Proposed Marketing Strategy for Sales Increase for PT Aino Indonesia

: Tourism is one of the key drivers of the Indonesian economy, and the B2B (business-to-business) segment is a critical component of the tourism industry. A 2019 report by Indonesia Investments summarized that President Joko Widodo of Indonesia emphasized that the tourism industry should become the biggest industry in Indonesia in terms of foreign exchange earnings at the time. Indonesia with its huge number of islands (more than 17.000 islands) has so much potential ranging from beautiful beaches and countryside, flora & fauna, diving spots, wildlife, culture, culinary, historic relics as well as vibrant city life. Its inability to be able to realize its full potential and exploit it is the challenge for Indonesia to grow. Aino Indonesia is a B2B company focusing on internet technology and creates solutions for different industries, one of which is the tourism ticketing system. Aino as an innovation technology company realizes that the world's challenges during pandemic are getting higher, therefore always creates the latest innovation to provide the best value for clients. Currently, Aino has not achieved its annual revenue target. With the case in mind, Aino needs a marketing strategy to increase its sales revenue. The investors of the company are expecting Aino to reach its promised revenue projections as there will be a huge change of the government and political structure in future years that might be a huge obstacle. The results of the study show Aino Indonesia require the development of the right strategy to maximize all internal and external aspects. On internal factors, Aino Indonesia has advantages ranging from customized product development, multi apps linked environment, university network, multiple offices, salespeople with personal connections, product team experiences, and payment gateway license from Bank Indoensia. While in the external factors, Aino Indonesia has a great opportunity by looking at the increase in tourism trends in Indonesia, increase of spending ability of local people, increase in ability of using technology and ticketing system, supporting legal influences from the government, and little impact to the environment due to less paper being used to create a ticketing gateway. Therefore, Aino Indonesia needs the right strategy to increase its sales.


INTRODUCTION
Tourism is one of the key drivers of the Indonesian economy, and the B2B (business-to-business) segment is a critical component of the tourism industry. However, the COVID-19 pandemic has had a severe impact on the tourism sector. The pandemic has disrupted the travel plans of millions of people and forced many businesses in the tourism industry to shut down temporarily or permanently. As the world slowly recovers from the pandemic, it is important to analyze the state of the tourism B2B industry in Indonesia, the changes that have taken place, and the outlook for the coming years. As shown in the data below, there was a constant increase of revenue from the Indonesia tourism industry and a sudden decrease in the revenue during 2020, the year where Covid first hit Indonesia (CEIC Data, 2023). The data also ended by 2020 and has not been updated since then. The data shows that there is a huge potential to the tourism industry with an ever-growing Indonesia tourism that has not been fully exploited. In 2022, Indonesia achieved the 32nd of the Global Tourism Index, which is up 12 places compared to the previous year out of the 117 countries in the 2021 Travel and Tourism Competitiveness Index (TTCI) (PWC, 2022). According to President Joko Widodo, this is achieved amidst the Covid 19 pandemic. He further added that the rank increase is hoped to improve Indonesia's reputation in the eyes of the world, so investors are expected to invest in the tourism sector, especially in the five super-priority destinations; Lake Toba in North Sumatra, Borobudur in Central Java, Mandalika in West Nusa Tenggara (NTB), Labuan Bajo in East Nusa Tenggara, and Likupang in North Sulawesi.
In order to increase the revenue from tourism in the country, the deputy of tourism mentioned that Indonesian tourism will focus on three main ideas; culture, nature, and artificial attractions. The targeted highest growth will be from cultural tourism, where Indonesia will provide cultural attractions and events to support them. The deputy expects to run a total of 100 grand events in 2023. (Kontan.co.id, 2023) Aino Indonesia is a B2B company focusing on internet technology and creates solutions for different industries: (1) Ticketing system for public transportation including account-based ticketing, multi-trip solution, travel planner, and MAAS; (2) Loyalty solutions for application and web including redemption, point earning-burning, data collection, and gamification; (3) Tourism ticketing solution including tariff management, on-site and online ticketing system, payment, B2C and B2B ticketing, and trip planner with integration; (4) Business Insight services including data collection, processing, analytics, and presentation; and (5) Payment Gateway solution that includes server-based and chip-based solution, reconciliation, facilitator, and merchant aggregator solution.
Aino as an innovation technology company realizes that the world's challenges during pandemic are getting higher, therefore always creates the latest innovation to provide the best value for clients. Aino has experience managing more than 16 million cashless transactions in various public infrastructure to retail. The great leadership of the founders and backed by advisors brings the company to become one of the most competitive payment gateway and ticketing companies in Indonesia. Aino Indonesia is currently facing a high revenue target. Currently, Aino has just managed to achieve its annual 2023 by 16% as of May 2023. With the case in mind, Aino needs a marketing strategy to increase its sales revenue. The investors of the company are expecting Aino to reach its promised revenue projections as there will be a huge change of the government and political structure in future years that might be a huge obstacle. The research output is to help Aino in setting a business and sales strategy to achieve this feat.

