Development trends in the Russian hospitality business
63% of hotel operators say they did not change their plans due to the current geopolitical environment and the introduction of economic sanctions. 37% of operators continue to carry out their current projects, but put on hold their development plans. None of the operators decided to leave the Russian market.
33% of hotel developers say that their business is profitable and interesting, аwhile 54% report that their business is not superprofitable, but stable.
62% of developers and operators are going to minimize costs by improving their performance, while 38% have been looking for opportunities to maximize profits in the current year. None of the companies are going to minimize costs through staff reductions.
30% of respondents think that the simplification of the visa regime is the most effective change that will have a positive effect on the development of the hospitality business. 30% of respondents favor tax benefits, and 23% stand for a strong centralized marketing campaign.
About the survey
At the end of November, EY conducted a survey on development trends in the Russian hospitality business in current economic conditions. Key survey findings are based on the answers of hotel operators (35% of respondents) and developers (65%).