WHY COMPANIES STILL USE MARKETING EMAIL? I Indonesia Research Institute Japan

WHY COMPANIES STILL USE MARKETING EMAIL? | Indonesia Research Institute Japan

This post is written by Raffi Alfananda, Market Research & Business Development at PT Indonesia Research Institute Japan Jakarta, a global management consulting firm on business strategy.”

 

Email is an effective marketing channel using emails to promote the products and services of your business, direct marketing and digital marketing. It can help your clients to grasp your marketing automation efforts or integrate your current products. It is also important for you to build a marketing strategy through the creation of leads, brand awareness, relationships and satisfaction of customers with purchases through different kinds of emails.. It can also be a more supple sale to inform your viewers of your brand’s value or to make purchases for them.

 

How does marketing email work?

Email marketing allows you to target customer groups or even particular individuals. One way to do this is to offer special offers to customers for goods or services. It is easy to establish and track email marketing, making it accessible to others, even small businesses. For instance, a newsletter may be added to your website. When you register, you can send newsletters to a wider audience. Subscribers can also be sent to newsletters from the social networks.

 

The benefit of email marketing  

Using email is one of the best ways to market products and reach customers, here are some of the benefits of email marketing : 

  • Costs incurred are small 

Email marketing is arguably cheaper than other ways of marketing. Companies don’t have to spend budgets on printing costs or incentives to air products, for example on TV or on social media. Email marketing may consider investing more in automation, follow-up, and custom email assessment software. However, additional charges can be applied to send thousands of emails at once. But the cost is still much lower. 

  • Business profits will increase 

Email marketing is excellent for mandatory purchases. Email marketing drives sales, unlike other media with offers that provide attractive links and direct payments. It also allows companies to use marketing psychology to increase sales of their products.

  • Email is an effective way to provide information to consumers 

The strategy is very efficient in maintaining business and consumer relationships. Indeed, consumers are often looking for the product they want for an email marketing campaign. In addition, you also expect coupons that are of course included in email marketing to receive services specific to the product of their choice. E-mail marketing can also be used to supply consumer content.

  • Easy to integrate with certain methods of marketing 

For business people, the flexibility of email marketing is important. That refers to the business team’s ability to manage how their customers love an email. It does not make email marketing difficult because of the advantages given, which allows us to package our goods for sale by e-mail

  • increase website visits

E-Mail is a good and quick way to access the company’s website to potential customers. This definitely increases your likelihood of knowing which products are not in emails. Include a social media account share button in emails that encourage consumers to promote your corporate content on the social media channels of your social media.

 

Advantages and disadvantages of using email marketing 

Email marketing has a number of advantages as a means to market the products or services you sell. The use of this email is personal so that it can give more intense attention to customers and potential customers. Here are the advantages of email marketing: 

(+) Advantages:

  • It’s easy to use and practical

Because of the use of this email, you can send it immediately and automatically, the customers and potential customers will receive it easily and quickly without being constrained by time and place. So you need to consider the advantages and disadvantages of such emails.  

  • Directly interact with customers 

The first thing that makes email marketing better than other platforms is that email marketing is directly addressed to customers. Whether you’re doing a promotion or just a promotional email, customers will get it directly to your email inbox.

  • Reach customers broadly 

A greater reach of customers is the advantage gained from using email for promotions. If the use of other marketing by the region is limited, customers from countries other than Indonesia can be reached by email marketing.

 

 

(-) Disadvantages 

Although email marketing offers many advantages for product promotional activities, there are some drawbacks to using email. Here are some of the drawbacks of email marketing: 

  • Possibility of sent email being ignored 

Also, email marketing is a thing that customers often ignore because it is not appealing. In addition, it may be because your email marketing is not considered in any way that emails are being sent at the wrong time. Thus, send the content and timely content of your data email marketing.

  • May cause spam because of many emails are sent  

When the email we send to others is quite a lot, Google will send the email to the spam box to prevent anyone from reading it. Moreover, e-mail marketing can not usually enter customers directly.

