Should You Build a Hotel in 2025?A Study That Helps Make the Right Investment Decision
30.05.2025

Spring 2025 marked the beginning of a large-scale analytical project. We conducted a full market study for a private developer considering a new hotel in Chernivtsi. At first glance, the task seemed simple: assess demand, competition, and guest expectations. But the war, shifting tourist flows, and evolving customer behavior made it far more complex.

Our Approach:

  • Desk research: statistical analysis, competitor websites, industry reports, seasonal trends, pricing, and occupancy rates.
  • Field research: interviews with hoteliers, observation of competitors, traffic and service analysis.
  • SWOT analysis: identification of strengths, weaknesses, risks, and opportunities.
  • Analytical synthesis: combining findings to shape concrete recommendations for the investor.

What We Discovered:

  1. The market is evolving. Demand is unstable but business tourism has strong growth potential.
  2. Competition is limited, yet tricky. Many hotels are outdated and fail to meet modern expectations.
  3. Location is crucial. We conducted a geolocation assessment and highlighted the most promising areas.
  4. Who is the guest? Mostly business travelers or short-term tourists. Their priorities: comfort, convenient location, and fair pricing.

What It Gave the Investor:

  • A clear understanding of the target audience
  • Demand forecast post-war
  • A hotel format with the highest commercial potential
  • Financial justification and risk map