Pastika Criticises Discount Hotel Rates

NUSA DUA

Bali’s governor has repeated calls for an end to aggressive discounting by starred hotels, saying that it threatened to cheapen Bali’s image.

I Made Mangku Pastika said that Bali had worked hard to develop an image as a “quality” tourism destination, and that “price wars” between hotels in the island’s crowded south threatened to turn it into a cheap destination. He said that hotels should set higher room rates to attract a better quality of high-spending tourists.

Aggressive competition between starred hotels means that low promotional prices are often available at top-end hotels in Bali. A recent government-funded study revealed a surplus of rooms across Bali, and no need for further construction until 2015.

Pastika said that he was considering issuing legal restraints on aggressive discounting. Five-star hotel rooms are currently often available for US$100 a night. Pastika said the minimum should be four times that amount.

“Rates for five-star hotels might be set at a minimum of $400 per night,” he said.



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4 Responses to “Pastika Criticises Discount Hotel Rates”

  1. marc Says:

    When i have to pay 4 times the rate i’m paying now for my 3 star hotel, 350000 rp a night the only thing i have to say is adios i’m going to thailand an malaysia. The hotels in the kuta region are not worth their stars…

  2. LYNDON Says:

    Issuing legal restraints and fixing prices in hotels will do so much damage to the tourist industry in Bali. The whole world is having to tighten its belt to survive at the moment. It’s better to receive something, and keep hotels and local employment alive, than see hotels having to close through lack of custom and people lose their much needed jobs.
    This problem is affecting the whole world, not just Bali. The business world has to adjust in the current financial climate. I have no doubt at all that hotels will re-adjust their prices as things improve. The important thing is to keep people in employment and the hotels in Bali open. The cost of repairing an hotel that has been left empty with possible vandalism and theft having taken place far outweighs lowering room prices in the short term…however long that may be for. What would hotel staff live on to support their families if they lose their job ?

  3. martijn Says:

    we have recently booked the htels for our upcoming holiday in bali and I wish that those kind of rates were available. So far the average rates has been upwards of usd 350. we’ll see whether that is value for money but to fix prices at usd 400 will, as pointed out, be counterproductive bcause tourists will just go elsewhere. think again governor

  4. sniggle Says:

    Asking Balinese government officials to think? Good luck!

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