Russian tourist flow failed to meet Dominicana's expectations

In 2012, the Dominican Republic received 163,157 Russians - 35% more than in 2011. Moreover, according to the statistics of the Central Bank of Dominican Republic, it is one of the best inbound tourist flows to the country, even despite its less than 6% overall growth in 2012. Most of the market players, especially from Asia, showed a decrease of the tourists flow to Dominicana; so did most European countries. However, the exceptions are Denmark, Luxembourg, Bulgaria, Finland and Russia that took the third place among all European countries and the fifth in the overall rating. The main market for the Dominican Republic remains the USA (1.4 million people) with its 40% of the total flow. Second place went to Canada (689.5 thousand), followed by France (245 thousand) and Germany (183 thousand).

Despite optimistic figures of the Russian market, it's far below expectations of Dominicana authorities, who were planning to receive about 180 thousand Russian tourists in 2012. The country expected to reach the result of 2011 when the growth of tourist flow from Russia to the Dominican Republic got to 54%. However, the current statistics seems quite adequate to Russian experts. "Last year, we saw an aggressive transportation build-up to Dominicana, thus a rapid growth. However, 35% is still a very good sign for this destination. As for our company, the growth amounted to about 15%; on the other hand, Mexico is on fire. I think it could become a serious competitor to Dominicana", said to RATA-news the Director of the Caribbean Club company tourism department Ms. Lada Popelo. The Head of Latin American department of ICS Group Mr. Vasily Yakovlev stated that such strong growth to Dominicana was provided by an excess of air transportation and forced cost reduction. "In fact, a large number of tours are sold for the price of a trip to Egypt. We try not to play these games and offer combined tours around Dominicana instead, which allows us to gain profit on this destination".

Lada Popelo also believes that as an exotic destination, Dominicana is mostly losing due to constant excess of air transportation and cost reduction: "It's not a surprise that companies specialized on the Caribbean often prefer to work with Cuba or Mexico where beach and sightseeing itineraries can be always combined". However, as per her statement, prospects of Dominicana as a popular destination are truly endless. There are many great hotels and even more under construction; and this country, well known to our market, attracts lots of returning customers. Even the resort city of Puerto Plata, which is not as popular as Punta Cane, will find its client.

In December 2012, there were nine flights a week to the Dominican Republic from Russia: Six of them by Transaero, and three by Aeroflot. By the New Year, Transaero launched new non-stop flights from Moscow and Saint Petersburg to Puerto Plata in the north of the country. According to the Dominican Republic's representative in Russia, Ms. Galina Lysenko, the government has invested a lot in renovation and promotion of this once trendy resort, which lost ground after the discovery of a modern hotel complex in Punta Cane. Vasily Yakovlev believes that this comparison is incorrect: "Obviously, Punta Cana is more interesting and convenient, with state-of-the-art infrastructure that meets all sophisticated demands. As for Puerto Plata, it's more suitable for a budget trip".

Galina Lysenko believes in advantage of the "new-old" resort: "There are world's largest chain hotels in Puerto Plata, for example, Barcelo, Riu, Iberostar, Gran Bahia, Be Live offering all-inclusive vacation. Most of them are located near Playa Dorada and Cofresi beaches, especially popular among families with children thanks to its location next to the Ocean World Adventure Park. Also, there are budget hotels for young people who prefer active resort life and water activities". Besides, Galina Lysenko stated, it's much easier to go sightseeing from Puerto Plata.

Unlike Punta Cana, a trip to Samana Peninsula or rafting in the foothills of the highest peak in the Caribbean doesn't require to take a domestic flight, which immediately makes the price 2,5 times lower. On average, prices in Puerto Plata are 30% lower than in Punta Cana; and as for the Atlantic Ocean, it remains the same except for slightly coarser sand on the beach.

Nevertheless, new flights do affect the demand. According to travel companies, if last winter both four- and five-star hotels in Punta Cana were under stop sale, this season it only applies to those with five stars. It means those tourists who did not get a 5-star hotel had to choose Puerto Plata. "It could strike Dominicana's image as an exotic destination, because five-star hotels of Puerto Plata are generally weaker than four-star ones in Punta Cane", said Vasily Yakovlev.