Indonesia sustainable tourism industry is set to leap forward with a CAGR of 27.3% through 2034. The industry is valued at USD 17.4 billion in 2024, and by 2034, is likely to reach USD 195 billion.

Category-wise Insights

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Indonesia Hospitality Market Size 2024-2028

The Indonesia hospitality market size is forecast to increase by USD 7.78 billion, at a CAGR of 6.2% between 2023 and 2028.

The market is experiencing significant shifts, driven by the increasing preference for local and authentic experiences. This trend is fueled by the growing number of domestic and international tourists seeking unique and culturally immersive stays. Additionally, the rise of the digital age has given way to increased internet access and the influence of online testimonials, which play a crucial role in shaping travelers' decisions. Technology is transforming the hospitality sector, with data analytics, virtual concierge services, mobile applications, and the Internet of Things (IoT) becoming essential components. However, the market faces challenges in implementing tourism policies effectively. The complex regulatory environment and varying implementation standards across regions pose obstacles for hospitality businesses aiming to expand and maintain compliance.
To capitalize on the market's opportunities and navigate these challenges, companies must focus on delivering authentic, locally-inspired experiences while navigating the intricacies of the regulatory landscape. By staying agile and responsive to evolving consumer preferences and policy requirements, businesses can differentiate themselves and thrive in Indonesia's dynamic hospitality market.

What will be the size of the Indonesia Hospitality Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2018-2022 and forecasts 2024-2028 - in the full report.
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The Indonesian hospitality market is characterized by a focus on community engagement and sustainable tourism, with pricing strategies tailored to cater to diverse customer segments. Brand perception and service quality are key differentiators, as hotels prioritize cultural tourism experiences and risk management to ensure guest safety and security. Tourism development and emergency procedures are crucial elements of operational efficiency, with local economic impact and destination marketing driving revenue optimization. Talent acquisition and employee engagement are essential for delivering exceptional guest service, while hospitality design and accessibility standards enhance the overall guest experience.
Data analytics and guest feedback inform revenue optimization strategies, with safety and security measures integrated into hotel operations. Distribution channels and hospitality software enable efficient management of customer insights, ensuring operational excellence in the competitive Indonesian hospitality industry.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Type

  Domestic
  International


Service

  Food service
  Accommodation


Geography

  APAC

    Indonesia

By Type Insights

The domestic segment is estimated to witness significant growth during the forecast period.

The domestic the market is thriving, with locals driving the majority of tourism within the country. This segment's dominance is attributed to the ease of navigating the country's policies, rules, language, and culture. However, the focus on international tourism is expanding, allowing developing countries to earn foreign exchange. Fitness centers and swimming pools are popular hotel amenities, enhancing guest experience. Channel management systems facilitate seamless reservations and revenue optimization. Sustainability initiatives, such as waste management practices and carbon footprint reduction, are gaining importance. Online reputation management is crucial for maintaining a positive image. Hotels invest in marketing strategies, including content marketing and digital campaigns, to attract guests.

Training programs ensure high-quality customer relationship management. Hospitality technology integration, including mobile apps, online booking engines, and revenue management systems, streamlines operations. Event planning services cater to various needs, from corporate events to weddings. Bar and banquet management systems optimize service delivery. Spa services offer relaxation and rejuvenation. Green building standards ensure eco-friendly structures. Cloud-based solutions enable efficient property management. Accessibility features cater to diverse guest needs. Cultural experiences and tourist attractions add value. Guest wi-fi solutions keep guests connected. Loyalty programs retain repeat business. Sustainability certifications demonstrate commitment to the environment. Hotel branding and social media marketing boost visibility.

