Friday, August 12, 2011

Popular Faces on Indonesia TV Spots (2011)

STATISTICS of Advertising in Indonesia (1, 2)

Estimated total spending in advertising showed double digit increase from 2006 until 2010, even during GFC (began in 2007 and had more impact in 2008). In first quarter of this year (2011), it booked IDR 15.6 trillions (USD 1.8 billions) or rose 20% compared to the same quarter last year (IDR 13 trillions or USD 1.5 billions).

Picture 1. Advertising Spending

Tri Susanti Simangunsong, Senior Manager of Media Client Services at Nielsen Indonesia, mentioned that as Indonesia is reaching GDP up to $3,000 per capita, middle class is emerging and motorcycle and car ownership will grow aggressively. Top categories in advertising spending were:
1. Telecommunication
2. Motorcycles
3. Hair Care
4. Political Campaign
5. Cigarettes
Note: Nielsen advertising data showed that the two categories high spending were mainly to drive consumersʼ awareness and purchase intention. 

Advertising spending in media showed growth in broadsheet newspaper and television by 20% and 21% respectively. In value, spending for advertising in television (TV) was still dominant with 62% compared to broadsheet Newspapers (35%) and Magazine (3%).

Picture 2. Media for Advertising

ADVERTISING in Television

As companies advertised more in television (TV Spot), some companies didn't use Public Figure in their TV spots. However, some Public Figure remains popular as the choice of advertisers. Here are some popular faces in TV Spots:

1. Julie Estelle

Name: Julie Estelle Gasnier
Age: 22 years
Profession: Model, Actress


Product
Industry
Status
Sunsilk Co-CreationPersonal Care (Shampoo)Brand Ambassador
Telkomsel BlackBerryTelecommunication (Mobile Internet Package)Model in TV Spot
Sharp PapillonElectronics (Refrigerator)Model in TV Spot

Recent News:
  • In a relationship with Ello (an Indonesian Singer whose latest album released on July 2011)
  • Starred in a movie: "Aku atau Dia" and a television drama: "Kasih dan Cinta" (RCTI)
2. Irfan Bachdim

Name: Irfan Haarys Bachdim
Age: 23 years
Profession: Soccer Player, Model, Artist


ProductIndustryStatus
Pocari SweatFood and Beverage (Isotonic Water)Brand Ambassador
ClearPersonal Care (Shampoo)Brand Ambassador with Sherina
Suzuki Hayate 125Automotive (Motorcycle)Brand Ambassador

Recent News:
  • Got married with Jennifer Kurniawan, a German-Chinese Model
  • Chosen to take a part in Indonesia's U-23 Soccer Team
  • Starred in an upcoming movie by Hanung Bramantyo: "Tendangan dari Langit"
    3. Agnes Monica

    Name: Agnes Monica
    Age: 25 years
    Profession: Model, Actress, Artist


    Product
    Industry
    Status
    Olay
    Personal Care (Moisturizer)
    Brand Ambassador
    Vitazone
    Food and Beverage (Isotonic water)
    Model in TV Spot
    Relaxa
    Food and Beverage (Candy)
    Model in TV Spot
    KFCFood and Beverage (Restaurant chain)Model in TV Spot
    CSL - BlueberryElectronics (Mobile phone)Model in TV Spot
    MitoElectronics (Mobile phone)Model in TV Spot
    Fresh CarePersonal Care (Deodorant)Model in TV Spot

    Recent News:
    • Released a greatest hits album: "Agnes Is My Name" with additional new singles: "Karena Ku Sanggup" and "Paralyzed"
    • Won 7 nominations in "JPopAsia Music Award"
    • Won "Best Pop Female Singer" in "Anugerah Musik Indonesia" (AMI) for her song "Karena Ku Sanggup"
    • Won "Favorite Female Single" in "Indonesia Kids Choice Awards" (IKCA)
    • Rumored in progress to collaborate with Timbaland, and American Rapper
    4. SMASH

    Name
    Age
    Role
    Morgan Oey
    21 years
    vocalist
    Rangga Dewamoela
    23 years
    vocalist
    Rafael Landry Tanubrata
    24 years
    vocalist
    Dicky Muhammad Prasetya
    18 years
    vocalist
    Muhammad Reza Anugrah
    17 years
    vocalist
    Muhammad Ilham Fauzi
    16 years
    vocalist
    Bisma Karisma20 yearsVocalist

    Profession: Artist (Boy Band)


    Product
    Industry
    Status
    Kartu As
    Telecommunication (SIM card)
    Brand Ambassador
    Teh RioFood and Beverage (Tea)
    Model in TV Spot 
    Sosis So NiceFood and Beverage (Sausage)Model in TV Spot

