Tourism Statistics 2009

Transcription

1 Edition 2010

2 TECHNICAL INFORMATION Title Editor Statistics Portugal Av. António José de Almeida Lisboa Portugal Tel.: Fax: President of the Administration Board Alda de Caetano Carvalho Design and composition Statistics Portugal ISBN Legal Deposit no /10 Frequency: Monograph Price: Free of charge Statistics Portugal in Internet: INE, I.P., Lisbon Portugal, 2010* Apoio ao cliente *Reproduction of any pages of this book is authorized, except for commercial purposes, provided citing Statistics Portugal, author, title, edition year, and the reference Lisbon - Portugal

3 INTRODUCTORY NOTE 3 The 2009 issue of Tourism Statistics keeps the main contents on tourist activity in its different fields, such as accommodation capacity, guests and overnight stays, as well as revenue from collective accommodation establishments classified as being of tourist interest by Portugal s National Tourism Authority (TP). This publication was based on data from the survey on guest stays and other hotel data and similar surveys on camping sites, holiday camps and youth hostels, all conducted by Statistics Portugal. Results are also released for the travel survey of residents, which is a statistical operation launched by Statistics Portugal in 2009 to replace the previous survey on tourism demand by residents. This change stemmed from a need to render the methodology for surveying tourism demand more adequate to new information requirements in this area. In Tourism Statistics use is also made of data from a number of sources, namely Eurostat, the World Tourism Organization (UNWTO), Turismo de Portugal, I.P. and Banco de Portugal (the Portuguese national Central Bank), as duly referred to throughout the publication. The final chapter presents the methodology and concepts underlying the different surveys, which serve as the basis for the information published. Statistics Portugal would like to thank all entities that have contributed to this publication and emphasise the important cooperation from all survey respondents. It also welcomes all comments and suggestions from users, which will play a role in improving future issues.

4 4 EXECUTIVE SUMMARY According to data from the World Tourism Organization (UNWTO), in 2009 international tourist arrivals totalled 880 million worldwide, i.e. 39 million less than in In 2009 there was a year-on-year fall of 4.2%, and a reversal of the upward trend of international tourist arrivals which went on from 2004 to Over the year, the pace of the decline in the above arrivals slowed down progressively, and the year ended with positive changes. In 2009 overall results for worldwide tourist arrivals declined globally, except in Africa. Europe, which had stagnated in 2008, saw its activity decline by 5.6% by the end of In turn, tourist arrivals in the Middle East, which had recorded two-digit growth, contracted by 5.4% in The Americas, affected by the economic crisis in the main local outbound markets, recorded a 4.7% reduction in tourist arrivals, while the Asia-Pacific region saw its activity drop by 1.7%. According to the Tourism Satellite Account (TSA), in 2009 tourism demand, as measured by expenditure on tourism consumption, is expected to decline by 5.0% in nominal terms, to reach 16.5 billion. Simultaneously, tourism supply, as measured by tourism value added, is likely to decrease by 4.8%, moving closer to 7 billion. The Portuguese balance of tourism for 2009 showed year-on-year declines by 7% in income from tourism ( 6,918 million) and 7.7% in tourism expenditure ( 2,712 million), amounting to a balance of 4,206 million, i.e. -6.6% in comparison with According to the early results of the travel survey of residents, which specifically observes tourist trips by residents to a destination outside their usual environment, both to Portugal and abroad, in % of the population residing in the national territory made at least one trip implying at least one overnight stay outside their place of usual residence. Travelling for Leisure, recreation and holidays purposes reached 29.1% and Visiting relatives and friends 17.7%. In Portugal approximately 18 million tourist trips were made in 2009, 89.5% of which within national territory and the remaining around 1.9 million to a foreign destination. Around half of the trips (51.2%) were for Leisure, recreation and holidays, followed by Visiting relatives and friends, accounting for 37.7% of the trips. Business and professional trips totalled approximately 1.6 million (8.6%). Trips made by residents totalled 80.2 million overnight stays outside their place of usual residence. Private accommodation was the most popular, accounting for 73.9% of total overnight stays. Accommodation provided without charge by relatives or friends was predominant among overnight stays associated with Visiting relatives and friends, and accounted for 85.4% of the total, in contrast to Business and professional trips, where this type of accommodation only recorded 12.3% of the total. Overnight stays in hotels and similar establishments corresponded to 20.9% of the total, these representing the most popular means of accommodation in Leisure, recreation and holidays trips, with 26.7%. In the wake of the international economic crisis, over the year tourism activity was overall negative on the accommodation supply side. In July 2009, 465,187 bed places were available in all types of accommodation, which meant a 2.3% year-on-year decline. Hotels, camping sites, holiday camps and youth hostels accounted for 58.9%, 38.8%, 1.3% and 1% of bed capacity respectively. The various means of collective tourist accommodation recorded 44.4 million annual overnight stays, i.e. 6.2% less than in Non-residents made the greatest contribution to this result (-11%), since residents showed a slight improvement (+0.8%). Hotels and similar establishments had a bed capacity of 273,804 bed places in July 2009, i.e. quite similar to the same period a year earlier (-0.1%). The sector counted 46,154 staff employed, which corresponded to a 3.2% year-on-year decline. In 2009 the hotel sector provided accommodation to 12.9 million guests, who contributed with 36.5 million overnight stays, which meant negative results vis-à-vis 2008 (-3.9% and -7.1% respectively). The domestic market performed positively (+1.7% in overnight stays), but non-residents followed a strong downward trend (-11.4%). The Algarve continued to be the main tourist destination (35.5% of total overnight stays), followed by Lisbon (21.7%) and Madeira (15.1%). The most sought accommodations were hotels (55.9% of total overnight stays), apartment hotels (15.3%) and tourist apartments (10.9%). The demand for hotels focused chiefly on four-star units (around 50% of overnight stays in this type of establishment), similarly to apartment hotels (62.3% of overnight stays in four-star units).

