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Virtual store marks national first for retailer

ALFAMART

 

COMPANY Sumber Alfaria Trijaya Tbk PT

BRAND VALUE US $426 million

HEADQUARTERS Tangerang

YEAR ON YEAR CHANGE 10%

INDUSTRY Retail

YEAR FORMED 1989

 

The Alfa brand is expanding across Indonesia through its Alfamart chain of minimarkets, Alfamidi grocery stores and Alfa Express convenience stores. Alfa also has a majority stake in the Indonesian operations of Lawson, the convenience store chain. Alfa now has more than 12,300 stores, about 10 percent more than a year ago, and recently opened two new warehouses, in Cianjur and Serang, to improve distribution. The brand has long been focused on innovation; it was the first minimarket in the country to offer online shopping and click-and-collect services, and has worked with partners to enable customers to book flights, do their banking and make payments to the national healthcare service from its stores. Its newest innovation is Alfa Mind, the first virtual store in Indonesia, which uses augmented virtual reality to make online shopping feel more like shopping in a real store. Marketing tends to focus on in-store promotions, communicated through TV, Facebook and Twitter, often featuring celebrity couple Raffi Ahmad and Nagita Slavina, whose products sell in Alfa stores. The brand also works with its suppliers to sponsor customers’ homecoming trips (known as Mudik) during the Eid Al-Fitr holidays. The company’s origins were in a trading and distribution business launched by Djoko Susanto and family in 1989, and the company moved into retailing a decade later. Alfa also operates in the Philippines.