  • Not everyone has email 

On the other hand, the use of this email is less effective if many of your customers do not have an email. You can imagine what it would be like if it turned out that the target consumers who are interested in your product do not have an email.

 

Indonesia Research Institute Japan offers all services from desk research, in-depth interview, feasibility studies  and market surveys for better understanding of any topic that your company is interested in. 

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References 

Email Marketing: Pengertian, Strategi, dan Tips Suksesnya. Glints Blog. (2020, April 6). https://glints.com/id/lowongan/apa-itu-email-marketing/#.YKchbb4zbIU. 

Webadmin. (2020, March 17). Bagaimana Cara Kerja Email Marketing Dan Optimasinya. Jasa Konsultan IT – Surya Semesta. 

https://suryasemesta.com/bagaimana-cara-kerja-email-marketing-dan-optimasinya.html.

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Authored by : Fitri Aulia | 22 December 2020

Recent Property Development

The Covid-19 pandemic has dealt a quite severe blow to the property business sector in 2020. During the PSBB period, business activities were very sluggish and it can be said that some business actors suffered severe losses.

However, entering the new normal period, the economic activity in several sectors including property has begun to revive from the previous period. The role of the government triggers the revival of Indonesia’s property business activities.

 Government Stimulus

The assistance provided by the government is in the form of subsidies or incentives for interest subsidies to debtors of public housing credit (KPR), which is contained in the Minister of Finance Regulation (PMK) Number 138 / PMK.05 / 2020 and amendments to PMK 85 / PMK.05 / 2020 regarding the guidelines for providing interest subsidies in the effort to implement the National Economic Recovery program.

In early March 2020, the Government decided to increase the allocation of housing financing assistance by IDR 1.5 trillion for Low-Income Communities (MBR). This was stated by the Director General of Infrastructure Financing of the Ministry of Public Works and Public Housing (PUPR) Eko Djoeli Heripoerwanto in a webinar, Wednesday (29/7/2020).

In addition, the Government also has Bank BTN as their partner-collaboration to implement their OMH Program aimed at Low-Income Communities (MBR) with low interest rates and low installments for the purchase of a prosperous tread house and a welfare apartment.

Bank BTN noted, in 2015 they have provided housing financing assistance totaling 474,099 units. Then in 2016 as many as 595,540 units, in 2017 to 666,806 units, in 2018 to 755,093 units, and in 2019 to 735,749 units.

As of September 2020, BTN has provided home ownership credit support (KPR) of 93,448 units which cost as much as Rp. 15.6 trillion. These support provided by BTN is significant for the survival of the business property sector.

BTN commitment on supporting business property has not slackened. In fact, during the pandemic, BTN continuously provides support for the government program.The distribution of subsidized KPR is still a mainstay of BTN for the One Million Houses program.

 

Source : Bank BTN (visit : https://www.btn.co.id/id/Conventional/Product-Links/Produk-BTN/Kredit-Konsumer/Pinjaman-Bangunan/KPR-BTN-Subsidi)

Positive Trend in Q3  2020

There is a positive trend during Q3 2020 after it drastically dropped earlier in the year, indicates there is potential for the revival of Commercial Property Demand in Q4 2020 and the next Q1 2021.

Source : Bank Indonesia

Hotels and convention halls are two sectors whose demand has risen quite drastically in the Q3 after falling badly in the previous quarter. This demonstrates positive potential for its development in the future. Meanwhile, the demand of apartment remains low and still struggles to revive until now.

Growth of Commercial Property Demand in Jabodetabek

Overall in Jabodetabek, the commercial property sector also experienced a positive increase during Q3 2020.

In Jakarta, all commercial property demands show positivism with hotels being the most prominent in their development at Q3 2020. After previously shows a negative number, the total index in Q3 has at least increased to be positive.

Source : Bank Indonesia

 Meanwhile, the growth in the total commercial property index jumped drastically in Bogor, Depok and Bekasi. Same case with Jakarta, its hotel sector are also the most prominent in reviving, at least in the Q3 2020.

