Famous restaurateur on the big problem of the Adriatic: 'We have too many restaurants, half of them need to be closed'
The tourism season in Croatia is reaching its peak, but there is growing concern among hospitality providers about the saturation of the coastal areas, particularly along the Adriatic coast. According to data from the Tax Administration, the number of invoices issued by restaurants increased by 5.5% compared to last year, while total spending rose by 8%. However, some hospitality owners argue that despite these figures, many terraces remain half-empty and guests are spending less than before. Marin Medak, a restaurant owner, claims that too many seasonal dining establishments have opened along the Adriatic in recent years, often of questionable quality, leading to oversupply. He suggests that half of these locations should be closed, arguing that they were never necessary. Medak also points out that restaurant prices in Croatia are roughly average compared to the European Union, but high tax rates, especially VAT, significantly increase costs. He calls on the government to reduce taxes first, which would allow businesses to lower their prices.
Marin Medak, a well-known restaurant owner in Croatia, has raised concerns over the oversupply of restaurants along the Adriatic coast, suggesting that half of them should be closed due to poor quality and excessive numbers. Despite data from the Tax Administration showing increased spending in the hospitality sector compared to last year, some restaurateurs complain about underutilized terraces and lower guest consumption. According to Medak, the issue lies not with a lack of customers, but with too many seasonal dining establishments of questionable quality along the coastline. The Tax Administration's figures for June and the first half of July indicate a rise in the number of issued bills, increasing from 74 million to 78 million, a 5.5 percent increase compared to the same period last year. The total value of these invoices rose by eight percent, reaching nearly 1.1 billion euros, compared to just over one billion euros during the same period last year. Minister of Tourism and Sport Tonči Glavina highlighted that Croatia ranks fourth among European countries in terms of successful tourism performance during the first five months of this year, according to research by the European Travel Commission. According to Medak, the situation on the Adriatic differs significantly from the rest of Croatia. He argues that complaints about weaker traffic primarily concern seasonal objects along the coast. "The Adriatic is one of the most visited regions in the Mediterranean, but in recent years, too many seasonal catering establishments have opened there, often of questionable quality," he stated. "Those who are complaining today are precisely the ones who are most affected." He estimated that the supply of dining venues along the coast is excessive. "I would say that half of these locations should be closed, or they shouldn't have been opened in the first place. Simply, too many catering establishments have opened on the Adriatic," he added. Comparing this with restaurants on the continent which operate all year round, Medak noted how challenging it can be to survive throughout the entire year in Zagreb. "We work 365 days a year in Zagreb, and it's very hard to make it through the whole year. For the first five or six months, we often operate at a loss," he remarked. Regarding prices, Medak claims that they are not above the European average. He attributes a 5.8 percent price increase in the past year to inflation and rising raw material costs. However, he identifies high tax burdens as the main problem. "One of the main reasons for the increase in prices is extremely high taxes. If we had the same VAT rate as Italy, restaurants could be ten percent cheaper than the European average," he argued. In response to calls from the government to reduce prices, Medak urged the government to take the first step. "Let the government reduce taxes, and then we will reduce our prices. That’s very simple," he said. He emphasized that Croatia lacks a clear strategy for developing tourism and suggested that the needs of the Adriatic and continental parts of the country should be considered separately. Medak warned about the highly demanding nature of opening a restaurant, noting a high failure rate, especially in the first few years of operation. Many enter the industry with unrealistic expectations and later realize how demanding it is, leading to poor service and damaging the reputation of the entire sector. "If the customer is satisfied with the service, then the price isn’t too high," he stated. Commenting on the earnings of waiters, Medak mentioned that the average waiter earns more than 3,000 euros per month including tips. He stressed that this is a difficult job and should be adequately compensated. Tips, he said, reflect customer satisfaction. "If a guest leaves a tip, it means they were satisfied with the service." Medak also pointed out that purchasing ingredients in Croatia is more expensive than in Italy or Slovenia, prompting many restaurant owners from the Adriatic to travel to Italy to buy supplies. He concluded that Croatia cannot afford to have significantly lower prices than the rest of Europe since operational costs are already high.
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According to data from the Tax Administration, restaurant spending in Croatia has increased compared to last year, but some restaurateurs complain about underfilled terraces and lower guest numbers. Marin Medak, a restaurateur, argues that the issue is not a lack of customers but rather an oversupply of low-quality seasonal restaurants along the Adriatic coast. He claims that half of these establishments should not have been opened due to excessive competition. Medak highlights that restaurant prices are not above the European average, attributing price increases mainly to inflation and high taxes. He suggests that reducing VAT rates could make Croatian restaurants more competitive. Additionally, he warns about the challenges of running a restaurant, noting high failure rates and unrealistic expectations among new entrants.
Bias read (Center): The article presents both perspectives: the increase in restaurant spending according to tax administration data and the complaints from restaurateurs about overcompetition. It includes quotes from Marin Medak criticizing the number of restaurants and suggesting tax reductions, while also mentioning
Marin Medak, a Zagreb-based restaurateur, discusses the challenges faced by the hospitality industry along the Adriatic coast during the summer season. He highlights that while tax authorities report increased consumption and restaurant activity compared to last year, many seaside restaurants are struggling with low customer turnout. Medak argues that the region has an oversupply of seasonal dining establishments, many of which are of questionable quality, leading to competition for customers and financial strain on operators. He estimates that half of these locations should be closed due to excessive supply. While he notes that restaurant prices in Croatia are around the European average, he attributes rising costs primarily to high taxes rather than inflation or raw material prices. Medak calls on the government to reduce taxes first, suggesting this would allow restaurants to lower their prices. He also emphasizes the importance of fairly compensating waitstaff, noting that average earnings with tips exceed €3,000 per month.
Bias read (Center): The article presents Marin Medak’s perspective on the challenges facing the hospitality sector, including issues like over-supply, taxation, and labor compensation. It includes both his criticisms of current conditions and his call for government action. The framing remains balanced, presenting his
The tourism season in Croatia is reaching its peak, but there is growing concern among hospitality providers about the saturation of the coastal areas, particularly along the Adriatic coast. According to data from the Tax Administration, the number of invoices issued by restaurants increased by 5.5% compared to last year, while total spending rose by 8%. However, some hospitality owners argue that despite these figures, many terraces remain half-empty and guests are spending less than before. Marin Medak, a restaurant owner, claims that too many seasonal dining establishments have opened along the Adriatic in recent years, often of questionable quality, leading to oversupply. He suggests that half of these locations should be closed, arguing that they were never necessary. Medak also points out that restaurant prices in Croatia are roughly average compared to the European Union, but high tax rates, especially VAT, significantly increase costs. He calls on the government to reduce taxes first, which would allow businesses to lower their prices.
Bias read (Center): The article presents both statistical data showing growth in the tourism sector and concerns raised by hospitality owners about over-saturation and high taxes. It includes quotes from both official sources (Tax Administration) and private individuals (restaurant owner), providing balanced viewpoints
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