Summer Mega Events Filled Tallinn Accommodation to the Brim

In the houses of Larsen, one of Estonia's largest accommodation companies, the number of short-term accommodations doubled over the summer compared to last year, driven by major summer events and the growing popularity of the automated hotel service. Visitors to major concerts also stayed longer in the capital to get to know it better.

Priit Vare, a member of Larsen's board, confirmed that demand for short-term accommodation has grown significantly this summer. "Despite the cool and rainy summer, demand for short-term accommodation services in Tallinn grew explosively. The international star concerts in June and the song and dance festival certainly had their impact. But we also see in general in recent years a growth in short-term accommodation, including among foreigners," Vare pointed out.

Compared to last year, the occupancy rate of Larsen's houses increased on average twofold in May and June this year. Estonian residents accounted for 45% of short-term accommodation service consumers and foreigners 55% respectively. Foreign visitors have come increasingly from Finland, Latvia, Germany, Lithuania and Poland. However, the number of visitors coming from more distant foreign countries has increased.

For example, Justin Timberlake's concert in June brought record occupancy to Larsen's houses, with only a few rooms remaining vacant. The same occurred during the song and dance festival, when last-minute decision-makers found it very difficult to find accommodation in the capital, and occupancy reached nearly 100% across all Larsen houses. Indeed, major events create a situation where even accommodation located far from the song festival grounds is sold out.

Vare pointed out that the impact of major events typically does not usually limit itself to one night. "People come to Tallinn for several nights. For example, during concerts, guests often stayed four nights and longer, or in addition to concert experiences, they actively used the opportunity to get to know Tallinn," he added. Even for the AC/DC concert taking place this week, finding free accommodation is a major challenge, with bookings starting on the same day the concert was announced.

Booking statistics show that before concerts and major events, such as Ironman or the European Disc Golf Festival that recently ended in Tallinn, accommodation is typically booked several months in advance. In the case of concerts, it is common for active accommodation booking to begin as soon as the concert or event is announced.

"In general, we see that the larger the room and the more people it accommodates, the longer in advance bookings are made. Moreover, the number of advance bookings increases every year, which shows that people value security and quality of accommodation services," Vare noted.