Travel sector allows customers to focus on good health, provided care is taken in terms of environments and practices
The global wellness tourism sector is among the fastest growing worldwide. According to the Global Wellness Institute, which defines wellness tourism as travel tourism that seeks to improve or maintain a person’s wellbeing, the industry was worth R12 trillion in 2022 and is projected to be worth R26 trillion by 2027.
South Africa is well placed to benefit from wellness tourism in the coming years, as evidenced by the uptick in eco-lodges and the country’s long-standing relationship with nature-oriented tourism. The country is blessed with a wide diversity of natural settings that global tourists are already familiar with, such as the Kruger National Park, the Garden Route, the Winelands, the Midlands and the Karoo, to name but a few.
Risks exist, though, including that South Africa is competing against every other tourism location worldwide, including those vying for dominance within the global wellness tourism market. In a market where first impressions matter to the point of permanence, South African operators are encouraged to be mindful of creating areas of risk due to inattention.
A critical part of the wellness tourism value proposition is providing products and services in a safe, unique setting at an affordable price. In South Africa, that could be a hike up Table Mountain, riding dune buggies in the Kalahari, doing the Otter Trail in the Tsitsikamma National Park or a bush drive in a national park in KwaZulu-Natal.
An immediate area of concern for operators in the sector is falling foul of health and safety legislative requirements, particularly when some activities offered carry with them inherent risk. Legislation seeks to provide a healthy and safe working environment for employees and people potentially impacted by the undertakings of a business (such as clients, visitors or third parties in the vicinity). It further protects people, such as wellness tourists, against hazards to their health and safety that may arise in surroundings managed by others. In addition to the ethical considerations associated with ensuring the safety and avoidance of harm to employees and the public, there are real business continuity risks associated with legislative non-compliance, with regulators having the powers under applicable statutes to halt operations that may expose people to harm.
Be aware of responsibilities
If wellness tourists injure themselves during an activity offered by a tourist business and that business has not followed appropriate health and safety protocols and acted reasonably in preventing any foreseeable harm, as well as creating the potential for reputational harm, this opens the operator up to legal liability – both statutorily (that is, criminally) and in terms of potential civil action suits for damages. Mitigatory measures can be employed to help managers to manage the risks. In addition to understanding and complying with appropriate legal requirements, having contractual indemnities and appropriately drafted waivers in place can minimise risks for operators to the extent competent in law.
In addition to complying with legislation, it is helpful (and in some sectors or services may be required) for wellness tourism operators to be accredited with the necessary councils, bodies and representative associations in the sector in addition to the activities they offer (where appropriate).
While accreditation, more often than not, requires the paying of membership and compliance fees, these associations are validators of quality in the market and add a layer of legitimacy. The mushrooming use of online booking portals and other associated digital systems within the wellness tourism space has allowed operators to lower costs and optimise the efficiency of their operations. However, while such travel to South Africa is a click away, these systems mean that tourism operators are responsible for handling, using and protecting tourist privacy and data, including banking information. A data breach can spell the death knell of a wellness enterprise for several cycles, and with tourism in general, a game of cash flow and foot traffic, significant disruptions in patronage represents a severe threat to any tourism business.
Operators are advised to review relevant industry policies and guidelines and familiarise themselves with the Protection of Personal Information Act (POPI), which lays out how private user data should be handled in general. POPI breaches can result in criminal action or fines of up to R10 million, both fatal penalties for most tourism businesses.
Stay inside the lines
Similar to understanding the relevant legal framework and the risks associated with non-compliance, tourism operators, especially those within the wellness space, are well served to understand the risks they need to manage within their business and which of those risks can be appropriately mitigated through appropriate cover. If an incident occurs at a wellness tourism establishment, the operator is not insured and the guest or guests seek damages, it can be ruinous because of the high costs civil claims attract, in addition to attaining legal representation.
It is essential for any business to comply with sector and general employment legislation, guidelines and governance practices to cultivate and sustain a productive workforce, which in turn will enhance the company’s competitive edge in the sector.
In addition, if a wellness operator runs a franchise model, it is advised to check in with franchisees regularly. All it takes to turn away wellness travellers is for one franchisee to cut corners and their lack of professionalism to become public.
Text | Megan Jarvis, Leigh Lambrechts, Kate Collier and Dhevarsha Ramjettan
Photography | Media_Photos
Megan Jarvis, Leigh Lambrechts, Kate Collier and Dhevarsha Ramjettan are partners at Webber Wentzel.
For more information, go to webberwentzel.com.
