Hotel occupancy rates at 90%
Despite their increased prices, Greek hotels achieved occupancy rates this summer that in many cases exceeded 90%.
This is according to the most detailed data so far for the May-August 2023 period, which are added to the indications that Greek tourism this year is heading for a new record, with travel receipts expected to be around 20 billion euros and visitor arrivals around 35 million.
Average occupancy for summer hotels was 90% in August and for all Greek hotels that were open that month (i.e. both year-round and summer hotels) at 86.1%.
The performance of 4- and 5-star hotels and especially larger complexes was clearly better. Similar rates had also been recorded in August 2022 by Greek hotels. However, this year the average price was 15% higher. In particular, in August, when the summer season is at its peak, the average price for seasonal hotel rooms was €153, from €133. These prices refer to the mean rate of all Greek hotels from 1 to 5 stars, both seasonal and year-round. But it is a given that luxury 5-star hotels in sought-after destinations achieved prices even more than 10 times that, economists involved in the sector explain.
The data come from the field research regularly carried out by the Institute of Tourism Research and Forecasting (ITEP) of the Hellenic Chamber of Hotels.
A closer reading of these findings confirms trends noted by other studies: Lower-end hotels, and especially those that do not operate in summer destinations, but in major urban centers year-round, show lower occupancy rates and lower prices. On the contrary, the large complexes of the highest categories in summer destinations achieve the highest occupancy rates.
However, market sources explain that this does not mean they have the highest profitability, as due to the additional benefits and services that 5-star hotels often offer to be able to stand up to international competition in the category, they significantly increase costs. The same sources explain that stronger profit margins are recorded at 4-star hotels, and especially those with a large capacity.
