'Air BnB is good competition but there are rules that need to be played by'

Competition from Airbnb is being pegged as a possible threat to the traditional hotel business since its establishment in 2008.

What is required to avoid the negative impact the technological advancement may have on jobs in the formal hospitality sector?

The Federated Hospitality Association of Southern Africa (Fedhasa) recently made a call to the Department of Tourism to address issues of regulation.

Fedhasa is requesting that people who rent out their homes through the online accommodation service pay tax, apply for liquor licenses, be visited by health inspectors and that tour guides be registered, like any other hotel.

CEO Tshifhiwa Tshivengwa says while they welcome the competition, a level playing field is needed.

We can debate on the size of the impact....I was talking to one hotel in Cape Town and they told me that for the first time in December they had some rooms available. Usually, they don't have rooms available during the period of Christmas and New Year. The impact is starting to creep in.

Tshifhiwa Tshivengwa,CEO of the Federated Hospitality Association of Southern Africa

We accommodate any cost along the lines of those accommodation establishments that are formal, registered and so on. We are one of the countries that have a very diverse accommodation offering.

Tshifhiwa Tshivengwa,CEO of the Federated Hospitality Association of Southern Africa

We find that international travelers are no longer coming to hotels and going to Airbnb properties, which is fine but as long as we are all following the same rules.

Tshifhiwa Tshivengwa,CEO of the Federated Hospitality Association of Southern Africa

An industry summit is expected to take place as part of a means to address concerns from business owners.

Listen to the full interview below...


This article first appeared on 702 : 'Air BnB is good competition but there are rules that need to be played by'


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
'We bring financial literacy to the communities'

'We bring financial literacy to the communities'

PM Skillshouse Founder Portia Malatjie says her company specialises in financial literacy.

[WATCH] MasterChef Australia judges are here ready for AppetiteFest SA

[WATCH] MasterChef Australia judges are here ready for AppetiteFest SA

MasterChef Australia judges share their fondest things to do in SA and what they like to eat on the plane.

#702Unplugged: Musa performs tracks from his brand new album

#702Unplugged: Musa performs tracks from his brand new album

The self-titled 12 track album is Musa's first project without his mentor Robbie Malinga.

 The law must change to enable the donation of tons of food going to waste

The law must change to enable the donation of tons of food going to waste

Tatjana von Bormann says the sell-by date and the use by dates are indeed one of the causes unnecessary food waste.

'Citizens have a right to ask for identification from police during a roadblock'

'Citizens have a right to ask for identification from police during a roadblock'

Major General Michael Mohlala explains the procedure of conducting a roadblock and what to do when you are stopped.

The psychology of being unemployed

The psychology of being unemployed

Performance coach Gielie Hoffmann speaks about what goes through a person's mind when they are unemployed.

Popular articles
Survivor winner Tom Swartz vows to buy his wife 'new boobies and a family house'

Survivor winner Tom Swartz vows to buy his wife 'new boobies and a family house'

Swartz says he would have done anything to get the R1 million prize money.

'There is no way Magnus Malan could've done the things he is accused of'

'There is no way Magnus Malan could've done the things he is accused of'

Former police minister Adriaan Vlok has rejected accusations that former minister Malan was at the centre of a paedophile ring.

'He told me people would want to keep him quiet at any cost'

'He told me people would want to keep him quiet at any cost'

Journalist Gavin Evans says the late Mark Minnie spoke to him about his fears that those he exposed in his book might harm him.

How businessman Max Lichaba struck gold with his jewellery company

How businessman Max Lichaba struck gold with his jewellery company

Entrepreneur Max Lichaba built his own empire and is the CEO of Lichaba Creations and several other businesses. This is his story.

Meet Jannie Mouton, the "Richard Branson of Stellenbosch"

Meet Jannie Mouton, the "Richard Branson of Stellenbosch"

The founder of PSG Financial Services and Capitec Bank is rocking the boat from Stellenbosch to the rest of Africa.