Study: Actions Needed to Establish Thessaloniki as Top Tourist Destination

Thessaloniki, Greece.

Actions including completeing key infrastrucutre projects are urgently needed to establish Thessaloniki as a top tourist destination, according to a report released recently by GBR Consulting.

Compared to Athens, which reported increases in tourist arrivals (7.1 million) and hotel activity in 2023, Thessaloniki appears to be making “minimal progress” still unable to achieve pre-pandemic 2019 levels.

According to GBR analysts, Thessaloniki needs to first complete major infrastructure projects such as the 13 announced metro stations scheduled to be operational by the end of 2024 and to improve city cleanliness, the quality of pavements and roads, add greenery and parking space and increase safety measures before it can become “truly attractive for its residents and its guests”.

After implementing the above, the city could reach out to new markets and tourists with the support of a long-term marketing plan, the report notes.

In data: compared to 2019:

– international arrivals to Thessaloniki Airport in 2023 increased by 0.8 percent while road arrivals dropped by 15 percent;
– the number of overnight stays at hotels in the city were stable with a 1 percent drop in international clients and a 1 percent increase in Greeks;
– hotel occupancy levels dropped by 4.2 percent, with hotel supply stable;
– average daily rate (ADR) increased by 25 percent but Thessaloniki had the lowest ADR among 10 European peers in 2023;
– guest satisfaction also declined across most indicators, with only a few remaining stable and none showing improvement between 2015 and 2023;
– 3,600 short-term rentals operated in the city compared to the 4,800 hotel rooms; and
– cruise activity has increased with cruise ship arrivals up 68 in 2023 increasing from six in 2019.

Lastly, infrastructure development is still lagging behind, GBR analysts said, with several key projects including road border crossings, airport access, the flyover project, and parking facilities, not launched or not ready.