Interview with Luis Capdeville Botelho, Chairman, Visit Azores

10 Dec Interview with Luis Capdeville Botelho, Chairman, Visit Azores

What is the essence of the Azores’s international brand? What makes its landscape, culture, and people so unique?

Luís Capdeville Botelho (LCB): Located in the heart of the Atlantic Ocean, the Azores stands as a collection of nine beautiful islands. Situated four and a half hours from North America and two hours from Europe, our archipelago enjoys a unique geographical position, attracting adventurers drawn to natural beauty.

Our islands, with breathtaking views, cuisine, and wines, captivate the senses and leave an indelible mark on all who visit. But it’s not just the physical beauty that defines us; it’s our commitment to sustainability. As the first archipelago in the world to be certified by EarthCheck for our dedication to environmental, social, and economic sustainability, we take pride in leading by example.

Despite our modest size and historically low tourism profile, the paradigm shifted in 2020 with the onset of the pandemic. As the world sought refuge in the healing embrace of nature, the Azores emerged as a place where one could reconnect with the earth. Our journey towards sustainability has not gone unnoticed. Recognized by international bodies and acclaimed for our commitment to preserving our natural heritage, the Azores have become synonymous with adventure and eco-conscious travel.

The Azores is a place of both natural beauty and rich culture. The people who live there are known for their resilience and their ability to blend tradition with innovation while maintaining a sustainable environment. The Azorean spirit is reflected in the landscape and the way of life on the archipelago, making it a timeless and captivating place to visit.

What do you believe is the key element that makes the Azores such a compelling choice for adventure tourism?

LCB: The travel industry has changed a lot due to the COVID-19 pandemic, which has resulted in a shift in traveler preferences and behaviors. Airlines have adapted their strategies to take advantage of these changes by repositioning the Azores as a destination that caters to this new trend. This has led to some impressive results, such as welcoming three prestigious international airlines (or “three major European national carriers”) for the first time in 2021: Lufthansa, Swiss Air, and Iberia. Building on this momentum, in 2022, British Airways, United Airlines, Transavia, and others inaugurated flights to the region. The goal is to continue fostering growth year after year.

Central to our strategy is the Azorean government’s commitment to tourism, with a dual focus on fostering year-round visitation and ensuring social and economic sustainability. Also, we’re working with airlines to extend operational seasons and reduce summer tourism seasonality. Through collaborative efforts with airlines, we’re crafting solutions to prolong operational periods, facilitating year-round accessibility to our archipelago. We’re partnering to improve the visitor experience and support our communities’ economic growth. This will ensure that the Azores remain an attractive destination for adventurers and nature-lovers all year round.

Your consistent annual growth, nearly 10%, is impressive. What do you believe has been the primary driver behind this success? Was it the proactive engagement with airlines or the increased global awareness of the Azores following COVID-19 and subsequent accolades? What do you consider to be the most pivotal factor in this positive trajectory?

LCB: Our success story began with a shift in traveler preferences, prompting a corresponding adjustment in airline strategies. By strategically positioning the Azores as a must-visit destination, we attracted the attention of major airlines, resulting in a notable uptick in visitor numbers. This increase in arrivals translated into improved international recognition and prestigious awards.

 We have achieved a great deal, but we are still aiming to improve. Our next goal is to attract more tourists to all nine of our islands by diversifying our offerings. São Miguel is the primary gateway, handling over 90% of international air traffic. Our challenge is to ensure this influx is evenly distributed, guaranteeing all islands’ economic sustainability.

Addressing the issue of overcrowding at popular tourist spots is another priority for the government. Despite perceptions of mass tourism, the reality is quite different. To counteract this, we’re implementing measures to promote a more balanced distribution of visitors within each island, thereby preserving the authenticity of the Azorean experience while alleviating pressure on key attractions.

That is an excellent plan. With the launch of the new Azores Tourism Agency, what strategic objectives do you aim to accomplish under this revamped entity compared to its predecessor? Additionally, what specific targets have you set out to achieve in 2024?

LCB: Our goals are in line with the government’s vision, particularly in addressing the issue of over-reliance on a single island for tourism and fostering year-round air connectivity with airlines. However, achieving these goals presents significant challenges, particularly in tour operations.

Pre-pandemic, tour operators promoted the Azores during peak summer. Pandemic-led shifts in consumer behavior increased direct bookings. But tour operators are still important for securing airline deals, especially in the winter. It’s vital to reconnect with traditional hotels due to limited availability from direct bookings. Our accommodations present a distinctive blend: 60% are local and rural options, while traditional hotels comprise the remaining 40%. However, only hotels are fully integrated into tour operators’ distribution networks. Despite this, all our accommodations offer a more authentic experience, fostering a deeper connection with the destination and contributing to equitable wealth distribution.Successfully navigating these challenges is very important for achieving our shared goals and ensuring sustainable tourism growth in the Azores.

