Up Your Social Media Game in Indonesia [Research and Strategy Guide]

Social Media Marketing Report for IndonesiaA Strategy Guide to Improve Engagement and Conversion

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Social Media Marketing Report for Indonesia: A Strategy Guide for E-Commerce Companies to Improve Engagement and Conversion

copyright• Senin

• 9, 10, 13 -17, 23 dan 34

• Selasa

• 18, 19, 20

• Rabu

• 30 - 33

• Kamis

• 41 - 43

• Jumat

• 44 - finish

Sorry, can’t show you this pagetry going to http://empathic.marketing

http://empathic.marketing

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SOCIAL MEDIA IS INGRAINED IN MODERN INDONESIA


Indonesia is the social media capital of the world

Indonesia

Malaysia

India

China

Singapore

USA

South Korea

UK

Japan

0 20 40 60 80 100There are more than 40 million Indonesians on Facebook. Jakarta, the nation’s capital, is the world’s most active city in the world. Bandung, a town just 120 km from Jakarta, is #6.

Source: Global Web Index Survey, Semiocast

% of Internet Users active on Social Network

Social media is the quickest way to bridge communication gaps in Indonesia.

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Social Media Marketing Report for Indonesia: A Strategy Guide for E-Commerce Companies to Improve Engagement and ConversionSocial Media Marketing Report for Indonesia: A Strategy Guide for E-Commerce Companies to Improve Engagement and Conversion

Indonesia

Malaysia

Thailand

USA

UK

Japan

0 20 40 60 80 100

SOCIAL MEDIA IS INDONESIA’S TOOL FOR ONLINE RECOMMENDATION8 out of 10 Indonesian online shoppers recommend products via social media

Indonesia has been dubbed by international media as the social media capital of the world. However, brands need to stop focusing on how many Indonesians are online. Instead, brands need to start focusing on what Indonesians are doing on social media.

Social media in Indonesia is not a broadcast tool. Social media is a tool to generate recommendation. Brands, and e-commerce companies particularly, need to strategise and measure accordingly.

% of online shoppers using social media to recommend products

Source: Redwing Asia

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MULTIPLE PURCHASE PATHWAY

Indonesia

Philipines

China

Vietnam

Thailand

India

South Korea

Japan

Australia

181

174

170

168

167

162

144

135

132

In APAC Countries the average user spends 2.5 hrs/ day on they smartphone

Average time spent on smartphone/day, minutes

The average Indonesian spends more than 3 hours a day on smartphones. Only a fraction that time is used to actually make phone calls.

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MULTIPLE PURCHASE PATHWAYS = MORE MOMENTS OF TRUTHS

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MULTIPLE PURCHASE PATHWAYS = MORE REMARKETING CHANNELS

57%

43%43% of total revenue comes

from purchases made in more than one day

Total revenue

43% of purchases are made after the first day This means brands stand to lose almost half of its sale if it ignores site visitors who don't immediately turn into customers.

Brands need to strongly consider spending resources on Non-Purchase Conversions (via newsletter and social media) and remarketing campaigns across different devices.

Almost half of web visitors need more than a day to decide on their purchase

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ONLINE VIDEO CONVERTS

DESKTOP/LAPTOP

MOBILE DEVICE

MAKING A PURCHASE AFTER SEEING VIDEO AD ON:

25 75

40 60

NEVER HAVE BUY

Sorry, can’t show you this parttry going to http://empathic.marketing


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ONLINE VIDEO: FROM “NICE” TO “NECESSARY”

