Destination Europe Summit: Balancing tourism growth, regulation and investment
Guests at the summit discussed the future of the tourism industry - balancing growth, regulation and sustainability investment.
Miguel Sanz, president of the European Travel Commission, took to the stage in Brussels after an introduction from Euronews' Meabh McMahon - stressing the importance of travel to Europe's 'lifestyle, culture and connectivity'.
He spoke of the effect of digitalisation of the travel sector and argued that more attractions and destinations must be available to book online.
Presenting Europe as 'the world's favourite destination', Sanz said the region must strive to retain its competitive edge.
Sanz nonetheless highlighted the risks that come with large numbers of visitors:
'Overtourism is putting strain on infrastructure, housing costs, and local communities.'
Tourism investment and strategy for 2026
Apostolos Tzitzikostas, the European commissioner for sustainable transport and tourism, reasserted the importance of tourism for Europe, calling it a 'powerhouse for economic growth, for job creation, for social development'.
He outlined the EU's new tourism strategy for 2026, which will include a focus on:
• Climate adaptation and sustainability funding
• SME digital transformation, including AI adoption
• Infrastructure investment and visitor management
He emphasised that small and medium-sized enterprises (SMEs)—which form the backbone of Europe's tourism sector—must know how to access funding opportunities to remain competitive. Moreover, he noted how the European Commission has pledged to simplify financing programs.
'We need to make things simpler, and we will,' he stated.
Booking.com CEO warns of overregulation hindering competitiveness
Glenn Fogel, CEO of Booking.com, raised concerns about regulatory hurdles slowing down Europe's competitiveness.
Fogel also addressed overtourism, suggesting that some destinations may need to explore pricing mechanisms to control visitor numbers, but he stressed that governments—not private companies—should lead on this issue.
'As economies grow, overtourism is only going to get worse,' he warned, highlighting destinations such as Paris, Amsterdam and Venice.
New business models and revenue strategies
A panel featuring industry executives and policymakers explored alternative revenue models for tourism management:
Nikolina Brnjac, member of the European Parliament, highlighted the need for better destination management plans, citing housing shortages and infrastructure pressures from short-term rentals. She highlighted how Croatia has introduced a tourism tax on day visitors to ease congestion.
Daniel Attard, member of the European Parliament, stressed that local communities must be part of tourism decision-making, as not every region welcomes mass tourism.
Magda Kopczynska, EU Commission director general for mobility and transport, discussed aviation's shift to sustainable fuels, noting that while alternative fuels exist, high costs and production limitations are slowing adoption.
Olivier Jankovec, director general at ACI EUROPE, meanwhile, called for greater EU support in scaling up sustainable aviation fuel adoption to ensure Europe isn't reliant on energy imports.
Travel demand at record highs
George Simon, EVP market development head for Europe at Mastercard, highlighted in a presentation that 2024 was a record-breaking year for travel, with 7.4 billion consumers travelling globally. Notably, 83% of surveyed Chinese travelers expressed a desire to visit Europe, reinforcing the continent's enduring appeal but also raising concerns about pressure on tourist hotspots.
Emerging travel trends indicate that leisure stays are lengthening, with the average trip extending by two extra days, benefitting local economies.
Additionally, the executive highlighted the 'swift lift' effect, where events, like the Taylor Swift concert, boosted economies across Europe and subsequently underscored the power of organising such events in different destinations.
Managing tourism growth responsibly
The final panel discussion centered on tourism management strategies. A director from UN Tourism, Sandra Carvao, in charge of market intelligence, policies and competitiveness, stressed the importance of measuring community perceptions, noting that benchmarking data is crucial to addressing seasonality issues and ensuring tourism remains a net positive for local populations too.
Paul Kelly, CEO of Fáilte Ireland, pointed to Ireland's high tourism approval ratings, with both locals and national stakeholders maintaining a positive outlook on the sector. He emphasised the need for ongoing engagement with communities to keep tourism development aligned with local interests.
Speaking on demographic shifts, Kelly referenced 'silver tourism', highlighting the growing market of travellers over 55 and the industry's need to adapt infrastructure and services accordingly.
Policy and infrastructure challenges
Sérgio Gonçalves, member of the European Parliament (S&D), echoed overtourism and sustainability concerns, noting how Madeira faces similar challenges to other popular destinations.
'A great destination is only great if it also provides a high quality of life for locals,' Gonçalves said, emphasising the need for robust infrastructure and tourism policies. He proposed reducing airport charges and expanding off-season events as potential strategies to spread visitor traffic more evenly throughout the year.
Sustainable aviation fuel (SAF) was another key challenge for island destinations, with Gonçalves stressing the need for better energy storage solutions and the importance of EU support in scaling up SAF production.
Marlène Bartès, policy officer for tourism at the European Commission, warned against using tourism as a scapegoat for broader issues, such as housing shortages, urging a balanced approach that learns from regions experiencing overtourism.
Private sector's call for change
Zina Bencheikh, EMEA managing director at Intrepid Travel, argued that Europe's tourism infrastructure is not currently aligned with sustainable business models. She stressed the need for structural changes to ensure long-term viability, particularly for SMEs that rely on peak-season earnings to survive through the off-season.
'The European tourism structure has been built in a way that does not fit our style,' she said.
Bencheikh also noted that catering for travellers over 55 is the fastest growing segment for Intrepid travel.
In his closing remarks, Eduardo Santander, the CEO of the European Travel Commission, thanked attendees for their insights, underscoring the importance of collaboration in shaping the future of tourism.
'This momentum cannot be wasted. It must drive us forward to create a more sustainable tourism landscape,' he said. 'We want to be the best—not just in sustainability, but in accessibility and every aspect of tourism.'
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