Georgia’s hospitality sector had a strong summer season, with hotel occupancy at KA Group properties increasing by around 20–25% year-on-year during the summer months, founder Irakli Chighladze told BM.GE. He said the increase helped offset weaker results in March-April caused by regional geopolitical tensions, while occupancy for the year to date is upto 7–15%.
Chighladze said the strongest growth was recorded in Tskaltubo, Tbilisi, Akhaltsikhe and Kazbegi, where occupancy increased by around 15%. Other regions posted growth of approximately 7–10%. Bakuriani was the only exception, with occupancy declining by 3% compared with last year.
According to Chighladze, Bakuriani was affected by both geopolitical developments and infrastructure works. The resort lost most of its visitors from GCC countries during the summer, while major road rehabilitation works also discouraged domestic tourists. He said new direct flights from China helped compensate for weaker demand in other Georgian destinations, but did not have the same effect on Bakuriani.
Chighladze added that hotels reduced prices during March-April due to weak demand, before gradually raising rates as conditions stabilized. He also noted a shift in the seasonal demand pattern, with September and October now expected to be stronger than August. KA Group currently manages 13 hotels across nine regions of Georgia.
