Hotels in Russia Experience 60% Drop in Sales


Sales of Russian hotels in October decreased by 60%, according to a study by the OFD Platform IT company, which processes 44 mln checks daily from 1 mln online cash desks in the country, TASS reported.

According to analysts, for the period of October 1-20, 2020, compared to the same period in 2019, the sales volume in hotels fell by 60% year-on-year. The average purchase check (including prepayment and additional hotel services) amounted to 3,395 rubles ($43.02), which is 6% lower than last year.

In September, sales were 41% below last year’s level. The average purchase receipt was 3,490 rubles ($44.22) – 9% lower than last year.

Experts of Platform OFD explain the decline in sales in the hotel sector in the fall as a consequence of the introduction of restrictive measures and a sharp decrease in the volume of business tourism. With the development of remote formats of work, the volume of business trips and, thus, hotel sales sharply decreased. In addition, some players in the hotel sector, primarily mini-hotels, have not resumed their activities after the business was stopped in the first half of the year.