Greek hoteliers have record expectations
Demand expectations by Greek hoteliers reached a historic high in the two months of January and February, in contrast to the rest of the Mediterranean market.
The early signs for 2024 consistently point to a strong start to the year in terms of air arrivals, with a double-digit annual growth trend for the first quarter and signs of larger aircraft connecting distant high-spend countries. This positive image is reflected in hoteliers’ high demand expectation.
“Despite the adverse external conditions, tourism is setting a new record in 2024,” points out the new issue of the “Business Trends” report by the Directorate of Economic Analysis of the National Bank of Greece.
As the bank’s economists explain, hotels recorded a historic high in demand expectations in the first two months of 2024 – a unique development in the Mediterranean market. In addition, consumer sentiment in the main markets from which Greece draws visitors is showing a gradual improvement from the lows of 2022.
Meanwhile, air traffic is picking up in January with international arrivals up 13%, while the February-March period is seeing a 9% increase in scheduled international flights – with connections to long-haul high-cost destinations added. Also, bookings show a 21% increase, a sign indicative of strong early demand for the year as a whole, adds the National Bank study.
Meanwhile, according to the movement and performance data gathered by the Athens-Attica and Argosaronic Hotel Association in collaboration with GBR Consulting, the first messages of 2024 for Athens’ hotels are positive. January 2024 ended with an average occupancy of 52.8% (compared to 51.2% in 2023) – i.e. an increase of 3.1%.
The trend of the average room price as well as the revenue per available room for Athens in January 2024 was clearly positive compared to the performance of 2022; however, the growth from 2023 was not particularly impressive: The average room rate for January reached 90.34 euros compared to €90.01 in 2023 – i.e. a positive change of 0.4%. And the revenue per available room was €47.69 in January 2024 compared to 46.08 euros a year earlier – i.e. growth of 3.5%.
