How can tourism bring more revenue to the Greek economy

Greece’s competitive advantage in specific forms of tourism, in relation to its competitors, is called to be exploited in order to create the conditions that will increase the tourist income on a permanent basis. Besides, the increase of tourism revenues is a long-term strategy of public and private sector, in the tourism sector, as any development (positive or negative) is reflected in the economy, but also in society in general. It is typical the position expressed by the president of the Association of Greek Tourism Enterprises Giannis Retsos in APE-MPE, that “no one remembers arrival numbers anymore and no one sets arrival targets. Everyone aims at revenue, with all that entails for the upgrade of the tourism product “.

In order to highlight the points that will give a boost to the tourist income, the Athenian / Macedonian News Agency asked for the opinions of bodies involved in the tourism economy.

Maritime tourism and senior tourism

Dr. Faye Makantasi, head of research at diANEOsis, notes in APE-MPE, that the tourism that attracts Greece is largely one-dimensional and talks about lost opportunities that if used will offer significant income and thousands of jobs. “At diANEOsis we have carried out research in the field of cruising, senior tourism and health tourism and a few days ago we published our latest research on marinas and tourist ports. A common component of all this research is that Greece is a country with special dynamics in these fields, but the progress that has been made for their development and exploitation is limited “, says the Head of Research of diANEOsis.

Greece could earn 13.6 billion euros

In particular, the country could gain 13.6 billion euros and an additional 173,000 jobs in five years from senior tourism, home sales and long-term stays for foreigners, medical and spa tourism. Respectively are the sizes only from wellness tourism, which is aimed mainly at healthy people, offering various services to improve their mental or physical health, as pointed out by Dr. Faye Makantasi.

In terms of tourist ports and marinas, the proposed strategic management plan proposed by the diANEOsis survey could yield up to 5,164 new berths, generating € 600 million – directly and indirectly – with additional annual revenue and 8.5 thousand additional permanent jobs.

The average elderly traveler is estimated to spend 1,500 euros per trip

An important parameter that determines the total tourist income is the per capita expenditure of foreign visitors. The average elderly traveler is estimated to spend 1,500 euros per trip, almost three times the cost per average visitor (535 euros in 2019, according to the BoG), without to include the long-stay elderly guests -who rent or buy a house- emphasizes Dr. Faye Makantasi.

In fact, the average, ill traveler is accompanied by another person and together they spend about 5,000 euros per trip.

As for the cruise, a very indicative element of the situation in Greece is that, according to estimates before the pandemic, in 2021, the cruise would bring about 10% of tourists coming to Greece, but only 3% of its tourist revenue. Another indication that there is room for improvement is that while every cruise ship arriving in Barcelona – the most developed cruise port in the Mediterranean – generates € 1 million in revenue in the city, in Greece the average revenue per approach is less than 142 thousand euros. Thus, Greece has only a 2% share of revenue from cruising in the Mediterranean, while its share of approaches is 11% and passengers 8%.

Finally, in terms of the contribution of marinas and tourist ports, according to the latest estimates (2019), each private yacht that docked in Greece spends an average of 22.6 thousand euros and creates 1.54 indirect jobs, while each professional yacht costs 105 thousand euros and creates 3.19 direct and indirect jobs.

It is noted that in 2019 a total of 23.5 thousand yachts docked in the country (6.1 thousand professional and 17.4 thousand private).

Christina Tetradi: The hotel can play a leading role

Meanwhile, the catalyst is the role of entrepreneurs in the hospitality industry, in the national effort to increase tourism revenues. “The hotel has a timeless offer to the local community and should and can play a leading role, creating added value for the national economy and the prosperity of local communities,” Christina Tetradi, vice president of XE and president of Zakynthos hoteliers, told APE-MPE.

Christina Tetradi explains that if hoteliers disengage to some extent from the grip of the Tour Operators Commitment and Allotment contracts, they can target the prospective customer who is booking a trip both through the online booking platforms and by searching the hotel websites. thus maximizing profitability per customer.

