Best Five Digital Marketing Platforms in Indonesia

by Buana Sari Digital Marketer

Indonesia is experiencing a myriad of marketing trends. The most dominating trend is the adoption of digital channels and technologies for marketing. Digital marketing in Indonesia has progressed rapidly throughout, in particular Jakarta, Bandung, and Bali. In fact, Indonesia is at the beginning of a digital revolution.

According to data published by Dataportal Indonesia’s total population was 277.7 million in January 2022 out of which 204 million are internet users. The country has even more mobile phone connections than its total population, amounting to 133.3% in comparison.

With this high level of mobile penetration in Indonesia, unsurprisingly digital has become the easiest, cheapest, safest, most effective, and safest way to perform marketing activities especially in current times with travel restrictions still imposed. Thus, establishing a strong digital presence is a necessity for Indonesian brands looking for more customer interactions, engagement, lifetime value, expansion and revenues.

During these uncertain times, marketers in Indonesia have been on a constant lookout for new digital tools and technologies to be more creative and strategic in all their marketing campaigns. They are finding out better ways to reach the market of tech savvy customers.

Every year, new digital marketing tools and technologies are coming out in Indonesia, with the existing technologies getting smarter and customers getting savvier and bombarded with marketing campaigns. This continues to happen this year even at a faster pace.

Here are the best digital marketing tools for Indonesian businesses :

1. YouTube

Brand marketers consider YouTube to be one of the best digital marketing platforms and top social media platforms in Indonesia. Research reveals that Indonesians are spending more than twenty-six hours per month watching videos on YouTube. This makes the country the biggest global market for YouTube based on the time spent. The rise in video viewership among Indonesian customers also resulted in the increased usage of the platform for digital ad creation.

YouTube is dominated by influencers with almost thirty five percent of internet users in Indonesia following them. Customers across Indonesia spend a considerable amount of time watching videos of influencers on YouTube seeking entertainment or gathering information.

Indonesian brands like Tokopedia have the largest audience base on YouTube. The brand uses YouTube to publish online classes together with ads and brand stories about key Indonesian ecommerce merchants, among others.

However, Indonesian brands are challenged by certain cons associated with YouTube. The platform is plagued by inappropriate content which is frequently being uploaded by spammers. Revenue generation is often difficult and low. YouTube ads, especially In-stream ads are disturbing in nature. Frequent displays of these ads cause negative emotions in customers, because it is too intrusive.

2. iAds-MGram powered by moLotus

iAds-MGram powered by moLotus is an innovative breakthrough video mobile advertising and customer interaction service facilitating Indonesian brands, telcos and customers. The Indonesian mobile advertising landscape has transformed completely with moLotus joining hands with Indosat Ooredoo Hutchinson, launching the service in Indonesia.

The iAds-MGram powered by moLotus offers unique digital marketing opportunities to brands. Brands like Suzuki, HSBC, UOB Bank, Amazon, DBS Bank, PT Bank Mandiri, etc. are using the mammoth operator customer-base via the iAds-MGram interactive campaigns. These campaigns have resulted in an increase in lead generation, conversion, customer acquisition, customer response, customer retention with quick high margin revenues.

Brands and advertisers are using the unique capabilities of iAds-MGram like hyper-personalization, customization, interactivity, scalability, automation, integration and more.

It tailors brand messages using customer names and other relevant customer data. Most Indonesian businesses are using iAds-Mgrams to target customers via hyper-personalized messages. Brands are creating interactive campaigns with easy customer response options like SMS, USSD, Click URL, Callback, and more. The campaigns offer multiple customization options based on business criteria, demographics, interests, income, age, etc.

Research shows that customers are delighted by the hyper-personalized iAds-MGrams with special offers and product info coming right from their favorite brands. iAds-MGram involves no spam, no app, and no data charges offering a superior buying experience to customers with easy and low-cost interactions.

iAds-Mgram powered by moLotus quickly reaches millions of customers globally on their mobile phones irrespective of model or type - be it a smartphone, feature phone or i-phone. The messages remain in the inbox of the customer until deleted voluntarily by the customer. The service is automating and transforming customer processes like customer onboarding, lead generation, reminders, contract renewals, loyalty, etc. for Indonesian brands bringing in a noticeable amount of agility and cost efficiency.

Given Indonesian IDR 122 trillion (USD8.3 billion) advertising spend, iAds-MGram powered by moLotus has a tremendous revenue potential in Indonesia. It has benefited brands across all industry verticals in Indonesia including Banking, E-commerce, Insurance, Consumer Electronics, Retail, Automobile, Government Sectors, etc. For example, iAds-MGram powered by moLotus has brought up new product revenue generation opportunities for Indonesian banking enterprises via promotion of Credit Card Usages, Deposit Drives, Loan Approvals, and Retail Transactions.

