April the 11th, 2025 – There are eye watering sums being poured into tourism, but is it enough? It seems that compared to its competition, Croatian tourism isn’t investing as much as it should be.
As Poslovni Dnevnik/Ana Roksandic writes, unless there’s a reason for mass last minute bookings, there are going to be fewer Germans and Austrian visitors spending time on the Croatian coast this year. This assumption has been brought to the fore by the results of a joint survey carried out the Association of Employers in Croatian Hospitality (UPUHH), the Croatian Tourism Association (HUT) and the consulting firm Deloitte. Approximately 30 percent of total Croatian hotel capacities participated in that survey.
At the same time, a larger volume of reservations is arriving in Croatia from neighbouring Hungary and Slovenia, as well as from other European nations like the United Kingdom, and even from across the pond in the United States. This is a good sign ahead of the introduction of US tariffs and major changes in the economy as a result of the controversial Trump administration.
“For now, the American market is looking alright. The important message is that it’s still too early to talk about the impact of the tariffs. Donald Trump has called for negotiations, so we’ll have to wait and see how it all goes. The good thing about American tourists is that they’re guests with high purchasing power who spend several thousand dollars during their travels. We hope to keep hold of them, even though they’re only a small part of the total number of arrivals,” explained Bernard Zenzerović, director of the aforementioned association.
None of the respondents noticed significant changes in the length of stay in this country during the summer, and 83% of hotel and campsite managers expect more last-minute reservations this year compared to 2024. High expectations for travel reservations in the latest trend show the optimism that prevails in the sector.
As many as 81% of respondents recorded an increase in reservations of more than 6% compared to 2024. The problem is that this year too, the growth in costs is expected to exceed the growth in revenue. This once again reduces the profitability of the entire Croatian tourism sector and its potential when it comes to investing.
“With Croatia’s competition across the Mediterranean, the investment cycle is much more significant. If Croatian tourism fails to keep on investing, we risk our competitiveness,” warned Ostojić.
Tourism companies expect an increase in overnight stays to be recorded during the pre-season and post-season. 47% expect an increase of up to 3%. Across Croatia, hotel accommodation accounts for only 9.5% of total accommodation capacities, which is many times less than among its many strong Mediterranean competitors.
Such an accommodation structure is the biggest culprit for overtourism, which burdens an increasing number of destinations during the height of the summer season, experts believe. When it comes to the busiest months of July and August, 31% of companies expect a slight increase in overnight stays of around 3%, while 70% are currently expecting the same level of overnight stays to be realised as last year.
