The Namibian hospitality industry is gearing up for a promising 2024, with early indicators and expert insights pointing towards a robust recovery due to the strength of the online reservations and self-drive segments in Namibia.
Simonis Storm researcher Angelique Bock highlights that accommodation performance indicators have outperformed the broader tour operation sector, positioning online reservations and self-drive as frontrunners in our industry’s recovery and growth.
“The most robust quarterly occupancy average since 3Q2018 indicates a surge in consumer spending, primarily driven by tourist activity,” she said.
Bock said while leisure travel continues to dominate occupancy rates, there is an uptick in demand for business and conference-related packages.
This comes as leisure travel makes up 88.68% of the travel figure, while business contributed 10.10% and conferences 1.21% this year.
This shows a decline in conference travel compared to pre-pandemic data, which saw conference travel at 2.92% in the same quarter.
“Tourist arrivals reached their highest point in five years, with 49,190 arrivals in August 2023, marking a robust annual growth rate of 16.8%. This upturn is largely attributed to international arrivals and their consistent exploration of various destinations within the country,” said Bock.
According to the data, Bock said August recorded a 16.9% increase in arrivals at Namibian airports driven by significant growth in international, regional and domestic arrivals.
Meanwhile, regarding regional differences in occupancy rates, Bock said the northern region continues to lead after it recorded the highest occupancy rate, closely followed by the central area.
In contrast, the southern region has maintained a lower rate, while the coastal area reported the lowest occupancy rate, reflecting varying tourism demand.
Considering the tourist demographic, Europeans accounted for 64% in September, with Namibians at 18% and South Africans at 5%.