Digital Transformation in Tourism SMEs: A Strategic Imperative in the Evolving Business Landscape

This paper aims at exploring the impact of digital transformation on firm performance in the tourism sector, one of the early sectors that got use of new digital technologies and platforms. Firm performance, measured in terms of turnover and employment growth, is defined both as realized value - over the 2016–2019 years - and as expected value for the years to come. The empirical analysis, based on data taken from the Flash Eurobarometer Survey of the European Commission, highlights that, by adopting digital technologies and undertaking a clear strategic plan for the future, tourism firms can significantly enhance their performance. The most successful firm profile corresponds to that of firms that already adopt digital technologies and also undertake a digital plan for the future, indicating that the digital transformation is a strategic imperative for tourism SMEs. Some policy implications conclude the work. JEL Classification: C25; D22; L25; L83; 033; Z30.