Offline 2 Online Concept in IndonesiaBy Sutrisno Yao S.Kom, M.TI

Why Offline 2 Online Now?

74.683.6

93.4102.8

Internet Users(in millions) % of Penetration

Indonesia Internet Users

Indonesia Internet Users is growing every year. 102.8 M Internet Users in 2016

Indonesian E-Commerce Nowadays

E-commerce is growing but still in its early phase. 1.4% Online retail sales from total of retail sales in Indonesia (2015)

Indonesian E-Commerce Nowadays

100 offline stores

More than 10.000 offline stores

By Kawan Lama Retail250 offline stores

More than 1000 offline stores

300 offline stores

It’s now Omni Channel era in 2016, many of offline players in Indonesia open their e-commerce channel , e.g.:

What Online can do to Offline?

Online as hand extension for offline

New Selling Channel New Retention Channel New Acquisition Channel

New Selling Channel

• It’s obvious e-commerce could be a new selling channel for your offline stores.

• E-commerce could be a new cashier machine customer could order the goods online and pay using many of payment options (pay using installments, convenience stores, e-money, etc) and the pickup the goods in store.

• Customers could see your e-catalog in store (using kiosk) and see product descriptions easily and get proper explanation about the products.

New Retention Channel

Loyalty program : A new way for our existing customer to spend their points (one click away)

Online CRM : Customer gets special voucher on his/her birthday Play game after purchase certain amount of money (e.g. wheel

of fortune) After sales service : • Customer could fill out online form whenever they need their

goods to be repaired, we will pick it up for them and send them back when finished. So they don’t need to come to service centers anymore.

New Acquisition ChannelReach customer anytime , anywhere 24/7/365. Store locator function to help customers come to store Analyze web traffic to open new stores

Conclusions• It’s true that in Indonesia, Ecommerce has not yet making any

profit.• But if you are looking for gaining members and data

acquisition, now is the time utilize Ecommerce (online).• Don’t see that Ecommerce (online) only as selling channel, it

also can contribute in CRM (retention channel) and as new acquisition channel.

• It’s time to use online as new tool to maximize your offline methods.

Thank You