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The Rise Of Millionaire Tourism

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Private jets, elite lodges, haute cuisine and watching the perfect sunset – luxury safaris and bespoke experiences can cost anything from $20,000 to $350,000. 


My greatest experience was standing in the Makgadikgadi salt pan in Botswana, which, as far as you can see in all directions is absolutely flat and white. Then the sun goes down. All of us have seen beautiful sunsets, and then there’s the glow and all of us have seen that. But then, there’s a kind of… grey pause. And then, the real sunset begins. It lasts for 35-40 minutes. The entire sky starts changing color and then the sun is long gone. But the sky lights up with all these fabulous colors that keep shifting all the way around you. We watched it every night,” says Christopher Beach, an American tourist describing a moment on his R3 million ($208,700) tour around southern Africa in May 2018.

This trip – a bucket list-adventure for the group of six friends and partners – was guided by tour company Luxury Africa Destination Management.

A 19-day excursion, this one-of-a-kind experience included private planes, luxury lodges and a full immersion in the sweeping landscapes of South Africa, Botswana and Namibia.

How is ‘luxury’ defined?

Is it a five-star stay at the Ritz-Carlton in New York, or a meal from a top chef at an elite restaurant?

For many top-tier, elite travelers today, ‘luxury’ isn’t about caviar and diamond-encrusted cutlery.

‘Luxury’ in travel has changed from a garish display of wealth to one about experiences, privacy, and unique memories all bundled into one bespoke package.

As Angama Mara Lodge co-founder, Nicky Fitzgerald, with decades of experience in decadent travel and top-tier lodges in southern Africa, explains: “There are different opinions of luxury. In the end, the stuff is just the stuff, and if you have enough money, anyone can have gold cups or build a beautiful lodge. But experiencing good game is unique, and having a talented guide and caring staff take the experience out of the ordinary. Luxury is bespoke care for each person. Luxury for the super-elite is watching the perfect sunset, and seeing the Milky Way from bed.”

The sunset on the Makgadikgadi salt pan in Botswana was such a luxury experience for Beach.

“It is more than a poetic experience. It’s a life-changing experience,” he says.

A regular traveler, he is the retired President and Artistic Director of the La Jolla Music Society in San Diego. For over 40 years now, he and his partner have traveled annually to Venice. A few years ago, Beach and his sister went on National Geographic’s 24-day ‘Around the World by Private Jet’ trip (costing a minimum of $82,950 per person and including destinations like Easter Island and Marrakesh). “[My partner and I] say to everyone – people know that we’ve spent 40 years traveling and we say to everybody – you have to trust us. [A trip to southern Africa] is the most transcendent travel experience of your life. I went on the National Geographic ‘Around The World By Private Plane’ trip a couple of years ago and it was great and it was first-class and all of that… But going on a safari exceeded anything we’ve ever experienced.”

According to Virtuoso’s annual Luxe Report, a luxury trip advisory service, “the desire for unspoiled natural beauty is continuing to motivate travelers”.

Their 2018 forecast listed Africa as one of the top five must-take trips. They said in the report: “From culturally-rich South Africa, which is also 2018’s top adventure destination, to the wilds of Botswana and Kenya, and to the souks of Morocco, Africa is one of the world’s most diverse continents. Virtuoso’s advisors say a safari is an integral part of the African experience, particularly with wildlife preservation a priority for today’s sustainably-savvy travelers.”

Though Beach doesn’t consider himself ‘rich’, his trip on the continent was certainly in the upper echelons of tourist budgets pouring into the continent.

As the Southern and East African Tourism Update website writes: “Millionaire tourism in Africa has been on the rise for several years. In 2016, a study by a Johannesburg-based research institution found that in a period of 12 months, around 43,000 individuals with net assets of $10 million or more visited the continent for a holiday.”

Stats SA backs up the importance of all tourism in South Africa: “The tourism sector directly contributed 2.9% to South African gross domestic product (GDP) in 2016.”

