The increase in prices of electronic devices, including smartphones,\ndue to the global chipset shortage is becoming a challenge for the\ngadget retail industry. This condition is encouraging distributors to\nstrengthen their sales strategies so that consumers can still purchase\ndevices according to their needs and financial capabilities.<\/p>\n
Head of Operations Digiplus Erwin Renehan said that price increases\nfor a number of products have occurred since the end of last year and\ncontinued into 2026. For some brands, price increases have even reached\n30% to 50%.<\/p>\n
\u201cIt has been happening since the beginning of the year. Some brands\nalso started increasing prices at the end of last year. The increase is\nquite high, around 30% to 50%,\u201d said Erwin at the opening of Digiplus\u2019s\n100th outlet in Terogong, South Jakarta, Friday (28\/8).<\/p>\n
According to him, the price increase certainly has an impact on\nsales. However, the company is choosing to focus on measures to maintain\nproduct affordability. One strategy being pursued is strengthening\ncooperation with non-bank financial institutions (NBFI). The company is\nalso optimising buy now pay later (BNPL) schemes, cashback programmes,\nand trade-in services.<\/p>\n
\u201cWe are promoting partnerships such as NBFI, BNPL, bank cashback, and\ntrade-in to ensure consumers remain more able to buy products,\u201d said\nErwin.<\/p>\n
Head of Marketing Digiplus Dwita Satyanti assessed that smartphones\nhave now shifted from being complementary goods to an important part of\npeople\u2019s daily needs. Therefore, the price increase does not necessarily\neliminate consumer demand for these devices.<\/p>\n
The company provides device options with a wide price range, from\naround Rp3 million to Rp40 million. With these options, consumers are\nconsidered able to adjust their purchases to their needs as well as\ntheir available budget.<\/p>\n
Consumers are now also increasingly considering their financial\ncapabilities when choosing devices. Various payment schemes and\npromotions have become instruments that can help consumers obtain\ndevices without having to bear the entire price increase directly.<\/p>\n
\u201cMobile phones have now become a primary need, a daily need. So they\nare no longer just a secondary or tertiary need,\u201d said Dwita.<\/p>\n
Amidst the price challenges, Digiplus is expanding its store network\nto bring products and services closer to consumers. The latest expansion\nwas marked by the opening of its 100th outlet in Terogong, South\nJakarta.<\/p>\n
Head of Business Development Digiplus Muhammad Pranoto Utomo said the\nexpansion strategy no longer relies solely on shopping centres. Digiplus\nis beginning to expand its presence to street-level locations, including\nshophouses and commercial areas outside malls.<\/p>\n
\u201cDigiplus as a multi-brand retailer is more flexible. We are not only\nopening stores in malls, but also starting to expand to street level,\u201d\nsaid Pranoto.<\/p>\n
The expansion is planned to continue targeting major cities as well\nas second- and third-tier city markets. Jakarta, Surabaya, Bali, Medan,\nand Makassar are among the main markets targeted for network\ndevelopment.<\/p>\n
According to Pranoto, store formats will also be varied, ranging from\noutlets in malls, street level, shop-in-shop (SIS), to commercial areas\nwith a one-stop shopping concept outside shopping centres. The company\nis targeting 150 outlets by the end of 2026.<\/p>\n
By expanding sales points and providing various payment alternatives,\nthe distributor is devising strategies to maintain demand for gadgets\nthat are increasingly embedded in people\u2019s daily activities.<\/p>\n
\u201cGoing forward, we will add more to reach our customers in\nsecond-tier and third-tier city markets,\u201d said Pranoto.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/phone-prices-rise-distributor-relies-on-financing-and-network-expansion-1787961020", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }