Digital nomads

Key Highlights & Conclusions

– Work as a lifestyle and identity: Digital nomads prioritise meaningful, autonomous and flexible work over traditional corporate careers. Professional and personal lives increasingly overlap, with work remaining central to their identity.

– Coworking spaces as facilitators: Beyond providing workplaces, coworking spaces foster social connections, accelerate integration into new destinations and offer access to local knowledge, services and professional networks.

– The emergence of the worker-tourist: Digital nomadism blurs the boundaries between working, travelling and living, introducing new patterns of mobility, consumption and urban transformation.

– Growing pressure on housing markets: Digital nomads’ greater purchasing power can increase rental prices and contribute to transnational gentrification, making housing less affordable for local residents.

– Tourism beyond traditional seasons: Digital nomads extend tourism activity into the off-season, creating economic opportunities but also intensifying touristification and pressure on local communities.

– Precarious employment and economic dependence: Tourism-oriented economies increasingly rely on seasonal, fragmented and platform-based jobs, often characterised by limited employment protection and bargaining power.

– Transformation of local economies: Businesses serving residents are increasingly replaced by tourism-oriented establishments, while reduced investment in other sectors can contribute to underemployment and the departure of skilled professionals.

– Entrepreneurship and social capital: Some digital nomads establish businesses and initiatives that enrich local communities, introduce innovative ideas and promote more environmentally sustainable practices.

– Demand for greener and more liveable cities: Digital nomads can encourage improvements in green spaces, sustainable mobility and local infrastructure, potentially creating common interests with local residents.

Main takeaway:

Digital nomadism creates opportunities for entrepreneurship, social connections and sustainable innovation, but also intensifies housing pressures, touristification and labour precarity. Its long-term benefits depend on balancing the interests of mobile workers with those of local communities.

Digital nomads and their collaborative working and living spaces

Digital nomadism, or lifestyle migration, has been accelerated by the pandemic and it seems that more than 35 million workers are identified as digital nomads in 2022, about 50% of them being millennials. This trend is expected to increase in the next few years in large cities and more rural and peripheral areas, especially in Southern Europe and the Global Sout. In Greece and Portugal (respectively), while the major cities (Athens and Lisbon) remain significant destinations, digital nomads also sought alternative locations in tourist destinations (islands of Crete and Madeira) and second-tier regions (Volos and the Centro region). In parallel, local public authorities took initiatives to attract digital nomads and create “digital nomads parks” (e.g., in Ponta do Sol in Madeira). Moreover, rural areas saw the emergence of hubs and coliving spaces that aim to facilitate digital nomads.