Taking a Long Breath: Madura Warung in South Jakarta Binds Customer Loyalty through the Kasbon System

In the Lenteng Agung area of South Jakarta, a 24-hour Madura warung that is always bustling with customers appears different from typical warungs. This is because the warung not only sells daily necessities but also offers a ‘kasbon’ system, allowing customers to take goods first and pay later. The owner considers this system a key asset for building customer loyalty amid intense retail business competition. According to Rusman, the kasbon system is not granted carelessly. Customers must be known to him and have a good payment history. ‘The collections are flexible; some pay weekly, others after payday. Usually, they come on their own, but sometimes I call to remind them,’ he explained. ‘The amount depends on trust, ranging from Rp 50,000 to Rp 200,000,’ Rusman stated. In addition to building relationships with customers, Rusman emphasises the importance of neat stock management. Operating a 24-hour warung does not mean haphazardly stocking goods; it requires a certain strategy to ensure all needs are met without causing losses. The success of the Madura warung operating 24 hours is inseparable from good relationships with suppliers. ‘Rice, oil, and drinks are usually delivered twice a week, but we can pick them up directly if stock runs out. The suppliers know us, so if we need something quickly, they are always ready,’ Rusman said. He added that suppliers often provide special prices for regular purchases, even in small quantities. This helps maintain the warung’s profits despite nonstop operations. ‘If buying retail or suddenly, we might get higher prices, but because the shopping frequency is stable, the margins remain safe,’ he said.