World Cup 2010


A recent blog post by chef, Eat Out Top 10 restaurant judge and owner of Wild Woods restaurant, Pete Goffe-Wood, is the inspiration for evaluating how ready Cape Town’s restaurants are for the World Cup, a mere three months away today, and for becoming world class.

Goffe-Wood wrote that the local restaurant industry is “teetering on the brink of greatness”, and encouraged his colleagues to “make the leap” to offer the “foreign market waiting to be fed, educated and entertained and we must make sure that we give them what they came for”.    Goffe-Wood identified complaints about high food and wine prices, poor service, and inconsistent food quality as being reflective of problems facing the restaurant industry.

He explained how wine-markups of 200 %, whilst creating outrage, are the norm, and that restaurants have to follow wine producers when they increase their prices every year.   Goffe-Wood is critical about the lack of restaurant reviews in “print media”.  He believes that the industry needs “positive input from informed and educated sources”.   Service , he says “is not to be subservient”, and he seeks a “more professional attitude towards the service we provide”.

So what do we as customers say to restaurants in response to Goffe-Wood’s self-analysis, and to guide them to greatness:

1.  First, well done Pete, for acknowledging that not all is perfect, and for wanting to lift the standard for the restaurant industry in Cape Town.

2.  We expect consistency in a restaurant’s food quality, service, and value-for-money, plus an attractive and interesting decor, and an undefined feel-good factor of “I like it here - this is a restaurant for a person like me - I will be back”.

3.  Please answer your phones when we call to make a booking, rather than letting us speak to an answering machine, which may or may not return our call.  Have friendly staff that understand the language we speak, and that can spell a basic name like “Chris”!   Even better, recognise and acknowledge our voice as regulars when we call

4.   Trust us as customers when we have made bookings at your restaurants - confirmation calls are soooo irritating.  Allow a 15 - 30 minute cut-off time, for late arrivers, and then offer the table to the next walk-in.  By all means ban customers if they are habitual late-arrivers, or even worse, non-arrivers!

5.  Retain your staff - we see staff turnover even in the best of establishments, and it is often the staff relationships that maintain the relationship consistency and that influence the service perception we have of your restaurants.  Please do not let your new waiter train on me!   Start an industry initiative, to not appoint the waiter/kitchen person running off (often without notice) from one restaurant to another.

6.  Train your staff - start with the wines.  When the waiter does not understand the word “vintage”, I shudder, and wonder why you did not start at the beginning with your training, or why your winelist cannot list this important detail.

7.  Why do we as patrons have to pay the salaries of your staff via tips?  It is the only industry where the onus lies on the client to make such a payment.  Almost two years ago the Department of Labour promulgated the Sectoral Determination for the Hospitality Industry, and it demands that staff be appointed on a full-time basis, with a monthly salary.  I know of few restaurants where this legal requirement is being applied. 

8.  Charge fair prices.  It’s tough for everyone at the moment.  Price increases of up to 50% (Reubens) and exorbitant World Cup prices (Beluga and Sevruga) alienate customers and make you look greedy.  The days of hoping that tourists alone will fill your coffers because of their foreign currency are over. 

9.   The marketing of restaurants is very poor.  Blond sexy “poppies” in ads does not crack it for most of us!  Few restaurants have websites, and the fewest restaurants seem to understand search engine optimisation, in making sure that patrons can find more information about their restaurants on the internet.   If one does a Google search, restaurant websites often are ranked lower than reviews written about them by industry websites such as Eat Out, or by bloggers.   This means that prospective clients are not hearing the restaurant marketing message directly.   The fewest restaurants in Cape Town understand the power of Social Media (Pizza Club, Cafe Max, Nook Eatery, Arnold on Kloof and Jardine are the few on Twitter) and Goffe-Wood Twitters and blogs very occasionally only.  I am not aware of any restaurant which has an integrated social media marketing strategy! 

10.   Your customers have become your reviewers, horror of horrors, and they say it as it is.  No more white-washing, no more ‘incestuous’ relationships between reviewers wishing to remain best mates with the chefs.  Bloggers are evaluating restaurants as the man/woman in the street would experience them, and the more honest they are in writing about what they experience, the more their evaluations are valued.   Banning them from your restaurants, as Le Quartier Francais, Carne and Beluga have done, if they have given you a critical review or feedback, is not productive, and it means that the restaurants will not improve if they cannot accept feedback.

11.  Treat us with honesty - do not con us with a marketing claim on your website, that is not true - as does Carne, which claims that all its meat is organic and comes from the Karoo, which has proven to be not true.  The dishonest claim remains on the website!

