Online Auctions drive RTG’s sales growth Revenue generation programmes remain the main driving force for RTG’s growth

Conrad Mwanawashe Business Reporter
THE Rainbow Tourism Group is riding on the growth in internet and mobile penetration to promote local participation in tourism in a bid to increase occupancy across its hotels through the newly launched RTG Online Auctions.

RTG expects to improve on the 36 percent occupancy recorded in the five months to May as the group relied more on individual stay as opposed to the traditional conference market.

The RTG Online Auctions concept, a first in Zimbabwe, is an online platform which allows customers to bid, win and pay for accommodation, conferencing and banqueting packages.

Group chief executive Mr Tendai Madziwanyika hopes the growth in penetration rates will spur a growth in room sales.

“We can’t run away from ICTs. Any business that does not optimise the usage of ICTs is not going to go far. We believe that the ICTs are an enabler of business.

“It is that highway that gives access business to customers and customers to business. We think that this is one way of bridging the gap,” said Mr Madziwanyika.

Zimbabwe’s internet penetration is about 50 percent while mobile penetration rate is about 106 percent.

RTG Online Auctions is one of the group’s recent innovations which will give direct online channel access into RTG hotels from anywhere in the world.

The platform makes it even easier for Zimbabweans in the Diaspora to purchase hotel services for their relatives and friends directly without logistical and payment complications.

Accessible through the RTG website, the customer is able to log on through a simple registration process, and offer a particular price, which is based on the set minimum incremental amount that is higher than the existing bid or offer price.

The platform allows for multiple users to place their bids, over a period ranging from an average of one hour to 48 hours for shorter horizon bookings, to one week to a few weeks for longer horizon bookings for the particular auction listing.

Determined by the level of participation in the bidding process, the highest bidder will win the purchase, and is given a timeline in which to process the payment online.

Alternatively, customers have an option to make an immediate purchase if the price on offer suits their budget, through the “Buy Now” option.

This bidding concept allows the market to determine the rate they pay for services, through the bidding process.

“The RTG Online Auctions concept is an additional direct channel for business and revenue generation, and will help to reduce ‘overnight room stock and conference space dumping, which is prevalent in our highly seasonal industry. Customers can also expect wider choice as we will be uploading RTG Virtual Partners onto the platform in the future,” said Mr Shupai Marware, RTG commercial director.

Payments are made online through VISA, MasterCard, ZimSwitch, EcoCash and Telecash.

You Might Also Like

Comments