Not only has the Costa del Sol rebounded this summer in terms of tourist arrivals, it also remains at the top of Spain’s tourist areas in which establishments generate the most revenue.
In fact, Marbella, Estepona and Benalmádena are among the “Top 20” vacation destinations in the country that recorded the highest revenues during the last high season, as just published by the Alliance for Tourism Excellence (Exceltur) in its latest barometer of profitability and employment in Spain’s top 100 tourist destinations.
Specifically, Marbella comes second in the ranking, with an average of 197 euros per room between June and September, behind Ibiza, which leads the way with 198 euros.
Estepona, with 181 euros, is in fourth place, while Benalmádena is in 15th position, with 119 euros per room and an increase of 17%.
The barometer highlights that vacation destinations on the Mediterranean coast and archipelagos are recording the best results in terms of revenue levels and increases over 2019 during the summer, with an increase in RevPAR, an indicator that measures profitability, of 12.2% over 2019 levels, averaging 102.9 euros.
They also point out that the destinations with the best tourism product proposition and with the highest revenue levels are those that close out a better summer 2022, and highlight “strong revenue increases in Costa del Sol destinations, with Marbella, with a 28.4% increase in revenue per room (RevPAR) compared to 2019 and Estepona, with a 70.8% increase”.
Exceltur warns that the improvement in revenues has not translated proportionally into improved results, due to the sharp rise in energy and supply costs and, to a lesser extent, wage costs.
Indeed, they put the increase in prices at 15.8% compared to the year before the pandemic, and explain that this is less than the rise in average costs.
According to the latest survey by the tourism lobby, energy costs have risen by 32.8%, other supplies by 18.1% and labor costs by 10.4%.
“This summer’s price increase is not just a response to the need to pass on rising costs. Summer 2022 also reflected the results of the product improvement efforts made by certain companies and operators in recent months, which have had a significant impact on the competitive evolution of certain products and destinations, showing the relevance of betting on renewal and repositioning with new products”, they emphasize.
Urban destinations
In the ranking of urban destinations, the Costa del Sol capital also features in the top spots.
The barometer points out that it occupies the position, with 119 euros of revenue per room on average, which represents an increase of 22.3% compared to summer 2019.
It is ahead of San Sebastian, with 170.4 euros, Barcelona, with 145 euros, Palma de Mallorca, with 124 euros, and Cadiz, with 117 euros.
However, it is in Malaga that prices have risen the most among the cities at the top of the urban barometer.
“Cities close this summer 2022 with a revenue-per-room level of 91.4 euros on average, 7.2% up on the 2019 level, placing it below that of vacation destinations. The improvement in revenues stems mainly from the strong recovery in summer stays, city breaks and the congress and events segment from September onwards, which enabled prices to recover with a 12% rise to meet the general increase in costs, in a context of occupancy slightly below pre-pandemic levels, around 4.3% lower, due to the lack of recovery in certain long-haul markets, mainly in Asia,” they explain at Exceltur.