DATA METHODS Data Collection
In identifying the problems that occur in Aino, this study collects data that is divided into two, primary and secondary data. Primary data was obtained using interviews, and for secondary data using the interviews, articles, journals, or related research.
 Primary Data To obtain primary data, this research uses qualitative methods that uses in-depth interviews. In collecting the data, interviews can be conducted face-to-face, telephone, video conference, or via digital platforms such as email or chat. During the interview, the researcher uses the interview guide to guide questions or topics to be discussed but can also ask open-ended questions to get more free and natural answers from participants. After the interview is complete, the data that has been collected can be analysed and used to gain a deeper understanding of the topic under study.
 Secondary Data Studies from journals, articles or related research are used to find secondary data in this study. This research also gets the information from internet and other source. Secondary data used to support findings and analysis.

Data Analysis Method
In this research, the use of quantitative analysis methods in coffee cafe marketing provides advantages in producing measurable and objective data, which can be used to inform better business decisions. However, it is also important to remember that quantitative analytical methods cannot provide an in-depth understanding of customer motivation and perceptions. Therefore, a combination with qualitative analysis methods, such as in-depth interviews or participant observation, can provide a more holistic and comprehensive insight into consumer behaviour and preferences in the coffee cafe business.
 Qualitative Analysis The qualitative data were obtained through an interview with the Operations Manager, General Business Manager, and three Business Managers from different departments; tourism, parking and highway, and transportation. This research implements semi structured interviews that describe the internal environmental conditions of Aino.

INTERNAL ANALYSIS Segmenting, Targeting, and Positioning Analysis
Target marketing involves identifying the most lucrative market segments, allowing businesses to concentrate their efforts on one or a few of these segments (Camilleri, 2018). In doing so, they can develop products or services tailored to meet the needs of each selected segment. This targeted marketing strategy differs from mass marketing, where a company produces and distributes a single product to all consumers, and from product differentiation, where a company offers a range of products to a broad market. In determining the STP of Aino Indonesia, an interview was conducted with the senior business manager and gm sales and marketing, the segmentation is as follows:  Geographic o Location: Java, Bali, and Sumatra o Shopping frequency of one time and for long term relationship, because the system is expected to be used on a long-term basis. The targeting of Aino is companies that uses and purchases the system, mostly decision makers that have a high position in the company and also as the most deciding decision maker. While the positioning is focusing on ticketing system solutions for public transportation, tourism, parking, as well as the supporting system for the ticketing system mentioned; loyalty system and data insight analysis services. Aino targets the government and private sectors that are enterprise and medium level companies.

Marketing Mix 7P
The marketing mix, often referred to as the 7Ps of marketing, encompasses various components that together create a comprehensive offering for customers. Originally, it consisted of four elements: product, place, price, and promotion (Kotler et al.,2023). However, as the marketing field evolved, three additional elements were incorporated: people, process, and physical evidence (Booms et al., 1981). The marketing mix serves as a valuable tool for customizing products and services to align with the specific needs and desires of the target customer segment. Aino has a ticketing system that provides the tourism industry needs. It has features that support different division needs. Several system needs includes; ticketing configuration system (online booking, onsite booking, payment, regular, group and, combo ticket, and membership), merchant configuration (ticket price, and discount configuration, and agent management access level), payment and marketing management (chip based e-money, server based e-money, integration with online travel agent, and ticketing and membership validation), reporting (booking, validation, payment detail, member detail, B2C tracking, and summary report), and lastly data processing (data analisis, business insight, visitor management, and ERP integration)

Place
Aino is situated at two cities, Yogyakarta (UGM Campus Complex) and Jakarta (Samator UGM Jakarta) where each of the offices has its set of team members from different divisions to cater to customer needs.

