Page 23 - BrandZ Top 50 Most Valuable Indonesian Brands 2015

Introduction CROSS-CATEGORY TRENDS
CONVENIENCE
People are leading increasingly complex and busy lives, so are keen to buy products that help them free up time, either for time with family and friends at home, or for the pursuit of hobbies, entertainment and socializing. Many city-dwelling couples now both go out to work, and commute times can be long,
so ready-to-heat and ready-to-eat meals, canned and frozen food and disposable nappies are all enjoying growth. At retail, shoppers are drawn to services that help them save time in store or make the experience simpler. While urbanization is behind some of the drive for convenience, consumers outside major centers are also seeking out time-saving products and services, as they seek an improved balance between work life and their personal lives.
NEW SPHERES
OF INFLUENCE
Television remains the cornerstone of national campaigns for mainstream products and brands, providing unparalleled reach across Indonesia. But increasingly, particularly among young consumers, digital media is providing new sources of information and inspiration. Given the near- ubiquity of mobile phones and the popularity of social media, online forums are alive with opinion, and
the sources of inluence are many and varied. More than 62 million Indonesian consumers are on Facebook, and local social networking site Kaskus has nearly 6 million. While only about one in four mobile phone users currently has a smartphone,
that igure is rising rapidly, and with it, so will the efect of online word-of- mouth and digital advertising.
E-COMMERCE
This is still a nascent area of retailing in Indonesia, and is far from a mainstream activity, but it is one that is rapidly growing as smartphone penetration and trust in buying online increase. KADIN Indonesia, the country’s Chamber of Commerce, expects that by the end of 2015, 10 percent of internet users in Indonesia will be buying online, as consumers do banking online and buy groceries and big-ticket items via e-commerce. One of the biggest hurdles to growth is the fear of being duped, along with a lack of clarity over e-commerce regulations, the complexity of delivering items across a sprawling network of islands, and the fact
that many consumers don’t have a payment card they can use online
to complete a transaction. However, there is a sense that a tipping point for e-commerce is near, as individual brands launch e-commerce ventures and as B2C e-commerce companies such as Lazada Indonesia, Rakuten, and eBay gain users.
23