This case study seeks to analyze the marketing trends that companies can use to their advantage, and which to solidly avoid, unless done with laser precision. It should provide insight into the perceptions that consumers place upon a company, and how upsetting those perceptions can lead to alienation and isolation.
It focuses particularly on attempts by established companies and institutions to establish or re-establish meaningful communications.
This study investigates trends of advertising in Indonesia's digital publishers. There has been a marked shift in advertising forms which has changed the business of digital publishers in the country. Digital publishers in Indonesia started about 18 years ago, when Detik.com first went online. To support the publishing, they needed advertisers. They had been using what we now call ‘conventional’ advertising, consisting of banners and pop-up advertising placement. However, as the number of digital publishers keeps growing in Indonesia, this type of advertising is slowly being left behind by the publishers. In order to compete with each other, they needed to create something new in order to advertise, that would both attract the advertisers and their consumers. This was when the concept of ‘native’ advertising started to rise.
The raising of middle class in Indonesia who is remarked by more active, simple, concern about health and appearance brings opportunity for Martha Tilaar Group to serve this class with different new beauty service concept.
“The urban people lifestlye spend most of their times at work or mall. This lifestyle brings the opportunity to introduce new quality concept of spa treatment offered more to mass market”, said-Wulan Tilaar
Martha Tilaar Spa Express (MTSE) fulfills the needs of such middle class customer by offering a number of relaxation of spa treatment. Eventhough Express means shorter time than regular time spa treatment, but Martha Tilaar Express is supported by professional and skillful therapist and used the high quality spa treatment product. By opening the Martha Tilaar Spa Express in malls, it is easier for customers or spa lovers to enjoy the service.
March 2005, it had never been easy for Emirsyah Satar as he appointed as the CEO of Garuda Indonesia when the company’s total debt reached up to US$845 million with a negative cash flow, with only 60% load factor level, and on time performance (OTP) away below the standard of 85%. In order to achieve the Quantum Leap 2011-2015, the transformation is highly needed. The things are more complicated when several Indonesia NGOs, such as Kontras and Jaringan Komunitas Aktivis HAM (Network of Human Rights Activists) forced Garuda Indonesia to unravel the case of Munir, Indonesian human right activist who was killed in the Garuda plane during the flight from Jakarta to Amsterdam. At that time, the fate of Garuda Indonesia as Indonesia’s Flag Carries was still unclear, and the road to be a reputable airline seemed long and endless, will Emir able to gain the trust back from the customer and develop the service of Garuda Indonesia by offering new experience to the customers?
Tinamitra Mandiri was established in 2010 in Jakarta with the focus of sustainable development for better life. The company’s main vision is to become a leading provider of clean energy and major player in utilization of alternative energy resources as well as pioneer for sustainable community development projects. Within the past decade many private companies have acted upon this opportunity for the uprising need of natural gas, as a relatively cheaper alternative fuel compared to petrol by bringing the natural gas in other medium form, such as through CNG (Compressed Natural Gas). Tinamitra Mandiri’s CNG Businesss under the name of Tinagas is a subsidiary focusing on providing equipments and natural gas fuels. For Indonesia in particular, natural gas has become an increasingly important resource and a global commodity. As Tinamitra Mandiri plans to strengthen its foothold in Indonesia’s energy market, it will be very likely for them to keep encouraging the conversion of fuel source in the market through variety of strategies. Changes in government regulations and market condition may remain to be the most deciding factors of the success of natural gas marketing efforts in Indonesia. Given its low penetration and low infrastructure coverage, it remains to be seen as how natural gas infrastructure development can support natural gas industry in Indonesia. Nevertheless, the gas industry market remains a viable and potential business opportunity waiting to be explored.
As Indonesian central bank, Bank Indonesia launched a campaign to create a cashless society. E-money is a sort of solution for the ‘un-bankable’ society of Indonesia, and for those who often conduct banking transactions, e-money can play a role as complementary of other non-cash media such as credit cards, debit cards, checks, etc.
This campaign was based on the fact that Indonesian people do more often conduct non-cash transactions compared to people in other ASEAN countries, which accounts for more than 50%. Therefore, Bank Indonesia needs to encourage the use of non-cash alternatives in Indonesia.
By encouraging non-cash transactions, the country will be able to reduce the use of currency, which makes it more efficient and saves the budget of money printing and storing. Bank Indonesia also believes that non-cash transactions can be successfully implemented because it is more secure, more practical, and more efficient. Besides, by implementing non cash-transactions, Bank Indonesia will be able to control the circulation of money in the community.
In Indonesia, the e-money market is still wide open, and there are still many potential usages that have not been explored. The actual growth rate of e-money use has been significant over time, both in the number of cards issued and in the transactions using e-money. Each year e-money transactions have grown by 120 percent.
However, according to data from Bank Indonesia, until now growth in the use of e-money is still slow, which is approximately 5 percent. Growth per year is only approximately 0.3 percent to 0.5 percent. Growth is still considered slow because there are still many people in Indonesia who do not use e-money, whereas only approximately 9 percent of the Indonesian population uses e-money.
