During the first half of the year, 53 per cent of tourism operators in Gozo encountered a decrease in revenue.
This decrease was experienced despite a 21 per cent increase in inbound tourism for the first five months of 2024, increased domestic arrivals in hotels and holiday homes during first quarter, and 56 per cent of the operators indicating unchanged prices and rates.
This reality was expressed by more than half of the Gozitan operators that took part in a survey conducted by the Gozo Tourism Association amongst its members, during the past fortnight.
The survey was conducted to understand better the situation within the Gozitan tourism sector during the first six months of 2024, compared to the same period the year before, as well as the constraints faced by the establishments in their operation.
The response to this survey from operators covered a wide range of the tourism sectors in Gozo. This includes the accommodation sector, restaurants, diving centres, tourist attractions, transport, tour operators, DMCs, travel agencies, property rentals and tourism consultancy firms.
Overall, 88 per cent of respondents experienced recent electricity outages which have led to establishments compensating their clients. On the other hand, 44 per cent faced damages to their equipment, stock, loss of business because of the dire situation.
When asked about clientele, 57 per cent of participants identified foreign visitors as their primary group, while 43 per cent stated that their main clientele consisted of Maltese customers.
Notably, while 54 per cent of respondents noted an increase in overall customer satisfaction compared to the same period last year, 93 per cent of the survey participants reported an increase in their operational costs.
The survey found that while 47 per cent made no changes to pricing strategies, 40 per cent needed to increase their prices due to rising costs.
The primary challenges faced by Gozitan businesses were increased competition (56 per cent), economic conditions (44 per cent), and lack of human resources (42 per cent).
Improved online reviews and feedback from clients were reported by 51 per cent of the respondents, when compared to the same period of last year, while 56 per cent stated that there was no change in their marketing and promotional initiatives.
Interestingly, the survey asked about the Skills Pass, which 78 per cent of respondents indicated not being affected yet. On the other hand, 22 per cent reported a negative impact.
The Skills Pass became mandatory in May, where Non-EU nationals will be assessed on their level of English, knowledge about Malta’s tourism offering, and basic hospitality skills before being allowed to work on the islands.
In what was described as “alarming” by the association, 85 per cent of respondents believe that the general touristic offer in Gozo is not meeting guests’ expectations. This was attributed to a number of factors including excessive construction, lack of tranquillity, poor infrastructure, noise disturbance, and cleanliness issues.
Based on these findings, the GTA will be issue and put forward proposals to the competent authorities “to tackle in a synergised effort the raised in the survey for the benefit of the tourism sector on Gozo.”
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