In January-September of this year, the average price of a one-night stay in five-star hotels in Azerbaijan through the online booking system was 215.6 manats. According to the report of the State Tourism Agency, this is 33.3 percent more than in the same period last year.
The highest price in the reporting period was 349.9 manats and was recorded in Gabala. This is 12.8 percent more than a year ago. Guba hotels took second place with 327 manats. Third place among five-star hotels was taken by Absheron hotels with 308.8 manats. The average price in this region has increased by 82.7 percent in the last year.
“Caspian” The newspaper published an article on the subject.
“So there is demand”
Samir Dübandi, Chairman of the Board of Directors of the “Azerbaijan Association of Hotels and Restaurants”, explains the increase in prices by several factors: “The increase in prices can be explained by factors such as inflation and rising costs in the world. and lower category hotels have different customers. However, in the mentioned area the price increase affects all business segments. In connection with the laws of free market relations, negative situations may occur in the. economic system if the services are sold at a higher price, then there is demand for them.”
According to the president, the country’s five-star hotels not only serve domestic and foreign tourists, but also receive numerous official guests and offer various business services. Therefore, the price increase will not significantly affect your occupancy rate.
The price of four-star hotels can change
According to tourism expert Kanan Hanifayev, prices may rise due to the presence of important events in our country these days: “The increase in hotel prices is due to the increase in tourists and demand. The increase “Prices increase by 20 to 30 percent, especially in five- and four-star hotels.”
According to the expert, it is possible that prices will fall when the number of guests in hotels decreases: “If the price increase in five-star hotels corresponds to supply and demand, and there are no rooms in existing hotels, the four-star hotels “They are already booked. This naturally causes a change in the price of four-star hotels. There are certain months when a decrease in the number of guests is observed. “At this time, hotels can change prices and lower them.”
“Competition shapes pricing policy”
Economist Eyyub Karimli considers it normal for prices to rise when demand increases: “Comparing the corresponding period of this year with the corresponding period of last year, there has been an increase of more than 30 percent in tourist visits. This has its effect “I think this is not only for five-star hotels, it can affect the price of others. Furthermore, it is expected that when demand increases, prices will also increase.”
The economist stated that sometimes prices increase, but this is not reflected in the quality: “In my opinion, it is better if the price increase and the quality are equal. Sometimes we come across cases where the price increases, but there is no change in quality. I think that as tourism develops, quality will also increase. The pricing policy also depends on the competition. The more competition there is, the more it will be reflected in the prices.
Domestic tourism is developing.
According to Rahman Guliyev, chairman of the Committee for the Protection of Tourists’ Rights, one of the main reasons for the increase in hotel prices is the closure of dry borders: “This has a positive effect on the regions. Before the pandemic, People used to go to Georgia and Turkey to rest, but now they visit these regions because the borders are closed. It is good that domestic tourism is developing day by day and funds do not leave the country.
According to R. Guliyev, hotels can increase their prices depending on their reputation and quality: “Hotels form their portfolio depending on the client’s budget. Today, if a hotel wants to improve the quality of service, it should increase the number of employees, changing the furniture… At this time, additional expenses are necessary. These costs also lead to an increase in prices. If the costs were 100 manats, they are now 150 manats. stars will try to cover their expenses. The client base with a higher fee will be larger. They will earn the same money, but their reputation will also increase.
The president of the committee stated that the number of hotels should be increased to regulate prices: “The market regulates the price by itself. The businessman cannot keep the price stable. I think that if we increase the number of budget hotels in the coming years In the future, it will lead to price stabilization.”
