For a true measure of Spain’s economy, look to its nightlife

In the Big Book of Spanish Clichés, the debauchery of a typical night out in Spain comes shortly after the popup image of a sultry señorita dressed in full Flamenco get-up.

Clubbing in Spain is something of a religion for many…

From the superclubs of Madrid, Barcelona, Ibiza and Puerto Banús, to the neon-lit music meccas that dominate almost every village square come 12am across the country, young Spaniards like nothing more than letting their hair down with the aid of some thumping house beats and lashings of extremely strong rum and cokes.

Which meant that the Spanish clubbing industry was hit harder than most during the recent economic downturn. Sure, the world-famous names of Ibiza, Majorca and Marbella stayed strong, but many of the clubs favoured by Spaniards struggled to attract the requisite numbers, forcing many to close between 2008 and 2013.

Now, according to a report by Forbes, the good vibes are returning – offering one of the surest signs yet that Spain’s economy is back on track.

Whether it was record unemployment, the smoking ban or a wider malaise, the fact that 400 venues went bust in Madrid alone since 2008 suggested a rather worrying trend. But following six straight quarters of economic growth, Spain’s capital is beginning to dance to the beat of prosperity once more, with recent reports showing that more than €15 million will be invested in new clubbing venues in Madrid this year.

The largest, a 1,000 capacity venue called Opium, cost €2 million and opened last week, making it Spain’s biggest club opening in six years. According to Noche Madrid, the city’s nightlife business association, five more superclubs are tabled to open in the city in 2015.

“Madrid is a great place to be,” said Opium owner Javier Bordas. “You’ve got football players, celebrities, and people love to party. We’re optimistic.”

Strong domestic demand is helping to fuel this optimism, with the average Spaniard set to be better off this year than they have been since 2007. “The economy is growing faster than expected on the back of strong demand, helped by low inflation, labour market conditions and a pick-up in real wages,” said the chief euro-area economist at Barclays, Antonio García-Pascual. “Private consumption and investment will be the main drivers of growth this year.”

Prime Minister Mariano Rajoy’s labour reforms have made it easier for people to get – and keep – jobs, which has begun to trickle down into the wider economy. The news that Spaniards have now begun to hit the late-night clubs, bars and bodegas across the country suggests that consumer confidence has returned with a vengeance.

However, according to one Madrid nightclub owner, the market has changed. “The crisis means that you now have to appeal to a wider range of customers, aged 18 to 60, and transition from dinner to drinks,” said Fernando Nicolás, who co-owns Madrid establishments Marieta and Pipa & Co. “You don’t want to be just a club.”

The fortunes of the Costa del Sol’s own clubbing scene, while not directly mirroring those of Madrid, have followed a similar path. There has been a distinct shift in recent years for new establishments to offer something more than glitzy décor and thumping dancefloors, as evidenced by recent newcomer La Sala, which offers live music, a restaurant and grill, a bar and the obligatory late-night party atmosphere.

Puerto Banús’s legendary front and second lines – for so long considered immune to the global economic crisis – themselves experienced a slight downturn in recent years, but with the summer season right around the corner, 2015 promises to be the year in which Marbella truly regains its famous mojito-fuelled mojo… salud!