Mozambique contributes millions to SA economy

According to the report, in 2008 the Visa network saw increased transaction volume and total number of transactions by international visitors in South Africa. More than 13 million transactions were made by international visitors on their Visa cards, 11% up from 2007 and representing US$1.8 billion in South African tourism revenues.

Mozambican Visa cardholders spent US$41 million on their Visa cards, up 58% from 2007. In 2008, there were nearly 9.6 million foreign arrivals to South Africa, with Mozambican travellers ranking third among all visiting nationalities.

In terms of Visa cardholder spend, Mozambican travellers ranked ninth. The top five contributors to inbound tourism spending in South Africa during 2008, as measured by Visa card spending included the UK (US$517 million), the US (US$295 million), Germany (US$102 million), France (US$73 million) and Australia.

The average purchase amount for travellers from Mozambique was US$130 and key categories for spending include general retail and supermarkets. In 2009, spending by Mozambican travellers is still increasing. Through the first half of 2009, Mozambican Visa cardholders spent approximately US$21 million in South Africa, which is 160% greater than the same period last year.

According to Jabu Basopo, head of business development, Visa sub-Saharan Africa, this can be attributed to a significant increase in the number of Visa cards issued in Mozambique and Nelspruit's proximity to Maputo, where a number of Mozambican cardholders travel to South Africa in order to do their monthly shopping.

While South Africa has been a popular African tourism destination of late, traveller interest in the nation is increasing as the 11 June kickoff date of the 2010 FIFA World Cup approaches. According to South Africa Tourism, Mozambique is one of the country's top growth markets, experiencing a 13.2% year-on-year arrival growth rate. Last year, more than 1.2 million Mozambicans visited South Africa.

“Mozambican football supporters are excited about both the 2010 FIFA World Cup and travelling to South Africa to witness the matches in person. South Africa is already a popular destination for Mozambican travellers, and the 2010 FIFA World Cup will provide an even greater opportunity for South Africa to remain a popular destination for them.
As travellers are discerning in their choice of destinations and time of year for travel, Visa's insight into tourist behaviour and attitudes can support tourism providers in capturing tourism revenues,” says Basopo.

“Visa is committed to providing a reliable global payment acceptance network for our cardholders both at home and when they travel. Visa is similarly dedicated to supporting state and local governments in their efforts to grow tourism revenues by providing tourism data and insights that show where and how visitors spend their money,” continues Basopo.

Visa's partnership with FIFA provides Visa with global rights in the Financial Services product category to all FIFA World Cup activities that may be passed through to its financial institution clients and activated with merchant partners. These provide a powerful opportunity to drive business and corporate brand objectives. A wide range of marketing opportunities exist within the FIFA partnership to help clients such as those in Mozambique, obtain maximum exposure. Building promotions around this partnership can accomplish a wide range of corporate objectives including brand lift, global reach, and local relevance.

In addition to actual Visa card spend by international visitors into South Africa, the Visa Tourism Outlook survey evaluated travel intentions and attitudes among 5,539 travellers from 11 nations who have travelled internationally in the past two years. According to Visa's survey of international travellers, one in three are likely to visit South Africa in the future, and there is broad awareness of the many assets South Africa has to offer - from rich local culture to natural beauty and interesting things to do - from visiting beaches to safari.