Tourism and Aviation - Working together

Georgios Drakopoulos, Director GeneralSETE, Association of Greek Tourism Enterprises

IACA Assembly

Athens, 21 March 2013  

Presentation outline

•About SETE

•Tourism’s socioeconomic contribution

•Greek Tourism capacity 2012

•Greek aviation economic foot print

•Greek aviation policy issues

•Towards 2020•New targets•New initiatives

SETE aims constantly at boosting competitiveness and demonstrating the key role of tourism in the Greek economy.

SETE is a non-governmental, non-profit organisation.

Established in 1991.

Tourism’s socioeconomic contribution

  2012

T&T Total contribution to GDP (% ) 16,4%

T&T Total contribution to employment (% )

18,3%

T&T Total contribution to employment ('000)

688,8

Percentage of trade balance deficit covered by tourism

51,2%*

Source: SETE, based on data provided by WTTC and Bank of Greece *provisional data

Greek tourism performance 2009-2012

Year Arrivals Receipts (mi. €)Total T&T

employment

2009 14.914.537 10.400,2 787.600

2010 15.007.493 9.611,3 754.400

2011 16.427.247 10.504,7 758.300

2012* 15.519.966 10.024,0 741.000

*The arrivals and receipts of 2012 are SETE's estimate.Source: SETE, based on data provided by Bank of Greece and WTTC

The contribution of arrivals by air

Year Total Arrivals Arrivals by Air (%) share

2007 16.165.265 73,7%

2008 15.938.806 73,4%

2009 14.914.537 72,1%

2010 15.007.493 70,9%

2011 16.427.247 71,0%

2012* 13.482.989 71,6%

*Jan - Sep

Aviation’s economic footprintContribution to Greek GDP The aviation sector contributes €5.7 billion (2.5%) to Greek GDP.

Major employer The aviation sector supports 100,000 jobs in Greece.

High productivity jobsThe average air transport services employee generates €114,353 in GVA annually, which is over 145% more productive than the average in Greece.

Contribution to public financesThe aviation sector pays €2,063 million in tax.

Aerospace manufacturing benefits Aerospace supports 8,000 jobs, and contributes approximately €402 million to Greek GDP. Source: Oxford Economics, 2011, Economic Benefits from Air Transport in Greece

Source: Ministry of Economy and Innovation, 2007, National Strategic Plan for Tourism-Portugal

New distribution patterns – New challenges

Old distribution model New distribution model

Policy issues

•Regulation of the institutional context - the Civil Aviation Authority role

• Competitiveness and pricing policy of Athens International Airport (AIA)

• Privatization of the regional airports

Targets towards 2020

•Greece to be included in the world’s top ten tourism destinations.

•Direct and indirect tourism GVA to reach ~ €50 billion.

•Employment created by tourism to reach ~1.000.000 jobs.

New initiatives

Tourism and Aviation - Working together

Dr Andreas Andreadis, PresidentSETE, Association of Greek Tourism Enterprises

IACA Assembly

Athens, 21 March 2013