C.1.1. Economic Pillar - Local Economy Development - Local community contribution
Why does this matter?
Tourism should benefit local people. When more money stays local:
- Small businesses grow.
- Jobs are supported.
- The local economy becomes stronger and more resilient.
- Economic "leakage" is reduced.
This indicator evaluates whether the tour actively strengthens the local economy.
What does it take into account?
It checks how much the tour supports local businesses. It looks at:
- How much spending goes to local vs. non-local suppliers.
- Whether spending is distributed across different businesses (avoiding dependence on just one).
- Whether small and micro enterprises are included.
How is this measured?
The operator calculates the total amount spent at local businesses and compares it to the tour's total cost.
The result is expressed as a percentage of local spending.
The higher the percentage, the higher the final score (from 0 to 5).
About the Score
Score 0: Very Poor
No money, or almost no money, is spent on local businesses.
10%
0.0% - 20.0%
Score 1: Poor
Only a small part of the budget is spent locally.
30%
20.0% - 40.0%
Score 2: Satisfactory
Around half of the total spending is local.
50%
40.0% - 60.0%
Score 3: Good
Some money is spent on local businesses.
A large share of the budget still goes outside the destination.
70%
60.0% - 80.0%
Score 4: Very Good
Most of the budget is spent on local providers.
Only a small part goes to external businesses.
90%
80.0% - 92.0%
Score 5: Excellent
Almost all spending supports local businesses.
100%
92.0% - 100.0%
Developed with the support of
Touristic Footprint Index (TFI) by
Portugal Outdoor Alliance (POA)
is licensed under a
Creative Commons Attribution-ShareAlike 4.0 International License
