Sunday, June 29, 2025

Greatest tourism sites in Europe are due for a record summer season with a record number of tourists. With travelers still avoiding typical hotspots like the US and Middle Eastern states, European cities and islands struggle with increasing pressure from overtourism. The figures are largely due to a robust revival among American travelers and a shift among European travelers toward continental or home-based holidays from transatlantic holidays.

The post-pandemic period has seen an impressive recovery in global travel, particularly evident in the number of American tourists heading to Europe. According to the US National Travel and Tourism Office, more than 7.7 million Americans traveled to Europe between January and May of this year alone, marking a 6% rise compared to the same period last year. Eurostar has also reported a significant 45% spike in bookings from American travelers for June and July compared to the previous year.

Despite the absence of major global events such as the Paris Olympics or major concert tours, visitor numbers remain robust. Analysts initially anticipated a drop due to the lack of high-profile events in 2025, yet the data indicates an extremely strong season ahead, potentially setting new records for tourism across Europe.

This unprecedented rise in tourist arrivals has sparked significant protests and concerns among residents in several popular European locations. Cities like Barcelona, Amsterdam, and the Greek island of Santorini have witnessed mounting frustrations over the adverse impacts of overtourism, including housing shortages and skyrocketing rents.

Most recently, residents in Venice protested against Jeff Bezos’s lavish three-day wedding event, highlighting growing resentment towards large-scale events perceived as exacerbating local crowding and economic pressures. Locals in Venice prominently displayed “No Space for Bezos” posters, reflecting the tensions between tourism-driven economic benefits and local community impacts.

While the influx of visitors positively impacts Europe’s hospitality industry, especially hotel operators, it simultaneously creates pricing pressures that affect other travelers. American tourists typically spend 20% to 25% more on hotel accommodations, opting for premium rooms and flexible booking options. This pattern is driving overall hotel prices upward, affecting affordability for other travelers visiting these destinations.

Major US hotel chains are capitalizing on this increased demand, expanding aggressively across Europe. Hilton plans to open 65 new hotels across the continent this year, while Marriott has expanded its European presence by 11.5% in the last two years, emphasizing Europe as a strategic priority. Marriott highlighted Greece as an especially attractive destination, reflecting broader trends in Mediterranean travel preferences.

A notable shift in travel patterns has emerged, with tourists increasingly exploring destinations beyond traditional hotspots. Karin Sheppard of IHG noted the dispersal of tourists from established locations like Lisbon to less frequented regions such as the Algarve and Douro Valley. This trend is evident across the hospitality sector, with Hilton planning new hotel openings in lesser-known destinations, including Bosnia and Herzegovina.

This distribution of tourist flows helps alleviate some pressure on overcrowded urban centers but also underscores the widening geographic footprint of overtourism-related challenges.

Additionally, changing travel preferences among Europeans have further boosted intra-European travel. Economic uncertainties, stringent US entry policies, and geopolitical tensions have led many Europeans to prefer domestic or European holidays. The first four months of the year saw at least 22 million more Europeans choosing to vacation within their own countries, according to Eurostat, while travel to the US declined by 2.2%.

Jamie Lane, chief economist at AirDNA, attributed this shift partly to discouraging rhetoric surrounding tariffs from the US administration and increased border controls, deterring European visitors from transatlantic travel.

Geopolitical instability, notably the recent conflicts in the Middle East, has also significantly influenced travel patterns. Following Israel’s recent military actions against Iran, numerous travelers canceled planned trips to Middle Eastern destinations, redirecting their vacations to European locations perceived as safer alternatives.

Data from AirDNA indicates a striking 40% increase in cancellations of short-term rental bookings in the Middle East in a single week, while European short-term rental bookings simultaneously rose by almost 7%. Hotel chains such as Wyndham and Hilton have reported similar patterns, confirming a substantial shift in traveler preferences towards Europe.

With Europe poised for a potentially record-breaking tourism season, stakeholders must address sustainability and infrastructure capacity concerns to manage the continued influx responsibly. The ongoing challenges of overtourism require innovative solutions and strategic planning to balance economic benefits with quality-of-life considerations for local communities.

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