Karlovy Vary’s Spa Sector Faces Shifts as Tourist Demands Change

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Recent events, including the conflict-related travel restrictions and bans on Russian tourists entering the Czech Republic, have reduced Russian visitation to Karlovy Vary. Local officials describe the spa sector there as strained by the decline in demand from Russian travelers, a sentiment echoed by the city’s mayor, who warned that the spa industry faces a serious downturn if new customers cannot be found.

The mayor noted that the downturn stems not only from the departure of Russian visitors but also from a broader drop in spa clients. Some facilities were heavily dependent on treatment-oriented guests, and a failure to diversify could threaten their survival. The trend began after the 2014 changes in the region, intensified during the pandemic, and further worsened amid ongoing regional conflict.

Aktuálně.cz has argued that Karlovy Vary has felt more of the conflict’s repercussions than any other Czech city. In 2022, the resort still hosted record numbers of visitors from various European countries, including the Czech Republic, Germany, France, Italy and Spain. However, Russian visitors historically drawn to extended spa stays shaped the city’s middle-to-longer visits, whereas many European tourists tended to visit for weekend getaways. As a result, several sanatoriums faced closures or had to adapt to shorter stays by Western guests.

According to Josef Dlohosz, director of the municipal information center, Russians accounted for a substantial share of hotel nights in Karlovy Vary in the years before the changes, but a sharp drop is visible in the first three quarters of 2022 compared to 2019. He stressed that while Russia is not supported, the local spa industry cannot survive without a stable influx of Russian guests.

Real estate and ownership

Historically, Russians in Karlovy Vary owned properties and represented a large segment of spa customers. Today, property listings can be seen on many streets, and luxury stores that once relied on Russian buyers have noticeably tightened or closed. Local media reports indicate that a considerable portion of the historic center’s buildings belonged to Russian owners. One notable example is Elena Baturina, widow of a former Moscow mayor, who was linked to a central spa hotel. She is no longer active in the business.

Another prominent property, the Felix Zavoisky Hotel, once hosted members of wealthy Russian families for many years and has since been described by some as a shadow of its former self amid the region’s current challenges.

Campaigns and public reaction

To attract Russian-speaking visitors, municipal authorities launched a campaign titled “A City That Understands You.” The initiative sparked controversy in late 2022, with some opposition figures and residents questioning the messaging in light of ongoing conflict. City officials argued the aim was to appeal to Russians long settled in Western Europe, Israel, and the United States, rather than those at war with Ukraine. Officials explained that while the language and Cyrillic contact data remained present, the target audience was the Russian-speaking diaspora rather than Russians in Russia.

The campaign was revised, and the slogan was removed. City officials stated that the aim remains to offer spa and treatment services to those with a history of Western residence who might seek continued care in Karlovy Vary. Local officials also indicated that the messaging would evolve to better fit contemporary attitudes and geopolitical realities.

Officials were blunt about the advertising approach, with some critics labeling the initial concept as inappropriate for the current climate. The region’s leadership warned against presenting Karlovy Vary as a city that exclusively understands one nationality, emphasizing a broader hospitality goal for a diverse international clientele.

Strategic adjustments

Over the coming year, city leaders outlined plans to attract travelers who prioritize health services and are willing to invest in wellness experiences. The strategy envisions targeting visitors from the United States, Israel, and selected Middle Eastern markets, while also seeking to diversify offerings beyond traditional spa routines. Local executives acknowledged that the city would need to pivot toward more active and varied leisure activities to meet contemporary traveler preferences.

The head of the city information center remains optimistic about a revival for Karlovy Vary, though progress is expected to unfold gradually. While geopolitical events have disrupted travel patterns, the city is exploring ways to rebalance its tourism portfolio and sustain its wellness heritage in a changing global market.

In the broader context, the Czech Republic joined other nations in supporting Ukraine and implementing sanctions against Russia. Travel restrictions were also tightened by the Czech Foreign Ministry, including a ban on entry for Russians holding tourist Schengen visas starting in late 2022. Observers note that post-holiday travel trends among Russians often favor nearby regions or CIS countries, with Georgia, Kazakhstan, and Thailand among popular destinations in the season following the onset of hostilities.

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