In a year that shattered all records, Portugal’s hospitality sector roared back to life in 2023, welcoming over 30 million tourists who contributed a staggering €24.5 billion in spending while filling 77.2 million international overnight stays.
Key Takeaways
- In 2023, Portugal's hotel sector recorded 77.2 million overnight stays by international tourists, marking a 22% increase from 2022
- The total number of hotel rooms available in Portugal reached 152,000 in 2023, with Lisbon accounting for 28% of the national total at 42,560 rooms
- Average daily rate (ADR) for 5-star hotels in Algarve rose to €285.40 in Q4 2023, up 14.5% year-over-year
- Portugal welcomed 30.6 million tourists in 2023, a record high surpassing 2019 by 8%
- International overnight stays reached 52.4 million in 2023, with UK visitors contributing 18.2%
- Lisbon airport handled 29 million passengers in 2023, 75% international tourists
- Tourism contributes 19.8% to Portugal's GDP in 2023, generating €42.5 billion
- Hospitality sector revenue reached €25.6 billion in 2023, up 24% from 2022
- Hotel industry taxes contributed €3.1 billion to state revenue in 2023
- Employment supported by tourism reached 1.15 million jobs in 2023, 10.2% of total workforce
- Hotel sector employed 105,000 direct workers in 2023, up 12% from 2022
- Algarve hospitality jobs totaled 85,000 in 2023, 40% seasonal positions
- Number of restaurants in Portugal exceeded 55,000 in 2023, with Lisbon holding 12,000
- Traditional Portuguese restaurants generated €4.5 billion revenue in 2023
- Algarve beach bars and cafes served 18 million meals in summer 2023
Portugal's hotel industry sees record growth in both visitors and revenue.
Accommodation Statistics
- In 2023, Portugal's hotel sector recorded 77.2 million overnight stays by international tourists, marking a 22% increase from 2022
- The total number of hotel rooms available in Portugal reached 152,000 in 2023, with Lisbon accounting for 28% of the national total at 42,560 rooms
- Average daily rate (ADR) for 5-star hotels in Algarve rose to €285.40 in Q4 2023, up 14.5% year-over-year
- Occupancy rate in Porto's hotels averaged 82.3% in summer 2023, the highest among major cities, driven by 1.2 million guest nights
- Madeira's hotel capacity grew by 4.2% in 2023, adding 1,800 rooms, reaching 18,200 total
- In 2022, 68% of Portugal's accommodations were classified as 4 or 5-star hotels, totaling 1,450 establishments
- RevPAR in Lisbon hotels hit €120.50 in 2023, a 18% growth from pre-pandemic levels
- Azores hotel occupancy reached 75.4% in 2023, with 2.1 million overnight stays recorded
- Portugal's short-term rental listings on Airbnb grew to 45,000 in 2023, contributing 15% to total accommodation supply
- 4-star hotels in the Douro Valley saw a 25% increase in room nights sold, totaling 450,000 in 2023
- National hotel bed capacity stood at 320,000 beds in 2023, with coastal regions holding 62%
- Lisbon boutique hotels (under 50 rooms) achieved 85% occupancy in peak season 2023
- Algarve resort hotels reported €1.2 billion in revenue from room sales in 2023
- Portugal's hostels saw 12 million overnight stays in 2023, up 30% from 2022, mainly by young Europeans
- 5-star hotel spa revenues in Portugal increased 28% to €250 million in 2023
- Porto's aparthotels expanded by 15% in capacity, adding 2,500 units in 2023
- Madeira luxury villas generated 1.8 million guest nights in 2023
- National campsite occupancy hit 70% in 2023, with 5.2 million overnights
- Lisbon's hotel construction projects added 3,200 rooms in 2023
- Rural tourism houses in Alentejo recorded 850,000 stays in 2023, up 20%
Accommodation Statistics Interpretation
While Portugal’s hospitality sector is officially booming with record occupancy and revenue, one could wryly observe that the entire country has essentially become a meticulously managed, five-star hotel where even the campsites are running at a profit and the spas are printing money.
Economic Impact
- Tourism contributes 19.8% to Portugal's GDP in 2023, generating €42.5 billion
- Hospitality sector revenue reached €25.6 billion in 2023, up 24% from 2022
- Hotel industry taxes contributed €3.1 billion to state revenue in 2023
- Algarve tourism generated €7.8 billion in economic output in 2023
- Lisbon hospitality exports (tourist spending) totaled €12.4 billion in 2023
- Food and beverage sales in tourist areas hit €8.9 billion in 2023
- Investment in new hotels amounted to €1.5 billion in 2023
- Tourism multiplier effect created €65 billion total impact on economy in 2023
- Porto tourism VAT revenue rose 28% to €1.2 billion in 2023
- Madeira hospitality sector added €2.1 billion to regional GDP in 2023
- Azores tourism spending reached €850 million in 2023
- Average tourist spend per night was €145 in 2023, highest in luxury segment at €320
- Hotel room revenue per available room (RevPAR) nationally averaged €85 in 2023
- Total tourist spending in Portugal hit €24.5 billion in 2023, 82% by foreigners
- F&B sector in hospitality contributed 35% of total revenue at €9 billion in 2023
Economic Impact Interpretation
While tourism is happily Portugal's twenty-billion-euro party, the sobering reality is that everyone—from the taxman to the waiter—is counting on that last round of drinks being ordered.
