GMT Group, which operates branded hotels Tbilisi Marriott, Courtyard Marriott and Moxy Tbilisi, says that the current season has been difficult for the hospitality industry.
Mariam Pkhakadze, marketing and communications manager of the Group, told BM.GE that hotel occupancy rates have significantly decreased compared to the same period last year.
According to her, there are particularly significant challenges at hotels located on Rustaveli Avenue, such as the Tbilisi Marriott, while Courtyard Tbilisi and Moxy Tbilisi are operating more stably.
“The current season has been quite difficult for the hospitality industry. Hotel occupancy rates have significantly decreased compared to the same period last year. We have challenges especially at hotels located on Rustaveli Avenue, in this case at the Tbilisi Marriott, the occupancy rate has practically halved. Courtyard Tbilisi and Moxy Tbilisi are working more stably at the expense of tourist groups and Indian groups, however, due to competition and market changes, price adjustments have become necessary.
The dynamics of bookings are unstable. Unfortunately, cancellations have increased sharply, especially at the Tbilisi Marriott. The first quarter is a relatively difficult month in terms of occupancy, and some positive dynamics are observed from the second quarter. However, the final results will largely depend on the economic and political environment in the country,” - Pkhakadze said.
As for the markets, Pkhakadze says that their customers are traditionally from India, the United Arab Emirates, China and the United States. In the case of European tourists, demand has significantly decreased.
“Traditionally, our main guests are from India, the United Arab Emirates, China and the United States. This season, demand from Europe has significantly decreased. Regional tourists are more active, but more price-sensitive, so a flexible pricing strategy is needed,” Mariam Pkhakadze noted.
