In recent years the landscape of island tourism has shifted away from old norms where tour operators acted as gatekeepers of bookings and hotel rooms. On Ibiza, the era of managers dictating terms began to fade as hoteliers started selling directly through their own websites or via online travel agencies. The change has strengthened independence for hoteliers, though it has also raised concerns in places like Sant Antoni, where the shift has carried a heavier price tag. Over the past decade, the Balearic Islands have reduced their reliance on traditional operators, embracing greater direct sales. This evolution has drawn reactions from the major tour operators, including discussions at ITB in Berlin where Balearic Tourism Minister Iago Negueruela joined industry ministers, with attendees such as Alejandra Ferrer from Formentera and Vicen Marí from Ibiza. The consensus among Germany’s top five operators, excluding TUI, was clear: bookings to Mallorca surged, while Ibiza lagged, and there was regret over losing market share in the Pitiusas due to stronger direct sales.
Additionally, concerns grew about German passenger numbers, since tour operators prefer guaranteed occupancy well in advance. Direct selling, being more ad hoc and last-minute dependent, struggles to provide the same forecast as traditional packages, making flight and hotel planning more challenging for airlines and operators alike.
From 70% to 50%… and beyond
The first to speak plainly was Manuel Morales, head of hotel contracting for Spain at FTI, who has been forthright about Ibiza’s pricing dynamics. He warned that operators must remind hoteliers and politicians in the Pitiusas of their origins and warned that the destination has become highly dynamic in sales. Morales emphasized that traditional tour operators still control many flight arrangements and that Ibiza presents a tougher market for packaged trips. He lamented that hotels are pursuing other distribution channels that are less favorable to traditional tours. Nils Lübbe, Der Touristik’s Western Mediterranean Director, noted that the share of tour operators in Ibiza recently declined from 70 percent to around 50 percent, highlighting that growth in direct sales often comes at the expense of operator-led distribution.
Morales’s criticisms extended to pricing dynamics, pointing out that while Mallorca saw a notable 12 percent rise in reservations, Ibiza held steady at low gains, making 2022 figures remain a concern. Some estimates hovered around 60,000 visitors, with operators hesitant to push higher risk levels. At ITB, Altours’ Jorgen Heittinga observed that Germans tend to be price-sensitive amid inflation, with overall inflation around 8.7 percent and food costs surging, influencing tour package adjustments. Altours responded with a roughly 10 percent price increase, while FTI raised prices by as much as 25 percent. Heittinga argued these adjustments were aligned with rising costs for flights, energy, and food, and not out of step with pre-pandemic levels.
die of success
Morales added that customers are prioritizing quality at affordable prices, which has driven many to favor all-inclusive options that reduce financial surprises during travel. RTK’s Spain delegation, representing about 5,400 travel agents, underscored that airlines require a certain level of advance forecasting to commit to destinations. Direct sales alone cannot guarantee consistent flight capacity, they noted. A notable Ibizan hotel group remained cautious about publicizing its name, reflecting a broader hesitancy to rely solely on direct channels. The island’s share of RTK sales remains comparatively small, especially versus Mallorca, where direct sales have a larger footprint. Airline and hotel pricing concerns added to the mix as flight costs rose by about 20 percent.
Go up in Majorca, go down in Ibiza
Schauinsland-reisen in Mallorca has clear benchmarks for recent years and finds Ibiza trailing behind. The resort landscape on Ibiza is perceived as increasingly premium, with many four-star properties expanding into five-star territory, prompting mid- and high-end operators to scale back their efforts when packages appear elitist. Carlos Fuster, Schauinsland-reisen’s recruitment director, explained that Ibiza’s guest mix now skews toward a more exclusive segment. The Balearic Consell’s president, Vicen Marí, agreed to reconvene with several tour operators to explore possible adjustments that would rebalance the market. He acknowledged operators’ concerns about bed quotas and flight risk, and highlighted Ibiza’s current strength in diversification. The aim is to reduce dependence on tour operators while preserving connectivity and sustainable demand across markets.
By the close of the talks, Balearic Tourism Minister Iago Negueruela praised Ibiza’s strong direct-sales model, noting it provides better opportunities for revenue management and negotiation with partners. At the same time, authorities emphasized the value of avoiding overreliance on a single distribution channel. Formentera’s Minister Alejandra Ferrer reiterated that all islands prefer a balanced approach that supports direct sales while maintaining diverse markets, ensuring stability in the face of market shocks, such as the downturns experienced by legacy operators. The overarching message is clear: diversify to safeguard connectivity and keep the tourism system resilient while retaining the benefits of collaboration with tour operators when appropriate.