The hotel industry along the Costa del Sol is considering a decisive shift toward the North American market following a notable drop in German and British visitors. Malaga hotels are evaluating new air connections with the United States, recently announced in New York, and the idea of pairing that destination with Miami or Houston to promote luxury tourism, a formula that has shown strong results at the region’s origins on the Costa del Sol.
Jose Luque, president of the Costa del Sol Hotel Businessmen Association, spoke after reviewing the season during a meeting with delegate Patricia Navarro and the regional Tourism delegate in Malaga. The discussion centered on how to navigate the evolving tourism landscape and seize opportunities to diversify markets and sustain growth.
Luque highlighted the potential of resuming a direct air link with New York to recapture momentum in 2023. He emphasized that North American tourism carries substantial purchasing power and represents an increasingly attractive segment for luxury travel. He also noted that choosing this route is a strictly commercial decision driven by the demand from travelers, without dwelling on any speculative talks about other cities.
During the conversation, Luque proposed expanding Malaga Airport connections to include Miami and Houston. He cited a decline in traditional markets, with German travelers down by 25 percent and British travelers by 20 percent, and stressed the importance of exploring alternative markets. The North American market is viewed as a promising channel, consistent with early indicators from the Costa del Sol’s tourism origin patterns.
Luque, assessing the sector amid recent challenges, remarked that after two difficult years caused by the pandemic, the industry has seen encouraging signs. Prices have risen, yet volumes have not matched those gains, which underlines the need to compete on quality while addressing several outstanding issues.
Mobility emerged as a major challenge. The limited national budget spending is a constraint, and solutions to connectivity and accessibility for visitors are needed, including rail improvements along the coast and better access from eastern Malaga. The plan also calls for resilient water management to counter recurring Levante storms and beach issues, potentially involving private sector involvement to secure water resources similar to methodologies used in the Canary Islands, where a system reuses water to provide supply security.
Hotels remain vigilant about profitability as energy costs rise sharply and food and beverage prices surge. Yet there is a sense of achievement for the year, with overall price levels stabilizing and growth in occupancy. The industry acknowledges the continuing challenges posed by Covid-19 and the broader geopolitical tensions affecting global travel, even as demand recovers.
Patricia Navarro, the Andalusian Government delegate in Malaga province, commended the tourism sector for its recent performance, noting that the season’s behavior points to a robust recovery. She highlighted the region’s ongoing pursuit of excellence and the strong momentum in Malaga’s tourism sector as a sign of resilience after the pandemic.
Navarro pointed out that Malaga’s hotels closed the summer with a record pace, slightly surpassing 2019 levels in terms of travel and overnight stays. While foreign tourism remains strong, domestic travel also shows sustained vitality, reflecting a broader recovery in the local tourism ecosystem.