Suburban rental market surges by a notable 26%
In the vibrant heart of Russia, the daily rental market is experiencing significant growth and transformation. This was the focus of Avito Travel's conference held on September 18, which attracted over 1,000 professionals in the field.
The event, designed to discuss trends in the tourism market and tools for increasing profitability, was attended by Andrey Sharonov, the director of Avito Travel, and Artem Kromokhin, the company's director.
According to Kromokhin, the key to creating a comprehensive experience for clients lies in a more thoughtful selection of objects, changes based on guest requests, and price optimization. He emphasized the importance of quality over scale for growth in the market.
The supply of daily rental objects in Russia has grown faster than the tourist flow, with a 26% increase compared to September 2024. This growth is particularly notable in the segment of country rentals, where the supply has grown by 32%.
The tourist flow in Russia is approaching peak values, with the number of booked nights increasing by 9.5% and the average check increasing by 11.5% (from 3,900 to 4,400 rubles) by the end of 2025.
In the Krasnodar region, the growth of daily rental objects was 17% and 26% respectively for apartments and country houses. According to Avito Travel, the volume of daily rentals in the Krasnodar region increased by 17% for apartments and by 26% for country houses in September.
To increase the attractiveness of objects in high competition, Kromokhin suggests actively using technological platforms. Mobile apps from successful managing companies allow guests to open doors, regulate temperature, communicate with support, and access additional services, while allowing landlords to monitor revenue dynamics, bookings, and service.
Avito Travel has introduced a paid early access to contacts of property owners, a move that reflects the increasing use of Online Travel Agencies (OTAs) by businesses. Companies like Vacasa are reported to get up to 95% of all bookings from external platforms.
Looking to the future, experts predict that the competition in the daily rental market is intensifying, but it's still possible to enter the business. The Russian daily rental market is predicted to grow, with a volume of 381 billion rubles by the end of 2025 (+22% from 2024). By 2028, this could reach 549 billion rubles.
Despite the consolidation of large foreign managing companies, standardizing the exterior and equipment of accommodation objects, and focusing on technology, Kromokhin believes that it's no longer sufficient just to rent out accommodation; it's important to impress clients with their experience. He recommends a more thoughtful selection of objects, changes based on guest requests, and price optimization to create a unique and memorable experience for clients.
In conclusion, the daily rental market in Russia is thriving, with growth expected to continue in the coming years. By focusing on quality, technology, and the overall client experience, businesses can succeed and thrive in this competitive market.