The lure of the bush and a chance to experience a complete immersion in landscapes unseen in the West, not to mention close encounters with animals, are hugely appealing to international visitors. Says founder of Famba Famba Tour Design Specialists, and winner of Gauteng’s Lilizela tourism award, Valentino Meirroti: “The tourism industry is growing. There is a growing market for luxury travel as air travel becomes cheaper worldwide. The super-wealthy are spending less money on material things and more on unique experiences.”

The private villas, the haute cuisine, the sundowners, and the private jets aren’t the draw cards for the super-elite traveler, Meirroti explains. The biggest appeal for these luxury tourists is the chance to experience the raw beauty and these special moments in relative privacy.

Angama Mara Lodge, a 30-sleeper villa is perched on a hill overlooking Kenya’s Maasai Mara, with these needs in mind. In peak season, during one of the world’s most phenomenal sightings – the Great Migration – guests will pay $1,650 per night per person. The lodge’s co-founder Fitzgerald, describes: “We have a heart-stopping view from our position over the valley. We’re absolutely packed in high season. We’re very, very high-end and visitors find that visiting us on a safari tour and witnessing the Great Migration at such close quarters is a huge highlight.”

Beach describes it as well: “This is like being on earth millions of years ago in the garden of Eden. You are invisible in your jeep. The animals ignore you. They are acclimatized to you. You’re not a threat, you’re not something to eat.”

Patrick Siebel, founder of Luxury Africa Destination Management, has a whole business built around creating bespoke, luxury tours.

Most people using his services spend a minimum of R300,000 ($20,877) for two weeks, but on his most opulent trip, six people spent R5 million ($348,000) on a 15-day trip. He says he has serviced, amongst others, Russian oligarchs, American businessmen and CEOs, and super-wealthy families.

Says Siebel: “Last year, I had a guy, he wasn’t even planning to visit South Africa I guess. But he had a super yacht with the tallest mast in the world. While he was here having their main sail fitted on, he ended up going up to Johannesburg and bought a whole safari camp. Fascinating people.”

This type of travel is also falling into the enlarging wellness travel industry.

This billion-dollar section of luxury travel feeds another, equally important part of the luxury traveler’s needs – relaxation and enrichment.

Skift quotes Joss Kent, CEO of andBeyond: “Health and wellness are an increasingly larger part of travel, but these can mean different things to different people. We’re seeing that guests are traveling, not to escape their daily lives, but to enrich them.”

Fitzgerald agrees: “It seems outrageous but people who like luxury travel have more of an issue with time than money. Some guests have no clue what they paid for their accommodation. There is so much money for people to do beautiful travel.”

Meirroti adds: “Our guests appreciate exclusivity, and a combination of complete relaxation while having a unique experience. People are happy to spend money for a bespoke experience that is well-organized and guided by knowledgeable guides.”

Perhaps Beach says it best: “When I travel to Africa, I want a place that is private, private, private, and you walk out in the morning and you are the only person in the world looking out over a vast horizon. It feels like you’re in Discovery Channel. And though African safari costs are some of the most expensive trips I take over the world, they are life-changing.”

  • Samantha Steele 

Billionaires

Bad Times For Billionaire Branson–Staff At Virgin Atlantic Asked To Take Unpaid Leave As Coronavirus Cripples Air Travel

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Billionaire entrepreneur Sir Richard Branson has been criticized by a U.K. politician for airline Virgin Atlantic’s request on Monday for staff to take eight weeks unpaid leave during the coronavirus pandemic.

Labour MP Kate Osborne, the second U.K. politician to be diagnosed with coronavirus, described Virgin Atlantic’s decision as “an absolute disgrace” on Twitter.

Author Liam Young tweeted, “Virgin Atlantic have 8,500 employees and Branson has asked them to take 8 weeks unpaid leave. It would cost £4.2 million to pay all of these employees £500 a week to cover this leave. In total that’s a cost of £34 million for 8 weeks.”

The implication appears to be that billionaire Richard Branson, whose net worth Forbes estimates $3.8 billion, could afford to cover this cost.

