Hotel revenue ranking in the region: big chains double their revenue in 2022.

ALIKANTE. Exercise 2022 has put the Spanish hotel industry back on the path it was on before the pandemic outbreak, and the Valencian Community, where tourism accounts for more than 13% of GDP, is no exception. The main local chains originating from Alicante, although most of them are present in two or three provinces of the Valencian Community (and in other regions of the country), have increased their business thanks to the not full but recovered international tourism, the strengthening of domestic tourism and the general upswing in prices that occurred in the global economy last year.

The five main hotel chains with headquarters in the Valencian Community (and owned by local family entrepreneurs) have thus almost doubled their turnover in 2022 compared to the previous year, when, it should be noted, although borders were open, many sanitary restrictions were still in place and historic tourist markets such as the UK were discouraging (and making it difficult) to travel to Spain. The growth, in some cases exceeding 100%, is not only due to the increase in the number of guests, but also to the increase in rates.

The five chains mentioned are among the 75 largest hotel companies in Spain by business volume in the list of the 75 largest hotel companies in Spain, compiled by the specialized publication in the tourism sector Hosteltur, which is topped by Riu with a turnover of 2.905 billion euros in 2022, displacing Barceló (2.548 billion), NH was the third chain (1.759 billion) and Meliá ranked fourth (1.692 billion). In the case of the Valencian Community, the industry representatives included in this exclusive list, in order, are Servigroup, Magic Costa Blanca, Hoteles RH, Port Hotels and Grupo Bali (the first appearance of the latter, while Hoteles Poseidón, a regular member of the list, is excluded).

1. Servigroup: 101.3 million euros (+102.6%)

The leading hotel chain in the Valencian Community, founded by the Caballé family half a century ago. Servigroup is the second most managed property in the Valencian Community, with 18 hotels from three to five stars, all in coastal resort locations in the Valencian Community, Murcia and Andalusia: Benidorm, La Vila Hoyosa, Orihuela, Benicassim, Peñíscola, Alcossebre, Oropesa, La Manga and Mojacar. Last year it ranked 23rd among Spanish hotel chains in terms of business volume.

In 2022, according to data published by Hosteltur (provided by the companies themselves), Servigroup had a turnover of 101.3 million euros, 102.6% more than double the previous year (50 million euros). The impressive growth of the Caballé network, however, does not allow for a full recovery of the pre-pandemic business, and remains 14% below the 2019 level, when turnover amounted to 117.8 million euros.

2. Magic Costa Blanca: 87.82 million euros (+72.8%)

The second largest hotel chain in the Valencian Community, strongly represented in Marina Baixa, where it originates from, but also present in other provinces. For example, the Garcia family network will manage the "resort town" of Oropesa del Mar, Marina d'Or, following an agreement with the Murcian Fuertes group to jointly purchase the complex from the Farallon investment fund. Magic already managed twelve hotels and resorts in Benidorm, Finestrate, La Vila Hoyosa, Alfas del Pi and Gandia, as well as apartments.

In 2022, the hotel chain of the Garcia family according to the Hosteltur ranking had a turnover of 87.8 million euros, making it the thirty-second largest hotel company in the country. Magic Costa Blanca's business increased by 72.8% compared to the previous year, when turnover amounted to 50.8 million euros. In this case, growth in 2022 allowed the network to improve its pre-pandemic performance by 1.7% as it earned €86.35 million in 2019.

3.

The leading hotel chain by number of properties is Hoteles RH, which has twenty hotels from three to four stars along the coast of the Valencian Community. Its brand is present in Benidorm, Calpe, Gandia, Valencia, Castellón, Peñíscola and Vinaros. Last year, the Benidorm-based company ranked thirty-sixth among Spanish hotel chains in terms of business volume, according to Hosteltur.

In this respect, Hoteles RH earned a total turnover of 78.5 million euros in 2022, 61% more than the business volume in 2021, when revenues amounted to 48.8 million euros. RH's growth is also notable compared to the pre-pandemic period, as it earned 19.3% more in 2022 than in 2019 (€65.8 million).

4. Port Hotels: 52 million euros (+8.3% vs. 2019)

The smallest hotel chain in the ranking, but the most dynamic in recent years (through surprising acquisitions), is the Port Hotels chain, owned by the family of ex-Hosbec president Tony Major. The chain has expanded its line of business with city hotels and moved into the province of Valencia, where it now has 11 properties in Benidorm, Calpe, Denia, Alicante, Elche and Valencia.

In 49th place in the Hosteltur ranking, Port Hotels earned a total turnover of 52 million euros last year. However, it is not possible to compare this figure to the previous year, as Majora's network did not provide data and was not listed in 2021. Nevertheless, a comparison can be made between the business of 2022 and what it was before the pandemic: Port Hotels earned 8.3% more than in 2019, when revenues amounted to 48 million euros.

5. Grupo Bali: 23.1 million euros (+220%)

The chain that closes the top 5 hotel businesses in the Valencian Community and the last local chain to appear in the ranking of large Spanish hotel chains in 2022 is Grupo Bali, which makes its first appearance on this list, from which, as already mentioned, the "classic" Hoteles Poseidón, owned by the Devesa family, was dropped. As this is its first appearance, Hosteltur does not compare its business volume in 2022 to what it was before the pandemic, but it does compare it to the previous year.

Grupo Bali, which operates three hotels, all in the city of Benidorm, boasts that it has the tallest hotel in Europe, the Gran Hotel Bali (52 floors, 43 rooms, 186 meters high). The Benidorm Center and Hotel Cabana are being added to its flagship hotel on Poniente Beach. In 2022, the Benidorm group earned 23.1 million euros, 220.5% more than in the previous year (7.2 million euros) or, in other words, more than triple. These numbers place it 71st among the nation's major hotel chains.