Tag: Indonesia

  • Blibli.com acquires Tiket.com, expands into online travel

    Blibli.com acquires Tiket.com, expands into online travel

    Indonesian e-commerce company Blibli.com has acquired a pioneer Online Travel Agents (OTA) in Indonesia, Tiket.com. Blibli.com CEO Kusumo Martanto and co-founder and chief communications officer Gaery Undarsa, the of Tiket.com signed the documents finalising the acquisition recently. At the same event, George Hendrata was appointed Tiket.com’s new CEO.

    Since it was founded in 2011, Blibli.com has held on to a vision of expanding its business line through various innovations.

    In late 2016, Blibli.com introduced its online travel product category, Blibli Travel. Blibli Travel is a special category section that offers travel products on the Blibli.com website.

    Since then, online travel has become one of Blibli.com’s focuses in developing its business due to the size of this market.

    “Tiket.com has a good business track record. In a relatively short time, it grew into one of the biggest OTA in Indonesia. It has maintained its focus on customer satisfaction and has been consistent in running its business.

    “Moreover, we see that Tiket.com shares many similarities of vision, mission and corporate values with Blibli.com. We expect that this can ease the process of achieving synergy between the two. Based on this consideration, we are confident with this acquisition,” explained Kusumo.

    Tiket.com is currently one of the OTA with the biggest inventory of travelling-related and leisure products, namely airline and train tickets, hotel room bookings, car rental, concert tickets.

    Tiket.com has partnered with more than 35 international and domestic airlines, and with thousands of domestic and international hotels.

    Blibli Travel, newly-developed late last year, now has more than 1,000 travel product variants, including train tickets, hotel vouchers, and entertainment and lifestyle tickets.

    Blibli.com partners with various banks offering 0% interest instalment programs and offers a wide array of payment methods to customers.

    With the acquisition, Blibli.com is set to become an e-commerce group offering a one-stop shopping experience and added value to its customers.

    Business target and plan

    “The acquisition process started five months prior. We see this as an opportunity for Tiket.com to grow exponentially, in terms of the plan for synergy and from the point of view of market penetration. Seeing the future potentials and the similar business cultures and vision shared by both companies, we are very excited about the move to become part of Blibli.com” said Gaery.

    Blibli.com will provide full support to Tiket.com, both in the share inventory, sales programme, promotion, and social media penetration. Blibli.com will also help strengthen Tiket.com’s team.

    “Blibli.com is optimistic that from the business point of view we are looking at organic and non-organic growths which are to reach 2.5 times in the second semester of this year,” explained Kusumo about the target by the company for the second half of 2017.

    “With the acquisition, Blibli.com is ready to emerge as the biggest OTA player in the country and to become the only, or the first, B2C e-commerce player in Indonesia whose OTA business offers the most complete variety of travel products,” said Kusumo, who went on to explain that the money for the acquisition was from the internal sources set up by Blibli.com for its business development.

    Moving forward, Blibli.com sees no reason not to expand to other categories of products. The company, however, for the time being will concentrate on developing the two e-commerce companies to cater to the traveling and online shopping needs of its domestic and international customers.

  • Bali Travel Bureaus optimistic of Obama`s vacation boosting tourism

    Bali Travel Bureaus optimistic of Obama`s vacation boosting tourism

    The Indonesian Tourism Travel Bureau Association (Asita) has expressed hope that the visit of former US president Barack Obama to Bali would help attract foreign tourists to the island.

    “We hope the number of tourists from the US to Bali would increase,” Balis Asita Chairman Ketut Ardana stated here, Tuesday.

    The visits of world leaders to Bali help to promote Bali internationally since they are covered by the media, he said.

    Their visits to Bali will also draw other leaders to visit Bali for a vacation, he added.

    Tourists from the US usually stay for more than a week in Bali, and they prefer five-star hotels, he remarked.

    The number of US tourists to Bali had reached 64,042 during the January-April period, or an increase of 19.7 percent from that recorded during the same period last year.

    The US stands sixth among the list of 10 countries contributing the largest number of foreign tourists to Bali. From January to April 2017, a total of 1,817,772 foreign tourists had visited Bali.

    A total of 511 thousand tourists from China had visited Bali during the period between January and April, followed by 353 thousand from Australia, and 74 thousand from Japan.

