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4 | [NEWS]
6.5% VAT RATE FOR HELLENIC CHAMBER OF VAT for accommodation will give a boost in total to the demand for
the Greek tourism product and will act as a multiplier in the de-
HOTELS AND MEDICINES HOTELS: THE REDUCTION velopment of the counties picture to foreign markets, at a difficult
period of time for the image of the destination.
OF VAT WILL RESULT IN 630
MILL EURO INCREASE SETE THE VAT REDUCTION
IS AN ESSENTIAL GROWTH
MEASURE
SETE welcomes the Government's decided to transfer the VAT on
tourist accommodation on the part of the residence by a percetage
of 11% or 13% to 6.5%.
This measure is a first and important developmental measure of
the government, which came after discovering that the excessive
VAT did not have a psitive effect on the public finance, in contrast
it resulted in decresing the the public revenue along with decrease
in the revenues of the individual companies as a result of decrease
From left Mr. K. Reres from ITEP, Mr George Tsakiris, Chairman of
in demand. It is known that the contracts signed in tourism com-
Minister of Finance Mr. G. Papakonstantinou the Board of the Hellenic Chamber of Hotels (HCH), and Mr. D. Chio-
nis, General Manager of ITEP. panies are based on gross prices, one year before each subse-
In 2011, Greece will continue its intensive financial effort, in quent season, hence the reversal upwards of VAT in 2010 and to
short-term objectives of the economic policy program. The Gov- The decrease of the touristic VAT by 4.5% on the accommodation perpetuate the system of non-competitive rate compared to oth-
ernment will not change its target for the amount of the deficit will result in a significant promotional factor for the competitive- er Mediterranean countries, resulted in a decrease in revenues of
in 2011 thus they will not reduce the speed of the planned fis- ness of Greek tourism. all businesses in the tourism sector, many of which already
cal adjustment in order to achieve de-escalation of the state It is noteworthy that with this decrease, the differentiation of prices ekinounto marginally in the very bad year in 2009.
is eliminated in comparison to its major competitor countries, came after the discovery that the excessive rate of VAT, while it
debt by 2013. The deficit target in 2011 is 17 billion Euro or 7.4%
which took advantage of this the last couple of years. gave the public finances, instead resulted in a reduction of rev-
of GDP, a reduction of 5 billion Euro compared to 2010 or 2% of
The reduction of VAT has a result in increasing the peripheral in- enue in the government and individual companies by reducing de-
GDP.
come and supports employment in Greece. At the same time it mand. It is known that the contracts signed in tourism companies
To achieve this goal the size of the budgetary effort will be made
contributes to the countries GNP. are based on gross prices, one year before each subsequent sea-
through the old and new interventions exceeding 14 billion eu-
According to a first assessment from the Institute of Tourism Re- son, hence the increase of VAT in 2010 and the non-competitive
ros. The additional fiscal effort needed - in relation to the origi- search and Forecast – a research body of the Hellenic Chamber of
nal plan - will be covered almost entirely by structural meas- rate compared to other Mediterranean countries, resulted in a de-
ures and targeted interventions to streamline costs and reduce crease in revenues of all businesses in the tourism sector, many
waste in areas like health supplies, drug costs and utilities, and of which already marginally as a result of the very bad year in
by specific interventions to boost public revenues to combat tax 2009.
evasion and the use of public property. It is also clear now, even to the government, and this is evident
The measures contained in the Programme for Economic Poli- from the reduction of the VAT for the tourism packages, that the
cy have to reassess their performance and the measure for the sensitive in price changes in the tourism sector when the VAT rate
is double that of the competition, is left unable to contribute to the
mass transfer of products from the low VAT rate of 11% to 23%
public finance and to employment.
