Spain’s National Institution of Statistics (INE) released the Hotel Tourism figures for May 2024 showing hotel stays in Spain saw a notable rise in May 2024.
Key Findings:
- Hotel stays in May increased by 11.1% compared to the same month in 2023, surpassing 35.7 million.
- The Hotel Price Index rose by 8.1% annually.
- Hotels earned an average of €111.70 per occupied room, a 9.2% increase from May 2023.
- This growth was driven by an 8.1% increase in stays by domestic travellers and a 12.3% increase by international visitors.
Yearly Growth Rate of Overnight Stays:
During the first five months of 2024, hotel stays increased by 8.2% compared to the same period in the previous year. Domestic travellers’ stays rose by 1.1%, while those of international travellers climbed by 12.2%.
Destinations:
In May, the top destinations for domestic travellers were Andalucia (21.2% of total stays), Catalonia (14.1%), and the Valencian Community (12.6%). For international travellers, the leading destinations were the Balearic Islands (30.5%), Catalonia (18.9%), and the Canary Islands (18.5%).
Mallorca recorded the highest number of overnight stays, with over 6.3 million. Barcelona, Madrid, and Calvià were the top tourist spots with the most overnight stays.
Overnight Stays by Country of Origin:
Travellers from the United Kingdom and Germany accounted for 26.1% and 19.0% of the total overnight stays by international visitors in May. Stays by travellers from France, the Netherlands, and the United States represented 9.8%, 5.4%, and 5.0% of the total, respectively.
Hotel Occupancy:
In May, 61.7% of available hotel beds were occupied, marking a 7.8% annual increase. Weekend occupancy rose by 5.7%, reaching 67.7%.
The Balearic Islands had the highest occupancy rate at 71.6%. Palma Calvià led in occupancy by area at 76.2%, with a weekend occupancy of 80.9%. Zarautz had the highest occupancy rate at 84.3%, and Sóller had the highest weekend occupancy at 84.8%.
Hotel Prices:
The Hotel Price Index increased by 8.1% in May compared to May 2023. The largest price increase was seen in the Community of Madrid (17.1%), while Navarra had the smallest increase (2.8%). One-star silver establishments saw the highest price hike (10.1%).
Hotel Sector Profitability:
The average revenue per occupied room (ADR) was €111.7 in May, a 9.2% rise from May 2023. The average daily revenue per available room (RevPAR), influenced by occupancy rates, reached €78.0, a 15.6% increase.
By category, the ADR was €274 for five-star hotels, €114.2 for four-star hotels, and €85.4 for three-star hotels. The RevPAR for these categories was €193.1, €87.9, and €61.4, respectively.
Marbella had the highest ADR at €209.7, while Barcelona had the highest RevPAR at €175.
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Why mass tourism protests are good news for hoteliers
Mass tourism protests in Spain are increasingly focused on the housing crisis, as the lucrative tourist apartment market has exacerbated housing shortages, driven out local residents, and hollowed out historic urban areas.
This presents an opportunity for hoteliers to benefit from a shift back to traditional hotel accommodation, a trend supported by the statistics above. Holidaymakers will still make their way to Andalucia for their breaks, so providing accommodation choices which do not adversely impact local residents’ ability to live in their own town or city will be seen as a positive.
Read: Hospitality investment in Spain on the rise
The Barcelona mayor’s recent announcement to not renew licenses for the city’s 10,000 legal tourist apartments after 2028 highlights the growing pushback against tourist rentals. Other cities are expected to implement similar measures in the future.
The University of Málaga (UMA) is conducting a study on the impact of tourist rentals on the housing market, with results expected by the end of the year.
As the protests against tourist apartments grow and policy changes take effect, a shift back to hotel stays can provide a sustainable solution to the housing crisis while maintaining the economic benefits of tourism.
Data source: National Institute of Statistics
