Bali Backpackers
Bali Backpackers – Tourists And Digital Nomad’s Frugal Spending Habits
Bali backpackers, and digital nomads and how these trends are impacting their revenue.
According to some business owners, the frugal spending habits of a proportion of Bali’s over 6 million international visitors are proving costly and frustrating for local entrepreneurs.
Speaking to reporters Ibu Parubaya, the owner of a small fish restaurant in Kedonganan Fish Market, confirmed that on more than one occasion she has kicked out foreigners who have visited her stall and spent far more time than money in her premises.
She explained to reporters, “I told them to come out of my stall because they didn’t shop, just bought a glass of iced tea, then sat for hours, chatting for hours. It’s blocking other customers who want to eat here. [They should be used to being] kicked out because it’s normal.”
Low-spending tourists have a nickname in Bali, known as ‘Turis sandal jepit’ or flip-flop tourists, small local business owners across the island’s tourism resorts are starting to lose their patience with the frugality of some kinds of tourists.
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Reporters visited cafes and food stall owners across the Kedonganan and Jimbaran Beach areas and found many stories similar. Some stall owners report foreign tourists over-haggling on the price of fruit, or a group of tourists sit down at a cafe or food stall and only one of them eats, while the others drink beverages purchased elsewhere.
These reporters were handed over to the Chairman of the Bali Marginal Tourism Actors Alliance, Wayan, Puspa Negara, who shared his insights on the situation. He noted that there are four main travel demographics to Bali and that these are identifiable by their spending habits, the first is the backpacker, the second is the middle-low, the third is the middle-up, and the fourth is the luxury traveler.
Negara told reporters “Especially in Bali, this Backpacker class is common to come even they are repeater guests, so it all depends on us, the government, stakeholders, interests, technical units, whether to filter them or not. The way to filter can be like the country of Bhutan, the number of tourists is limited.”
“We in Bali are still waiting for mass tourists, so like this, those who come at this time can be selected. It’s time for Bali to move towards quality tourism by strengthening the quality of the destination and human resources, and this can be done with the local government policy.”
Negara is not the first to reference a Bhutan-style tourism model as a potential starting point for redesigning the travel and tourism sector in Bali.
The previous Indonesian Minister for Tourism and Creative Economies, Sanidaga Uno, regularly discussed introducing a Bhutan-style model to Bali. In recent weeks, Bali Senator Ni Luh Djelantik has also shared content online calling for leaders to heed Bhutan’s highly controlled, sustainable tourism model.
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Many feel, however, that mass tourism is far too prevalent in Bali and that a shift to a Bhutan-style tourism model featuring extremely limited quotas, mandatory guided tours, and expensive visas paid for on a by-day basis would be shortsighted. Main Article: Bali Backpackers
If Bali only attracted luxury and high-end tourists, thousands of small businesses would collapse, including those along Jimbaran Beach and Kedonganan Beach, which the lower and middle-budget tourist demographics have long supported.
Though anecdotal reports that the number of tourists taking advantage of the hospitality of small businesses in Bali is on the rise, figures from the Central Statistics Agency earlier this month revealed that throughout 2024, the average expenditure of foreign tourists to Indonesia was USD 1,391, around IDR 22.8 million.
In 2024 the top spending tourists spend far beyond that of the average visitor. Swiss tourists spend an average of USD 2,194 USD per stay, followed by tourists from the United States who spend an average of USD 2,182, in third place were tourists from Austria who spent an average of USD 2,175.
Due to an apparent rise in the number of foreigners engaging in criminal activity in Bali and reports of low-spending tourists negatively impacting local businesses, Bali’s leaders will install more billboards around top resorts promoting the do’s and don’ts of visiting the province. Main Article: Bali Backpackers
Educate Tourists About Respectful Behaviour
Bali’s tourism leaders are taking a firm stance against the disrespectful and criminal behavior of a small but significant minority of tourists on the island.
The Head of the Bali Tourism Office, Tjok Bagus Pemayun, has spoken to reporters to share his plans to install new billboards announcing to tourists the rules they must follow while they visit the province.
The actions have been long coming and are, in fact, very similar to steps taken in 2023, when a similar rise in criminal behavior and disrespectful actions was recorded among a minority of Bali’s international visitors.
In 2023, following a rise in the number of reports of culturally disrespectful behavior, drunk and disorderly action, and criminal activity, Bali introduced a list of Do’s and Don’ts for tourists to abide by.
The rules were listed on a small number of billboards in top tourist attractions, and for a short time were placed in passports by immigration officials while stamping tourists into the country.
With another seeming rise in the number of reports of criminal behavior by tourists in the province, leaders are circling back to the basics and are committing to educating tourists about what is expected of them during their time on the island. Main Article: Bali Backpackers
The comments come specifically after footage of a brawl between tourists and security guards went viral on social media last week.
The footage shows tourists, now believed to be Australian, attacking security guards at Finns Beach Club in Canggu in an altercation that is reported to have started inside the venue and escalated into violence.
Bali Police have now confirmed the arrest of a 28-year-old Australian tourist in connection with the brawl.