Virgin Atlantic confirmed in a statement Monday that it plans to reduce its schedule and prioritize routes based on customer demand. The airline predicts an 80% reduction in flights per day, and adds, “As a direct consequence we will be parking approximately 75% of our fleet by 26 March and at points in April will go up to 85%.”

Virgin Atlantic describes the changes as “drastic measures” put in place to “ensure cash is preserved, costs are controlled, and the future of the airline is safeguarded.”

Adding, “Staff will be asked to take eight weeks unpaid leave over the next three months, with the cost spread over six months’ salary, to drastically reduce costs without job losses.” The airline confirms its decision has received the support of unions BALPA and UNITE in agreeing to the unpaid leave.

A Virgin Atlantic spokesperson said: “The aviation industry is facing unprecedented pressure. We are appealing to the [U.K] government for clear, decisive and unwavering support. Our industry needs emergency credit facilities to a value of £5-7.5 billion, to bolster confidence and to prevent credit card processors from withholding customer payments.”

Bad Times For Branson

Branson’s business empire has been hit particularly hard by the coronavirus pandemic.

On March 14 the Virgin Voyages cruise ship operation decided to postpone the launch of its new Scarlet Lady cruise line. “The current global health crisis is understandably making many people rethink upcoming travel plans,” Virgin Voyages confirmed in a statement.

On March 5, British airline Flybe — which is part owned by Virgin Atlantic— collapsed after it succumbed to its financial woes and weakened demand because of the Covid-19 outbreak.

Following the announcement of Flybe’s collapse, Virgin Atlantic said: “Sadly, despite the efforts of all involved to turn the airline around, not least the people of Flybe, the impact of Covid-19 on Flybe’s trading means that the consortium can no longer commit to continued financial support.”

Flybe, which once was Europe’s largest independent regional carrier, narrowly escaped collapse in January, after being bought by Cyrus Capital, Virgin Atlantic and Stobart last year.

Virgin Galactic, Branson’s publicly traded space tourism arm, has seen its shares slump since its mid February high of $37.26 on the NYSE. Having lost another 10% of value as of 4:30 pm U.K. time on Monday, Virgin Galactic is priced at $13.30 and falling. Branson’s Virgin Investment Limited owns 47% of Virgin Galactic through an investment entity, Vieco.

David Dawkins, Forbes Staff, Billionaires

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Emerging Economies, But Weaker Passports

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Africa dominates the bottom of the rung in the 2020 Henley Passport Index. A majority of the continent’s passport-holders don’t have the luxury of visa-free travel around the world.

[To see the infographic on Africa’s rankings, click on the image]

The African Union may be gearing for a common African passport, but for now, it seems like most African passports don’t have what it takes to get to other parts of the world.

In the recently-released Henley Passport Index, which measures all the world’s passports according to the number of destinations their holders can access without a prior visa, only two African countries –Seychelles and Mauritius — are in the top 50.

The rest of the continent dominates the bottom quarter of the rankings with weaker passports than most, pointing to difficult and intensive visa processes in most cases.

Africa’s biggest economy and one of its most influential, Nigeria, is at the end of the travel freedom spectrum, at a pitiful number 95 with Djibouti. Nigeria’s population of 200 million can only travel to 46 countries without obtaining a visa in advance. 

Even passport-holders from Samoa and Serbia have a better chance of traveling to most places in the world, visa-free, than those in South Africa, the African continent’s second biggest economy.

Ranked 56, the number of global destinations South African passport-holders can travel to is 100.

It is followed by its southern African neighbor, Botswana, ranking at 62 with a score of 84.

Seychelles, the archipelago country in the Indian Ocean, is Africa’s top-ranking African passport in this regard, at 29 with access to 151 destinations worldwide.

It is quickly followed by Mauritius which is at 32 with a score of 146 destinations passport-holders of this country can visit.

