Ryanair's departure from the Azores: what this means for tourism and the local accommodation market in 2026

Ryanair's departure from the Azores: real impact on tourism and local accommodation

At the end of 2025, Ryanair confirmed that it will completely abandon its operations in the Azores from March 2026. The company justified the decision with the increase in airport taxes and the lack of conditions it considers essential to maintain its low-cost model.

Regardless of the official explanation, the practical effect is immediate: the archipelago loses hundreds of thousands of seats per year that were being made available by a company that, like it or not, democratized access to the Azores. For years, Ryanair's presence brought in tourists who would never have considered visiting the archipelago if it weren't for flights costing between €20 and €40, especially young travelers, backpackers, and those taking weekend getaways.

The truth is that the low-cost operation was not just "another" route; it was a structural piece that helped smooth out seasonality and ensure movement in traditionally weak periods. And when a destination depends on air connectivity to exist as a tourist destination, every lost route makes a dent—some segments more than others.

The role of low-cost airlines in tourism and why Ryanair made a difference in the Azores

The importance of low-cost airlines in peripheral destinations

Low-cost airlines have played a decisive role in the growth of tourism in several peripheral destinations, and the Azores are no exception. The presence of these carriers profoundly changes the type of visitor who arrives, the frequency of travel, and the actual accessibility of the destination. In the case of the Azores, Ryanair has clearly contributed to diversifying the tourist flow and bringing in visitors who would be unlikely to choose the islands if the cost of travel were substantially higher.

The profile of travelers that Ryanair brought to the Azores

The profile of these travelers was quite specific. Many were Portuguese from the mainland looking for a quick getaway, especially when prices were low enough to justify a spontaneous trip. Others came from Spain, a market that historically responds well to accessible island destinations. There was also a consistent flow of young Europeans, mainly Germans, French, and British, attracted by nature, the mild climate, and the fact that they could travel with little planning and without a major impact on their budget. These segments did not compete directly with premium tourism; they were complementary. They filled gaps in the low season, occupied more economical accommodation, and helped to maintain some movement in the less popular months.

The immediate impact of Ryanair's departure

With Ryanair's departure, it is inevitable that part of this segment will disappear. Low-cost tourism is highly price-sensitive and tends to decline rapidly when travel becomes more expensive or less convenient. This is likely to result in a reduction in short stays, a drop in last-minute bookings, and weaker occupancy in the transition months between seasonal peaks. Budget accommodation, hostels, and undifferentiated units will be the first to feel the impact, as they depended on volume rather than added value. On some islands, where Ryanair routes played a more visible role, this decline may be even more significant.

The opportunities that may arise from this change

But there are also less discussed effects that can become opportunities. When the cost of travel rises, visitors who decide to come tend to stay longer to justify the investment. This can reduce the pattern of quick trips between islands and encourage longer stays in the same location. These types of visitors consume more locally, establish a stronger relationship with the destination, and contribute to more sustainable tourism. A longer average stay can, in many cases, compensate for the reduction in the absolute volume of visitors.

Repositioning tourism in the Azores

There is also the question of profile. If the proportion of tourists with greater purchasing power increases, accommodations that focus on quality, good presentation, and professional services can benefit directly. This does not mean transforming the destination into a luxury market, but rather reinforcing a natural trend: those who pay more for their trip tend to value accommodation, experience, and service more. For those who work professionally in the local accommodation sector, this could be an interesting time to reposition their product and differentiate themselves from establishments that continue to compete solely on price.

And what about the future of air travel?

As for air connectivity, it is prudent to remain cautious. The departure of a low-cost airline such as Ryanair inevitably creates a void, and there is currently no other airline with the immediate capacity to absorb the same volume or type of demand. The SATA group may adjust schedules or strengthen some connections, but the overall impact is unlikely to be offset in this way, and it is natural for the market to go through a period of adjustment before finding a new balance.

However, there is an additional layer that makes this issue even more complex: SATA's own situation. Amid discussions about the company's future, the possible privatization of part of the group, and pressure to make operations more sustainable, it is unclear how the regional carrier will position itself in the coming years. Its evolution will have a direct influence on tourism and access to the archipelago, but this issue deserves its own analysis, because it goes far beyond the question of Ryanair's departure.

For now, the key thing is to recognize that the market will tend to readjust. Other companies may evaluate the region, especially if they identify consistent demand and favorable conditions, and the destination itself may evolve towards a positioning more focused on visitors who continue to choose the Azores even when there are no extremely low fares.

Ultimately, the real effect will not be the collapse of tourism, but rather a change in profile. The destination will continue to attract visitors, but with different motivations and budgets. The challenge for those operating in the sector is to clearly understand this transition and strategically adjust their offerings.

A changing market and the importance of a good strategy

Tourism in the Azores is entering a new phase. Less dependent on volume and more focused on quality, experience, and authenticity. For owners, this means rethinking their strategy and adapting to visitors who are likely to stay longer and seek better conditions.

This is precisely where professional management makes a difference. At Your Nest, we help owners take advantage of this new context, preparing each property to attract a more demanding audience and ensure consistent occupancy throughout the year. If you feel that your property has more to offer, we are always available to find the best path forward with you.