Last trends and new perspectives of Spanish (1960-2015)

Jose Antonio Mateos Royo

University of Faculty of Economics and Business (Campus of Huesca)

[email protected] Tourism in : Tourism in Spain: economic and social perspectives

 Some reasons to follow this paper:  Importance of tourism as economic activity  to create employment  to attract foreign investment  to reduce commercial deficits

 Importance of tourism as strategy for “late comers” to capitalistic development: Mediterranean, Eastern Europe  use of “advantages of backwardness” (Gerschenkron)

 Dependence of tourism on:  historical evolution  resources and means  political and cultural background Tourism in Spain

 Example: Spain  world leader in tourism (2th country in arrivals)  essential for national development (1960-actuality)

Demography and Society (2017):  Actual population: 46.5 millions  Immigrants: 6.5 millions (2,3 from EU)  Urban population: 77%  Religion: Roman Catholics (94%), few practicants  Languages: Spanish (74%),Catalan (17%),Gallego (7%),vasco (2%)

Politics:  Arrival of democracy (1975-78)  Insertion into European Union (1985)  Political decentralization at regional level Tourism in Spain

 Economy:

 GDP/capita: 23,970 euros (92% EU average) (2016)

 Contribution of economic sectors: (2016) % Active % Sectors population GDP 1) Agriculture 4.6% 2.3% 2) Industry 13.9% 16.1% 3) Building 5.9% 5.1% 4) Services 75.6% 67.2% (69% NEW JOBS)

 Unemployement: 16.7% (2017)  State public debt: 98.1% GDP (2017)  Trade openness ratio = (Imp + Exp)/ GDP: 47.4% (2014)  Export/import coverage deficit: 84% GDP (2014) (66.8% in 2008)  Current account superavit: 1.7 GDP (2017) (-10% in 2007) (improvement of trade balance + tourism incomes)

Evolution of national tourism (1900-1990)

National Domestic tourism in Spain (1900-90) Evolution of national tourism (1900-1990)

 Beginning (1900-36) (Context: modernization process in Spain, 1920s)

 High-quality tourism (upper class)

 Season: summer

 Reason: relax, socialising, culture

 Environment: beach, spa Evolution of national tourism (1900-1990)

 Results:  Creation of some infraestructures  Private: around spas  Public: state hotels in historic buildings ()

 Fundation of public institutions  National Comission for Tourism (1905)  National Patronat for Tourism (1928)

 Goal: Promotion of “cultural” tourism (nationalism)  economic effects just considered from 1928 onwards (tourism: non-productive activity)

Evolution of national tourism (1900-1990)

 Autarchy (1939-51)+ light liberalization (1952-9)

 Persistence of previous aspects

 Reduction of “leisure tourism”  economic difficulties  moral restrictions

 Expansion of political and religious tourism  civil war tours (from 1938 onwards)  catholic pilgrimages Evolution of national tourism (1900-90)

 Stronger state intervention:

 Transport infraestructure:  slow increase of public investment

 Accomodation:  public regulation of private hotels  Goal: consumers’ protection  Mean: Fixing prices  Result: Reduction of owner’s benefits  increase of state hotels

Evolution of national tourism (1900-1990)

 Big change: tourist boom (1960-73)

 Beginning of “middle-class tourism”  Family  Special occasions (honey moon)

 Leisure tourism as social necessity

 Less attention from public authorities (especially if affecting mainlands) Evolution of national tourism (1900-1990)

 Seasonal tourism (summer, Christmas)

 Summer holidays:  Beach (new tendence):  Limited duration (one week, two weeks)  Stay in hotels, campings

 Mainlands (traditional tendence):  Longer duration, sometimes  Use of relatives´ accomodation  Peak: patronal festivities Evolution of national tourism (1900-1990)

 Results:  Increase of benefits for tourism  Promotion of tourist investment

 Massification of the coast  urbanization process  deterioration of environment  bad quality of tourist services  degradation of public services (water)

Evolution of national tourism (1900-1990)

 Continuity (1973-90)  Increasing popularity of tourism  Consolidation of “wellfare state”  Cultural affinity to western Europe  Improvement, diversification of tourist offer

 National tourists (% of all Spanish citizens)  19.8% (1973), 31% (1982)  44% (1985), 43.4% (1990), 58.4% (1995)

 Slow transformation of the previous model Evolution of national tourism (1900-1990)

 Descentralización process (1978-85) >> regions asumed the main competences on tourism >> diversification of tourist offer regarding regions Institutional changes:

 suppression of previous state control

 relevant intervention of municipalities

 slow coordination of administrations (local, regional, central)

 Erratic tourist policy until 1985-90 (new goals):  Reduction of seasonality>>  Promotion of domestic tourism (social tourism for pensionists –IMSERSO-)  Susteinability of environment Evolution of national tourism (1900-1990)

 High relevance of domestic tourism  Small difussion of international travels (economic, cultural factors)

 National destinations (% of all destinations): 96.7% (1973), 93% (1982), 87% (1987), 81% (1990) 86.4% (1992), 92.1% (1995)  National tourists (% of all visitors to Spain) 14.8% (1973), 20.7% (1982), 29.1% (1985), 18.8% (1987) 32.4% (1990), 22.3% (1992), 32.7% (1995) Evolution of national tourism (1991-2017)

National domestic tourism in Spain (1991-2017) Evolution of national tourism (1991-2017)

 National economic context:

 Building expansion and especulation (1996-2007): (Causes: legal reforms + easy access to credit) ↓↓↓  increase of domestic consumption

 increase of foreign investment

 improvement of accommodation offer:

 hotels:  slow increase (1987-95), fast (1996-2007)  medium class hotels: 1973: 60%; 2005: 75%  33% (2005) did belong to inter/national chains  other options: camping sites, rural houses  second residences

