Hotel Demand in Indonesia to Recover by September 2026
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Jakarta, 07 July 2026 – Hotels across Indonesia are projected to return to positive growth starting this September. The latest data from SiteMinder, a global leading technology platform for the hospitality industry, shows a clear upward trend in bookings after consecutive declines recorded from June through August last year. The report also highlights that international visitors now account for a larger share of total reservations compared to previous periods.
Indonesia hotel bookings, foreign tourist demand, SiteMinder report, hotel industry recovery, Indonesia tourism, hotel rates, travel trends 2026
The findings come from SiteMinder’s Hotel Booking Trends Mid-Year Report, which forecasts a 2.3% growth in hotel bookings for September compared to the same period in 2025. Prior to this upturn, bookings had fallen by 4.5% in June, 4.6% in July, and 5.8% in August, resulting in an overall mid-year demand drop of 3.9%. The analysis draws on data from over 135 million hotel reservations processed annually through SiteMinder’s system.
Despite the mid-year slowdown, Indonesia’s hospitality industry remains robust, supported by strong interest from international tourists. Between June and September — traditionally the peak travel season for visitors to Indonesia — foreign guests dominate bookings. This surge is fueled by summer holidays in the Northern Hemisphere and winter breaks in Australia. In 2026, international travelers make up 94.1% of total hotel reservations, up from 93.3% in 2025. This places Indonesia third globally in terms of international guest share, behind Singapore (97%) and Thailand (96.6%).
Along with rising visitor numbers, average room rates are also increasing. Travelers now pay an average of US$226 per night, a 2% increase year-on-year, with the highest rate recorded in July at US$241 per night. Additionally, guests are staying longer: the average length of stay has reached 3.1 nights, up 3% from 2025 — matching Thailand for the longest average stay in Asia.
“The quieter mid-year period does not define the full picture of Indonesia’s hotel industry. Behind this slowdown, we see sustained demand from international visitors, alongside rising room rates and longer stays. Travelers are not reducing trips, but becoming more selective about when and where they go. This means there are still significant opportunities for hotels even in the middle of the year.”
— Fifin Prapmasari, Country Manager of SiteMinder Indonesia
She added: “To capture these opportunities, hotels must understand shifting market patterns and identify where demand is coming from, so they can act quickly. Technology is no longer optional — it is essential. With the right tools, properties can access real-time market data and adjust pricing and distribution strategies instantly as trends evolve.”
About the Report
This edition covers hotel stays from 1 June to 30 September 2026, compared with the same period in 2025. It analyzes activity across 22 major travel destinations worldwide, including Indonesia, using data from more than 135 million annual reservations processed through SiteMinder’s platform across 53,000+ hotels globally.
About SiteMinder
SiteMinder (ASX:SDR) operates the world’s leading hotel commerce platform, alongside Little Hotelier — an all-in-one management system for small accommodation providers. Headquartered in Sydney with offices across Asia, Europe, and the Americas, SiteMinder powers over 135 million bookings annually, generating more than A$85 billion in revenue for its hotel partners.
Tags: #IndonesiaTourism #HotelIndustry #TravelTrends2026 #SiteMinderReport #TourismRecovery #HotelBookings #VisitIndonesia