According to the Indonesian Central Bank (2014), electronic money is a means of transaction/payment that has the following elements: (1) it is issued based on the value of money deposited by users with the issuer; (2) the value of the money is deposited electronically in a medium such as a server or chip; (3) it is used as a means of payment with merchants who are non-issuers of electronic money; and (4) the value of the electronic money deposited by the user and managed by the issuer does not play the role of savings, as defined in banking rules and regulations.
The main purpose of the created e-money is to provide convenience in the transaction; the user does not need to spend cash and wait for change when shopping. In addition, the time required is quite short because the cash does not have to be counted, and signatures or PIN numbers for regular use debit and credit cards are not required.
Several types of transactions are covered by e-money, (1) daily transactions to a payment on a convenience outlet stores, bookstores, gas stations, and fast food restaurants, (2) e-commerce transactions via online shops, (3) transactions for public transportation: buses, commuter rail lines and highways. This study discusses the two types of transactions, namely the use of e-money for daily transactions in physical outlets and transactions in public transportation.
At the beginning, the e-money player is very eager to communicate with prospects and customers in its own way, but this has not been an effective way of communication. Consumers do not gain a full understanding and therefore cannot view as a whole the advantages of e-money as a payment instrument that is easy and practical.
The use of e-money for transportation was more successful than for transactions at the outlet. The reason is because consumers are forced to switch to this payment instrument en masse, and it is filled with government regulations. However, in practice, there are many consumer complaints that are perceived, not because of technical problems with the operation of e-money cards but rather due to a lack of understanding, which has an impact on the interest of consumers in continuing to use this payment tool.
MINI is an easily recognizable name in the car industry, and the company aimed to make that true in Indonesia as well. The financial crisis of 2008 showed the strength of the Indonesian economy, as it maintained a 6-8% growth rate in GDP while developed countries in the West stumbled. Furthermore, Indonesia boasts a huge potential market for MINI with both population growth and median age increasing. The automotive industry saw substantial growth in its market. Within one year, 2010 to 2011, car sales in Indonesia jumped by 17%, or 900,000 new vehicles. In general car sales, MINI and its mother company, BMW, face stiff competition from the likes of Toyota, Nissan, Honda, GM, Suzuki and Daihatsu, all of which are expanding. Japanese producers, in particular, make up 95% of the market.
To start its bid to win over the Indonesian premium car market segment, MINI chose the “Countryman” car model as its main product. The car itself came in two models: the S Countryman and the Countryman. For the MINI Countryman, its competitors in size and function come from BMW mostly, followed behind by Mercedes and Audi. The management team was able to divide its target market segment into two distinct groups, 1) the creative individuals and 2) high-income families. In order for the Countryman to reach to the over 300,000 potential customers, MINI needed to translate its brand values into the Indonesian context successfully. The management team agreed to three main objectives: leveraging the MINI global reputation, promoting the vehicle’s unique aspects, and launching a unique marketing scheme.
The development of the property industry is currently increasing significantly and provide options to the broader community in choosing the products that they want the property in accordance with the needs , ranging from product apartment , condominium , kiosks , and residential homes
PT Agung Podomoro Land Tbk . is a development company that provides hybrid concept of property through their latest product is the Green Bay Pluit which is a combination of residential properties and shopping centers.
Although with a unique concept which is owned by Green Bay Pluit , there is a phenomenon faced by companies that kiosk sales slowed compared to the sale of apartment and condominium. After observation it was found that the problem of kiosk products that have not been focused target market , positioning is not clear and has not been optimally integrated marketing mix for product kiosk. Therefore, this case study to present to invite participants to analyze and develop marketing strategies with the aim of resolving the problem of Green Bay.
This case describes how PT Bersama Bangun Persada (BBP) – an Indonesian distribution company of Fischer, a wall fixing’s market leader product from Germany – tried to find a solution to their problems. BBP had been trying to find a way to being non-dependent from their principal product brands which could be withdrew anytime if they did not perform and deliver the number as requested, especially in facing high competition from other products with lower price.
The management had performed a co-branding strategy of their own brand, Mr. SAFETY, with their represented brand, Fischer. The strategy was conducted to avoid unnecessary conflict and without sacrificing the company good partnership collaboration with the Germany principal, which could act as umbrella brand for several brand that currently distributed by the company.
This case discusses how Holcim Indonesia differentiates themselves from the stagnant competition in the cement industry by implementing integrated marketing communication. Holcim came out stronger when they launched their “Solusi Rumah” program. The program targeted the low- and middle-income earners in the suburban and rural areas as a continuation of their disaster relief support for the victims of Aceh and Yogya.
The dilemma of the case focuses on what Holcim Indonesia should do in order to continue growing and consistently bringing innovation in the market. The hurdle is that people perceived cement as a commodity product.