Leisure travelers seek unique experiences, wh

According to a survey by Rakuten Insight on online travel agencies (OTAs) conducted in June 2023, around ** percent of respondents in Indonesia claimed that they had used Traveloka, followed by Tiket.com and Agoda. Traveloka is an Indonesian startup turned unicorn company that provides flight tickets, hotel booking services, and more. Why are online travel agencies thriving in Indonesia? Growing internet penetration and smartphone adoption have fueled the growth of online travel agency (OTA) use in Indonesia. The young, tech-savvy population increasingly prefers the convenience of online travel bookings. OTAs in Indonesia attract users with competitive processes, diverse options, and user-friendly interfaces, simplifying the travel planning process. The rise of digital payment systems and growing trust in online transactions further boost their popularity. As tourism expands, OTAs continue to provide accessible and efficient travel services, solidifying their crucial role in Indonesia’s travel industry. The economic impact of tourism in Indonesia Tourism is pivotal in Indonesia’s economy, contributing significantly to the Gross Domestic Product (GDP) and employment. In 2019, before the pandemic hit, the tourism industry accounted for about **** percent of the GDP, with international tourists spending billions on accommodation, food, and entertainment. Tourism also supports millions of jobs directly in hospitality and travel services, and indirectly in other sectors such as transportation, retail, and food services. The industry is experiencing a strong recovery post-pandemic, with the government heavily promoting domestic tourism and improving infrastructure. In addition, sustainable tourism is now a key focus. Indonesia aims to balance economic growth with environmental conservation and cultural preservation, ensuring tourism remains a vital economic driver.

The Indonesia Surfing Tourism Industry is poised for tremendous growth, with its market value rising from USD 9.2 billion in 2025 to USD 28.7 billion by 2035, supported by a strong CAGR of 12%. The growth is supported by Indonesia's world-class and varied surf spots, including Bali, Sumatra, and the Mentawai Islands, which remain popular among surfers worldwide. With international popularity growing for Indonesia's surf destinations, more and more surfers are heading for Indonesia's unusual shore breaks, from easy waves suited for beginners to difficult reef breaks.

Market Overview

In Indonesia Medical Tourism Market, offering valuable insights, key market trends, competitive landscape, and future outlook to support strategic decision-making and business growth.

The tourism sector GDP share in Indonesia was forecast to continuously increase between 2023 and 2028 by in total *** percentage points. The share is estimated to amount to **** percent in 2028. While the share was forecast to increase significant in the next years, the increase will slow down in the future.Depited is the economic contribution of the tourism sector in relation to the gross domestic product of the country or region at hand.The forecast has been adjusted for the expected impact of COVID-19.The shown data are an excerpt of Statista's Key Market Indicators (KMI). The KMI are a collection of primary and secondary indicators on the macro-economic, demographic and technological environment in more than *** countries and regions worldwide. All input data are sourced from international institutions, national statistical offices, and trade associations. All data has been are processed to generate comparable datasets (see supplementary notes under details for more information).Find more key insights for the tourism sector GDP share in countries like the Philippines and Laos.

In 2021, the expenditure on digital static display advertising of the transport and tourism category in Indonesia decreased by **** million U.S. dollars (-***** percent) since 2020. Therefore, the advertising spending in Indonesia saw its lowest number in that year with **** million U.S. dollars. Notably, the advertising spending is continuously decreasing over the last years.For more insights about advertising in Indonesia: In 2021, in comparison to the ad expenditure of the transport & tourism category on internet, the ad expenditure of the transport & tourism category on television was higher, while spending on newspapers was lower.

The international tourism receipts in Indonesia were forecast to continuously increase between 2024 and 2029 by in total ***** trillion U.S. dollars (+***** percent). According to this forecast, in 2029, the tourism receipts will have increased for the ninth consecutive year to ***** trillion U.S. dollars. Receipts denote expenditures by inbound tourists from other countries. Domestic tourism expenditures are not included. The forecast has been adjusted for the expected impact of COVID-19. The shown data are an excerpt of Statista's Key Market Indicators (KMI). The KMI are a collection of primary and secondary indicators on the macro-economic, demographic and technological environment in more than *** countries and regions worldwide. All input data are sourced from international institutions, national statistical offices, and trade associations. All data has been are processed to generate comparable datasets (see supplementary notes under details for more information).Find more key insights for the international tourism receipts in countries like Thailand and Cambodia.

