From Petojo Shopkeeper to Retail Tycoon with 23,000 Stores

Djoko Susanto is widely recognised as the driving force behind the success of Alfamart, the minimarket chain now spread across Indonesia’s remote areas. However, his business journey began with a humble venture in a traditional market. The life of Kwok Kwie Fo, whose Indonesian name is Djoko Susanto, was not without hurdles. He worked at a radio assembly company before quitting to help his family’s business in 1996. This simple decision proved to be a turning point. From his mother’s small shop, Toko Sumber Bahagia, Djoko learned the retail business from the ground up, handling customer service, stock management, and running the store from dawn till dusk. There, he managed a shop selling essentials such as peanuts, cooking oil, soap, and cigarettes. Over time, the business focused on large-scale cigarette sales, primarily partnering with Gudang Garam. Unexpectedly, cigarette sales proved highly successful. As Sam Setyautama wrote, by 1987 Djoko had established 15 wholesale stores and was named Gudang Garam’s largest cigarette distributor. His success in cigarette sales caught the attention of PT HM Sampoerna’s executives, including Putera Sampoerna. ‘His meeting with Putera Sampoerna, head of PT HM Sampoerna, in late 1986 completely transformed his fortunes. Appointed as sales director of PT Sampoerna, he helped the company rise to become the second-largest tobacco producer after Gudang Garam,’ wrote Sam Setyautama in ‘Tokoh-Tokoh Etnis Tionghoa Di Indonesia’ (2008). His expertise in marketing cigarettes led to him being appointed director of PT Panarmas, Sampoerna’s cigarette distributor. In this role, he helped launch the new Sampoerna A Mild brand in 1989. This cigarette brand later became one of Indonesia’s most popular. While marketing the new product, Djoko founded PT Alfa Retailindo in 1989 after converting Sampoerna’s warehouse at Jl. Lodan No. 80. ‘With an initial capital of Rp 2 billion, the warehouse was transformed into Toko Gudang Rabat, with 40% owned by Putera Sampoerna and the remainder by Kwok Kwie Fo (alias Djoko Susanto),’ wrote Sam Setyautama. Toko Gudang Rabat became the foundation of Alfamart. Initially used as a distributor for Sampoerna’s new cigarettes, it gradually evolved into a convenience store selling a wide range of goods. Toko Gudang Rabat expanded rapidly, opening branches across Indonesian cities. By the 1990s, Gudang Rabat had become a retail competitor to Indomaret, the Salim Group’s chain, with 32 outlets. It was rebranded as Alfamart under PT Sumber Alfaria Triyaja on 18 October 1999. Alfamart aimed to mirror Indomaret as a convenient, accessible convenience store, with its first outlet on Jl. Beringin Raya in Tangerang. Alfamart received positive public response, with sales soaring. Djoko reaped a ‘windfall’. ‘Alfa went public on 18 January 2000, with its market capitalisation estimated at US$108.29 million,’ wrote the book ‘Kaum Supertajir Indonesia’ (2008). From 1 January 2003, Alfamart was officially established. Putera Sampoerna injected further capital, leading to the chain’s rapid expansion as seen today. Today, the Alfamart Group operates over 23,000 stores, including those managed by subsidiaries such as Alfamidi and Lawson.