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Is the Bali hospitality market heading for a major correction? In this episode of Bali Business Review, we sit down with Pak Adhi, the CEO of The Kayon Resort, to discuss the shifting landscape of the Bali Hospitality Market 2026. While tourist arrival numbers are technically rising, the "on-the-ground" reality for many villa owners and hotel operators is a significant 15-20% drop in average occupancy. This market turbulence, peaking in 2025 and correcting in 2026, is driven by a massive acceleration on the supply side. We explore why generic "lifestyle" developments—like the Santorini and Mediterranean-style builds—are failing to sustain long-term ROI compared to properties that lean into Bali’s unique cultural identity. Pak Adhi shares his expert insights on "deep sustainability," the movement of travelers away from over-saturated hubs like Canggu, and why the "sense of adventure" is the most valuable asset for any Bali investment moving forward. ---------- Segment Breakdown 00:00 - Why Identity Matters 00:23 - Introduction & Pak Adhi’s Professional Journey 1:54 - Identity Over Trends & The Rediscovery of Bali 7:59 - Deep Sustainability vs. Eco-Sustainability 10:03 - Market Correction & The Supply-Demand Gap 13:07 - The Path to 2026 ---------- Key Takeaways Authenticity as a Competitive Advantage: Travelers are increasingly rejecting generic global trends in favor of authentic Balinese architecture and traditions. The Oversupply Warning: The 15–20% decline in occupancy is a direct result of supply growth outstripping the actual strength of traveler demand. Tourism Sustainability Defined: True sustainability is not just about removing plastic; it is about the "monetization" and "appreciation" of local culture and people. The "Adventure" Deficit: Popular areas like Canggu are losing tourists because they have lost the sense of adventure and community that originally defined them. Strategic Cultural Front-Selling: For 2026, the most resilient hospitality businesses will be those that place Balinese culture at the center of their guest experience. Sound Effect from: Warm Memories - Emotional Inspiring Piano by Keys of Moon | / keysofmoon Attribution 4.0 International (CC BY 4.0) https://creativecommons.org/licenses/... Music promoted by https://www.chosic.com/free-music/all/