Price
Aino has several ticketing system business model pricing:  Ticketing system subscription fee of minimum Rp10.000.000 per month.  Payment gateway fee of 2% per transaction with minimum charge of Rp10.000.000 per month for payment gateway only.  Project based ticketing system that creates a system according to client request and is based on a one-time project.

Promotion
Aino does promotion through direct marketing, canvassing, and targeted SEO (Search Engine Optimization) to the targeted market segment, the tourism industry system decision makers and users.

People
Aino has different divisions supporting each other: Business & marketing team engages with customers directly with the responsibilities of proposals, pricing, and engagement to the client to ensure the closing of the targeted clients.

 Legal Team
Legal team is responsible for the due diligence of clients and partners before partnering with Aino.  Product Team Product team is responsible for creating the system that the market desires through research of customer voice and newest development from competitors.

 Operations Team
Operations team is responsible for the implementation of products, technical needs, and the after sales for the company to gather customer needs to be followed up by the business team afterwards. The divisions work cooperatively in each project with dedicated PICs that handle specific clients to ensure there is no overlapping between projects. The process of purchasing a service from the company: 1. Contacting the company with inquiries 2. The business and product team will devise a solution to tackle the needs of the prospective clients 3. Business team will present solution to the client 4. If the client agrees to the solution, a quotation will be sent to the client with the details of job scope and timeline of implementation 5. Clarification, negotiation, and dealing will be done with the business team 6. The business team will kick-off the project to the product and operations team as the implementer and delivery of the project.

Physical Evidence
Aino focuses on the experience of the user, therefore focuses on creating a good UI and UX in its products. Aino also has a better website experience compared to its competitors in describing the products, company profile, etc. Aino prints brochures to deliver to partners and prospective customers in expo and gathering that describe its endto-end solution starting from payment gateway integration to parking and tourism solution, also to the public transportation services solution integration to create a combined solution for customer planned journey services. Barney (1991) proposed a set of stages that analyzes whether a certain resource is valuable, rare, and imitable, and whether the organization is taking advantage of the resource. The analysis of VRIO then leads to the strategic implications that can be implemented in the company such as competitive advantage, economic impact prediction to the business and the components of the SWOT analysis (Barney 1991). VRIO can be broken down into valuable, rare, inimitable, and organization to exploit.

Aino's Porter's Value Chain Analysis Processes
The process in Aino is that the business team communicates with the clients for requirement gatherings and communicates the issue internally. The product team will come up with a solution and present it to the client. Afterwards, the business team will calculate the effort needed for the solution to be delivered and create a technical and pricing proposal. If the client agrees to it, then the client can create a confirmation letter and Aino can start delivering its solutions.
There is an internal approval system that takes a long time due to it being confirmed to upper managerial levels before the project can be proposed to the client, slowing down the client processing time.
Product Flow Being a system company, the product will be delivered to the client through the setup and implementation of the solution to the client's ticketing hardware. If the hardware is not present yet, then Aino will propose hardware bundling that can integrate with such hardware. The solution will then be implemented on site by the operations team. The operations team will then appoint a dedicated PIC that will handle after sales and further custom requests by the client. The process is tracked internally by project admins that creates reports during implementation and after sales if any issues arise. The dedicated PIC is in charge of overseeing the whole process and there are certain hierarchies within the company that determine the decision-making process of certain issues.

Financial Flow
The financial flow of each project is handled by the finance team that oversees the end-to-end process of project financial health, starting from cash outflow of project employees and equipment, cash inflow from client payments, and financial report creation for internal reporting and shareholder needs.

Information Flow
The information flow within the company is divided to 2 flows:  Requirement gathering & before project closing During this step, the business, product, and operations team communicate intensely to create the proposal suiting customer needs. After that, the business team will translate the proposed solution into a presentation. The negotiation and other agreement will be done between the business team to the client, on the FYI information basis to the product and operations team.

Incentive Systems
The business team will earn incentives for closing a project with the client. After the project is handed over to the product and operations team, then the KPI of these teams is to implement and deliver the product according to the SLA discussed before sending the proposal to the client. After reaching the desired KPI, the product and operations team will earn an amount of incentive from the company. The company also has an overall company achievement incentive, where the incentive is distributed annually according to the company's assessment of each team's achievements as well as contribution.

