Croatian tourism officials stress need for smart pricing this summer

Istria

With summer fast approaching, Croatian tourism leaders are urging caution and strategy when it comes to pricing in the sector.

Appearing on national broadcaster HRT’s Otvoreno, key figures from the tourism industry underlined the importance of maintaining value for money in order to stay competitive against rival Mediterranean destinations.

Minister of Tourism and Sport, Tonči Glavina, said current tourist statistics are promising, with early June seeing a strong start.

He noted that results are tracked across three key periods: the first half of the year, the crucial peak summer months, and the post-season. Croatia, he reminded viewers, is positioning itself not just as a summer hotspot but as a year-round destination.

“Our international campaigns focus on offering a good balance between price and quality,” Glavina said, echoing Prime Minister Andrej Plenković’s recent comments that pricing must remain reasonable, as Croatia is not the only country offering sun and sea.

Glavina added that although there were fluctuations – including a significant 30% drop in tourist numbers in March followed by a recovery in April – the outlook for the season is largely in line with expectations.

“The competition is fiercer than ever. The outcome depends on us,” he said.

Kristjan Staničić, Director of the Croatian National Tourist Board (HTZ), noted that the mix of visitors changes throughout the year, with international arrivals peaking in the summer. Germany continues to lead among foreign source markets, followed by Austria, Slovenia, the Czech Republic and Poland.

One standout trend, Staničić said, is the resurgence of British tourists: “Last year we saw the full return of the UK market, and this year that growth continues.” He said Croatia’s appeal across a wide range of markets is proof of its reputation as a desirable and high-quality destination.

Veljko Ostojić, Director of the Croatian Tourism Association, highlighted that competing destinations are investing heavily, and Croatia must remain alert. “The competition isn’t sleeping,” he warned. Despite this, he said the situation in the hotel and camping sectors is stable, with revenue growth of 3–5% expected this year.

He dismissed the idea that prices were rising too steeply, pointing out that hotel rates increased by just 1.9% year-on-year in 2023. “Five-star hotels were 96.5% full on 15 August last year, and five-star campsites were at 100% capacity. That tells us the market accepts the value we offer,” he said.

Focus on Quality and Stability

Joso Smolić, Vice-President of the Croatian Chamber of Trades and Crafts responsible for hospitality and tourism, stressed the importance of maintaining service standards and price stability.

“Tourists come here because Croatia is a known, safe and quality destination,” he said, urging the hospitality sector to hold prices steady and focus on top-quality service.

Staničić also addressed comparisons with Spain, Greece, France and Italy, saying that Croatia remains price-competitive based on both internal evaluations and global data.

“We are still seen as offering value for money,” he said, concluding with a call for the industry to stay smart in pricing strategies: “We have a lot of work ahead – let’s be wise, offer the highest quality, and be excellent hosts.”