The hotel business is close to legalizing non-refundable rates

Hotels will have to reduce prices. Hotels may introduce non-refundable rates as early as 2024. This measure will allow tourists to save money and also minimize risks for business, the Ministry of Economic Development said. Hoteliers, as Kommersant FM found out, are in this case ready for discounts of an average of 20%. How will this be applied in practice? And is a non-refundable reservation really beneficial for the guest? Aelita Kurmukova found out.

The hotel industry has been seeking the legalization of non-refundable rates for several years now. Although de facto they are actively used. And clients are given a good discount, sometimes up to 30%. But this, as it turns out, is not enough. Indeed, now, when canceling a reservation, the hotel can charge the guest the maximum cost of the first night. But you can also try to get this money back through the courts.

If the law is adopted, tourists who cancel their arrival will have to pay in full for all days of downtime, as is now the case with non-refundable plane or train tickets. An exception is force majeure. So far this list includes an official sick leave or the death of a close relative, but it may be supplemented, says the President of the Russian Hotel Association Gennady Lamshin: “I think that force majeure circumstances will be described in more detail, because this is a natural disaster, military action, etc. . But in all other cases, if you were late or changed your mind, you will not get your money back, because you had a non-refundable rate, which is cheaper, for example, by 20%.

Today, mechanisms for making hotel reservations do not ensure a balance of interests of both business and consumer. Moreover, there is a pronounced bias towards the client, because the hotel loses much more.”

Tourists will have to plan their vacation or business trip more carefully. And if in doubt, it is better to choose a refundable rate. In all other cases, you can save money, emphasizes Dmitry Gorin, vice-president of the Russian Union of Tourism Industry (RST): “The main incentive is control and reduction of prices, because due to inflation and rising hotel costs, rates are only increasing. Reducing prices will increase the availability of travel, and hotels will not have so-called idle rooms, which are often canceled a day before departure. This number may be empty all week.”

The Ministry of Economic Development does not rule out that non-refundable tariffs will be up to 20% cheaper. But who will install them, and what part of the rooms will become cheaper, is not yet clear. And not everyone can afford to give such a discount, notes co-chairman of the League of Small Hotels Natalya Petrovskaya: “Hotels may well give a discount on a non-refundable rate.

I hope that the Ministry of Economic Development will not forcefully indicate what the difference should be – this should be determined by the market.

Firstly, it is impossible to track. Secondly, almost all hotels use dynamic pricing; the cost of a room depends on the season and other factors. I think there will definitely be a 10% difference.”

And the more expensive the hotel, the higher the discount can be. Kommersant FM’s interlocutors claim that some hotels offer a discount of up to 50% with guaranteed check-in. But more often they offer to leave the money on deposit. But these funds still do not compensate for losses. According to the Ministry of Economic Development, every tenth hotel room in Russia is canceled by consumers, and every fourth cannot be sold immediately. And this is 20 billion rubles. per year of lost hotel profits. At the same time, budget losses from income taxes alone can amount to up to 4 billion rubles.

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