  • ‘Customer-centric’ Giorgio Armani counter opens at Lotte Hotel

    ‘Customer-centric’ Giorgio Armani counter opens at Lotte Hotel

    L’Oréal Travel Retail has partnered with Lotte Duty Free to open a 23sq m counter at the Lotte Hotel in Seoul.

    The counter, based on Armani’s “from fashion dress code to beauty dress code” concept, is the first in travel retail to showcase the brand’s new retail expression. The space, which features curved lines and an open feel, allows customers to try the brand’s products and services.

    From fashion dress code to beauty dress code: The counter features splashes of red, inspired by the iconic lipstick colour Rouge #400.

    The counter enables customers to discover a complete beauty dress code through make-up and skincare (dress code for lips, dress code for face) and perfumes (fragrances dress code). Giorgio Armani Face Designers also offer customers tailor-made advice.

    Lotte Duty Free Merchandising Innovation Team Merchandising Director Jeffrey Davis said: “We are very pleased to open the very first Giorgio Armani Cosmetics beauty concept counter at Lotte Duty free. It breaks the rules of retail standards in travel retail as it is fully customer-centric enabling each customer to play with the products and indulge in the full universe of Armani.

    “The revolutionary design sets itself apart from all of the other beauty counters with its signature red and black design and fabric swatches above the foundation bar that ties back to Armani’s runway fashions. Sales have already improved since opening and you can see the smiles and joy from customers that love the new look and freedom to navigate in a more playful manner.”

  • Courts names new CEO in Indonesia

    Courts names new CEO in Indonesia

    Singapore-based tech retailer Courts has appointed a new boss for its operation in Indonesia. Joseph Greenway has been named as the new country CEO. Greenway rejoins Courts after two years as COO of Fantastic Furniture in Australia. Prior to that, Greenway spent 15 years at Courts in a variety of executive roles in Singapore and Malaysia. The appointment comes after Roy Santoso resigned from his role as Indonesia country CEO at Courts to pursue other career opportunities.

    Courts board stated: “Given his knowledge and experience of Courts business, Mr Greenway was shortlisted as one of the preferred candidates. He was put through various levels of interviews with senior management before the final selection. The board opined that he has the requisite experience to take the country CEO role.”

    Listed on the Mainboard of the Singapore Exchange in October 2012, Courts Asia is a leading electrical, IT and furniture retailer in South East Asia. The retailer’s expansion into Indonesia was led by the opening of a megastore in Kota Harapan Indah, Bekasi in October 2014. The second Courts megastore in Indonesia opened in BSD City, Tangerang in January 2016.

  • Soekarno Hatta Airport Now Have Tourist Information Center

    Soekarno Hatta Airport Now Have Tourist Information Center

    State-owned operator Angkasa Pura II, Tourism Ministry and Transportation Ministry have launched Tourist Information Center at Terminal 3 of Soekarno Hatta International Airport.

    TIC services that have been operating since June 19 will serve to promote Indonesian tourism. “In order to achieve the full-year target of tourist arrivals,” Angkasa Pura II president director Muhammad Awaluddin said today in a written statement.

    Awaluddin said that Terminal 3 will serve international flights which allow TIC to promote Indonesia’s tourist destinations.

    Promotional contents at the TIC are a wide range of tourist destinations in Indonesia prepared by Tourism Ministry, particularly in relation to the branding ‘Wonderful Indonesia’ and ‘Pesona Indonesia’ (Indonesian Charm).

    The TIC will also enrich Terminal 3 digital contents. Angkasa Pura II is committed to turning Soekarno Hatta into a digital airport in line with the company’s vision of becoming the best smart connected airport operator in the region.

    Tourism Minister Arif Yahya expects TIC in Terminal 3 to become some kind of tourism supermall. Meaning that tourists may get information on tourist attractions, transportation, accommodation, etc. which can be accessed immediately by making reservations and paying for the best tourism experience.

    Angkasa Pura II and Tourism Ministry are committed to collaborating for the development of tourism sector. That includes enhancing international flight connectivity in all airports operated by the company, including Soekarno Hatta.

  • Piaggio Indonesia poised strongly against Honda’s challenge

    Piaggio Indonesia poised strongly against Honda’s challenge

    PT Piaggio Indonesia, the principal and sole agent of Vespa and Piaggio in Indonesia, is not concerned by PT Astra Honda Motor’s introduction in April of the Honda SH150i as a new premium scooter competitor.

