TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
New hotel chains flourish despite tight competition
Despite cutthroat competition among players in the countryâs hospitality industry, new players continue their expansion in the countryâs major cities
Change Size
D
espite cutthroat competition among players in the country's hospitality industry, new players continue their expansion in the country's major cities.
New hotel chains such as Artotel Indonesia, Tune Hotel and InnSula' Hotels & Resorts have announced their plans to build new properties across the archipelago.
After opening Artotel Jakarta Thamrin in the heart of the capital city on Thursday, Artotel Indonesia CEO Erastus Radjimin said that the company eyed major cities across Java and Bali to expand its portfolios.
'We are going to open our next hotels in Cikarang [West Java] and Bali next year and we are looking at more cities like Yogyakarta and Bandung [West Java] in the next few years for our next expansions,' Erastus said on the sideline of the launch.
'We want to tap into the rising demand in the domestic travel market as people travel more nowadays. With the new concept that we have, by blending art and hospitality, we are optimistic that we will lead the market.'
Artotel fully integrated art into their hotels, from the building's exterior to every guest room, restaurant and meeting room inside the building. Artotel Thamrin, its second property after Artotel Surabaya that was launched last year, embraced urban contemporary art.
In addition, Group Marketing Communications Manager of new local management InnSula' Hotels & Resorts Meutia Mahardhika said that the hotel chain had eight new properties in the pipeline, which would have between 120 to 200 rooms each.
Meutia said that the projects include The InnSula' Pulogadung with 170 rooms and a ballroom with a capacity of 700 to accommodate demand for meetings, incentives, conventions and exhibitions (MICE).
'Other projects in our pipelines will cover national and regional level which will be two hotels in Sulawesi, one in Kalimantan, Yogyakarta, Bali and also in Johor Bahru [Malaysia] and Singapore,' she said.
Currently, the firm manages the Rattan Inn Banjarmasin, a four-star 94 room hotel in South Kalimantan that is undergoing an extension of an additional 71 new deluxe rooms, a grand ballroom and the Talaga Spa in Bali.
'In the future, we plan to develop many more exciting properties into gateways and secondary key markets of Indonesia. Partnership opportunities for new and existing properties are welcome,' she added.
Moreover, Red Planet Hotels Limited that operates budget accommodation Tune Hotels aims to establish 40 hotels in the country.
Red Planet senior vice president sales and marketing Mark Armsden said that the hotels would be located not only in major cities but also suburbs and second tier cities.
'Yes, there is a lot of competition going on here but we do believe the market will sustain as Indonesia sees more domestic tourists and government travelers because of the healthy economy,' he said.
Red Planet is an asset and brand owning company and the second largest owner of Tune Hotels with a 17 percent stake in the company. Tune Hotels is a private investment group of Tan Sri Tony Fernandes, founder and group CEO of low-cost airline AirAsia.
The Indonesian Hotels and Restaurants Association latest data shows that there will be 50,000 new supplies next year, increasing star-rated rooms available in the country to 335,000 by the end of 2014.