The Indonesian car rental market, valued at $0.74 billion in 2025, is experiencing robust growth, projected to expand at a Compound Annual Growth Rate (CAGR) of 16.30% from 2025 to 2033. This surge is fueled by several key factors. The burgeoning tourism sector in Indonesia, with its diverse attractions and increasing international tourist arrivals, significantly drives demand for short-term rentals. Simultaneously, the growth of business travel and the increasing preference for flexible transportation solutions among urban professionals contribute to the demand for both short-term and long-term rentals. Technological advancements, such as online booking platforms and mobile applications, are streamlining the rental process, boosting accessibility and convenience for customers. Furthermore, the expansion of Indonesia's middle class, with increased disposable income and a preference for personal mobility, further fuels market expansion. However, challenges remain. These include fluctuating fuel prices, which impact operational costs and rental prices, as well as the competitive landscape, with established international players and local companies vying for market share. Government regulations and infrastructure development also play a role in shaping the market's trajectory. The segmentation of the market reveals further insights. The online booking segment is expected to witness faster growth compared to offline bookings, reflecting the broader trend towards digitalization. Similarly, the short-term rental segment, catering to tourists and business travelers, holds a larger share than the long-term segment, although the latter segment's growth is anticipated to increase, driven by corporate contracts and the rising demand for flexible vehicle solutions. The tourism application type dominates, underscoring the importance of the tourism sector as a primary driver of market growth. Key players like Hertz, Avis Budget Group, and local companies such as Blue Bird Group and Adi Sarana Armada Tbk are fiercely competing to capture market share, leading to innovations in service offerings and pricing strategies. Future growth will depend on the continued expansion of tourism, improving infrastructure, and the successful navigation of regulatory and economic challenges. Recent developments include: March 2024: VinFast introduced a battery rental service in Indonesia, addressing concerns about battery durability and health, providing customers with a convenient and worry-free electric vehicle ownership experience., April 2023: A digital bank called Super Bank Indonesia, supported by Grab, agreed to lend money to PT Teknologi Pengangkutan Indonesia (TPI), a company that rents cars to GrabCar drivers. TPI used the loan to buy over 1,000 more cars for GrabCar drivers to rent. This deal is part of a bigger plan to help Grab drivers get better access to loans and other financial services.. Key drivers for this market are: Increasing Tourism Industry is Anticipated to Drive the Demand. Potential restraints include: Increasing Tourism Industry is Anticipated to Drive the Demand. Notable trends are: Growing Demand for Online Car Rental Services.

The revenue in the 'Camping' segment of the travel & tourism market in Indonesia was modeled to be ************* U.S. dollars in 2024. Between 2017 and 2024, the revenue rose by ************* U.S. dollars, though the increase followed an uneven trajectory rather than a consistent upward trend. The revenue will steadily rise by ************* U.S. dollars over the period from 2024 to 2030, reflecting a clear upward trend.Further information about the methodology, more market segments, and metrics can be found on the dedicated Market Insights page on Camping.

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Booming South East Asia Aviation Infrastructure Market: Discover key trends, growth drivers, and top companies shaping this multi-billion dollar sector. Explore detailed market analysis, CAGR projections (4%+), and regional breakdowns for Indonesia, Singapore, Thailand, and more. Investment opportunities and challenges within commercial & military airports are highlighted. Notable trends are: Commercial Airport Segment to Dominate the Market During the Forecast Period.

According to a survey on the impact of COVID-19 on tourism conducted by Rakuten Insight in July 2022, Southeast Asia was the most preferred travel destination by respondents in Indonesia. The second-most popular region to travel to among Indonesians was Europe.

The ASEAN car rental market, valued at approximately $XX million in 2025, exhibits robust growth potential, projected to expand at a Compound Annual Growth Rate (CAGR) of 15.70% from 2025 to 2033. This surge is driven by several key factors. Firstly, the burgeoning tourism sector across Southeast Asia fuels demand for short-term rentals, particularly in popular destinations like Thailand, Singapore, and Vietnam. Secondly, the increasing urbanization and traffic congestion in major cities are prompting more individuals and businesses to opt for convenient car rental solutions for commuting and daily needs, bolstering long-term rental segments. Furthermore, the rise of online booking platforms and mobile applications simplifies the rental process, enhancing accessibility and convenience for consumers. While infrastructure limitations in certain regions and fluctuating fuel prices pose some challenges, the overall market outlook remains positive, with continuous technological advancements and evolving consumer preferences contributing to its sustained growth. This growth is unevenly distributed across the region. Singapore, with its developed infrastructure and high tourist influx, likely commands a significant market share. Indonesia and Vietnam, given their large populations and expanding middle classes, are also expected to witness substantial growth in car rentals. Malaysia and Thailand, already established tourist hotspots, will continue to be important markets. The "Rest of Southeast Asia" segment, encompassing smaller economies, may experience slower yet consistent expansion. Key players like Avis Budget Group, INDORENT, and Blue Bird Group are actively competing to capture market share, investing in fleet expansion, technological upgrades, and strategic partnerships to cater to the evolving demands of this dynamic market. The competitive landscape is further shaped by the emergence of local players and the increasing popularity of peer-to-peer car sharing services. This insightful report provides a detailed analysis of the burgeoning ASEAN car rental market, encompassing historical data (2019-2024), current estimates (2025), and future projections (2025-2033). It delves into market size, segmentation, trends, and key players, offering invaluable insights for investors, businesses, and stakeholders seeking to understand and capitalize on this dynamic sector. The report uses a base year of 2025 and forecasts a market valued in the millions of units. Recent developments include: June 2022: Carro acquired a 50% stake in the rental arm of Indonesian automotive group PT Mitra Pinasthika Mustika for nearly USD 54 million, according to a statement from the companies. PT Mitra Pinasthika Mustika Rent (MPMRent) is Indonesia's largest car rental company, with a fleet of over 13,000 vehicles and financing services., July 2022: InterContinental Phuket Resort and SIXT Thailand formed a partnership that will introduce the Nissan Leaf to its rental collection in Phuket. To power this new fleet of EVs, InterContinental Phuket Resort has installed a total of six EV charging points - four AC stations and one1 DC station with two chargers., January 2022:The Middle Eastern mobility company ekar announced that it will begin operations in Thailand, starting with Bangkok and moving on to other cities later this year. With no down payments or long-term commitments, ekar's exclusive car subscription service, which is available through the ekar app, offers cars with terms of one to nine months for a single monthly fee. Peer-to-peer carsharing services from ekar will be available later in 2022.. Key drivers for this market are: Increase in Demand for Clean Energy Driving the Market. Potential restraints include: Rising Safety Concerns is Antcipated to Restrain the Market. Notable trends are: Rising Tourism Industry in the Region Drives the Market.

