Greek hotels recorded higher prices and better revenue performance in 2023 compared to 2019, despite lower occupancy rates.
According to data on hotel performance collected by GBR Consulting, the recovery of occupancy levels in Athenian hotels was interrupted in 2023, with demand for Athens at record levels. Room rates, however, have increased significantly since June 2022.
Occupancy decreased by 1.5% year-on-year in 2023 compared to 2019, while average daily rate (ADR) improved by 29%, resulting in a 27% increase in revenue per available room.
In Thessaloniki hotels, overall occupancy remained below 2019 levels, but ADR improved significantly. In particular, occupancy decreased by 4.2%, while ADR improved by 25%. RevPAR, therefore, recorded an increase of 19.7%.
Holiday hotels recorded slightly lower occupancy levels in both April – October 2023 and April – October 2022, compared to the same period in 2019. Only April 2023 saw a significant decrease due to an increase in available rooms, but with the same levels of demand as a year earlier.
Occupancy declined by 1.8%, but total sales per occupied room increased significantly by 45% year-on-year. As a result, total sales per available room improved by 42%.
The performance of Greek tourism
Greek tourism recorded a record year in 2023, surpassing the levels of 2019. International arrivals on an annual basis until November 2023, compared to the same period in 2019, increased by 4%, reaching 32 million, while international receipts increased by 12% to €19.4 billion, excluding cruise receipts. Cruise receipts amounted to 699 million euros, up 40% compared to 2019, when total travel receipts exceeded 20 billion euros for the first time.
As GBR Consulting points out, it is interesting to note that international tourist arrivals in August 2023 decreased by 4%, compared to 2019, which can be explained by the high temperatures and fires, especially the one in Rhodes, which destroyed 14.5% of the total surface area of the island. While for the rest of the tourist season, which runs from April to October, international tourist arrivals recorded an increase.
Among the main source markets, the UK performed best with an increase in international arrivals of 31% and 30% in terms of travel receipts year-on-year to November 2023, compared to 2019.
The number of travellers from the US increased from 1.1 million in 2019 to 1.4 million, an increase of 19%.
The increase in international arrivals is attributed to a 13% increase in international passengers at Greek airports, as road arrivals decreased by 15% in 2023, compared to 2019.
International arrivals at airports increased from 23.6 million in 2019 to 26.6 million in 2023. Athens International Airport alone accounts for 25% of this 3 million increase, followed by the airports of Corfu, Rhodes, Chania, Chania, Heraklion, Santorini, Kos and Zakynthos. These 8 airports were responsible for 90% of the recorded increase.
Compared to the main European destinations, Greece gained market share in 2023, compared to 2019, as did Portugal and Turkey based on international arrivals up to October.
In total, these countries attracted 279.2 million international arrivals through October, a decrease of 0.6% compared to the same period in 2019. Portugal performed best with an increase of 11.0%, followed by Turkey with 6.3% and Greece with 4.1%.
On the flip side, international arrivals decreased by 11.4% in Italy, resulting in a significant loss of market share, while Croatia’s market share decreased slightly due to a 2.6% decrease in international arrivals.
