Visit Ukraine - How has the Ukrainian restaurant market changed in 2023?

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08 Nov. 2023

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How has the Ukrainian restaurant market changed in 2023?

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War

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Table of Contents

How many establishments closed and opened during the war?
How did blackouts affect restaurant business revenues?
How did the average check and revenue of establishments change during the war?

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How has the Ukrainian restaurant market changed in 2023?

Businesses in times of war are forced to constantly adapt and look for new solutions, as it is a matter of survival. Find out how the number of restaurants, average check, and revenue of restaurants and other Ukrainian establishments changed in 2023

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The war unleashed by russia is affecting all spheres of Ukrainian life, and the restaurant market is no exception, as businesses now need much more adaptability, flexibility, and innovative solutions to survive in tough conditions.

Here's how the restaurant market changed in 2023, how many establishments closed, and how many continue to operate and increase their revenues, according to the latest research by Poster.

Read here why the number of guests in hotels is growing despite the war.

How many establishments closed and opened during the war?

After russia invaded Ukraine, all establishments temporarily ceased operations. However, according to researchers, 70% of establishments reopened in the 3 months since the start of the full-scale war.

At the same time, the restaurant market has shrunk from 36,500 to 32,000 establishments during the entire period of the great war.

Infographic by Poster (2022/2023)

At the same time, in 2023, the number of registrations of sole proprietorships and LLCs with restaurant quests increased dramatically.

According to the study:

● in the pandemic year of 2019, 5,430 registrations were recorded;

● 6,290 registrations in 2020;

● 12,699 registrations in 2021;

● 8,059 registrations in 2022;

● 13,721 registrations in 2023.

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How did blackouts affect restaurant business revenues?

During the first week of blackouts, the highest level of revenue decline was recorded in the western regions of Ukraine:

- Chernivtsi region - 15%;

- Ternopil region - 14%;

- Khmelnytsky region - 13%.

This is followed by Chernihiv, Zhytomyr, Ivano-Frankivsk (12% each) and Volyn and Rivne (11% each). In Lviv, Vinnytsia, Odesa, Kharkiv, and Cherkasy regions, the decline was between 8 and 10%. The lowest level of revenue decline was recorded in the central regions, the capital and Zakarpattia region (5 to 3%).

The second week of blackouts was more critical for businesses. Thus, the largest losses were incurred by establishments in Kirovograd (16%), Volyn (14%), Mykolaiv (13%), Odesa (12%), Poltava and Chernihiv regions, as well as in Kyiv (11% each). In other regions, the level of income fell from 10% to 3%. At the same time, Lviv region did not record a drop in revenue at all.

How did the average check and revenue of establishments change during the war?

According to the study, the average revenue of restaurant establishments increased by 40% compared to 2022. At the same time, the average check in restaurants also increased by 38% compared to last year.

At the same time, the average attendance of establishments reached a plateau in 2022 by 2023.

We remind you! Despite the challenges faced by the tourism industry today, Ukrainian hotels and travel companies are actively improving their strategies to ensure stability and attractiveness for our citizens and foreign guests. Read more about how the hotel and tourism business in Ukraine is adapting to the war and continues to operate, according to Anton Taranenko, founder and CEO of Visit Ukraine, an online platform.

Hotel business in Bali: one of the best hospitality industries.

Want to know more? Read the latest news and useful materials about Ukraine and the world in the News section.

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On the portal you can order the following products/services:
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FAQ

- - What COVID documents do I need to have with me when entering Ukraine now?
    On July 1, 2023, the Ukrainian authorities lifted the quarantine and other restrictions imposed due to the COVID-19 pandemic. From now on, you do not need to provide proof of vaccination, a negative PCR test result or wear a protective mask to enter Ukraine.
  - Is it safe to visit Ukraine during the war?
    Recently, the number of foreign travelers has increased in Ukraine. They visit the country for various purposes: volunteering, participating in humanitarian programs, filming reports or documentaries, setting up a business, etc. There are currently no cities in Ukraine that are completely safe. And although the main fighting is concentrated in the eastern and southern parts of Ukraine, the entire country is subject to regular rocket attacks.
  - What are your safety recommendations before traveling to Ukraine?
    Here are some important tips:
    • Make electronic copies of all documents and save them on your electronic device so that you always have access to them.
    • Find out in advance the curfew time in the region where you are going.
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    No, if the period of stay in the country is no more than 90 days. If a foreigner arrives for a period longer than 90 days, in this case, he or she needs a temporary or permanent residence permit, as well as registration at the place of residence.
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    Yes. Foreigners (except for citizens of the Russian Federation) and stateless persons have the right to enter and legally stay in Ukraine if they have a temporary or permanent residence permit that has expired or is subject to exchange after February 24, 2022.
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    Currently, entry to Ukraine with pets is subject to a simplified procedure. Pet owners must provide the following documents to customs:
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    Foreign citizens can import cars with foreign license plates into the territory of Ukraine exclusively for their own use. To cross the border in a car with foreign registration, you need the following documents:
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    Foreigners and stateless persons who are not allowed to enter Ukraine, when attempting to enter Ukraine at a checkpoint across the state border of Ukraine, do not cross the state border of Ukraine and return as soon as possible to the state from which they came or to the state that issued their passport document. If it is not possible to return a foreigner or stateless person immediately, they stay at the checkpoint across the state border of Ukraine until their return.
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  All foreign citizens are required to have an insurance policy covering the costs of Covid-19 treatment in Ukraine.
  For how long do I have to take out an insurance policy?
  According to the Resolution of the Cabinet of Ministers of Ukraine No. 1236, an insurance policy must be issued for the entire period of stay in Ukraine. The minimum period is not specified.
  Where can I get acquainted with the terms of the insurance contract?
  You can familiarize yourself with the terms and conditions of the insurance contract on our website in the section on insurance policy issuance.
  Is it necessary to buy an insurance policy for children?
  Yes, if a child has foreign citizenship, regardless of age, he or she must have an insurance policy for the entire period of stay in Ukraine.
  I am a foreign citizen, can I buy a policy in Ukraine?
  No, the insurance policy must be presented at the border control.
  What is war risk insurance and what war risks does it cover?
  This policy guarantees monetary compensation in the event of an accident as a result of military operations, passive military risks, terrorist acts, including emergency care, outpatient treatment, hospitalization and repatriation of the insured person (or his/her body in case of death) from the place of stay to the place of his/her permanent residence.
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