Innovative Channels to Show Visitors the Most Outstanding Aspects of Spanish Culture and Cuisine: Paradores UNWTO INTERNATIONALCONFERENCE ON TOURISM AND HERITAGE PROTECTION Mandalay, Myanmar, June 12, 2014 PARADORES DE TURISMO DE ESPAÑA, S.A. A Model of tourism innovation through hotel management PARADORES, A MODEL OF HOTEL MANAGEMENT Castle of Sigüenza before its transformation into a Parador 2 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Sigüenza Today 3 PARADORES, A MODEL OF HOTEL MANAGEMENT Sustainable development Parador de Mazagón Parador de Malaga Golf 4 PARADORES, A MODEL OF HOTEL MANAGEMENT Who are we? 5 Our mission and our history Company background 1.Created in 1928 as an instrument of the Government’s tourist policy LA SATISFACCIÓN(11% GDP). DEL TRABAJO BIEN HECHO. 2.Its equity belongs wholly to the Spanish State. Nuestros Paradores están totalmente3.Today, the Paradores chain is a reflexion of the changing priorities over preparadostime y of this tourist policy. equipados especialmente4.Current para policy of historical heritage preservation through hotel celebrar tusmanagement congresos, dates back to the seventies. convenciones, seminarios5. yVery particular asset structure: buildings are the property of the Spanish reunionesState de trabajo and managed by Paradores, as a concession. de distintas magnitudes. PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores Today Currently, the Company operates with modern business standards, 95 establishments throughout the landscape of Spain 8 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores Offer: 95 hotels Parador de Bayona 9 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores Offer: 47 of them located in Heritage buildings 13 Palaces & 12 Castles 9 Convents & 3 Monasteries 3 Ancient Hospitals 7 Historical Buildings Parador de Santo Estevo 10 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores Offer: Modern buildings built as Traditional ones Parador de LaSanto Gomera Estevo 11 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores Offer: Natural surroundings Parador de Aiguablava 12 PARADORES, A MODEL OF HOTEL MANAGEMENT Beginning in 1928 with 30 vacancies… Parador de Gredos 13 PARADORES, A MODEL OF HOTEL MANAGEMENT … and Today Parador de Gredos 95 Paradores all around 9,700 vacancies Workforce of 3,500 Spain employees 14 PARADORES, A MODEL OF HOTEL MANAGEMENT 7 New Projects Muxía (A Coruña) Estella (Navarra) Morella (Castellon) Lleida Molina de Aragon (Guadalajara) Veruela (Zaragoza) Ibiza 15 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores de Turismo is a Public Company which serves the Government as a Tourism Policy Instrument 16 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores as an Instrument of Government Tourism Policy 1. Recovering and enphasizing the value of Spanish Artistic Heritage 2. Serving as an example of Internationally Dynamic and Quality Tourism 3. Boost touristically Underdeveloped Areas 17 PARADORES, A MODEL OF HOTEL MANAGEMENT Ranking position of Spanish Tourism Industry Spain is the Second largest earner worldwide and the First in Europe (US$ 56 billion) Spain is ranked 4th in the world by International Tourist Arrivals with 58 million visitors in 2012 18 PARADORES, A MODEL OF HOTEL MANAGEMENT Spanish Tourism in figures (2012) 7% 55,594 7% 5.7% 57.7 2.7% 86% Expendidure Tourists KEY FIGURES HOSPITALITY DEMAND DISTRIBUTION AVERAGE DAILY LEISURE & 108 € RECREATION EXPENDITURE BUSINESS & AVERAGE EXPENDITURE PER PROFESSIONAL TOURIST 966 € OTHER AVERAGE LENGTH OF STAY 8.9 nights Europe (93%): Germany, United Kingdom, France, Italy and Leisure is the main purpose of visits for international tourists Russia. with Canary Islands, Catalonia, Balearic Islands, Madrid, Andalusia and Valencia accounting for the majority of tourist America (4%) and Rest of the World (3%). traffic in this category. 80% of international tourists have been to Spain in the past and Business tourists are the primary drivers of hotel demand in 39% have been 10 or more times. Catalonia and Madrid, with about 60% of total business Very high level of tourist satisfaction: 8.5 points out of 10. travellers. 19 PARADORES, A MODEL OF HOTEL MANAGEMENT Tourism in Spain and Paradores Paradores de Turismo PARADORES DE TURISMO GROWTH The first quarter of 20th century in Spain, the hotel supply was small 94 95 83 86 88 86 and focused on luxury tourism. 