Tourism Industry Adjusts Strategy in Response to Regional Instability and Market Changes

Tourism Industry Adjusts Strategy in Response to Regional Instability and Market Changes

Tourism Challenges and Shifting Markets

"The ongoing crisis in the region is expected to impact Israeli tourism to Cyprus both this year and the next, according to Thanos Michaelides, President of the Cyprus Hotel Association (PASYXE). He added that even if the conflict ends, it is likely to leave lasting effects.

Michaelides also noted that Israel may no longer be Cyprus' second most significant source of tourists, presenting a new challenge. With the loss of the Russian market, which was previously the second largest, Cyprus needs to intensively focus on markets with potential for growth, he stated.

When asked about cancellations from Israel, Michaelides acknowledged their occurrence. However, he emphasized that there are still arrivals from Israel, most of whom stay for one to two days before moving on to other countries, indicating some level of ongoing activity. He clarified that this movement is related more to the crisis in Israel than to vacationing.

Michaelides believes that markets showing positive trends in recent years, like Poland and France, should be given special attention for further development. Strategically, he continued, the German market needs to be cultivated. He pointed out that Germany, being the largest economy in Europe and closer than England in terms of distance, offers prospects for more competitive airfare prices. He emphasized the need for increased visibility in Germany, as effective marketing there requires substantial investment. "We need to build recognition so that German tourists will choose Cyprus," he added.

The PASYXE president highlighted that studies conducted in Paphos before starting their ongoing three-year digital campaign showed German tourists were satisfied with their Cyprus visits. The issue, he reiterated, is that not enough Germans are visiting. Unfortunately, he repeated, Cyprus lacks the necessary visibility to develop the German market into a significant one. He added that considering Germany's population and tourist numbers, this market has great potential but requires sustained investment over time."

Loader