The lowest-ranking African country is Somalia at 104. Passport-holders from this tiny nation in the Horn of Africa can only visit 32 countries without a pre-departure visa

Globally, Asia dominates the list. For the third consecutive year, Japan has secured the top spot on the index — which is based on exclusive data from the International Air Transport Association (IATA) — with a visa-free/visa-on-arrival score of 191. Singapore holds on to its second place position with a score of 190.

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Executive Travel: Slikour’s Mexico

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The South African hip-hop artist and entrepreneur experienced a hurricane and a seismic spiritual shift in the city of Cancun. 


It has been a journey, a lot to learn and a lot learned,” says Siyabonga Metane, popularly known on South African hip-hop stages as ‘Slikour’.

The learnings have been in music and business, but the journeys have been beyond both.

Just two years post South Africa’s democratic elections in 1994, Slikour was part of a rap group named Skwatta Kamp, formed on the streets of the country’s Gauteng province, with the aim of commercializing the local hip-hop scene.

The group consisted of seven members and most of them went on to release solo albums. Slikour released two, Ventilation Mix Tape Vol.1 and 2, in 2005 and 2007. Long before that, in 2002, Slikour had turned entrepreneur, co-founding Buttabing Entertainment, a record label and artist management organization.

READ MORE | Executive Travel: Reneilwe Letsholonyane’s Manchester

 Today, he is also the founder of SlikourOnLife, a prominent urban culture online publication that he started in 2014 catering to music lovers.

Returning to the word ‘journey’, it especially sparks memories of a trip he undertook in 2011 to Cancun, a Mexican city on the Yucatán Peninsula bordering the Caribbean Sea, known for its beaches, resorts and nightlife. Slikour was there for a television shoot as part of a group. The trip still stands out in his mind.

He was not blown away by the city initially, but as he visited some of Cancun’s tourism attractions, he began to change his perception.

Ultimately, it proved to be what he calls an amazing rendezvous.

“The people were pretty much speaking Spanish,” he chuckles, recalling being immersed in the local culture.

READ MORE | Executive Travel: Mpho Popps’ Ghana

“There are a lot of laborers there and the people are beautiful and accommodating, but we never really spoke or interacted with the community.”

Slikour decided to savor the city’s famed nightlife instead and see for himself what all the hype was about.

It all began and ended with tequila, a distilled alcoholic drink and one of Mexico’s most famous exports, made of the blue agave plant from the city of Tequila in Mexico. 

“Everything you do there is done with tequila. I don’t drink alcohol, but I had to accept and apply myself because there, they don’t use tomato sauce, they use tequila; I literally had to get into the tequila swag; it’s everything there. Tequila started there,” Slikour says.

Mexico is known for its recurring hurricanes too, which Slikour also got a taste of while there.   

“After a few days of getting there, we were warned of a hurricane, and asked to close our doors and windows, and because these things happen regularly, there’s a drill to follow. The hurricane wasn’t a major one but I was excited because I wanted to see it. I had to look through the window,” he says.

The hurricanes are so frequent in Mexico that he likens the precautions taken to lighting a candle during South Africa’s frequent power cuts.  

Despite this exhilarating encounter with nature, the real earth-shaking experience for him, however, happened deep inside a cave in the city of Cancun – and also deep inside him.

READ MORE | Executive Travel: Nomzamo Mbatha’s Kenya

“My spiritual [epiphany] was when I went into those caves. You go in there with your self-assurance, claiming you understand everything. Thereon, they tell you where everything comes from and all of a sudden, you become this very small thing in this big ecosystem. It just shows how everything affects everything,” Slikour says.

The tour guides explained how everything inside the cave came from rain, elaborating how it was connected to the core of the earth; which is where they were at the time.

Slikour was in Cancun for two weeks, and also visited the pyramids.

“The Mexicans didn’t have all the mathematics that we have now but the pyramids were built to perfection. It just showed you how forward-thinking they were and how behind we are in as much as we think we are forward; we just have technology. We don’t think the way historic societies used to think,” says Slikour, in deep reflection.

Mexico is a place he would return to, anyday, in a heartbeat.

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