New research from Fáilte Ireland has found the crucial summer tourism season was a disappointing one for more than half of operators here.
53% of those industry providers had fewer customers this summer than last, with 23% reporting similar levels and 24% recording more.
The data from the national tourism development authority also found that visitor volumes are down in all markets and in all regions of Ireland.
The challenging year to date is also reflected in both the domestic and overseas visitor market, with even the key North American market that underpinned much of last year’s growth struggling.
The latest Fáilte Ireland Tourism Barometer, which surveyed 1,002 tourism businesses, found a number of factors combined to lead to the disappointing summer.
These included bad weather, which was cited by just over half of operators as a concern.
Customers lacking disposable income was also referenced as a factor by half of those surveyed.
The cost of tourist accommodation and a lack of tourist accommodation were also referred to by more than four out every ten respectively.
The continued high levels of concern about rising operating costs were also an ongoing worry among those polled, including payroll, energy and insurance.
Businesses reported that the decline in visitor volumes coupled with rising costs have combined to give businesses significant challenges when it comes to operating profitably.
84% of food and drink firms said their profitability was down on last summer, while 78% of hotels and guesthouses reported the same.
Self-catering operators did manage to buck the trend though, with more than a third seeing increased visitor levels, compared to a quarter reporting a fall.
But 60% or more of food and drink businesses and activity providers said their business was down.
The outlook of operators for the rest of 2024 is equally not optimistic.
Half expect business levels to be down year on year, with 19% expecting visitor levels to be up and just under a third anticipating the same level.
The research shows that all regions of Ireland and all markets are expected to be down.
However, asked about reasons to be hopeful, many operators were buoyed by repeat visitors and others are becoming proactive with their marketing, investment in the business or diversification into new markets.
Rising costs though remain a big concern for firms in terms of their outlook.