He points out that the existing all Inclusive packages can be enriched with additional high value-added services for the customer (private pool, specialized meals, etc.), with all this implies to increase the per capita cost of the visitor to the hotels.

At the same time, the search for inspiring ways to increase revenue for the hotel unit is emerging as a prime opportunity for developing synergies with local business communities, says Christina Tetradi. There are now many all-inclusive tourist packages that include tasting evenings for visitors to local restaurants, visits to areas of special interest, etc. “The Greek hotel has always supported local communities and now has the opportunity to highlight their role even more.”

XEE through the development of the two main actions “Greek Breakfast” and “Boutique Hotel” marks the effort to further upgrade the quality of the tourist product, says Christina Tetradi. At the same time, “Greek Breakfast- Greek Breakfast” highlights the value of gastronomy in hospitality and “Boutique Hotel” investing in aesthetics, uniqueness and the identity of detail, offer hospitality with a distinct personality and customer-centric philosophy, adds Christina Tetradi.

Michalis Vamiedakis: Be careful not to “cannibalize” the main tourist product of the country

Michalis Vamiedakis, president of Greece of Allsun Hotels and development consultant of Danaos Travel, after focusing on the need to upgrade tourism services and offer new tourism products to visitors, sounds the alarm not to “cannibalize” the country’s main tourism product in the effort of revenue growth and explains:

Responding to the voices whispering that hotel businesses should leave all inclusive I note that this should not happen because for better or worse Greece is listed on the tourist map as an area that provides “mainstream” tourist services. In fact here it is the opportunity for existing hotels to upgrade their infrastructure and services, so that with the same nights we can have more revenue “.

Asked whether the current arrivals can increase revenues for the Greek economy, Mr. Vamiedakis said he was confident that the per capita expenditure of the foreign visitor could increase if Greece attracts visitors to activities that have high added value. Maritime tourism, accommodation in villas, boutiques in hotels, but also the participation of foreign visitors in activities that highlight the experience, are some of the tourism products that can enrich the existing model, notes Mr. Vamiedakis.

Ioanna Dretta: The experiential experiences, the strengthening of the infrastructures can be factors of attraction of visitors of increased economic level

Remaining on the pillars that should be supported by tourism revenue growth strategies, the CEO of Marketing Greece points out that the enrichment of the tourism product, the experiential experiences and the strengthening of the public, mainly, but also private infrastructures can be factors of attracting visitors. increased economic level.

“The question is that in addition to the high quality that should govern our product, we must understand the requirements of the modern traveler and respond to them with creativity and utilizing the authenticity that characterizes our country, our temperament and us. themselves “, underlines Ioanna Dretta.

Answering the question whether the country can, without setting a record of arrivals every time, achieve increased revenues, he emphasizes that everything can be done and everything is possible, as long as there is a plan and planning. “Because in addition to the uniqueness of the tourism product we offer, we must always remember that in order to achieve the goal, there are stages such as research, planning, structured action plan and of course cooperation”, explains Ioanna Dretta.

Can communication and promotion actions “turn their backs” on tourism revenues? If so, how can this be done?

“Without communication and promotion actions, the tourism product does not have the ability and dynamics to address directly to the traveling public and present its uniqueness and character. Therefore, yes communication actions, apart from being mandatory, contribute significantly to revenue. of tourism, as they are the means through which the traveler will be inspired, will dream and in the end will choose to visit “, emphasizes the CEO of Marketing Greece.

For her part, the Head of Research of diANEOSIS, among other things, emphasizes in APE-MPE that “it is particularly important to make it clear that each region should recognize its comparative advantages in tourism and focus on a specific tourism market. In this way, the emerging destination brand will be clearer, the marketing of the area will be more targeted and efficient and can be more aggressive, the choice of the necessary infrastructure -public or private- as well as the certifications or accreditations will be more effective and the local businesses will be able to specialize in this tourism market and take advantage of external economies of scale “.

Source: AMPE