Employment Data
- Employment supported by tourism reached 1.15 million jobs in 2023, 10.2% of total workforce
- Hotel sector employed 105,000 direct workers in 2023, up 12% from 2022
- Algarve hospitality jobs totaled 85,000 in 2023, 40% seasonal positions
- Lisbon restaurants hired 45,000 staff in 2023, with 25% part-time
- Porto hotel workforce grew 15% to 28,000 employees in 2023
- Women comprised 58% of hospitality workforce in Portugal in 2023
- Average hospitality wage was €1,120 monthly in 2023, 15% above national average
- Training programs certified 12,000 hospitality workers in 2023 via Turismo de Portugal
- Madeira hospitality employed 22,000 people in 2023, unemployment rate 4.2%
- Azores sector jobs increased 10% to 15,500 in 2023
- Youth under 30 made up 35% of restaurant staff in 2023
- Turnover rate in hotels was 18% in 2023, highest in front desk roles
- Foreign workers in hospitality reached 25,000 in 2023, 22% from Brazil
- Peak season added 150,000 temporary jobs in 2023
- Sustainability training covered 40% of workforce, 45,000 certified in 2023
Employment Data Interpretation
Portugal's hospitality industry, now a formidable economic engine employing over a million people, reveals a vibrant but demanding ecosystem where soaring demand, youthful energy, and a pursuit of sustainability coexist with seasonal swings, wage challenges, and the revolving door of front-desk staff.
Food and Beverage Sector
- Number of restaurants in Portugal exceeded 55,000 in 2023, with Lisbon holding 12,000
- Traditional Portuguese restaurants generated €4.5 billion revenue in 2023
- Algarve beach bars and cafes served 18 million meals in summer 2023
- Fine dining establishments in Porto numbered 150 in 2023, Michelin stars totaling 12
- Lisbon seafood restaurants saw 28% sales growth to €1.2 billion in 2023
- Madeira wine tourism paired with F&B generated €180 million in 2023
- Azores farm-to-table restaurants increased 20% to 250 outlets in 2023
- Average meal spend in tourist restaurants was €35 per person in 2023
- Vegan and vegetarian options available in 65% of hotels' F&B in 2023
- Porto wine cellars hosted 1.2 million F&B experiences in 2023
- National coffee consumption in hospitality hit 450 million cups in 2023
- Street food vendors in Lisbon markets served 8 million customers in 2023
- Alentejo wine region F&B tourism revenue €650 million in 2023
- Hotel breakfast buffets fed 25 million guests in 2023
- Douro Valley gastronomic events attracted 500,000 diners in 2023
Food and Beverage Sector Interpretation
Portugal's hospitality sector is thriving in a delightfully diverse dance, where Lisbon's seafood boom and Algarve's beachside bites waltz with Porto's fine dining and the Douro Valley's event feasts, all fueled by enough coffee to caffeinate a small nation.
Visitor Statistics
- Portugal welcomed 30.6 million tourists in 2023, a record high surpassing 2019 by 8%
- International overnight stays reached 52.4 million in 2023, with UK visitors contributing 18.2%
- Lisbon airport handled 29 million passengers in 2023, 75% international tourists
- Algarve region saw 5.1 million visitors in 2023, averaging 7.2 nights per stay
- Porto welcomed 3.2 million tourists in 2023, 45% from Spain and France
- Madeira islands attracted 1.7 million visitors in 2023, up 12% from 2022
- Azores received 580,000 tourists in 2023, with 62% from North America
- German tourists to Portugal numbered 3.1 million in 2023, spending €2.8 billion
- US visitors increased 25% to 1.1 million in 2023, favoring Lisbon and Algarve
- Brazilian tourists hit 1.4 million in 2023, 80% staying over 5 nights
- French market grew 15% to 2.6 million visitors, with Porto as top destination
- Spanish tourists totaled 4.2 million in 2023, mostly day-trippers to border regions
- Netherlands sent 1.8 million tourists, averaging €1,200 spend per trip in 2023
- Italian visitors rose to 1.5 million, with 55% cultural tourism focus
- Domestic tourism accounted for 12.5 million overnight stays in 2023
- Repeat visitors made up 42% of total in 2023, per Turismo de Portugal survey
- Peak month July 2023 saw 4.8 million arrivals, 70% international
- Off-season (Nov-Feb) visitors grew 18% to 4.2 million in 2023
Visitor Statistics Interpretation
Portugal has masterfully turned its entire nation into a must-book destination, where international visitors arrive in record waves—from British sun-seekers dominating overnight stays to day-tripping Spaniards and big-spending Americans—yet still manages to warmly accommodate a dedicated stream of return guests and off-season explorers who've clearly discovered the secret that Portugal is far too good for just a summer fling.
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