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Cape Town city’s competitive advantage

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“For a cricket game they get 120 000 people into the stadium, for an Australian Open tennis tickets are sold out every day, and for a rugby game they get 115 000 people into the stadium”.

The Barcelona sport brand was also noted, as being one of the leading cities of sport. This was mainly due to their strategic vision for the city‟s brand positioning. One stakeholder revealed that despite their knowledge of the “financial burden” which the 1992 Olympic Games placed on their city‟s economy, “Barcelona city authorities strategically decided to continue to invest into sport for the city” (Director of Sport and Recreation, COCT). Beyond their investment, another respondent noted the “brand association” of their Football Club,

“that does incredibly well” (Marketing Manager ACT) both on and off the field which further positions the city as a leading sport city.

New York City‟s sport brand was also noted. This city was mentioned by a number of respondents as a globally competitive city in sport as a result of their unique sports i.e., the National Football League and National Baseball Association. However, as these sporting events are not universally participated in, respondents did not further elaborate on the city‟s competitiveness. A response that was typical of a few stakeholders reveals: “New York is also a big competitor but they don‟t play sport that we take part in...” (Sports Branding Manager, Peninsula Beverages).

The next section now outlines the competitive advantages of Cape Town‟s brand as perceived by stakeholders.

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Respondents believed that it is attractions such as Table Mountain that contribute to this advantage. Illustrating this response, the CEO at WPCA stated: “It is the beauty of the surroundings definitely. When you are in Durban and you are sitting in the stadium, you cannot see the mountain like this in the cricket field”. Interestingly, Table Mountain was sometimes solely perceived which indicates the main advantage of the city‟s natural setting.

The Communications Manager at WPRA stated: “it is without a doubt Table Mountain”.

Coupled with the emphasis on natural beauty were stakeholder perceptions of the

„geographical location‟ of the city. With the belief that this competitive advantage extends internationally, the Director of Sport and Recreation at the COCT responded: “I think both nationally and internationally the geographical environment of Cape Town gives it a competitive edge when it comes to its brand”. Significantly, this particular stakeholder identified the „natural setting‟ and „geographic location‟ of the Cape Town brand to serve as a

“strategic competitive edge” during the hosting of outdoor sporting events. Using the Cape Town Cycle Tour, Two Oceans Marathon and the Absa Cape Epic as examples, the Director elaborated:

“We don‟t have to focus on sport types that require major facilities. For instance, the Argus (Cape Town) Cycle Tour has the most scenic route in the world. The Two Oceans Marathon- where do you get a marathon that gives participants the opportunity to see two oceans? If you look at the Cape Epic-a mountain bike race that is equivalent to Le Tour de France, situated in the most scenic Wineland route?”

This response further reflects a competitive advantage of sporting events that are distinctive to the Cape Town brand. It was also brought to light by the Director of CETRA who explained:

“We are very fortunate in Cape Town that we have strong home grown events and that gives you your differentiator because there are many big cities that can host a mega event but only Cape Town can host a unique cycle race as the Argus Tour or the Two Oceans Marathon in terms of the natural environment in which it occurs.”

Although the majority of perceptions centred on the natural setting and physical location, a respondent argued that “you can‟t rely solely on your location” (Director, CTCTT). Referring

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to the marketing efforts around these perceived competitive advantages of the Cape Town brand, the Director continued:

“You need to make sure you working your location and you need to make sure that you are promoting yourself, you can‟t simply sit back and say the location. So yes we do, our location is unique, our setting is unique, and so that is our advantage. But it is promoting that and getting out and letting people see that”.

 The successful history of hosting sport mega-events:

A respondent identified the successful hosting of previous sport mega-events as a favourable comparison linked to the Cape Town city brand:

“Cape Town compares quite favourably to international cities...Cape Town having been host of the World Cup Cricket in 2003 and also hosts now for CHAN, in 1996 we were hosts in the African Cup of Nations and 1995 for the Rugby World Cup” (Chief Director at Sport and Recreation, WCPG).

Another respondent noted the “successful hosting of the (Soccer) World Cup in 2010 in Cape Town as well as the rest of the country” (Director, CTCTT) as a sport mega event linked to the city‟s favourable comparisons.

 The favourable climate for hosting year round sport:

The Cape Town climate was another factor considered as a competitive advantage. Despite respondents recognising that “Cape Town has obviously got the cold and wet winters”

(Marketing Director, Adidas) compared to other national cities, the perception is still that “the climate is well suited to play sport all year round” (Communications Manager, WPRA), especially when compared to other global climates.

 The comparative Cape Town sport, accommodation and restaurant facilities:

In relation to sporting elements, sport facilities and stadia were top of stakeholders‟ minds.

Sport facilities for „rugby‟, „cricket‟ and „soccer‟ were perceived as “magnificent” (Sports Branding Manager, Peninsula Beverages) and “compare favourably with the rest of the world” (Communications Manager, WPRA). Other facilities and venues like “hotels and accommodation” (Director, CETRA) as well as “restaurants” (Marketing Manager, ACT) were also perceived to be “top notch” (Sports Branding Manager, Peninsula Beverages) and more than adequate to “deal with the influx of people during sporting events” (Marketing Manager, ACT).

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Table4.5 Key advantages of Cape Town city’s brand

Natural setting

Table Mountain

Home grown sporting events

History of hosting sport mega events

Climate

Sport, accommodation and restaurant facilities and venues

Exchange rate

 The economic favourability of the city:

A further advantage linked to the tourism potential of the city was the exchange rate: “A big advantage is our exchange rate. It is very cheap for people to visit and once they are here, they stay here” (Sports Branding Manager, Peninsula Beverages). The following table summarises the key advantages of Cape Town city‟s brand.

Following the perceptions of Cape Town city‟s competitive advantages it was important to determine whether there are any limitations to the Cape Town brand. The following section details the responses of stakeholders to this aspect.