Reebonz claims significant growth in Indonesia in 2013
Overcoming assumptions that Indonesians prefer to shop from Singapore, Reebonz has come a long way since it opened its first branch in the archipelago in 2012By Adrian Tjahjadi 24 Jan, 2014
When Reebonz first established in Indonesia back in 2009, there was only the technical team that was assigned to come to Indonesia. All of their marketing activities are integrated and controlled from its main office in Singapore. However, due to many positive feedbacks that it has received from the Indonesian market, Reebonz finally launched its Indonesia’s branch office back in 2012. Reebonz’s service of selling branded bags, shoes, and accessories have proven to be profitable in Indonesia.
Yulianti Wijaya, Reboonz’s Marketing Manager Assistance, shared, “The first assumption was that Indonesian customers would prefer to shop directly in Singapore, however after a satisfying development back in 2011, we decided to open our branch office in Indonesia.”
In 2013, Reebonz’s development in Indonesia experienced significant growth compared to its performance in 2012. By the end of 2013, Reebonz had approximately 6,000 unique visitors from Indonesia, along with page views at about 40,000 per day. Up until today, there are 178,000 registered members and there is no sign of stopping.
Even though Reebonz did not openly share its financial performance in detail, Yuli claimed that Reebonz raked up billions during 2013. Sixty percent of that income came from Jakarta, while the other 40 percent were divided among other big cities including Bali, Manado, and Papua.
Reebonz shared that its mobile platform helped to increase its sale. In 2013, its mobile platform has successfully contributed 30 percent of the total sale in that year. Yuli said, “Even though there may have been some connection problems with the internet, customers still purchase their wanted items. Usually, if there were some problems with their internet connection, they would call us for help.”
Despite its success, Reebonz encountered some difficulties attracting its first time buyer. Reebonz needs to gain the trust of their first time buyers by ensuring the safety of the transaction and authenticity of the products. “As we all know, Indonesian customers are still new to branded products online shopping, is is the reason why our members need at least six to eight weeks before they make their first purchase,” said Yuli.
Reebonz’s strength point is its competitive price and price reduction. As the price values of the goods that are sold are not cheap, price reduction will surely attracts Fashionholic. Such enticing promotional strategies may not be found in other typical fashion stores.
“Our customers are price sensitive. They have knowledge about various brands and more likely will compare our prices with our competitors to find out which one will give them the best value.”
In Indonesia, the most sought products are hand bags and purses. Brand-wise, Reebonz’s customers are fond of Balenciaga, Prada, Givenchy, Salvatore Ferragamo, Bottega Veneta, and Saint Laurent.
“In 2014, Reebonz Indonesia is still focusing on providing services for our customers. We are always working on improving our services to satisfy our existing members,” shared Yuli.
Translated from: DailySocial
Reebonz Singapore Reebonz is modeled around the concept of ‘accessible luxury’, where members can shop online or on mobile applications for a range of luxury goods. Latest funding: Not specified Investors: Not specified