Hotel Room Price Hike

Hotel Room Price Hike

Published: June 11, 2013 (Issue # 1763)

In the lead up to the 2013 St. Petersburg International Economic Forum next week, city hotels are stimulating their own economy by increasing room prices for the same dates. Conducting its own investigation, the Vedomosti newspaper found inflated rates among the hotels ranging from 30 percent to a staggering 435 percent.

Despite the obvious increase in rates, the Federal Antimonopoly Service of Russia is not intervening, as hoteliers have managed to prove before the courts that they are neither price-fixing nor violating the law “On Protection of Competition,” reported Vedomosti last week.

Price increases at the lower end include the three-star Azimut hotel, with its nightly rate for a standard room during the forum increasing just over 30 percent from 4,800 to 6,400 rubles ($155 to $206). At the Pribaltiyskaya Park Inn by Radisson, the nightly rate of a standard room during the forum has increased by almost 70 percent, from 10,000 rubles to 16,000-17,000 rubles per night ($323 to $516-$548).

Both increases are seemingly minor when compared to other price hikes, Vedomosti found in its investigation. A standard room at the Astoria during the forum costs 47,200 rubles per night ($1,522) – 236 percent higher than its usual rate of 20,000 rubles ($645). This is modest when compared to the Marriott, with prices increasing from 300-400 percent. A standard single room at the Courtyard by Marriott St. Petersburg Vasilievsky (four stars) costs 40,000 rubles per night ($1290), over 400 percent higher than its regular rate of 9000 rubles ($290). Over at the five-star Renaissance St. Petersburg Baltic, a night’s stay during the forum will set you back 75,000 rubles ($2,419) compared to the usual rate of 14,000 rubles ($451).

These rates are bargains when compared to the most expensive room Vedomosti found. The luxurious Taleon Imperial Hotel is charging 649,000 rubles per night ($20,935) for its Emperor suite, compared to the usual 454,000 ruble per-night rate ($14,645). Unfortunately for those still looking for accommodation, this room has been booked. The hotel has not revealed the name of its upcoming guest.

Despite the hike in prices, available rooms during the forum are becoming increasingly hard to find.

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