1928: Creation of the Official Tourism Board as a promoter of Spanish tourism abroad whose most notable performances were: 35 25 Creation of a public accomodation network for middle class 16 tourism: and improve Spain’s international image. Paradores de 1 Turismo de Gredos, first in the network. Publication of the first official Hotel guide that registered 1,200 1928 1930 - 1940 - 1950 - 1960 - 1970 - 1980 - 1990 - 2000 - 2010 - establishments. In 2012, Spain had 19,149 Hotels with 1,838,958 1939 1949 1959 1969 1979 1989 1999 2009 2013 rooms. INTERNATIONAL TOURIST ARRIVALS GROWTH (000) 75,000 57,900 55,660 57,190 International tourist arrivals 47,900 Since 1959, the tourism sector has represented and represents 33,900 today a key sector for the Spanish economy, for its contribution to 21,270 22,500 the GDP (11%), Employment and Leveling of the Balance of Payments. 5,170 278 39 457 Today, Paradores is the leading hotel company in cultural and natural tourism in the Spanish Tourism Industry, which helps to 1930 1945 1950 1960 1970 1980 1990 2000 2005 2008 2012 E2020 project a high quality image abroad. 20 PARADORES, A MODEL OF HOTEL MANAGEMENT Paradores as a PROMOTIONAL Instrument of Tourism Policy INTERNATIONAL NATIONAL ACTIVITIES ACTIVITIES Cooperation with State Organisms, Cooperation with State Organisms Regional and Local Governments, (TourSpain and ICEX) abroad and Foundations and others. international fairs. Promotion of Traditional Gastronomy Promotional actions of Spanish and national products. Gastronomy in more than 40 countries Participation in fairs and shows such as worldwide. FITUR, MILÉSIME AND MADRID FUSION. 21 PARADORES, A MODEL OF HOTEL MANAGEMENT HATTORI SCHOOL, Japan 22 PARADORES, A MODEL OF HOTEL MANAGEMENT Our last Openings PARADOR DE PARADOR DE PARADOR DE LORCA CADIZ CORIAS 23 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Lorca Castle declared Monument of Cultural Interest in 1931 24 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Lorca, Synagogue Meeting Point of three cultures: Islamic, Jewish and Christian 25 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Lorca OPENING DATE JULY 2012 FEATURES 69 ROOMS RESTAURANT & BAR 5 MEETING ROOMS SWIMMING POOL SPA NUMBERS OVER 10,000 ROOMS SOLD MORE THAN 32,500 RESTAURANT CUSTOMERS TOTAL REVENUE SINCE OPENING 2,300,000 € 26 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Cadiz 27 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Cadiz OPENING DATE AUGUST 2012 FEATURES 124 ROOMS RESTAURANT & BAR 9 MEETING ROOMS SWIMMING POOL SPA NUMBERS OVER 33,000 ROOMS SOLD MORE THAN 40,000 RESTAURANT CUSTOMERS OCCUPANCY RATE 2013: 76.20% TOTAL REVENUE SINCE OPENING 7,000,000 € 28 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Corias 29 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Corias OPENING DATE JULY 2013 FEATURES 43* ROOMS RESTAURANT & BAR 8 MEETING ROOMS INDOOR SWIMMING POOL SPA NUMBERS 1,786 ROOMS SOLD MORE THAN 4,000 RESTAURANT CUSTOMERS OCCUPANCY RATE 2013: 99.83% TOTAL REVENUE SINCE OPENING 320,000 € 30 PARADORES, A MODEL OF HOTEL MANAGEMENT Case Study: Parador de Ronda 31 PARADORES, A MODEL OF HOTEL MANAGEMENT Case Study: Parador de Ronda Opening Date: 1994 1. JOB CREATION Rooms: 78 Conference Rooms: 3 1994 2012 Total Revenue in 2012: 4,378,922€ Permanent Staff 27 37 Seasonal Staff 14 6 Staff Expenses 1,225,295€ 2. GUESTS 1996 2012 Bookings: Direct/Indirect 13,774 / 8,960 19,097 / 22,349 Nationality Spn / Internationl 6,104 / 16,630 15,898 / 26,849 Occupancy rate 65.67% 77.91% 32 PARADORES, A MODEL OF HOTEL MANAGEMENT Case Study: Parador de Ronda 3. HOTEL OFFER 1994 2011 Hotels in Ronda 9 52 Capacity 676 1,862 Tourists 70,000 190,000 4. POSITIVE EFFECTS ON THE CITY Increase in visitors Increase in Hotel Offers Population growth and decrease in unemployment Increase in activity within the Services sector 33 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Oropesa 34 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Oropesa 35 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Leon 36 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Leon 37 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Granada, located in La Alhambra 38 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Granada, located in La Alhambra 39 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Alcala de Henares, located in a World Heritage Site 40 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Alcala de Henares, located in a World Heritage Site 41 PARADORES, A MODEL OF HOTEL MANAGEMENT Parador de Alcalá de Henares, a modern spa facility 42 PARADORES, INNOVATIVE CHANNELS TO PROMOTE SPANISH GASTRONOMYMomentos para desconectarGastronomy represents 50% of our annual turnover. One of the biggest restaurant business in Europe: •248 points of sale. •91 high level restaurants PARADORES, INNOVATIVE CHANNELS TO PROMOTE SPANISH GASTRONOMY 44 PARADORES, INNOVATIVE CHANNELS TO PROMOTE SPANISH GASTRONOMY Dos Reis Restaurant, Parador de Santiago de Compostela 45 PARADORES, INNOVATIVE CHANNELS TO PROMOTE SPANISH GASTRONOMY Dos Reis Restaurant, Parador de Santiago de Compostela 46 PARADORES, INNOVATIVE CHANNELS TO PROMOTE SPANISH GASTRONOMY Dos Reis Restaurant, Parador de Santiago de Compostela 47 PARADORES, INNOVATIVE