Governance
Aino is open to cooperation to many companies with a measurable risk and gains. When a partnership offer is accepted, there is a team dedicated to analyze the offer and do the due diligence needed. After summarizing the data, it is presented to the GM Business and COO for further assessment and decision making.

EXTERNAL ANALYSIS
It is crucial to analyze the impact of the external environment on the performance of the organization as a whole (Ruye, 2021). Due to the importance of external factors, several analyses done will be PESTEL analysis, customer and market analysis, and Porter's five forces analysis. Organizations consist of individuals collaborating towards a shared objective in order to accomplish desired objectives.

PESTLE Analysis
The macro environment encompasses all the elements and influences within the broader society that also impact the immediate surroundings. These factors are not directly controllable by the organization, yet they can significantly impact organizational performance. These factors can be classified as political, economic, sociocultural, technological, legal, and environmental.

Economic
The economic environment has a huge impact on the tourism industry as the economic impacts to how people are willing to spend for entertainment and tourism. The economic aspect determines the segment of people visiting the site. Middle to low segment targets a cheaper entrance fee as higher segments are willing to spend more. Currently, the government targets the earnings of US$7,38-13,08 billion as of 2024 (Media Keuangan Kemenkeu, 2023). On the other hand, there is an increase in the regional minimum wage as of 2023 all over Indonesia, which can increase the willingness to spend in the tourism segment (Merdeka, 2022). The ministry of finance has recorded the average propensity to consumption ratio has increased in February 2023, compared to the month before Kontan, 2023).

Social
The social aspect of customers visiting the tourism site influences greatly as technology literacy and economic standing. Younger and middle to high segment generations are more used to the online world, thus online ticketing. While the older and lower segment might not be as technology literate. According to Templafy (2019), there's a huge disparity in attitudes towards technology where older generations are used to using technology as it is intended, while younger generations are looking at technology as a means to develop themselves, creating endless possibilities with the technology at hand. This shows that different social segments have already have the minimum knowledge to utilize the digitalized ticketing system.

Technological
The technological aspect plays a huge influence on the tourism industry as it supports the technology capability of the customers visiting the site. Several aspects include the availability of internet connection, capability and coverage of the internet service provider as well as capability of server provider to the tourism site. Luckily, the internet has spread quite evenly in dense population areas where tourism needs the system to support the site. As of January 2022, Indonesia has had a total of 204.7 million internet users from the total population of 270 million (Statista, 2023).

Legal
The legal environment has little influence on the B2B tourism industry as most state-owned tourism spots are handled by operators appointed by the government (TWC, 2023). The operators then are given a certain revenue target and are free to implement the strategies and operations of the site. The government also imposes certain standard regulations such as the domestic content level and standard due diligence. On the other hand, there is even less influence on the privately owned tourism sites. The government only imposes laws such as legal document approval and safety regulations (Kemenparekraf, 2023). Several documents need to be fulfilled such as minimum local content rate, ISO standardization, etc.

Environmental
The system eliminates the need of the paper usage in tourism segment. Therefor eliminating any environmental concerns about trees and papers. In addition, the system only needs the support of internet, server, and manpower programming, which is more environmental friendly if coupled with the power generation from renewable energy.