The man, known by his initials MR, remains in police custody, four other witnesses have been called in for interview and police will process further eleven accounts of the events of Tuesday 11th February in the coming days.
Speaking to reporters Head of Public Relations of the Bali Regional Police, Kombes Ariasandy explained “One suspect MR, a male Australian foreigner, currently has been detained in the Bali Regional Police.”
He added “The MR report is handled by the Badung Police and has been in the investigation stage. Four witnesses have been examined and the plan is to examine 11 other witnesses.”
Finns Beach Club is also currently facing the threat of temporary closure notices due to operating with incomplete licenses and permits. Bali’s Satpol PP, the Civil Police Unit, is waiting for final permission to issue the temporary closure notices to the world-famous beach club venue.
The Head of the Bali Tourism Board, Tjok Bagus Pemayun, told reporters “I saw the video which is very concerning, we want all parties to work together to guard against it, this is extraordinary, it has exceeded our expectations. This year we will install [billboards] in several areas, [to share behaviors] which are allowed and which are not.”
He added, “They are said to be drunk, meaning that people are beyond the limits of consciousness, so they do inappropriate things. We will communicate with law enforcement, the police have taken action [already] including immigration.”
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Pemayun confirmed that at least ten billboards will be installed across areas of Bali where tourists have become more likely to engage in criminal activity, including in Canggu’s Berawa. Billboards will also be installed in Uluwatu, Tanah Lot, and Bedugul.
Indonesia’s Deputy Minister for Tourism, Ni Luh Puspa, also shared her response to the incident at Finns Beach Club and the apparent rising crime rates in Bali’s top resorts.
She shared “This has also become a concern for the minister, we at the center are also very worried about this, we want to immediately find a solution together with the center and the regions.”
The Minister added, “This [kind of behavior] has entered the criminal realm, of course, we support the police including the local government, of course, the steps of law enforcement need to be strengthened again.”
Rising Crime in Bali
Indonesia’s Deputy Minister of Tourism, Ni Luh Puspa, has been talking to the media about her concerns regarding the increase in the number of foreigners in Bali engaging in criminal activity.
Her comments come as Bali Immigration this week confirmed the arrest of four foreigners working on tourist visas and the deportation of six others on similar offenses.
Minister Ni Luh Puspa told reporters on Thursday 13th February that she is committed to resolving the issue of rising crime rates in Bali.
She explained, “This has also become a concern for the minister, we at the center are also very worried about this, we want to immediately find a solution together with the center and the regions.”
She confirmed that she is also exploring ways in which law enforcement can be made stronger in Bali to help deter criminally inclined individuals from operating in the region.
With specific reference to the violence that broke out at Finns Beach Club earlier this week, Minister Ni Luh Pupsa confirmed that the Ministry of Tourism is giving its full support to Bali Police in tackling these issues.
She added, “This [kind of behavior] has entered the criminal realm, of course, we support the police including the local government, of course, the steps of law enforcement need to be strengthened again.”
Minister Ni Luh Puspa spoke to the media after holding a joint meeting with the Bali House of Representatives in Badung Regency. All major tourism unions, associations, and agencies were attendees, and Bali’s top tourism stakeholders discussed what policy updates are necessary to help form the Third Amendment Bill to Law Number 10 of 2009 concerning Tourism.
The Minister shared, “Now we are listening to the aspirations of many good inputs, even very detailed article by article. We hope this can be completed soon because this is a carryover from the previous [policital] period.”
Changes to the way in which tourism is managed in Bali are clearly on the cards, but the impact any policy changes will have on tourists to the province remains to be seen.
She concluded, “There are many adjustments that need to be adapted to the current situation, so we feel it necessary for us to discuss together, and absorb aspirations so that when this law is completed it can provide a better contribution to Indonesian tourism in future.”
Speaking separately, the Head of Bali’s Tourism Office, Tjok Bagus Pemayun, added that local officials regretted how this situation had come to be and that the criminal actions of foreign nationals in Bali had gone beyond what agencies had predicted.
He shared “We want quality tourists to come, who respect Balinese culture, the environment Balinese people, this incident is a lesson for us.”
Pemayun also noted how a change in law enforcement is necessary, citing the policies outlined in Circular Letter Number 4 of 2022, which he feels do not now go far enough in their capacity to prevent the criminal actions of foreigners in the province, whether this be violent crime or immigration crime.
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Pemayun noted, “Of course, with this incident, we are intensifying again. We want to check the decision letter in Bali again because it needs some updates so we can anticipate these things.”
He confirmed that the Bali Tourism Office will install a fresh round of billboards to communicate the do’s and don’ts that tourists and foreigners must obey while in the province.
While top officials in Bali continue to discuss and create a series of policy updates that will help keep the province safer and more peaceful for residents and tourists, the situation for foreigners in the region remains the same.
The protocol is simple; respect Indonesian law, honor and obey the conditions as stipulated in your visa category, and respect Balinese customs and culture.
International Port for Bali
PT Pembangunan Perumahan (PTPP) – the government-owned public housing company, has demonstrated its resolve to build a world-class international port facility at the Port of Benoa in South Bali.
