28th Edition - The President Post
28th Edition - The President Post
28th Edition - The President Post
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<strong>The</strong> <strong>President</strong> <strong>Post</strong><br />
Tourism<br />
Display until November 12, 2011 /// N0. 28<br />
www.thepresidentpost.com<br />
SECTION<br />
C<br />
“Stunning natural beauty,<br />
the people’s genuine, warm welcome<br />
are Indonesia’s tourism appeals”<br />
SD Darmono, Chairman of PATA Indonesian<br />
Chapter, recently had a conversation with Paul<br />
Preston of PATA Compass Magazine.<br />
Excerpts:<br />
Indonesians are travelling<br />
like never before both domestically<br />
and internationally-why is<br />
this and what has changed?<br />
<strong>The</strong> past 14 years of a democratic<br />
Indonesia has coincided<br />
with explosion of the internet age<br />
which brings with it a new generation<br />
of Indonesians who are ‘tech<br />
savvy’, and have all the information<br />
they need just a click away,<br />
and as Indonesia continues to see<br />
economic growth while much of<br />
the rest of the world is bordering<br />
on recession, greater numbers of<br />
the population have the disposable<br />
income that allows for travel<br />
whether it is domestic or international.<br />
Also, I believe that the<br />
prevalence of social networking in<br />
Indonesia has an enormous impact<br />
on broadening the minds of<br />
the many who may otherwise be<br />
contented ‘staying at home’.<br />
Which markets are stronger<br />
and where do trends appear to<br />
be heading?<br />
<strong>The</strong> obvious busy travel times<br />
of Idul Fitri, when Indonesians<br />
customarily return to their family<br />
homes, and Haj, when Muslims<br />
make their pilgrimage to Mecca,<br />
will continue to be of major importance,<br />
but there is a notable<br />
increase in many Indonesians desire<br />
to visit some of the beautiful<br />
locations at home for example, Belitung,<br />
Danau Toba, Gunung Bromo,<br />
Mentawi Islands, Bunaken or<br />
Lombok, which for so long seem<br />
to have only been on ‘foreigners’<br />
itinerary. Where overseas travel<br />
is concerned, aside from business<br />
and student needs (which<br />
will surely continue to grow),<br />
there is still a strong desire to visit<br />
landmark western destinations,<br />
like London, Paris, Rome or New<br />
York, and this appeal continues<br />
amongst young and old alike.<br />
Terrorism seems to have not<br />
slowed tourism arrivals, in fact<br />
they’re now stronger than before<br />
the Bali bombings, and<br />
Australians still seem to have<br />
the market share. What new<br />
trends are emerging?<br />
<strong>The</strong>re has been a huge impact<br />
on many businesses in Bali, and<br />
many have struggled to survive,<br />
but it is true that arrivals are back<br />
on the increase. Bali holds a great<br />
deal of mystique for foreign travellers,<br />
since ‘the Island of the Gods’<br />
is still synonymous with ideas of<br />
tropical paradise.<br />
Surfing has increased in popularity<br />
worldwide, and a large number<br />
of Australian visitors, even if<br />
not surfers themselves are regularly<br />
exposed to the surf scene,<br />
which recognizes Bali as one of<br />
the premier destinations in the<br />
world. <strong>The</strong> truth of the matter is<br />
that there are many other Indonesian<br />
surf locations of equal word<br />
class status, but current lack of<br />
infrastructure means that they<br />
are only visited by dedicated and<br />
adventurous travellers. <strong>The</strong> mere<br />
mention of Bali overseas evokes<br />
thoughts of a beautiful paradise<br />
Island, and hopefully, one day the<br />
rest of Indonesia will be thought of<br />
in the same way.<br />
Bali was once the far away destination<br />
for the rich and famous,<br />
but is now able to be enjoyed by a<br />
much larger cross section of foreign<br />
travellers.<br />
Bali seems to be getting a<br />
rough time lately in the media<br />
with criticisms of the lack of<br />
infrastructure (roads, airport),<br />