    Sales of the Vespa Medley, whose specifications are comparable with the Japanese counterpart, has not declined, even though they are in the same price bracket, said Piaggio Indonesia marketing director Andre Sanyoto.

    The Medley is marketed at around Rp 44 million (US$3,320), while the Honda SH150i is priced at Rp 44.9 million. “If they Honda can sell five to 10 units a month, we are seeing at least double-digit sales and have seen positive growth since the Medley’s launch in May 2016,” he said.

    Andre believes that Piaggio will not be affected by declining sales in the industry, as it relies on the premium scooter segment. It will introduce at least two more premium scooters this year, including the Vespa 946 (RED).

    ”We are sticking to the premium segment, with an audience who considers not only the functionality of our product, but also their emotional attachment to it,” he said. “The 946 (RED) model will be marketed at a similar price as the Vespa Armani, at Rp 196 million,” he said, adding that his company had already received orders for the new model from Vespa enthusiasts.

    Piaggio Indonesia’s sales is mainly supported by the Primavera and Sprint model, which are marketed at Rp 32.8 million and Rp 34.8 million respectively, and contributed 70 percent of total Vespa sales in Indonesia.

  • Indonesian P2P Fintech Startup Modalku Becomes Fully Registered With the OJK

    Indonesian P2P Fintech Startup Modalku Becomes Fully Registered With the OJK

    Modalku, an Indonesia-based peer-to-peer lending fintech startup, announced this week it is now fully registered with the Otoritas Jasa Keuangan (OJK). Founded in 2016, Modalku describes itself as an online marketplace for small businesses to acquire loans and for lenders to fund small business loans to earn returns. The company revealed:

    “Our technology-based approach enables borrowers to receive loans for the first time or at lower than market rates, while lenders will earn returns well above that of bank deposits, traditional fixed income products, and life insurance investment-linked products. This marketplace lending model is proven in countries such as USA, UK, China & Singapore.”

    Modalku also noted that SMEs are a key source of employment and economic growth in Indonesia, but seem to be structurally disabled by financial institutions to get the financing they need. According to Digital News Asia, Modalku has already disbursed loans totaling more than Rp175 billion (US$13.15 million) to 320 MSME loans. While discussing the OJK registration milestone, Modalku co-founder and CEO Reynold Wijaya revealed:

    “The fact that OJK focused on P2P lending regulations in Indonesia shows that the government sees the enormous potential of fintech in supporting financial inclusion. MSMEs have always been the backbone of the Indonesian economy, contributing 60.3% of national GDP and 97% of national employment. With solid regulation, underbanked MSMEs will have better access to financing and find it easier to grow their businesses.”

    OJK senior executive researcher Hendrikus Passagi added:

    “OJK supports and will continue to encourage borrowing and lending activities via P2P lending fintechs as an alternative to national financing products that require no collateral. We view the digital financial ecosystem built by P2P lending fintech platforms as ideal partners to support financial inclusion in Indonesia. With official registration at OJK, Indonesian P2P lending platforms are expected to increase borrowing and lending activities at a much larger scale for local MSMEs while still putting customer protection and stability of the Indonesian financial system first.”

    Modalku currently operates in Indonesia, Singapore, and Malaysia.

  • Garuda Indonesia reigns as world’s best airline cabin crew for fourth consecutive year

    Garuda Indonesia reigns as world’s best airline cabin crew for fourth consecutive year

    Indonesia’s flag carrier Garuda Indonesia has won the world’s best airline staff award for the fourth year in a row according to a survey conducted by international rating organization Skytrax.

    Garuda Indonesia took first spot in the category at this year’s World Airline Awards, dubbed as the Oscars of the aviation industry, beating other prestigious airlines in the region such as Singapore Airlines and Thai Airlines.

    In the same category, Japan’s largest airline All Nippon Airways came second, followed by Taiwan-based international airline Eva Air and Thai Airways and Singapore Airlines.  The awards were announced at the Paris Air Show yesterday.

    According to Skytrax, the award “recognizes the highest all-around performance of an airline’s cabin staff” as well as the quality of staff members’ techniques and efficiency and their enthusiasm, attitude and overall hospitality.

