Nikko Bali in talks with AirAsia on room sales

By Sharen Kaur (Published in NST on December 22 2009)

NIKKO Bali Resort and Spa, a five-star resort in Nusa Dua, Bali, is in talks with airlines including AirAsia to sell rooms and grow the hotel's occupancy and revenue.


"We are still discussing with AirAsia as certain conditions don't match what we want. (But) Malaysia is an important destination for us," its general manager Jean-Charles Le Coz said in an interview with Business Times.

"While business from Malaysia is still small, we expect it to grow as other airlines increase their flight frequency," he added.

Business Times reported recently that Indonesia's national carrier Garuda Indonesia is looking to reinstate its flights from Kuala Lumpur to Denpasar in Bali by September 2010.

Le Coz said the financial meltdown has affected room sales in the first half of the year.

The resort, wholly-owned by Indonesia's PT Caterison Sukses, has revised its hotel occupancy rate and revenue target for 2009 to 60 per cent and US$14 million, (US$1 = RM3.44) respectively.

It had targeted for revenue to rise 30 per cent to US$17 million this year, helped by higher room rates, and closing at 70 per cent, similar to last year.

Nikko Bali, which has 389 rooms with garden, ocean and pool views, has raised room rates by 40 per cent this year.

The rates now start from US$160 per night for a standard room to US$2,000 per night for a presidential suite.

Le Coz said Nikko Bali will do better next year fuelled by its meeting, incentive, convention and exhibition (MICE) and wedding packages.

He said four- and five-star hotels and resorts in Bali are performing above average currently with rising tourists arrivals from Europe, Southeast Asia, Australia, Russia, North Korea and Japan.

"We are looking for new markets and to grow our market from Western Europe and Southeast Asia," he said.

He said he is also planning to tap the Greater China market.

"Competition is stiffer now in Bali but what we can offer is an alternative," Le Coz said.

Nikko Bali sits on a 40-metre cliff and offers a stunning 180 degree view over the Indian Ocean. It is 25 minutes from the Ngurah Rai International Airport.

Among its facilities, those operating via third parties are Mandara Spa and a Camel Safari.