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Portugal: rising to the tourism challenge.
Sunday, 6th July 2008
Source : E-Quity
Changes in tourism trends and low-cost airlines puts pressure on Portugal -

Portugal has been one of the world's most popular places for tourists for many years, but recent changes in tourism trends and more destinations becoming accessible through the introduction of low-cost airlines, has put pressure on Portugal to sustain its market share in the industry.

The trade of national and international tourism is vitally important to the Portuguese economy and the country relies heavily on its three main regions: the Algarve, Lisboa and Madeira, who combined are responsible for more than 85% of international tourist activity.

Consumer trends indicate that tourism will continue to grow, cultivated by developments of short breaks, an increase in the number of adults and senior citizens that travel and the desire of tourists for diversified destinations.

The coastal areas of Portugal, such as the Algarve and Estoril, attract tourists with the lure of sun, sand, sea and numerous leisure options, such as great golf courses and wonderful water-sport activities.

These types of locations tend to suffer from seasonality, where the summer months are bustling, but the winter periods are quiet. Conversely, cites such as Lisbon and Porto appeal more to the visitor who is looking for a short city break and is attracted to the history and culture of a place.

But now the Portuguese government has recently put in place a far-reaching national strategic plan to promote the country and improve their tourism trade.

The overall strategic plan is designed to promote the country's already established resources with some improvement in neglected areas. This is all part of Portugal's approach to attracting new and loyal visitors, as the whole country endeavours to increase the tourist trade in the attempt to put Portugal back on the map.

One of the main objectives of the government's plan is to achieve relative growth in the low season – October to May – greater than that achieved in the high season, therefore combating the continuing problem of seasonality.

They intend to focus on four key factors that distinguish Portugal from other competing countries. This includes improving upon Portugal's popular assets – ‘climate and light,' ‘history, culture and tradition,' ‘hospitality' and ‘concentrated diversity.'

Also in development is an initiative to update the country's infrastructure, transport links and air access, as well as modernizing hotels and similar accommodations, with all staff undergoing relevant training to harness their service skills.

E-Quity director Dan Johnson said: "While the descriptions of the tourism assets may be a little oblique – most people would think in terms of golf, beaches, climate, food, drink and countryside – this plan is a well-thought out blueprint for the future development of Portugal's strategic approach to attracting more visitors.

The overall thrust is to complement the established attractions in key areas with new initiatives aimed at enhancing the tourist experience and widening the appeal to a broader audience."
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