The DACH Tourism Insider – May 2025

dach tourism insider

Discover the latest insights from the DACH travel market in our May newsletter! From record-breaking OTA bookings to exciting airline launches, hotel investments, and evolving traveler trends in Germany, Austria, and Switzerland — this edition brings you the key news shaping the region’s tourism industry. Perfect for travel professionals, marketers, and destination experts looking to stay ahead.

Distribution Networks

Short-Term Rentals via OTAs Reach Record High

In 2024, 854 million overnight stays were booked via online travel agencies (OTAs) like Booking, Expedia, and Tripadvisor—a 19% increase from 2023. The Adriatic region of Croatia was the top destination in Q3 2024, with 25 million overnight stays.

Dertour Group Boosts Turnover by 20% in FY 2024

Dertour Group saw a 20% increase in turnover for 2024, matching pre-pandemic participation levels. CEO Christoph Debus attributes the strong performance to the enduring popularity of package holidays.

Coral/Ferien Touristik Continues Strong Growth via Travel Agencies

Coral and Ferien Touristik, both German tour operators, are seeing double-digit growth and aim to solidify their positions among the top ten in the market. In a live talk with fvw|TravelTalk, executives Koray Cavdir and Ender Karadag highlighted the strategic use of former FTI staff, a focus on travel agencies, and new product developments as key growth drivers.

Holiday Pirates Achieve Record Revenue, Surpassing Pre-COVID Levels

The Berlin-based Holiday Pirates Group surpassed pre-pandemic sales levels in 2024, generating €161.86 million in bookings in Germany, Austria, and Switzerland—a year-on-year increase of 8.3%. Globally, the group reached €477.47 million in mediated revenue, a nearly 20% increase.

Expedia Now Offers Ryanair Flights

Ryanair flights are now available on Expedia. The OTA (Online Travel Agency) is selling the Irish low-cost carrier’s flights both individually and as part of package deals. This marks a significant step in increasing accessibility and convenience for travelers booking through Expedia.

 

Airlines

Lufthansa to End Onboard Duty-Free Sales

Lufthansa will fully discontinue its traditional inflight duty-free sales by September 2025. The airline cites declining sales and the need to free up valuable storage space on board as the main reasons for this decision.

German Airways Unveils New Aircraft Livery

German Airways is redesigning its fleet of eight Embraer 190 aircraft. The new livery includes a dotted black-red-gold flag on the tail and colored winglets representing Germany. The company name is no longer printed on the tail, emphasizing the visual identity instead. The refreshed look was presented alongside the launch of the summer flight schedule.

New German Airline Mannheim City Air Launches

Mannheim City Air, founded in December 2023, has officially launched its scheduled operations. Its first route connects Mannheim with the island of Sylt. The airline plans to expand to Heringsdorf (Usedom) and Elba (Italy) in May. Operating with a Dornier 328 aircraft from Private Wings, the carrier positions itself as a premium airline targeting weekend and short-trip travelers. It effectively follows in the footsteps of Rhein-Neckar Air. The first flight to Elba is scheduled for May 8, 2025, and to Heringsdorf on May 10, 2025.

 

Hotels

Hotel Investment Market in Germany Starts Strong

In the first quarter of 2025, investments in hotel properties in Germany totalled around 285 million euros, a significant increase over the previous two years. Nearly half of the capital was directed towards A-cities, with private investors and family offices making up the largest buyer group.

Zleep Hotels Opens in Frankfurt

The Zleep Hotel Frankfurt Airport Kelsterbach marks the brand’s debut in Germany. Combining Danish design with Scandinavian quality, the hotel offers an affordable yet stylish environment for travelers, featuring a lobby with a snack bar and lounge area.

Two New AR Hotels Open in Berlin and Kempten

In April 2025, the AR City Hotel Berlin opened with 54 rooms, and the MyPark Hotel Kempten by AR Hotels also launched, offering 72 rooms, a sushi restaurant, and a L’Osteria, with views of the Alps.

