July 2019 Tourism Update: Average Hotel Prices
In Georgia, the average cost of a room1 in a 3-star hotel was 148 GEL per night in July 2019, while the average cost of a room in a 4-star hotel in Georgia was 224 GEL per night and the average cost of a room in a guesthouse2 was 73 GEL per night.
The average cost of a room in a 5-star hotel in Georgia in July 2019 was 482 GEL per night. In Tbilisi, the average price was 588 GEL, followed by Samstkhe-Javakheti - 380 GEL, Adjara – 453 GEL, and Kakheti - 399 GEL.
Hotel Price Index
In July 2019, in Georgia the hotel price index3 increased by 0.2% compared to June 2019. The 3-star, 4-star and 5-star hotel price index increased by 2.7%, while for guesthouses, the price index decreased by 5.7%.
In July 2019, compared to June 2019, the number of international travelers visiting Georgia increased by 25.8%, while among the international travelers, the proportion who stayed in Georgia for 24 hours or more (classified as tourists) increased by 20.9%4.
In July 2019, compared to July 2018, hotel prices in Georgia decreased by 6.5%. The prices of 3*, 4*, 5* hotels decreased by 8.7%, while the prices of guesthouses decreased by 2.8%.
In July 2019, compared to July 2018, the number of international travelers visiting Georgia increased by 5.8%, and among the international travelers, the proportion who stayed in Georgia for 24 hours or more (classified as tourists) increased by 1%.
International Traveler Trips from Russia to Georgia
In July 2019, compared to July 2018 and June 2019, the number of international traveler trips from Russia to Georgia decreased by 6.4% and 4.5% respectively. In July 2019, compared to July 2019, the number of international travelers from Russia traveling by air decreased by 48.8% (by 21,012 travelers), while by land, by railway and by sea it increased accordingly 7.1% (by 8,833 travelers), 85.5% (by 1,082 travelers) and 57.9% (303 travelers).
From 2016 to 2018, the number of international travelers visiting Georgia from Russia was increasing. In 2018, the number of international travelers from Russia amounted to 1.4 mln, 23.8% more compared to 2017. The share of Russian international traveler trips in total number of international traveler trips in Georgia increased from 12.6% to 16.2% from 2016 to 2018.
The share of international traveler trips from Russia by air in total number of international traveler trips from Russia to Georgia increased from 23.4% to 31.1% from 2016 to 2018.
In 2016-2018, the expenditure of international travelers from Russia to Georgia was increasing. In 2018, Russians spent 1.8 bln GEL in Georgia, 66.8% more compared to 2017.
The share of expenditure spent by Russians in total expenditure spent by international travelers in Georgia increased from 18.2% to 23.6% from 2016 to 2018.
“In July 2019, compared to July 2018 and June 2019, the number of international traveler trips from Russia to Georgia decreased by 6.4% and 4.5% respectively. In July 2019, compared to July 2018, the number of international travelers from Russia traveled by air decreased by 48.8% (by 21,012 traveler), while by land, by railway and by sea increased accordingly 7.1% (by 8,833 travelers), 85.5% (by 1,082 travelers) and 57.9% (303 travelers).”
1 The results are based on the surveying of standard double hotel room prices of 3, 4, 5-star hotels and guesthouses in 10 regions of Georgia. Hotels were chosen arbitrarily according to random sampling principle. The study contains 71% (312) of all 3, 4 and 5-star hotels and 25% (456 guesthouses) of all guesthouses registered on www.booking.com The 3, 4 and 5-star hotel price data was collected by contacting hotels individually, while the prices of guesthouses were taken from booking.com. The average prices are arithmetic mean of standard double hotel room prices.
2 Guesthouse: a type of accomodation that is characterized by having a small number of rooms and services are usually offered by the resident family.
3 The calculation of the hotel price index is based on the recommendations given by the International Monetary Fund (IMF). The elementary aggregate price index is calculated by Jevons index (Consumer Price Index Manual-Theory and Practice (2004), Practical Guide to Producing Consumer Price Indices (2009)).
4 Source: GNTA
6 * Preliminary results