rubbish disposal, and others. Is<br />
Bali in danger of losing the vital<br />
Australian market?<br />
<strong>The</strong>re are definite infrastructure<br />
issues that remain to be addressed,<br />
but I believe the political<br />
will is there to continue to make<br />
improvements. It should be remembered<br />
that other world destinations<br />
of similar attractiveness<br />
like the West Indies, Seychelles<br />
or Pacific Islands have at least as<br />
many Infrastructure problems<br />
and probably less opportunity to<br />
overcome them.<br />
With regard to the speculation<br />
about entrapment, I think this<br />
isolated incident has been somewhat<br />
over-played, particularly<br />
with Indonesia’s clear policy about<br />
drug enforcement. I don’t think<br />
that it will have any lasting effect<br />
on Australians’ desire to come to<br />
Bali, and we should always try<br />
to steer clear of political posturing.<br />
One could just as easily enquire<br />
whether the imprisonment<br />
of Indonesian crew members (also<br />
juveniles, on a ship carrying refugees)<br />
would have an effect on Indonesians<br />
desire to go to Australia.<br />
<strong>The</strong> government can allow the<br />
proper legal process to take place,<br />
and ensure a fair and balanced<br />
approach to media coverage.<br />
<strong>The</strong>re is much to be proud of<br />
even more to offer in this rich and<br />
culturally diverse archipelago.<br />
Outside of Bali what are<br />
some of the newer Indonesian<br />
destinations that are showing<br />
growth for an international<br />
market and where are they<br />
coming from?<br />
<strong>The</strong>re are many beautiful destinations,<br />
each with their own appeal<br />
which are already on foreign<br />
visitor’s itineraries. Often they are<br />
sites of outstanding beauty and<br />
the number of visitors is on the<br />
increase, but our current challenge<br />
is to establish better infrastructure<br />
support for each of the<br />
destinations, to make them more<br />
accessible, and maybe more importantly<br />
have a strong clear message<br />
that will drive the desire for<br />
foreign visitors to make the trip.<br />
How is Indonesia pursuing<br />
this market and where is everyone<br />
going? Is this market more<br />
a ‘visiting friends & relatives’<br />
market or are Indonesians taking<br />
more vacation time?<br />
<strong>The</strong>re are vast demographic differences<br />
across the Indonesian<br />
population with the majority being<br />
those with limited facility for<br />
travel and therefore only in the<br />
‘visiting friends & relatives’ market.<br />
However, while I don’t believe<br />
there is more vacation time<br />
being taken, I do believe that Indonesians<br />
(more than foreigners),<br />
will readily accept long journey<br />
times for a relatively short stays at<br />
their destination. This translates<br />
to an enormous potential market<br />
for any destination in Indonesia<br />
which ‘markets’ itself well. I say<br />
this since even amongst Indonesian<br />
nationals there is an underlying<br />
perception that ‘Bali’ is Indonesia’s<br />
holiday destination! I am<br />
sure that once this domestic perception<br />
is changed then the whole<br />
tourism sector will benefit.<br />
As for the tourism products<br />
which appeal to the Indonesian<br />
market, they are probably the<br />
same as those sought anywhere<br />
around the world.<br />
Indonesia’s domestic airline<br />
industry has taken a beating<br />
over the years – how has this<br />
improved?<br />
Indonesia is still emerging as<br />
an international destination, and<br />
as with any emerging nation there<br />
have been some valid criticisms.<br />
<strong>The</strong>y should however be taken in<br />
context with other comparable nations.<br />
Purely because of the size of<br />
the population, and the accelerated<br />
growth of the airline industry,<br />
problems arose that may well<br />
have been arrested in more developed<br />
countries, and while there<br />
have been some company failures,<br />
the industry has recently become<br />
