Occupancy rates continue upward trend

Occupancy rates in the Algarve’s tourist accommodation establishments reached 92.1% in August, representing a 2.4% increase when compared to the same period last year, according to data from AHETA, the association of hotels and resorts of the Algarve.

The positive results are attributed to the significant rise in the French, German and British markets – which registered 37.9%, 21.8% and 10.4% increases, respectively – making the month of August the most successul since 2008.

These growing markets were able to make up for the 4.9% drop in Portuguese tourists.

Elidérico Viegas, president of AHETA, revealed that although the French markets grew considerably, they still only represent 4.9% of the total, which is dominated by British tourists.

He admitted that the higher occupancy rates do not necessarily mean more profit, because the tourist establishments were forced to lower their prices in order to attract business.

Viegas believes, however, that if occupancy rates continue to grow at the same rate in the next four to five years, the region may reach the successful levels it has registered in the past.

In August, the areas of Carvoeiro/Armação de Pêra (with a 3.9% increase), Monte Gordo/Vila Real de Santo António (3.4%) and Albufeira (2.3%) registered the biggest boost in occupancy.

Albufeira was the municipality that registered the highest occupancy rate, reaching 95.8%, while Tavira was the lowest with 86%.