Restaurant patrons will forgive a restaurant many sins if they feel comfortable and “at home”; if they feel respected, even if the feedback provided is not always positive, provided in the interest of making it better;  if they are kept up to date with information from the restaurant; and if restaurants learn to say thank you for regular patronage, for a review, or for business sent to them by a regular client.  Not too much to ask, is it?!

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

Venues that have a TV set and charge clients to view the World Cup matches in their venue, will be expected to apply for a R 50 000 liquor licence, reports Business Report.

The initial announcement by the Department of Trade and Industry about the liquor licence requirements for the World Cup was met with shock, as it sounded as if it was an additional licence that all businesses would have to apply for.  However, it appears that the Department misread FIFA’s rules, and had to backtrack, and clarify that existing liquor licence holders would not have to apply for another licence, if they do not charge an entrance fee to view the matches, and if the viewing event is not sponsored.  

The Department of Trade and Industry is hardly likely to be able to process the applications for such special licences anyway, in time for the World Cup, which starts on 11 June, says the industry.

As far as beer sales go, Budweiser, being a FIFA sponsor, will sell its beer inside the World Cup stadiums, but a no-name brand Castle is expected to be sold in the fan parks, to not clash with Budweiser’s sponsorship.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

The City of Cape Town has spelt out its public transport plans for the soccer fans attending the World Cup in Cape Town from 11 June to 11 July.

A combination of transport methods, including trains, buses, minibus taxis, and metered taxis will transport guests between the airport, the station, the public viewing areas, and the Cape Town Stadium, reports the Cape Times.

Soccer fans with World Cup tickets will travel for free between the stadium and any one of 25 park-and-ride centres in the city, even stretching out as far as Strand, and also including UCT, Camps Bay High School, and Kronendal Primary in Hout Bay, offering 7000 parking bays in total.   Park-and-ride centers include Century City, GrandWest Casino, Kuilsriver, Oostersee, Fish Hoek, Retreat, Brackenfell and Claremont.

A shuttle bus will run from Hertzog Boulevard at the Civic Centre to the Cape Town Stadium, starting 6 hours before the match starts until 4 hours after each match on match days.  

On match days too, an Atlantic seaboard bus service will run from Hout Bay through Camps Bay and Sea Point, to the Stadium, starting 4 hours before kick-off, until 2h00 the next morning.

Throughout the 31 days of the FIFA World Cup, a shuttle bus will transport soccer fans from Cape Town International airport to Hertzog Boulevard 24 hours of the day, in intervals of 6 - 30 minutes, depending on usage.   The cost is a reasonable R 50 per one-way trip.

A further bus service will operate in the city itself, running 24 hours per day, and leaving every 10 - 30 minutes, connecting Hertzog Boulevard, Table Bay Boulevard, Heerengracht, Coen Steytler Avenue, Long and Loop Streets, Buitensingel Street, Orange Street, Buitenkant Street, Darling Street, Oswald Pirow Avenue and back to Hertzog Boulevard.   This will allow soccer fans, with tickets for the stadia, or just coming to enjoy the fan park outside the City Hall, to obtain easy access to their hotels and to restaurants.  Another shuttle bus route will be to Queens Beach in Sea Point, via the Waterfront, until 2h00 every morning.

Trains will transport the soccer fans to public viewing areas at the Bellville Velodrome, Athlone Civic Centre, OR Tambo Sports Hall in Khayelitscha, and the Swartklip Sport Hall in Mitchell’s Plain.

The city has warned that one will not be able to park close to the stadium, and that disabled soccer fans will have to also make use of public transport, its shuttle stations being wheelchair-friendly.

Further information about the transport connections during the World Cup can be obtained on www.capetown.gov.za, or at tel 0800 656 463.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

Having been a market researcher for a large part of my career, I completed one of the 5 questionnaires received yesterday from Grant Thornton, a consultancy contracted by the Department of Tourism to conduct a survey amongst accommodation establishments, with shock as to its poor design.  The results of the survey will be used to prove that South African accommodation is not ripping off soccer fans for the World Cup.

Given that the consultancy will stand to make a good income out of the survey, it is surprising that Grant Thornton have got the survey design so wrong, meaning that much of its survey will be meaningless, being based on incorrect or missing information.  It is pretty clear that Grant Thornton does not know how the tourism industry operates, despite its work it conducts in the industry!

The survey problems are the following:

1.  The survey shows that it is hotels that have been used as a model for the survey.  Guest houses, self-catering establishments, and B&B’s outnumber hotels by far.

