Problems and perspectives of Russian hostels in light of the global trends

The article analyzes the development of Russian hostels under the toughening legislature and in light of global trends in the market. Contemporary hostels are not low-cost and low-quality accommodation anymore. Rather, they are a special product targeted at millennials tourists and their specific needs and lifestyles. Key characteristics determining hostels’ value include location, cleanliness, extended set of amenities, private rooms, social spaces and events. A sample of Russian hostels’ offers on Booking.Com was investigated in the beginning of October, 2019, when new rules for hostels came into force, was carefully investigated. The study showed that Russian hostels, in general, follow the global trends. As a rule, they have good location, provide various types of rooms and good facilities, have private rooms and common spaces, and often provide various additional services. Social events are the least developed aspects of hostels in Russia. High ratings and intense commissioning new hostels during the last years confirm the perspectives of this type of accommodation, which is still new for Russian market. The recently introduced ban to place hostels in dwelling houses hasn’t reduce the supply so far but is the major risk factor negatively influencing the future of this segment in Russian market.