Where Russian Tourists Will (And Won't) Go in 2015
By Delphine d'Amora Mar. 22 2015 19:41 Last edited 19:41
While more expensive destinations have seen their numbers from Russia drop, cheaper destinations such as Bulgaria and Montenegro and budget properties in Greece are faring better in early bookings.
Denis Abramov / Vedomosti
In any ordinary year, the resort towns of Spain, Greece and Italy would be looking ahead to a rising tide of Russians tourists and their typically lavish holiday spending.
But this is no ordinary year. A steep drop in oil prices have sent the ruble tumbling against the dollar and euro, raising the cost of foreign travel and cutting Russians' real wages by nearly 10 percent compared to 2014, according to February data from state statistics service Rosstat.
Travel to Europe has been one of the first luxuries to go. But surprisingly, the resorts of Turkey and Egypt stand to see business from Russia rise this year, as formerly spendthrift Russians trade down and choose cheap package holidays.
Foreign Travel Falls
Tourism out of Russia has fallen between 50 and 70 percent this year, said Irina Tyurina, spokeswoman for the Russian Tourism Industry Union. The flow of tourists across borders has been further hit by an unofficial ban on security and law enforcement officers traveling abroad, which was largely responsible for bankrupting nearly 30 Russian tour operators last year.
The downturn is bad news for tourism destinations in Europe and beyond. Even countries that traditionally draw just a trickle of Russian tourists could suffer, as shops, bars, spas and restaurants count on Russians' disproportionately large holiday spending.
"[Russian tourists] order, or used to order, a lot of extra services, they spend a lot in shops, bars and restaurants. If they go to a spa, they order everything, and may go nearly every day," Tyurina said.
Research done before the crisis showed Russians spending an average of 170 euros ($183) a day while on holiday in Croatia, said Ivor Vucelic, director of product, purchase, IT and marketing at the Russian branch of leading European travel group TUI. This was more than three times the spending of German tourists, who averaged 50 euros ($54) a day