Despite the challenges faced by the tourism industry today, Ukrainian hotels and travel companies are actively improving their strategies to ensure stability and attractiveness for our citizens and foreign visitors. Find out more about how the hotel and tourism business in Ukraine is adapting to the war and continuing to operate

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The full-scale russian invasion had a negative impact on all sectors of the Ukrainian economy. The tourism and hotel business were not the most affected. The latter collapsed by almost 90% in the first months of the war.

The evacuation of a large number of refugees, economic difficulties and difficult emotional conditions have significantly reduced the travel of Ukrainians. 

Due to the security situation, the number of foreigners visiting Ukraine has also decreased significantly. Before the full-scale invasion, an average of 14,000,000 foreigners came to Ukraine per year, the leaders in terms of the number of tourists were: Kyiv - 2,500,000 guests, the second step Lviv - 1,800,000 tourists and Odesa - 1,000,000 visitors. 

In the first half of 2023, 1.3 million visitors crossed the Ukrainian border. However, taking into account the current threats in Ukraine, this is also a pretty good indicator. Most often, tourists came to Ukraine from Moldova (573,545 citizens), Romania (232,942 people), Poland (136,604 tourists), Hungary (72,635 citizens) and Slovakia (31,393 people). Representatives of the most distant countries — New Zealand, Mexico, Madagascar, Bangladesh, etc – also visited.

Tourism is an important branch of the economy of Ukraine. It is a source of income and also actively contributes to the creation of new jobs. The tourism and hotel sectors are one of the most dynamic branches of the Ukrainian economy, which, despite all the difficulties and challenges that Ukrainians have to face, continue to develop in an amazing way.

How does the hotel and tourism business in Ukraine operate in the midst of war? Anton Taranenko, founder and CEO of Visit Ukraine and Visit World online platforms, owner of the international development company AntaGroup, investor and businessman who has been working in the tourism and online marketing industry for many years, will share his views.

The role of the Visit Ukraine portal in the development of the tourism industry of Ukraine

In general, the role of "Visit Ukraine" in supporting the tourism industry and popularizing Ukraine among foreign tourists is aimed at promoting tourism in our country, because it is very important for the development of the hotel business, increasing the flow of foreign tourists and strengthening our economy. "Visit Ukraine" is successfully working on raising awareness of Ukraine, creating an attractive image and promoting tourist services, all of which together have a great positive impact on the development of tourism in the country. We provide accessible and understandable information for foreign tourists about visa policy, entry regime, provide insurance policies and legal advice, promote convenience and a sense of security when planning a trip.

The "Visit Ukraine" team is constantly improving its work and uses creative approaches to attract new guests to Ukraine.

How did the war affect the tourism business in Ukraine?

Ukraine has always been an attractive destination for tourists from all over the world. However, with the beginning of the war, the tourism industry in Ukraine began to feel the consequences of the military conflict.

One of the main negative consequences of the war, which affected Ukrainian tourism, is the significant loss of the country's image. A lot of misinformation is spread in the international mass media, which provokes a decrease in the flow of foreign tourists to Ukraine. This situation significantly complicates the development of the tourism industry and leads to a decrease in the profits of the hotel business.

Ukraine's hotel market has shrunk significantly since the beginning of the full-scale invasion. Many accommodation facilities were forced to close due to safety considerations, lack of demand, and technical reasons. Also, war has a direct impact on infrastructure facilities in tourist destinations. Some hotels, restaurants and tourist attractions were destroyed or temporarily lost their appeal.

According to the State Tourism Development Agency, only 20% of hotels are operating in Ukraine now. Most of them are located in the west of the country - in the Ivano-Frankivsk, Lviv, Ternopil and Zakarpattia regions. However, they also have certain operational limitations, including curfews and air alert security measures.

The highest demand for rooms is observed in hotels in Bukovel, Lviv and Kyiv.

In general, during the war in Ukraine, the tourism industry began to experience numerous challenges and obstacles. The main ones are:

1. Safety. Military operations on the territory of Ukraine led to increased instability and security threats. This has significantly influenced tourists' decisions to visit the country, especially its border and conflict regions.

2. Negative perception abroad. The mass media campaign about the war in Ukraine reflects on the country's image. This makes it difficult to attract new customers, and also led to the cancellation or postponement of previously planned trips.

3. Changing the landscape of tourist facilities. The military conflict led to the destruction, occupation or change of territory of many popular tourist sites. This significantly affects the interest of tourists in visiting such places.

4. Decrease in the quality of hotel services. The war affected the economic development of the country, which leads to a decrease in investment in the tourism sector. This can significantly affect the level of quality of hotel services and lead to its decrease.

5. Changing the routes of tourist tours. The military actions led to a change in the routes of tourist tours, especially in the border areas. As a result, interest in certain regions was lost and the focus changed to other tourist destinations.

For many hotel companies and enterprises, the war was also a challenge to reorganize and change business strategies. Some hotels began to promote themselves more actively on the international market, attracting the attention of foreign investors and partners to support the recovery of the tourism industry in Ukraine. Now it is very important to focus on supporting the tourism industry and restoring the image of Ukraine as an attractive destination for tourists from all over the world, taking into account the possible risks when visiting the state.

On the other hand, the war stimulated the development of domestic tourism in Ukraine. A large number of Ukrainians decided to visit and support the country in this difficult time. Most of the hotels and tourist facilities have maintained their employment thanks to the support of domestic tourists.

How does "Visit Ukraine" contribute to the development of tourism in the conditions of war?

