Just days after the World Cup draw, nearly 160 000 match tickets had been sold.
This equates to 160 000 mouths to feed, 160 000 bodies that will need a bed at night and 280 000 feet that need ferrying from airports to stadiums, beaches, entertainment spots and tourist attractions.
But the forecast for tourists travelling to South Africa for 2010 is even higher — a whopping 500 000 overseas visitors are expected, according to research by business advisory firm Grant Thornton. It’s these kinds of dizzying numbers that have had local entrepreneurs salivating about the short-term business opportunities ever since South Africa was named this year’s host.
Former footballer and sports commentator Gary Bailey has been one of the most vocal advocates of the booming small business opportunities that 2010 will bring with it. Bailey says among the most obvious gaps in the market is accommodation.
Fifa has contracted the Swiss-based company, Match, to serve as the official service provider for Fifa guest accommodation and tours, but your average football fan still needs places to stay. One of the easiest ways to provide for those fans and make some money is to let out your house to visitors.
Seeff Properties, in conjunction with Bailey, has launched a programme that allows locals to lease out their homes to visiting fans. The company has already signed up 10 000 rooms ranging from R750 a night to R90 000 a night. And it’s nowhere near enough. The company is still looking for accommodation priced between R600 and R1 000 a person a night.
At the World Travel Market trade show in London in November, Seeff found that many tour operators were seeking accommodation in apartment blocks or security villages because of transport constraints and fears about crime.
“[Tour operators] explained that many people saw the World Cup as being played in Africa and were uninformed about how First World we are,” said Emarie Campbell, 2010 marketing director for Seeff Properties.
Most travellers are more comfortable moving in organised groups so that they feel taken care of and know that someone is responsible for their stay, said Campbell.
Transport is going to be another big need, according to Bailey, particularly in Gauteng where many of the fans will be concentrated. The province is not a place that normally receives a large influx of people — unlike its counterparts in Durban or Cape Town.
Bailey says there is a lot of scope in the province for tours that can take fans out of the city to places such as game farms or game reserves. University students, who will be on holiday at the time, are ideally placed to get their public drivers’ permits and help transport fans around, says Bailey.
Food and catering is another huge opportunity. Although Fifa laws won’t allow entrepreneurs to sell goods or food and drink in or around stadiums, or in official fan parks, places such as schools and community halls can create public viewing sites.
“You can make your local school or your community hall a hub of activity around the World Cup,” says Bailey, giving fans the chance to watch games, eat and drink and meet one another.
Bailey even suggests charging fans to play in five-a-side football tournaments. A host of other possible services are listed on his website www.gameplan2010.co.za.
It is important to note, however, that when marketing a business it does not infringe on Fifa’s extremely strict marketing laws, such as not blending soccer-related promotions with South African promotions or including key insignia or words such as 2010 or World Cup. You can promote South Africa and South African-related products, for instance.
But although the rules are strict and don’t allow people to undertake “ambush marketing” or marketing that is designed to benefit from the World Cup without paying for that privilege, Gillian Saunders, director at Grant Thornton, says that shouldn’t hinder local business from pursuing opportunities. “The inertia people feel because they are afraid is all that hinders businesses. But it can be done. People just need to be clever about it.”
Transport is one area where Saunders is worried there will be a shortage, particularly transport for the average fan on days when he or she will not be watching matches. But Saunders points out that there are complex licensing laws that service providers must meet before they can earn some extra money on the side as fan transport.
But, whatever people decide to do, Saunders emphasises that South Africans should be wary of overpricing. “I am concerned that we could create the perception that we are a rip-off rather than a value-for-money destination,” she says.
The emphasis should be on creating a long-term tourism and business legacy and showcasing South Africa as a hospitable nation and making a few fair bucks while you are at it.