Customer Analysis and Market Analysis
Customer analysis is typically the first step in the process, which entails examining the general characteristics of the market, followed by a comprehensive exploration of customer needs and their corresponding traits and behaviors. Current characteristics of the current clients' information is from the interview to Aino management and the observation to several clients handled by Aino. The segmentation mostly implemented Aino's solution is the government sector that provides public services; transportation, tourism, and parking. The interview results in Aino's product are still barely satisfactory compared to other competitors. The product development of Aino is considered to be lengthy and still needs fixing along the way. The business models provided by Aino such as the option to purchase a system license and the subscription model gives a flexibility of partnership programs. On the other hand, Aino has several competitive advantages compared to their competitors. Aino is an established company that has an integrated environment to many superapps from public transportation, loyalty system, parking system, payment gateway, and ERP system. Aino also earned the payment gateway license, making it a licensed payment integrator. Aino is also backed by UGM, one of the best state-owned universities in Indonesia. Aino is also very experienced in creating custom solutions. Competitor Analysis Competitive analysis is the method used by a company to define and comprehend its industry, identify its competitors, evaluate the strengths and weaknesses of its rivals, and anticipate their future actions (Zahra et al., 1993). Competitive analysis encompasses two main components: competitive intelligence, which involves gathering data on competitors, and the subsequent analysis and interpretation of that data to inform managerial decision-making. Compared to other competitors, Aino still needs development and implementation time to cater to any customer needs.
Ready to use ticketing system with easy onboarding, including registration, payment, and implementation. Goers implements the SaaS concept where customers are able to use the full features of the system, while paying a standard price set by the company.
By doing this, Goers can focus on developing its core product and reduce the need to create customizations that will use development resources.
Ready to use ticketing system with easy onboarding, including registration, payment, and implementation.
Loket.com implements the SaaS concept where customers are able to use the full features of the system, while paying a standard price set by the company.
By doing this, Loket.com can focus on developing its core product and reduce the need to create customizations that will use development resources.

Place
Aino is situated at two cities, Yogyakarta (UGM Campus Complex) and Jakarta (Samator UGM Jakarta) Goers is situated at Menara MTH, MH Thamrin, South Jakarta Loket.com is situated at Pasaraya, Kebayoran Baru, South Jakarta Price  Ticketing system subscription fee of minimum Rp10.000.000 per month.  Payment gateway fee of 2% per transaction with minimum charge of Rp10.000.000 per month for payment gateway only.  Project based ticketing system that creates a system according to client request and is based on a one-time project.
 Ticketing system fee of 10% per ticket with minimum charge of Rp5.000 per ticket  Payment gateway fee of 2% per transaction with minimum charge of Rp10.000.000 per month for payment gateway only.
 Ticketing system fee of 5% per ticket with minimum charge of Rp3.000 per ticket  Additional cost of payment gateway of 3.5% from the amount of transaction done.
Promotion Aino promotes its system through website SEO, direct selling, portfolio building, networking through associations, and referrals Goers promotes its system through website SEO, direct selling, portfolio building, networking through Loket.com promotes its system through website SEO, direct selling, portfolio building, and referrals from known contacts and company groups. associations, and referrals from known contacts and company groups.

People
Aino has team members that are client facing from three main departments: business, product, and operations. Compared to other competitors, Aino has less team members that focuses on fulfilling client needs.
Goers has a dedicated PIC for enterprise accounts. While they also have a dedicated 24 hours call center that handles tickets submitted by clients. The team is divided into several divisions according to customer needs.
Tiket has a dedicated PIC for enterprise accounts. While they also have a dedicated 24 hours call center that handles tickets submitted by clients. The team is divided into several divisions according to customer needs.

Process
The process of purchase in Aino is through several steps:  Requirement gathering of needs  Presentation of proposed solution and pricing  Negotiation and adjustments to proposal  Re submit proposal  Live demo and implementation of current clients.  Agreement letter  Implementation according to proposed and agreed upon timeline.
The process of purchasing for enterprise level system in Goers is through several steps:  Self-onboard ticketing system online  Contacting the customer service  Requirement gathering by business team  Proof of concept implementation with live demo onsite  Quotation of pricing  Agreement letter  Implementation according to proposed and agreed upon timeline.
The process of purchasing for enterprise level system in Loket.com is through several steps:  Self-onboard ticketing system online  Contacting the customer service  Requirement gathering by business team  Proof of concept implementation with live demo onsite  Quotation of pricing  Agreement letter  Implementation according to proposed and agreed upon timeline.

Physical Evidence
 Aino's head office is in Yogyakarta and it has a branch office in Jakarta.  Aino has a SEO supported website that directs customers with ticketing needs.
 Goers has an office in Jakarta.  Goers has a SEO supported website that directs customers with ticketing needs.  Goers has a self-onboarding website that provides customers an experience of directly testing the system provided.  Goers has live demo accessible online  Loket.com has an office in Jakarta.  Loket.com has a SEO supported website that directs customers with ticketing needs.  Loket.com has a self-onboarding website that provides customers an experience of directly testing the system provided.  Loket.com has live demo accessible online

Porter's Five Forces Analysis
Goyal (2020) mentioned that Michael Porter's model of competitive advantage, known as the five forces model, presents a persuasive perspective on how a company can gain a competitive edge within a specific industry. It suggests that by harnessing five crucial industry forces, bargaining power of buyers, bargaining power of suppliers, the threat of substitutes, the threat of potential new entrants, and the threat of existing competition.

