Jakarta, often regarded as Indonesia’s business epicenter, surprisingly falls behind Bali in one lucrative sector: culinary businesses. While Jakarta may lead in other industries, Bali’s food and beverage businesses stand out with unparalleled profitability, raising questions about the island’s winning formula.
Known for its picturesque beaches and vibrant culture, Bali has evolved into a haven for culinary entrepreneurs. But what makes Bali such a hotspot for food businesses? Is it the flavors, the ambiance, or smart business strategies? Data sheds light on the key factors.
The Central Statistics Agency (BPS) reports that in 2023, Bali boasted 245,000 food and beverage establishments, generating a remarkable IDR 6.8 trillion in revenue. In comparison, Jakarta, with its 310,000 establishments, reported a total revenue of only IDR 5.7 trillion. On average, businesses in Bali rake in IDR 27.7 million per month—nearly double Jakarta’s average of IDR 15.3 million per establishment.
Tourism is undeniably a driving force behind Bali’s culinary boom. With over 6 million international visitors annually, the demand for diverse and high-quality dining experiences is immense. From upscale fine dining restaurants and artisanal cafes to humble local warungs, Bali’s culinary scene offers something for every palate.
This diversity in dining experiences translates to revenue dominance. Nearly 45% of food establishments in Bali fall under the restaurant category, significantly higher than Jakarta’s 30%. The island’s unique blend of taste and ambiance sets it apart as a culinary destination.
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Technology also plays a pivotal role in Bali’s success. Approximately 40% of food businesses on the island use internet-based tools for marketing, online sales, and digital payments—far exceeding the national average of 33.13%. By leveraging digital platforms, these businesses expand their reach and streamline operations, gaining a competitive edge.
Cost efficiency further enhances Bali’s appeal to entrepreneurs. The average monthly operating cost for food businesses in Bali is IDR 15 million, noticeably lower than Jakarta’s IDR 18 million. This cost advantage, coupled with higher revenue, creates substantial profit margins, making Bali an attractive destination not only for tourists but also for culinary investors.
“Bali’s ability to combine strategic location, technological adoption, and cost management has propelled its culinary industry to new heights,” say industry experts. For entrepreneurs across Indonesia, Bali’s success serves as a blueprint for innovation and growth.
The island’s culinary dominance is a testament to the power of strategic planning and adaptability. As other regions look to replicate Bali’s achievements, the focus remains on implementing digital strategies, fostering efficiency, and creating exceptional customer experiences—key ingredients for long-term success.