Christie & Co Issue 2018 Report on Hotel Performance in Spanish Coastal Resorts Including Balearic Islands and Canary Islands

Main Photo: The Cover of the Report

Date: June 2019

Location: Spain

Name: Spanish Hotel Market Resort Destinations Report on 2018

Who/What: Christie & Co, one of the major six global hotel specialists, have issued their annual report which analyses the main Spanish coastal resort destinations in the Mediterranean and the Atlantic, including Balearic Islands and Canary Islands, highlighting the development of their main hotel performance indicators in 2018.

Benefiting from the instability of Mediterranean competitors (Turkey, Tunisia and Egypt), the Spanish resort markets have experienced robust recovery with record numbers in demand, supply and profitability. Consequently, during the last years these markets have turned out as one of the main drivers of tourism growth in the country and, for two consecutive years, have seen a concentration of the majority of hotel investment volume in Spain.

Due to qualitative improvements in hotel supply, as well as the opening of new hotels focused on the luxury segment, hotel rates have increased, driving hotel performance consolidation in a more competitive environment. However, the recovery of the Mediterranean competitor destinations and the decrease in UK demand (the main international feeder market) due to Brexit, in addition to the effects of climate change, might affect future demand levels.

Throughout this report they analyse the economic, tourism and hotel framework of each resort destination, using public information sources that include: Exceltur, the National Statistics Institute (INE), AENA (Spanish Airports and Air Navigation), Ministerio de Fomento de España, and Alimarket, as well as Christie & Co’s sources.

Key Observations: 

DEMAND CONSOLIDATION: While international demand decreased mainly
due to the recovery of Mediterranean competitor markets, the domestic segment consolidated,
stabilising overall tourism demand
EXCELLENT AIR ACCESSIBILITY: There are 22 airports serving Spanish resort markets representing c. 73% of the total passenger volume in the country
REDUCTION OF SEASONALITY: Whilst resort markets are still seasonal, we note a decrease in the dependence on the high season
INCREASE OF THE FOUR AND FIVE-STAR CATEGORIES: Most of the hotel projects due to open in the coming years will be split between the four and five-star categories (98.4% of total room supply)
ADR AS THE MAIN PROFITABILITY DRIVER: During the last five years, RevPAR in resort
destinations increased significantly, sustained by ADR

Size: 24 page PDF

Cost: Free

Get a Copy: From Christie & Co, or from THPT

THPT Comment: Good solid report on Spain from Christie & Co.

First Seen: 

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