Published on
September 6, 2025
Italy, Spain, Albania, and Greece have experienced notable declines in tourist numbers this summer, largely due to a shift in traveler demographics. Budget-conscious tourists have outnumbered luxury seekers, leading to reduced revenue for destinations traditionally reliant on high-spending visitors. This trend has impacted the local tourism economies, challenging industry stakeholders to adapt to changing consumer preferences.
This summer has been disappointing for Albania’s tourism sector, with real developments failing to match the optimistic expectations set earlier in the year. Hotel revenues in the South have decreased by 30% compared to summer 2024, while the North has seen a smaller decline of 10-15%.
A significant factor contributing to this downturn is the shift in the type of tourists visiting, with budget-conscious travelers dominating the market. Durrës has, however, shown greater stability compared to other areas along the coast.
Looking ahead to 2026, the number of guaranteed contracts remains unchanged from the previous summer, which is positive. However, foreign agencies have included a clause that allows them to withdraw up to 20% of their contracts by the end of the year if sales do not meet expectations. Despite this, 2025 is expected to match last year’s foreign tourist numbers, with cultural tours anticipated to make up for the summer’s decline.
Many visitors have shared their thoughts on the situation, with some noting that Albania is beautiful but not yet ready to handle such a large number of tourists. The sentiment reflects a mixed experience where visitors see the potential of the country but are disappointed by the infrastructure and service quality.
This summer, unlike the previous two years, has been a combination of disappointment and beauty, with the former outweighing the latter. It’s natural for any industry to go through ups and downs, but the speed of this downturn, despite Albania’s active promotion in international media, is noteworthy.
Several factors have contributed to the poor performance of tourism this year, and the causes can be traced to various stakeholders, from the government to businesses.
Rising Prices Impact Key Markets
By the end of 2024, tour operators expected 2025 to mirror the success of the previous year. Albania’s continued international media presence, along with its active participation in events such as IBT Berlin, was supposed to boost tourism. However, since February, a slowdown in tourism became apparent, further intensifying through March, and modest growth followed afterward. By the end of May, the summer’s outlook was already clear, with individual hotel bookings being lower than expected.
In the South, the decline has largely been attributed to price instability and an imbalanced price-to-service ratio. The absence of key tourist groups, such as Italians, Kosovars, and members of the Albanian diaspora, has had a significant impact on the drop in numbers.
Tourism’s performance has been heavily influenced by changes in the main tourist groups. First, there has been a noticeable outflow of Italian tourists. Secondly, the number of Albanians from Kosovo has dropped, and thirdly, fewer members of the Albanian diaspora in Western countries have visited. Rising prices are a major factor driving away the first two groups, while the absence of the diaspora is due to their disappointment with the quality of services.
Albania Attracts Budget Travelers
Albania’s reputation as an affordable destination, especially when compared to other European countries, has attracted tourists seeking to spend as little as possible. These budget-conscious travelers are not interested in luxury experiences but aim to minimize their spending on accommodation, food, and transportation while maximizing their adventure.
This shift has resulted in fewer hotel bookings, with many opting for Airbnb or Booking.com accommodations instead. The majority of tourists now prefer quick, low-cost beach visits, public transportation, and budget-friendly meals. As a result, the demand for high-end services has decreased, and more visitors are choosing self-catered or apartment-style accommodation options due to the affordability factor.
“There’s been a marked increase in individual tourists opting for Airbnb. These tourists are on a tight budget, which is reflected in the rise of apartment rentals,” said a tourism expert.
The shift to budget travel has led to significant changes in the type of tourists visiting Albania. The country’s offerings now cater to those who are looking to spend as little as possible while still experiencing the beauty of the region.
Infrastructure Issues Hurt Tourism
The summer of 2025 also saw significant challenges with Albania’s infrastructure. Coastal areas that were once seen as elite destinations experienced water shortages, while rural areas that attracted adventure tourists suffered from power outages.
Regions like Golem faced operational difficulties, including water shortages due to repairs and the use of unqualified staff during the high season. Although there has been significant improvement in infrastructure, much more needs to be done to make the destination more attractive for higher-end tourists.
Tourists often remain unaware of infrastructure issues, such as waste management problems, construction sites near accommodations, and heavy traffic, all of which detract from their overall experience.
Mixed Future for Tourism Contracts
Despite the challenges, foreign agencies have signed prepaid contracts for 2026 at the same rate as 2025, which some see as a positive development given the current situation. However, the contracts now include a clause that allows agencies to withdraw 20% of their contracts if sales do not meet expectations by the end of the year.
Vlora, despite its struggles in summer 2025, remains part of the guaranteed contracts, and there’s hope that flights from Vlora Airport will begin in the next summer season. Additionally, the inclusion of French tourists in the guaranteed contracts for the first time is an encouraging sign, with agencies conducting surveys and making a positive decision based on the standards in Durrës and Golem.
Italy, Spain, Albania, and Greece have seen significant declines in tourist numbers this summer, primarily due to the rise of budget-conscious travelers outpacing luxury seekers, affecting their tourism revenue.
Albania’s tourism sector has faced several challenges in 2025, including rising prices, infrastructure issues, and a shift toward budget travelers. While the country remains a popular destination, there is still much work to be done in improving service quality, infrastructure, and pricing strategies. The steady interest from certain markets, along with improvements in key areas, offers hope for a recovery. Addressing these issues will be crucial for attracting higher-caliber tourists in the future and ensuring Albania’s tourism sector thrives in the coming years.
