Articles

Proposed A Loyalty Program 3.0. Case Study: Morinaga Rewards Club

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Indonesia is predicted to become the fourth largest country by world GDP in 2050 by PWC. Human resources on the skills of Indonesian workers are essential factors. Individual workers must be in good health and not lacking in nutrients to achieve optimal productivity. Nutritional intake should start early or in the first thousand days of life. Unfortunately, the rate of stunting or malnutrition in children under five in Indonesia is still above the WHO standard average. The government has made several efforts, including prioritizing breastfeeding for children under one year of age. Baby milk nutrition companies such as Kalbe Nutritional, through the Morinaga brand, support government regulations and participate in nutrition education for babies under five years old. Through the Morinaga Rewards Club loyalty program on a digital application-based platform, Morinaga focuses on the target market of millennial mothers to provide nutrition education and child development. In order to provide a good user experience, the consumer journey at Morinaga is divided into acquisition, activation, and retention. The system integration approach with retail partners and retention modeling Loyalty 3.0 will be applied to increase the number of active users and consumer retention using the Morinaga Rewards Club application.

Developing Strategy to Enhance User Retention and Product Preference in Indonesia OTT Industry (Case Study of Vidio.com)

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The potential growth of video streaming market is derived by the growing revenue the high consumption towards entertainment in the market. This led to the intense competition in the OTT (Over-the-Top) industry, as OTT players focused their business with the subscription model that competed both for content and subscribers. Among the competitors, Vidio placed as the third rank based on the new paying subscribers in Southeast Asia. However, despite the growth of the new subscribers, the existence of weekly subscription still became a challenge to Vidio along with its impact that has tendency to result churn and unhealthy subscription cycle. To formulate strategies to enhance user retention, researcher use Consumer Decision Journey framework (McKinsey, 2009) to analyze the behaviour of the existing and ex-users of Vidio, and Customer Switching Behaviour (Keaveney, 1995) to identify the switching factors. This study conducts a quantitative method through online questionnaire and qualitative method through online interview. Those frameworks show alignment in identified the main factors of user willingness to keep subscribing and the switching factors which are content offerings, price, convenience, attractive interface and brand trustworthiness. This lead to the proposed solution based on the framework used, TOWS matrix and Diamond Strategy Model which focus on improving the competitive advantage of Vidio’s service quality including its content offerings which requires completeness, exclusiveness and attractiveness, as well as product development of feature improvement, personalized recommendation, resolution quality to improve user experience, also strengthening strategic partnership and company driven marketing to enhance the brand attractiveness that will reflect on the consumer-driven marketing while balancing the price offers with the benefit provided.  Lastly, implementing a new subscription pricing strategy by creating a special monthly subscription for high-demand content is needed to result in a healthier subscription lifecycle and to avoid churn users from weekly subscription.