A significant number of Portuguese citizens enjoy complimentary vacation lodging.
Portuguese Tourism Booms in Q1 2025
Domestic travel by Portuguese residents saw a significant surge in the first quarter of 2025, with a 15.6% year-on-year increase, according to data from the National Statistics Institute (INE).
The growth was notably driven by business travel and local tourism. Business travel saw a notable jump of 48%, while internal tourism demand accounted for 4.5 million domestic trips.
The main reasons for travel in Q1 2025 were 'visiting family or friends,' which accounted for 40.9% of the total, and 'leisure, recreation, or vacations,' which accounted for 40.8% of the total.
When it comes to accommodation, hotels and similar accommodations accounted for 26.5% of overnight stays in the first quarter of 2025. However, the data does not provide explicit comparative figures on accommodation types or stay lengths versus Q1 2024.
Commercial real estate insights suggest that travelers are increasingly favoring well-positioned, flexible-use lodging properties, which supports a shift towards more adaptable accommodation options. The focus on short-term lodging and transport-linked developments also suggests a possible trend toward shorter, frequent trips rather than long stays.
For trips abroad, 'professional or business' was the second main reason, accounting for 19.6% of the total. The internet was used in 76.2% of travel planning cases for trips abroad, while it was used in 19.4% of cases for trips within Portugal.
The longest average stay was recorded in February (2.82 nights), while the shortest was in January (2.67 nights). When traveling in the first quarter of 2025, Portuguese residents primarily stayed with family or friends, representing 64.7% of overnight stays.
The INE estimates that in 2025, trips within Portugal accounted for 86.3% of the total, while trips to foreign destinations represented 13.7%. The proportion of residents who made at least one trip decreased in March (-1.3 percentage points), but increased in January and February (+2.5 percentage points and +0.9 percentage points, respectively).
Growth was more pronounced in trips abroad, with an 18.5% year-on-year increase compared to a 15.6% increase for trips within Portugal.
In conclusion, domestic travel by Portuguese residents grew significantly in Q1 2025, notably driven by business travel and local tourism. The preference for accommodation is shifting towards flexible, well-positioned properties catering to short-term and repeat visits, though exact shifts in accommodation types or average stay durations were not explicitly quantified in the sources. International travel reasons are less directly detailed but likely include leisure and business purposes, supported by broader tourism growth in Portugal.
- In Q1 2025, business travel within Portugal witnessed a remarkable 48% growth, contributing to the increased domestic tourism.
- As travelers show a preference for adaptable accommodation options, such as well-positioned, flexible-use lodging properties, it indicates a potential shift in the home-and-garden market, especially for short-term rentals in Portugal.