    The survey was conducted from August 2016 to May 2017, involving 19.8 million votes.

    This year, Garuda Indonesia improved its position in the best airline category, climbing one spot to enter the top ten carriers on the world’s best airline list.

    The world’s best airline award for 2017 went to Qatar Airways, which took the title from fellow Middle Eastern carrier Emirates.

  • Unilever Indonesia secures Rp 3 trillion standby loan for expansion

    Unilever Indonesia secures Rp 3 trillion standby loan for expansion

    Publicly listed consumer goods giant PT Unilever Indonesia (UNVR) has secured a standby loan worth Rp 3 trillion (US$225 million) from Unilever Finance International AG to expand its business in the country.

    Unilever corporate secretary Sancoyo Antarikso said the loan facility could be disbursed anytime the firm needed it in the next five years, with a tenure of one to 12 months and at a 0.15 percent lower interest compared to bank loans.

    “The shareholders meeting has agreed to allow the firm to receive a standby loan within five years from now, so we can use it anytime we need it,” Sancoyo told after the meeting at Unilever Indonesia headquarters in BSD City, Banten, on Tuesday.

    The loan can be used to fund the company’s plan to expand the capacities of its nine existing factories in West Java and East Java. The Indonesian unit of the Dutch-British transnational consumer goods company has announced plans to invest $500 million within the 2016-2020 period in Indonesia.

    In 2016, Unilever Indonesia spent Rp 1.79 trillion (US$134.4 million) in capital expenditure toward capacity expansion, among other aims, while booking a 9.2 percent increase in its net profit to Rp 6.4 trillion and a 9.8 percent increase in net sales to Rp 40 trillion.

    Almost all of its 2016 profit will be distributed as dividends worth Rp 835 per share. While Rp 2.9 trillion has been paid as an interim dividend last year, the company will distribute the remaining Rp 3.5 trillion this year.

  • Bank Indonesia sets chip technology standard for ATMs, debit cards

    Bank Indonesia sets chip technology standard for ATMs, debit cards

    Bank Indonesia has set National Standard Indonesian Chip Card Specification (NSICCS) as the country’s technology benchmark for ATMs and debit cards of all card providers across the country.

    The regulation was officially implemented during a meeting attended by Bank Indonesia deputy governor Sugeng, bankers and the Indonesia Payment Systems Association (ASPI) on Wednesday in Jakarta.

    The central bank also appointed ASPI to oversee the implementation of the NSICCS and to develop it through observation of several aspects, such as security and technology development.

    “The implementation of a standard was aimed at increasing the security of transactions and encouraging the creation of an interoperability instrument, which was in line with the National Payment Gateway program,” the central bank wrote in an official statement.

    Bank Indonesia through its letter, No.17/52/DKSP on the requirement of a six digit PIN number for all debit and ATM cards utilizing magnetic stripe technology, tried to improve on the security aspects of transactions.

    The NCICCS technology will not only be implemented in the ATM and debit cards, but also in the system, which processes transactions within the cards. The full implementation is expected to finish at the end of 2021.

    The implementation of the NCICCS is part of an ongoing effort to mitigate fraud and align ATM and debit card standards in Indonesia with the best practices on the international level, Bank Indonesia wrote.

  • Number of Indonesian air passengers spike before Idul Fitri

    Number of Indonesian air passengers spike before Idul Fitri

    Indonesian flyers embarking on the homeward-bound Idul Fitri exodus have surged in the six days before the holiday, Transportation Ministry data has shown.

    “According to the data collected until June 20 at midnight, domestic flights have seen a 10 percent surge in passengers,” an official with the Transportation Ministry in charge of the Idul Fitri holiday daily integrated transportation post, Adi Karsyaf Rahayu, said in a statement.

    On the accumulated data from 10 days before until six days before the festivity collected from 35 airports, the number of domestic flyers has surged to 1.3 million from 1.18 million passengers in the same period last year.

    A higher jump was observed in international flights in seven airports in Indonesia six days  before Idul Fitri, with a 12.69 percent hike to 222,976 passengers from the 197,871 in the same period last year.

    The Transportation Ministry, which spearheads the coordination for this year’s annual exodus, predicted that the country would see a 4.8 percent surge in the number of people traveling by public transportation to 19.04 million.

