EQUIL: Vini Vidi Vici

EQUIL: Vini Vidi Vici

Consumer purchasing power is not the only thing to suffer in
the worst crisis in modern Indonesian history. Previously high
optimism about the country's economy has descended into abject
pessimism.

This swing from optimism to pessimism has led many foreign
businesses to put on hold plans to launch products geared to
quality-oriented customers. Their sad view is that there is no
market for such products.

The facts are borne out by a MarkPlus survey in February 1998
of eight major cities, showing that many Indonesian consumers are
shedding their familiarity with foreign brand goods for fine
local products.

But an interesting finding is that the majority of Indonesian
consumers surveyed remain value-oriented, not price-oriented,
despite preconceptions to the contrary. It is also interesting to
discover that quality-oriented customers have not disappeared,
although their number has inevitably dropped compared to before
the crisis.

There are still opportunities for businesses here to thrive
and grow, but there are some important points to keep in mind.

A company must be able to effect a precise marketing strategy
for its products, including the "romancing-the-brand" strategy
for quality-oriented customers, to stay competitive and grow in
today's market.

One such product which has been effectively marketed is EQUIL,
a natural mineral water launched amid the crisis and targeting
quality-oriented customers.

EQUIL was already making news at its launch because its price
was higher than other mineral waters, such as Perrier and Evian,
on the market. This is despite the fact that EQUIL does not have
the same entry and transportation costs because it is sourced at
Cimelati, at the foot of Mount Salak, West Java.

Of course, EQUIL's price is justified by its superior quality
as a natural mineral water compared to many global mineral waters
on the market, not to mention the hundreds of processed bottled
drinking waters.

According to strict standards on natural mineral waters set by
WHO-sponsored Codex Alimentarius, a natural mineral water must be
bottled at its source without processing of any kind. This means
the water must be fit to drink when sourced directly from the
spring. It must be shielded from contamination, be it physical,
chemical or microbiological. It cannot undergo any treatment to
alter its natural state, except for the use of CO2 for
carbonization to produce sparkling mineral water.

With these strongly differentiated characteristics between
drinking water and natural mineral water, it follows that the
latter is more expensive because its quality is better.

EQUIL's quality is hard to beat. For instance, its nitrate
content -- often an indication of contamination by urea
fertilizer -- is less than 0.2 mg per liter. Compare this to
Evian and Perrier, which have comparable nitrate contents of 3.8
mg and 18.3 mg respectively. EQUIL is the best performer on the
Codex standards, and it is also free of the 90 contaminants
usually found in mineral waters.

Of course, to maintain quality and conform to Codex
regulations on natural mineral waters, it must be bottled at its
source. EQUIL's use of state-of-the-art bottling equipment
ensures it will not be affected by environmental factors. More
insurance is provided through the use of glass bottles,
guaranteeing better protection against external factors such as
odor and chemical elements.

In short, EQUIL boasts solid differences. These includes
content, or what it offers, context, or how to offer, and
infrastructure, or enabler.

Content is the higher original-quality of natural mineral
water EQUIL compared to its competitors. Context is the effort to
ensure the highest water quality free from the possibility of
bacterial contamination before it reaches consumers in its
standard green bottle. Infrastructure is in the form of people
and technology ensuring a high-quality natural mineral water
bottled at source.

EQUIL welcomes visitors to see for themselves its operations
at its impressive Villa D'Equilibrium in the lush foothills of
Mount Salak. Many have become loyal customers after gaining a
first-hand look at the spotlessly clean plant and tasting the
pure water at the source.

With its potent differences, EQUIL naturally must be
positioned for quality-oriented customers. EQUIL continues to use
various methods to convince these customers why its natural
mineral water is for their tastes.

The quality glass bottle is little different in appearance
from a wine bottle. It is the "official drink" of regular weekly
Cabinet meetings and the presidential palace.

EQUIL is not available everywhere. It can only be found in
exclusive hotels, restaurants and some supermarkets, such as
KemChicks and Sogo. The restricted selection of outlets is based
on its positioning for quality-oriented customers.

The positioning has paid off. Although only word-of-mouth and
limited promotions have been used, many customers are buying the
product. And with the decline in the exchange rate of the rupiah
against the dollar, EQUIL has the opportunity to become the
market leader because prices of Evian and Perrier are
comparatively higher even though their quality is no better.

As it embarks on its second year of operations, EQUIL is
winning consumers over with strategic marketing suited to what
they need. (Taufik)