Foreign tourist arrivals to Europe were 1.6% below 2019 figures in the final quarter of 2023 Inflationary pressures continued to slow last year’s tourism despite significant cost increases across the airline and accommodation industries Unhindered by the heat, Chinese tourist arrivals to Europe in 2023 showed a gradual recovery, reaching 67% below 2019 levels
Towards the end of 2023, European tourism continued its strong recovery, approaching pre-pandemic levels despite inflationary pressures. Across the reporting region, international tourist arrivals were 1.6% below 2019 figures, and overnight stays were also 0.6% below, demonstrating the resilience of travel demand across the continent, and this trend continues. It is expected to continue until 2024. This is according to the latest edition of the European Tourism Trends and Outlook quarterly report published today by the European Travel Commission (ETC), which examines the region’s tourism performance and economic indicators in the final months of 2023.
This recovery has been driven by strong intra-European travel, primarily from Germany, France and the Netherlands. Long-haul flight arrivals are also recovering, but at a slower pace and with wide variations across regions such as Asia-Pacific and North America.
ETC President Miguel Sanz commented on the publication of the report as follows: “The strong travel demand seen in 2023 will provide a major boost to the European economy and help improve the balance sheets of tourism companies, which have been hit hard by travel restrictions.” However, a return to pre-pandemic levels is unlikely. , there will also be pressure to accelerate the sustainable transition of the travel industry. ”
“We are working on developing new indicators to monitor social and environmental factors that will contribute to the development of tourism strategies that measure not only the growth of the industry, but also its impact on the environment, local communities and businesses. ” he added.
A cost-effective destination in high demand
European travel remained resilient in the final months of 2023, with two-thirds of destinations having fully recovered or recording arrivals and overnight stays within 10% of pre-pandemic levels. reported that it did. Among these, destinations in southern Europe remain the frontrunners, boosted by good weather that continues into the shoulder season. Serbia experienced the largest increase in arrivals (+15%), along with Portugal (+11%), Montenegro (+10%), Turkiye (+9%) and Malta (+8%). These are also popular destinations that include all-inclusive vacations and more affordable travel costs, which is key to attracting value-conscious travelers.
Other countries also achieved significant recoveries compared to 2019. In Iceland, the number of arrivals increased by 12% even during the volcanic eruption, while in the Netherlands, although the increase in the number of arrivals was smaller at 2%, the number of overnight stays of tourists increased by 16%, and the length of stay increased. It shows that it has become longer.
In contrast, Eastern European destinations bordering Russia have been slower to recover, with countries such as Lithuania (-32%), Latvia (-29%), Estonia (-27%) and Finland (-24%) I’m behind.
Tourism is resilient despite economic inflation
Both arrivals and overnight stays are recovering across Europe, against a backdrop of inflation that is affecting both industry and tourists alike. Inflation in the fourth quarter of 2023 jumped by 23% compared to 2019 levels, particularly in tourism, including international flights (+49%), package holidays (+47%) and hotel prices (+35%). There was a noticeable increase in related costs. . These soaring prices are putting pressure on household budgets, but this is not deterring the majority of people who want to travel.
During the second half of 2023, price pressure on tourism-related expenses eased slightly compared to the previous quarter, but remained significantly elevated compared to pre-pandemic levels.
Uneven recovery over long distances to Europe
Chinese tourists accounted for 13% of long-haul arrivals to Europe in 2019, and the return of Chinese tourists has been slow but steady since China’s economy reopened. Chinese arrivals in 2023 will be 67% below pre-pandemic levels, compared to an average of 22% for all other long-haul source markets.
Apart from capacity bottlenecks, Chinese travelers have continued to be risk-averse over the past year, leaning more toward domestic travel. European destinations can expect further recovery from this market in 2024, which is predicted to reach a level 39% below 2019 figures. It is also expected that generational change and the influence of social media will increasingly reshape Chinese travel preferences, driving a shift towards luxury and more authentic experiences.
Conversely, North American markets such as the United States and Canada have seen a significant recovery. Two-thirds of European destinations reported an increase in arrivals and/or overnight stays from the United States, and more than half of Canadians reported similar results. Additionally, American and Canadian airlines announced the development of a combined air and rail reservation system for Europe, offering more sustainable travel options when traveling within the region.
