IMEX Malta |
IMEX Malta - It's a personal service. The Gateway to Europe. |
 | 
|
Maltas Tourism Strategy Must Shift to Quality Over Quantity, Urges Hospitality Leader Amid Capacity Concerns
August 17 2024 13:13 by PCLMedia
Malta must pivot towards attracting older, higher-spending visitors as the country nears its maximum capacity for international tourists, warns a leading figure in the hospitality industry.
Tony Zahra, president of the Malta Hotels and Restaurants Association (MHRA), highlighted the urgency of this shift in an interview with the Times of Malta. "Given that we've now reached the limit on the number of arrivals we can accommodate, it's essential that we maximize the potential of each one," Zahra stated.
In recent years, Malta has focused heavily on hosting large-scale parties and concerts, drawing a younger crowd and driving down the average age of tourists. While these events have boosted visitor numbers, Zahra suggests they may have been too successful. The island is on track to welcome three million visitors this year, a number that has stretched the nation’s resources and infrastructure.
Zahra emphasized the need for a "re-calibration" of Malta's target market, pointing to the economic inefficiency of the current approach. He also raised concerns about the low spending of cruise liner passengers, who contribute an average of just £51 per visit. "Cruise liners have become fully inclusive operators, and passengers get whatever they want on board. On the other hand, we are providing those passengers an open-air museum. This is why the spend is so low," Zahra explained.
Despite acknowledging the issue, Zahra did not propose specific solutions but firmly rejected the idea of introducing a daily fee for tourists, similar to Venice’s €5 charge for visiting its historic sites. Instead, he argued that Malta should focus on offering quality experiences, stating, "We are tiny compared to a lot of other places. So we can be clever and offer quality. People are willing to pay for quality. So let's not compete on price anymore. Let's compete on quality."
While Malta does not charge visitors a daily fee like Venice, it does impose an eco-contribution tax. This tax applies to tourists aged 18 and older staying in licensed accommodations on the Maltese Islands, with a rate of €0.50 per person, per night, capped at a maximum of €5 per stay.
A video of Zahra criticizing the ongoing push for more hotels in Malta as "madness" has recently gone viral. He expressed frustration that his warnings have largely fallen on deaf ears, with the government remaining "consistently silent" on the issue. Zahra criticized the Planning Authority, accusing it of becoming a "permitting authority" rather than a regulatory body. He revealed that 99 hotel and extension applications have been approved, adding 27,000 rooms to the current stock and creating a demand for 15,000 additional employees.
"Are we expecting more tourists to fill these rooms? Are we aiming to attract five million tourists? How many more can Malta realistically accommodate?" Zahra questioned.
Malta, a popular destination for British retirees due to its warm climate and English as an official language, now faces the challenge of balancing tourist numbers with sustainability and quality experiences. As the island grapples with these issues, the hospitality industry is calling for a strategic shift to ensure Malta remains a desirable and manageable destination for years to come.
Contact IMEX Malta
