Croatian Tourism Growth Cools Down in June 2024

At the end of June 2024, the total tourist arrivals in Croatia amounted to 3m, representing an increase of 3% YoY, but a decrease of 4% compared to June 2019. Furthermore, total tourist nights amounted to 14.3m, declining by 5% both YoY and compared to June 2019.

Recently, we’ve done a blog detailing the current situation regarding tourism in Europe and Croatia, and the long term trends and our expectations. You can read more about this here. Today, we’re bringing you the overview of June 2024, the month when the official tourism summer season starts.

According to the latest report by the Croatian Tourism Board, HTZ, the total number of arrivals in June 2024 amounted to 3m, representing an increase of 3% YoY. Of this, foreign tourists accounted for 2.67m, representing an increase of 4% YoY, while domestic tourists amounted to 330k, increasing by 1% YoY. On the other hand, total tourist nights amounted to 14.3m, decreasing by 5% YoY. In this, foreign tourists accounted for 12.9m nights, declining by 5% YoY, while domestic nights amounted to 1.38m, decreasing by 3% YoY. This would also mean that the average stay per person amounted to 4.75 nights, declining by 8% YoY.

Total tourist arrivals and nights in Croatia (January 2019 – June 2024)

Source: HTZ, InterCapital Research

Compared to 2019, total tourist arrivals declined by 4%, influenced by 6% lower foreign tourist arrivals, while the total domestic arrivals grew by 10%. A similar story is present with tourist nights, which declined by 5% compared to 2019, due to 5% lower foreign tourist nights, and 7% lower domestic nights.

In terms of accommodation types that were most frequently selected and used, 88% of nights were recorded in commercial accommodation, 8% in non-commercial, and 4% went to nautical accommodation. Inside the commercial accommodation, 39% of tourist nights were recorded in private accommodation, 27% in hotels, 25% in camps, and 9% went to other types of accommodation.

Most nights were recorded by tourists from Germany, i.e. 26%, followed by domestic arrivals at 10%, Slovenia and Austria at 9% each, respectively, Poland at 7%, and Czechia at 6%. In terms of the most visited counties, Istra is at the top of the list, with 4.19m tourist nights, followed by Splitsko-dalmatinska at 2.82m, Kvarner at 2.32m, Zadarska at 1.9m, Dubrovačko-neretvanska at 1.29m.

Overall, the data present here is unfortunately not that positive. While arrivals and nights are stable, one would expect at least some growth every year as Croatia becomes a more and more popular destination. However, a combination of high prices in Croatia, which far outweighed inflation growth in this sector surely negatively influenced this. On the other hand, when we consider many other Mediterranean options which are significantly, in double-digit levels less expensive than Croatia, then the slowdown in growth isn’t that surprising. Furthermore, while new events and content are being added in Croatia, it seems to be quite lacking as it is failing to attract new and more people to the country. All of these factors combined, among many others for sure had an influence on this result. Given the importance of tourism to the Croatian economy then, it isn’t easy to determine how long will revenues and profits be able to grow, if the numbers of arrivals and nights are stagnant, and as such these figures are only driven by higher prices.

InterCapital
Published
Category : Flash News

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