  • Over two million Chinese tourists to visit Indonesia in 2017

    Over two million Chinese tourists to visit Indonesia in 2017

    The number of Chinese tourists visiting Indonesia is estimated to reach more than 2 million tourists in 2017, an official said. Charge d’Affaires of the Embassy of the Peoples Republic of China in Jakarta Sun Weide said here on Tuesday that the tourism cooperation between Indonesia and China continues to grow.

    The Chinese Embassy has recorded around 560,000 Chinese tourists to have visited Indonesia during the first three months of this year.

    “The number of Chinese tourists visiting Indonesia is estimated to reach more than two million this year,” Sun Weide said in a press conference followed by an iftar at the Chinese Embassy in Jakarta.

    Last year, 1.45 million Chinese tourists had visited Indonesia. The number was the second largest after Singapores with 1,47 million tourists.

    It is estimated that the visiting Chinese tourists had contributed around two billion US dollars of foreign exchange to Indonesia last year, he said.

    Cooperation in the tourism sector between Indonesia and China has been robust, he said.

    On the same day, delegation from Guizhou Province of China held a conference to promote its tourism potential in Jakarta.

    Ren Xiang Sheng, Guizhou Provincial Secretary in southwestern China, said the increased cooperation in the fields of tourism and culture has become part of efforts to strengthen Chinas One Belt and One Road (Obor) initiative.

    In 2016, more than one million tourists had visited Guizhou, a region dotted with picturesque mountain in China. Out of one million visiting tourists, 128,000 were Indonesians.

    Indonesian Ministry of Tourism has estimated that the number of Chinese tourists visiting Indonesia will reach 2.4 million in 2017, surpassing Singaporeans who were estimated to top around 2.275 million in the same year.

    Achieving its 12 million tourist visit target in 2016, Indonesia has set a target to attract 15 million tourist in 2017.

  • Indonesian supermarket opened in Qatar

    Indonesian supermarket opened in Qatar

    A supermarket selling Indonesian products was opened in the Messaieed City, located around 40 kilometers from Doha, Qatar. The Indonesian supermarket, called KWIQ Supermarket, was officially opened to the public on June 17 by Indonesian Ambassador to Qatar Muhammad Basri Sidehabi, as quoted from the official website of the Indonesian Ministry of Foreign Affairs on Monday.

    “This Indonesian supermarket serves as a concrete manifestation of Deputy Minister of Foreign Affairs A.M. Fachirs instruction during a coordination meeting last month,” Sidehabi noted.

    The deputy minister had instructed the Indonesian representative to focus on feasible and concrete efforts and to dare to innovate for the benefit of the people, he said.

    The supermarket is expected to encourage the Indonesian diaspora to develop businesses in Qatar as well as to serve as a platform for Indonesian businessmen keen to expand their business in Qatar.

    The plan to set up an Indonesian supermarket was initiated by the KWIQ cooperative group.

    Head of the KWIQ cooperative group Kartini Sarsilaningsih said Indonesian citizens living in Messaieed and Wakrah are keen to support the plan to set up an Indonesian supermarket in Qatar.

    Sasilaningsih said the business holds high potential, adding that the Government of Qatar is currently conducting diversification of products following the diplomatic rift with several gulf countries.

    She hoped that in future, the Indonesian supermarket would gain greater support from Indonesian business entities and producers that are looking to expand their business in Qatar.

    “For now, the supermarket has set a target to function as a distributor for Indonesian products since it has a business network,” she revealed.

    The supermarket has been supported by the Indonesian Business Association in Qatar and is selling Indonesian products, such as food and beverages and household appliances.

  • The Ramadan Productivity Drop And How To Overcome It

    The Ramadan Productivity Drop And How To Overcome It

    The holy fasting month of Ramadan is a special time in Indonesia, with nightly celebrations and long days of devout reflection for Muslims and discrete respect from non-Muslim expats and locals. Although for bosses and managers, the month can be a time of frustration with productivity seemingly grinding to a halt.

    “The productivity of workers declines in the holy month by 35 to 50 percent as a result of shorter working hours and the change in behaviour during this month,” Samer Sunnuqrot, an economist based in the Jordanian capital Amman told.

    Unlike Muslims practicing in Muslim-minority countries, like the United Kingdom or Australia, the specific needs of fasting can be taken into account by business and government in Muslim-majority countries like Indonesia or Jordan.

