Modern development of hotel business in Kazakhstan
Table of contents: The Kazakh-American Free University Academic Journal №10 - 2018
Ishkinina Gyuzel, Kazakh-American Free University, Kazakhstan
Tokarchuk Kseniya, Kazakh-American Free University, Kazakhstan
In foreign countries, hotel business is a business that brings a
good, stable income. According to foreign experts, investments in hotel
business represent an almost risk-free investment, since the main asset is real
estate, which in the long term rises in price by 5% per year.
Also, the income of hotels depends on the state of the tourism
industry in general. Currently, forecasts of experts of the World Tourism
Organization until 2020 are very positive: the world tourism industry will show
an annual increase of 4% or more. This positive growth is provided by the
availability increasing of air travel (their prices and varieties), the improvement
of the tourist infrastructure, the growth of the welfare of tourists, the globalization
of the world economy, etc. The world population is becoming more mobile, that
leads to an increase in the number of tourist trips (business tourism, leisure
tourism, health tourism, etc.), and, consequently, to the positive state of
Today foreigners are interested in Kazakhstan, so they come to our
country more often, usually the have the goal to develop and open a business or
invest some money. That is why the hotel industry in Kazakhstan has received
much development. Foreign and local developers have been actively investing to
the construction of hotel industry.
The hotel business in Kazakhstan today is one of the most competitive
sectors among other economy sectors. So, in recent years, the number of
placements in the country has been increasing (Table 1).
According to the "Rules of the classification of tourist
accommodation" approved by the order of the Minister of Tourism and Sports
of the Republic of Kazakhstan dated November 11, 2008 No. 01-08 / 200, the
accommodation facilities include hotels, motels, campsites, tourist bases,
guest houses, boarding houses and other buildings for tourists.
According to Table 1, the number of placements in 2017 increased by
28% compared to 2015. In terms of categories of placements, there is an
increase in the number of 5 * hotels by 10% in 2017 compared to 2015, 4 *
hotels - by 16%, hotels without a category - by 26%, other placements - by 40%.
At the same time there is a slight decrease in the number of 3 * hotels by 4%
in 2017 as compared to 2015, 2 * hotels - 5%, 1 * hotels - 18%.
For the better perception of this picture, we will show the
distribution of placements by category in the Republic of Kazakhstan in Picture
1. Number of placements by categories in the Republic of Kazakhstan for
Also, there is an interesting tendency in number of visitors served
at the indicated locations of the Republic of Kazakhstan for the analyzed
period of time, which is presented in Table 2.
Table 2. Number
of visitors served in the places of accommodation of the Republic of Kazakhstan *, people 
According to Table 2, the number of visitors served in 2017
increased by almost 38.8% compared to 2015, and this is a very good tendency in
the development of the hotel business in general.
As there is an increase in demand for hotel services, which confirms
the growth in the number of served visitors in the accommodation, the number of
accommodation sites in Kazakhstan has also increased over the past three years.
At the same time, it is impossible not to consider the value of the
average cost of bed-days in the places of accommodation of the Republic of Kazakhstan, the cost of services depends on the demand for services provided,
from non-price factors, from the macroeconomic situation in the country and in
Table 3. Average cost of bed-days in terms of categories of
According to Table 3, it is clear that the gap in the level of the
average cost of bed-days as a whole in the republic decreased from 20.1 times
in 2015 to 19.6 times in 2017. However, in the context of the categories of
placements, there was an increase in the average cost of bed-days in 5 * hotels
by 12.1% in 2017 compared to 2015, in 4 * hotels - by 12.4%, 3 * hotels - by 6,
1%, 2 * hotels - by 0.4%, 1 * hotels - 3.5%, hotels without a category - by
14.3%, other placements - by 14.9%.
On the one hand, this tendency is due to the growth in demand for
hotel services, and on the other hand, to rising costs and the macroeconomic
situation in the country.
For clarity, we show the dynamics of the change in the average cost
of bed-days in the context of the categories of accommodation in Picture 2.
2. Average cost of bed-days, KZT
In addition, we analyze the volume of services provided by the
placement sites, since they form financial income both to the local and state
budgets of the Republic of Kazakhstan (Table 4).
Table 4. The
volume of services provided by accommodation sites, by type of economic
activity *, KZT’000 
According to Table 4, the volume of services provided by the
accommodation sites in 2017 increased by 49.3% compared to 2015, including the
provision of services by hotels increased by 46%.
There is an increase in the volume of services provided by other
economic activities, except services for living in a camping, recreational
vehicle fleet and trailer park, there was a decrease by 28.7%.
This situation can be explained by the growing demand for better
accommodation and related services.
Detected regularities in the volume of services provided by the
accommodation sites, in the context of the types of economic activity are shown
in Picture 3.
