Formula One drives Madrid bookings from Latin America and the United Kingdom

Madrid is seeing a sharp rise in travel demand as the city prepares to host Formula One again after 45 years without a race.

Accommodation searches for the weekend increased 41%, according to Booking.com. Spanish travellers accounted for 37% of searches, followed by Argentina at 15% and Italy at 14%. Argentina remains Madrid's leading international source market for bookings, a position that coincides with the participation of Argentine driver Franco Colapinto.

Amadeus Travel Intelligence recorded the strongest year-on-year growth in bookings to Madrid from the United Kingdom, up 46%. South Korea rose 45%, France 32% and Uruguay 31%. Mexico gained the most ground among the major source markets, rising 16% to account for 11% of inbound traffic.

Air travel data indicated that stays of six to 13 nights would represent about 39% of bookings during Grand Prix week. Spanish travel agencies FETAVE and UNAV expected their activity to grow 10% in September, citing the Grand Prix, the start of Imserso travel and Shakira concerts in the capital.

The event has also pushed up hotel prices. SiteMinder said the average daily rate had risen from 286 euros during the same weekend last year to 485 euros this year, an increase of 69.6%. With ticket prices ranging from 300 to 1,300 euros, the platform said the event attracts visitors with high purchasing power who plan well in advance. Average booking lead time rose 44.8%, while the average length of stay increased 7.5%.