5 Hotels and similar establishments recorded 1,764 million of total revenue and 1,190.1 million of accommodation revenue, i.e. negative year-on-year changes of 10% for both indicators. 5 In July 2009, 225 camping sites were operating, supplying accommodation to 180,584 campers, i.e. 2.5% less than in the same period a year earlier. Over the year this means of accommodation recorded 6.7 million overnight stays, similarly to the previous year (-0.6%). Holiday camps increased their bed capacity (+9.2%), which corresponded to a supply of 6,138 bed places. This notwithstanding, demand for this means of accommodation declined considerably in the year under review: thousand overnight stays, i.e. 9% less than in A similar scenario was observed in youth hostels, with a supply of 4,661 bed places in July 2009, i.e. 5.7% more than in the same period a year earlier. In turn, the thousand annual overnight stays in this means of accommodation accounted for a 12.8% decline from the previous year.

6 6 Symbology CONVENTIONS confidential x not available 0 nil or negligible e % percentage less than half of the unit used D final data Po provisional data Pe preliminary data p.p. percentage point SYMBOLS, ACRONYMS AND ABBREVIATIONS TSA Tourism Satellite Account CAE Rev.3 Portuguese Classification of Economic Activities, Revision 3 USA United States of America EUROSTAT The Statistical Office of the European Union IMF International Monetary Fund H men Ha hectare Hab inhabitants HM men and women TSR travel survey of residents INE Statistics Portugal LD long / long-term LRH leisure recreational and holidays M women No number n.e.c. not elsewhere classified UNWTO World Tourism Organization OECD Organisation for Economic Co-operation and Development GDP Gross Domestic Product B/P business/professional NUTS Nomenclature of Units for Territorial Statistics A.R. Autonomous Region Reg. region Rep. Republic RevPar revenue per available room NORB net occupancy rate of bed places TP Turismo de Portugal, I.P. Tur. tourist EU European Union GVA gross value added VRF visiting relatives and friends 10 3 thousand 10 6 million

7 CONTENTS 7 INTRODUCTORY NOTE... 3 EXECUTIVE SUMMARY... 4 SYMBOLOGY INTERNACIONAL ENVIRONMENT GLOBAL ECONOMIC SITUATION INTERNACIONAL CONTEXT INTERNATIONAL TOURIST ARRIVALS ECONOMIC ENVIRONMENT FOR PORTUGUESE TOURISM REVIEW OF THE NATIONAL ECONOMY TOURISM SATELLITE ACCOUNT TOURISM BALANCE TOURISM DEMAND TRAVEL SURVEY OF RESIDENTS Tourist profile Characteristics of the trips Characteristics of overnight stays Characteristics of expenditure SUPPLY IN COLLECTIVE TOURIST ACCOMMODATION MEANS OF COLLECTIVE TOURIST ACCOMMODATION AS A WHOLE HOTELS AND SIMILAR ESTABLISHMENTS Accommodation capacity Guests and overnight stays and accommodation revenue CAMPING SITES OTHER MEANS OF ACCOMMODATION Holiday camps Youth hostels INPUT-OUTPUT TABLES 5.1 TRAVEL SURVEY OF RESIDENTS Table 1 Resident population estimates, by age group and sex Table 2 Tourists, by reasons and destination of the trip, sex and age group Table 3 Tourists and non-tourists, by self-classification of employment status, sex and age group Table 4 Tourists and non-tourists, by level of education, sex and age group Table 5 Non-tourists, by reasons for not having travelled, sex and age group Table 6 Trips, by reasons and age group Table 7 Trips, by reasons and duration of stay Table 8 Trips, by reasons and start month of the trip Table 9 Trips, by reasons and means of transportation Table 10 Trips, by reasons and organization of the trip Table 11 Trips, by reasons and number of members of the household who have travelled Table 12 Trips, by reasons and destination (NUTS II) Table 13 Matrix origin/destination (NUTS II) of trips taken, by reasons Table 14 Trips, by reasons and country of destination Table 15 Overnight stays, by reasons and age group Table 16 Overnight stays, by reasons and duration of the stay Table 17 Overnight stays, by reasons and start month of the trip Table 18 Overnight stays, by reasons and means of transportation... 62