stronger and is now maintaining<br />
International Flight Safety Standards.<br />
It is incumbent upon Indonesian<br />
carriers to make it known<br />
across the world, that the airline<br />
industry here has undergone the<br />
necessary improvements and will<br />
maintain their international standards.<br />
Outside of Bali, most Australian’s<br />
are not aware of other<br />
tourism offerings in Indonesia –<br />
are there any plans for promotion<br />
of the country as a whole?<br />
Of course, the current wish of<br />
PATA (Indonesian Chapter) is to<br />
establish 100 destinations, each<br />
with their own distinctive appeal,<br />
which can then be promoted in<br />
a concerted ‘Tourism Marketing<br />
Plan’.<br />
Singapore is so close to Indonesia<br />
– are Singaporeans travelling<br />
to Indonesia and where do<br />
they most visit?<br />
Singaporeans have been travelling<br />
to Indonesia for years and<br />
of course many have business interests<br />
here, but many will travel<br />
here for leisure activities. For instance,<br />
there are 58 golf courses<br />
to choose from, many designed by<br />
international stars like Sir Nick<br />
Faldo, and at most, not only are<br />
you playing in beautifully manicured<br />
tropical playgrounds complete<br />
with golf carts, you also are<br />
accompanied by beautiful, well<br />
trained caddies. All for a fraction<br />
of the cost of golfing in Singapore!<br />
Bali’s spa business appears<br />
to be blooming – how big is<br />
this area of business and is it<br />
spreading to other parts of Indonesia?<br />
<strong>The</strong> spa business in Bali is<br />
definitely helped by visitors’ ongoing<br />
love of all things ‘Island of<br />
the Gods’. Arrivals feel the need<br />
to pamper themselves, and the<br />
spa businesses naturally benefit.<br />
What is less well known is that<br />
massage of many different varieties<br />
is an everyday part of Indonesian<br />
culture, and most definitely<br />
not reserved for holidays. Spa<br />
businesses, of the resort type, will<br />
naturally flourish in every new<br />
destination that is opened up to<br />
visitors.<br />
What flight routes do you believe<br />
could benefit Indonesia’s<br />
tourism industry?<br />
New flight routes will continue<br />
to become available as the tourist<br />
Industry grows, and yes more<br />
are needed, but will be introduced<br />
along with the appropriate infrastructure<br />
support, that will allow<br />
the continued safe operation<br />
of expanding domestic airline operators.<br />
What are occupancy levels<br />
and how do they vary region to<br />
region?<br />
Occupancy rates are generally<br />
40%-75%, dependent on the location<br />
and the brand of the hotel,<br />
with averages of approximately<br />
60% in Bali, 55% in Jakarta, 50%<br />
in Riau and 45% in other areas.<br />
<strong>The</strong>re are of course some hotels<br />
with considerably higher averages.<br />
Where the figures are consistently<br />
high, it can be seen that Investors<br />
are taking the opportunity<br />
to develop new hotel projects.<br />
What would you say is the<br />
greatest appeal for international<br />
visitors for Indonesia?<br />
Apart from the stunning natural<br />
beauty of the archipelago,<br />
I would have to say – “<strong>The</strong> genuine,<br />
naturally warm welcome and<br />
hospitality given by the Indonesian<br />
people”<br />
What countries do Indonesians<br />
travel to internationally<br />
the most and what trends do<br />
you see appearing?<br />
<strong>The</strong> wealthiest Indonesians,<br />
some 10% out of the population of<br />
240 million, will continue to travel<br />
to the top worldwide destinations,<br />
and some will enjoy several<br />
trips annually. By contrast, maybe<br />
for a once in a lifetime trip, the<br />
majority Moslem population of the<br />
working class go to Mecca for Haj<br />
and Umroh (pilgrimage).<br />
Singapore, regarded as the ‘China<br />
Town’ of Indonesia, will likely<br />
continue to be one of the most frequently<br />
visited.<br />
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