Evolution of national tourism (1991-2017)

Accommodation (2005) Number Number of beds %Occupation Hotels + pensions 17,607 1,587,620 50 camping sites 1,250 778,970 75 flats 173,662 605,570 25 rural houses 11,349 100,500 40 youth hostels 227 23,528 tourist complex 327 24,200

 Remarks: moderate % of occupation due to:  increase of accommodation offer  seasonality  reduction of nights of stay per tourist Evolution of national tourism (1991-2017)

 Increasing relevance of domestic tourism:

A) Contribution to the GDP 1995 2000 2005 1) 4.8% 5.8% 4.9% 2) Domestic national tourism 5.5% 5.8% 6.1% 3) Total 10.3% 11.6% 11%

(Total 1950: 2.3%, 1960: 5%, 1970: 8.4%, 1974: 9%) B) 12% of active population is involved in tourism

in holidays: 20% (1973), 31% (1982), 43.4% (1992), 58.4% (1995) Evolution of national tourism (1991-2017)

 Demographic and economic factors:

 reduction of family members (DINKS)  increase of retired persons (pensionists)

 increase of salaries/demand (until 2007)  more flexible calendar for holidays

 improvement of transport equipment  use of new technologies (internet)  increase of accommodation options  increase of tourist offer

Evolution of national tourism (1991-2017)

 Cultural factors:

 moderate interest on international travels  lack of tradition and culture (6% of travels by nationals in 2005: 75% to Europe)  big expenses on buying real property  own house  second residence (20,6% of families in 2000) (32-66 days of occupation / year)

 use of second residences for holidays: 40% of families (1995), 57% (1997), 62% (2000)

 places for holidays are re-visited every year  flats on the beach or in the mountains  house in small villages (relatives) Last trends and new perspectives of Spanish tourism (1991-2015)

 Character of domestic national tourism (2010):  transport: car (80%),train (10%),plane (5%),ship (2%)  reasons: holidays (60%), visit of family-friends (30%) job (10%), studies (5%)

 duration:4,3 days (short) (week-ends +50% of travels) (less than 20% of travels excedes 2 weeks)

 self organization:(package holidays↓)(exception:old people)  own accommodation (40%) (just 20% in hotels)

 lower expenses than international tourists (149 euros)  lower demand of tourist services Evolution of national tourism (1991-2017)

 Domestic tourism: Strategies:

 Reflexion about domestic national tourism (INTUR)>> sustainability

 expansion of tourist offer:  shorter duration than in precedent decades >> faster adaptation to the changing demand  public support >> cultural, rural tourism

 diversification of tourist offer:  to cover different market segments  pensionists  homosexuals  to cover different necessities:  sport, adventure (ski)  culture (exhibitions in cities) or studies (courses)  health (spa)  entertainment (temathic parks)

Evolution of national tourism (1991-2017)

 Positive results of domestic tourism:  reduction of dependence on foreign tourists

 reduction of seasonality (example: practice of winter sports) (example: public support for pensionists’ holidays, 1992)

 reduction of spacial concentration + promotion of inlands (example: public support for creation of rural hostels) (partial success: continuity of eastern coast + , increase of inlands, decrease of Balearic and )

 expansion of cultural tourism (massification of culture + reform of cultural patrimony) (87% of cultural tourism is domestic in 2005) (concentracion in cities: monuments, cultural events) Evolution of national tourism (1991-2017)

Evolution of national tourism (1991-2017)

 Impact of Spanish economy on domestic tourism:

Economic crisis (2008-13):  continuity of domestic tourism (as in 1974-82)  tourism as social necessity  Spain is nearer and cheaper (less travels abroad)  moral obligation (to support the Spanish economy)

 increasing self-organization (travels, accommodation)

 reduction of daily expenses per cápita (increase of VAT from 18% to 21%// september 2012)

 increasing use of family/friends’ accommodation Evolution of national tourism (1991-2017)

 Impact of Spanish economy on domestic tourism Economic recovery (2014-17)  Expansion of visits (5-6% more every year)  Increase of nights of stay/visit  Increasing expenses per tourist in destination

 Old tendences: model “sun and beach” to relax  Concentration in summer  More expensive  New tendences: expansion of urban tourism  Big cities (Madrid, , )  New destinations with tourist offers (Malaga)  Use of fast trains for long weekends

 Flexible offers of travel agencies (regional holidays) Evolution of national tourism (1991-2017)

 Domestic tourism (2015)  91.4% of travels  82.2% of stay nights (2.8 nights/ travel)  68.6% of tourist expenses  42 euros/day (if travel abroad, 90 euros/day)  Main destinations: , Andalousia,  Non-market accomodation:  64.3% of travels, 63.2 stay nights  28 euros/day (if hotel, 116 euros/day)  Reasons: holidays (47.1%), family visits (38.7%), professional (9.5%), others (4.8%) Evolution of national tourism (1991-2017)

 Relevant factors for domestic mobility:  cultural identity  personal safety  political stability  Example: Catalonia (october-december 2017)  Visits (9%↓) & hotels benefits (18%↓) (high-class)  Leisure tourism (17% ↓) (Imserso)  Friends & relatives visits (22%↓)  Personal purposes (19%↓)  Just business and Conference tourism increased  Reduction of prices>>expenses/tourist (7%↓)

Evolution of national tourism (1991-2017)

 Conclusions:

 Increasing importance of domestic tourism (recovery after crisis: +5% in 2015-17)

 Diversification of tourist offer

 Flexible adaptation to new circunstances

 Alternative to international tourism:  to maintain and expand the tourist business  to reduce tourists’ concentration (,season)