A new study reveals that majority of South Africans have been hit hard by the COVID-19 pandemic and will not be able to afford to travel post-lockdown.
Cape Town Tourism’s SA Consumer Lockdown Level 3 Impact Report is the first in a series of reports analysing how the COVID-19 pandemic has affected South African consumers economically and socially.
‘The objective of the survey was to better understand their current reality, challenges, what information was important and where they would be spending their disposable income when regulations allowed,’ the company explains in its report.
They conducted a survey between June 1-June 12, and received 5,485 responses.
Speaking of lockdown, 55% believe it is necessary while 20% feel the extended lockdown is unnecessary and 25% were neutral. More than half side with government, as 58% said they agreed or strongly agreed with the government’s approach to reducing the spread of COVID-19. A collective 18% disagreed or strongly disagreed.
Many of the respondents noted positive aspects of the lockdown, reporting that they have more time to spend with family, they can work from home, they save money, there is less crime and road accidents and they can help control the spread of the virus.
‘We’ve had a lot of time to self-reflect and draw close to each other even though we are far apart. Also, the caring human spirit has shown above the odds,’ explained one respondent.
There have also been many downsides to the lockdown. Respondents mainly listed the loss of income, failing economy, home schooling, inability to visit family and losing loved ones as the worst parts of the lockdown.
As a result of the failing economy, only 24% of respondents have disposable income, and most plan to spend it on groceries, savings and investments, and health and beauty. Only 22% plan to spend their disposable income on leisure travel once lockdown regulations ease.
This is a cause for concern for the travel industry, explained Chairman of the board of Cape Town Tourism, Brett Hendricks.
‘Even before this pandemic and the lockdown, South Africans were struggling in an economy that had recently been downgraded to junk status. With the closing of many businesses over the past few months and the rate at which people are losing their jobs, purse strings are being pulled even tighter,’ Hendricks told IOL.
‘This is concerning for us in the travel industry. Travel has always been perceived as a luxury, and if our consumers are battling financially it means that travel might not be as high up on everyone’s list as before. In essence, we need to start thinking of innovative ways to still attract travellers to Cape Town, and affordability and value-for-money offerings need to be a top priority for the entire travel and tourism value chain.’
Read the full report here: Cape-Town-Tourism-SA-Consumer-Lockdown-Level-3-Impact-Report_July-2020.
Image credit: Pixabay
