NIS PROPERTY CROATIA

ccording to preliminary WTO figures, 2006 recorded 842 million international tourist arrivals. In comparison with the previous year the data shows a 4.5 % increase. There were 458 million tourist arrivals in Europe, i.e. 54% of total international tourist arrivals. Despite global trends, Croatia is one of the rare countries that have recorded an increase in tourist income. It has been estimated that tourist turnover will increase by approx. 4.1% in 2007 compared with the previous year.

2006 recorded 4% more tourists and 3% more overnight stays in comparison with the previous year. Thus, in the period under analysis, almost 11 million tourists visited Croatia, with a total of 53 million overnight stays. According to the Croatian National Banks figures, international tourism revenues in 2006 amounted to EUR 6.29 bn.

Croatian tourist regions (Istria, Kvarner, Dalmatia, Dubrovnik and the Dubrovnik region, Zagreb as the capital and interior Croatia) each have specific attractions. Further development of their distinctive services is the focus of the country’s plan for tourism. The greatest number of tourists and overnight stays in 2006 was recorded in Istria (32%), followed by Kvarner (20%), Dalmatia (33%), Dubrovnik (8%). Zagreb and interior Croatia accounted for the remaining 6%.

Foreign tourists accounted for 88.7% of total overnight stays, whilst domestic tourists accounted for just 11.3 % in 2006. In 2006, figures for foreign visitors showed a 2% increase and for Croatian residents a 10% increase in the number of nights compared with the previous year. In terms of overnight stays, visitors from Germany (23.4%), Italy (11.6%), Slovenia (11.2%), Austria (8.7%),the Czech Republic (8.3%), Hungary (4.7%) and the Netherlands (4.1%) were the main visitors. Tourists from these five countries accounted for 72% of total overnight stays of foreign tourists. There is an evident increase in the number of tourists from all western European markets. The average tourist stay in Croatia in 2006 was five days (four days for domestic and five for foreign tourists). The foreign tourist market shows a new trend - demand for shorter holidays, so-called shortbreaks, rather than longer, seven or fourteen-day holiday arrangements.

In Croatia, tourists primarily stay at hotels. Around 37% of them stayed at hotels in 2006, accounting for 28% of overnight stays. Secondary accommodation providers are camps, with 18% of total tourists and 24% of overnight stays, followed by private accommodation (21% and 29% respectively) and marinas for nautical tourism (7% and 2% respectively) Croatia has 842,645 beds, 101,925 (12%) of which are in hotels, 205,754 (24%) in camps, 363,282 (43%) in private accommodation and 58,045 (7%) in marinas.

In 2006, 3.695,800 tourists chose travel agencies and tour operators to organise their holidays, whilst 6.689.121 tourists made their own arrangements. In comparison with 2005, 2006 shows an 2% increase in organised travel and 5% increase in private arrangements.

Motivation for most tourists to come to Croatia is mainly rest and relaxation on the coast, and also entertainment, as well as new experiences and adventures. However, motivation among visitors to Croatia shows a shift that is in line with international tourist demand trends towards activity holidays in clean environments, healthy lifestyles and healthy food, which can be addressed through specially tailored tourism services.

The Croatian National Banks preliminary figures for 2006 show that international tourism generated 18.4% of Croatian GDP. International tourism accounted for a 37.1% share of total exports of goods and services, and for 73.8% of total exported services. The per capita income from tourism in 2006 amounted to EUR 1,416. In accordance with established privatisation models, the privatisation of hotel and tourism companies in state ownership will continue, whereby the leading policies will have the aim of giving priority to brands or those owners that will allow known brands to operate or manage their companies. Investments in high quality tourist facilities that provide new jobs are a priority. The trend of rapid development in the tourist industry set by international tourist demand provides opportunities for various entrepreneurial initiatives and investment in a continuously growing sector. The Republic of Croatia holds stakes in 153 companies engaged in tourism and catering. Their total authorised capital is HRK 14 bn, in which the state share is HRK 3.88 bn, or 28%.

The main goals for the development of tourism are to profile Croatia as one of the best tourist destinations in the Mediterranean and Europe, to increase earnings from tourism, as it belongs to the group of most profitable industries (by raising spending in tourism, especially the socalled non-room-and-board consumption, and by extending the season). To implement the tourism development policy in a way to achieve the goals set, it is necessary to create new types of services and products in tourism, a distinctive image for Croatian tourist destinations and regions, to raise the quality of accommodation, catering and other services in the tourist industry while protecting the environment, cultural and historical heritage.

The most important advantages that the Croatian tourist industry can use in the promotion of its tourist destinations and products in foreign markets are its preserved nature and environment, cultural and historical heritage, mild Mediterranean climate, proximity to European markets and long-established tradition of tourism. In line with current trends in international tourism demand, the Croatian tourism industry should be further developed through various forms of selective tourism, while taking local specialisms into account: nautical tourism, diving tourism, cruises on motorised sailing ships, rural tourism, equestrian tourism, sports tourism, day-trip tourism, health tourism, adventure tourism, conference tourism, ecotourism, hunting tourism, fishing tourism, cultural tourism and religious tourism.

Accommodation quality shows an improving trend. Currently, the majority of facilities have three stars (61%), and 15% are four- or fivestar hotels. The construction of new hotels will be continued, as well as the renovation and quality level increase of existing hotels. Most beds are in small, family-run hotels and B&Bs, which ensure personalised services and are tailored to guests needs. They are known in the market as boutique hotels.