Getting to Know the E-commerce Enabler Business in Indonesia

The development of online marketplace is forcing businesses have to continuously adapt to the changing behavior and needs of their consumers. The number of e-commerce platforms today is also one of the factors triggering this growth, and in order to achieve a wider reach of consumers, businesses are required to be present on various platforms. However, selling on multi-platforms is not easy, especially when it comes to synchronizing stocks between platforms. For this reason, brands also need to take advantage of enabler’s services to be able to solve problems they face and improve their online business performance, one of which is by using e-commerce enabler.

Mr. HP, one of the advisors within our Indonesia expert network, has explained the role and how ecommerce enabler companies help businesses solve problems and improve their online performance.

How do enabler companies pitch to brands and convince them to cooperate and work together? 

Mr. HP explained that brands would want to work together with enabler companies because of their good reputation, which can also come from word of mouth. So, it is essential for enabler companies to maintain their brand image. On top of that, Mr. HP shared that enablers should have complete services. They should not only be helping brands in selling products on marketplaces, but also be equipped with website developers to help optimize brand’s websites, plus monitor and analyze their social media activity.

Which brand or goods category should enabler business focus on?

From what Mr. HP has seen, the beauty and FMCG categories are amongst the fastest growing ones on various ecommerce platforms. Specifically for FMCG goods, Mr. HP suggests enabler companies to work with brands for home and personal care, since there has been a visible increase in sales due to the COVID-19 pandemic. 

How do the enabler business help manage brand’s e-commerce stores? 

Mr. HP shared that enablers help brands to set their products and promotions on almost every e-commerce in Indonesia, as well as setting and refilling the stock, and oftentimes creating the brand's product image. 

Should enabler business build exclusive partnerships with brands? 

Based on Mr. HP’s observations, brands and principals tend to explore different strategies and services. Which is why, it is not really wise for enabler businesses to push any form of exclusivity, since it may make the brands uncomfortable and hesitant to continue working together in the future. 

If e-commerce platforms also have many warehouses, how do enablers stay in the lead?

Mr. HP explained that the company he’s currently working for has established a collaboration with MSME businesses and retailers as a way to diversify the distribution channel, which is much more beneficial than just owning one big warehouse like most ecommerce platforms. By doing this, Mr. HP explained that the company can cut some costs and also help the brands and principals to sell their products across the MSME connections, and achieve even more sales on offline rather than on online platforms. 

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About Mr. HP: 

Mr. HP is an expert in ensuring every commercial activity meets the business objectives based on its key performance indicators (KPI) at the company. He currently leads a key account team responsible for the revenue and profit consistency of numerous prominent clients in the F&B and FMCG industries by managing their brands on e-commerce platforms. His team grows the clients' business in line with their target, branding strategy, and long-term goals in e-commerce. He is well-known for his skills in managing and evaluating the KPI to reach clients' goals.