New travellers, new destinations and changing demand will reshape the European tourism market over the next ten years. This is according to a new report by Accor, a world-leading hospitality group.
The report is based on forecasts commissioned by Accor from the leading international economic research consultancy Tourism Economics. According to the report, demand for tourist accommodation in Europe is set to grow by 32 per cent over the next ten years. That equates to over 1.6 billion additional overnight stays per year.
This growth is driven primarily by international travellers. The number of international overnight stays is expected to rise by 42 per cent between 2026 and 2036, compared with 24 per cent for domestic travel. This will result in around one billion additional international overnight stays per year in Europe. According to the report, growing global prosperity, increasing international mobility, better connections and sustained investment in tourism infrastructure are collectively ensuring that more and more international travellers are visiting destinations across Europe, including those well beyond the usual tourist hotspots.
Travel within Europe remains the cornerstone of the European tourism sector. By 2036, more than three-quarters (77 per cent) of international visitors are expected to come from Europe itself.
However, the report does highlight rapid growth from emerging European source markets. The number of visitors from these countries is expected to rise by 52 per cent over the next ten years, compared with 34 per cent from Western Europe. Georgia (+123 per cent), Moldova (+107 per cent) and Armenia (+76 per cent) are among the fastest-growing markets. The number of visitors from outside Europe is also expected to rise significantly. The number of visitors from the Middle East will grow by 93 per cent over the next ten years and from the Asia-Pacific region by 88 per cent, as global prosperity rises and more and more consumers take up international travel. Among the major source markets outside Europe, China (+138 per cent) and South Korea (+121 per cent) in particular are showing strong growth.
Established destinations such as Spain, France and the United Kingdom remain dominant, resilient and popular. The five largest destination countries are expected to account for more than half of all international overnight stays by 2036. However, according to the report, some of the strongest growth is taking place outside Europe’s traditional tourist hotspots. For example, international tourism in Central and Eastern Europe, the Baltic states and parts of the Balkans is expected to grow considerably faster than the European average. These destinations are benefiting from ever-improving transport links and travellers’ desire for new, affordable travel experiences. This offers investors, property developers and hotel owners the opportunity to enter markets at an early stage where tourism is still developing rapidly.
According to the report, there are significant opportunities for the budget segment, now that international travel is becoming accessible to a broader and more diverse group of consumers. Many of these new travellers rely on well-known budget brands as they find their way around unfamiliar cities, languages and booking systems. This applies both to visitors from fast-growing source markets outside Europe, such as China and India, and to travellers from emerging European economies with rising incomes and ever-improving transport links.
“Thanks to its immense diversity, Europe remains the world’s most popular destination. The hospitality sector has every reason to look to the future with confidence. Few places offer such a rich mix of cultures, landscapes, cities, coastlines, heritage, food and experiences, all within such a well-connected and accessible region. “Established tourism markets continue to perform well, but growth over the coming decade will be driven by new travellers, new destinations and new patterns of demand, as travellers seek out different places and experiences. The companies that best understand these shifts and adapt to them most quickly will benefit most from the changing demand.”
Erwin van der Graaf, spokesperson for Accor
Other notable findings from the report: