The time when Portugal was known as a cheap destination is long gone. After the pandemic, even with fewer tourists, the country collected a record tourist income in 2022. And the trend continues this year with the bill of hotels, rural tourism or local accommodation (AL) weighing more heavily on the wallets of those who want to stay overnight in the national territory.
In June, prices increased by 11.6% compared to the same period of 2022. To understand the evolution, the average income per available room (RevPAR) in tourist accommodation in the country in that month was 78.1 euros, which is equivalent to with the registered 70 euros in 2022. Looking at the same timeline in 2019, the pre-pandemic year, a night cost an average of 62.1 euros in the sixth month of the year.
Data released yesterday by the National Institute of Statistics (INE) shows that Lisbon is the most expensive region in Portugal, with a RevPar of 116.7 euros, representing a price increase of 14.2% compared to 2022.
Despite being the area of the country where prices have risen the least (+7.2%), the Algarve is the second most expensive region on the national map, with an average rate of €88.1. But the biggest price increases were recorded in the Azores and in the north. Spending a holiday in the Azores archipelago was 19% more expensive until June and cost 79.8 euros. The North, on the other hand, saw rates rise by 16.6% to EUR 65.7 per night.
Conversely, the Center remains the cheapest option in Portugal, with a RevPar of EUR 32.4, despite the 12.8% increase. On the other hand, Alentejo went against the national trend and registered a decrease in the price of accommodation per night by 0.7% to 50.8 euros. It should be remembered that the pandemic has sharpened demand for the destination, causing prices to rise by 30% (39 euros in 2019 and 51.1 euros in June 2022).
Record earnings through June
The more expensive guest bill was also reflected in higher revenues for accommodation, which recorded a record €2.5 billion in total revenues in the first half of the year – adding to accommodation the other expenses inherent in stay-over tourists , such as catering and laundry. After all, hotels and LA, for example, generated 31.8% revenue above 2022 and 38.3% more compared to the same period in 2019.
Income from accommodation, which only relates to income from overnight stays, also rose by 34% to EUR 1.9 billion. As the most expensive destination in the country, Lisbon was also the champion in terms of turnover, with €856 million in total revenues in the first six months of the year, 41.9% more than in 2022.
Added up is the Algarve, with 571 million euros in total revenue (+19.4%). The North occupies the third position as the region with the highest turnover, a total of 404 million euros (+35.7%). The lowest income was recorded in the Azores, with 73 million euros (+34.5%).
Overnight stays exceed pre-pandemic
Accounts for tourist activities are fine and recommended. And everything indicates that 2023 will be another milestone for the sector in the country, with new records on all indicators. As revenues increase, so does the return of tourists. INE data also revealed that, for the first time since the start of the pandemic, overnight stays (total and non-residents) were higher in the first half than in 2019. 13.6 million guests (+21%) and registered 34 million overnight stays (18.8%).
Compared to 2019, the number of guests has increased by 11% and the number of overnight stays by 11%. In regional terms, only the Algarve recorded decreases, both in overnight stays by residents (-3.1%) and non-residents (-0.3%).
Source: DN