8 8 Table 19 Overnight stays, by reasons and means of accommodation Table 20 Overnight stays, by reasons and type of trip organization Table 21 Overnight stays, by reasons and number of members of the household who have travelled Table 22 Overnight stays, by reasons and regions (NUTS II) Table 23 Overnight stays, by reasons and country of destination Table 24 Average duration of the trip, by reasons and destination Table 25 Average expenditure, by trip, reasons and destination Table 26 Average daily expenditure, by tourist, reasons and destination SUPPLY IN COLLECTIVE TOURIST ACCOMMODATION Table 27 Establishments, by type of establishment and regions (NUTS II) Table 28 Bedrooms, by type of establishment and regions (NUTS II) Table 29 Accommodation capacity, by type of establishments and regions (NUTS II) Table 30 Persons employed, by type of establishment and regions (NUTS II) Table 31 Guests, by type of establishment, regions (NUTS II) and countries of usual residence Table 32 Guests, by month, regions (NUTS II) and countries of usual residence Table 33 Overnight stays, by type of establishment, regions (NUTS II) and countries of usual residence Table 34 Overnight stays, by month, regions (NUTS II) and countries of usual residence Table 35 Average stay, by type of establishments and countries of usual residence Table 36 Average stay, by type of establishment and regions (NUTS II) Table 37 Average stay, by regions (NUTS II) and countries of usual residence Table 38 Net bed-occupancy rate, by type of establishment and regions (NUTS II) Table 39 Net bed-occupancy rate, by month and regions (NUTS II) Table 40 revenue, by type of establishment and regions (NUTS II) Table 41 Revenue from accommodation, by type of establishment and regions (NUTS II) Table 42 Revenue per available room (RevPar), by type of establishment and regions (NUTS II) Table 43 Camping sites, area, accommodation capacity and persons employed, by regions (NUTS II) Table 44 Campers, by regions (NUTS II) and countries of usual residence Table 45 Campers, by month and countries of usual residence Table 46 Overnight stays, by campers by regions (NUTS II) and countries of usual place of residence Table 47 Overnight stays, by campers by month and countries of usual residence Table 48 Average stay of campers, by regions (NUTS II) and countries of usual residence Table 49 Holiday Camps, accommodation capacity and persons employed, by regions (NUTS II) Table 50 Guests in Holiday Camps, by regions (NUTS II) and countries of usual residence Table 51 Guests in Holiday Camps, by month and countries of usual residence Table 52 Overnight stays in Holiday Camps, by regions (NUTS II) and countries of usual residence Table 53 Overnight stays in Holiday Camps, by month and countries of usual residence Table 54 Average stay in Holiday Camps, by regions (NUTS II) and countries of usual residence Table 55 Youth hostels, accommodation capacity and persons employed, by regions (NUTS II) Table 56 Guests in Youth Hostels, by regions (NUTS II) and countries of usual residence Table 57 Guests in Youth Hostels, by month and countries of usual residence Table 58 Overnight stays in Youth Hostels, by regions (NUTS II) and countries of usual residence Table 59 Overnight stays in Youth Hostels, by month and countries of usual residence Table 60 Average stay in Youth Hostels, by regions (NUTS II) and countries of usual residence METHODOLOGIES, CONCEPTS AND NOMENCLATURES METHODOLOGIES CONCEPTS NOMENCLATURES ANNEXES

9 INTERNATIONAL ENVIRONMENT

10

11 1. INTERNATIONAL ENVIRONMENT GLOBAL ECONOMIC SITUATION International economic crisis continued to limit global tourism activity In 2009 the international economic crisis scenario remained in all the major economic blocks, with GDP in Japan and the European Union dropping the most in year-on-year terms, i.e. -5.2% and -4.2% respectively. This year saw the most severe economic recession since World War II, bringing about wide-ranging public intervention in the economies, which allowed for an easing of the fall in demand and of financial market risk and uncertainty. Figure 1 - Growth rate of GDP, % (Po) World* EU 27 USA Japan Emerging and developing Economies* Source: EUROSTAT Note: Values for World* and Emerging and developing Economies* were taken from World Economic Outlook Update - April 2010 The tourism sector, which in the past few years had been growing in a sustained manner worldwide, saw its growth pace slow down in 2008 and its activity contract in In the latter year, the all-encompassing nature of the economic crisis had a clear impact on global tourism activity, leading to broadly based falls in tourist arrivals and consequently in overnight stays and income from tourism. The global economic recession scenario was also reflected in a loss of confidence of most economic agents and consumers in particular. According to the World Tourism Organization (UNWTO), in this context of lack of confidence there was a reduction in the overall number of tourist trips, namely secondary and short trips. Adding to this was a continued rise in unemployment and several jobs at risk, conditioned by the success of State aid, the tightening of access to credit and wage freezing, leading to a reduced desire for travel of tourists from the main outbound markets, namely the European. It is important to add that the economic rebound in the main outbound markets and the reduction in the high unemployment levels are considered as the main factors contributing to the recovery of the tourism sector, in parallel with the end of the Influenza A flu, which was experienced in many countries throughout The reduction in business trips was associated with the large-scale crisis. According to UNWTO, this was visible in the lower number of passengers travelling business class in air transport, in a decrease in the number of overnight stays in high-class hotels, and in demand in the conference segments, accounted for by enterprises restraining their spending due to the crisis and the high unemployment.