AVERAGE TIME SPENT WATCHING VIDEO ON MOBILE AND TABLET MORE THAN 7 HRS/WEEK

8 IN 10ONLINEINDONESIANS WATCH ONLINEVIDEO ON A WEEKLY BASIS

IND

ON

ESIA

8.1

9.3

YouTube detik.com kompas.com okezone.com imdb.com republika.co.id

POPULAR SOURCES OF ONLINE VIDEOAMONG THOSE WHO DOWNLOADED/

STREAMED IN PAST 12 MONTHS

91

4129 27

13 9

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MULTIPLE PURCHASE PATHWAY

INDONESIANSARE CONNECTED

23.2HOURS A WEEK

A DAILY ACTIVITY FOR

6 IN 10

74% OF ONLINE INDONESIANSARE

TRIPLE SCREENERS

20%


61% start from

smartphone

61% continue on a PC/Laptop

4% continue

on a Tablet

MULTIPLE PURCHASE PATHWAYS

However when it comes to making a purchase decision, only 35% of customers make their purchase on the phone. Others continue their online purchase journey onto PC or Tablet. That said, online ticketing and booking apps prove to be exceptions to the rule, contributing a much higher conversion on mobile.

Smartphones are likely the first platform being accessed in a customer’s purchase journey. Purchase intention begins on smartphones. Product mention on social media leads need recognition, followed by information search on search engine.

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CHAPTER 2: How Indonesians Use Social Media in Buying Decision Process

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OVERVIEW OF CHAPTER 2

The theory of buying decision process funnel helps company to track down the i r consumer activity in every purchase journey.

T h e c h a l l e n g e f o r companies today is dealing w i th the mu l t i tude o f channels, device and p l a t f o r m s t h a t t h e i r customers use throughout the purchase decision journey.

Consumer journey starts from Need Recognition, when the consumer ’s a w a r e n e s s t o w a r d a product is triggered by what people say about a

product or their comment on certain situation. This, in addition to the consumer’s immediate environment, p e r s o n a l n e e d s , a n d surrounding trends.

Over 60% of respondents report they are at least somewhat likely to make a purchase based on a friend’s social media post. For many Indonesians, Need Recognition happens right on the palm of their hands, over the screen of their smartphone.

In this chapter, we delve in to how Indones ians interact with social media and how this new medium

impacts buying behaviour.

Many have stated that companies cannot use social media as they use other forms of media. The key to properly using social media as an effective marketing tool is not in following the next big thing or the newest social media platform. The key is in getting a holistic view of how your customers use social media beyond your marketing campaigns.

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NEED RECOGNITION

INFORMATION SEARCH

EVALUATION

PURCHASE DECISION

POST PURCHASED

CONSUMER BUYING DECISION PROCESS

it start when the buyer recognise a need. needs can be trigger from many platform in this stage smartphone may become one of the most influencing platform. By knowing people spent time 181 minutes on their smartphone.

To helps the buyer getting know the product. Different type of platform that being used by the buyers such that being used by the buyer to help them identify the product

Evaluating product in every different brand, that can bring best value that fit the buyer most. social channel, people experience toward the product, in every brand will help the buyer to decide which brand and product they will buy

The process where the buyer will make a purchase or even they already make a purchase. The brand who can bring the most trustworthy platform will impact the consumer purchase decision. In this days so many platform can be use, the one that deliver the most effective platform is the one that can create high involvement of consumer on their purchase process.

The process when consumer experience a satisfaction or dissatisfaction toward the product and willing to share it to others. As now social media mainly becoming the most effective tools to share their thought about the product. or the consumer involvement in network forums share their review about the product. the positive effect will influence people to makes them willing to have the product even they are not buy it yet.

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80% OF IMPRESSIONS TRACKED BACK TO SOCIAL MEDIA

BRAND SITE

SEARCH RESULT

DIRECT TRAFFIC

NEWS- LETTER

SOCIAL MEDIA

PAID ADS

REFERRALS

SOCIAL MEDIA

SOCIAL MEDIA

SOCIAL MEDIA

SOCIAL MEDIA

SOCIAL MEDIA

SOCIAL MEDIA

PAID ADSREFERRALS

PAID ADS

REFERRALS

REFERRALS

PAID ADS REFERRALS

PAID ADS

REFERRALS

PAID ADS

Companies should realise their strategies using social media as a tools for publishing or advertise, may be should change to a tools to understand their consumer, because from this figure we can see their consumer comes in many different by social media