2.  The questionnaire becomes intimidating when one has to state one’s room types - again the design is for hotels, and the various room types do not match those of guest houses/B&B/self-catering establishments.  Surprisingly, single rooms are not listed as an accommodation type.

3.  It is made even more complicated in respect of the rates charged per room type - small accommodation establishments do not quote “STO” rates, and tend to charge the same for all room types - the table requesting this information could be intimidating for a small accommodation establishment.  “Not applicable” options are lost after the first question, and one is not told how to deal with pricing of room types one does not have.

4.  A bigger concern is the time period used for the study - the industry has been admonished for “price-gouging”, and FEDHASA CEO Brett Dungan has pointed a finger at the industry, telling it that the World Cup runs from 11 June - 11 July, and that it should therefore charge normal winter rates from 1 - 10 June and from 12 July onwards.   However, the survey asks for one World Cup rate only, from 1 June - 31 July, thereby condoning this pricing policy.

5.  The question that shows that Grant Thornton is not in touch with the industry is the one requesting information about current pricing - it obviously wants to compare the World Cup rates charged with those charged currently and the year prior - however, it defines these as “2010″ and “2009″.  In the accommodation industry generally, and this would include hotels, one quotes 2008/2009, 2009/2010, etc, giving that the rates usually change from the start of the summer season of every year, i.e. October.   The information generated about current rates would therefore create confusion and potentially incorrect answers, importantly required as a benchmark for the World Cup pricing comparison.

It is inexcusable that a company of Grant Thornton’s stature could have got a survey, which could have been made so much more simple and more meaningful, so wrong.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

The countdown to the last 100 days to the largest sports event ever to be hosted by South Africa starts today.   FIFA has given South Africa 8/10 for its readiness to host the World Cup, with only 100 days left for it to become 10/10, reports the Cape Argus.

A whirlwind visit by the FIFA and Local Organising Committee top executives and 120 local and international journalists of all ten the World Cup host cities has focused attention on the status of the preparations for the event.

1.  The Cape Town Stadium is completed, and two test events which have taken place in the stadium went off reasonably smoothly.  FIFA Secretary-General Jerome Valcke heaped praise on Cape Town for its stadium yesterday, and he said that the city stadium pitch should be the benchmark for all stadiums.   Valcke also said that “Cape Town will be the perfect place to be during the World Cup.”   He lauded the Cape Town Stadium, and said that it would attract many thousands of soccer fans, even after the completion of the World Cup. 

   The pitch at Mombela Stadium in Nelspruit is currently a sandpit, but will be ready for the June start. 

2.  The roads in most host cities and highways leading to them, have been significantly improved, and should be completed by April.  The roads in Cape Town in particular will be transformed, with the N1 and the N2 both having more lanes, and previous traffic blockages such as Hospital Bend on the N2 will be something of the past soon.   Even in the city centre, the roads and pavements have been radically improved in Green Point, close to the Cape Town Stadium, making it a pleasure to drive past the Stadium to get to the Waterfront, and to walk in the area.

    The roads around the Royal Bafokeng Stadium in Rustenburg and the Mombela Stadium in Nelspruit are still in a poor condition.

3.   Bookings seem to have slowed down to a trickle as far as accommodation is concerned, and this is FIFA’s current largest challenge, in that international media are reporting negatively about the “rip-off” pricing in South Africa and the level of crime.   These two factors appear to be the major deterrents to soccer fans attending the matches.   Accommodation in a leading suburb like Camps Bay in Cape Town, a 10 minute drive from Cape Town Stadium, is about 50 % booked for the World Cup.   MATCH, FIFA’s accommodation agency, has been severely criticised for creating the image of “rip-off pricing”,  by adding 30 % commission to all its package components, including accommodation, tickets, flight tickets, and transport.

4.   FIFA’s is expanding the number of low cost tickets it is making available to South Africa, and denies lowering the price of its category 3 and 4 ticket prices offered to South Africans.   But tickets are not selling as they should, meaning that the estimate of 450000 international soccer fans attending the World Cup will not be achieved, meaning more locals will make up the viewership, but will not be using the hospitality facilities which have been pitched at international soccer fans.   More tickets could be made available at lower prices closer to the start of the World Cup.

5.   Excitement in South Africa about the World Cup remains low, and in fact appears to have reduced in interest since the Final Draw of 4 December.   This follows the news that the international soccer fans will not be attending as expected, and that top international trainers are expressing their resistamce and restentment to FIFA for choosing South Africa and maybe even Africa as the host country for the first time ever.

