Rumors of rising fuel prices have been a trending topic lately. Whether it’s true or not, it has been proven by the simultaneous increase in all gas stations, starting from pertalite, diesel to Pertamax. Bank Indonesia estimates that inflation will reach 1.09% this September, and it reaps a lot of rejection from the civil society. From the beginning this fuel increase was completely rejected because it would affect all aspects of the economy, because the price of transportation for everything would increase.
The increase in fuel prices will certainly have an impact on tourism activities in Bali, especially for those who work in transportation industry. Not only that, the price of villas or hotels to stay in Bali will also increase because from the operational aspect, human resources, procurement of raw materials, all of which require transportation that requires fuel as a source of energy. So what are the effects of rising fuel prices on Bali tourism and can the tourism industry in Bali be able to deal with it?
Reducing the trend of tourist visits to Bali
In recent months Bali has again been crowded with foreign tourists and domestic guests, and this has become the door for the reopening of Bali tourism after pandemic. Of course, this revival was warmly welcomed by all Balinese, especially everyone who works in the tourism industry. The issue of rising fuel prices is certainly a big deal for someone working in the tourism sector, especially Bali, which has just recovered. Because all the costs of operational activities become inflation, then all the costs offered to tourists will definitely increase. It is scary for the Balinese people if tourists will be reluctant to visit Bali because of this case.
Transportation prices increase
The most affected by the increase in fuel prices are transportation companies because their main needs are rising, fuel prices. It is estimated that this transportation company will experience inflation of 30% – 40%, due to several factors other than fuel that affect this inflation estimate. When fuel rises, it will also affect the increase in the price of vehicle spare parts, driver fees, tax, vehicle maintenance, and also other factors that contribute to this inflation.
Hotel room prices increase
As I mentioned before, as fuel costs increase, all operational elements will also increase, this also happens to hotels which have a complex operational. Starting from the cost of raw materials, human resources, hotel needs and maintenance, and many more which will certainly become inflation. Maybe there are some hotels that use this situatuon as a marketing strategy to sell at a low price room, but back again to the capabilities of each hotel, this inflation is undeniable.
Travel spending rates increase
From the aspects above, when it combined, there will be an increase in travel spending rates. Transportation, hotel rooms, culinary, tourist entrance tickets, all of the cost will increase. Inflation from the increase in fuel does change all aspects, depending on how the company overcomes this problem.
For domestic tourists, the decreasing allocation for tertiary expenses and the more expensive costs that must be incurred for traveling, will have an impact on the decrease in their ability to travel to Bali. Although the interest is still high.
Then what is the solution if I still want to travel to Bali?
The first step is you need to adjust your budget to your trip, make a cost estimate so that there is no over spending when you are on vacation. Second, you need to find the agents and service provider to suits your needs, where they doesn’t take advantage of this fuel price increase to make a profit. Third, of course pack your things and book your flight, Bali is always waiting for you.
If you want to get around Bali in a simple and uncomplicated way, Bali Midori Travel Service is the solution. We provide various services starting from airport transfers, transportation, accommodation, and tour packages. In the middle of this fuel price increase, we are trying to offer a stable price for your vacation. Get your schedule and travel to Bali with Bali Midori.
Contact us for more information:
www.balimidori.com
+62-811 392 2728
Jl. Taman Sekar VI, Padangsambian, Denpasar Bali 80117, Indonesia