According to Kompas.com, the company secretary of PTPP, Joko Raharjo, insists that the modern port facility represents much more than merely an infrastructure improvement. Raharjo added via a press statement on Monday, 03 February 2025: “This port is an effort to improve connectivity, support tourism, and strengthen the regional economy,”
Continuing, he said that the completion of the construction of Benoa Port underlines PTPP’s position among the most trusted construction companies in the country. Another high-quality project recently completed by the State-owned PTPP includes the Bali International Hospital (BIH) in the Sanur Special Economic Zone (SEZ).
Joko Raharjo explained that among the several innovations introduced in the development of the Port was the use of pilings on access roads in mangrove areas that permit unimpeded water flow and tidal changes. The Port Development Project in Benoa also emphasized the wide-scale replanting of mangrove areas and the conservation of coral reef and transplantation efforts.
PTPP played a central role in the development of Benoa Port by designing and constructing the port facilities. The Company also dredged the Port’s shipping lanes and undertook all elements in creating the I-Bali Maritime Tourism Hub.
In addition, the Benoa Port is designed to be an integrated maritime activity center, facilitating cross-sector collaboration and encouraging tourism-based economic growth in Bali. The Benoa Port is also expected to catalyze a synergistic business ecosystem, supporting Bali’s sustainable economic growth.
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“So, through the Benoa Port project, PTPP has shown its commitment to building quality and sustainable infrastructure,” proclaimed Joko.
Meanwhile, Erick Thohir, the BUMN Minister of State-Owned Enterprises, has said he is optimistic that the Benoa Port will increase the number of international tourist visitors by 1.5 times.
“Benoa Port will also increase and double domestic tourists, large ships that previously could not dock can now dock,” said Thohor during a recent visit to Benoa Port.
Separately, Denpasar’s Mayor, IGN Jaya Negara, hopes that the Benoa Port will help improve the welfare of the Balinese people, especially the residents of the City of Denpasar.
Bali’s Denpasar Wants To Welcome More International Tourists
Bali’s Denpasar is on a mission to welcome more international tourists in 2025. Denpasar City is home to a wealth of incredible cultural landmarks and historical gems.
The coastal resort of Sanur is also under the jurisdiction of Denpasar City, and the resort does not have a big year ahead, at least not with the opening of the Bali International Hospital.
The Head of the Denpasar Tourism Office, Ni Luh Putu Riyastiti, spoke to reporters about plans for 2025 and their tourists organizing their trips to Bali for later in the year would be wise to look out for promotions and campaigns focused on Denpasar as there are going to be some great deals to be snapped up.
Riyastiti explained that the Denpasar Tourism Office is aiming to welcome 2.1 million tourists in 2025. This figure is inspired by data from 2024 which shows that the target of 1.9 million tourists was smashed.
She shared, “What will be done to achieve the target is online promotion, utilizing social media collaboration with tourism actors and tourism stakeholders so that they can promote [the destination] while we improve the quality of our destinations and provide events that have been budgeted for.”
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Riyastiti added that the Denpasar City Government is working to increase the capacity and quality of the tourism industry, she explained: “We are trying harder to increase promotions through online media and social media, develop the creative economy through creative and cultural events, and collaborate with tourism actors and other stakeholders.”
One of the most significant cultural events of the year is the Bali Arts Festival. Held from mid-June to mid-July every year, the festival takes over dozens of venues in Denpasar City and is perhaps most famous for its opening parade, which features thousands of dancers and cultural performers. The Bali Arts Festival is a celebration of Balinese art, music, dance, and literature, and the epicenter of the event is the Taman Werdhi Budaya Art Centre, also known as the Bali Art Center, located in the heart of Denpasar City.
Denpasar is inherently going to see a huge influx of both intentional and domestic tourists when the Bali International Hospital formally opens its doors in April 2025. The Bali International Hospital, located in Sanur, is set to become one of the leading medical tourism destinations in Asia, competing with the likes of Bangkok, Kuala Lumpur, and Singapore. The transformation of Sanur will see Bali’s original coastal vacation destination transformed into an integrated medical and wellness tourism destination.
The Bali International Hospital will offer private patients access to Cardiology, Oncology, Neurology, Gastrology, and Orthopedic care as well as a full emergency department and intensive care unit. The center will offer fully integrated medical tourism packages in partnership with holistic healthcare facilities and hotels such as The Meru.
Though the Bali International Hospital is not set to open for a couple of months yet, medical tourists can already book their health screening packages for early bird rates.
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Bali International Hospital is committed to creating what it calls a ‘culture of care’, part of which is the promotion of preventative healthcare, early screening, and health awareness campaigns.
For tourists planning a trip to Bali and have already booked a stay in another resort area, panic not. There are plenty of ways to explore Denpasar City as part of a day trip or half-day tour.
Walking tours are proving to be increasingly popular with international tourists and operators like Kultara Bali have curated an intimate walking tour that connects tourists with the Denpasar of the past and present.
If culture is not the aim of the day, then Denpasar can certainly offer plenty of entertainment and retail therapy options. The newly opened ICON Bali Mall offers tourists an incredible selection of international brand stores, live entertainment, and access to Sanur’s beachfront.
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