PAID ADS

REFERRALS

Behind companies marketing strategy, social media actually play an important role as we realise it or not, they can bring our consumer getting close to us. Is somewhat like free ads without paying any cost.Sorry, can’t show you this part

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FOCUSING ON PRIORITIES IN TWO SCENARIOS

need recognition

information search

evaluation

purchase decision

post purchase

SOCMED

SEARCH

SEARCH

EMAIL

SOCMED

New comer

need recognition

information search

evaluation

purchase decision

post purchase

SOCMED

SEARCH

SEARCH

EMAIL

SOCMED

Growth company

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The use of social media in post purchase is focusing the growth of the profit margin, while in need recognition social media helps to gain number of consumer.

80% of impressions are generate from social media users, while this means brand can likely get a number of they followers, even the consumer not at the stage of buying yet. but they keep on eye to the brand.

Social media measure the right way in need recognition and post purchase. The right tool to generates consumer awareness and purchase intent.


need recognition

information search

evaluation

purchase decision

post purchase

SOCMED

SEARCH

SEARCH

EMAIL

SOCMED

New comer

Sorry, can’t show you

this part

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Over 60% of respondents report they are at least somewhat likely to make a purchase based on a friend’s social media post. This thing indicates the important role of social media in post purchase is major role to having profit growth.

The concept of post purchased is to share positive or negative experience toward the products in order to continue influence other people in buying the product. Social media as platform that get the most positive sharing about the products.


need recognition

information search

evaluation

purchase decision

post purchase

SOCMED

SEARCH

SEARCH

EMAIL

SOCMED

Growth company


this part

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MEASURING THE TOOLS FOR EACH STEP OF THE BUYING PROCESS

Identification & engagement of influencersMass influencerSocial media adsTargeted campaign

SEO & SEMOptimize websiteSearch engine adsBuild inbound links

Auto responderCreate newsletter“Special Deals” emails

Request to shareCustomer-based cartIdentify latent fanDealing with negative sentiment

SOCMED

SEARCH

EMAIL

SOCMED

need recognition

Information search

Evaluation

Purchase decision

Post purchase

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POST PURCHASE WHAT NOT TO-DO



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POST PURCHASE WHAT TO-DO



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NEED RECOGNITION WHAT NOT TO-DO



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CHAPTER 3: Choosing The Right Platform

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OVERVIEW

S o c i a l m e d i a i s a n effective tool to generate purchase intent, but an ineffective tool to push for i m m e d i a t e s a l e s conversion.

Over 60% of respondents report they are at least somewhat likely to make a purchase based on a friend’s social media post.

While social media can be used to push to increase conve rs ion , imprope r execution will result in social punishment from followers, as reflected in reduced engagemen t metrics.







this part

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INDONESIA’S BLOSSOMING LOVE FOR INSTAGRAM AND PINTERESTFacebook and Twitter are saturated

Because of its population size when the early majority of Indonesians start adopting a social media platform, the country tend to dominate the platform but saturation tend quickly to follow, and Indonesians move their social media activity to other platform.

(42% of Twitter users from Indonesia, 30% of Path traffic comes from Indonesia)

Number of users vs growth rate

0

10

20

30

40

50

60

70

80

Facebook Twitter Instagram Pinterest LinkdIn

Twitter

Path0 20 40 60 80 100 120

-10.55%

-14.6%

-47.2%

How Indonesia social media active users

own 30% traffic compare to the

world

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ACTIVE PASSIVE

COMMUNICATION LANDSCAPE CONTINUUM

ephemeral

OPEN DISCRETE

Vague Clear FeedbackSeen by many Seen by select few

Leveraged personalisedIntrusion-based permission-based

durablesuccinct verbose

lower investment value

higher investment value

higher reply valuelow reply value

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PRE-INTERNET COMMUNICATION LANDSCAPE

