Reservations the Croatian Way: Own Goals of Renters and Hoteliers

The peak of the tourist season surprised even the renters on the Adriatic. When tourists flocked and began searching for an extra bed, they suddenly started canceling early reservations at the last minute, as they could now cash in significantly more money for their 'zimmer frei'. From their perspective, this is normal – they need to earn money for the whole year in just two months! And this after the dry year of 2020.

Therefore, Croatia, this year’s European tourism champion, is also receiving negative publicity, primarily on 'online 

platforms. Before the pandemic, as much as 40 percent of guests came to Croatia through Airbnb, Booking, Expedia Group, or TripAdvisor. If Croatia becomes an unreliable destination for them, we could face a long-term problem.

However, no one in the government takes this seriously. There is no public apology to the affected parties, nor promises that measures will be taken to prevent this from happening again. Prime Minister Plenković convened key people from the tourism sector this Tuesday solely due to tourism during the pandemic. And tourism inspectors are focused only on pandemic measures.

Tourism Minister Nikolina Brnjac merely stated that canceling early reservations does not leave a good tourist image, directs the affected to legal proceedings, and believes 'that such things should not happen on our coast anymore'. The Croatian Tourist Board even 'was not aware of such unfair practices by renters'. No one even mentions the possibility that the state should also take some measures, from monetary fines to yellow and even red cards for such renters.

Unlike the renters who do not respect reservations, the owner of the Cele hospitality establishment in Dubrovnik Tomislav Ivušić has introduced 'reservations', or a minimum mandatory consumption of 300 kuna per table. He is annoyed by guests who want to sit on Stradun and watch passersby for three hours while sipping tea or coffee, even though the uncomfortable wooden chairs and benches do not encourage long sitting. In any case, the provision that comes into effect every day after 9 PM is equivalent to Ivušić’s 13 espressos (at 23 kuna each), or 12 teas or bottles of mineral water (at 26 kuna each), nine juices (at 35 kuna each), five to seven glasses of wine (at 44 – 58 kuna each), three to four cocktails (at 77 – 115 kuna each)… The law of supply and demand is cursed. There is no doubt that Ivušić will maximize income and profit with this move. At least in the short term. If such a practice of squeezing positional rent to the extreme continues, cruise passengers will receive instructions before disembarking in Dubrovnik: 'Avoid hospitality establishments on Stradun!' If negative PR on 'online 

platforms is added to this, then there will no longer be 'table reservations of 300 kuna' and no one will even think of canceling early accommodation reservations; if they even exist at all.