Articles

Proposed Marketing Strategy for Pt. Kereta API Indonesia (Persero) to Increase the Number of Passengers

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PT. Kereta Api Indonesia (Persero) or known as KAI is a State-Owned Enterprise in Indonesia with the obligation of organizing transportation that prioritizes passenger comfort, safety, and security. KAI is the only train transportation service in Indonesia, so it has a strong advantage over other modes of transportation. However, the Covid 19 pandemic has a great impact on KAI which resulted in a significant decrease in the number of passengers in KAI operating areas in Bandung in 2020-2022.

Therefore, the purpose of this study is to analyze internally and externally what factors influence the decline in passengers on KAI, and what strategies are appropriate for KAI to implement in order to increase the number of passengers in the future. The internal analysis uses 3 tools, namely STP analysis, 7P analysis, and VRIO analysis, which is intended to determine the strengths and weaknesses of KAI. External analysis is carried out using 4 tools, namely PESTEL, Porter’s 5 Forces, competitor analysis, and customer analysis aimed at knowing the external opportunities and threats being faced by KAI. The findings from the internal and external analysis are used to analyze the SWOT. In the SWOT analysis, it was found that KAI has 3 weaknesses and 4 threats being faced. Then the TOWS Matrix is used to formulate the right proposed strategy for KAI in overcoming existing weaknesses and threats. There are 12 alternative strategies from the results of the TOWS analysis which are then grouped into 4 categories, namely ST strategy, WT strategy, SO strategy, and WO strategy. In these 4 categories, QSPM analysis is used to calculate the greatest weight value for each strategy based on the expert judgment from the KAI. The chosen strategy is the ST strategy which has 3 strategies, namely Implementing Social Marketing that shows the benefits of using KAI for the society & environment, Improving the quality of the services to increase value, and Attractive promotions only available for new members. It is hoped that the selected recommendation strategy can be implemented properly by KAI so that it can reach a wider range of consumers in order to increase the number of passengers

Proposed Marketing Strategy for Commercial Single Branding Product of PT Agriculture (Case of Urea Fertilizer)

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A fertilizer firm with management responsibilities for subsidiarized businesses is PT Agriculture’s Company. PT Agriculture will become an activist holding in August 2020. The business of PT Agriculture is still working toward a number of strategic objectives, such as corporate transformation, decarbonization, and sustainability initiatives. The PT Agriculture Company had over 100 product brands prior to the restructuring function, which led to bad market circumstances as a result of multiple brands being offered in the same marketing territory. Due to the fact that each PT Agriculture Company group has a unique strategy, this leads to a silo mentality that is not consolidated. The company’s flagship urea product, produced by PT Agriculture, has been designated the Urea Fertilizer Brand. The right marketing strategy is necessary for PT Agriculture’s business to be able to commercialize items that could end up representing the company’s products and compete in the market.

Companies must be aware of both internal and external business situations in order to conduct a company analysis. External analysis examples include the PESTEL analysis and Porter’s Five Forces. In the internal analysis, VRIO and the Diamond Model are utilized.

The results suggest that PT Agriculture’s Company should concentrate on its advantages. Then, PT Agriculture’s Company must improve its marketing plan from upstream to downstream. To be more specific, regarding the product urea.

Proposed Marketing Strategy to Increase Revenue for PT. Pipa Tanpa Kampuh Indonesia in Seamless Steel Pipe Industry

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PT. Pipa Tanpa Kampuh Indonesia (PTKI) is one of the industrial companies for manufacturing seamless steel pipes in Indonesia which has the ability to produce the final product Oil Country Tubular Goods (OCTG) and pipelines (Linepipe), which are used to support operations in the upstream oil and gas industry. The Company currently has an average Local Content of 27.11% for High-Grade products and 21.02% for Low-Grade products. The plant most likely produces products with the High-Grade type, where the market demand for this product gradually decreases every year. It was affecting the Company’s revenue which decreased in recent years; moreover, the utilization of the installed production capacity has also decreased. Therefore, the Company is attempting to penetrate the market for Low-Grade products, which requires developing an effective marketing strategy to compete in this highly competitive market segment. This research conducts internal & external analysis of the Company using PESTEL analysis, Porter’s 5 Forces, competitor analysis, and customer analysis with interviews are used to conduct external analysis. Meanwhile, Porter’s Value Chain analysis, Segmentation-Targeting-Positioning (STP), Marketing mix 7P, and internal management interviews are used to conduct internal analysis. Further analysis was carried out using the SWOT, TOWS matrix and Root-cause analysis (RCA) with the Five Why’s method. According to the analysis, it can be concluded that PTKI’s customers respect the existing regulations, particularly those regulating the use of domestic products, and they expect a fast delivery time for Low-Grade products. Therefore, it may be recommended to the Company that product differentiation be considered to increase local content and do strategic stocking of materials commonly used in Indonesia.

Proposed Marketing Strategy to Fight Market Uncertainty for Indonesia Paper Company

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The paper industry has faced pressures from the digitalization process and climate change over the past five years. Currently, the war in Europe is adding to the pressure. Companies from the paper industry, such as Indonesia Paper Company, must review their business strategies in facing this global market uncertainty. Using the Scenario Planning approach, this study finds two possible scenarios that companies can prepare for: the economy deteriorates into a world economic crisis, or the economy improves. Both scenarios show significant changes in market segmentation that can impact business and marketing strategies. The company has a Competitive Advantage in the source of raw materials. Therefore, the company can apply the Cost Strategy in facing a crisis. The advantage can also help companies carry out a Focused Differentiation Strategy when the economy improves. When uncertainty is still high, like today, companies can make internal improvements to adapt to rapid technological changes and optimize performance.

Proposed Business Strategy for IndiHome Case Study: PT Telkom Indonesia Tbk

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IndiHome is a home internet service consisting of landlines phone, internet and TV which was officially launched in 2015 by PT Telkom Indonesia. As one of the programs from Telkom’s main project, IndiHome has shown rapid growth since it was just launched. According to the annual report, IndiHome is the market leader of fixed broadband services, holding 82.3% market share in 2020. However, it is shown that there is a significant decline of IndiHome’s market share of 4.2% compared to the previous year. To analyze the research, both qualitative and quantitative methodology is used with primary data gathered from internal interviews, questionnaire and netnography. The result indicates that to increase market share growth, a customer improvement strategy is needed which is carried out by improving the quality of services that can improve IndiHome’s image in the customer’s mind. The new bundling strategy and good synergy between Telkom and government could make Telkom able to develop and provide services in all regions in Indonesia. Market research to map potential customers based on data usage on cellular phones can also be conducted. Telkom can also carry out internal development in the form of gap analysis between the growth of market trends and Telkom’s capabilities. By doing this, Telkom can continue to keep informed with developments that occur and stay agile with all changes.