Current information about German tourism

Updated December 2024

Finland's position in the market

Finland and the Nordics are gaining a momentum as widely safe and problem free area and relatively close to main European source market in travel. Within the Nordic context Finland is a leading winter holiday destination in Central Europe with Rovaniemi and Kittilä leading the actual searches to book holiday trips according to Traveltainment.

When thinking other seasons, we lack fjords, volcanoes and similar nature wonders and the Finnish culture is least known of the Nordics. This again gives possibilities to develop travel as many ways of holiday making Finland has ideal conditions be it hiking or finding your happiness at a resort or mökki. Germans are pros in holidays and need practical information concerning holidays offers and what to do and drive to bookings with offers.

The importance of flight connections can’t be underestimated, as for example Sweden and Denmark are easily reachable with a car and train, so they already have a head start when comparing accessibility. Generally, the pandemic and geopolitical tensions have changed Finland’s possibilities as well: different crises have “closed” many destinations, we are still behind in airline seat capacity between Germany and Finland, however Finnair is increasing frequencies coming summer. Higher prices do not scare Germans and willingness to travel is very high.

Accessibility is a key topic when developing travel to Finland. Lapland gained a momentum 2016 and managed to make a quick recovery in the winter already reaching pre pandemic level 2022. Now the first summer/ autumn scheduled flights are coming to Lakeland and Lapland with positive feedback from the operators and interest to develop the summer further.

Finlands visibility in media has been higher and according to the Reiseanalyse 2024 the awareness of Finland as holiday destination has risen remarkably since 2016 and has reached Swedens awareness above 80 % of the population.

Consumer trends and behavior

Consumers are trying to play safe which seem to have two main characteristics.

- It seems that online channels are winners in Germany. The classic travel catalogue and numerous promotions linked to printed offers is at stake as consumers decide impulsively when and where to travel. This goes along with digital media and influencers coming closer to the point of sale.

- The role of tour operators remains high for certain segments like sun & beach holiday and in Finland winter holidays in Lapland have high share of package tours. On the other hand, summer holidays are commonly booked at suppliers and OTAs if at all: package tour is less than 10 % of market in the summer.

Travelling with own car or a camper has been a winner and overland travel with public transportation has become trendy. During the pandemic camping revived and show high potential for Scandinavian destinations.

Nature experiences, sustainability, camping, sauna, biking, and hiking remain the biggest trends at the Finland audience during summer.

Majority of the summer visitors book only a part of the trip before departure. We should try to steer the business more to booking channels as it has many benefits for the destination like preparing services or even staff.

Utilizing the Visit Finland traveller segments should be considered for cost effective marketing and sales operations. Excellent presentation available at visitfinland.fi. but here one example:

• Coolcation is the new trend to escape too hot areas during vacation. Finland truly can offer something here and when stacking USPs linking to hobbies, sightseeing and workcation you might be the first one to offer pleasant summer holidays combined with work opportunities and to cool off in the beautiful Finnish nature: I would write out a 2-3-4 week worry free packages with options for renting equipment, sauna at lakeside etc.

Germany's Consumer Sentiment Declines Sharply in November 2024:

• According to the GfK consumer climate index, Consumer confidence in Germany has worsened significantly, with income expectations falling sharply and a slight decline in the willingness to make purchases. Simultaneously, an increased propensity to save has deepened the negative outlook for December. The GfK consumer climate index dropped by 4.9 points to -23.3 for December, matching the low levels seen in late 2023. Rolf Bürkl, a consumer expert at NIM, attributes the downturn to heightened uncertainty, including fears about job security and economic stagnation. With the consumer climate at its lowest since May 2024, optimism for recovery remains subdued.

Industry update and distribution channels

Lack of staff still remains one of the hottest topics which influences production, sales, and marketing at tour operators and throughout the industry. The additional need of advice and overlapping booking and production periods are adding up to the lack of staff. This creates many challenges: from supplier side patience, speed and flexibility are important.

Winter season keeps developing fast and the holiday makers are now also interested in South of Lapland. High demand for Lapland in winter leads to flight prices rising up to 1.500 Euro from Germany and limited availability at accommodations lets prices soar.

Distribution channels in Germany are unique globally as there a strong tour operator-travel agency network with 50 % market share in all leisure trips. At this moment some 600 tour operators offer leisure trips to Finland. Most of the tour operators offer just 1-2 trips as group couch tour and usually purchased at a package tour operator like SRG, which brings a large volume of overnights together with its direct selling operator SR Travel.

For classic package tour operators touring is the main product in the FIT segment and the range of operators is big from global players like TUI, FTI or Der Touristik to small boutique travel agencies with themed tours. Studiosus Reisen, Tuja Reisen, Fintouring, Wikinger Reisen, Arktis Tours, Vianova Reisen, Feelgood Reisen, Zonista are a few of the better-known tour operators with a Finland offer.