rate replaced by an increase of only a low rate by 2 percentage
Eventually this important developmental measure will soon have
points - from 11 % to 13% or so from 5.5% to 6.5% - while reduc-
positive spillover effect in other sectors of the economy. It is now
ing the VAT rate to 6.5% for hotels and on drugs and the equation From left Mr. N. Kanellopoulos, GNTO President, Mr. A. Andreadis, documented and undeniable that each unit consumed in tourism
of NCI heating oil and fuel together with the grant 400 million POX President, Mr. Sp. Galiatsatos, POX Vice President and Ms creates another secondary consumption in the rest of the econo-
euros annually for heating allowance. Christina Tetradis, member of the board of Directors and responsi- my as a result, the significant increase of the final revenue from
ble for Public Relations of Hellenic Chamber of Hotels . VAT, but also beneficial effects on employment for which the coun-
Hotels – the reduction will contribute by at least 630 million Euro try is being put under strain.
from the increase of incoming tourism revenue. The position of SETE is that the adjustment of VAT at a competitive
It is also noted that in these economic conditions the reduction of level should be extended generally to all other sectors of the
[NEWS] | 5
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PB_180308: Η κα Δέσποινα Αμαραντίδου, Μέλος Δ.Σ. του HAPCO, στο βήμα του 3ου Ευρωπαϊκού Συνεδρίου Τουρισμού.
6 | [NEWS]
PHILOXENIA TOURISM CREATIVITY AWARD TO
AWARDS 2010 OLYMPIC AIR
news.travelling.gr
8 | [NEWS]
for the two organizations to work together towards “a real part- in the five sessions compared to around 87 when the programme
nership for tourism”. was launched in 2009.
“At a time when we must all unite our efforts to face the major The Impressive visitor figures continued on Tuesday with a 41%
challenge of a jobless recovery, tourism can create jobs and dis-
tribute them across the economy and nations like few other sec-
tors”, said Mr Rifai. “Given its labour-intensive nature, tourism
caters for different degrees of skills, and often provides employ-
ment opportunities for the most vulnerable segments of the pop-
ulation such as rural communities, youth and women” he added.
Tourism’s contribution to employment is estimated in the order of
6-7% of the overall number of jobs worldwide. In 2009, it is esti-
mated that tourism generated around 225 million direct and indi-
rect jobs. As such, tourism provides crucial opportunities for fair
income, social protection, gender equality, personal development
and social inclusion, central objectives of both UNWTO and the ILO. tinction is a great honor for the hotel.
Tourism is also one of the most resilient economic activities. In Top in its league and the only hotel in Greece to be selected, the
the first six months of 2010, UNWTO reported that international “Grande Bretagne” is committed to creating exceptional, indige-
tourist arrivals grew by 7% against the 4% decline of 2009. It is par- nous experiences for its guests. The 23rd Readers’ Choice Awards From the Greek Pavillion, The Deputy Minister of Culture an Tourism Mr.
ticularly relevant that hotels and restaurants were among the few include 1,060 winners, selected by 25,916 readers who answered G. Nikitiadis & the Manager of GNTO in London Ms Sofia Panagiotaki
activities worldwide where global employment levels did not de- the 2010 Readers’ Choice Survey, choosing the best cities, islands, increase in ministers and aides attending the fourth UNWTO Min-
cline in 2009. hotels, and transportation in the world. The awards have now isters’ Summit at WTM, making it a record attendance for the
The Forum brought together over 150 government, employers’ been published in the November 2010 issue of the famous mag- event.
and workers’ delegates from more than 50 countries to evaluate azine. Overall, unaudited visitor figures for Tuesday 9 November were
and discuss new developments and challenges for the tourism Ever since it opened its doors to receive the first visitor in 1874, up 18% on the equivalent day in 2009 with almost 17,000 visitors
sector and their impact on jobs, human resources, development the Grande Bretagne has been a point of reference in the social,
and industrial relations. In particular, the Forum addressed the political and economic life of Athens and, by extension, of the
strong poverty reduction potential of tourism and how good prac- whole of Greece. The Hotel Grande Bretagne offers the best loca-
tices in this respect could be shared with other developing coun- tion in Athens with spectacular views to the Acropolis and sets a
tries, especially within the framework of South-South develop- significant example in the international hotel business, offering
ment cooperation. pure luxury in service and living.