The Azores is a great ecotourism destination. For American travelers, what sets it apart from other European ecotourism spots? What experiences can they enjoy during their stay?

LCB: The Azores offers many adventure activities that align with ecotourism principles. Hiking, a highly sought-after activity, appeals to a broad audience and holds significant weight in our offerings. Cycling is equally popular, particularly among visitors with purchasing power.

Sailing charters provide another sustainable option, offering week-long experiences that foster deep connections between guests and service providers. This personal interaction often leads to long-lasting relationships, with guests returning to repeat the experience and recommending it to others. Moreover, the government’s commitment to safeguard 30% of our maritime area has opened up a lot of potential for diving enthusiasts. They can now experience the beauty of our oceans while knowing that we are working towards sustainability and conservation.

Whale watching, facilitated by numerous reputable tour companies, is a standout experience in the Azores. Many of these companies are transitioning towards transformational tourism, aiming to impact visitors’ lives profoundly. This approach goes beyond sustainability, seeking to inspire guests to make meaningful changes upon returning home. As travel evolves, purpose-driven tourism will become increasingly prevalent. The Azores is well-positioned to cater to this trend, offering immersive experiences that showcase our natural beauty and empower visitors to impact the world.

Absolutely. What incentives and investments have been implemented to expand and improve infrastructure in preparation for accommodating large events?

LCB: The regional government has introduced incentives to attract events, particularly to address seasonality by focusing on the low season when demand naturally dips. However, our focus isn’t on hosting large conferences or events. Instead, we emphasize incentives for corporate gatherings, such as team-building activities and executive meetings.

Our primary challenge is enhancing communication strategies to align with our commitment to sustainable tourism. We aim to leverage digital technology to deliver targeted messaging to specific audiences. This involves crafting tailored campaigns and marketing materials that highlight the unique offerings of the Azores. For example, when promoting diving experiences, we ensure that our messaging reaches individuals in the United Kingdom or the United States who have expressed interest in this activity. By delivering high-quality, relevant content, we strive to showcase the exceptional experiences available in our region.

Absolutely. How can the Azores unlock the full potential of the US as a source market? By analyzing arrivals and tourism receipts over the last decade, what specific campaigns, strategies, and improved connections could be implemented to attract more high-spending tourists from the US?

LCB: Tourism dynamics have shifted significantly, especially in light of the pandemic. Interestingly, while Germany historically held the top spot as our primary external market, in 2023, the United States took the lead. This shift makes perfect sense, given the substantial Azorean diaspora scattered across key American regions like Boston, New England, and California.

What’s fascinating is the growing interest among American visitors in many experiences. From the thrill of Big Game Fishing to the tranquility of diving, the allure of hiking amidst breathtaking landscapes, the richness of our culture and gastronomy, and the exquisite wines, there’s something for every taste.  Our strategic location, just four and a half hours from Boston with convenient year-round flights operated by SATA, and Azores Airlines, has undoubtedly played a pivotal role in this evolution. The introduction of United Airlines’ daily flights starting in May 2022, connecting JFK and the Azores, is poised to revolutionize the influx of American visitors. With these advancements, we foresee a notable increase in American tourists discovering the beauty of the Azores. This influx will enrich our tourism offerings and foster stronger cultural connections between our regions.

ELB: That seems all very good. What are your top three priorities for this year and how will you leverage these to take the Azores tourism industry to the next level?

LCB: Our top priorities for this year are all about adapting and innovating to meet the evolving needs of our industry. First, we’re focused on finishing the development of our communication strategy, ensuring it’s perfectly attuned to the current trends and preferences in communication. We want to make it easier than ever to connect with people who are interested in the Azores, even if they have yet to discover us.

Secondly, we’re dedicated to completing our business intelligence tool, our data powerhouse. This tool consolidates data from various sources and utilizes artificial intelligence to analyze correlations between variables. We aim to create predictive models to forecast market trends months in advance. This foresight will enable us to invest strategically and proactively in each market and channel, ensuring we’re always ahead of the curve.

 Ultimately, by leveraging these priorities, we aim to propel the Azores tourism industry to new heights, improving our ability to connect with travelers worldwide and provide unforgettable experiences that showcase the beauty and uniqueness of our archipelago.

Awesome idea. And when do you think this will be ready?

LCB: By the end of 2025, that’s our goal.

Would you like to leave a final message to the readers of USA TODAY?

LCB: Come and explore the Azores, where every moment is unique and unforgettable. You’ll leave with memories to last a lifetime and a longing to return as soon as possible.