The Acropolis of Athens

The Acropolis of Athens.

28-04-2021Ingrid Haack - nip - EFE - EFE

The Mallorcan hoteliers have been warned year after year against raising their prices, but they never seem to listen, this year however, it is going to be a totally different ball game and value for money is going to be key.

Competing Mediterranean destinations are not only better prepared to open for tourists sooner than the Balearics, they have also been very careful with their pricing, in fact cash incentives have been thrown in by governments and tour operators. Malta, for example, of offering to cover up to a maximum of 200 euros of the price of a holiday for people staying in a five star hotel.

Greece has cut VAT on key goods purchased by tourists while the government has helped airlines keep their fares down. No wonder Greece and Crete are currently in the driving seat in the UK and German markets.

One thing is having the vaccine, the other is how much the holiday, plus new extras such as Covid tests, are going to cost.

Hotel rates in the Balearics have risen by 20 percent this year - their excuse is lack of supply. But surely, if there is the pent up demand the local government keeps telling us there is across Europe, then supply should not be a problem.

If hoteliers don’t readjust their prices and make them more competitive, it will not be supply that is the problem, it will be demand with potential visitors going elsewhere.


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