However, this does not mean that there are no problems in this
sphere. For example, there is such indicator as filling of hotels, which in
2015 was 22.8%, and in 2017 was 25.0% in the whole country. At the same time,
in the context of the regions of Kazakhstan, this indicator ranges from 13.3%
to 33.4%. This fact characterizes the irregular filling of hotels, both during
the calendar year, and in the context of the regions. Although there are some
costs of the hotel all the year, managers should use diversified management in
the practice of hotel management and develop other related services.
In large cities of Kazakhstan, such as Astana and Almaty, 4-star and
5-star hotels are currently built according to the world standards, but in
general, the situation is not as good as it supposed to be. According to the
information of the Kazakhstan Tourist Union, the hotel industry in the regions
is characterized by a high degree of moral and physical deterioration: rooms
are not comfortable enough, there is technological backwardness, po-orly
trained staff, and a narrow range of services. Also, there is a staff turnover
in hotel business, bad planning of the enterprise, lack of qualitative
long-term programs and development strategies, a weak corporate culture of
3. The volume of services provided by the accommodation sites, by the type of
economic activity, KZT'000
Market participants are sure that in order to improve the quality of
hotel services in Kazakhstan, it is necessary to introduce a unified certification
to determine the quality of service and the conditions of hotels. We should not
stick to the position of "low price - low conditions", the issue of
price should be decided on the basis of competitiveness. Also the legal
framework of the activities of hotel business in the Republic of Kazakhstan is outdated. For example, the updated standard of "Tourist and excursion
services. Classification of hotels" has not yet been adopted, although it
was planned to conclude the discussion by October 2016.
Only some high-class hotels can offer world standard services,
however, their services are very expensive and only a small part of people in Kazakhstan use them.
At present, the domestic market of hotel services needs comfortable
and inexpensive hotels. Terry Powell, former director of business development
for the group of companies “Chagala”, said: "Today it is extremely
necessary to be oriented in 3-and 4-star hotels. There is not enough investment
in this sector. In the regions, elite and expensive hotels are not in high
demand, but medium-sized hotels with clean rooms, good services and affordable
restaurants are in demand" [6, p.7].
According to experts, the efficiency of the hotel business is
directly connected with highly qualified specialists, conducting reasonable
pricing policy, introducing modern technologies and other factors outlined in
the Concept of the development of the tourism industry of the Republic of
Kazakhstan, the “100-Step Plan of the Nation” and the “Nurly Zhol” program.
The hotel business is one of the important elements of the service
sector, which functions to provide citizens of Kazakhstan and foreign guests
with housing, food, and various additional services. The investment
attractiveness of Kazakhstan, the improvement of the living standards of the
population, the arrival of large international hotel chains on the domestic
market have caused the need to improve the intensive development of hotel
services their quality, according to the world standards.
The results of the research confirm that the sector of hotel
services as a kind of entrepreneurial activity was the closest to the market
changes in supply and demand. At the same time, the efficiency of the hotel
business, in our opinion, is primarily related to the degree of management
effectiveness. Therefore, in this area it is necessary to improve the quality
of provided services, and this requires additional costs for purchasing
innovative technologies in the hotel industry, and also it is recommended to
develop diversified management.
So, taking into account the analysis of the state of the hotel
market in 2015-2017, it is noted that the hotel industry in the Republic of Kazakhstan is at an active stage of formation, and has good prospects for
1. Zakon Respubliki Kazakhstan ot 13 iyunya 2001
goda ¹ 211-II «O turistskoy deyatel'nosti v Respublike Kazakhstan» (s izmeneniyami i dopolneniyami po sostoyaniyu na 15.06.2017 g.).
2. Pravila klassifikatsii mest razmeshc-heniya
turistov, utverzhdennyye prikazom Ministra turizma i sporta Respubliki Kazakhstan ot 11 noyabrya 2008 goda ¹ 01-08/200.
3. Sayt Komiteta po statistike Ministerstva
natsional'noy ekonomiki Respubliki Kazakhstan. http:// stat.gov.kz/ faces/ publications
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D651 289234649519 %26_ adf.ctrl-state %3 Dtp 40cnx57_4
4. Mezhdunarodnyye gostinichnyye pra-vila (odobreny
Sovetom Mezhdunarod-noy gostinichnoy assotsiatsii ot 02 noyabrya 1981 g. Katmandu, Nepal).
5. Godovoy otchet OYUL «Kazakhstan-skaya
Assotsiatsiya gostinits i restora-nov v forme ob "yedineniyay uridicheskikh
lits». Shaykenova R. 2015 g.
6. Nazarenko YU.A., Barkhatova T.P. Gostinichnyy biznes v Kazakhstane.
// Vestnik PGU. - 2006. - ¹ 4. - S. 51.
Table of contents: The Kazakh-American Free University Academic Journal №10 - 2018