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Most of the small lodge owners had pinned their hopes of survival on their reservations for the season (iStock).
- A third of the guesthouses on the Garden Route indicate that they have lost at least 50% of their reservations.
- The cancellations began two weeks ago due to news of the Covid-19 resurgence and the identified hot spots.
- The Knysna and Sedgefield areas appear to have been the hardest hit in terms of lost revenue.
Following the recent amendment of the Tier 1 regulations, a third of the guesthouses on Garden Route indicate that they have lost at least 50% of their reservations for the holiday season, according to a survey conducted by the provider of the hotel reservation system. NightsBridge online hosting.
The cancellations started coming in two weeks ago, when news of the Covid-19 resurgence made headlines and hot spots were identified across the country.
About 20,000 reservations that were due to arrive in December and January were canceled in the two weeks prior to last Monday’s notice. In the Western Cape, 12.7% of arrivals on the NightsBridge system have been canceled.
Data from NightsBridge indicates that the Knysna and Sedgefield areas appear to have been hit the hardest in terms of lost revenue, with over R1.16 million in canceled online bookings. Mossel Bay and its surroundings lost at R643 795, Plettenberg Bay at R767 165 and Wilderness at R643 795.
Among the reasons cited for these Garden Route cancellations are the hotspot declaration that made travelers feel unsafe to travel; fears of contracting Covid-19; beach closures; the possible rewriting of the Matric exam paper; Covid-19 contracted in a family group; the cancellation of Plett Rage; canceled flights or new curfews that make flight schedules impossible; and new blockades in European countries.
“Most of the small lodge owners had placed their hopes of survival on their reservations for the season. These hopes were dashed with the announcement Monday night that all Garden Route beaches would be closed until January,” he says Theresa Emerick, CEO of NightsBridge.
About 166 guesthouses participated in the NightsBridge survey, with 86% reporting 746 cancellations among them since the announcement Monday night. Devastatingly, 11 Garden Route accommodation owners reported an 80% to 100% loss of income for December and January. Roughly 169 bookings were postponed until early next year, April 2021, or even December 2021.
“While that means that homeowners could keep some of the deposits they already received, it immediately reduces their future income opportunities,” Emerick says.
“The tourism and hospitality sector has been one of the hardest hit as a result of the Covid-19 closures. Despite this, we have worked hard to implement strict and internationally approved health and hygiene protocols to keep our staff safe. and guests “. Emerick says.
* Compiled by Carin Smith
