Exploiting the commercial potential of Idul Fitri
Exploiting the commercial potential of Idul Fitri
By Shanti Venkateswaran
JAKARTA (JP): Lebaran means different things to different
people. To the devout and deeply religious, it is the time of
year given entirely to prayers and fulfilling religious
obligations. To the not-so-religious but God-fearing
nevertheless, it is an opportunity to once again renew their
faith and adhere to religious practices given the go by during
the year past.
Whatever its religious significance to the average Moslem, its
commercial potential never fails to be exploited or taken
advantage of, long before the sighting of the moon that signals
the start of the fasting month of Ramadhan.
Department store chains and retail outlets of all
denominations start planning their market strategies for the
coming Lebaran long before Christmas. In a way, the Christmas
season is a sort of testing ground for the year's newcomers to
the marketplace. And somehow, the festive spirit that begins with
Christmas never really seems to go away; the expectancy is
palpable in the bazaars all around us.
The bigger among the retail chains strive to be different with
each passing year; after all, they claim exclusivity as their
raison d'etre. In this category falls Pasaraya, 22 years in the
retail business and a household name among Jakarta's elite.
In keeping with the sentiment of being different from the
rest, the Pasaraya group organized a Ceramah Ramadhan on Jan. 28
at Mega Pasaraya in Kebayoran Baru. Freely translated, it means A
Discourse on Islam and the Koran.
Meant to be a dialog between Islamic scholars and the man on
the street, it was the chain's special way of helping spread a
better understanding and appreciation of Islam and make better
Moslems of its customers.
Leading ASEAN Islamic scholar Quraish Shihab and Toto Tasmara
addressed the gathering and answered questions put forth by the
participants, who came from different age groups. An annual
Lebaran happening, the event also discussed trends among young
executives in carrying out fasting obligations during Ramadhan.
In the context of hectic executive work schedules, it was
hoped that this event would provide a forum for a free and frank
exchange of views and discussion of problems encountered in
fulfilling religious obligations juxtaposed with work
obligations. Admissions were by invitations only to its
members.
Dressing up
Lebaran is that time of year when purses are cash-rich with
annual bonuses and hearts are filled with the desire to be
trendily attired. Clothes are traditionally a fast-moving
commodity during festive seasons with the ready-to-wear fashion
having a year-round market.
To cash in on this, the Pasaraya group also organized a
fashion show of Busana Muslim, featuring leading Indonesian
designers such as Ida Leman, Ida Royani, Anne Rufaidah, Lydia
Wibowo and Nani Widjaya.
Held on Jan. 21, the start of the Ramadhan month, the two-hour
show featured 15 designers and 20 models. Some of the creations
were sold right after the show. The buyers were mostly in the
above-30 age group. Quizzed on the preferences of its customers,
Pasaraya's Manager for Direct Marketing Syamsul Munir said that
the majority prefers pret-a-porter fashion except where specific
size considerations were taken in. The group targets the upper-
middle segment and elite segment of the consumer market.
Hampers
If trendy clothes are in for the upwardly mobile, can gift
hampers be far behind? Nobody is exactly sure when or where this
practice of giving gift hampers began in Indonesia. However, all
are agreed that they have been around for as long as one can
remember.
What began as home-cooked Idul Fitri specials -- distributed
among relatives and a few close friends in the neighborhood --
have since become organized sales efforts, catering to a variety
demands and tastes.
When the business of parcels first began, alcoholic drinks
figured prominently. However, with more Islamization, consumers
and retailers alike began to turn to parcels which truly
reflected Islamic values. A typical Ramadhan parcel shuns
alcoholic beverages; instead, it would include a white prayer
outfit, praying mat, a Qiblat to indicate the direction of Mecca
in its contents.
In recent times, prestige and status have come to be closely
associated with parcel contents. While food hampers continue to
be a favorite draw for those at the lower end of the income
scale, there are those among the nouveau riche who consider food
hampers to be ordinary. They seek exclusivity in custom-made
hampers, even if it is at a price. Popular hamper items with the
middle and upper-middle class are crockery and cutlery,
glassware, bedspreads, towels and table mats.
Golden Truly is a department store chain with six outlets
located in Jakarta. In the retail business since 1981, its target
customers come from different income and educational levels.
In keeping with its one-stop-shopping policy, the chain not
only stocks ready-to-buy parcels but also has a service to take
orders for parcels. Large corporate concerns eager to avail
themselves of discounts on bulk orders, take advantage of
reasonable prices to place orders for thousands of parcels at a
time. Consumers buying more than 10 parcels get a 5 percent
discount at its supermarkets, while a 22 percent discount is
given to those buying even just one parcel from its department
stores.
In a typical department store like Golden Truly, the baskets
used in hampers are purchased from cottage industries. During the
Christmas and Idul Fitri seasons, some of its staff are assigned
the job of putting the hampers together. Customers' orders for
parcels given in small boxes are packed in the shop. Baskets with
non-food items such as crockery, bedspreads and so on are usually
prepared before Ramadhan. Food and drink hampers follow next,
with careful attention paid to expiry dates.
The more established among the department store chains usually
allow exchange if an error in a hamper's contents is brought to
their notice.
At Pasaraya, prices range from Rp 100,000 to Rp 500,000 for
food hampers and from Rp 200,000 to Rp 1,000,000 for non-food
hampers. The latter is also made up of silk and handmade batik
collectibles. Exclusivity is their hallmark. Owing to its pricey
feature, these are usually targeted at big companies and the very
rich among its clients.
Collectibles are usually targeted at individuals, while the
big companies prefer food hampers whose contents can be
distributed among many.
Syamsul Munir confirms that food hampers continue to be
popular because of the close connection between fasting and food.
Discounts on hampers depends on whether the buyer is a Pasaraya
card member or not.
In a bid to corner the lucrative market for hampers, major
retail chains, including Makro, Pasaraya, Golden Truly and Hero,
think up imaginative and attractive designs and exclusive
contents. Catalogs detailing the various food and non-food
hampers, as well as mixed ones on offer for the coming Lebaran
season are mailed well in advance to members and customers.
Special orders are also accepted.
Sales peak in the days immediately preceding Idul Fitri.
Contents of hampers not sold find their way back to the shop
shelves, while the baskets themselves are put away until the time
comes next year to grace shop windows once again.