For those who go on vacation to pay with Bitcoin, there is always El Salvador or Boracay, and probably some other places where Bitcoin is not prohibited. However, if I were to choose my tourist destination, I would also take into account how each government treats its citizens, and whether there are any crazy laws that could land you in jail. Bali with its attitudes and strict laws is definitely not on my list of priorities.
I totally agree with you, the point you highlighted should be the main things to put into considerations before picking a tourist destination. I don't see why the ban on the use of bitcoin as payment be an impediment for Bitcoin enthusiast not to travel to Bali on vacation. It not a must that one will have to pay for goods and services with Bitcoin. One can always trade Bitcoin online to fiat and load up his/her international debit/credit card which can be use to perform transactions all through his/her stay in Bali.