Former employees of Yandex establish temporary accommodation service within Russia
=====================================================================================
In the heart of Russia, a surge in domestic tourism is fueling the expansion of short-term rental services. One such company, Keygo, is making waves in the market, having recently launched in Moscow and planning to expand into cities with over one million inhabitants by 2026.
Established in 2023, Keygo raised 150 million rubles from venture capital fund "HAIW" and private investors in 2024. The company's founders, Gévorg Beglaryan and Dmitry Sigov, former employees of Yandex, aim to create a hotel-like service with digital flexibility, positioning Keygo as a leading player in the Russian short-term rental market.
Keygo's debut in Moscow saw the launch of over 30 apartments, and the number has been growing steadily, with a doubling observed monthly. The average occupancy rate currently stands at over 85%. The entire stay management process for Keygo apartments is contactless, accessible through a mobile application.
Moscow is not the only city feeling the Keygo boom. The company's roots can be traced back to Yerevan, where Keygo manages over 150 properties, generating monthly revenue exceeding $300,000 and welcoming over 20,000 guests annually. Yerevan has become one of the market leaders in short-term rentals, a testament to Keygo's success.
The growth of Keygo and other short-term rental services in Russia is closely tied to the rise in domestic tourism. In the first quarter of 2025, domestic tourism was one of the fastest-growing industries, with the turnover of travel companies growing by 38%. This trend is expected to continue, with a further 10% increase in domestic tourist traffic predicted for 2025.
However, the supply of quality accommodation in cities and popular tourist destinations is struggling to keep up with demand. Improved infrastructure and the promotion of regional destinations are contributing to a more favorable environment for services like Keygo to expand their offerings.
As Russia continues to grow as a dynamic market for short-term rentals, Keygo's ambitious expansion plans are set to redefine the landscape of travel accommodations in the country. For those seeking a hotel-like experience with digital flexibility, Keygo is undoubtedly a name to watch.
- The surge in domestic tourism in Russia has opened up opportunities for businesses like Keygo in the finance sector, as the company raised 150 million rubles from investors in 2024.
- Technology plays a significant role in Keygo's business model, as the entire stay management process for their apartments is accessible through a mobile application.
- As Keygo expands its presence in cities across Russia, it could potentially revolutionize the lifestyle sector, offering a hotel-like service with digital flexibility and contributing to the growth of the travel industry.
