Categories: Economy
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2024-01-24 10:01 AM

Tourist Accommodation Industry Sees Robust Growth in November 2023

  • Tourist Accommodation Boom: November 2023 saw a 13.2% surge in income, propelled by a 15% YoY spike in accommodation revenue.
  • Hotels Lead Growth: Hotels soared by 16.9%, contributing significantly to the 15% YoY increase in accommodation income.
  • Three-Month Momentum: Over the three months ending November 2023, the industry witnessed a robust 14.7% growth in income.
By Lethabo Ntsoane

In a promising development for the South African tourism sector, the latest data reveals a substantial surge in the tourist accommodation industry’s income during November 2023. The figures, measured in nominal terms at current prices, demonstrate a notable 13.2% increase compared to the same period in 2022.

Income from Accommodation Witnesses a 15.0% Boost

The heartening news stems from a significant 15.0% year-on-year increase in income from accommodation in November 2023. This growth is attributed to a dual impact: a 3.9% rise in the number of stay unit nights sold and a substantial 10.7% increase in the average income per stay unit night sold.

Hotels and ‘Other’ Accommodation Lead the Way
MetricsPercentage IncreaseNumber of Stay Unit Nights Sold+3.9%Average Income per Stay Unit Night Sold+10.7%

Breaking down the contributors to this surge, hotels emerged as the frontrunners with an impressive 16.9% increase, making a substantial 10.9 percentage point contribution. Additionally, ‘other’ accommodation establishments played a pivotal role, boasting an 18.1% increase and contributing 5.1 percentage points to the overall growth.

Strong Momentum Over Three Months
Accommodation TypePercentage IncreaseContribution to Overall GrowthHotels+16.9%10.9 percentage points’Other’ Accommodation+18.1%5.1 percentage points

Zooming out to a broader perspective, the tourist accommodation industry maintained its momentum over the three months ending November 2023. Income from accommodation increased by a robust 14.7% during this period compared to the same timeframe in 2022.

Seasonal Adjustments Show a Slight Dip
Accommodation TypePercentage IncreaseContribution to Overall GrowthHotels+15.0%9.5 percentage points’Other’ Accommodation+18.9%5.6 percentage points

While the overall trend remains positive, the seasonally adjusted income from accommodation saw a 1.1% decrease month-on-month in November 2023. This follows a 3.9% decline in October 2023. Despite these minor setbacks, the industry’s sustained growth over the year indicates a positive trajectory.In conclusion, the tourist accommodation sector in South Africa is experiencing a robust recovery, with hotels and ‘other’ accommodation leading the charge. The impressive year-on-year and three-month growth in income reflects a resilient industry poised for further expansion. The slight dip in seasonally adjusted income serves as a reminder of the ongoing challenges but does not dampen the overall positive outlook for the sector. As the country continues to navigate the post-pandemic landscape, the tourism industry’s resurgence bodes well for the broader economic recovery.

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Lethabo Ntsoane

Lethabo Ntsoane holds a Bachelors Degree in Accounting from the University of South Africa. He is a Financial Product commentator at Rateweb. He is an expect financial product analyst with years of experience in reviewing products and offering commentary. Lethabo majors in financial news, reviews and financial tips. He can be contacted: Email: lethabo@rateweb.co.za Twitter: @NtsoaneLethabo