Almost 25 million guests, over 66 million overnight stays and €3 billion in overnight income: 2018 was a record-breaking year for tourism in Portugal.

The latest figures were released last week in the 14th Hospitality Atlas by Deloitte, which found that the number of overnight stays increased by 9 million compared to 2017. Revenue also rose by around €500 million from the previous year.

According to the report released by the world’s leading consulting organisation, the occupancy rate in Lisbon is above the European average. Only Paris, London and Amsterdam are ahead of the Portuguese capital.

In terms of room offering, the Algarve region leads the way with 45,116 rooms, followed by the Lisbon Metropolitan Area (31,108) and the North (22,138). As for room numbers, the leading companies on a national level are Pestana Hotels & Resorts/Pousadas de Portugal, Vila Galé Hotéis and Accor Hotels. 

“The Portuguese market has proven to be very dynamic in terms of investment in hotels, registering an increase of 256 percent in the volume of transactions compared to the previous year,” said Jorge Marrão, leader of Real Estate at Deloitte Portugal.

However, investors believe that the national hospitality market has reached its investment peak. According to the Hospitality Atlas, which surveyed the 20 main Portuguese hotel groups, the main risks to the hotel industry in the next five years are the growth of competing markets and the struggle in hiring qualified labour.

Now in its 14th edition, the Portuguese Hospitality Atlas includes an analysis of the accommodation offering in the country, the distribution of hotels and the main challenges and opportunities of the sector.