Crisis in Majorca as bars and clubs forced to close as 'season has not met expectations'

Majorca's hospitality sector has been left disappointed by a less-than-stellar season, with restaurants reporting a 20 per cent drop in turnover as early as June

Majorca's hospitality industry has voiced disappointment over a less-than-impressive season, with restaurants noting a 20 per cent decrease in turnover as early as June. While bars and eateries often grab the headlines, other parts of the sector have been sharing their own challenges.

The nightlife scene, in particular, has taken a significant hit, with the ABONE association estimating a 15 per cent drop in turnover compared to 2023. Association president, Miguel Perez-Marsa, observed that while July and August were satisfactory, the remainder of the season has been somewhat lacklustre.

Consequently, some businesses in Majorca's resorts have already begun shutting down for the season. Perez-Marsa, who also serves as the CEO of the Cursach Group, cited BCM in Magalluf - the group's most renowned club - as an example.

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Despite BCM hosting a closing party on September 28, there are still a few events scheduled for October. According to association president Miguel Perez-Mars, July and August were decent months for the hospitality industry, but the rest of the season has been relatively flat.

He stated: "September was quite difficult. Some have only been opening at the weekend. There isn't much activity.", reports the Express.

Both restaurants and clubs attribute the downturn to a lack of spending, which they believe is at least partially driven by the rising costs of travel and accommodation.

Tourist numbers may have seen a 4.7 per cent increase in the first eight months of 2024, with spending up by 12 per cent, but these figures don't tell the whole story.

A significant portion of this expenditure is tied up in package holidays or the costs of independent travel and accommodation, which doesn't necessarily translate to what tourists spend on the ground at their destinations.

Critics argue that such statistics fail to provide an accurate insight into actual spending patterns within holiday spots.

Perez-Marsa weighed in on the matter, stating: "The truth is that the season has not met expectations. The post-pandemic champagne effect, with many people travelling and with a desire to spend, has ended. We have not had the activity that we had in 2022 and 2023."