Fewer German tourists in Greece this year

Ha Vicki Corlebini

Germany is the most important “reservoir” of Greek visitors and tourism revenues. Last year alone, German tourist arrivals reached 4.352 million (out of a total of 27.8 million travelers from abroad). And they stayed in our country 43,637 nights, during which, according to the data of the Bank of Greece, they left 3.256 billion euros in the tourism fund out of a total of 17.6 billion that went to the “basket”.

Then, the average expenditure per capita was 748 euros (daily expenditure 75 euros) with the average length of stay in our country being ten days. The top three favorite destinations are the islands of the South Aegean Sea, Crete and Central Macedonia.

It is noteworthy that last year was the only year in which the number of British tourist arrivals (4485 million) exceeded the number of arrivals from Germany.

Climate change

But the picture is different this year. As shown in Capital.gr by hoteliers who closely monitor the progress of the German market, until March (it should be noted that this month Europe’s largest tourism fair is being organized in Berlin and a large number of reservations (early booking) registered), demand was The German market grew large, heralding a very good season.

However, the following months did not develop according to expectations, and the result was – as they explained – that there is a large “belly” in the arrivals in May and June, and that continues in the first two weeks of July.

Airdata’s scheduled seat tracker data from Germany is special, with a decline ranging to 6.4% over the entire summer period.

In fact, the decrease in demand is evident, as shown in the chart below, in all months of the summer season.

The concern in the tourism market is severe, given that many destinations, such as Crete, Kos and Halkidiki, depend largely on arrivals from Germany.

picture in popular destinations

Cancellation, as they say in Capital Hotel owners, no German tourists despite the opposite impression. However, the decrease in the number of arrivals is a given, while fewer overnight stays are also recorded.

Characteristically, at Heraklion Airport, as reported by one of the hoteliers on the island, the drop in April was 11.8%, in May 7% and in June 5.5%.

On average, the drop in traffic from the German market today is about 10%, maybe even less. In many units, according to the report, British tourists now outnumber Germans.

As noted by a senior hotel manager on Kos, who works mainly with Dutch and German-speaking tourists, the flow picture appears to be improving from 15 July onwards, with business of course not being able to say with certainty whether the situation will remain that way.

Where will they spend their vacation this summer?

Greece ranks sixth in terms of German tourists’ choices with the top 5 destinations being Austria, Spain, Italy, France and Turkey.

Meanwhile, the top 5 Mediterranean destinations are Spain, Italy and Turkey, followed by Greece and then Croatia.

Especially for Turkey, demand this year is explosive due to lower parcel prices, while traffic is increasing for both Tunisia and Albania (the latter expects 10 million foreign tourists this year, from 7.5 million in 2022).

Market watchers are trying to answer what led to the decline in German tourists, despite initial estimates of an increase in bookings. They indicated that inflation and the high prices of tourist packages in Greece had affected the volume of reservations (it should be remembered that hoteliers achieved an average increase of 10%-12% after negotiations with tour operators). But there is also another point of view that says that the reasons could not be only economic, as it was possible to see the delay in reservations since the winter season, which did not happen.

But they all point to the significant increase in the cost of air tickets, up to 30% compared to last year, as the main factor. A hotel official told Capital.gr that there were days in May when a one-way ticket from Germany to Kos cost €500.

On the contrary, the cost of air tickets to Turkey, as they say, is lower, while there are also many Turkish tour operators who make very favorable offers on travel packages.

It is not without significance that senior executives of Europe’s largest tour company, Germany’s TUI, have indicated that there is a huge supply of packages to the Greek islands, and there is room for last-minute bookings, when last year’s Greek destinations were fully booked.

The German group is already discounting prices for Greece by up to 20%. For example, a package holiday for seven days, all inclusive, in a five-star hotel in Rethymno starts from 900 euros. in Kos from 842 euros.

In Antalya there is a similar offer, in a five-star hotel of a large international hotel chain prices start from 672 euros and from 790 euros. In Bodrum, prices start from 507 euros per person, and in Kusadasi from 677 euros.

In Mallorca, in Playa de Palma, there is a four-star all-inclusive hotel for seven nights from 800 euros in the first week of August.

On the website of the tour operator FTI we find last-minute travel packages for seven days in four-star hotels in Turkey near Antalya from € 379, in Crete from € 459, in Egypt from € 432 and in Mallorca from € 493.

However, according to the information, it is expected that reservations from Germany will be higher than in September, as package prices will also decrease, stressing, of course, that competition with Turkish beaches will not decrease.

How did German tourists decide this year?

For 54% of German tourists, according to data compiled by INSETE Intelligence, 54% of Germans will have their travel plans influenced by the quality / price ratio of travel services. 40% said they look at the season of the year and 28% give importance to the relaxing experience.

31% of Germans state that in recent months they have purchased a holiday package abroad, 30% domestically and 18% travel tickets (such as planes). Finally, 64% note that they enjoy their vacations at the beach or resort.

In terms of the economic climate in Germany, as reported in the INSETE study “Market Outlook: Travel Behavior and Economic Conditions in Key Inbound Tourism Markets”, the German economy for 2023 is expected to grow by only 0.2%, despite the increase in per capita GDP Total. and lower unemployment in 2022. Consumer confidence is recovering from its lows in 2022, however, it is still below pre-pandemic levels. The continuation of the war in Ukraine prolongs the uncertainty regarding the country’s energy security, however, according to the European Commission, the German economy appears to be adjusting to the disruption of natural gas deliveries from Russia and the shock in energy prices. Due to (gross domestic product increase by +0.2% in 2023 and by +1.4% in 2024).