Source : Bank Indonesia

As we can see on charts above, the hotel segment shows a great improvement in demand. This was driven by various kinds of promotions offered by hotels to adapt in this situation such as providing huge discount, staycation packages, working from hotels offer, and wedding reception packages.

Why Hotels?

As Indonesia gradually eases lockdown restrictions, the hotel occupancy rates across the country including Jakarta, have slowly started to pick up. However this is not without several efforts and sacrifices driven by people in the hotels sector to improve and revive the hospitality business sector in Indonesia.

To get through this hard times, efficiency and innovation are the main keys. Therefore, there are several trends created specifically to adapt to this era. Hotels competing with each other to offer a flood of discounts. To further intensify its sales strategy, there are several e-commerce platforms that is becoming a  great place to advertise rooms and staycation packages, such as Traveloka. The Buy Now Stay Later also sticks to this trend.

Hotels discounts on Traveloka (Source : Traveloka)

Another new trend is the Work From Hotel (WFH). As you might know, the abbreviation of WFH was initially stands for Work From Home. To connect the dots, Working From Hotel then exist and created because there are more and more office workers are getting bored with the atmosphere of their house and desperate to look for a new atmosphere. It’s a trend where hotels prepare rooms, complete with equipment and facilities to work (e.g : Wi-Fi , stationer, and free printing facilities,etc).

Source : Instagram @harrisfxsudirman and @arunasenggigi

During the transitional PSBB period, indoor wedding receptions are allowed to be held again after previously was banned temporarily due to the massive increase of the Covid-19 spread. This becomes the opportunity that triggers the revival for the hotel business.

However, this permission is also accompanied by the requirement to fulfill and comply with the health protocols made by the government. These includes the limitation of attendees to a maximum of 25 percent of normal capacity. Then, the seating distance for visitors is set at least 1.5 meters. Visitors are also prohibited from passing by or changing seats. The eating and drinking utensils must be sterilized, while the serving of food is prohibited from using a buffet. Last but not least, the wedding staffs are required to wear a mask, face shield and gloves.

One of the breakthrough in this trend was the make of  “Virtual Wedding” ever since June 2020. As this was the case held by The Sunan Hotel Solo, which offer a virtual wedding service package for 44.5 million. The event is only attended by the couple and their family members, meanwhile guests are able to attend the wedding virtually through various platforms such as Zoom, YouTube, Facebook and Instagram, while enjoying food sent by the hotel to their residences.

                                                                                                          Source: The Sunan Hotels Solo

Finally, we might conclude that the property business in Indonesia has the potential to develop more despite the massive impact it has taken from pandemic outburst. Combining the stakeholders effort and the government’s support to stimulate this sector are expected to help revive the business sector in the future.

 

References

Bank Indonesia. (2020). Perkembangan Properti Komersial (PPKOM).

Kementerian Pekerjaan Umum dan Perumahan Rakyat. (2020, November 3). Tingkatkan Kepemilikan Hunian Layak, Realisasi Program Sejuta Rumah Hingga Akhir Oktober 2020 Capai 601.637 Unit. Retrieved from https://www.pu.go.id/berita/view/18970/tingkatkan-kepemilikan-hunian-layak-realisasi-program-sejuta-rumah-hingga-akhir-oktober-2020-capai-601-637-unit

Kementerian Pekerjaan Umum dan Perumahan Rakyat . (2020, January 3). Capaian Pembangunan Rumah Tembus 1,25 Juta Unit. Retrieved from https://perumahan.pu.go.id/berita/view/227/capaian-pembangunan-rumah-tembus-1-25-juta-unit

Kompas. (2020, July 29). Alokasi Tambahan Rp 1,5 Triliun untuk Perumahan Terkait 3 Program. Retrieved from https://properti.kompas.com/read/2020/07/29/191334021/alokasi-tambahan-rp-15-triliun-untuk-perumahan-terkait-3-program?page=all

BUMN inc. (2020). Target Penyaluran KPR Bank BTN Naik Menjadi 300.000 Unit Per Tahun. Retrieved from http://bumninc.com/target-penyaluran-kpr-bank-btn-naik-menjadi-300-000-unit-per-tahun/?more=2

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