Hami Koç, a tourism professional in Cappadocia, has highlighted the financial strain on the tourism sector due to escalating costs and fixed exchange rates. He revealed that hotels are incurring a loss of 620 Turkish Lira for every room sold.
Hoteliers forced to rise prices
The combination of increasing expenses and stagnant exchange rates has left hotels in a bind. As purchasing power declines both domestically and globally, hoteliers are forced to raise prices further. This situation not only exacerbates hotel losses but also shortens the vacation duration for many people.
In an interview with Dünya newspaper, Hami Koç, Chairman of the Board of How To Make Travel and Ennar Cave House, emphasized that both domestic and international tourists are seeking the most economical vacation options. He stated:
"Price sensitivity is paramount, there’s a search for affordable holidays"
"Tourists want to take a balloon ride and return economically. A foreign tourist now spends an average of 1.6 days in Cappadocia, trying to make their stay as economical as possible. Previously, foreign tourists used to stay for 3-4 days, but now it's reduced to 1.6 – 2 days. Local tourists, on the other hand, typically spend only one day here, arriving in the morning and leaving in the evening. They prefer camping or staying in caravans."
"We are losing 620 Lira for every room sold"
Koç pointed out that their facilities primarily cater to foreign tourists, who make up 85 percent of their clientele. "Currently, hotel occupancy in the Cappadocia region is between 35-40%. Last year, the average room rate was 70 euros, but now it has dropped to 55 euros," he said.
Koç highlighted the significant financial strain, noting that the high costs and fixed exchange rates result in a loss of 620 lira per room sold. He concluded by stating, "Our accommodation prices are very affordable, but unfortunately, food and beverages are expensive. Price gouging should not be allowed."
