According to GBR’s Greek Hospitality Industry Performance survey, total room nights sold reached 8.0 million in 2025, increasing by just 0.7% compared with 2024. In contrast, total industry revenues rose by 7.4%, reaching nearly €2.0 billion, up from €1.8 billion in 2024 and €1.6 billion in 2023. This divergence clearly highlights the sector’s strategic shift toward price-led growth, in a market where occupancy levels are increasingly approaching saturation.
Performance differs markedly by market. Athens stands out as the most resilient hotel market, confirming its gradual transformation into a year-round destination. In 2025, the capital’s hotel performance was driven primarily by gains outside the peak season. During January–March and November–December, occupancy increased by 5.3%, while the average daily rate (ADR) rose by 5.4% year on year. By contrast, during the peak period from April to October, occupancy edged down slightly (-1.2%), with revenue growth generated exclusively through price increases (+2.7%).
This pattern underscores a market that is progressively smoothing its seasonality and improving annual utilization of hotel infrastructure, while still facing the structural pressures associated with peak demand periods.
The outlook is more nuanced in Thessaloniki. Despite a strong rise in international arrivals at the city’s airport (+10.7% in 2025), the hotel sector captured only limited benefits. Occupancy increased by just 0.9%, as additional demand was largely offset by an expansion in supply following the opening of new hotels and the reopening of existing units. RevPAR rose by 5.4%, driven mainly by a 4.4% increase in the average room rate, once again confirming that growth is predominantly price-driven rather than volume-led.
In the resort hotel segment, 2025 was marked by broadly stable occupancy levels compared with 2024. While the first quarter showed some improvement, its contribution to the full-year outcome remained modest. Revenue growth was again underpinned by higher spend per guest: total daily revenue per occupied room (POR) increased by 8.9%, while revenue per available room (PAR) rose by 8.5% to €273, peaking in July and August.
Despite the positive revenue performance, hotel operators continue to face mounting pressure. Operating costs have risen sharply due to energy price volatility, labor market tightness, higher wage obligations, and persistent staff shortages. Consequently, revenue growth is not translating proportionally into improved net profitability.
These pressures are further intensified by the tax environment. A study published by INSETE in October 2025 indicates that for a four-star hotel with a gross room rate of €150, the combined tax and social security burden — including VAT, the Climate Crisis Resilience Levy, and social security contributions — amounts to 29.8% of the room price. This level is nearly double that of Cyprus and significantly higher than in other competing Mediterranean destinations.
The imbalance is further illustrated by the relationship between profitability and public revenues: in Greece, hotel EBITDA represents only 56.9% of the taxes and social contributions paid to the state. In practical terms, for every €1 of operating profit generated, hotels remit approximately €1.75 in taxes and social contributions.