 

Market Insights

Switzerland Waives VAT for Tour Operators

From now on, travel service providers in Switzerland, including German companies, will no longer have to pay VAT. This exemption also allows German providers to potentially reclaim VAT retroactively. The Swiss Federal Tax Administration (ESTV) officially announced this change, as confirmed by Volker Jorczyk, head of TTL Tourism Tax & Law.

New Passport Photo Requirement from May 1

Starting May 1, German travelers applying for a new passport or ID card will need to submit digital photos. This change aims to reduce the risk of document fraud and speed up processing times. However, there are no changes for applying for driver’s licenses, which will still accept traditional photos.

Record Camping Numbers in Germany

Germany hit a new all-time high in 2024 with 42.9 million overnight stays on campsites, 1.4% more than in 2023 and nearly 20% higher than pre-pandemic 2019. Camping now accounts for 8.6% of all overnight stays (out of 496 million total). The trend shows continued interest in nature-based and affordable travel options. Source: Camping.info

Holiday Booking Still Causes Stress for Many Germans

According to a YouGov study, 62% of Germans find travel booking stressful – especially tasks like choosing luggage (42%), arranging airport transfers (33%), and booking flights (30%). While 46% are early bookers (3+ months ahead), only 10% book last-minute. The process, although fueled by excitement, is often a source of pressure. Source: YouGov Survey

Mixed Feelings About AI in Trip Planning

37% of Germans say AI-powered recommendations are helpful when planning vacations, while 23% see no value and 30% remain unsure. Though digital tools are on the rise, the data reflects a gap between tech potential and trust among travelers. Source: YouGov, HolidayCheck, internal digital adoption reports

Germans Willing to Pay More for Compensation Security

Despite low awareness, 79% of global passengers would pay extra for guaranteed compensation in case of severe disruptions. In Germany, 50% are willing to pay €10–€20+ extra per ticket. The data supports consumer appetite for better protection – even if it costs more. Source: AirHelp Global Passenger Compensation Survey

Travel Trends in Switzerland

TrustYou, a provider of guest feedback and data analytics, has identified key travel trends in Switzerland since the beginning of 2024. Based on online reviews and guest behavior, the study reveals improvements in guest satisfaction and major shifts in travel preferences and booking behavior. Key Insights:

  • Guest satisfaction increased (average rating up by 0.36 points).
  • Travel type breakdown: 35% family, 25% business, 40% individual.
  • Winter season bookings are 15% higher than summer – winter sports are booming.
  • Online bookings grew by 20%, signaling increased digital adoption.
  • Strategic Recommendations:
  • Strengthen online reputation management.
  • Personalize offers for different traveler types.
  • Develop attractive seasonal packages for both winter and summer.
  • Enhance digital presence with user-friendly booking tools.

Source: htr.ch

Sport Tourism: A Booming Segment with Big Economic Impact

According to a study by Expedia Group, sport tourism now represents 10% of global tourism spending, projected to reach €1.2 billion this year. The upcoming FIFA World Cup 2026 and Olympics are boosting this trend. Sport trips are also linked to mental health benefits and are often done with friends or family. Notably, younger generations show increasing interest in women’s and mixed-gender sporting events.

Study Partner: Censuswide (survey of 2,000 respondents from 8 countries)

Top 10 Business Travel Destinations in 2024

Germany remains the top European business travel destination, followed by the UK and the Netherlands, according to BCD Travel’s “Cities & Trends 2025 Europe Report.” The USA leads the intercontinental rankings. Amsterdam, London, and Frankfurt are the most visited cities in Europe, while New York, Chicago, and Dubai top the global city list. Interestingly, 92% of intra-Europe business travelers fly Economy, while long-haul flights are evenly split between Economy and Business Class.
Source: BCD Travel

Gen Z and Millennials Love Package Holidays

Contrary to stereotypes, younger generations show strong interest in package holidays. A HolidayCheck study finds that over 50% of Gen Z and Millennials booked package tours in the past year, compared to just over a third of Baby Boomers. Gen Z, in particular, values flexibility, affordability, and multiple travel opportunities throughout the year. They associate package holidays with “all-inclusive” and “ease of planning.” Source: HolidayCheck