Report: Greek Hospitality Sector Very Optimistic for 2016

Contrary to the overall economic climate in Greece, the hotel sector is very optimistic for 2016, according to the latest tourism barometer report on the expectations of the Greek hospitality sector for 2016, conducted by GBR Consulting.

A majority of hoteliers in Greece for this year are forecasting increases in occupancy levels and room rates compared to last year, while more than a third is expecting to operate at similar levels as 2015. Only a small percentage expects that occupancy and ARR will drop.

According to GBR, the city hoteliers are very optimistic for this season. The majority is forecasting that occupancy will improve significantly. With respect to the room rates six out of ten hoteliers are expecting increases of at least two percent, while three out of ten hoteliers are forecasting improvements of even 5% and more.

On the other hand, the barometer shows that the resort hoteliers are slightly more cautious than the city hoteliers, but overall they are expecting a good season with higher occupancy and  room rates than 2015. Around a third is expecting the same occupancy level as last year, while about 40 percent is expecting stabilisation in room rate development in 2016. Around one out of ten hoteliers is forecasting drops in occupancy and ARR levels.

The analysis per hotel category shows that the 5-star hoteliers are the most optimistic as a vast majority is expecting to record significant increases compared to last year with respect to occupancy and ARR followed by the 4- and 3-star hoteliers, who overall are expecting a better performance than last year.

The 2-star segment is forecasting better occupancy levels this year, but mild increases in room rates compared to 2015.