KAMIST

[GoTo: Go Far, Go Together]

Hello Optimist People!

We are back again with KaMIST! Every week on Thursday we’re going to give you an insight about marketing.

[GoTo: Go Far, Go Together]

Did you know about the nation’s latest hot topic where our 2 local unicorn companies, Gojek and Tokopedia, had decided to merge into unity under the name GoTo? 

Both companies, Gojek and Tokopedia, are trailblazers in Indonesia’s digital sector, and have been fostering Indonesian pride from the outset, even integrating their brands with the nation’s success. 

This enthusiasm inspired many local brands across many categories: from micro-enterprises to new technological startups, it leads local enterprises and many copies Gojek and Tokopedia’s story of ‘made in Indonesia.’ Thus this combination can rekindle this spirit and strengthen it.

What are the differences they bring with the presence of GoTo?

Well, as a progressive startup, the corporation does have strong ambitions in reaching its goals. 

1. Before the end of the year, the company is targeting an IPO. The domestic stock market is prioritized by GoTo to hold an IPO. Gojek is currently still studying several regulations to take the floor on the stock exchange.

2. The objective of attracting MSMEs is to empower partners. Gojek had 2 million drivers and 900 thousand small and medium-sized businesses before its formation. Meanwhile, Tokopedia has 10 million trading partners and 100 million active users.

3. The GoTo Group brings together e-commerce services, food, and goods delivery, transportation, and finance. In addition, GoTo oversees GoTo Financial, including GoPay, as well as financial services for business partners and business solutions.

4. In a decade, GoTo focuses on collaboration to create an open ecosystem. 

5. They also plan to create sustainable business development by utilizing a variety of initiatives and commitments.

The existence of GoTo can be a stimulus for the development of national digital talent, as Mr. Nadiem Makarim (Founder of Gojek) stated. Furthermore, it can be proved that Indonesia can develop ideas for technological development. 

The five plans will be pursued by GoTo until 2031. The valuation of GoTo, based on data from CB Insight, might reach a value of USD 40 billion. The estimated value of each company is US$10 billion before the merger. The corporation aims to enhance its valuation after the merger. A higher value would certainly reflect if the mergers are able to demonstrate to potential investors on how powerful they can be and in which new segments they can compete and grow. The integrated combination of the two enterprises will open up several synergies to each other and will probably strengthen them in their own industries. 

Hopefully, both companies will continue to thrive and coexist with the visionary goals above as stand-alone brands in the reinforced ecosystem.

Source: CNBC, KataData, Campaignasia

Wanna get more insight on marketing? Tune in every Thursday for more KaMIST!

You can reach us at:

LINE: @mistfebui

Instagram: @mistfebui

Twitter: @mistfebui

Facebook: MIST FEB UI

LinkedIn: MIST FEB UI

#optiMIST

General Info:
publication@mist-febui.com

Partnership:
partnership@mist-febui.com

Location:

Management Student Society Office, Student Center Building, 2nd Floor Faculty of Economics and Business, University of Indonesia. Depok, Indonesia

The idea of delivering the most value for the consumer has evolved over the years. As we know, the best marketing strategy is cetera desunt for adaptive future-leader mindset that uncertainly evolved over decades. Companies began to use various promises in effort to persuade and attract customers. The fiercely increasing conditions of competition added the popularity of the concept of “brand” and “advertisement” by adopting the concept of neo-marketing and elaborate them with psychological terms. Albeit, all emotion influences consumers personal relationships, business choices, and buying decisions. The emotion itself has situational and reactive qualities, as well as satisfaction and expectations formed over lifetimes of experiences and interactions.

When a boy goes to an ice cream parlor or restaurant, he will feel befuddled. Choosing what he is going to get, that’s the thing that he despises. Would chocolate chip or strawberry ice cream please him better? Cheeseburger or fried chicken? He feared that what he selected will not give him as much pleasure as the other option would give. What he doesn’t choose could provide a higher sense of pleasure than the one he chose. One interesting finding utilized by neuromarketing is that people really don’t want to lose out. People are just as worried about what they might lose as to what they might gain.
In the meantime, one of the biggest challenges that marketers deal with is customers’ expectations in the pre-purchase phenomenon where the consumers haven’t fixed their buying decision yet. To tackle the challenge, many companies are competing to build relationships with their customers, with the expectations that they will be able to provide the best customer experience for specific individuals. Therefore, the company must be customer-centric to carry out a successful marketing strategy in order to be noticed by consumers and to forge a brand identity.

According to McKinsey (2019), by making a fundamental change of mindset of focusing on the customers, companies gained significant enhancement on several aspects. Along with operational and IT improvements, companies generate 20 to 30 percent uplift in customer satisfaction, a 10 to 20 percent improvement in employee satisfaction, and economic gains ranging from 20 to 50 percent of the cost base addressed in the various journeys.

To overcome these challenges, companies have to understand consumers’ behavior and expectations. Hence, companies should put a bigger concern towards consumers’ buying-cycle from awareness to its advocacy. By implementing the concept of Neuromarketing, stereotypes of the communication matters of the marketing basis will be integrated with taste of individual market itself. The more personalized the promotion, the higher the probability that the advertisement will work. It could be done by using big data to allow the company for this huge aggregation of all consumers personal information that they’ve ever revealed to build a precise representation of who they are, now, more than ever before. Data and insight are not delivered to consumers as a whole but individually by delivering the most value to the customers with a very specific scope based on how they think.

In order to win in today’s marketplace, companies must be customer-centered, to the point that ideally, each individual customer’s values are taken into an account to derive the value that they are truly seeking. In essence, by generating consumer reactions, and treating them not as reactionary receptacles of marketing strategies, but as each their own person with differing individual values. Therefore, reinforcing belief is a very important matter for marketers that influences consumers experience. They must deliver superior value to their target customers traditionally and digitally with knowledge of neuroscience marketing strategies combined. Neuromarketing will surely strengthen customer’s contentment of a product itself.