Live radio

Cb radio

Rally

Tv AdsRadio Ads

BillboardLovelocks

Seminar/teaching

Community boardCelebration of life event

PhonePager

Fax

Sms Mail

Passive

Open

Active

Discrete

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THE MYTH OF SOCIAL MEDIA CONVERGENCE

Live radio

Cb radio

Rally

Tv AdsRadio Ads

BillboardLovelocks

Seminar/teaching


PhonePager

Fax

Sms Mail

Passive

Open

Active

Each social media platform serves a specific social function

Discrete

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Winning against established e-retailers on a head-to-head competition requires outspending their marketing budget. This is an expensive option that ignores the competitive advantage new players have: the attention of Niche Influencers

Niche Influencers can be anyone 45% of people already post photos of products/services they’ve tried. 70% of them think they influence others.

Live radio

Cb radio

Rally

Tv AdsRadio Ads

BillboardLovelocks

Seminar/teaching


PhonePager

Fax

Sms Mail

Passive

Discrete

Open

Active

Sms

THE MYTH OF SOCIAL MEDIA CONVERGENCEHow social platform move from current place

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FACEBOOK

69MFACEBOOK ACTIVE USERS IN INDONESIA

The Most Active Social Platform

Pinterest 11%

Instagram 13%

Linkedin 13%

Google+ 17%

Twitter 20%

Facebook26%

1%1%2%South Korea 5%Australia

6%Malaysia

7%

Taiwan 7%

Vietnam 8%

Thailand 10% Japan

11%

Philipines 15%

Indonesia27%

Highest Facebook Users in Apac

Growth of New Audience

Jakarta Bandung Medan Surabaya Tanggerang Bekasi Bogor Yogyakarta Makassar Palembang

22%

6% 5%4%

3% 3% 3% 3% 2% 2%

Jakarta is a city that has the highest growth in new audience. But other cities show potentials, so if we are using Facebook, we better target audience in Indonesia not only Jakarta.

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TWITTER



20%


INSTAGRAM

FinanceHealth

Real-Estate

CultureDecoration

Fashion

Should you be on Instagram?

65% 67%

80%

-35%-48%

-57%


this part


this part

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INSTAGRAM

6%14%

73%

7%

under 15 15 to 35 35 to 50 over 50

Distribution of Instagramer by age What you should aim for on Instagram

62%54%48%

follow brands because they love it

follow brands to discover new things

follow brands because the account is funny and interesting

Sorry, can’t show you this parttry going to http://empathic.marketing


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PATH

No 30%

Yes 70%

Connected Path to another social media platform



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PATHFrequency of checking Path

48.68%

23.18%17.22%

10.93%

Most Activity in Path

4M ACTIVE USERS IN INDONESIA

CONNECT TO OTHER SOCMED

NOT CONNECTED

69.5%

30.5%

Social Sharing into Other Socmed Platform

Most Type of Photo Posted on Path

1%

10%

10%

65%

15%

Selfie Current activity FnB Meme Product

69% of them check their account at every opportunity82% check at least once a day

Thoughts 11%

Locations 17%

Entertainment 23%

Photos 49%

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PRODUCT ASK AND ORDER ALSO HAPPEN IN SOCIAL CHAT

WhatsApp BBM Line Facebook Messenger

Twitter WeChat Kakao Talk Skype Yahoo Messenger

43%

37% 36%

23% 23%20%

16% 16% 15%

Social messenger helps consumer in purchase intention

social messenger usage in mobile phone is a heavy usage, more than 3 hours Indonesian spent their time to look into their screen on mobile

Popular social messenger in Indonesia

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Chapter 4 Buffer Page

• pic

• title: the role of influencer



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OVERVIEW












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IDENTIFYING MASS INFLUENCERS KEY TO MARKET DOMINATION80% of impressions are generated by 6% of social media users

E-retailers with powerful infrastructure (stock, delivery, payment platform) need to identify the relevant 6% of social media power users (Mass Influencers).

