Indonesian Tourists Embrace OTAs and AI for Hotel Bookings: A New Shift to Personalized, Flexible, and Mobile Travel Planning for a Seamless Experience

Published on November 23, 2025

As the peak holiday season approaches, Indonesian travelers are turning to Online Travel Agencies (OTAs) and artificial intelligence (AI) tools more than ever before to book their hotel accommodations. This shift in behavior, highlighted in the SiteMinder’s Changing Traveller Report 2026, marks a significant trend in modernizing travel booking in Indonesia. OTAs such as Traveloka, Agoda, and Tiket.com are becoming the preferred method for booking hotels, surpassing traditional methods like direct hotel websites or travel agents. This trend is driven by the convenience, personalization, and flexibility that OTAs and AI tools offer.

The Rise of OTAs in Hotel Reservations

Online Travel Agents have long played a significant role in booking accommodations, but their influence has grown significantly in recent years. Platforms like Traveloka, Tiket.com, and Agoda are especially popular in Indonesia, providing users with a streamlined and efficient booking experience. These platforms not only help travelers compare prices and find deals but also offer flexible cancellation policies and loyalty programs that enhance the overall customer experience.

OTAs provide a comprehensive solution for Indonesian tourists, enabling them to book hotels, flights, and car rentals all in one place. During peak travel periods, such as the holiday season, OTAs become even more popular due to their ability to deliver instant booking confirmations and access to exclusive discounts, making them the go-to tool for tourists.

AI and Personalization in Travel Planning

AI is becoming an increasingly important part of the hotel booking process, especially in the context of OTAs. These tools use AI to personalize the travel experience, offering hotel recommendations based on past bookings, browsing behavior, and user preferences. AI-powered chatbots and virtual assistants provide real-time customer service, answering queries and assisting travelers with bookings, making the entire process more efficient and user-friendly.

The ability to receive tailored suggestions ensures that Indonesian travelers find accommodations that best suit their needs, from budget-friendly options to luxurious stays. AI helps streamline decision-making, ensuring a seamless and personalized booking experience.

The Impact of OTAs and AI on Traditional Hotel Booking Methods

The shift towards OTAs and AI-powered bookings is having a significant impact on traditional hotel booking methods. While some Indonesian travelers still use hotel websites or work with travel agents, these options are becoming less popular due to limited availability and flexibility. According to the SiteMinder Report, OTAs are expected to overtake search engines as the primary method for booking hotels by 2026, further reinforcing their dominance in the market.

Hotels are adjusting their marketing and distribution strategies to align with this shift. Many hotels now partner with OTAs to increase their exposure and cater to the growing demand for digital bookings. In response to consumer preferences, hotels are offering exclusive rates and discounts through OTAs, making them more competitive and appealing to potential guests.

Mobile Technology and Last-Minute Bookings

The rise of mobile technology has also contributed to the increased use of OTAs in Indonesia. Many tourists prefer to make hotel reservations on their smartphones while on the move. Apps like Traveloka and Agoda allow users to manage their bookings, check in, and even make last-minute reservations with ease. This mobile-first approach aligns with the preferences of modern travelers, who prioritize convenience and flexibility when planning their trips.

Hotel Marketing and Customer Loyalty

As OTAs and AI continue to dominate the booking process, hotels are focusing on digital marketing strategies to remain competitive. Investments in mobile optimization and digital advertising are helping hotels reach potential customers through OTAs and other online platforms. Hotels are also increasingly focusing on customer loyalty programs, offering exclusive discounts and benefits to guests who book via OTAs or enroll in loyalty schemes. These efforts aim to retain customers and encourage repeat bookings.

The Future of Hotel Bookings in Indonesia

The future of hotel bookings in Indonesia is undeniably digital. OTAs and AI are transforming the way travelers search for and book accommodations, making the process faster, more personalized, and cost-effective. As technology continues to advance, Indonesian tourists can expect even more tailored offers, real-time data, and improved booking experiences. The integration of AI and mobile technology will continue to simplify travel planning, offering greater convenience and efficiency to travelers in Indonesia and around the world.