Lithuania has a dilemma regarding foreign tourists: how to explain that it is safe here?
The flow of Lithuanians traveling around Lithuania has already returned to pre-pandemic levels, but only half of the previous flow came from foreign guests. Foreigners are welcome in Lithuania, because a larger size is created and much larger amounts are spent than Lithuanians traveling here. These, on average, stay around 90 euros, while foreigners – almost 400 euros. This was discussed in the LNK report with Vice Minister of Economy and Innovation Vincas Jurgučius.
– Has tourism returned to normal in Lithuania?
– First of all, I would like to celebrate the tourists, to the end. On the other hand, tourist flows decreased by more than 70% during the pandemic. It was not only in Lithuania, but a big and big challenge in the world. Currently, we can see a recovery in consistent tourist numbers by monitoring the data. If we talk about foreign tourist flows, we have currently reached 56%. pre-pandemic level. It can also be noted that domestic tourism, which has increased during the pandemic, has remained a third higher.
– How to get back the pajamas we received from foreign tourists?
– In order for tourism to recover as an ecosystem, as part of the economy, it is necessary to bring back tourists from abroad. There are short term and longer term solutions. First of all, starting next year, the tourism marketing budget will double. This is an increase in travel, because one of the challenges why people come to Lithuania less is that Lithuania is not known as a potential holiday travel destination. Various studies in various countries show that more than half of the respondents do not know what Lithuania is and why they should come here.
– How will the budget increase?
– First of all, when it comes to investments in international marketing and advertising, good work has been done. The budget increase is from 3 to 6 million. euros, comparing this year and the next. With such tools, we will have a smart idea of how to hit on a person who finds Lithuania interesting or potentially interesting. Judging by how much other states can spend, it is much more, but I think it will help us. It is also necessary to understand that it is not easy for our entire region to invite tourism, also because of the war in Ukraine. There is clear data to show this. As a result, our region has the double challenge of not only recovering from the pandemic, but also this whole challenge of reputational security.
We invest in short-term solutions – from next year mainly marketing funding and long-term solutions – ecosystem change: data to open data that is made available for targeted investments. When you have more data, decisions are more accurate. It is also about the development of competences, entrepreneurship, and the development of the necessary infrastructure.
If an ordinary tourist spends 400 euros, a conference tourist spends several times more. Therefore, there is an ambition to become one of the conference centers. however, one state will not do it all. Business participation is relevant to attract tourists. The decision on VAT for hotels will allow investors to plan more sustainably. When you know that when there is a short-term VAT relief, you don’t know what will happen in a few years, you invest more carefully. When you know that this is a permanent decision of the state, there will be more courage. Investing in reading and open data is what will allow us to be smarter and better than others and make better decisions.
The entire LNK report is in the video:
– How to explain to people that it is not unsafe here?
– We both assessed ourselves and consulted with other countries. The solution is unequivocal – we just continue to act as usual and show a little better and more boldly that the same lively life is happening here as it was shown before, it is normal to come here and in the same way as in other countries.