The founder of the Svaneti-based hotel Paliani, Ekaterine Gvelesiani, has warned that artificially reduced prices in the region’s tourism market could undermine the sector’s long-term sustainability.
Speaking on BMGTV’s program Women’s Narrative, Gvelesiani said the tourist profile in Svaneti has shifted in recent years, with an increasing number of low-spending visitors. At the same time, the number of hotels has grown significantly due to years of state-led tourism promotion campaigns, intensifying competition among local businesses.
“The segment of tourists coming to Svaneti has changed. Previously, high-spending tourists came, but in recent years this segment has completely shifted. With more hotels opening, we’ve had to make adjustments in the face of competition. Such a reduction in prices will have a negative impact on the sector in the long term,” she explained.
According to her, Svaneti has the full potential to evolve into a premium resort destination, able to compete with Switzerland and other high-mountain resorts in Europe. However, she warned that artificial price reductions could cause serious harm to the local economy and regional development.
“This impact may not be felt immediately because people are still earning some income. However, this is temporary. In the long term, both the quality of tourism and overall revenues will decline,” she noted.
Gvelesiani stressed the need for a reasonable and sustainable pricing policy to fully unlock Svaneti’s tourism potential and ensure the region’s high-quality development.
