Welcome to part 1 of our 3-part Seasonal Spend Report, where we unpack the numbers from the 2025 festive season and what impact this has had on the South African economy.

The data is in: South Africa’s tourism is gaining momentum. In 2025, 9.5 million international visitors entered the country, up 6.7% from 2024.

That momentum goes beyond arrival numbers. We analysed transaction data from over 200,000 Yoco merchants nationwide and found that transactions from international card spending during the from mid-November until the first week of January rose 23% year-on-year – setting a new record for international spend.

We've also observed that there is a marked difference between local and international travellers. Our data shows that high-spend travellers are the real force behind the recovery, spending twice as much as locals and injecting hundreds of millions of rands into local businesses.

Let’s dive into the numbers to see how and where they spent it.

International tourists spend more than double per transaction

Local spending continues to dominate festive-season spending, and accounts for 87% of transactions processed in December. However, international spending is disproportionately more valuable for local businesses.

This is best illustrated by looking at the average spend per transaction for the two groups. Locals spent an average of R280 per transaction, less than half the R627 spent by international visitors. The data shows that this trend holds across industries and sectors.

So too, in the food and drink sector, international visitors spent an average of R280 per transaction, which is 70% more than locals.

The retail sector is another area with a sizeable gap in spending. On average, retail transactions by international visitors are double the local average of R442.

So, where are these high-spend travellers coming from?

Europe sends more visitors but Americans spend the most

According to data from South African Tourism, Europe accounted for around 1.26 million arrivals, while the Americas accounted for just over 500,000 arrivals. But it’s important to note that higher arrival numbers don’t guarantee more economic impact.

Transaction data from Yoco’s platform shows that Americans spent significantly more at local merchants than visitors from other countries.

Visitors from the United States spent four times more than those from the UK and nearly seven times more than Germany.

Regardless of their origin, international tourists are united in their love for our local food scene. Food and beverages accounted for over 60% of international card spend. This was followed by transactions at retail merchants.

Together, these accounted for over 80% of festive season spending from international visitors, and is reflected in the tipping data.

Americans were 2025’s most generous tippers

International visitors didn’t just boost local businesses with their spending – they provided millions of Rands to their employees through tips. Together, these visitors contributed over R14 million in tips.

America, where tipping remains a major part of dining culture, had the most generous visitors and contributed nearly half of the total tip amount. They were followed by Britons and Germans at 9.6% and 5.5%, respectively.

Among foreign visitors, the same data shows that Americans also gave the highest average tip amount at 11.28%.

Americans may give the highest tip amounts and tip the most overall, but Canadians are the most likely group to leave a tip after purchasing food or drinks. Canadians left a tip 37% of the time, narrowly ahead of the United States and Germany whose visitors tipped 35% of the time.

While India was not in the top 5 for amount tipped or average tip size, they were more likely to leave a tip than the Dutch or Australians.

The Western Cape captures the biggest share of international spend

So far, we’ve seen the value of high-spend tourists to merchants and their employees. But, which regions benefited the most from these visitors?

The data points to the Western Cape as the clear winner, where international cards made up nearly a quarter of all transactions.

By contrast, international visitors accounted for less than 7% of transactions in Gauteng during the same period.

The bulk of this spending is concentrated in Cape Town, with merchants in the Mother City processing 61.9% of all international card transactions during the festive period. Second-placed Johannesburg processed 3.1% during the same period.

And it’s not just Cape Town benefiting from the Western Cape’s influx of international visitors. Plettenberg Bay and Stellenbosch take third and fourth place, processing 2.7% and 2% of the country’s international transactions, respectively.

While international transactions in Cape Town generated over half a billion Rand for merchants in the city. However, the same data also shows that more transactions doesn’t automatically equal more revenue.

Even with fewer international transactions than the Western Cape, Gauteng stands out for higher average spend by international visitors. This is evident in three of the top five cities being based in Gauteng.

Spending on food and drinks accounted for the majority of international transactions in both provinces. However, tourists in the Western Cape spent an average of R275 per meal – 11% less than visitors to Gauteng.

Turning international spending into meaningful growth

South Africa’s tourism recovery isn’t just about getting more people through the door, but about who’s spending once they arrive. While local shoppers still make up the bulk of transactions, a smaller group of high-spend international travellers is having an outsized impact – from bigger baskets to more generous tips especially for businesses in food, drink and retail.

So, how do you translate a busy tourist season into meaningful growth?

Here are 5 tips to help your business benefit from new arrivals:

• Make it easy to pay
  Card transactions account for the majority of spending by international tourists and they spend more when checkout is quick and seamless. Reduce friction by accepting cards and contactless payments, and ensure your payment devices are always working.
  
  

• Lean into what visitors want
  Stock or promote your best local, giftable or “only-in-SA” items, and highlight popular menu choices or experiences.
  
  

• Be visible where tourists are
  Keep your Google Maps listing up to date, encourage reviews, and make sure opening hours are accurate during peak season.
  
  

• Upsell simply and naturally
  Train staff to suggest add-ons, pairings or upgrades as small prompts can significantly increase average spend.
  
  

• Turn great service into repeat value
  Friendly service, clear pricing and easy tipping don’t just boost one transaction — they drive word-of-mouth and recommendations long after tourists leave.
  
  

• Boost your local business community
  Offer recommendations to other businesses in your area who offer uniquely South African products or experiences to help visitors discover local gems.

In Part 2 of our Seasonal Spend Report, we’ll unpack the impact of domestic tourism spending.