Austria's tourism under pressure: Bookings rise, profits drop!

Austria's tourism under pressure: Bookings rise, profits drop!

Austria's tourism companies are currently facing a challenging situation. Despite a positive booking situation, increasing costs and economic uncertainties shape the industry. As the tourism barometer 2025 shows by Deloitte Austria and the Austrian Hotel Association (ÖHV), the general mood has been overturned. The respondents over 200 industry representatives express concerns about falling earnings.

In the last two years in the past, sales growth has been recorded, but the profitability of many companies has deteriorated. The main reasons are the increased personnel, energy and goods costs as well as a high tax load. In particular, the collective wage and salary increases could not be completely passed on to the guests, which entails additional burdens for companies.

Review of the industry

The prospects for the coming summer are assessed by the companies as behavior. According to the tourism barometer, 40 % of the companies fear a further deterioration in their financial situation. The industry is currently evaluating its economic situation with an overall grade of 3.06, which represents a deterioration compared to the previous year. This development becomes particularly clear when you look at the return of the demand to the level before pandemic, whereby the high costs are a significant hurdle.

The need for increases in efficiency and strategic pricing was emphasized by Deloitte and ÖHV. Political framework conditions that counteract cost development and reduce bureaucratic hurdles are top priority for many companies. 42 % of the companies surveyed have reduced planned projects and 35 % are planning restrictions in the next five years.

credit financing under pressure

Financial uncertainty also strikes credit financing. Almost half of the companies surveyed report difficulties to receive loans. 39 % of the companies that have taken out loans rely on variable interest rates, 23 % on fixed interest rates and 38 % on mixed financing. It is noteworthy that 36 % of the borrowers were asked by banks to provide higher security.

Warning of long -term negative effects due to savings in maintenance and further development is getting louder. The pressure on the Austrian tourism companies remains high, and the industry is faced with the challenge of finding ways in order to remain profitable despite the considerable increases in costs. The entire picture is characterized by a complex mixture, in which the industry faces great opportunities and considerable challenges. In this context, the demands for political support are becoming more and more urgent.

For detailed information and other developments on the situation in Austrian tourism, visit aviation direct and The press .