Four out of every five Gozitan tourism businesses told a survey that rising operating costs remained their biggest headache, while a third said that staff shortage was a key challenge.
The online survey, carried out by the Gozo Tourism Association in recent days, focused on the performance of Gozitan establishments throughout 2024 compared to 2023.
Respondents included operators from the accommodation sector, restaurants, diving centres, tourist attractions, transport, tour operators, destination management companies, travel agencies, rental property agencies, and tourism consultancy firms.
When it comes to challenges, rising operating costs remain the most pressing concern, identified by nearly 79% of respondents.
Other significant challenges include increases in prices (48%), staff shortages (36%), skills pass (33%), foreign staff work permits (30%), and infrastructural works (30%).
When asked about the evolution of their business operations over the past year, 44% of respondents reported improvement, 41% said operations remained unchanged, and 15% indicated deterioration.
And when gauging Gozo’s competitiveness, 76% of respondents expressed concern that increasing operating costs could undermine the island’s position as a desirable destination. They also flagged construction works, rising costs, excessive booking engine commissions, infrastructural challenges, and a perceived loss of Gozo’s traditional peaceful character as key risks.
42% report better business performance
In providing a breakdown of the survey results, GTA said the findings indicated encouraging developments.
Some 42% of establishments reported better business performance in 2024 compared to 2023, while 39% said their performance was similar, and 18% reported a decline.
The positive trend was especially evident in the performance of the foreign market.
When asked about the effect of foreign tourism on their business, 67% of respondents classified the foreign market’s impact as either ‘good’ or ‘excellent.’
Furthermore, 55% confirmed that the foreign market performed better than in 2023, while 21% said it remained the same, and 24% reported a weaker performance.
The domestic market, meanwhile, presented more balanced results. Around 42% of respondents described the domestic market’s effect as either ‘good’ or ‘excellent,’ while 38% rated it as ‘average’ and 19% as ‘poor’.
When compared to the previous year, 29% of respondents said the domestic market had improved, another 42% felt it remained unchanged, while 29% reported a decline.
58% report good, excellent income in 2024
In terms of revenue generated during 2024, 58% of respondents classified their income as ‘good’ or ‘excellent’.
Comparing revenue figures with those of 2023, 52% said 2024 revenue was higher, 30% said it remained stable, and 18% indicated a decline.
Among those who saw increased revenue, the majority (83%) attributed the growth mainly to an increase in clientele, rather than higher prices.
Regarding the festive season (December 24 to January 1), 29% reported better revenue than the previous year, 39% stated it remained the same, while 32% indicated a drop.
