in the promotion of destination SA – contributing close to 10% to SA Tourism’s marketing budget through tourism levy Collaborated with Government to develop National Service Excellence Strategy and National Tourism Sector Strategy Spearheading industry dialogue on a broad range of macro- issues – energy challenges, immigration regulations

8. WHAT IS THE TOMSA LEVY? WHAT IS THE TOMSA LEVY? TOMSA LEVY is collected by tourism businesses to create, build and maintain awareness of South Africa as a top tourist destination through various marketing activities.

9. WHAT IS THE TOMSA LEVY? The TOMSA levy = 1% of each confirmed booking and  Voluntary  Does not constitute a tax to the business  Added to the bill paid by the client The levy contributor base is currently over 522 mainly comprising of major hotel chains

10. WHY COLLECT THE TOMSA LEVY FUND? Our destination needs marketing exposure around the world The collection of the TOMSA levy provides the industry with a platform to inform SAT with on-the ground insights, in terms of the direction of their marketing activities. TOMSA’s contribution allows SAT to go the extra mile in core markets :- the extra ad, improve PR coverage and monitoring in the market. More marketing means more visitors. There is a correlation between marketing investment & visitor growth WHY COLLECT THE FUND? WHY COLLECT THE FUND? More visitors means Industry growth, More entrepreneurs and job creation

11. South African Tourism is:  the official tourism marketing agency for South Africa  continues to improve in marketing South Africa internationally  has the knowledge, passion and dedication to market our country Internationally WHY GIVE S.A TOURISM THE TOMSA LEVY FUND? WHY GIVE S.A TOURISM THE TOMSA LEVY FUND?

12. MANAGEMENT OF THE TOMSA LEVY TOMSA is separately registered entity, with its own Constitution is proudly administered by the TBCSA has its own dedicated Board of Directors of levy collecting businesses has its own bank accounts is audited separately 93% of TOMSA funds are transferred to SA Tourism on quarterly basis has a 3 year MOU governing its relationship with SA Tourism and TBCSA Executives meet with SA Tourism Board and Executives quarterly MANAGEMENT OF MANAGEMENT OF THE LEVY

13. WHO CONTRIBUTES? HOTELS – 387 CAR HIRE – 7 B & B – 11 GUEST HOUSES – 30 GAME LODGES – 32 RESORTS – 20 TOUR OPERATORS – 23 TRAVEL AGENCIES – 11 CONFERENCE VENUES - 3

14. TOMSA COLLECTIONS = VISITOR GROWTH TOMSA COLLECTIONS VS TOMSA COLLECTIONS VS VISITOR GROWTH

15. Since its inception in 1998, TOMSA has grown from collecting R26 million to collecting in excess of R100 million 16 years later. Last year, over R120 million was collected from tourism businesses This figures are indication of commitment between private sector and the country’s destination marketing organisation, South African Tourism The promotion of South Africa has increased and is now actively promoted in twelve core markets around the worldACHIEVEMENTS

16. What’s in it for me? Why should you collect and pay over levies? It is the right thing to do! SAT needs more money to showcase our products to the world and in Mzanzi. There are many benefits and we continue to negotiate more ….. WHATS IN IT FOR ME?

17. TOMSA BENEFITS TOMSA BENEFITS TOMSA levy contributors establishments that are graded receive 10 % discount on Meetings Africa and Indaba Exhibition rates ( main stand holders only). 10% discount on grading fees if you are TOMSA levy contributor in good standing TOMSA contributors whose products have never been graded from 1 May 2012 receive: Year 1 – 25% Year 2 – 15% Year 3 – 10% TOMSA levy contributors receive an automatic 3% for BEE rating

18. TOMSA BENEFITS contd. TOMSA contributors are offered an opportunity to provide input and receive feedback about the SA Tourism’s annual performance planning process. SA Tourism conduct workshops prior to exhibitions and events to provide guidance and support to TOMSA levy collectors Preferential profiling on the SA Tourism website TOMSA BENEFITS cont.

19. SAT provide assistance in scheduling meetings with buyers and industry players at trade shows including WTM, ITB, IMAX corporation and other global meetings and events SAT give preference to tourism levy contributors to take part in speed marketing workshops Receive preferential rates to attend the HICA and SATTIC Loading of deals/specials on the TOMSA website home page TOMSA BENEFITS cont.

20. TOMSA BENEFITS contd. TBCSA New Project Tourism Safety Initiative (TSI). A national crime prevention and victim support programme for the travel and tourism industry Assist in eliminating crime in the industry and in the country Tourism Products are encouraged to report incidents on 0861874 911, send an email to info@tourismsafety.co.za or lodge the incident on www.tourismsafety.co.zainfo@tourismsafety.co.zawww.tourismsafety.co.za SEND US YOUR VIEWS ON NEW TOMSA LEVY CONTRIBUTOR BENEFITS TOMSA BENEFITS cont.

21. TOMSA BENEFITS contd. Where it comes from? Long standing questions from City, Provincial and Local Tourism Associations The need to generate additional funding for marketing and promotions at local levels Products wanting to see “direct benefits” of the levy in their localities Whats the update on Levy? Consultations took place in November 2014 Various stakeholders made formal submissions Awaiting response from KZNTA and MEC TBCSA View on the proposed levy? Avoid proliferation of levies – Treasury is watching TOMSA & Proposed KZN Levy

22. TOMSA BENEFITS contd. TBCSA View on the proposed levy? Already submitted our views/position to MEC through KZNTA and National Minister of Tourism Urge industry to Avoid proliferation of levies – Treasury is watching Lets not dilute the TOMSA initiative – instead, we need to grow it Needs of City, Provincial and Local Tourism Associations can still be achieved - discuss with SAT SAT need to convene dialogue sessions with these stakeholders – find an approach with private sectors/TBCSA can support Strengthen TEAM SA TOMSA & Proposed KZN Levy

23. THANK YOU