Greece’s tourism industry remains vibrant and dynamic, with increasing flows year on year. However, the rising cost of travel is beginning to impact overall industry performance.
Aegean Airlines and Sky Express are the leading domestic airlines, together claiming the bulk of passenger volume for domestic air travel. Both companies also hold a significant share of international flights.
Lodging in Greece is dominated by hotels and short-term rentals, both of which are seeing strong sales growth, not only due to increased travel flows but also due to significant hikes in room rates. In 2023, there was a high level of promotional activity as demand and bookings fell short of expectations in key destinations, particularly on the islands.
Tour operators dominate inbound tourism bookings in Greece, with the majority of reservations in the most touristic locations being made through operators. However, the share of direct bookings is rapidly increasing as more travellers opt for individual planning rather than booking through operators.
Tourism in Greece is expected to continue performing well; however, low purchasing power and high travel costs are likely to impact the sector in the short term, leading to a slowdown in 2025. The widespread consumer insecurity amidst the cost-of-living crisis is affecting consumer psychology.
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Travel
Travel encompasses several categories including tourism flows, lodging, travel modes, in-destination spending and booking.
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