12 12 In the course of 2009 there continued to be considerable exchange rate fluctuations. Many currencies from emerging countries in terms of tourism, which had depreciated against the US dollar and the euro in 2008, recovered part of their valuation, although not reaching the earlier levels. Hence, Europe and the US were able to recover a certain degree of competitiveness as tourist destinations. It should be noted that the pound sterling remained unstable against the euro. In the second and third quarters of 2009 the pound sterling appreciated against the euro compared with the previous six months. This translated into a slight recovery in the purchasing power of British tourists, one of the main outbound markets, on a par with the German in the European area. 1.2 INTERNATIONAL CONTEXT INTERNATIONAL TOURIST ARRIVALS Fall in international tourist arrivals worldwide, for the first time since 2004 According to UNWTO data, in 2009 international tourist arrivals totalled 880 million across the world, i.e. 39 million less than in , with a year-on-year fall of 4.2%, reversed the growth trend of international tourist arrivals that went on from 2004 to 2008, during which period there was an annual average growth rate of 4.8%. Figure 2 - arrivals of international tourists, (Po) Source: UNWTO - World Tourism Barometer - April 2010 Tourist activity throughout most of the year moved in line with a downward trend observed in most economic sectors. As the year went on, the pace of the fall in international tourist arrivals declined progressively, ending the year on a positive note. While the first three quarters showed negative year-on-year rates of change of -10%, -7% and -2% respectively, from October to December international tourist arrivals grew by 2% year-on-year, which may mean the beginning of a rebound in activity. Figure 3 Year-on-year rate of international tourist arrivals in the World, 2009 % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Source: UNWTO - World Tourism Barometer - January 2010

13 In 2009 Europe received a total of 460 million tourists, which accounts for a fall of 27.3 million from The decline in tourist arrivals, although less considerable, also had an effect on the Asia-Pacific region, totalling 181 million, i.e. 3.1 million less than in the previous year, as well as on the Americas, which as a whole received 140 million tourists. Africa was the only (sub-)region that countered the negative scenario and recorded an increase of 1.4 million tourists, reaching 45.9 million. 13 Table 1 Tourist arrivals by (Sub) Regions of destination, unit: millions Region (Po) World Europe Asia and Pacific Americas Africa Middle East Source: UNWTO - World Tourism Barometer - April 2010 In the top 3 of the parts of the world with the greatest number of tourist arrivals are Southern Europe and the Mediterranean (171.3 million), Western Europe (145.9 million) and North-East Asia (98.1 million), which as a whole accounted for 47.2% of total tourist arrivals worldwide in North America (92.1 million) and Central and Eastern Europe (89.8 million), with close to 100 million tourists, saw their market shares decline the most from 2008 to 2009 (-0.2 p.p. and -0.8 p.p. respectively). With more than 50 million tourists were South-East Asia (62 million), Northern Europe (53 million) and the Middle East (52.9 million) Figure 4 - Main destinations of international tourists by (Sub) Region of destination, Southern Europe and Mediterranean Western Europe Northeast Asia North America Central/Eastern Europe Southeast Asia Northern Europe Middle East Sub-saharian Africa South America Caribbean North Africa Oceania Southern Asia Central America Source: UNWTO - World Tourism Barometer - April 2010 Overall results for tourist arrivals worldwide in 2009 declined throughout the world, with the exception of Africa. Europe, which had stagnated in 2008, ended 2009 with a 5.6% decline in activity, while the Middle East moved from two-digit growth (+19.4% in 2008) to a 5.4% contraction in tourist arrivals in 2009, thus leading the downward scenario in the major markets of destination. Affected by the economic crisis in the main local outbound markets, such as the US, and with swine flu outbreaks in some of the main destinations, namely Mexico, the Americas recorded a 4.7% decline in tourist arrivals, more marked than the world average (-4.2%). The Asia-Pacific region, with a 1.7% reduction in activity, was another part of the world that despite having recorded a decline in the number of tourists, performed above world average, limited to a large extent by a strong rebound in activity as of July.