The challenges and obstacles faced by the Ukrainian tourism industry during the war require a creative and flexible approach from the industry, adaptation to new realities and cooperation with government bodies to attract new investments and promote a positive image of the country in the foreign market.

"Visit Ukraine" uses the following innovative approaches and strategies to attract tourists during the war:

● Specialized content: we create and actively promote content that provides useful information about security in Ukraine during the war. These include safety tips and information about regions to avoid. We offer travelers insurance that covers the indemnification of war-related risks. The insurance policy applies to foreign citizens, subjects of another state and stateless persons. There are no age restrictions. 

● Collaboration with local sources: We establish partnerships with local authorities and organizations to obtain up-to-date safety information and help with tourism issues.

● Special travel packages: we develop special travel packages for those who still want to visit Ukraine. These packages include additional security services such as an escort or a personal advisor.

● Marketing initiatives: we use internet marketing and social networks to actively promote positive pages in Ukraine and tell them that in many regions the risks are minimal.

Also, the "Visit Ukraine" portal launched an initiative that became known as "Donat-tour". This project was aimed at drawing attention to Ukraine as a tourist destination and supporting local tourism during the conflict. The main goal of Donation Tours is to:

- Raising funds to support local tourism: the project allowed tourists from all over the world to donate funds to support local residents affected by conflict-related restrictions.

- Promoting tourism in Ukraine: The initiative promotes Ukraine's tourist sites, cultural events, and natural gems, providing travelers with more information about what the country has to offer.

- Raising awareness: "Donation tours help to raise awareness of the challenges and opportunities for tourism in conflict.

Visit Ukraine on social media: Telegram | YouTube | Instagram | Facebook | Twitter | TikTok

The war changed the tourist and Visit Ukraine adapts to these changes

The conditions of the war significantly changed the consumer approach of tourists, of course, we adapt to new realities. The war became a reason for tourists to be more careful and attentive to their safety. They began to pay more attention to detailed analysis of potential vacation spots, safety ratings, and recommendations. Tourists have focused on visiting places that may have been forgotten before, but which are now safer. For example, some regions may become popular due to their distance from the conflict zone.

The environmental awareness of tourists has increased significantly. They have become more aware of the environmental impact of their travels and are looking for ways to travel in a more environmentally friendly way. Businesses offering environmentally friendly products, services or eco-tours have become more popular and attractive to tourists.

Every year, travelers around the world increasingly use digital platforms to order flights, accommodation, insurance and other services in the field of tourism (booking tours, hotels, buying tickets, issuing a "green card" and medical insurance). We have adapted to new trends, expanded online services and launched 24/7 support for tourists who need help. Our team is focused on ensuring the safety and comfort of everyone, as well as on the development and support of our state's economy during this difficult time for it.

Tourism and hotel business in Ukraine - prospects and forecasts

After the end of the war, Ukraine has great potential for the development of tourism and the hotel business. The key factors are the powerful cultural, historical and natural heritage of our country. And this is what attracts visitors from all over the world.

Ukraine has a rich heritage including historical monuments, national parks, resorts and scenic spots that are currently inaccessible in some parts of the country due to conflict.

In addition, after the war there will be many new opportunities for infrastructure development, such as hotels, recreation centers and recreation centers. This will lead to the development of domestic tourism and an increase in the number of international guests.

However, in order to achieve the full potential of tourism and hotel business in Ukraine, it is necessary to pay attention to such aspects as improving the quality of service, developing marketing strategies, creating attractive tours and supporting small and medium-sized enterprises in the field of tourism. The successful development of tourism will contribute to the economic growth of the country and provide new jobs.

"Visit Ukraine" has the following future plans and initiatives to support the development of tourism and hotel business in Ukraine:

- Make the biggest bank of tours.

- Show Ukraine to the world - its terrain, people and customs.

- Tell about the consequences of the war.

The tourism business is an important sector of the Ukrainian economy, which is already experiencing its rebirth. My advice to entrepreneurs working in the tourism and hospitality industry is to pay attention to new conditions and adopt new approaches in order to adapt:

1. Guest Safety: Put guest safety first. Provide accessible and understandable information about possible risks and safety measures that will allow them to feel comfortable and protected.

2. Partnership: Join partnership programs and associations involved in the development of tourism and hotel business. They can provide you with support, advice and opportunities to collaborate with other businesses.

3. Marketing: Invest in advertising and marketing activities to attract the attention of potential tourists. Use social media, blogs and other communication channels to promote your services and attract new customers.

5. Flexible rates: Consider setting flexible rates to attract tourists. For example, the possibility of free cancellation of the reservation in case of a change in the situation.

6. Customer service: Emphasize the quality of service and providing guests with the best possible stay. The quality of service can affect your business's reputation and appeal to future guests.

7. Innovation: Implement new technologies and innovative solutions to improve service quality and business efficiency. For example, consider implementing online booking, smart hotel management systems, etc.

And most importantly, despite the difficulties, do not lose faith in the potential of your business and actively work on its development. I am sure that after the end of the war there will be excellent prospects for the recovery and development of the tourism industry in Ukraine.

We remind you! Business in Ukraine is suffering unprecedentedly from the war. However, Ukrainians continue to stay afloat and even build and develop new businesses, achieving success in various fields. Among these entrepreneurs is Visit Ukraine CEO Anton Taranenko, who spoke about the challenges of war in business and how to motivate yourself in an extremely difficult time for the country. Find more details in our article here.

Read more interesting and expert information about business and investment in foreign real estate on Anton Taranenko's Telegram channel and Instagram page.

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