by Fewer tourists, higher prices and more revenue. In short, this is the trio that depicts the year 2022 in national tourism, the best ever for the coffers of the sector. Portugal is shedding its reputation as a cheap destination and the preliminary figures published yesterday by the National Institute of Statistics (INE) prove it.
Last year, national tourist accommodation added a record five billion euros to total income, which in addition to accommodation represents other costs associated with the stay of tourists, such as restaurants, laundries, tobacconists or communications.
This amount exceeded the final accounts for 2019 by 16.5% (4.3 billion euros), which until now was considered the best year for tourism in the country. Analyzing only the revenue from overnight stays in Portugal, it is also concluded that there was a 17.7% increase in revenue from accommodation, which totaled €3.8 billion.
And that record total came with fewer tourists, meaning each visitor paid more to stay overnight in the country. Between January and December 2022, the number of visitors to Portugal, 26.5 million, was still 2.3% below the pre-pandemic level, and so was the number of overnight stays, 69.5 million (-0, 9%). But even though fewer tourists entered the country, everyone spent more money. Proof was the fact that the income from tourist accommodation for 2019 was already exceeded in October, reaching 4.5 billion euros.
Prices soar in Alentejo and the islands
After the two-year interregnum that limited tourism activity due to the pandemic’s brake on the industry, strong demand was felt at the end of the first quarter of 2022 and boosted prices across the country, which, on average, rose by 14 %. . But it was the autonomous regions that stood out the most in advancing tariffs for the various types of accommodation.
Madeira led the way with a 35% increase in average revenue per available room (RevPAR), more than double the national average, reaching €59.7. The Azores recorded an increase of 22.3%, to 46.6 euros in this index.
On the mainland, Alentejo stood out with a RevPar advance of 22.7%, at €40.6, proving that the region’s growth trend during the coronavirus years is here to stay. On the other hand, the lowest price increases occurred in the North (+8%), Lisbon (+9%) and the Center (+11%).
The capital had the most expensive tariff in the country, 80.3 euros and the Center the cheapest, 27.5 euros. In this way, Lisbon was the region that earned the most income from tourist accommodation with €1.5 billion, while the Center took last place in the national top, with €388 million. The Algarve was the second destination with the highest total accommodation revenue, €1.4 billion. With larger increases in duties, Madeira, the Azores and the Algarve also took the highest increase in revenue compared to 2019, with increases of 30%, 24% and 27%, respectively.
The North American market continues to gain weight
Foreign tourists were mainly responsible for the largest share of overnight stays in Portugal last year, around 47 million, despite the country still receiving 5% fewer non-residents compared to pre-pandemic. The winner was the North American market, which had a total of 1.5 million visitors (+25% compared to 2019) and 3.4 million overnight stays (+27%). Tourists arriving from the United States already accounted for 7.5% of national tourism, making it the country’s fifth largest outbound market.
The first place was occupied by the United Kingdom, which last year accounted for 19.3% of overnight stays by foreigners, a total of nine million, still 4% below 2019. The Germans took second place, with 5.3 million overnight stays and share of 11.5 % in the country’s tourism, followed by the Spanish with five million overnight stays and a weight of 10.8% and the French, responsible for four million overnight stays and an expression of 7.5% in the total tourist activity pie.
Another point of reference for the expressive development of the shopping sources of the East. Overnight stays in the Czech Republic increased by 54% compared to 2019 (319 thousand) and Romania, with 269 thousand overnight stays, increased by 22%
The domestic market, on the other hand, continued to grow and explore the corners of the country, which translated into an 8.6% increase in overnight stays by residents. “In terms of overnight stays by non-residents, the main increases were observed in the Azores (+5.1%), Madeira (+4.5%) and the North (+4.3%) and, in the opposite direction, the largest reductions were observed in the Center (-13.1%) and the Algarve (-11.3%), explains the INE.
Passenger numbers are still below pre-pandemic levels
In a broader analysis of last year’s tourism activity, air transport figures confirm the trends seen in tourist accommodation. Foreign tourists arrived in the country mainly through national airports, but in smaller numbers than in 2019. Between January and December 2022, 217,600 aircraft on commercial flights landed at Portuguese airports (-4.5% compared to 2019 ) and 56.8 million passengers were transported (-5.6% compared to pre-COVID), according to the data of the statistical service.
The British also took the lead in the airport infrastructure and once again took the lead on the podium. The United Kingdom was, in 2022, the main country of origin and destination of flights to Portugal, after taking second place in 2020 and 2021. Overall, there was a 213.5% increase in the number of English disembarking passengers and 218.7% in the number of passengers boarded, compared to 2021, values that dethroned France, pushing it to second place in the table of the main countries of origin and destination of flights at national airports.
