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BITE WITH THE EDITOR<br />

Strong Growth<br />

Neil Bald<br />

CEO - AHA HOTELS<br />

& LODGES<br />

Aha Hotels & Lodges is Tourvest’s accommodation division and is wholly-owned by the South African TMC.<br />

In the past five years it has grown into a significant player in the Southern African hotel industry. CEO<br />

Neil Bald has been at the forefront of that growth, and was happy to unpack some of those details over a coffee<br />

with editor Dylan Rogers in Johannesburg.<br />

Alot has happened since Neil<br />

Bald joined aha five years<br />

ago.<br />

The group has grown its portfolio<br />

from 12 hotels and lodges to over<br />

40, acquired a major competitor<br />

in the form of Three Cities<br />

Hotels, launched a new brand to<br />

the market, and grown its staff<br />

complement to over 60.<br />

All of this adds up to the second<br />

biggest hotel management company<br />

in Southern Africa and the fourth<br />

biggest hotel group in South Africa.<br />

“The plan when I joined was to<br />

grow it considerably and it still is,”<br />

says Bald.<br />

So, it sounds like he is on track.<br />

The aha brand now consists of<br />

a diverse selection of hotels and<br />

lodges spread across South Africa,<br />

Zimbabwe, Zambia, Namibia and<br />

Botswana, with the plan to extend<br />

that footprint into other African<br />

countries.<br />

“Outside of South Africa, our<br />

plan, from a hotel point of view, is<br />

to be represented in capital cities,”<br />

says Bald, whilst acknowledging<br />

that aha Hotels & Lodges still has<br />

some way to go before becoming<br />

a recognisable brand, particularly<br />

to international travellers. As a<br />

result, aha are open to operating<br />

properties under franchise<br />

agreement, if all the right boxes are<br />

ticked.<br />

“We are seeing demand for<br />

regional operators who know the<br />

lay of the land, possibly already<br />

have representation in the area,<br />

and understand how to work with<br />

the local labour force,” says Bald<br />

of the international brands who<br />

favour this approach over trying to<br />

make it work on their own.<br />

Besides the countries already<br />

mentioned, aha has fairly recently<br />

gone into Ethiopia with a deal for<br />

a group of properties over a few<br />

years. The first hotel is expected to<br />

be complete in the next year, with<br />

the second one due to start soon<br />

and two more on the cards in the<br />

future.<br />

“It’s going to be a very<br />

interesting couple of years,” says<br />

Bald, whilst conceding that the<br />

Ethiopian expansion goes a little<br />

against the grain of aha’s growth<br />

strategy, which focuses largely on<br />

South Africa and its neighbouring<br />

countries.<br />

“The plan is to grow more than<br />

one property in a destination and<br />

to ‘grow countries’,” he says. “If<br />

we do that we can start putting in<br />

country management etc.”<br />

East Africa, though, also<br />

remains of interest to Bald and<br />

aha, and whilst the group has had<br />

a look at and considered one or<br />

two opportunities in the likes of<br />

Nigeria, Ghana and Angola, one<br />

gets the sense that West Africa is<br />

currently just not as appealing.<br />

“We haven’t focused on growth<br />

too far from home, but rather on<br />

neighbouring countries and East<br />

Africa, where there just seems to<br />

be more opportunity than West<br />

Africa,” says Bald.<br />

Back home, aha are still<br />

optimistic about their South<br />

African growth in the hotel space,<br />

with Bald citing Johannesburg and<br />

Cape Town as the key locations<br />

from a business travel point of<br />

view, whilst also conceding that<br />

there is currently a hole in their<br />

portfolio.<br />

“To be recognised as a serious<br />

player, you need to have key<br />

locations, and in corporate travel<br />

you have to be in Sandton,<br />

where we currently don’t have<br />

representation,” he says. “We’ve<br />

recognised that, although it’s not<br />

that simple to get in there, but<br />

we are working on a couple of<br />

options.”<br />

From a lodge point of view, the<br />

focus is slightly different.<br />

“Growth outside of South Africa<br />

will more likely come from the<br />

lodge space, and we want to be in<br />

key/iconic locations,” says Bald.<br />

“So, it’s Etosha, the Serengeti,<br />

Maasai Mara and Kruger National<br />

Park. There is demand for operators<br />

in these locations.”<br />

Five years is a nice round number<br />

and, arguably, an opportunity to<br />

reflect for Bald.<br />

Aha Hotels & Lodges have come<br />

a long way since he joined in 2012,<br />

with the Three Cities acquisition in<br />

2014 giving the group the kick-start<br />

it was looking for, catapaulting it<br />

from 20 to 40 properties, giving it<br />

the critical mass Bald wanted, and<br />

establishing aha as a South African<br />

hotel group to be taken seriously.<br />

Now for the next five years… C<br />

64 | SEPTEMBER2017 Visit businesstravellerafrica.co.za

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