Travel in Russia

Despite hosting the FIFA World Cup in 2018, Russia records stronger growth in inbound arrivals in 2019

It was always going to be a hard act to follow in 2019 – having hosted soccer’s FIFA World Cup in 2018, arguably the biggest sporting event in the world. As a result of this competition, there were some extraordinary growth spikes in visitor numbers from relatively far-flung countries participating in this event, such as Colombia, Mexico or Peru.

Positive consumer experiences drive online travel sales

In 2019, online travel sales to residents continued to post strong double-digit growth in current value terms. Russians are becoming increasingly comfortable with e-commerce, with even middle-aged and older generations becoming more familiar with various online services and digital platforms.

New regulations in lodging and the introduction of “Elektronnaya Putevka”

The state continued to strengthen its control in lodging in Russia in 2019. In 2018, several amendments were made to the federal law regulating hotels in Russia, with operators needing to have a category certificate to prove that their services are of a particular standard to provide hotel services.

Rising fuel prices a problem for the industry

Rising fuel prices negatively affected the travel industry in Russia in 2019. The fuel price increases were causing costs to grow, but, with the high levels of consumer price sensitivity in Russia at the moment, players were forced to suffer reduced margins instead of raising prices for end consumers.

Russian travel industry is expected to perform well over the forecast period

Economic recovery and a subsequent increase in consumer purchasing power will encourage Russians to travel more, while inbound arrivals are also expected to continue growing, so that the Russian travel industry as a whole is expected to perform well over the forecast period. The still relatively recent FIFA World Cup provided an opportunity for Russia to promote its various travel destinations and tourist offerings, while the global trend for city breaks and authentic experiences will also attract tourists to Russia.

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