Russia Online Accommodation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

Russia Online Accommodation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2029)

The Russia Online Accommodation Market size is estimated at USD 3.95 billion in 2024, and is expected to reach USD 5.12 billion by 2029, growing at a CAGR of greater than 4% during the forecast period (2024-2029).

Russia’s economy is facing drastic changes during its invasion of Ukraine. It also affected the tourism market and summer destinations. Since 5th March 2022, the number of users on foreign company websites for accommodation and short-term rentals fell sharply because of limitations for the Russian market.The number of visitors to TripAdvisor’s website in March decreased by 19% compared to February 2022, while Booking.com traffic decreased by 18%. Agoda and Airbnb decreased by 15% and 12%, respectively, and Trivago witnessed a huge fall of 56%.Users have shifted to Russian booking platforms for accommodation. In the period from March 5 to 10, the number of users on bronevik.com quadrupled, while traffic on ostrovok.ru tripled. Demand was created for companies kvartirka.com with a 59% increase, sutochno.ru with 38% and 101hotels.com witnessed a 28%.

Russia Online Accommodation Market Trends

Increase in the Tourism in Russia is Driving the Market

In 2022, more than eight million foreign visitors came to Russia, accounting for about one-third of the pre-pandemic number. Before the pandemic, the travel and tourism sector's percentage of the GDP was estimated to be 5%. It was predicted to be close to four per cent in 2023. The majority of Russian tourist organisations projected a rise in demand for domestic travel from July to September 2023 as compared to the same period the previous year. In order to find hotels and flats, users are now using Russian booking sites. The share of Russians using the Internet for ordering services related to travel booking reached 15.6 per cent in the previous year. The use of the Internet for travel booking has generally increased by 20 per cent.

Rise in the Mobile Hotel Booking is Driving the Market

In Russia, mobile booking is becoming increasingly popular, with travelers utilizing smartphones and mobile applications for on-demand booking and travel management. Russian travelers have distinct payment habits, with many preferring to pay in cash, even when booking online. Online travel platforms cater to these preferences by providing a variety of payment methods, such as cash payments at designated locations.

In the last decade, there has been a significant increase in mobile hotel reservations. When travelling to work or in an emergency, for example, people may use their smartphones to make hotel reservations. Customers can also get assistance from a number of applications for hotel booking experiences when planning a last-minute trip.

Russia Online Accommodation Industry Overview

The report covers major international players operating in the Russia Online Accommodation Market. In terms of market share, few of the major players currently dominate the market. However, with technological advancement and service innovation, domestic to international companies are increasing their market presence by securing new contracts and tapping new markets. A few of the major players profiled in the industry include Booking.com, Trivago, hotels.com, Bronevik, and Ostrovok, etc. Booking.com is the leading hotel booking platform in Russia, holding more than half the market share.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Please note: The report will take approximately 2 business days to prepare and deliver.