Tourism industry cautiously optimistic about 2025

ISTANBUL

Tourism industry representatives have expressed optimism about 2025 but warned of challenges ahead that stem from troubles in the source markets.

Türkiye aimed for welcoming 61 million visitors and generating $60 billion in tourism revenues in 2024.

The tourism industry needs to boost revenues, they said.

The hotel occupancy rate across Türkiye was 62.7 percent in January-October, higher than 59.5 percent a year ago, but the average daily rate (ADR) declined, according to Müberra Eresin, president of the Hotel Association of Türkiye (TÜROB).

The ADR fell from 133.4 euros in January-October 2023 to 130.6 euros in the same period of 2024, she said.

Hotel rates are declining at a time when costs are rising, Eresin noted.

“Our target for 2025 is to increase the average room rates to the previous year's level,” she added.

Eresin anticipates recovery in the Middle Eastern market, saying that more visitors are expected from the U.K., Poland, Spain and Italy in 2025.

The biggest risk to the industry is global conflicts, she said.

Eresin mentioned the flat course exchange rates and the difficulty in finding skilled workers are the other challenges.

The latest available data showed that tourist arrivals rose 7 percent, while tourism revenues were up 6 percent in 2024, said Firuz Bağlıkaya, president of the Association of Turkish Travel Agencies (TÜRSAB).

“We need to reduce this gap between the number of visitors and revenues,” he stressed.

The focus should be on increasing tourism revenues in 2025 and beyond, Bağlıkaya added.

He cited the problems in Russia and weak economy in Europe as the main challenges for the Turkish tourism industry in the new year.