Tourism

Héctor Fernández: “There cannot be a divorce between tourism and the local population”

The CEO of the Lanzarote Foreign Promotion Society (SPEL) analyzes the phenomenon of tourism phobia, the behavior of the island's main tourist markets and the impact of payment for CO2 emissions

Héctor Fernández, CEO of SPEL. Tourism.

The CEO of SPEL, Héctor Fernández, analyzes the phenomenon of tourism phobia and advocates for a greater redistribution of tourist spending in all sectors of the population so that tourism is seen as a source of well-being. 

From his inexhaustible optimism, Hernández also reviews, in an interview with Ekonomus, the behavior of the main tourist markets, and although he recognizes the dependence on British tourism in Lanzarote, he recalls that it is the most stable tourist market in Europe. 

The CEO of SPEL also analyzes the impact that the payment of CO2 emissions may have, which airlines flying to the Canary Islands will have to make from 2024.

 

Tourism phobia

 

  • Turespaña has announced that it will conduct a study on tourism phobia in Spain next year. What is your assessment of this phenomenon in Lanzarote?

Tourism phobia is a phenomenon that is shaking different successful tourist destinations. In Lanzarote, without clear alarm signals, it cannot be said that this phenomenon is not present, we have to see how it can be deactivated. 

The institutions are taking note and there are several fronts such as the construction of a housing park to reduce its shortage, due to the strong demand, or the investment in social affairs. There cannot be a divorce between tourism and the local community.  

It is also necessary to address the issue of congestion, of traffic, so that coexistence with tourism occurs in good conditions. The island territories have more fragility and characteristic limits.

"The aim is for the redistribution of spending to be greater in all sectors of the population so that tourism is seen as a source of well-being, of quality of life"

  • Does Lanzarote have insufficient infrastructure for the number of tourists it receives?

I don't think there are too many tourists. We must propose a long-term strategy, where we bet on a more qualified destination, and that allows another type of customer profile.

What is sought is that the impact and redistribution of tourist spending is greater in all sectors of the population, so that tourism is seen as a source of well-being, of improving the quality of life. In all areas, from housing to the shopping basket or gasoline prices.

"Until now, the tourist tax has not been considered in the Canary Islands with the level of plurality that a measure of these characteristics requires. In the Balearic Islands and Catalonia, the tourist tax has not stopped demand"

  • One of the main measures to combat the rejection of tourism in the most visited destinations has been the introduction of the tourist tax. Why is it so difficult to introduce it in Lanzarote?

Until now, the tourist tax has not been considered in the Canary Islands with the level of plurality and consensus that a measure of these characteristics requires. It is also necessary to define well where it is directed, that they are projects that the tourist can make visible, that are clearly oriented to improve the environmental experience in the destination, and that do not go directly to the common fund.

 

  • Have you looked at how the tax is working in the Balearic Islands or Catalonia?

What is observed is that in those territories the tax has not stopped tourist demand, but to introduce it in the Canary Islands it would be necessary to define well what it would consist of and what that income would be dedicated to. Until now, there has not been a debate to reach a consensus on this issue in the Canary Islands, but it is presented in a partisan and radicalized way. 

"The ability to put 3 or 4 new routes per season is only possible for low-cost companies, due to their economies of scale"

  • Why are the vast majority of airlines that fly to Lanzarote low cost? 

It is happening all over the world, it is a response to the accessibility that these companies have. They have many economies of scale and more ease to implement new routes, especially in the current scenario of high energy prices. 

That capacity to put three or four new routes, that is only in the hands of companies like Ryanair, they are great dynamizers of the market. 

 

"Historically, each island has a different operation in each market. Lanzarote has a great positioning in the United Kingdom, Ireland, the peninsula and now France"

 

Tourist markets and dependence on the United Kingdom

 

  • German tourism in Lanzarote has been falling for years. What can we do to get them back to Lanzarote?

Germany is where we have done the most promotion. There are many factors. Historically, each island has a different operation in each market. Lanzarote has a great positioning in the United Kingdom, Ireland, the peninsula and now France.

The relationship we have with Ireland, for example, is not had by any other island in the Canary Islands. The Irish is our second international market, with better spending capacity than the German. 

"The Nordic countries have a special affinity with Gran Canaria"

The German market is the most dependent on tour operation, which has its own accommodation groups. The implementation of these German chains in the rest of the islands is higher than the implementation that Lanzarote has.

Also the penetration of low-cost airlines in Germany has always been more complicated due to the high taxation that German airports have in green matters.

 

  • Does something similar happen with the Nordic countries?

Yes, something similar happens, they are different factors, but it is a market with a special affinity with Gran Canaria, where many have second homes. It is similar to the relationship between Ireland and Lanzarote. The Nordic operators always develop their large operations with Gran Canaria. We have always been there in tow, although we have done many promotional actions both in Germany and in the Nordic countries.

"We are dependent on the most stable market with the greatest tourist culture in Europe. The British market is the most immune to stop traveling for economic reasons"

  • Despite the efforts of Turismo Lanzarote to diversify, 50% of arrivals are still from a single country, the United Kingdom. Is tourism on the island in danger if the UK economy does badly?

It is true that it is not good to depend so much on a market, but I always try to make a positive reading, in the sense that we are dependent on the most stable market with the greatest tourist culture in Europe.

The islands most dependent on German tourism, Fuerteventura and Gran Canaria, are suffering from the slowness of this market to activate tourist consumption. The British market is the one that has experienced the least ups and downs or fluctuations in the last 20 years. It is the most immune to stop traveling for economic reasons. That is a fortune for Lanzarote.  

 

Payment for CO2 emissions

 

  • Flights to the Canary Islands will have to pay CO2 emission rights. According to the Minister of Tourism, the archipelago will lose one million tourists and 40,000 jobs. What will be the impact for Lanzarote?

Yes, the fact that in the end they have not left the Canary Islands exempt from the application of these taxes, will make the companies have to pay for emissions.

Surely the Minister has a good source to provide those figures, I understand that they have done some specific study on the matter, but we will have to see it. We also have to see the positive side, the Canary Islands will be co-responsible, a destination committed to reducing emissions. It is understood that the tax will affect the price of tickets, although some companies with which I have spoken in recent weeks have not yet passed it on to tickets for this winter.

"We cannot be in the prices of Greece or Turkey, Lanzarote has to aspire to a positioning of another type"

Could it favor the greater development of premium tourism in Lanzarote?

It is never good when prices rise, unless they are well justified. They have to be fair prices according to a vacation in a space like the Canary Islands, climatically favored, with a modern offer and an attractive product.

We cannot be in the prices of Greece or Turkey. Especially in Lanzarote, where we have to aspire to a positioning of another type. With a more refined product, where a score of accommodation products have been improved in the last ten years, which have risen in category. Always with caution, so as not to leave the market either. We have to explain the changes to justify the prices exactly, also so that they cover the tremendous inflation we are suffering.

"The Canary Islands should take action to explore and lead the production of SAF in Europe"

  • Will increasingly demanding tourism arrive in environmental matters?

Yes, of course, there is a lot of talk about sustainability, climate change, being co-responsible with what is happening and we have to be consistent. The issue of emissions is crucial. 

Another important way to contribute is with sustainable fuels in aviation, with SAF. The Canary Islands should take action to explore and lead this issue in Europe.