THE HOTEL
GRANDE BRETAGNE HAS WTM 2010 EXPERIENCES
ONCE AGAIN BEEN 10% INCREASE IN VISITORS
World Travel Market 2010, the premier global event for the travel
INCLUDED IN THE industry, experienced an impressive 10% increase in visitors.
Almost 27,000 (26,908) visitors attended WTM 2010 over the four
attending WTM 2010 to meet and negotiate contracts with ex-
hibitors.
PRESTIGIOUS CONDÉ NAST days (Monday November 8 – Thursday November 11) compared to Unaudited figures for Wednesday 10 November showed a 16% in-
24,402 visitors who attended WTM 2009, reveals unaudited figures crease in visitors with almost 13,000 travel industry delegates at-
TRAVELER MAGAZINE of the event. tending.
The 10% increased was fuelled by a record number of visitors at-
‘BEST HOTELS LIST’ AS tending the event under the My Invitations system on the first day
The revamped final day of WTM 2010 (Thursday 11 November) –
including the Talk Business with Lord Digby Jones session - saw
VOTED BY THEIR READERS. of WTM 2010 (Monday 8 November).
The first day at World Travel Market is invite-only, allowing ex-
unaudited visitor numbers increase by an impressive 34%.
Furthermore, overall participant figures increased by almost 5%
The Hotel Grande Bretagne has once again been included in the hibitors to invite the key contacts they want to conduct business (4.7%) compared to WTM 2009. WTM 2010 saw 47,719 travel in-
prestigious Condé Nast Traveler magazine 'Best Hotels List' as with over the four days of the event. Unaudited figures show a dustry professionals take part compared to 45,571 at WTM 2009.
voted by their readers.The well known publication of Condé Nast 22% increases in visitors with 6,700 senior industry buyers at- There were more than 5,000 exhibitors including 628 Main Stand
Traveler has selected the most luxurious and historical hotel of tending WTM 2010 on the first day. Holders, compared to 607 in 2009.
Athens as one of the best hotels, not only in Greece, but globally. This increase in My Invitations visitors led to an amazing partici- World Travel Market Exhibition Director Simon Press said: “I am
Ranked among the top 25 hotels in the Southern Europe region – pation in the expanded Meet The Meridian Club Buyers (Speed delighted with the attendance figures for WTM 2010. The impres-
a region famous for its unique and refined hospitality – this dis- Networking) session. Almost 250 senior industry buyers took part sive increase in My Invitations visitors participants in the Meet The
[NEWS] | 9
news.travelling.gr
10 | [NEWS]
“LEADER IN AVIATION EASYJET NEW FLEXIBLE TRAVELPORT ANNOUNCED
AWARDS 2010 - FARES FOR PASSENGERS THE RECENT RELAUNCHING
DOHA AVIATION SUMMIT” - WHO TRAVEL FOR OF ITS WEBSITE
“AIRPORT OF THE YEAR” BUSINESS PURPOSES “TRAVELPORT LEISURE”
AWARD GOES TO ATHENS
Travelport announced the recent relaunching of its website “Travel-
port Leisure”, which is having great success, counting over 1200
INTERNATIONAL AIRPORT registered professionals worldwide. The website was relaunched
last June and is now available in over 108 countries worldwide.
Among them are Greece and Cyprus, which has become available in
September.
The website Travelport Leisure is an upgraded version of the previ-
ous website Galileo Leisure, which was first launched in 2005. The
company decided to further invest in the services of Galileo Leisure,
in response to the continuous increase trend of the international
leisure traveler, which is expected to reach 700 billion by 2014.
