Consumer Goods Companies in Indonesia Seek to Tap into Growing E-commerce Industry Header

Consumer Goods Companies in Indonesia Seek to Tap into Growing E-commerce Industry

International award-winning executive recruitment company Monroe Consulting Group Indonesia says traditional fast-moving consumer goods (FMCG) companies are implementing new E-commerce strategies to counter the rapidly growing threat posed by online E-commerce operators.

Andreas Saputra, head of Monroe Indonesia’s specialised Consumer Goods Division, said that for decades, consumer goods and consumer healthcare companies had relied solely on two sales channels, namely general trade and modern trade. That had changed in the last few years, he said.

“As social media and E-commerce are continuing to grow rapidly in Indonesia, many companies have begun to prepare new strategies to win market share in this new digital channel,” Andreas said. “These companies, many of which are our clients, realize that in the near future, people, particularly in Indonesia, will increasingly rely on E-commerce for shopping, from groceries and household items, to electronics and everything else you can imagine.”

Tina Nugraheni, head of Monroe Technology Division, said a number of multinational companies operating in Indonesia had begun to employ specialist E-commerce personnel, including Frisian Flag, Lion Superindo, LÓreal, Danone Group and Procter & Gamble (P&G), to name a few.

“Monroe operates five recruitment divisions, namely Technology, Consumer Goods, Health, Professional and Industry,” Tina said. “Increasingly we are seeing a real crossover with technology and our other divisions, and this is definitely the case with Technology and Consumer Goods. E-commerce is the future,” she said.

A former E-commerce manager with a leading multinational consumer goods company confirmed the trend, saying that at this point in time, the digital channel was yet to make a significant contribution to the company’s sales, with many Indonesians still preferring the experience of shopping themselves.

“But in 5 or 10 years, slowly but surely, E-commerce will play a significant role for almost all FMCG Companies,” he said. “In this tech era, the options are either to develop and follow the trends or die. All consumer goods companies should be hiring dedicated key account managers for E-commerce.”

Monroe Indonesia Managing Director Bagus Hendrayono said recruitment of key technology executives in Indonesia presented a number of challenges, particularly given the growth of E-commerce and a shortage of qualified or experienced professionals.

“Companies need to be able to source and hire the best candidates to fuel the growth of their businesses in what is a rapidly changing technological landscape,” Bagus said. “Monroe’s Technology and Consumer Goods divisions are the best at what they do. By combining the best elements of each division, including highly specialised industry knowledge in these sectors, we feel that we are best placed to meet the specific needs of the leading multinational and national consumer goods companies operating in Indonesia today.”

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