Even in these tumultuous times Indonesian brands are witnessing an increase in high-margin revenues, building a huge new customer base via iAds-MGram campaigns.

3. Facebook

Facebook holds a large active user base in Indonesia, registering a growth in user-base by 23% from the previous year. Data published by Meta highlights that Facebook Messenger ads reached 28.40 million users in Indonesia in early 2022. Facebook Messenger’s ad reach in Indonesia is equivalent to 13.9 percent of the local internet user base regardless of age. (Source : Dataportal)

Brands from several industry verticals like FMCG, e-commerce, etc. account for the majority of Facebook ad investors. Social Bakers found that e-commerce brands in Indonesia use Facebook to keep millions of their social media followers up-to-date on new product launches, promotions, and other announcements.

Facebook as a social media platform is being used daily by Indonesians. Facebook also acts as a marketplace for brands and customers. 40 percent of Indonesian shoppers, who use Facebook, find product info and product recommendations via the platform. 31 percent of Facebook users make buying decisions based on the recommendations. The customer feedback on Facebook generates even more discussions on the social media platform as customers use it to share their shopping experiences with images and videos.

Some Indonesian experts are of the opinion that the hype of Facebook as a digital marketing tool that could enhance a brand’s business is dying down in Indonesia. Managing a Facebook business page, while presenting the scope of an online presence, may not be as effective as reaching customers directly on their mobile inboxes. Further, the reach of Facebook ads is limited to the active Facebook users only.

4. WhatsApp

After the WhatsApp instant messaging service released its official WhatsApp Business app in Indonesia, more local businesses in the country started using the platform to interact with customers. Together with its integration into Facebook and Instagram, customers can easily interact with brands through WhatsApp, allowing digital marketers to capture leads.

For now, however, the mobile WhatsApp Business app is available only on Android in Indonesia, helping local businesses to acquire new customers, provide customer support and maintain relationships. Indonesian brands are taking the help of the service and reaping its rewards. Brands from different industry verticals are using WhatsApp Business to engage customers and respond to their queries more efficiently, generating traffic to their website. In Indonesia, Whatsapp Business has 68.8 million users in 2022 (Source : BotSpace).

Brands are using the WhatsApp Business API to engage Indonesian customers at various stages in the customer’s buying journey. They are generating awareness by announcing new products and promotions, making product recommendations to customers; sending notifications, order confirmation, shipping updates, etc. to customers after they place an order. Brands consider that WhatsApp isn’t just an instant messaging service for them; they can effectively use it as a digital marketing tool for lead generation, customer acquisition and retention.

However, the major challenge of WhatsApp Business app is limited access being restricted to android users. It lacks many essential capabilities to be present in a true digital marketing platform.

5. Instagram

Instagram occupies a major position in Indonesia’s digital marketing space. Indonesia happens to be the fourth leading country in terms of monthly Instagram active users, just behind the US, India, and Brazil. Data published by Meta indicate that Instagram had 99.15 million users in Indonesia in early this year (Source : Dataportal).

Insights from parent company Facebook reveal that Instagram deeply influences customer behavior on the majority of Indonesian social media users. Shoppers use the Instagram app particularly during the holidays for shopping.

Instagram Reels and Stories have taken off hugely in the Indonesian market. A recent survey points out that in the country, sixty-two percent of Instagram users make use of Stories to browse content, while only thirty-eight percent use the regular Instagram feed. Indonesians prefer the ephemeral and authentic nature of Instagram Stories.

Brands in Indonesia have been successfully running Instagram ads that click to Instagram Direct in feed and in Stories, featuring a range of product info along with promotional offers. However, many of them have found cons to advertising on Instagram as well, especially when compared to advertising on other digital advertising tools like Facebook, moLotus, etc. Instagram adverts hold less sophistication. Linking on Instagram has lesser efficiency than on Facebook. Instagram’s user base is more limited. With ads reaching to only the Instagram users, the advertising ROI tends to be low with lesser reach.

Conclusion

Indonesian customers have only recently experienced the convenience of a digital lifestyle. For Indonesian businesses looking to strengthen their digital marketing strategies in this changing landscape, the above tools are indispensable resources to take advantage of.

A close scrutiny of the above digital marketing platforms emphasizes the fact that most of the platforms have their advantages and disadvantages. However, their advantages are hard to override. The above marketing platforms when included in the digital marketing-mix would add to the revenues and profitability for Indonesian brands.