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Hospitality industry urged to capitalise on new domestic travel growth opportunities

September marks Tourism month in South Africa and it provides an opportunity to recognise the increasingly important role domestic tourism is playing in driving growth for hospitality and tourism SMEs.

According to Kevan Govender, regional investment manager at Business Partners Limited, hospitality businesses that understand and respond to the evolving preferences of locals are well-positioned to benefit from the growing opportunities in the sector. This includes guesthouses, boutique hotels, tour operators, restaurants, activity providers, and other tourism-focused SMEs.

“The profile of the domestic traveller has evolved considerably over the past few years. South Africans are increasingly looking for authentic, experience-led travel that offers something distinctive, whether that’s wellness retreats, culinary experiences, adventure tourism, cultural immersion, or family-focused getaways,” said Govender.

He further explained that this trend presents significant opportunities for smaller hospitality businesses, particularly SMEs, whose agility and deep local connections enable them to curate personalised experiences that resonate with modern travellers while showcasing the unique character of their culture, communities and destinations.

Booking across the calendar

At the same time, domestic travel patterns are evolving. Rather than taking a single annual holiday, travellers are increasingly opting for shorter, more frequent trips throughout the year. Long weekends, sporting events, music festivals, conferences, school holidays, and remote-working flexibility are helping to spread tourism demand across seasons and regions.

“It is encouraging to see the growing demand for year-round travel experiences. Many businesses that previously relied heavily on seasonal tourism are now finding opportunities to attract visitors throughout the year by tailoring their offerings to specific interests, events, and niche markets,” said Govender.

This trend aligns with broader industry observations that hospitality operators are increasingly focusing on collaboration, regional partnerships, and bundled experiences to create greater value for travellers and encourage longer stays. Govender notes this may present an opportunity for new collaborations.

The importance of digital visibility

As travellers frequently research, compare, and book online, hospitality SMEs need to ensure they can be easily discovered. Businesses that invest in their digital presence, actively manage customer reviews, and market their unique offerings online are more likely to capture the attention of domestic travellers planning their next trip. Industry guidance for hospitality operators continues to highlight digital visibility as a key driver of competitiveness and customer acquisition in an increasingly online travel market.

“Today’s travellers are looking for value, but value does not always mean the lowest price. It means memorable experiences, excellent service, convenience, authenticity, and a sense that their trip was worthwhile. SMEs that focus on delivering exceptional customer experiences can build strong customer loyalty and generate repeat businesses.

“Domestic tourism remains one of the most accessible and sustainable growth opportunities for hospitality SMEs. Businesses that are attuned to evolving consumer preferences, leverage technology effectively, build strategic partnerships, and focus on delivering distinctive experiences will be best positioned to capture growth and build long-term resilience within South Africa’s dynamic tourism market.”