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Millennials, staycations key to prosper despite pandemic effects on tourism: Bobobox CEO
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(Courtesy of Bobobox)
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s the ongoing COVID-19 pandemic continues to wreak havoc on the national tourism and hospitality industry, Bobobox CEO Indra Gunawan says that focusing on millennials and staycations can be a key strategy for the industry to survive and prosper.
According to Indra, millennials remain a key segment of the market due to their influence and numbers.
“They are an important segment because of their sheer numbers and influencing power that can change the industry during the pandemic. In other words, they are big and loud,” he said.
Alexander Nayoan, Head of Human Resources Training at the Indonesian Hotel and Restaurant Association (PHRI), echoed the sentiment, saying that staycation programs can be a huge hit among the demographic.
“Staycation is a vacation, but with a homey twist. One of its appealing features is that they can chat until the late hours of the night without disturbing others in their own homes,” he said.
As many learn to live with the pandemic, staycations have gained popularity beyond millennials, with hygiene, service, safety, environment, and facility being priorities.
Alex pointed to data from Google Trends, which showed that millennial travelers increased between 30 to 40 percent in 2020.
“This is because millennials are more confident in traveling due to their high levels of immunity as well as working habits that are not limited by time and place. They also have the potential to grow even more as a target market, as companies have started implementing pandemic-driven shifts that will surely increase their free time, and with it traveling habits.”
To attract them, Alex said that companies will have to focus on social media as well as influencer marketing, as influencers have a wider reach and more powerful opinion.
With this in mind, Indra said that it is important to devise a marketing strategy as an initiative to capitalize on the potential of the tourism industry’s future, one of which is through attractive payment systems.
He noted that the Pay Now Stay Later program is an interesting preposition for millennials, along with the Stay Now Pay Later package that allows travelers to pay for their vacation in instalments.
According to Indra, the hospitality industry will need to focus on domestic millennial travelers for the next two years, as Indonesia is currently one of the countries with the highest COVID-19 cases in the world, along with not yet achieving herd immunity.
To counter this, he continues, the government will need to step up their vaccination programs so as to inoculate at least 80 percent of the population.
As for Bobobox, the company has launched the Bobocabin to boost the tourism business during the pandemic. The first phase saw Bobocabin available in Ranca Upas and Cikole in Bandung Regency, built on land owned by state-owned forestry company Perhutani.
“Through innovation in the form of Bobocabin, we wish to collaborate across sectors to support economic recovery, especially for the tourism sector that has been massively affected by the pandemic,” Indra said.
Offering a getaway from the hustle and bustle of city life, Bobocabin utilizes an elevated camping concept, a blend of traditional camping elements, scenic nature, and Internet of Things (IoT) connectivity.
Each cabin is equipped with a smart window that allows travelers to get closer to nature or enjoy a moment of privacy with the push of a button, high-speed internet to catch up on work emails or the latest series to stream, as well as a fireplace for an authentic camping experience.
According to Alex, Bobobox can further innovate on Bobocabin, such as by replacing the roof with glass panels so that travelers can enjoy the environment even more without the hassle, such as sleeping under the moonlight without the annoyance of mosquitoes, or enjoying the rain without getting wet.
He also suggested collaborating with e-commerce platforms for branding as well as a more thorough approach on campaigning by emphasizing hygiene, such as the commitment to periodically changing the bedcovers and ensuring the cleanliness of its shared spaces, as Bobobox’s central message must be heard loud and clear by its customers.
“We hope that Bobocabin can create new economic opportunities for local communities and support the industry by championing social, economic, and environmental sustainability,” Indra said.