6.   What was meant to be an African World Cup, stressed to be such by FIFA President Sepp Blatter over and over again, appears to be a South African World Cup.  Due to a reduced demand of accommodation, MATCH is not using accommodation in neighbouring countries or in Mauritius, as previously threatened.  Worst of all is that ticket sales to soccer fans in African countries are extremely low (about 2 %), due to the difficulty in making bookings via the internet in African countries, and the low ownership of credit cards on this continent.

7.   What is missing is a campaign of support, to enthuse South Africans to be positive about the World Cup, and to be friendly and generous to soccer fans.  In Germany an advertising campaign was launched in the last few months prior to the start of the World Cup 2006, with the slogan :”Die Welt zu Gast bei Freunden” (The world at home with friends), to encourage the generally stiff Germans to reach out and welcome soccer fans from around the world.   The campaign was particularly successful in uniting East and West Germans at the time. Plans to teach locals foreign languages such as Spanish and French, and to guide them in regard to cultural differences,  have not been followed through.   Volunteers have been interviewed but not appointed.  Some of them will be appointed for their foreign language skills, and for their knowledge of their city.   But time is running thin, to train them as to how to deal with the calibre of such an event.

8.   What will give the marketing of the World Cup a much-needed boost will be the attendance of the World Cup by VIP’s : those that appear likely to attend include President Obama; Paul Allen, the Microsoft co-founder; top businessperson Lakshmi Mittal; Businessperson and Chelsea owner Roman Abramovich;  Charlize Theron, who assisted with the Final Draw in December; Victoria Beckham, who is said to have rented an apartment in Camps Bay rather than join the England team in Rustenburg; rapper Akon and possibly Lady Gaga;  Franz Beckenbauer, previous German star soccer player and trainer, will spend the first five days of the World Cup on the MS Noordam outside Durban, reports The Times.

Cape Town celebrates the 100-day countdown with a demonstration of the Diski Dance at Cape Town Stadium, organised by Cape Town Tourism.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

The Minister of Tourism, Marthinus van Schalkwyk, has announced that he has contracted Grant Thornton to conduct a survey of accommodation prices during the June/July World Cup period, and to benchmark these against the prices of accommodation in countries that previously hosted FIFA World Cups, reports www.iol.co.za.  The survey is to be conducted, despite the tourism industry body Tourism Business Council of South Africa and FIFA’s MATCH accommodation agency denying that World Cup prices are excessive.

The survey comes amidst international criticism that accommodation pricing is excessive and deemed to be “rip-off”.   Van Schalkwyk said that “the survey would help safeguard the reputation of the South African tourism industry, since South Africa is a ‘value-for-money destination’  Price-hiking could damage the reputation of our tourism industry”, he said.

Van Schalkwyk did make it clear that tourists could not expect to pay normal low-season rates during the World Cup : “……June and July 2010 will be high season in South Africa”.

The Grant Thornton survey will only be conducted amongst professional accommodation establishments, and will exclude private homes.

The Tourism Business Council of South Africa (TBCSA), which claims to be ‘the official umbrella body for organised business in the South African travel and tourism industry’, and MATCH, FIFA’s accommodation agency, have made a joint statement that the industry pricing is not rip-off nor excessive, reports S A Tourism Update.  The TBCSA chairman Mmatsatsi Marobe praised the tourism sector for not charging “exorbitant prices as they understood the long-term effect on tourism into South Africa, but it was the doing of a few small suppliers that put South Africa in a bad light”, she said.   The MATCH Chairman, Jaime Byron, came with the following brilliant logic about pricing: “…the 2010 FIFA World Cup was expected to be more expensive than previous tournaments because it was a long-haul destination.  This makes South Africa inherently more expensive”, he is quoted as saying!   It was noted by them that the media should be careful about attacking the World Cup pricing, as it had to be accurate about what exactly was included in the prices quoted in such media reports (e.g. accommodation, tickets, transport).  

The TBCSA/MATCH statements are ironic, as MATCH has been blamed for excessive “rip-off pricing” since it started recruiting accommodation for the World Cup four years ago, demanding a 30 % commission from accommodation establishments initially, and now just adding this commission percentage on to the already high accommodation rates! 

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

One could see it coming!   With numerous reports over the past month indicating that ticket sales for the World Cup were not as brisk as they should be, especially from non-South African countries, it has now been announced that prices of category 2 and 3 tickets have been slashed by FIFA, reports the Weekend Argus.

Instead of costing up to R 840 a ticket, category 2 and 3 tickets will now be sold exclusively to South Africans at R 140, on the www.fifa.com website, at FNB branches, or telephonically at 083 123 2010.

