By Clifford Akumu
Nairobi City is the most popular destination to visit, new report now reveals. The report by online travel agency, Jumia Travel dubbed Kenya’s Hospitality Industry 2018 shows Nairobi remains a favourite destination at 35 per cent, followed by Mombasa at 30 percent and Diani at 15 per cent. Nakuru is at 7 per cent, followed closely by Naivasha at 6 per cent, Malindi 4 per cent and Kisumu 3 per cent.
According to the Hospitality report launched by Jumia indicates, Kenya has only 19 five star-rated hotels, according to latest classification list, hence the need for more investments in high-end luxurious spaces to accommodate tourists. Increased interest from international hotel chains ready to set up in the city signals growing fortunes for the country’s hospitality industry.
Cyrus Onyiego, Country Manager Jumia Travel, said Nairobi had gained traction due to good housing infrastructure development and affordable hotels “With more affordable hotels ranging from first star to five star, Nairobi has remained a popular destination” said Onyiego during the launch of the report that is now in its third edition.
Onyiego further revealed that inaugural Nairobi-New York flight set for October this year is a game changer in the tourism and hospitality industry in the country “We might see the numbers of hotel bookings increase with the direct flight to US. Already there are a lot of excitement in the air, and the hospitality sector has to tap that windfall,” he said.
Currently, Kenyans in the US have to either make a connection in Europe or the Gulf states, and recently, Addis Ababa, to get to Nairobi. The country manager emphasized on the critical role played by data to drive growth in the tourism and hospitality sector.
“Access to trends shaping the hospitality sector from this report will drive investment in the
industry,” said Onyiego.
The percentage share of the ‘Pay-at-Hotel’ as a method of payment, according to the report, stood at 54 per cent as compared to 26 per cent made via mobile payment.
Card payments contributed a paltry 14 per cent, raising the question on credit card security in online payments. Whereas the report noted a contribution of 6 per cent to the payments from the firm’s offline travel agencies.
“We want to ensure seamless transactions for our customers at the best price guarantee, and therefore must keep innovating to develop new solutions customised for this market,” noted Estelle Verdier.
She further stressed on the value of the offline presence, “We cannot rely fully on automated transactions as hoteliers are still in the process of fully adopting online channels”
The report also notes that three-star establishments performed well, attracting 35 per cent of total bookings while two-star and four-star hotels received 30 per cent and 26 per cent respectively. Mobile bookings stood at 71 per cent, aided by the firm’s mobile app platforms. Desktop bookings recorded 26 per cent, while the tablet saw a mere 3 per cent of bookings in 2017.
Norah Ratemo, Head of Credit, Tourism Finance Corporation said adoption of low cost airlines is key in boosting domestic tourism. “We are working towards investing on diverse tourism products across the 47 counties to increase the number of domestic visitors and improve customer experience,” noted Ratemo.