    Recent News:
    • Released 2 singles: "Senyum Semangat" and "Aku Cinta Kau dan Dia"
    • Starred in a television drama: "Cinta Cenat Cenut" (Trans TV)
    • Nominated in "Dahsyatnya Awards 2011" in "Aksi Panggung Terdahsyat" (translation: "Best Stage Performance")
    • Four of them who are university students had to take a break from their study due to their busy schedule 
    • Rumored to copy Korean Songs, but they denied the rumor
    5. Dian Sastro

    Name: Dian Paramitha Sastrowardoyo
    Age: 29 years
    Profession: Model, Actress


    Product
    Industry
    Status
    L'Oreal
    Personal Care
    Brand Ambassador
    Nature-E
    Health Care (Food Supplement)
    Brand Ambassador with Sherina
    Samsung 
    Electronics (Refrigerator)
    Model in TV Spot

    Recent News:
    • Gave birth to her first son from her first and only husband, Indraguna Sutowo (a businessman). Her son's name is Syailendra Sutowo.
    • Become a model in a TV Spot for Samsung's refrigerator although she was pregnant.
    6. Nidji

    Name
    Age
    Role
    Giring Ganesha
    28 years
    vocalist
    Muhammad Ramadista Akbar
    27 years
    guitarist
    Muhammad Andro Regantoro
    27 years
    guitarist
    Andi Ariel Harsya
    27 years
    bass
    Muhammad Adri Prakarsa
    28 years
    drummer
    Randy Danistha
    27 years
    keyboard

    Profession: Artist (Boy Band)


    Product
    Industry
    Status
    Honda Absolute Revo
    Automotive (Motorcycle)
    Brand Ambassador
    Djarum Coklat
    Food and Beverage (Cigarette)
    Brand Ambassador
    Kopiko
    Food and Beverage (Candy)Model in TV Spot

    Recent News:
    • Released an MV: "Jangan Takut" (directed by Rizal Mantovani)
    • Prepared a new album that will contain songs both in Indonesia and English. It was planned to be launched in Indonesia (by Musica Studios) and Australia (by Sex Pistol).
    • Scheduled to have a concert in Hong Kong
    7. Sherina Munaf

    Name: Sinna Sherina Munaf
    Age: 21 years
    Profession: Artist, Actress, Model


    Product
    Industry
    Status
    Maybelline
    Personal Care (Skin Care)
    Brand Ambassador
    Clear
    Personal Care (Shampoo)
    Brand Ambassador wih Irfan Bachdim
    Nature-EHealth Care (Food Supplement)Brand Ambassador with Dian Sastro
    Nokia X6Electronics (Mobile phone)Model in TV Spot

    Recent News:
    • Released an MV: "Cinta Pertama dan Terakhir"
    • Took part in a charity concert: "Artistes 31 Love Beyond Boders" in Victoria Park, Hong Kong (invited by Jackie Chan)
    Sources:
    1. Indonesian Ad Spend Surges 23%, TV Viewing on the Rise as Well
    2.
    Q1 Ad Spending Hits Rp 15t As Cars, Formula Milk Rise
    3.
    Nielsen AGB
    4. Wikipedia
    5. KapanLagi.com

    Saturday, August 6, 2011

    Indonesia to Enter The Golden Moment

    Author's Note 
    This is a re-formatted article. The original article is:
    Achieving Indonesia’s golden moment of economic growth
    published by The Jakarta Post
    on 7 August 2011
    by Kiki Verico

    Background
    In the article, golden moment (of economic growth) referred to a period of time when a country's real economic growth is higher than its inflation rate.

    World Development Indicator (WDI) data shows that the more developed countries experienced golden moment:
    • USA: about 6 years (1960-1966)
    • Japan: about 10 years (1960-1970)
    • South Korea: about 8 years (1982-1990)
    Statistics
    Statistics of Indonesia's Real Economic Growth and Inflation in selected period is as follow:

    Period
    Real Economic Growth
    Inflation
    1965 - 1970
    5.40%
    284%
    1995 - 2000
    13%
    58%
    2000 - 2005
    4.80%
    8.40%

    Event in:
    • 1965 - 1970: Transition From Old Order to New Order. 
    • 1995 - 2000: Global Financial Crisis and Transition from New Order to Reform Era
    • 2000 - 2005: Post Global Financial Crisis
    In graphical presentation:

    Picture 1. Real Economic Growth vs. Inflation

    Based on the summary above, Indonesia has never experienced it since its independence day on 1945 (inflation was always higher than real economic growth). To achieve golden moment, Indonesia needs to preserve, in average, about 8% real economic growth rate and 4% inflation rate for 10 years continuously.

