Domestic Tourists Increasingly Active, Indonesia's Hotel Cancellations World's Lowest

Something has changed in How Indonesians Travel over the past year. Where international airports once symbolized the rise of Tourism, strong movement is now felt through domestic Hotel Bookings.

Global hotel revenue platform SiteMinder records a recovery and resurgence in Indonesia's domestic travel and Tourism sector.

This aligns with increasing demand from local travelers reflected in hotel bookings throughout 2025.

According to SiteMinder's Hotel Booking Trends compiled from over 130 million hotel bookings, domestic guests accounted for 48% of check-ins at Indonesian Hotels in 2025. This represents a 5.6 percentage point increase from the previous year.

"This is the world's second highest after Canada," stated SiteMinder Indonesia Country Manager Fifin Prapmasari.

These figures show a significant shift. During the same period, international guests dropped to 52% from 57% in 2024, nearly balancing domestic and international demand.

Indonesia, long known as a magnet for Foreign Tourists, is now discovering new strength in its domestic market.

Fifin explained this booking pattern shift aligns with last year's domestic tourism surge, where Indonesia recorded a 19% annual increase in domestic travel.

Interestingly, local travelers show distinct behaviors. As domestic trips increased, hotel cancellation rates dropped to 11.38% – the world's lowest – while booking windows shortened.

Hotel booking lead times decreased 7% to 19 days (far below global average of 32 days), with 80% bookings for single-night stays versus global average of 74%.

Meanwhile, average room rates fell 9.38% year-on-year to Rp1,884,476.

"Lower cancellations, last-minute bookings, and shorter stays reflect local travelers' enthusiasm to explore their own country," said Fifin.

For hotels, she added, rising domestic demand enables need-based pricing and creative local offerings.

"This leverages hotels' deep understanding of local travelers' preferences to promote unique facilities while designing attractive packages that maximize revenue per guest while delivering enjoyable stays," Fifin noted.

She considers Domestic Tourists a significant force, advising hotels to leverage their growth just as with international guests.

Travel patterns are also becoming more balanced. SiteMinder's report shows that while July-August remain Indonesia's peak tourism months in 2025, hotel demand distributed more evenly throughout mid-year.

January recorded the highest annual growth, with booking share rising to 7.69% driven by New Year holidays and Lunar New Year celebrations.