A common misunderstanding is that travel agency bookings are “offline”. Today only a few tailored tours are “on request” manually and can be a part of a complex upmarket service for customer that wish something special. Also, this part of the business is transferring to DMCs as the tour operators do not have enough resources for extensive own production.

The role of incomings and DMCs is increasing of two reasons mainly: lack of staff and guest management in the destination.

We lack national DMC offers for individual travellers and the content should preferably be online “one click shop” for tour production and sales. Guaranteed departure group tours are another area where we see room for development.

Finland travel USP's

Nature combined with Finland other main USPs happiness, freedom to roam, thousand lakes and Finnish wellbeing-sauna are all highly potential for our audiences and a dream come true combination in Germany. Safety and sustainability play an increasingly big role in travel decisions.

Finland owns Santa Claus and it works in Germany. Christmas is one of the main holidays with new year celebration which are often combined, and both together form a peak winter travel season.

Are our USP strong enough to drive business? Absolutely, but we might lose the client if we do not give availability for our products. Especially online channels are not "on request" and a clear “call to action” is critical for success.

We should also remember key selling points which complete our promise for the chosen holiday. Be it Winter Wonderland with huskies and Northern lights or chilling at your own rented cottage at your own beach enjoying the endless light during the summer clear & easy narratives should be used to inspire our prospects.

Sustainability is something we can own with the other Nordics and maybe we should conclude that sustainability is always inclusive in a Finland holiday. Now for ca. 8 % sustainability is the decisive factor when choosing a holiday product but around 70 % are reacting positively to the theme. In other words: Sustainability can be a competitive advantage for Finland and sustainable holidays in Finland should sell well on the German market.

Sustainability is a generational issue, millennials and younger are highly aware of the environment. The message for the end customers might have to be communicated also in a B2C campaign. Alternatively, effortless ways to show that a hotel that activity is green should be included in the B2C booking channel (be able to mark the hotel in Booking.com, in GetYourGuide and so on.)

Future outlook and upcoming season

The winter in the north has been positive and outlook remains positive. Summer with coolcation is still coming to a real trend. Pain points in the summer are availability during main season, accessibility to destinations and detailed awareness of destinations.

Travel Trends 2025: Insights from Marriott Bonvoy Survey:
According to a study conducted by Mortar Research on behalf of Marriott Bonvoy, Germans remain eager to travel in 2025, with 77% planning the same or more trips than in 2024, averaging 4.5 vacations. Younger generations (18–34) are leading the trend, with many intending to increase their travel. Popular destinations include Spain, Germany, Italy, and Greece, while Asia is the top choice for long-haul trips.

Key findings include:

1. Advanced Planning: Germans book trips an average of 4.6 months ahead, with many preferring off-season travel for lower costs and fewer crowds.

2. Sustainability Focus: 67% consider environmental impacts, and nearly half might avoid flying to reduce their carbon footprint. Sustainable practices in accommodations are increasingly important.

3. Technology in Travel: Social media and AI are rising as planning tools, with 26% already using AI for trip organization.

4. Luxury and Unique Experiences: High-income travelers prioritize five-star hotels and unique destinations. Sustainable practices and local community engagement are vital to them.

5. Travel priorities for Germans include family time, nature activities, and culinary experiences, while exploring ancestral roots is gaining popularity among younger generations.

Amadeus Travel Trends 2025: Key Insights for the Future of Travel
Amadeus has identified five key travel trends that will shape 2025, as the industry recovers from crises and continues to evolve. These trends reflect a desire for deeper connections, nostalgia, and a resurgence of popular destinations like Asia.

1. Nostalgia Wave ("New Heydays"): There's a growing desire for simpler, more nostalgic travel experiences. This includes revisiting childhood holidays or past honeymoon destinations. Popular trends include a resurgence of retro vacations like camping, as well as a boom in adult summer camps in the U.S.

2. Personalized Flight Experiences: Airlines are increasingly offering hyper-personalized onboard experiences using AI, 5G, and VR. Passengers can expect tailored content, fast Wi-Fi, and immersive experiences, especially in premium cabins.

3. Hotels as Destinations ("Trailblazers"): Hotels with unique concepts and iconic locations are becoming destinations in their own right. These "Trailblazer Hotels" are integrating local culture and history to offer travelers more than just a place to stay.

4. Asia Boom: After years of pandemic-related restrictions, Asia is poised for a tourism resurgence. With new visa policies and increasing interest in destinations like Thailand and Japan, Asia is expected to lead global tourism growth in the coming years. Pop culture hits like "The White Lotus" and "Shōgun" are fueling this interest.

5. Friendship and Real-Life Connections: As digital fatigue grows, travelers are seeking authentic, face-to-face connections. Solo travel and group adventures are on the rise, with people seeking to forge new friendships and even romantic relationships while traveling.