A sharp outlook of Indonesian economy in 2011 where the country reach, for the first time in its history, the GDP/capita of US$3000 (nominal). US$3000 is a threshold number where a country will experience an "accelerated development" after it reaches the number. What are the implications of this change for consumer behavior and marketing strategy?
8. Reaching the $3,000 per capita GDP level will result in
“accelerated development”. South Korea experienced surging
economic growth for 11 years after achieving that level.
Source: Indonesian economy with a US$3,000 per capita GDP by Cyrillus Harinowo Hadiwerdoyo
9. Source: Indonesian economy with a US$3,000 per capita GDP by Cyrillus Harinowo Hadiwerdoyo
In 2002, China set a target to achieve a per capita GDP of $3,000
GDP by 2020. Apparently the Chinese economy achieved that
level not in 2020, but in 2008-2009.
28. Economy is looking good
Pada Oktober lalu, inflasi mengarah ke 5,6 persen dan diprediksi plus-minus 5
persen pada akhir 2010. Adapun inflasi 2011 diprediksi plus-minus 6 persen.
Indonesian GDP Growth
Nilai tukar rupiah juga berada di kisaran Rp 9.000
29. Politic is relatively stable:
SBY second period
No “Pemilu” in the near future
10 years political transition
38. Consumer 3000: The 3 Dimensions
More Buying Power; More Consumption
More Knowledgable; More Informationalized
More Technology Savvy; More Connected
39. Consumer 3000: The 3 Dimensions
HIGH
BUYING
POWER
CONNECTED
KNOW-
LEDGABLE
CONSUMER
3000
58. What kind of changes
happened in the market
segmentation?
59. Segmentation “before 3000”
Changes in Market Segmentation
Upper
Middle
Lower
Segmentation “after 3000”
More civilized,
Knowledgable, and
Modern
More Buying
Power
Demographic Psychographic
Brand
minded
consumer
Value
consumer
Price-minded
consumer
60. Segmentation Beyond 3000
Brand-minded Consumer
Price-minded consumer
Value consumer
“Hottest segments”
“Reasonable” – Value Consumer
“Critical” – Value Consumer
“Functional” - Value Consumer
“J-Co Lover”
“Nexian Hunter”
61. Segmentation Beyond 3000 – several examples
“Reasobale” value brands
“Critical” value brands
“Functional” value brands
62. What to target?
“Reasonalbe” – Value Consumer
“Functional” - Value
Consumer
1 2
1 2
“Critical” – Value Consumer 3
Price-minded
Consumer
5
Brand-minded Consumer 4
1
2
Priority #1
Priority #2 ... etc.
63. Know Your Strategy
Generic Strategy Generic Tactic
“Reasonalbe” Value
Consumer
RATIONALIZE YOUR BRAND
(Benefit is The King)
• Global Image, Local Price
• Unique Differentiation with
Reasonable Price
“Critical” Value Consumer
INNOVATE YOUR VALUE
(Value is The King)
• Be Creative, Deliver More
• “Higher benefits, lower cost”
Mindset
“Functional” Value
Consumer
MAKE YOUR PRODUCT
AFFORDABLE
(Price is The King)
• Be a Smart Imitator;
Be a Smart Follower
• More Function, Less Brand