14 14 Europe was one of the regions that performed the worst at regional level throughout 2009, partly due to the high value of the euro against the currencies of other destinations, which was maintained, and the crisis scenario in many of the local outbound markets in Europe. In Central and Eastern Europe, with a 9.9% break, previous year growth was reversed, reflecting difficulties for these countries in finding alternatives to the traditional crisis-hit markets in the domestic market or in markets from neighbouring countries. In 2009 Northern Europe (-5.9%) and Western Europe (-4.7%) continued to record a lower number of tourist arrivals, as seen in Southern Europe and the Mediterranean (-3.8%), partly conditioned by the decline in the British market, were nevertheless the parts of Europe that regressed the least, due to the recovery seen in the last quarter of the year. In 2009 the Asia-Pacific region was the part of the world that receded the least in tourist arrivals (-1.7%). UNWTO data show that in the first half of the year tourist arrivals in this region fell by close to 7%, and in the second half of the year the scenario was reversed, and growth reached 5%. By sub-region, only in South-East Asia did the number of tourists grow, albeit slightly (+0.4%), while North-East Asia and South Asia, with 2.9% and 2.8% falls respectively, declined the most. North America, with an approximate share of two-thirds of tourist arrivals to the American continent, had the worst comparative record in the number of tourist arrivals, with a -5.7% year-on-year change. Central America, restrained by a decline in flows from the northern neighbouring countries and by the impact of swine flu outbreaks, recorded a drop of approximately 5.3% in arrivals by the end of the South America, one of the world s regions which was the least affected by the global economic crisis, suffered less severe consequences in the tourism sector, which led to a -1.3% year-on-year rate of change in tourist arrivals at the end of The African continent was the sole exception to the negative scenario in the number of tourist arrivals, recording a total of 45.9 million tourists and a positive year-on-year rate of change of around 3% in Northern Africa, with arrivals growing by 1.9% and Morocco leading growth levels, continued to have its success based on the competitiveness of the prices offered, attracting many tourists from Europe. In parallel, provisional data for sub-saharan Africa show 3.7% growth in the number of tourists, compared with Figure 5 Year-on-year rate ( ) of international tourist arrivals by (Sub) Region of destination WORLD EUROPE Northern Europe Western Europe Central/Eastern Europe -9.9 Southern Europe and Mediterranean ASIA AND PACIFIC Northeast Asia Southeast Asia Oceania Southern Asia AMERICAS North America Caribbean The Middle East was not able to maintain the positive results reached in 2008 and ended 2009 with a decline of over 5% in tourist arrivals. Funding granted by the Egyptian government to airlines and the recovery from political instability in Lebanon minimised the negative results, but the downturn in Dubai and Saudi Arabia did not help tourism sector performance in this part of the world. Central America -5.3 South America -1.3 AFRICA Northern Africa Sub-saharan Africa MIDDLE EAST -5.4 % Source: UNWTO - Worl Tourism Barometer - April 2010 update Note: Data for 2009 are provisional.

15 Fall in EU countries tourism balance 15 Provisional Eurostat data on the tourism balance of the 27 European Union countries for 2009 show that Spain, Italy and Greece were the European countries with the highest balances, i.e billion, 8.9 billion and 8 billion respectively. From among those countries with a surplus in the tourism balance, the narrowing of the surplus from 2008 was approximately 11% on average, and only Hungary and Bulgaria saw this value increase compared with the previous year. Similarly to the last few years, Portugal recorded the sixth highest value in the tourism balance, to a total of 4.2 billion in In 2009 Germany, followed by the United Kingdom and the Netherlands, were the European countries with the highest tourism balance deficits, and on a par with France and Italy also represented the main outbound tourism markets for the European area, which as a whole showed an average decline of 7.7% in the volume of tourism service imports. Bulgaria and Sweden were the only European Union countries countering the downward trend in tourism service exports, showing year-on-year changes of 8% and 1.2% respectively. Slovenia and Finland, in contrast to the remaining EU countries, have increased the values of tourism service imports by 11.1% and 3.3% respectively vis-à-vis euros 80 Figure 6 European Union countries Balance of Tourism, Spain Italy Greece France Austria Portugal Czech Republic Hungary Bulgaria Poland Slovenia Cyprus Luxembourg Malta Estonia Slovak Republic Lithuania Latvia Romania Sweden Finland Denmark Ireland Belgium Netherlands United Kingdom Germany Exports Imports Balance of Tourism Source: EUROSTAT Note: Data for 2009 are provisional.