According to a survey on the impact of COVID-19 on tourism conducted by Rakuten Insight in July 2022, ** percent of respondents in Indonesia stated that they planned to purchase travel insurance for their post-COVID trips. The same survey revealed that Southeast Asia was the most popular region to travel to among Indonesian travelers.

According to a survey on the impact of COVID-19 on tourism conducted by Rakuten Insight in July 2022, ** percent of respondents in Indonesia who were undecided about traveling during COVID-19 stated that they would travel if the costs involved decreased. The same survey revealed that around ** percent of Indonesian respondents did not plan to travel abroad in 2022.

According to a survey on the impact of COVID-19 on tourism conducted by Rakuten Insight in July 2022, ** percent of respondents in Indonesia who intended to travel abroad during COVID-19 stated that they would be traveling for leisure. The same survey revealed that the main reason of people who wanted to travel abroad this year was because they were already fully vaccinated and they felt safe traveling.

According to a survey on the impact of COVID-19 on tourism conducted by Rakuten Insight in July 2022, ** percent of respondents in Indonesia stated that they planned to travel by air to reach their chosen destination this year. The same survey revealed that Southeast Asia was the most popular travel destination among Indonesian travelers.

The international tourism receipts in Thailand were forecast to continuously increase between 2024 and 2029 by in total ***** billion U.S. dollars (+**** percent). After the ninth consecutive increasing year, the tourism receipts is estimated to reach *** trillion U.S. dollars and therefore a new peak in 2029. Receipts denote expenditures by inbound tourists from other countries. Domestic tourism expenditures are not included. The forecast has been adjusted for the expected impact of COVID-19. The shown data are an excerpt of Statista's Key Market Indicators (KMI). The KMI are a collection of primary and secondary indicators on the macro-economic, demographic and technological environment in more than *** countries and regions worldwide. All input data are sourced from international institutions, national statistical offices, and trade associations. All data has been are processed to generate comparable datasets (see supplementary notes under details for more information).Find more key insights for the international tourism receipts in countries like Indonesia and Myanmar.

The international tourism receipts in Cambodia were forecast to continuously increase between 2024 and 2029 by in total **** trillion U.S. dollars (+****** percent). After the ninth consecutive increasing year, the tourism receipts is estimated to reach **** trillion U.S. dollars and therefore a new peak in 2029. Receipts denote expenditures by inbound tourists from other countries. Domestic tourism expenditures are not included. The forecast has been adjusted for the expected impact of COVID-19. The shown data are an excerpt of Statista's Key Market Indicators (KMI). The KMI are a collection of primary and secondary indicators on the macro-economic, demographic and technological environment in more than *** countries and regions worldwide. All input data are sourced from international institutions, national statistical offices, and trade associations. All data has been are processed to generate comparable datasets (see supplementary notes under details for more information).Find more key insights for the international tourism receipts in countries like Indonesia and Thailand.