Power of Buyers
The buyer has a high bargaining power as there are only several key players in the industry. High

Power of Suppliers
The suppliers of Aino's system are cloud server providers, electricity providers, internet service providers, complementary hardware providers, and developer employees. The suppliers of the system have high bargaining power because the industry is segmented and there are only several key players known in the industry. While the system is created in house, developers play a huge role as the system can only be created by the employees.

Threat of Potential New Entrants
There is a low threat of potential new entrants due to the industry being highly segmented with high investment cost. While competitors in the industry have already held key accounts that have little chances of substitution.

Threat of Substitutes
There is little to no threat of substitutes due to the system being highly customized and clients have invested in companies that have implemented the system.

Existing Rivalry
Existing rivalry is very difficult as system users in the B2B segments have rooted deep within. Furthermore, through the aggressive client acquisition and product implementation from competitors, there is a slim chance of acquiring new clients.

FORMULATION SWOT Analysis
SWOT Analysis is an effective tool utilized in organizations for strategic planning and management. It enables the development of organizational strategies and competitive strategies (GÜREL, 2017). SWOT Analysis is a straightforward yet impactful tool that allows organizations to assess their resource strengths, weaknesses, market opportunities, and external threats.

Internal
Strengths  Aino has the support of the Gama Multi Group, which is the business segment of UGM. This creates a competitive advantage for the portfolio of Aino and the relationship referrals.  Aino has an excellent business and operations team that can quickly tackle customers' needs. This creates an advantage to the retention and acquisition of clients.  Aino has different venture capitals that can support its business and provide valuable insight and support.
Weaknesses  There is little control to the product team that causes the product to be difficult to monitor. This way, implementation to clients often doesn't meet the required target timeline, which reduces customer trust.  Buggy and underdeveloped products create problems that cause clients to submit complaints, ultimately dropping the solution and migrating to other providers.  Internal communication and approval process that takes a long time, causing the customer proposal process to be halted.

External
Opportunities  The government is supporting the growth of the tourism industry, thus leading to the need for a ticketing system.  Aino has many partners that support the ticketing system environment  Aino has worked with reseller partners that can help with enterprise sales Threats  Focusing on government and state-owned companies, Aino faces a lot of challenges from the changing leaders (president, the ministry, and local government)  Competitor doing rapid expansion with better product  Competitor has many experiences in different segment of event management due to its compatibility to any event size

Proposed STP
Referring to the analysis above, Aino can target the segmentation of tourism site operator clients with a high budget and high customer traffic. There is no change to the current STP that has been targeted with a few additions. The STP can be broken down as follow:  Segmenting: o Geographic  Location: Java, Bali, and Sumatra for Onsite Clients  Location: All Indonesia for Online Clients o Psychographic  Higher managerial positions, as the decision maker  Intermediate managerial positions, as the manager of the users of the system  Supervisory positions, as the day-to-day operations decision maker  Skilled manual workers, as the user of the system o Behavioral  Shopping frequency of one time and for long term relationship, because the system is expected to be used on a long-term basis.  Targeting: o The segment strategy that uses and purchases the system is targeted segmentation, where the targeted customers are decision makers that have a high position in the company and also as the most deciding decision maker.  Positioning: o Aino is a company focusing on ticketing system solutions for public transportation, tourism, parking, as well as the supporting system for the ticketing system mentioned; loyalty system and data insight analysis services. Aino targets the government and private sectors that are enterprise and medium level companies. o Aino also targets retail tourism sites and events that need solutions from Aino where such clients can do selfonboarding with little to no support. o Aino targets event-based ticketing providers and organizers that often create events.

IMPLEMENTATION PLAN
Due to the competitive nature of the competitors and the business model, it is recommended to quickly capture the B2B tourism market. The tourism B2B industry has a high loyalty to the system being used due to its data analysis and trust to the system, as well as the product readiness. The marketing implementation plan can be broken down as the following: 1. Product 1. Competitor Product Analysis 2. Client and Market Analysis 3. Market Validation