Focus on relevancy instead of audience size because Mass Influencer’s power is contextual. 80% 20%

Mass Influencers The minority of social media users driving the majority of impressions on e-retail sites


Source: The Webby World, Klout

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6 out of 10 people buy products based on friends social media postSocial media is an effective tool to generate purchase intent, but an ineffective tool to push for immediate sales conversion.


While social media can be used to push to increase conversion, improper execution will result in social punishment from followers, as reflected in reduced engagement metrics.

The example on this page shows an example of an effective use of influencers in generating purchase intent.

Ernanda Putra - Graphic Designer 503,669 followers on Instagram

This photo received 5,000 likes and 40 comments

His followers comments show interest toward the products in the photo

“How do I buy this? I’m really interested with this collections.”

“I really want it to buy these :( but are they expensive? The products are really cool.”

SOCIAL MEDIA GENERATES PURCHASE INTENT


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Beware the BuzzerWhile paid tweet accounts, otherwise known as Buzzers, still deliver online traffic and conversation, use them with caution. Whenever possible, opt for organic recommendation over paid ones.

80% 20%

Instead of fighting established e-retailers head-to-head and trying to outspend their marketing budget, successful online MSMEs engage Niche Influencers instead.

Niche Influencers can be anyone45% of people already post photos of products/services they’ve tried. 70% of them think they influence others.

The Long Tail of InfluenceYour brand conversation already exists out there. It does not start with advertising. It starts with product experience.

The Long Tail audience provides a starting point for new e-retailers

New brands need Niche Influencers to capture Long Tail audience

ENGAGING NICHE INFLUENCERS KEY TO MARKET ENTRY


Quick Facts on Social Media BuzzersMin. followers: 2,500 Avg. Payment: US$21-50/tweet Top Buzzers: US$500/tweet

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TYPE OF INFLUENCER

CREATOR

CURATOR

CONNECTORExpertise : local based Interaction : respond to any interaction Event : go to any event Hashtag : has own hashtag (looking to connect)

Expertise : theme based Interaction : respond to product/theme question/comments Event : go to theme specific event Hashtag : own hashtag (for contributor)

Expertise : specific to his/her expression Interaction : rarely respond Event : go to event when she/he in the spotlight Hashtag : no specific hashtag

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TYPES OF INFLUENCER

CREATOR

Expertise : local based Interaction : respond to any interaction Event : go to any event Hashtag : has own hashtag (looking to connect)

Expertise : theme based Interaction : respond to product/theme question/comments Event : go to theme specific event Hashtag : own hashtag (for contributor)

Expertise : specific to his/her expression Interaction : rarely respond Event : go to event when she/he in the spotlight Hashtag : no specific hashtag

CURATOR CONNECTOR CREATORThey know how to illustrateand framing products and concepts into relevancy

To finding the best people and want to share experience freely typically of connector, they are also friendly.

Creating content that originally from their ideas and elaborate with the trend

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CURATOR

NAME GOES HERE About

Social media is an effective tool to generate purchase intent, but an ineffective tool to push for immediate sales conversion.




ESTHETIC

OBSERVANT

SHREWD



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ACCESIBLE

SENSITIVE

RESOURCEFUL

CONNECTOR



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SKILLFUL

WITTY

DEDICATED

CREATOR



Key Questions:1. Which Mass Influencers are the right fit for your brand? 2. How can your brand help these Influencers reach their long term goals?

Key Questions:1. How are you monitoring brand conversations? 2. How do you contribute to these conversations without dominating them?

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CONTACT US

What’s with all this redaction?I’d love to share more details on this research and other insights we have on Indonesian consumer behaviour - how about doing it over a cup of V60 Kerinci single origin? #coffeesnob :)

Ghani Kunto email: [email protected]

mailto:[email protected]

Business

Up Your Social Media Game in Indonesia [Research and Strategy Guide]