France Tops the Charts in Tourists but Lags in Earnings: Is Spain Set to Steal the New Crown?

Thursday, July 10, 2025

France, long recognized as the world’s top holiday destination, is grappling with a significant tourism-related economic dilemma. Despite its record-breaking achievement of attracting 100 million tourists in 2024, the country faces an alarming reality: its tourism sector is not yielding the same economic benefits as other European rivals. This disparity between the sheer volume of visitors and the revenue generated has prompted concern among industry leaders, who fear that France’s dominance in tourism may not be enough to sustain its economic growth in the sector.

Although France retained its title as the most-visited country globally, with international holidaymakers increasing by 12% year-on-year, the spending habits of visitors have lagged significantly behind those of tourists in other European hotspots, particularly Spain. This growing economic gap has caused panic within the French tourism industry, with many wondering if France’s title as the top tourism destination is at risk of becoming irrelevant if the economic benefits do not follow.

The Competition: Spain’s Rising Influence

Of particular concern to French tourism officials is the growing prominence of neighboring Spain, which has been steadily outperforming France in terms of visitor revenue. Spain’s tourism sector is not only generating more income, but it is also challenging France’s position in the global rankings of most-visited countries. French Tourism Minister Nathalie Delattre has acknowledged this rising competition, particularly from Spain, which has seen its share of international tourist spending grow dramatically.

The reality that Spain is now outperforming France in terms of visitor expenditure has left industry leaders worried. While France continues to be the world leader in attracting tourists, the country’s tourism ministry understands that the competition is intensifying, particularly from Spain, which is becoming increasingly adept at attracting high-spending tourists. Delattre emphasized the need for France to focus on increasing the average spending of visitors and encouraging them to stay longer in the country.

Visitor Spending: A Stark Contrast Between France and Spain

One of the core issues at the heart of France’s tourism challenges is the difference in spending patterns between French and Spanish visitors. According to the Tourism Review, while international tourists spend an average of €650 per day in France, their counterparts in Spain spend almost €1,000 per day. This discrepancy has led to growing fears that France is being used as a stopover point for travelers on their way to other destinations in Europe, with most of their economic investment being directed elsewhere.

The result of this imbalance is that, despite France’s remarkable visitor numbers, its tourism receipts remain well behind those of Spain. In 2024, France generated €71 billion in tourism revenue, a figure that was dwarfed by Spain’s €126 billion in tourism receipts. This stark contrast highlights a significant challenge for France’s tourism sector, as the country is not reaping the financial rewards it should from its position as the world’s top tourist destination.

France’s lag in visitor spending is also seen in comparison to other global tourism giants like the United States and Japan, which both generate higher levels of economic activity from their tourism sectors despite receiving fewer visitors. The disparity in visitor footfall and spending has been attributed to the limited time and money that holidaymakers choose to spend in France, despite the country’s world-renowned attractions, such as the Eiffel Tower, the French Riviera, and its rich cultural heritage.

The Economic Impact of Tourism on France

Tourism plays a crucial role in France’s economy, contributing between 5 to 8% of the national GDP. It is an industry that provides millions of jobs and supports a significant portion of the country’s economic activity. However, experts believe there is a vast untapped potential within the sector. If France could increase the per-tourist spending to match that of its competitors like Spain, it could generate an additional €28 billion in revenues, according to some estimates. This figure represents a significant opportunity for growth, which, if realized, could have a profound impact on the French economy.

The current situation highlights a fundamental shift in the global tourism landscape. The traditional volume-based tourism model, which focuses on attracting as many visitors as possible, is no longer enough to guarantee economic success. In the face of fierce competition from countries like Spain, France must adapt its strategy and focus on attracting high-spending visitors who will stay longer and spend more during their time in the country.

Moving Away from Volume-Based Tourism

The tourism industry in France is at a crossroads. For years, the country has relied on attracting large numbers of tourists, but this volume-based approach is no longer sustainable. The key to the future of France’s tourism sector lies in shifting focus to quality rather than quantity. This means targeting high-spending tourists who will contribute significantly to the economy during their stay, rather than simply boosting the number of visitors.

To achieve this, France needs to diversify its tourism offerings and focus on creating unique experiences that will appeal to high-net-worth individuals. This could include expanding luxury offerings, enhancing cultural experiences, and promoting sustainable and immersive travel options. France is already known for its rich culture, fine wine, and exquisite cuisine, but there is a growing need to tailor these experiences to attract wealthier tourists who are looking for more than just the typical sightseeing tour.

Upgrading Infrastructure and Accommodation

Another crucial element of France’s strategy for improving its tourism sector is the modernization of its infrastructure. As the tourism industry becomes more competitive, France must ensure that it is able to meet the needs of the modern traveler. This includes upgrading accommodation options, improving transportation links, and enhancing the overall tourist experience.

One of the primary concerns for tourism officials is the accommodation capacity in major tourist cities. While France offers an array of accommodation choices, from luxury hotels to charming bed and breakfasts, there is a need for more high-end options to cater to the growing demand for luxury travel experiences. By expanding the capacity of its accommodation sector, France could attract more affluent tourists who are willing to spend more during their visits.

Furthermore, enhancing transportation infrastructure, particularly high-speed rail and regional airports, could help make France more accessible to visitors. While the country’s major cities, such as Paris, Lyon, and Nice, are well-served by public transport, there is still room for improvement in less-visited regions. Making these areas more accessible could encourage tourists to explore beyond the typical tourist hotspots, increasing their spending in local economies.

Leveraging Digital Marketing and Targeting Emerging Markets

In addition to improving infrastructure and diversifying tourism offerings, France must also embrace new digital marketing strategies to stay competitive. By leveraging social media, influencer partnerships, and digital advertising, France can reach a broader audience of high-spending tourists. Targeting emerging markets such as China, India, and the Middle East, where the middle class is growing rapidly, could provide France with a fresh influx of wealthy visitors who are eager to explore European culture.

France’s tourism ministry has already begun taking steps in this direction, focusing on digital campaigns that highlight the country’s luxury experiences and unique cultural heritage. By targeting high-net-worth individuals through personalized marketing, France can position itself as a premier destination for those looking for exclusive travel experiences.

The Road Ahead for France’s Tourism Industry

Looking ahead, France faces both challenges and opportunities in its tourism sector. While the country remains the most-visited in the world, it cannot afford to become complacent. The rise of Spain, as well as other competing destinations, has shown that visitor numbers alone are no longer sufficient to guarantee economic success. To secure its position as a global tourism leader, France must adapt its strategies to focus on attracting high-spending visitors who stay longer and contribute more to the local economy.

By upgrading infrastructure, diversifying tourism offerings, and embracing new digital marketing strategies, France can tap into its untapped potential and ensure that its tourism sector continues to thrive in the years to come. With the right adjustments, France has the opportunity to not only maintain its position as the world’s most-visited destination but also secure its place as a top choice for affluent travelers seeking unique and immersive experiences.

In conclusion, France’s tourism sector is facing a critical turning point. While the country remains a global leader in attracting tourists, it must adapt to the evolving demands of the modern traveler. By focusing on quality over quantity, enhancing infrastructure, and targeting high-net-worth individuals, France can unlock the full potential of its tourism industry and continue to be a top destination for years to come.