RETAIL: HOTELS

This sector comprises two listed Hotel groups, relatively small in size of capitalisation, but nonetheless listed on the JSE.

 INDUSTRY EXPOSURES

Business:  The southern African hospitality industry is at a critical juncture where it must navigate changing guest needs, optimise value creation, and ensure operational resilience in a post-pandemic world. 

One of the biggest threats for hotels has been Airbnb and similar apartment sharing websites. Airbnb has syphoned demand from hotels and limited-service properties in key markets and high tourist areas. With more technological advancements, entry barriers are lowered, and new competitors and disruptors are appearing in the market.

The industry faces several challenges with rising global food and fuel pricing affecting not only operating expenses but guest affordability as well. With travel budgets reduced to save costs and individuals preserving disposable income in a rising interest rate environment, the increasing cost of transport due to rising fuel prices is a major travel deterrent, particularly for international and corporate travel.

Discover how leadership is driving and defending value in our detailed analysis on these companies’ top ten material issues across:

  • Governance

  • Ethics

  • Customers

  • Labour 

  • Society

  • Environment

In this report

  • City Lodge (CLH)

  • Southern Suns (SSU)

Price: Free

Included:

  • Full 13-page report covering the 2 Hotel companies in the Retail sector

  • Introductory in-person consultation, scheduled at your convenience; learn more about how to link FarSight scores with your valuation process, and get up-to-date answers to specifics on each company under coverage.