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Indonesia Haven For Foreign Hotel Business Operators

Indonesia Haven For Foreign Hotel Business Operators

According to data from BPS (Central Statistical Bureau), from the year 2008 up to 2015 has been an increase in the number of visits of foreign tourists in Indonesia around 10%. From 6.2 million in 2008 increased to 10.4 million in 2015.

And until August of 2016, the number of foreign tourists visit already entered in numbers 7.36 million or about 8% compared to the same period last year.

See also: 5 most popular Hotel in Instagram throughout the year 2016

This condition, according to Christy Megawati, Business Development Manager of STR Global, indeed showed that what was done by the Ministry of Tourism more or less affects growth and development of hospitality businesses in Indonesia.

Though what has been done by the Government have not been impacted the most, but at least with a promotion for some tourist destinations more and boost the arrival of foreign tourists to visit Indonesia. Call it some tourist sites are getting to be a prima donna like Raja Ampat, Komodo Island, and more.

And if we breakdown, based on a survey conducted by Leads Property, most foreign tourists visiting Indonesia is apparently derived from 5 countries. Starting from China (9.09%), Malaysia (14,05%), Japan (10,93%), Saudi Arabia (9.68%), and Singapore (8,84%). Where the total visits from 5 countries of about 800 thousand foreign tourists.

This condition is indeed brought a positive impact for hospitality businesses in Indonesia. Potential tourists visit – both from home and abroad – this makes a very large hotel operators – including the international hotel operator – also try looking at the prospect of pulling from the hospitality businesses in Indonesia.

For Indonesia itself, it is clear this is a potential business that can bring in foreign exchange for the country. Because each foreign tourists coming to Indonesia issued an average of 1,100 – 1,200 u.s. dollars per visit (source: PHRI).

In the end no matter the tourism sector contributes significantly to the economy Indonesia. At least 2016 only the tourism sector contributes about 4% and the plan the Government will also increase be 8% by 2020. Therefore the Government hopes by 2020 the number of visits of tourists to Indonesia could reach 20 million tourists.

While several new hotel projects which will be the flagship projects during 4-5 years as follows: two hotels Sofitel, Pullman, one of five hotels hotel Grand Mercure and Novotel, Mgallery hotel ten, and dozens of hotel Mercure and Ibis.

And currently in Bali there are several five-star hotels that are in the process of development, such as: Jumeirah in Jimbaran (Room 104), Marriott Saba Bay Resort in Gianyar (200 rooms), Amari in Pecatu Bali (435 rooms), The Westin Ubud Resort & Spa (110 rooms), and Waldorf Astoria Bali Uluwatu (98).

In the accumulation of data, such as that delivered by Ferry Salanto, Senior Director of Research Asociate Collier International, conditions of supply hotel Jakarta in 4-5 years is also quite interesting.

To Q3-2016 there are about 38,483 hotel rooms in Jakarta. Consisting of a 3-star hotel room 10,665, 15,217 Room 4-star hotel, as well as a 5-star hotel room 12,590, and the rest can go to 3,443 expected to fill out the supply of hotel rooms in Jakarta.

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