The Travelport Leisure website contains multiple options in hotels,
accommodations, car rentals, as well as local information, all of
which are free for all travel agents, even if they are not subcribers to
New flexible fares for passengers who travel for business pur- the booking system GDS Travelport.
poses. The new fares offer passengers unlimited flexibility to Leonidas Zotos, country manager of Travelport for Greece, explains,
change elements of their journey, until two hours before the “The new enhanced website Travelport Leisure does not only offer a
scheduled flight departure new look, but increases the sales dynamics of travel agents sales,
On behalf of Athens International Airport, George Kalimassias, Passengers using the new fare, can make any changes they wish, offering them new and useful content for leisure travel. Our part-
Manager, Corporate Planning, received the award from the Chair- ners in the travel industry always showed their satisfaction for the
in under four weeks - one week before and three weeks after the
man of the Qatar Civil Aviation Authority, His Excellency Abdul Aziz using Galileo Leisure, but asked us for even more options. We pos-
Al Noaimi. initial reservation.
They may also benefit from a free service of Speedy Boarding, not itively responded to their requests and we came up with the new
On October 30th in Doha, aviation leaders awarded Athens Interna- website which perfectly complements the basic booking platform
tional Airport (AIA) with the “Airport of the Year 2010” distinction, in to incur additional costs and charges, one luggage will also be of
no charge. Travelport. Proof of this is the response we have from the market
recognition of the high quality of services offered to airport passen- following the launch.”
gers and visitors, combined with a strong and competitive business The proposed flexible fares correspond perfectly to easyJet's
Gathering the entire information in Galileo Leisure website, which
model. AIA’s newest distinction was delivered during the “Leader in commitment to maintain its tariffs at low levels, they will be high- contains 35.000 hotels from GTA, the Travelport Leisure website in
Aviation Awards”, part of the three-day Doha Aviation Summit (Qatar, ly competitive and much lower than those offered by "traditional addition will offer the travel agents access to a wide range of content
October 30th – November 1st). airlines. from renown suppliers from the leisure travel industry.
Athens International Airport was distinguished for its excellent op- Chief executive of easyJet, Carolyn McCall, said: “We see a grow- In addition, the Travelport Leisure website continues to offer useful
eration and quality of services, state of the art technology and inno- ing preference for passengers who travel for business purposes information from GTA, such as interactive city maps, weather fore-
vation, along with AIA’s entrepreneurship and business strategy.
with easyJet, the reason is that easyJet has the best European casts, hotel reviews, news, visa information and destination guides,
Judges highlighted the success of AIA’s business model, the air-
port’s significant contribution to the national and local economy, and network, serving general airports and maintaining low fares. so as to help the travel agents job.
its responsibility towards its stakeholders. Moreover, AIA’s innova- EasyJets flexible tickets are specifically designed to meet the
tive incentive and marketing support scheme offered to its airline
partners, especially during difficult times for the industry, were high-
needs of passengers who travel for business purposes making
easyJet even more attractive option for them.
ABU DHABI INTERNATIONAL
ly acknowledged. The new flexible fares will initially be available only from profes- AIRPORT RECORDS
During the three-day Doha summit, more than 200 representatives
16% INCREASE IN VISITORS
sional booking channels such as Global Distribution Systems and
from airports, airlines and state authorities, discussed the principal booking tools used by companies for business travel. Availability
challenges for the industry and examined strategies for future de-
velopment. It is also worth noting that, for Athens International Air-
to all passengers through easyJet.com will be possible in the fu-
ture.
DURING F1 SEASON
port, the Middle East is the region enjoying the biggest growth in the Abu Dhabi Airports Company(ADAC) released today the total pas-
last 3 years (January – September 2010: +13.8 in flights, +10.9 in Integrated marketing and promotional campaign will be held in senger numbers arriving to Abu Dhabi the week prior to the Eti-
passenger traffic). the first quarter of 2011. had Aiways Formula 1 Grand Prix. The published numbers indi-
cate a 16% increase in Abu Dhabi International Airport arrivals pri-
or to the F1 race, between 7th and 13th of November, compared to
[NEWS] | 11
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