Study Confirms Greek Hotel Sector Comeback in 2023

(L-R): Research Institute for Tourism (ITEP) President Konstantina Svynou; HCH President Alexandros Vassilikos; Research Institute for Tourism General Director Giorgos Petrakos. Photo source: HCH.

The Greek hotel sector in 2022 managed to recover significant lost ground following the Covid 2019 pandemic showing signs of resilience and flexibility, found a study conducted by the Institute for Tourism Research and Forecasts (ITEP)  on behalf of the Hellenic Chamber of Hotels (HCH).

On the back of increased turnover in 2022, which surpassed pre-Covid 2019 levels, the majority (85 percent) of Greek hotel enterprises this year have entered agreements with tour operators with prices up by 11.4 percent on average.

Other key takeaways of the ITEP annual study presented during a press conference in Athens this week include:

Hotels at Syntagma Square in central Athens.

– August was the best performing month in 2022 with average occupancy slightly stronger than in 2019

– in the same month, 25 percent of double rooms were available for a price of up to 70 euros, 50 percent were priced between 70 and 178 euros, and 25 percent were available for more than 178 euros

– a double room at a hotel in August 2022 in Greece went for an average price of 150 euros

– there were more operating hotels in 2022 than in 2019

– all-season hotels recorded lower levels compared to seasonal operations in all key indicators (occupancy, prices etc) and saw their turnover drop by 21.2 percent over 2019

– 4- and 5-star hotels recorded a 13.1 percent increase in turnover while 1- and 3-star units saw turnover drop by 22.3 percent

– 18 percent of total hotel investments in 2022 were sustainability investments

– approximately one-third of all hotel customers booked through Online Travel Agents (OTAs).

The ITEP study presentation in Athens. Photo source: HCH.

Staff shortages, rising energy and operating costs, maintaining liquidity and competition from short-term rental activity continue to be major concerns for Greek hoteliers, found the ITEP study.

“Hotels have proven their adaptability and dynamics. They are the backbone of Greek tourism, which in 2022, contributed the most to the Greek economy and supported society. In a changing global market, there are major demands, such as sustainability, digital transformation, protection against unfair competition, thematic enrichment and destination diversification, which require special attention and care in the context of an integrated long-term strategy,” said HCH President Alexandros Vassilikos commenting on the findings.

“Shielding and strengthening the dynamic of the Greek hotel sector, which can give even greater value to the country, should be a priority,” said Vassilikos.