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Africa, the land of the future for hotels

Despite the current and often negative news as well as the ongoing growth, the African continent is today a big “playground” for the hospitality industry. Indeed, the world’s biggest names in the hotel industry are competing for market shares in this land. There are 298 hotels under construction in Sub-Saharan Africa.

Why Africa ? 

  • A new record of on-growing number of tourists on the 54 countries of the continent: 135 million travelers in 2030
  • Africans: the world’s fastest growing population for all new markets
  • The boom of the African middle class
  • A territory of the future, as its business tourism is growing
  • A barely known territory that keeps all its attraction and its interest
  • The presence of French culture, which facilitates the communication with Europe

The 3 types of clienteles to target

A largely dominant business clientele (up to 80% depending on the market). This demand is mainly based on activities related to raw materials, imports / exports, processing industries, infrastructure projects, services (telecommunications, banks, etc.) In addition, institutional demand. The African people have always been nomads who travel a great deal. Though, nowadays the continent is becoming more and more sedentary. But professional exchanges are still increasing across the continent. Many Westerners are making more business trips to the continent than usual.

A leisure clientele, Majorly in Southern and Eastern Africa, often in transit for natural tourist sites. North Africa is also a popular holiday destination for Westerners.

The airline crew clientele, which is growing thanks to the development of flights to Africa and domestic flights.

Unequal development

In Africa, also on all the other continents, there is an inequality in development. à The sub-Saharan zone: faces strong political instability. Capitals often away from tensions are getting a good amount of hotel investments at the expense of the rest of the country. Development in this region, however, remains a major challenge, particularly because of its population growth (for the Sahel countries such as Mali, Burkina Faso or Niger, where the population will be multiplied by more than 2.5 by 20505) à The two “largest” economies: Nigeria (which alone accounts for 70% of West Africa) and South Africa (62% of Southern Africa).

The obstacles are still present 

Despite the rapid growth and development of the African hotel industry. Lots of obstacles are still blocking the way.

– Visa

–Cost of transport

– Air service

– Political tensions

– Major European, American and Asian groups that stay overnight at local hotels

These obstacles are blocking Africa from moving forward, but it does not prevent the infinite development of hotels in this part of the world, which seems to have a great future ahead of it.

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