All countries including Indonesia have been facing an unforeseen crisis during the COVID-19 pandemic. Brands are now not only talking about escalating their number of sales but surviving their business and employees. Data reported that we were threatened to lose 70% of the textile industry during the pandemics, while last year this industry was actually the first-highest-growing-economy in quartal I (Data BPS 2019).
In general, Indonesia has been known for its big market in fashion and is ranked 9th on Global Revenue with the largest market in Apparel, gaining US$6,794 million per year. But, this pandemic hits differently. To make it apple to apple, let's compare last year Ramadan, the biggest Muslim festive in Indonesia that succeeded to gain US$ 20 billion with sales growth rate 18.2%, to Ramadan this year that reported to reach its downfall where many markets are closing or showing very few visitors.
Go Mobile recaps the responses of the government and businesses to the pandemic:
The Government
- The Ministry of Industry in collaboration with E-Commerce launched the initiative to Buy Local Muslim Fashion Products. The visit to this e-commerce during Ramadan is increasing by 25 times during the PSBB period and help many local vendors;
- The Coordinating Minister for Economic Affairs issues Minister Regulation No. 6/2020 which aims to protect the Batik craft industry by stipulating the provision of additional credit for afflicted entrepreneurs.
Business
- Indonesia Fashion Week and many other fashion events were postponed due to safety reason;
- Fashion brands are taking part in donations. JD.id collaborates with designers to make "Designers Give Back" campaign to donate personal protective equipment to medical staff; Copa de Flores and other brands are making a campaign in Instagram #UntukTanahTimur, donating all sales of their product to purchase 5.000 masks for people in Nusa Tenggara Timur;
- Brands started pandemics fashion trends and released relevant products such as masks, hats, and personal protective jackets.
Instagram: @alleira_batik
Indonesian fashion retail was brave in the face of crisis
When the isolation made the offline retail collapsed, it seems that Indonesian fashion was ready for digitalization.
- 93% of Indonesians are accustomed to using the internet to find out about products before making a purchase;
- 90% of Indonesians visit online stores on websites through various mobile devices, 88% make online purchases, and 80% do so via cell phones;
- According to BPS's review of the publication Big Data on the Impact of Covid-19, total goods sold in E-Commerce show an upward trend;
- 40% of total E-commerce sales are strengthened by informal sales and social platforms such as Whatsapp and Facebook.
Digitalize the marketing
1. Pop your brand online