Luxury tourists boost spending in Madrid but stagnate it in Catalonia.

In the race to attract high-net-worth tourists, Madrid is taking the lead. The region presided over by Isabel Díaz Ayuso receives the largest spending bracket of international travelers, with spending growth above the national average both in the first six months of the year and at the start of a summer season marked by geopolitical uncertainty.

Foreign visitors choosing the Community of Madrid spent an average of €2,222 per person in June, according to the latest INE data published this week. This represents a 16.9% increase compared to the same month last year and the largest increase of any region. The national average grew by 3.5%, with visitors spending €1,376 per person in June. Catalonia grew by just 1.8% in this parameter, which measures the quality of incoming tourists, with €1,290 per visitor. Still, it's not the worst-off situation. The Balearic Islands (-0.1%) and the Valencian Community (-1.6%) even recorded slight declines in June.

Madrid's leadership in high-end tourism is no flash in the pan. Year-to-date, it also leads the region, with a 7.7% increase and €1,957 per person (see chart). Catalonia, meanwhile, leads the way in travel arrivals in the first six months of the year, with more than 9.25 million people, a new record with a small increase of 1.76%. However, spending per person remains stagnant, at 0.52%, despite rising travel prices. Regarding total spending through June, the Canary Islands remain the leader—their peak season falls in winter—with €11.869 billion, followed by Catalonia (€10.56 billion). Madrid, meanwhile, ranks fourth among the autonomous communities. But the high spending by its tourists means that their spending is only 18% lower than that of Catalonia, even though the latter has twice as many international visitors.

French, Germans, Italians, and Nordic countries are shortening their holidays in Catalonia.

The tourist mix that Catalonia receives is influencing this marked slowdown in spending, notes Bruno Hallé, partner and co-director of Cushman & Wakefield Hospitality in Spain. French, German, Italian, and Nordic tourists are shortening their vacations, staying for fewer days, to control their budgets. The arrival of travelers from the United States, the largest group of foreigners in Barcelona, is also slowing down following Donald Trump's victory.

Madrid has the advantage, Hallé continues, of having positioned itself as a mecca for Latin American fortunes. The wealthy from Latin America have marked the Spanish capital as their holiday destination, adding to the highly renovated luxury hotel and shopping scene. However, Barcelona also has important openings in its pipeline, such as the transformation of the former La Florida hotel and the Hotel Arts.

Despite the stagnation experienced by foreign tourism in Catalonia, both in arrivals and, above all, in spending, the summer season is looking positive. "We're coming off an all-time record in 2024, and just matching those figures would be a success," emphasizes Manuel Fernández Terán, partner at PwC.

Foreign visitors to Madrid spend an average of 2,222 euros, compared to 1,290 euros in Catalonia.

The Catalan tourism market is also more saturated, so it has less room for growth in terms of quantity than other autonomous communities, Fernández Terán continues. The only option, therefore, is to increase the value of the tourism industry and the amount of money each traveler spends, something that, for the moment, is not evolving as expected.

There's also a focus on long-haul flights, especially from Asia, now that the North American market is showing signs of cooling and Latin American customers are flocking to Madrid. Airlines are investing in Barcelona amid a shortage of new aircraft, which could boost the destination's popularity in Europe.