Tourism Decline in Croatia: How Rising Costs Are Affecting Visitor Numbers

Published on December 10, 2025

Croatia’s tourism sector has faced a significant challenge during the summer of 2025, with both the number of visitors and the overall revenue seeing a noticeable decline. This downturn, despite continued efforts by the government and local tourism bodies to extend the tourist season and promote year-round travel, highlights the impact of rising prices on the country’s competitiveness within the Mediterranean travel market.

The summer months, typically the peak of the tourist season, saw fewer visitors compared to previous years, with many attributing the decline to increased costs. Croatia, once a highly attractive destination in the Mediterranean due to its affordability and natural beauty, has seen its prices rise significantly in recent years. As a result, the country is now facing challenges to maintain its position as a leading European tourist hotspot, with some tourists opting for more affordable destinations.

The Impact of High Prices on Croatia’s Tourism Market

Croatia’s stunning coastline, historic cities, and UNESCO-listed sites have long drawn visitors from around the world, especially from neighboring European countries. However, as prices for accommodation, dining, and excursions have increased, the country’s affordability has diminished, causing some travelers to reconsider their holiday plans.

In particular, the Adriatic Coast—home to cities like Dubrovnik, Split, and Zadar—has traditionally been a major draw for European tourists. These cities are known for their ancient walls, crystal-clear waters, and vibrant culture. Yet, many visitors have found that the cost of staying in these destinations has risen sharply, with reports indicating that hotel prices and restaurant bills in these popular spots have increased by more than 20% in some cases.

The increase in prices has been driven by a number of factors, including inflation, a rise in labor costs, and the increased demand for luxury accommodations and services. While Croatia remains a relatively affordable destination compared to other Mediterranean countries, the rise in prices is pushing the limits of its attractiveness for budget-conscious tourists.

Decline in Revenue and Visitor Numbers

Despite efforts to expand Croatia’s tourism season beyond the traditional summer months, the peak season still plays a crucial role in the country’s tourism revenue. In 2025, both the number of visitors and the amount of money spent by tourists during the summer months showed a notable decline. According to data from Croatia’s Tourism Ministry, the country saw a decrease of 8% in visitor numbers compared to the previous year, with a corresponding drop in revenue.

The high prices have affected not only international visitors but also domestic tourists. Many Croatians, particularly those from smaller towns or rural areas, have struggled to afford vacations in the more tourist-heavy regions of the coast, further reducing the overall number of visitors to key destinations. As a result, there has been a growing sense of concern within the tourism industry that the rising cost of living and the decline in affordable travel options may hurt the sector in the long term.

While Croatia’s government has introduced incentives to promote tourism during the off-season—such as discounted accommodation and lower entry fees to attractions—the higher costs during the summer months remain a significant barrier for many potential visitors.

Efforts to Diversify and Promote Year-Round Tourism

In response to the summer slump, Croatian tourism officials have been working on ways to extend the tourism season throughout the year. Initiatives have focused on promoting the country’s cultural, historical, and natural attractions in the off-peak months, such as wine tours in the Istria region, hiking in Plitvice Lakes National Park, and cultural festivals in cities like Zagreb.

Croatia’s tourism authorities have also been investing in more sustainable tourism projects, hoping to attract visitors interested in eco-friendly travel experiences. These initiatives include expanding the country’s cycling routes, promoting adventure tourism, and focusing on wellness retreats and spa resorts. However, the effectiveness of these initiatives remains to be seen, as many tourists still prioritize the summer season for beach holidays.

Competition from Other Mediterranean Destinations

Croatia is facing growing competition from other Mediterranean destinations, which have also seen an increase in tourism over the years. Countries such as Greece, Portugal, and Turkey offer similar coastal experiences, with some even managing to keep costs lower for tourists. For instance, Greece has been particularly popular in recent years, offering a wide range of affordable island destinations such as Crete, Santorini, and Mykonos. These destinations offer similar cultural experiences, Mediterranean landscapes, and historical sites, often at a more budget-friendly price point than Croatia.

As other destinations in the region improve their offerings and attract more visitors, Croatia must find ways to differentiate itself and offer unique experiences that justify the higher prices. Whether through targeted marketing campaigns, increased focus on off-season tourism, or efforts to maintain its traditional charm while modernizing infrastructure, Croatia will need to adapt to these challenges to stay competitive in the Mediterranean market.

Looking Ahead: What’s Next for Croatian Tourism?

Despite the challenges faced in 2025, Croatia remains one of Europe’s most beloved tourist destinations. The country continues to offer rich cultural experiences, breathtaking coastlines, and world-class hospitality, and with the right strategies in place, it can overcome the current hurdles.

To recover from the summer slump and ensure sustainable growth, Croatian tourism authorities will likely need to address the pricing issues that have contributed to the visitor decline. Balancing the demand for luxury travel with the need to remain affordable for a wider range of visitors will be key to maintaining the country’s status as a top European destination.

As Croatia works to diversify its offerings and manage costs, the continued promotion of off-season tourism and regional destinations will be essential. By focusing on sustainability, affordability, and cultural experiences, the country can continue to attract tourists from around the world while maintaining the unique appeal that has made it one of the most popular destinations in the Mediterranean.