Greek hotels lag their European counterparts in operational profits.

Data provided by the Institute of the Greek Tourism Confederation (INSETE), show that gross operational profit margins in 2023 ranged from 22-24% of turnover for 2- to 4-star hotels, rising to 27% for 5-star ones.

In Europe, the lower category hotels have slighter profit margins than the top-of-the-line ones, research by consultants HotStats shows.

Greek hotels’ margins are affected by higher taxes, more regulations, and, lately, by the higher energy inflation.

HotStats’ research shows that resorts investing in wellness and golf improve their profit margins.

Visitors “look for trips that offer something more than a mere nice room,” says HotStats’ Juan Gallardo. They are “ready to spend more” on spa treatments, healthy food and outdoor activities, he adds.