16

17 ECONOMIC ENVIRONMENT FOR PORTUGUESE TOURISM

18

19 2. ECONOMIC ENVIRONMENT FOR PORTUGUESE TOURISM REVIEW OF THE NATIONAL ECONOMY Economic crisis restrained tourism activity In tandem with international economic developments, the Portuguese economy in 2009 was characterised by a crisis scenario, with the major macroeconomic indicators showing signs of recession. In addition to a real decrease of 2.6% in GDP, a negative inflation rate (-0.8%) and a lack of consumer confidence, the unemployment rate reached high levels, exceeding 10% in the last quarter of the year. In the year under review the economic crisis had an evident broadly based impact on tourism activity, causing overall falls in overnight stays and income from tourism. However, over the year the downward pace of overnight stays declined progressively. While overnight stays in the first three quarters showed negative year-on-year changes of 17%, 4.5% and 5.1% respectively, in December they declined by only 2.3% year-on-year. In January and March 2010 overnight stays recovered by 1.6% and 5.9% respectively year-on-year, which may indicate a rebound starting in tourism activity. 2.2 TOURISM SATELLITE ACCOUNT The early estimates of the Tourism Satellite Account (TSA) for 2009 confirmed a deceleration in tourism activity In line with the deceleration in tourism activity, in the wake of an unfavourable national and international economic environment, the first estimate of the TSA for 2009 still based on data that may be reviewed points to a 5.0% nominal decline in expenditure on tourist consumption, reaching 16.5 billion. Simultaneously, tourism value added seems to have decreased by 4.8%, reaching 7.0 billion. The latest estimates of the TSA for 2007 and 2008 show that following two years (2006 and 2007) of sharp nominal growth in tourism supply and demand, tourism activity decelerated strongly in In fact, if in 2007 internal tourism consumption recorded the highest growth since 2000 (+13.0%), to stand at 17.1 billion in 2008, nominal growth slowed down to 1.2%, due to both the global economic context and the base effect of strong growth in Developments on the tourism supply side were similar, given that tourism value added, for recording the greatest nominal increase in the series in 2007 (+13.1%), grew by only 1.3% in 2008, standing at 7.3 billion that year. % Figure 7 - Nominal evolution of Tourism Consumption and Value Added originated by Tourism, Pe - Preliminary data * - First Estimate Pe 2008Pe 2009* Domestic Tourism Consumption Value added originated by Tourism -5.0 The positive trend followed by internal tourism consumption in 2007 was chiefly due to demand by non-residents (+18.1%), although demand by residents also grew sharply (+7.6%). In turn, growth deceleration in 2008 originated in slowdowns in both aggregates (+1.3% in tourism consumption by non-residents, 1 and +0.9% in tourism consumption by residents 2 ). 1 Includes inbound tourism consumption and business tourism consumption by non-residents in the country s economic territory. 2 Includes internal tourism consumption and business tourism consumption by residents in the country s economic territory.

20 20 Table 2 Internal tourism consumption, Euros Nominal variation (%) 2007Pe 2008Pe 2007Pe 2008Pe Internal Tourism Consumption Tourism of non-residents (a) Tourism of residents (b) Other components (c) Notes: Pe - Preliminary Data (a) Includes inbound tourism consumption and business tourism consumption of non-residents in the national economic territory. (b) Includes domestic tourist consumption and domestic business tourism of residents in the national economic territory. (c) Excludes business tourism consumption of non-residents and of residents in the national economic territory. With regard to developments in tourism supply (as measured by tourism value added), the greatest contributions to the strong increase in 2007 were made by passenger transport services (+22.4%), rent-a-car (+17.2%) and hotels and similar establishments (+12.1%). In 2008, despite moderate nominal growth in tourism value added, stress should be laid on the more significant developments in rent-a-car (+10.3%) and secondary dwellings (+3.9%). % Figure 8 Nominal evolution of value added originated by tourism from tourism-specific activities, Var. 06/07 Var. 07/ Hotels and similar Secondary dwellings Restaurants and similar Transportation Car rental Travel Agencies Culture and Recreation TSA contributions in the main macroeconomic aggregates In 2008 tourism value added contributed with around 5.1% to the economy s GVA, i.e. 0.1 p.p. less than in While in 2007 the nominal growth rate of tourism value added exceeded by 8 p.p. that of GVA for the whole economy, in 2008 the reverse was observed, with tourism value added increasing less than the economy by 1.6 p.p. Table 3 - Value added generated by tourism and gross value added from the economy, VAGT GVA VAGT GVA Characteristic activities of Tourism Hotels and Similar Privately owned Secondary Residence Restaurants and Similar Transportation of which: Air Transportation Rental of passenger transportation equipment Travel agencies, tourism operators and tourist guides Culture, Sports, Leisure and Recreation Non-characteristic activities of Tourism (related and non specific) Source: Statistics Portugal (INE) - Satellite Tourism Account 2007 and 2008 Notes: Pe - Preliminary data Unit: 10 3 Euros 2007 Pe 2008 Pe

21 Although the downward trend of tourism consumption as of 2008 has also translated into a reduction of its share in terms of GDP, that percentage is estimated to continue to exceed 10% in This reflects a nominal growth pace of tourism consumption lower than that of the national economy s GDP assessed at market prices by respectively 1.2% and 2.1% in 2008, and -5.0% and -1.7% in Figure 9 Proportion of domestic tourism consumption in GDPmp, Euros % 10.4% 10.1% 12% % % % % % Pe 2008Pe 2009* Domestic Tourism Consumption GDPmp Contribution of DTC on total GDPmp 0% 2.3 TOURISM BALANCE Income from tourism decreased less than tourism expenditure Based on the latest data on the Portuguese Tourism Balance 3 made available by the Portuguese Central Bank, in 2009 income from tourism amounted to 6,918 million, compared with 7,440 million in 2008, i.e. declining by 7.0%. The negative trend of income from tourism was in tandem with the unfavourable global economic context, and income levels were close to those seen in Simultaneously, tourism expenditure stood at 2,712 million in 2009, accounting for a year-on-year regression of 7.7%, the tourism balance amounting to 4,206 million, i.e. -6.6% compared with In turn, tourism balance coverage for 2009 (255.1%) exceeded by 1.9 p.p. that for the previous year, benefiting from a less pronounced decline in income vis-à-vis expenditure in the tourism sector. In the period income from tourism grew on average by 2.1% in annual terms, while average growth for tourism expenditure stood at 1.2% per annum, i.e. an average increase in the tourism balance of 2.8% for that period. Figure 10 Portuguese Tourism Balance, Euros Revenue Expenditure Balance 3 Not including the item on international transport.

