• Foreign arrivals and overnight stays surpass 2019 figures in the first half of 2024.
• Southern Europe and Mediterranean destinations lead the increase, driven by Serbia, Malta, and Portugal.
• Travel to lesser-known spots like Albania and Montenegro sees growth.
• Tourists in Europe are expected to spend €800.5 billion in 2024, a 13.7% increase from 2023.

Continued Growth in European Tourism

In the second quarter of 2024, Europe’s tourism sector saw a remarkable recovery, marked by a 6% rise in foreign arrivals and a 7% increase in overnight stays compared to 2019. Driven by robust travel from Germany, France, Italy, and the Netherlands, the annual growth stood at 12% for foreign arrivals and 10% for overnight stays. The European Travel Commission (ETC) highlighted these findings in their latest “European Tourism Trends & Prospects” report.

Popularity of Southern and Northern European Destinations

Traditional and emerging Southern European locations continued to attract tourists. Noteworthy increases in arrivals were recorded in Serbia (+40%), Bulgaria (+29%), Malta (+37%), Portugal (+26%), and Turkey (+22%). These destinations maintain an enduring appeal due to their affordable experiences and favourable weather.

Northern Europe also showed growing allure, with Denmark (+38%), Norway (+18%), and Sweden (+9%) experiencing significant increases in foreign overnight stays. This growth indicates a rising popularity of destinations outside Southern Europe, even in areas with higher costs.

Conversely, the Baltic region struggled, with Latvia (-24%), Estonia (-16%), and Lithuania (-15%) still lagging behind their 2019 figures.

Emerging Tourism Trends and Spending

The report identified a trend toward tourism diversification, with emerging destinations and new markets gaining share. The search for value and the return of travellers from the Asia-Pacific region significantly boosted tourism. Rail travel’s increasing availability also played a role.

While the US remains the top long-distance source market, East Asian markets, particularly China, are rapidly catching up. European cities are increasingly popular with Chinese tourists, with expectations that China will become the fastest-growing source market for city destinations by 2025, surpassing the US.

There is a growing preference for off-season travel and less-known destinations, driven by the quest for value and unique experiences. Since 2019, Albania and Montenegro have seen notable market share increases of 86% and 31%, respectively.

Challenges and Rising Tourism Costs

Despite challenges such as rising costs in accommodation, business operations, and flights, along with staff shortages, tourism spending is on the rise. Visitors are projected to spend €800.5 billion in Europe this year, a 13.7% increase from the previous year. This uptick is due to higher operating prices, the return of high-spending tourists from the APAC region, and strong demand from events and business-leisure combinations. The accommodation sector, in particular, benefited, with a 5.4% rise in revenue per available room and a 1.8% increase in occupancy rates.

Europe’s tourism industry is resilient and adaptable, bouncing back convincingly in 2024. The rise in foreign arrivals, overnight stays, and increasing spending marks a positive trend driven by established and emerging destinations. Despite ongoing challenges, the sector remains robust, promising continued growth and diversification in the coming years.