Hotel profitability in Spain: Impact of the location of tourist destinations

Purpose - This paper evaluates the impact of the location of tourist destinations on Spanish hotel profitability. For this purpose, the factors that describe tourism profitability are identified and clusters of tourist destinations are developed. The model also analyses the determinants of profit...

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Main Authors: Francisca J. Sánchez-Sánchez, Ana M. SÁNCHEZ-SÁNCHEZ
Format: Article
Language:English
Published: Faculty of tourism and hospitality management 2025-03-01
Series:Tourism and Hospitality Management
Subjects:
Online Access:https://thm.fthm.hr/images/issues/vol31no1/2_S_nchez-S_nchez_S_nchez-S_nchez
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author Francisca J. Sánchez-Sánchez
Ana M. SÁNCHEZ-SÁNCHEZ
author_facet Francisca J. Sánchez-Sánchez
Ana M. SÁNCHEZ-SÁNCHEZ
author_sort Francisca J. Sánchez-Sánchez
collection DOAJ
description Purpose - This paper evaluates the impact of the location of tourist destinations on Spanish hotel profitability. For this purpose, the factors that describe tourism profitability are identified and clusters of tourist destinations are developed. The model also analyses the determinants of profitability based on location models developed in the hotel sector, such as accessibility, agglomeration, and seasonality of the tourist destination. Methodology - Multivariate analysis techniques and non-parametric contrasts are applied. Findings - The results highlight the importance of the location of tourist destinations, the preferred tourist mode, and the level of seasonality on tourist profitability. There is an economic, labour and efficiency imbalance that benefits coastal vacation destinations with lower levels of seasonality, located in the Mediterranean strip, the Balearic Islands, and the Canary Islands. Originality - Special attention is paid to factors related to the location of tourist destinations from the perspective of both supply and demand, which makes it possible to isolate and quantify the effect of the tourist destination on profitability, which is essential for good planning and management.
format Article
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institution OA Journals
issn 1847-3377
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publishDate 2025-03-01
publisher Faculty of tourism and hospitality management
record_format Article
series Tourism and Hospitality Management
spelling doaj-art-40fee2c597ef4dd9a7ae918a65c6cc952025-08-20T02:06:16ZengFaculty of tourism and hospitality managementTourism and Hospitality Management1847-33772025-03-01311173510.20867/thm.31.1.2Hotel profitability in Spain: Impact of the location of tourist destinationsFrancisca J. Sánchez-Sánchez0https://orcid.org/0000-0001-5325-3667Ana M. SÁNCHEZ-SÁNCHEZ1https://orcid.org/0000-0002-6591-954XPh. D. Associate Professor, Universidad Pablo de Olavide, Departamento Economía, Métodos Cuantitativos e Historia EconómicaPh. D. Associate Professor Universidad Pablo de Olavide, Departamento Economía, Métodos Cuantitativos e Historia EconómicaPurpose - This paper evaluates the impact of the location of tourist destinations on Spanish hotel profitability. For this purpose, the factors that describe tourism profitability are identified and clusters of tourist destinations are developed. The model also analyses the determinants of profitability based on location models developed in the hotel sector, such as accessibility, agglomeration, and seasonality of the tourist destination. Methodology - Multivariate analysis techniques and non-parametric contrasts are applied. Findings - The results highlight the importance of the location of tourist destinations, the preferred tourist mode, and the level of seasonality on tourist profitability. There is an economic, labour and efficiency imbalance that benefits coastal vacation destinations with lower levels of seasonality, located in the Mediterranean strip, the Balearic Islands, and the Canary Islands. Originality - Special attention is paid to factors related to the location of tourist destinations from the perspective of both supply and demand, which makes it possible to isolate and quantify the effect of the tourist destination on profitability, which is essential for good planning and management.https://thm.fthm.hr/images/issues/vol31no1/2_S_nchez-S_nchez_S_nchez-S_nchezprofitabilitylocationtourism impacttourist destinationshotels
spellingShingle Francisca J. Sánchez-Sánchez
Ana M. SÁNCHEZ-SÁNCHEZ
Hotel profitability in Spain: Impact of the location of tourist destinations
Tourism and Hospitality Management
profitability
location
tourism impact
tourist destinations
hotels
title Hotel profitability in Spain: Impact of the location of tourist destinations
title_full Hotel profitability in Spain: Impact of the location of tourist destinations
title_fullStr Hotel profitability in Spain: Impact of the location of tourist destinations
title_full_unstemmed Hotel profitability in Spain: Impact of the location of tourist destinations
title_short Hotel profitability in Spain: Impact of the location of tourist destinations
title_sort hotel profitability in spain impact of the location of tourist destinations
topic profitability
location
tourism impact
tourist destinations
hotels
url https://thm.fthm.hr/images/issues/vol31no1/2_S_nchez-S_nchez_S_nchez-S_nchez
work_keys_str_mv AT franciscajsanchezsanchez hotelprofitabilityinspainimpactofthelocationoftouristdestinations
AT anamsanchezsanchez hotelprofitabilityinspainimpactofthelocationoftouristdestinations