22 22 United Kingdom, France and Spain have generated the most income for Portuguese tourism. Maintaining the structure of previous years, in 2009 the United Kingdom, France, Spain and Germany were the main outbound markets of tourism monetary flows to Portugal, accounting for 62.7% of overall income from tourism, i.e. 0.9 p.p. less than in Those were also the main markets receiving foreign exchange from national tourism, and Portuguese residents were responsible for tourism expenditure predominantly in Spain (31.9%), followed by France (11.9%), the United Kingdom (11.0%) and Germany (6.5%). As a whole, these percentages have reflected a share decline of 2.1 p.p. In the most important markets as a whole, the United Kingdom has shown the sharpest year-on-year decline at the level of generated income from tourism (-20.1%), followed by Germany (-6.8%), with France improving slightly in year-on-year terms (+1.2%). At the level of tourism expenditure, all the main outbound markets have experienced year-on-year decreases, with Spain (-15.7%) and Germany (-7.8%) declining the most. Table 4 - Revenue and expenditure from tourism, by countries of origin/destination COUNTRIES Unit: 10 3 Euros TOTAL European coutries of the OECD EU Germany Austria Belgium/Luxemburg Denmark Spain Finland France Greece Hungary Ireland Italy Netherlands Poland United Kingdom Czech Republic Sweden Other countries of the EU Other european countries of the OECD Iceland Norway Switzerland Turkey American countries of the OECD Canada USA Other countries of the OECD Other countries Source: Portuguese Central Bank (Available data on May 11 th, 2010) REVENUE EXPENDITURE

23 TOURISM DEMAND

24

25 3. TOURISM DEMAND TRAVEL SURVEY OF RESIDENTS The results of the 2009 travel survey of residents are henceforth presented. This survey covers data collection on tourism demand by residents from the reference year of 2009 onwards, replacing the previous survey on tourism demand by residents. This new operation made it possible to meet new information needs and to better match the survey to more efficient new ways of collecting data, such as collection via telephone interview. It thus contributed to a broader achievement of the changes already started in The methodological changes introduced in the travel survey of residents render data on tourism demand by residents only partly comparable with the previous series. An example of this is the concept of tourist trip, often incorrectly interpreted as leisure or holiday trip, which is a quite narrow concept on the phenomenon under review, which in the new questionnaire was the object of special attention so as to be more easily understandable to respondents as a whole. Due to being considered a fundamental aspect for a volume accounting of the system, it could raise the volume of all related variables, thus improving the accuracy of the measurement Tourist profile In 2009 around 4.3 million residents (40.1% of the population) made at least one trip involving one or more overnight stays outside their usual environment (trips within the place of residence or to the place of work or study were not accounted). Considering only trips to countries abroad, the value amounts to around 8.7% of the resident population. Taking into account the main purpose of the trip, around 3.1 million persons travelled for Leisure, recreation and holidays in 2009, this being the most frequently stated reason for the trips. The second most frequent purpose was Visiting relatives and friends, which led 1.9 million residents to travel. Around 416 thousand persons travelled for Business and professional purposes. Figure 11 Population according to trips taken, by main reasons, % 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Leisure, recreational and holiday Visit to relatives and friends Business/ Professional Non tourists Tourists by other motives Tourists by the respective motive 10 3

26 26 Among those travelling for Business and professional purposes the male gender was predominant, as well as those aged less than 45 Among those travelling for Business and professional purposes in 2009 men were predominant, accounting for 62% of total travellers. By contrast, in the remaining main purposes, the breakdown by gender moves approximately in line with that of the resident population: 51.6% women and 48.4% men. Hence, from among those travelling for Leisure, recreation and holidays and Visiting relatives and friends, 50.6% and 53.5% were women respectively. Figure 12 Resident population and individuals that have travelled by age groups, by main reasons, 2009 population Leisure, recreational and holiday Visit to relatives and friends Business/Professional Health Religious Other % 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 0-14 years years years years + 64 years Among persons travelling for health and medical care, those aged 44 and over were predominant, while for holidays, leisure and recreation those aged less than 44 were the majority Analysing the age structure of tourists, 69.9% of persons travelling for Business and professional purposes were aged less than 45. By contrast, of those travelling for health and medical care, 87.7% were aged 44 and over, these two purposes being the farthest away from the resident population structure. The purpose that was closer to the resident population structure relates to Visiting relatives and friends, given that tourists travelling for Leisure, recreation and holidays were concentrated on the bracket of less than 45 years of age, corresponding to 65% of tourists travelling for this purpose (age bracket representing 56.6% of the resident population) Characteristics of the trips In 2009 there were around 18 million trips for tourism purposes. It is worth mentioning that in the travel survey of residents account is taken of all trips taken by the resident population to a destination outside their usual environment, involving at least one overnight stay. Predominance of trips for holidays, leisure and recreation Trips for Leisure, recreation and holidays accounted for over half of the trips taken by residents (51.2% of the total), amounting to around 9.2 million. Trips for Visiting relatives and friends were the second most important group, and having reached 6.8 million, accounted for 37.7% of the total.

