TOURISM

INDUSTRY
Covid-19 Impact, Policies and Evaluation
TOURISM INDUSTRY

INDUSTRY POSITION HIGHLIGHTS

AFTER
BEFORE & AFTER
COVID-19
 12,000,000

Number of Guests in the year 2019

10,000,000

SPAIN:
8,000,000
TOURISM
INDICATOR - 6,000,000

GUESTS (2019 &

4,000,000
2020)
2,000,000
2019

2020
0
March June September December
Source: Instituto Nacional de
Estadística Months
Source: World Travel
& Tourism Council

2019 2020
Total contribution of Travel & Tourism to GDP:

14.1% of Total Economy 5.9% of Total Economy

Total T&T GDP = EUR177.1BN Total T&T GDP = EUR66.0BN

Total contribution of Travel & Tourism to Employment:

2,855.7 Jobs (000s) 2,547.9 Jobs (000s)

(14.4 % of total employment) (13.3 % of total employment)

Covid-19 Development &
Vulnerabilities
Heavy reliance on tourism increases vulnerability of the industry
Affected revenue strides made in the industry over the last 25 years
- Number of travellers plummeted by more than 70.0%
- Domino effect on employment ensued - 3 million jobs ore more
are jeopardised
Multitude of SMEs with minimal financial capacity - forcing
temporary closures and some permanent close-downs
Pandemic Negatively impacted

Demand patterns and behaviour - low traveler

‘mobility and confidence’
Policy Responses
'TOURIST RECOVERY PLAN'

Support packages
consisting of financial, Spanish government’s Development of health and
economic and social ‘Guarantee Line socio-sanitary specifications
assistance

Beneficiaries - Organisations Public guarantees - great

and employees in the industry
and tourist destinations
affected
Postponement of loan interest
and principal payments &
debt deferrals
assistance particularly to
National and international
SMEs and other companies:
promotional campaigns to
in terms of their finances
encourage tourism
Evaluation of Policy Responses
Effectiveness & Limitations
Measures taken - affected by a
possible third wave at the end of
2020
Voiced by tourism lobbyist; strategies
initiated are “insufficient for an
industry that represents one job in
every eight”
Precautionary behavioural change
in consumers -
Consumer optimism and
propensity to indulge remain
low-spirited
Comparisons with other countries
Lack of digitalisation within the
industry
Policy measures of South Korea
and Portugal - innovative whilst
considering precautionary
measures
Boosting domestic tourism and
alternative markets or segments
Travel vouchers - Iceland and
South Korea
Public-Private Partnerships
South Korea, Portugal & Iceland
 01

Embrace digital solutions

More efficiency and simplification of
customer service delivery processes
Increase Spain’s competitiveness as a
travel destination

02

Innovative approaches & campaigns to

attract travellers to less prominent
segments
RECOMMENDATIONS Accelerating the revival of tourism
activities
Alternative revenue streams to generate
economic returns
CONCLUSION

Spain should commit to embracing

new trends in view of global
developments in digitalisation and the
green economy.

This is crucial to remain competitive in

the post-pandemic era.
THANK YOU