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E-commerce platforms help local MSMEs broaden their market on a national level
Micro, small and medium enterprises (MSMEs) are always looking for ways to streamline their day-to-day operations, from storing and packaging to shipping.
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Toko Kopi Gayo owner Iwan Aramiko uses a smart warehouse in Jakarta to attract customers from Java and eastern Indonesia. The Jakarta facility has helped to reduce both shipping costs and time compared to when Toko Kopi Gayo shipped directly from Aceh.
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icro, small and medium enterprises (MSMEs) are always looking for ways to streamline their day-to-day operations, from storing and packaging to shipping. Smart warehouses, for example, are one way to ease the burden on MSME entrepreneurs, freeing them from having to tackle complex logistics themselves so they can focus on other things like branding and market expansion strategies.
Amazara is a Yogyakarta-based MSME that sells a variety of women’s footwear on e-commerce platform Tokopedia. In using Dilayani Tokopedia, the platform’s assistance feature for merchants, Amazara has been able to optimize inventory management and upgrade its packaging and shipping services so they are faster and more secure. It has thus allowed Amazara owner Uma Hapsari to allocate more time to develop her brand.
“Our [delivery coverage] has also expanded with a significant increase in the number of orders from provinces outside Java. The highest [amount of orders] are from South Sulawesi, Riau, South Sumatra, West Kalimantan and Lampung,” said Uma.
Since opening its virtual shop on Tokopedia in 2017, Amazara has used the platform’s network of smart warehouses in Jakarta and Surabaya to achieve success.
The story of Toko Kopi Gayo, on the other hand, reveals how an MSME located outside Java was able to penetrate new markets across the archipelago. Founder and owner Iwan Aramiko explained that Toko Kopi Gayo’s remote production and storage sites posed unique fulfillment and logistical challenges, so like Uma, he decided to use Dilayani Tokopedia’s smart warehouse in Jakarta.
“Since we started using the feature, Toko Kopi Gayo has been able to attract customers from Java and eastern Indonesia. Not only did we manage to cut shipping costs so they could be more affordable, but [the facility] also helped our products reach our customers faster, compared to when we shipped the products directly from Aceh,” he elaborated.
Smart warehouses assist merchants in overcoming challenges in product inbound management, packing, shipping and even issue resolution. Now, shipping purchased items is now faster and easier across Indonesia, with the fastest delivery time a record 10 minutes from ordering to receiving a product.
“The farthest that an MSME has ever shipped with Dilayani Tokopedia in the first quarter of 2022 was from Medan, North Sumatra, to Merauke, Papua. Transactions also grew more than five times in the first quarter of 2022 compared to the first quarter of 2021,” said Samuel Simanjuntak, Associate Vice President of Fulfillment at Tokopedia.