27 Figure 13 Trips taken by main reasons, Business/ Professional 8.6% Health 0.3% Other 1.5% Leisure, recreational and holiday 51.2% Visit to relatives and friends 37.7% Religious 0.7% Other purposes stood at lower levels, where Business and professional trips (1.6 million) accounted for 8.6% of the total. Trips for Religion/pilgrimages and Health and medical care (only voluntary) as a whole accounted for only 1% of total tourist trips by residents, the remaining corresponding to tourist trips with various purposes not falling within the other situations. Business and professional trips to countries abroad played a more relevant role a Figure 14 Trips taken by main reasons and destination, 2009 Thousand 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Leisure, recreational and holiday Visit to relatives and friends Business/ Professional Portugal Abroad With regard to their main destination, tourist trips taken by residents in 2009 were broken down as follows: around 89.5% to Portugal and 10.5% to countries abroad. If for Leisure, recreation and holidays this breakdown is similar (88.1% and 11.9% respectively) the other two main purposes diverge, with a concentration of trips to destinations within Portugal (95.5% of the total) for Visiting relatives and friends. In turn, for Business and professional purposes, trips to destinations abroad played a more relevant role, corresponding to 28.7% of the total, exceeding in number trips to countries abroad for Visiting relatives and friends. Tourist trips started more often in August, as opposed to October and November, with holidays, leisure and recreation accounting for the most trips in the summer Approximately 3.1 million tourist trips started in August, which was 17% of total trips taken in the course of 2009, this being the month where tourist trips were the most frequent. The number of tourist trips was also the highest in December and July, with around 12% and 9.6% of the total. On the opposite end, the least important months in terms of tourism were October and November, which as a whole only corresponded to 10.3% of trips.

28 28 Considering only the Leisure, recreation and holidays purpose, the summer period June to August accounted for 43.3% of total trips started in In the three following months this value declined to 14.7%, which means that these two periods were the most and the least important respectively for this purpose. Trips for visiting friends and relatives were mostly taken in December Figure 15 Trips taken by main reasons and month of departure, Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Leisure, recreational and holiday Visit to relatives and friends Business/Professional Most trips for Visiting relatives and friends (17.7% of the total) were started in December, and in the last three months of 2009 this was the most frequent purpose for tourist trips, in contrast to the remainder of the year, where Leisure, recreation and holidays played the most important role. Individual private automobiles were the main mode of transport used in tourist trips as a whole With regard to the main mode of transport used in trips by residents in 2009, Individual private automobiles were used in around 14.6 million trips, accounting for 81% of the total. The airplane, used in 1.6 million trips, and the bus, used in 1.1 million trips, were equally relevant, accounting for 14.8% as a whole. Air transport had the highest relative importance in Business and professional trips Air transport played an important role in Business and professional trips in 2009: 27.3% of total trips. By contrast, trips for Visiting relatives and friends accounted for only 4.3%. The mode of transport is directly associated with the destination of trips. Hence, on the one hand, for destinations within Portugal land transport was used in 97.3% of trips, while individual private automobiles were used in 87.5% of them. On the other hand, the airplane was used in 65.5% of trips to countries abroad. Stress should be laid on the relative importance of the use of bus in trips to countries abroad: 7.3%, thus exceeding the value of this mode of transport in trips within Portugal, where it accounted for only 5.9%. 73.2% of tourist trips had no prior booking In approximately 13.2 million tourist trips (73.2% of the total in 2009) there was no prior booking of travel-related services, including transport or accommodation. In 18.1% of those trips at least one service was booked directly with the provider, with no recourse to travel agencies or tour operators.

29 Figure 16 Trips taken by main reasons and type of travel organization, 2009 % Leisure, recreational and holiday Visit to relatives and friends Business/ Professional 29 Directly Without previous booking Travel agency 8.7% of tourist trips resorted to travel agencies or other tour operators, especially those for Business and professional and Leisure, recreation and holidays purposes, where recourse was 30.2% and 10.3% respectively. The typical organisation of trips differs depending on the destination being within Portugal or abroad. In the former case, almost all trips were taken with no booking or were booked directly with operators (95.6% of the total), while in trips to countries abroad there was recourse to travel agencies or other tour operators in 47.7% of trips. Figure 17 Average duration of trips by main reasons and destination, Leisure, recreational and holiday Leisure, recreational and holiday (Long duration) Visit to relatives and friends Visit to relatives and friends (Long duration) Business/Professional days Abroad Portugal TOTAL The analysis of the relationship between the trip destination and the main purpose originating it shows that in 2009 trips to countries abroad lasted more than those within Portugal. Only in trips within Portugal for Leisure, recreation and holidays with 4 or more nights spent was the duration slightly higher than those taken to countries abroad, with average durations of 10.2 days and 9.3 days respectively. Trips that lasted the most were, on average, those taken for Visiting relatives and friends in countries abroad (on average 16 days). Within Portugal trips for that purpose were, on average, the shortest (3 days), i.e. had the same average duration than recorded for Business and professional trips within Portugal.