    “Decisions and meetings will be postponed until the period of Ramadan is over, especially in governmental institutions. This causes lower productivity and performance and might incur losses for business people because of the postponing of decisions and processing of government transactions,” Sunnuqrot said.

    While productivity dips during the fasting month, Sunnuqrot notes consumption tends to rise.

    “The positive side of Ramadan for business people is a higher demand for goods and services and higher consumption.

    “That often means higher prices, which translates into higher profit margins for merchants, retail stores, restaurants and cafes – especially those which arrange amusement programmes for after iftar (the breaking of the fast),” he said.

    Rumy Hasan, a lecturer at the University of Sussex, investigated the economic impact of lost productivity during Ramadan. His research found Ramadan creates a loss of 42 working hours per fasting participant each year, representing an overall 2.5 percent reduction in output annually.

    “Productivity declines not only from the physical strain of fasting but from the disruption to the flow and organization of work. It is reasonable to assume that a decline in productivity would further reduce economic output by at least 3 percent each year, which represents a significant annual recessionary impact of Ramadan,” he said.

    This decline is due largely to the physical effects of fasting.

    “Occupational health researchers have highlighted various adverse health consequences from severe dehydration, including headaches, dizziness and nausea,” Hasan found.

    For Muslim-minority countries this loss can be absorbed by the non-fasting majority of the labour force, but in Indonesia, where almost 88 percent of the population identifies as Muslim, this represents a massive issue.

    But all hope is not lost for managers and bosses hoping to boost productivity in the office until the Idul Fitri long weekend. While fasting, early mornings and late nights leave workers lethargic and struggling to focus so making the workplace flexible can help overcome some productivity issues.

    Beginning work earlier for an earlier finish will ensure workers maximize their energy from the pre-dawn morning meal, or suhoor, while also helping employees make it home in time to break the fast, or iftar, while dodging crippling traffic.

    Business consultant Mohammed Faris suggest non-Muslim managers and bosses take part in their own three-day fasting challenge in an effort to demonstrate both solidarity and to better understand the experiences of fasting colleagues.

    “If you want to engage with your staff on the challenges of fasting in Ramadan and work productivity, the best way is to actually talk about it and empathize with them. Start a conversation by asking your fasting employees how they consider work would be affected in Ramadan and what could be done about it,” he told.

    United Kingdom news portal Metro recommends tailoring traditional productivity tips for the month, such as goal setting and creating daily lists of tasks. This ensures Ramadan is treated as the special time that it is, while also maintaining good work habits.

    Additionally, while it may be tempting to gorge on the traditional treats and meals of the season, keeping healthy during the working week at least will go a long way to maintaining functionality. Lots of fresh fruit and proteins during the morning meals will help keep any participant in great health for a long, productive day ahead. Likewise, avoiding overly sugary and fried snacks in the evening and staying hydrated will keep the body healthy.

  • OJK to Monitor Fintech

    OJK to Monitor Fintech

    The Financial Service Authority (OJK) has formed two new directorates as a response to financial technology (fintech) development. OJK deputy chief commissioner Rahmat Waluyanto said that the two new directorates are Digital Financial Innovation Unit and Fintech Permit and Monitoring Unit.

    “The directors have been appointed, but it can’t yet be announced because it’s not official yet. The Digital Financial Innovation Unit will handle regulatory sand box and research,” he said, as quoted by Antara last week.

    In a bid to respond to fintech development, OJK has also formed Fintech Expert Forum and fintech innovation hub. The forum will facilitate fintech industry development comprising individuals from 21 entities, such as ministries, agencies, associations, universities and other relevant business players.

    The committee will give recommendations and inputs as well as facilitate coordination between agencies and fintech start-up companies. Meanwhile, OJK’s fintech innovation center is projected to become a hub of various fintech incubators to discuss developments.

    OJK chief commissioner said that Fintech Expert Forum will facilitate and ensure coordination of various start-up players. The forum will discuss developing fintech issues. “And discuss future developments in fintech industry,” he said.

    Indonesia has seen a rapid growth of fintech players. As of January 2016, Indonesia Fintech Association reports that the country has 165 domestic start-ups. The figure has quadrupled compared to that of in the first quarter of 2014 with 40 companies.