The problem of seasonality in the tourism of Cyprus is growing

One of the major problems facing the tourism industry in Cyprus is the problem of seasonality. The period of high tourist traffic runs from April to October with a peak in July and August. The over-concentration of foreign visitors over the summer season implies the non-optimal use of capacity of tourism businesses during the year and obstacles to the further development of the tourism industry of Cyprus. Therefore there is a need for the extension of the aforementioned period.

The problem of seasonality, may to some extent, be dealt with different forms of tourism such as: rural tourism, sports tourism, cultural tourism, religious tourism, spa tourism, etc. Incentives such as price differentiation are essential in reducing the problem. Some steps have already been made by the relevant administrative bodies. However the number of arrivals for the period of low tourist traffic has decreased by 30% compared with 1996.

In an effort to mitigate seasonality, identification of the country of origin of foreign visitors for each season of the year, investigation of the profile of these tourists (eg age, desires, preferences) and therefore identification of target markets for the period of low tourist traffic, has to be made. Marketing for example could target elderly people who have the ability to travel at any given time.

After processing the data for the period 1996-2006 using the Seasonal Decomposition analysis method, means of SPSS, it results that during the period 1996-2006 foreign visitors from Great Britain, Greece, Italy, Russia, the Middle East showed a preference for the month of August and from Ireland and Northern European countries showed a preference for the month of July. Foreign visitors from Germany and Switzerland showed a preference for the month of October, while the French for April. Germany, Greece and France seem like good target markets in the effort for enhancing the tourist traffic during the period of low seasonality. At the same time the administrative bodies concerned should focus on high priority markets such as Great Britain and Russia.

The diversification strategy of the''product mix''may in fact be closely linked with the strategy of market diversification. This is why it is important to find different target markets. In an effort to reduce the problem of seasonality systematic market research has to be carried out for all target markets and appropriate marketing plans tailored to the characteristics of each market.

In Cyprus, the Cyprus Tourism Organisation has come to comprehend the problems associated with seasonality and as such the most of the efforts for attracting visitors in the past few years have focused on new ways to address the issue. One example is ‘Agrotourism’ which offers the opportunity to visitors to experience the ‘true Cyprus’, especially during off-peak seasons and to mingle with the local inhabitants. Moreover, packages for long stay are offered at a very attractive price. This venture has been a great success but more has to be done in order to avoid dependence on seasonality.

Natasa Kapetaniou

Lecturer in Marketing Management

CIM