Europe’s travel sector saw growth and demonstrated resilience in the face of economic and geopolitical challenges over the third quarter of 2024, a new report shows.

The “European Tourism Trends & Prospects” quarterly report 2024, from the European Travel Commission (ETC), highlights the region’s strong travel and tourism performance in metrics such as foreign arrivals which increased by 6% over 2019 pre-pandemic levels. Year-on-year, there was 7% growth in the sector from 2023 to 2024, and overnight stays are up by 5% too.

The European success story, the ETC says, is underpinned by a number of factors, such as continuing post-Covid “revenge travel” trends and “improved air connectivity – especially from China”.

Growth despite price-conscious consumers

The growth comes despite the potential dampening effect of ongoing price increases above the rate of inflation in the  services sector, and “increasingly price-conscious” consumers making “a notable shift toward value-driven travel experiences” though “still willing to pay for higher-end experiences during peak travel seasons.”

The ETC’s President Miguel Sanz, said: “The performance of European tourism in 2024 underscores the sector’s resilience and enduring appeal despite economic pressures. Travellers continue to prioritise holidays, even in the face of rising costs, highlighting the essential role of travel in their lives.”

Strong recovery in Southern Europe

Overall 50% of European destinations analysed exceeded 2019’s levels of foreign arrivals, with nearly a third increasing theirs by over 10%. The Southern Mediterranean did particularly well, “led by Serbia (+34%) and Malta (+32%) – both from a smaller base – followed by Portugal and Greece (each +19%). Türkiye (+16%) faces rising competition as budget-conscious travellers turn to other Mediterranean destinations due to increasing prices,” the report says.

At the other end of the spectrum meanwhile, the Baltics, Finland, Romania, and Slovakia remain between 24% and 11% down on 2019’s levels still, though the report’s authors note hopeful signs of recovery with “substantial” upward ticks in arrivals from 2023 to 2024 in Latvia (+12.8%) Romania (+12.7%) and Estonia (+10.7%).

Diversifying destinations

The report also touches on the issue of overtourism in Europe, and Sanz notes that “Following a busy summer, Europe is actively addressing capacity constraints in popular hotspots by redistributing visitors to more diverse destinations. We aim to alleviate the strain on overburdened areas and ensure that the economic benefits of tourism are shared more equitably. European tourism is not just about rebounding; we need to evolve to secure a sustainable future.”