Page 32 - BrandZ Top 50 Most Valuable Indonesian Brands 2015

SECTION 01
INTRODUCTION
KEY TAKE AWAYS
THINK SOCIAL – CONSUMERS DO
This is a country that is social by nature, and Indonesians with access to the internet are seizing upon the opportunity to socialize digitally. More than 62 million Indonesian consumers are on Facebook, local social networking site Kaskus has nearly 6 million, and Twitter and LinkedIn are also widely used. These sites operate freely in Indonesia, in marked contrast to China, and are becoming increasingly popular as the number of people upgrading to smartphones continues to climb. Social networking can be a key tool
for improving brand engagement, and these platforms, which provide not just reach but precision targeting by demographics, preferences, social connections and behavior, provide an attractive proposition for advertisers.
GET MOBILE
Indonesians spend, on average, a remarkable three hours a day using their mobile phone – more time than they spend watching TV. Among young people, the role of mobiles in people’s lives is even stronger, with 16 to 24-year-olds spending an average of four hours a day on their phones, often while doing something else at the same time, such as watching TV.
As in other fast-growing markets such as China and India, many people’s first experience of the internet in Indonesia is via mobile, and often using a feature phone rather than a smartphone. The vast majority of social media users are connecting via mobile, rather than a desktop or laptop. The power of mobile marketing, especially when linked to television, is not to be overlooked.
THINK LONG-TERM
There are millions of Indonesians who won’t be
in the market for brands for several years. Strong economic growth in Indonesia has helped reduce poverty from 24 percent of the population in 1999 to 11.3 percent in 2014, as defined
by the World Bank, but there remain an estimated 68 million Indonesians living just above the poverty line, generating just over the Rp 11,000 (US$1) per person per day baseline income. These people are vulnerable to small shocks, such as illness or job loss, which can very quickly put them in poverty. Others, who are safely within the consuming class, will upgrade from basic
to premium goods as their wealth grows. Now is the time for brands to build familiarity and trust. They should sow the seeds of aspiration, and meet that aspiration with the products and services that fit consumers’ needs as their lives change, whether it be with shampoo, biscuits, a restaurant meal, a scooter or a flat.
32 BrandZTM Top 50 Most Valuable Indonesian Brands 2015