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Buyers need more than just environmentally friendly products

| Source: JP

Buyers need more than just environmentally friendly products

Rudijanto, Contributor, Jakarta

Environmentally friendly home appliances may attract more
customers in advanced countries due to a higher level of
awareness and deeper concern for the environment there, but it is
not necessarily the case for Indonesian consumers, who look more
for energy-saving and health-promoting features.

Campaigns for environmentally friendly products launched by
both non-governmental organizations (NGOs) as well as governments
of some European countries have forced many producers of
electronic home appliances to abandon the use of substances and
components that have adverse effects on the environment.

A concrete example of some of the positive steps taken is the
use of R134a as a refrigerant in both air-conditioners and
refrigerators to replace the previously widely used R12 that has
proved to be gradually damaging the ozone layer.

That is why most refrigerators sold today carry
chlorofluorocarbon-free (CFC-free) labels to convince customers
that the products are environmentally friendly. For a number of
more educated and environmentally aware Indonesians the CFC-free
feature is an added value.

PT Hartono Istana Teknologi, producer of Polytron electronic
products, has even made greater strides by replacing the now
commonly used R134a with hydrocarbon known as R600a to make its
refrigerators and air-conditioners even more environmentally
friendly.

The company's president director J. Arief Hartono said that
his company preferred to use R600a because although R134a was
already ozone friendly it could still increase the global warming
potential (GWP).

"GWP affects the balance within the ecosystem due to the
shrinking polar caps which in turn causes the ocean levels to
rise," said Arief Hartono.

In line with the current global trend that favors
environmentally friendly products, electronics manufacturers have
no choice but to produce more earth-friendly products. Next to
air-conditioners and refrigerators even washing machines and
other products now use components that are environmentally
friendly.

PT Electrolux Indonesia's marketing support manager Joddi
Primantara said his company sold environmentally friendly washing
machines that used a comparatively lesser amount of detergent and
water.

"We have created a system in our machines that can recycle
detergent during part of the wash cycle. Instead of discharging
the water and detergent in the pre-wash phase, our machines
recycle them for use in the next phase of the washing process,
which is the main wash phase," said Joddi.

While top-loader washing machines consume up to 160 liters of
water per wash, Joddi claimed that the front-loader Electrolux
washing machines use only between 42 liters and 65 liters. Thanks
to the combination of small amount of detergent and water, he
said, his company had contributed to reducing waste and pollution
harmful to the environment.

Although environmentally friendly products have more added
value, surprisingly, Indonesian consumers put more value on other
features such as price, while some look for features related to
health.

"In the beginning, it was difficult to convince our consumers
to shift to non-CFC refrigerators due to the price difference.
They are certainly more expensive," said PT Sharp Yasonta
Antarnusa's sales and marketing director Jino Sugiarto.

Jino added that when he explained that CFC refrigerators with
R12 were more costly to repair because an overall replacement of
components may be required, consumers started to respond
positively toward non-CFC refrigerators.

Certainly, environmental awareness among the majority of
Indonesians is still low. Continuous forest destruction and the
recent refusal by some governors on the island of Kalimantan to
adhere to the forestry minister's log cutting quota reflect this
low awareness.

Today, as many Indonesians seem not to care too much about the
destruction of forests in their own backyard; the gradual
destruction of ozone layer or even global warming that shrinks
the distant polar caps are certainly not an immediate concern.

Apparently any marketing drive here that emphasizes
environmental issues does not grab Indonesian consumers'
attention. Hence, electronics producers have to find other themes
and capitalize on different features that can immediately capture
their attention.

CFC-free labels have lost their marketing appeal partially due
to the fact that almost all refrigerators and air-conditioners
already incorporate the feature. A shrewd move by Sharp was to
introduce its Plasmacluster technology that the company claims is
able to break down mold spores.

By raising this health-related issue, Jino believes that
Indonesian customers will respond more positively than to
features related to preservation of the environment. He stresses
that this Plasmacluster technology is not just another marketing
gimmick, but a positive innovation by the company that has been
recognized by several international bodies.

Jino explained that Sharp uses a device called the
Plasmacluster Ion Generator that breaks down water molecules into
positive and negative ions. which are released into the air.

"The released positive and negative ions are immediately
surrounded by water molecules, forming plasmacluster ions. These
plasmacluster ions are diffused throughout the entire room,
wherever mold spores and odor-causing molecules are floating,"
said Jino.

He added that the plasmacluster ions collide with mold spores
and odor-causing molecules and are transformed into hydroxyl (OH)
groups. By transforming into OH groups, plasmacluster ions break
the cell walls of harmful mold spores and reduce odor-causing
molecules into harmless substances.

Sharp's focus on the health-related aspect of its products has
received a positive response, especially in the high-end market.
Jino said that the launching of plasmacluster products had
boosted Sharp's refrigerator sales by 20 percent.

Sharp is currently the market leader in the local refrigerator
market with a 24.9 percent market share. Similarly, other
electronics companies such as South Korea's Samsung and LG are
also incorporating features related to health in their products.

Samsung has aggressively advertised its bio-technology that it
claims can reduce the growth of bacteria. The company claims its
Bio-Vegetable Bins also prevent the loss of vitamin C from fruits
and vegetables.

Besides the Bio-Vegetable Bin, the company also promises that
the Bio-Chilled Compartments of its refrigerators can keep
foodstuff fresh longer, while its Bio-Deodorizer is able to
ensure that the food retains its original flavor and aroma inside
the refrigerator.

LG has its own version of health-promoting features for its
refrigerators, the Biosilver Liner and Bioshield Gasket. While
Biosilver Liner is able to protect food from various bacteria,
Bioshield Gasket prevents the growth of mold in the refrigerator.
Essentially, the message is these features in LG's refrigerators
promise fresh and healthy food.

Meanwhile, refrigerators produced by PT Electrolux Indonesia
have a built-in deodorizer that not only eliminates odors but
also kills bacteria.

"Generally the source of most odors is bacteria, and killing
the bacteria automatically stops the odor as well," said Joddi
Primantara, the company's marketing support manager.

Consumers' concern for their health has proven to be a prime
feature in many products and subsequently successful marketing
stories here. Not surprisingly, Indonesian consumers are also
quick to respond positively to products that can save their hard-
earned money. Energy saving features -- low consumption of
electricity, that is -- also promise higher sales.

Rather than depending solely on environmentally friendly
features, for the local market other features related to health
and energy saving are more likely to produce better results --
for manufacturers and consumers alike.

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