    Forecast
    If the general election in 2014 goes smoothly, Indonesia will have an opportunity to achieve golden moment between 2016 and 2026 when (it is expected that) income per capita is shifting from middle to high-income earning country (more than USD 10,000 per capita per year).

    The Green Robot Crushed Pacific Place

    Picture 1. Queuing Line

    Samsung Galaxy S2 was launched on 23 July 2011 in Pacific Place Mall, Jakarta. The cashier was opened at 8 AM, but customers had waited hours before. The queue line was closed at about 1:45 AM (about 6 hours before the cashier was opened) because the queue had reached 1,200 customers which was the quota for launching event (1).

    Background
    In Indonesia Samsung used to famous for it's TV products which are considered to have attractive value for money. It is common for a company from developing countries like South Korea to target price-sensitive consumers by offering similar product with cheaper price than its Japan or Western counterpart, not the high end segment.

    Now Indonesian customers have different perception for Samsung. A recent research about "Most Searched Mobile Phone in Yahoo Indonesia" (as of June 2011) showed the result below (2):
    1. Apple iPhone
    2. Samsung Galaxy S2
    3. Nexian Champion
    4. Nexian Tap
    5. Nokia 6600
    6. Nexian Cappuccino
    7. Hape Esia Connect
    8. Nokia C5
    9. Nokia C3
    10. BlackBerry Onyx
    Samsung product was on the list and even placed in no. 2. Moreover, Fabiant Kayatmo, Samsung's Product Marketing Senior Manager HHP Bussiness Department, claimed that based on May 2011 data (Indonesia), Samsung's market share in Android smartphone market was 78% and in tablet market was 60% (3).

    Factors
    The success of Samsung in Indonesia is caused by various factors, some of those are:

    1. Shifting Mindset
    Nowadays various mobile phones sold in Indonesia use Android as the Operating System (OS), such as phones from Samsung, LG, Sony Ericsson, Motorola, and HTC. The word "Android" or the the green robot logo is commonly used in each product's marketing materials. As those mobile phone companies push the product to Indonesian market through various distribution channels, marketing campaigns, and public relation efforts, Indonesian customers are aware that "Android OS is used by various companies". Furthermore, Android in Mobile Phones becomes like Windows in PCs. Hence, in choosing mobile phones, version of Android OS used and specification of the phone become as important as the mobile phone brand to be considered.

    2. Korean Wave
    Korean Wave is a term that indicates Korean Culture becomes a trend around the world, including in Indonesia. Some of the indicators are:
    • Local television networks are broadcasting Korean Drama. As an example, on 25 July 2011 Indosiar started broadcasting Korean Drama Dream High. On 15 July 2011 "Dream High" was trending and reached 8th in World Wide Twitter trending topics. It successfully gained attention in Indonesia and as more and more people tweeted about it, it ended up in the list (4).
    • Concert of Korean Artists in Indonesia. As an example, on 4 June 2011 the first KIMCHI (Korean Idols Music Concert Hosted in Indonesia) was held in Istora Senayan, Jakarta. The pre-sale ticket was scheduled on 17 April 2011 at 10 AM in Grand Indonesia, Jakarta, but people started to queue from 3 AM on the day, so by 8 am the lowest grade tickets allocated have been sold out (5).
    Lee So Man (founder and CEO of SM Entertainment) explained 3 steps process of SM Artists to go global on 11 June 2011 in SM TOWN Writers and Publishers Conference, Paris (6):
    1. Exportation of cultural products, e.g.: BoA and TVXQ’s advancement into Japan.
    2. International collaborations, e.g.: The collaboration between KangTa and Taiwanese singer Vanness Wu.
    3. Globalization, there is a tag "made by", such as "made in Korea, and also "made by SM".
    Now the strategy mentioned above has given some results: popularity and positive image of Korean culture. It is also build the image of Korean products, including Samsung products.

    3. Samsung Marketing
    As Korean Wave is surging around the world, including in Indonesia, local marketing efforts become global marketing campaign because people are watching what is happening in Korea, such as:
    • Samsung sponsored Korean drama and in exchange Samsung's products are used in the drama. Now, not only Korean, people in many countries also watched the drama as well.
    • Samsung used a Korean artist to endorse its product. As the fans in many countries searched and read news about the artist, they knew about the product as well.
    Samsung exports its products to Indonesia, but it also produced some in Indonesia (not only for local consumption, but also for export to other countries as well). Its subsidiary in Indonesia managed its marketing campaign, but with Korean Wave, marketing campaign in Korea will also give impact to Indonesian customers.