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Irish tourism sector optimistic after showing its mettle in 2024

Tourism
/ 7th February 2025 /
BP Reporter

Ciarán Dunne, co-founder of YourDaysOut.com, believes the tourism sector is poised for a promising year following Fáilte Ireland's National Industry Briefing.

The Irish tourism sector has started the new year with optimism after displaying remarkable resilience in 2024.

Visitor numbers and overall expenditure in the sector rose nationally, driven by an expansion in supply and strategic price adjustments, with over 300 new visitor experience attractions and events being introduced nationwide last year.

Dublin Lunar New Year and St Brigid's Weekend events recently offered further evidence of a sector brimming with confidence.

Aimée van Wylick, creative producer of Brigit: Dublin City Celebrating Women, said of last weekend that this year's "programme saw a record-breaking 108 events; both the parade and the Imbolc Fair were vibrant celebrations of culture, creativity and community, drawing impressive crowds and marking this year as [the] most successful to date."

Visitor sentiment remains high and domestic tourism revenue is now significantly above pre-pandemic levels, showcasing the enduring appeal of staycations.

Business Bulletin

Fáilte Ireland's strategic marketing campaigns and initiatives such as the expansion of Púca, positioning Ireland as the Home of Halloween, have sought to extend tourism beyond the peak summer months and strengthen the country's year-round offerings.

The tourism development agency has ambitious plans for sustainable tourism growth, targeting a 5% national increase and 6% regional growth.

Its strategy aims to promote greater visitor dispersal and retention in emerging destinations. The rise in online booking systems presents significant opportunities for businesses to enhance accessibility and streamline operations.

By 2026, it is expected that 60% of businesses will offer digital bookings, a significant increase from just 19% in 2019.

Speaking at Fáilte Ireland's national industry briefing, CEO Paul Kelly acknowledged the difficulties faced by some businesses and underscored the positive indicators shaping the industry’s future and the ongoing support provided by Fáilte Ireland.

Overall expenditure in the sector rose last year, though this may not have been reflected in all businesses’ day-to-day operations.

Nationally, visitor numbers grew, largely due to an expansion in supply, while revenue gains were primarily driven by price adjustments to offset rising costs. However, this resulted in tighter profit margins for some businesses.

Despite these challenges, the market is expected to benefit from increased accommodation capacity and an expanding range of events and attractions, strengthening industry performance and business development.

While most attractions reported revenue growth, 44% of activity providers saw a decline, with a further 11% remaining flat. Price increases were largely in line with rising costs, though 28% of businesses reported price adjustments below cost increases, further squeezing margins.

Tourism
Paul Kelly, CEO, Failte Ireland.

Encouragingly, 44% of attractions and 38% of activity providers reported improved operating margins, forecasting a strong year. Although capacity limits at Dublin Airport remain an issue for overseas travel, the domestic market remains robust.

In summary, the Irish tourism sector is poised for a promising year ahead, with high visitor sentiment, strong domestic tourism and strategic initiatives aimed at sustainable growth and digital transformation.

YourDaysOut.com, recognised by Fáilte Ireland’s Digital that Delivers and the EU Just Transition digital transformation programme, provides an integrated booking system for events, activities, general admission, school tours, and birthday parties.

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