Simón Pedro Barceló, at the Círculo Ecuestre: "Barcelona and Madrid airports must improve their connectivity to ensure the flow of tourists to the Spanish market. If not, Spain will lose market share in global tourism"

The Círculo Ecuestre de Barcelona held a colloquium on Tuesday, October 8, led by Simón Pedro Barceló, Co-President of the Barceló Group.

After the presentation of the event, by the president of the Círculo Ecuestre, Enrique Lacalle, the businessman who leads the hotel division of the family conglomerate held a conversation with the Editor-in-Chief of Expansión in Catalonia, José Orihuel.  

The conversation began with the assessment of the tourist season in Spain. Asked by the moderator, Barceló shared with the attendees the good results of the sector and predicted that “Spain could become the first tourist destination in the world for international visitors”. Therefore, he called for “making an effort to take care of it”. Regarding the development and growth of the activity, the hotelier stated that “tourism in Spain will be what the Spanish want and what they decide in the elections”.

In the face of the eternal competition between Madrid and Barcelona, Simón Pedro Barceló said that “Barcelona has always been the city of reference in the Spanish sphere and of international projection”. Despite this, he highlighted the “growth of Madrid as an international destination, which has begun to compete more closely with Barcelona”, and advocated collaboration between both cities to boost tourism.

Regarding infrastructure, the Co-President of Barceló Group highlighted the importance of air connectivity for tourism development, pointing out that “the expansion of Barcelona airport is crucial to maintaining the city's competitiveness”. “Without connectivity there is no tourism”, he said. He also concluded that “the airports of Barcelona and Madrid must improve their connectivity to ensure the flow of tourists to the Spanish market”. “If not, Spain will lose market share in global tourism”.

Regarding the current situation of the hotel sector, Barceló explained that, “after the pandemic, recent years have been extraordinary, with record levels of profitability”. However, he acknowledged the growing gap between large hotel chains and small and medium-sized companies, stating that "the big ones are getting bigger and we are making a bigger difference".

During the colloquium, the regulation of tourist rentals was also addressed, a controversial issue in several Spanish cities. In light of this discussion, Barceló showed its support for regulations that seek to limit this activity in residential areas, such as the recent measures adopted in Barcelona, which it considered "magnificent for balancing urban and tourist development".

Regarding the growth plans of Barceló Group, the businessman confirmed that “the company is investing in key destinations such as Mexico, Morocco, Spain, the United States, Mediterranean Europe and Asia”. He also said that “the group is exploring new opportunities in the north of Spain, where its presence is still limited”. “Our idea is to continue. We are one of the two largest Spanish hotel operators, but we have not yet reached our limit. We have a great capacity for growth”, said the businessman.

Regarding the future of the company and its outlook for the coming years, Simón Pedro Barceló argued that “the group is already preparing the transition to the fourth generation of the family”, with several members already incorporated into the business. He also made it clear that, despite its continued growth, “Barceló Group has no intention of going public”.

Regarding the company's growth, the group's co-president announced that "Barceló Group expects to close the year with an EBITDA of between 40 and 50 million euros in Ávoris", and noted that "next year it could reach 100 million". "The activity of our hotels, with a turnover of 2 billion euros, is generating margins close to 25%", he explained. He also revealed that "in recent years Barceló Group has invested all of the profits generated", and that "since last year the company is once again free of net financial debt".

Barceló was blunt in pointing out that, currently, carrying out a large-scale corporate operation in the hotel sector is "practically impossible" due to the characteristics of the market. Instead, the group is focused on growing through the acquisition of individual assets, a strategy that has allowed them to consolidate their position. "Of the 500 million EBITDA forecast, 300 million will come from our business in America, which is smaller but much more profitable. On the other hand, our business in Spain and Portugal has a larger volume", he said.

Regarding competition with platforms such as Airbnb or hotel chains, the Co-President of the group presented Barceló's differentiating strategy to the audience of the Círculo Ecuestre: "Our obsession is for our hotels to be in the top 20% of hotel products in each destination. That is our way of competing".

Regarding tourist taxation, Barceló expressed its opposition to the taxes imposed on visitors, arguing that these have not achieved the expected objectives. "Tourist taxes point to the visitor as the culprit. For me, they are the good guys, so I don't think it is necessary for them to pay", he said.

The colloquium ended with an optimistic message about the future of Barcelona. Simón Pedro Barceló highlighted the city's "capacity to attract international tourism thanks to its rich cultural and architectural base" and urged institutions and citizens to "continue working together to maintain the city as a world-class tourist destination".