NINETY PERCENT OF TOURISM PROMOTION BUDGET ALLOCATED FOR BALI, JAKARTA AND RIAU ISLANDS

The Ministry of Tourism had formed a Tourism Promotion with target to drum up 10 overseas tourists in 2015 prioritized for Bali (40%) Jakarta (30%) and Riau Islands (20%). The remaining 10% was allocated for other destinations like Lombok, Raja Ampat Papua etc. “My proposal including all the figures were all on target. It takes good sense and managerial instinct to do business” Minister of Tourism Arif Yahya told Business News (19/5).

All the target figures refers to destination, origin, and time line. Tourists from Singapore might go to Batam in Riau island, or Bali. Data showed that 70% of Singaporeans like to visit Batam, the rest might visit Jakarta for business or recreation. As with Malaysia, about 20% of Malaysian tourists visited Batam. “With sense of good business we know exactly where tourists come from and where hey aimed to go. The target to drum up tourists to Riau could be met.”

We set target to the draw 10 million tourist with spending of USD 200 thousand per month. The Minister of Tourism expected the Head of Tourism Dept would refer to figures to make calculations. For example expenditure of Rp.200 thousand would mean Rp.600 thousand in 3 month. “They should know figures and have a good sense of business, we train them to do so. If tourists expenditure is only USD 350 the official had failed the exam.”

The target of drumming up 10 million tourists for 2015 was arranged on 3 monthly basis. The Minister set target for Quarter 2 around 25%. The following quarter till year end 2015 also 25%. The arrangement was part of the process of exercise to sharpen sense of business. The budget allocation was proportional with regional contribution of Bali, Jakarta and KEPRI. “Not just performance but also projection. To compare tourists from China, Malaysia and Singapore, by my calculation tourists from China was number one. The number is only 2 million, less than Malaysia and Singapore, but their expenditure came to USD 100 thousand. Tourists from Malaysia and Singapore spend less than those from China”.

Such was in line with the business principle i.e. “3 S” (Size, sustainability, spread) Meaning business must be measured by the 3 parameters. Tourists came to Riau with low spending so foreign tourists from Singapore to Batam did not increase provincial income (PAD) significantly, “The 3 S principle for tourists from China is best. So the allocated fund for drawing tourists from China is bigger.” (SS)

Business New - May 22, 2015