Furthermore, the number of category 4 tickets, the cheapest tickets, and offered at a special low rate to South Africans, will be increased, to boost sales, and to ensure that the stadiums are full on match days.   “The plan to discount tickets comes as Fifa admitted that projected inflow of tourists coming to the World Cup would be much less than expected”, writes the newspaper.   FIFA’s General Secretary, Jerome Valcke, told a British newspaper that it was trying its best to get more South Africans to buy tickets.

While the ticket price reductions make the tickets more affordable to South Africa’s soccer fans, those that had bought tickets already are angry that they bought them at the higher prices.  

No arrangements appear to have been made to encourage more ticket sales from other African countries, where soccer fans have complained that technological contraints in booking tickets via the internet, as well as general lack of credit card ownership, are impeding sales in those countries.

WhaleTales speculated that in a “FIFA flop”, ticket prices would drop, and that more South Africans than international soccer fans would watch the matches, a disaster for the hospitality industry, as the accommodation, restaurant, and other related services would not be required by locals, and would not be affordable to many of them, given that pricing had been set at 2010 summer rates + 10 - 20 % for the international market.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

Prince William and Prince Harry are planning to spend 10 days in South Africa in June, and will attend the World Cup, in support of their England team, according to the Cape Argus.  This will add a welcome royal touch to the world’s top sport event, which is good for marketing South Africa and the event.

The princes will be combining their visit to South Africa with participation in the Enduro, a charity motorcycle ride.  They will also host a reception to support Britain’s bid to host the 2018 FIFA World Cup.  Prince William is President of the England Football Association.   Prince Harry is expected to see Chelsy Davy, his South African girlfriend.  

During their visit to Africa, the princes will also visit Botswana and Lesotho, for the Tusk Trust charity of which Prince William is the royal patron, and the Sentabale charity for AIDS orphans established by Prince Harry, respectively, reports The Times. 

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

Fewer than 2 % of the World Cup tickets have been sold to African countries other than South Africa, reports the Cape Times.   FIFA’s goal of making the World Cup an “African World Cup” has not been met to date.

Of the total of 2 million tickets sold to date, only 11 500 have been sold to other African countries.   This is viewed as a “dismal” performance by Tembi Tichaawa, a researcher at the Walter Sisulu University.   He blames the complicated FIFA World Cup ticket purchasing procedure for the poor sales. “Technology has failed Africans” he is reported to have said.  

The highest sales to African countries have been to soccer fans in Mocambique, Botswana and Kenya, at about 1 500 tickets sold in each of these countries.   Poor internet connections and lack of credit card ownership are said to stand in the way of ticket purchases from Africa, and Ticaawa reacted as follows: “The high technology method of selling tickets needs to be urgently looked at by Fifa.  The emphasis should have been on African fans.  For us here we go to a ticket box, but that is not the case with the World Cup”.

South African  soccer fans lead ticket sales, at 790 000, followed by the USA (116 765), the United Kingdom (68 213) and Germany (30 974).

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

The tourism industry in Cape Town will be disappointed that none of the 32 World Cup teams have chosen a base camp in or near Cape Town.   The base camp location has an important attraction for fans, who want to stay in the same towns and cities as their home team. 

Despite a deadline of the end of last month, FIFA has given the teams one more week to finalise their choice.  Six teams have not yet announced their final base camp choice.

The Western Cape has 2 teams (France and Denmark) staying in Knysna at Pezula and Simola, respectively, and Japan will be based in George at the Fancourt Hotel. 

Gauteng has the most teams to date, who chose the province for the altitude for their practice sessions, the top quality sport facilities and top quality accommodation : The Netherlands, South Africa, Portugal, Serbia, New Zealand, Slovenia, Brazil, Australia, Honduras, Switzerland, North Korea, and Mexico. 

Pretoria has attracted USA, Germany, Italy, Slovakia, and Argentina.   KwaZulu-Natal has secured Algeria, Ivory Coast, Greece, and Paraguay.   Uruguay is staying in Kimberley.   Ghana  is staying in White River. England and South Korea are staying in Rustenberg.  Chile is staying in Mapumalanga.   Spain has not chosen between Rustenburg and Potchefstroom yet.

Many municipalities spent big money trying to encourage teams to set up base camps in their towns.  Mossel Bay was sure that it had bagged Paraguay, and both Val du Vie and Pearl Valley outside Franschhoek were rumoured to have signed up a team.  The Sunday Times reports that the Mossel Bay municipality spent R 200 million on its bid, and had launched an extensive Spanish language campaign for tourism players in the town.   Bloemfontein, Port Elizabeth and East London also did not attract any base camps.

Chris von Ulmenstein, Whale Cottage Portfolio: www.whalecottage.com

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