Forecast: Internal Tourism Consumption of Accommodation Services for Visitors in South Africa

The internal tourism consumption of accommodation services in South Africa stood at 53.2 billion South African Rands (ZAR) in 2023. This market experienced a notable volatility over the past decade, including a significant dip in 2020 due to the COVID-19 pandemic which was followed by recovery phases in subsequent years. The growth rate fluctuated, with notable annual increases in 2018 (11.95%) and 2022 (14.54%), balancing out periods of more modest growth or even decline. From 2018 to 2023, the compound annual growth rate (CAGR) was 3.23%, indicating moderate overall growth.

Future trends to watch for include:

• An expected steady increase in internal tourism consumption with a forecasted CAGR of 2.21% between 2024 and 2028.
• Advancements in accommodation services and increased investment in tourism infrastructure could drive growth.
• Sustainability and eco-tourism initiatives as key differentiators in the competitive market landscape.