Supports for Inbound Operator move

A General Manager of a tour operator in Jakarta came to the management of the Malaysian Airlines (MAS) and AirAsia in Kuala Lumpur. He essentially

Wisnu Budi S.

said to them: “We want to help fill the seat on your plane”. As is understood, just to Jakarta MAS alone operates 16 times a day. Successful. Budi Wisnu Sulaeman, from Jakarta based  Pacto Tour and Travel, said, since then until now the operator act as “handling agent” to “in-house package tour” which is marketed by both the airlines. And we understand, the full service airlines as well as the LCC, they market packages to the market throughout the world, in addition to Malaysia itself.

He agreed to that such the way of marketing with the pattern “came to airlines operators”, so it should be expanded. Wisnu uses the phrase “force foreign airlines to” sell Indonesian tourism package, with the request  to “Department of Transportation” to do. However, certainly the use of  term “force” is not effective, let alone by government agencies including the Department of Transportation. Business-oriented approach “to fill seats on the plane” would certainly be more “interested” for the airline.
International Airlines who included in their marketing strategy to enter the market target of foreign tourists, commonly create and market tour packages to their destinations. That is the in-house packages that are marketed and sold directly by the airlines concerned, in addition to open sale by theirt appointed agents. One of the requirements would have been if there is “inbound tour operator” who is believed by the airlines to act as a “handling agent” in the destination. If not, then hope for Indonesian tourism will be limited to the agents in the market of foreign tourists who market and sell Indonesian tourism products, for which they themselves already have  handling agents on the destination.
Pacto for example, which according to Wisnu was handling last year some 19,000 foreign tourists tour in Indonesia, also act as handling agent for the products of Garuda Orient Holidays package on destinations Bali. GOH is an “in-house package tour” which is owned and marketed by a subsidiary of Garuda Indonesia.
Garuda Indonesia itself has “in-house packages” that specially on sale in Australia through the GOH, and to other international markets through Garuda Indonesia Holidays (GIH). It appointed handling Agent in every destination.
Business realities
From the reality on the ground, Wisnu, who has been active for decades in the inbound tourism business, acknowledged some weaknesses that need to be overcome to truly encouraging the  growth and expansion of the number of foreign tourists visiting Indonesia. According to him, the Department of Transportation, Department of Tourism, and the elements of the Indonesian tourism industry, should develop some sort of joint motion for the term he used, “forcing” foreign airlines to make Indonesia tour package and sell these packages in their home-base.
In addition, human resources quickly adapted to the needs of reality. Call it a target to increase the number of tourists from Korea, Russia and China, until now the lack of  ‘guide’ is still a problem. So we are in need to educate extensively and intensively for the availability of Korean-speaking guide, Russia, China and others.
The fact the number of inbound operators in Jakarta, counted only about 10 companies. Those operate in Bali, estimated two to three times as many, including the smaller ones.
“It is to be an inbound tour operators that need more capital and expertise far greater than the agents in the business for outbound tour operators, as well as domestic,” so said Wisnu. Before you get a counter part in overseas agents, who will send tourists to destinations in Indonesia to be treated, the agent must promote Indonesia to markets abroad. It may be self efforts, or by being active attending the tourism exhibitions abroad, and taking part in the exhibition and promotion activities conducted or supported by the Ministry of Culture and Tourism. These are preliminary costs relatively expensive.
In addition, the financial and banking system, when talking about this tourism business, Wisnu shows how the need for revitalization policy for the tourism industry in Indonesia “obliged” to use all quotation prices in Rupiah. No foreign currency, either the U.S. dollar or the other!
Wisnu’s calculations show how the Indonesian tourism industry must pass at least twice a currency conversion, both when receiving payments, as well as to make repayment from or to overseas client.
“Ministry of Finance and the Ministry of Tourism should pay attention and to make effective policy,” said Wisnu. The process of acceptance and payment of costs by at least two times the conversion, it is clear we do not make the price competitive. Even compared with the neighboring countries themselves.
In Kuala Lumpur, for example, if the local agent to sell tour packages prices with Indonesian destinations for U.S. $ 150, then the agent benefit ranges from U.S. $ 20. But if they sell tour packages to destinations Thailand, for the same price, then the agent’s profit doubled approximately U.S. $ 40. Very competitive, is not it?
And we understand, except in Bali, as the main components of package holiday accommodation and ground transportation, in Indonesia in general prices are lower than most other destinations in neighboring countries. What make the “deviation in the price structure”? It’s interesting to be reviewed by business circles and government agencies who support the tourism.
Wisnu Budi Sulaeman was just resigned from his position as General Manager of the Pacto Tour and Travel, one of the largest inbound operators in Indonesia. “I was preparing a company myself, will focus on the business MICE – meetings, incentive, convention and exhibition. It will be active effective starting next year, “he said. ===