Proposed Marketing Strategy to Increase Digital Smart Poultry Market Readiness in West Java

Abstract

Coronavirus diseases (COVID-19) have been impacted to the decrease in poultry product demand in Indonesia which leads to cause oversupply and declining in this industry margin. As one of the companies that promote digital transformation in Indonesia, Indonesian ICT company develops a new subsector in its digital agricultural platform to solve the problem. This company created Minimum Viable Product (MVP) to develop its current digital platform in subsector poultry (digital smart poultry). It consisted of several features such as funding, partnership, and B2B/B2C marketplace. After planning the MVP, the problem is mainly focused on determining the market readiness for smart poultry digital platform and how to create the most suitable marketing strategy to enter the market. They also had not specified the target segment to sell the products yet. This research is aimed to explore more whether the poultry farmers need the smart poultry digital platform to solve the problem, the market readiness, and formulate the marketing strategy and implementation plan for the smart poultry digital platform that targeted on poultry farmers. To validate the issue in the poultry industry, the authors conduct a preliminary survey by interviewing poultry farmers in West Java. Next, to gain in-depth insight into the product necessities and market readiness, the author did an environmental analysis (internal and external) as the base to formulate the SWOT-TOWS analysis. The internal analysis that has been used for this research consists of Business Model Canvas (BMC) and VRIO analysis. The author used PESTEL, Porter’s Five Forces, competitor, and consumer’s analysis for the external analysis. According to the analysis, the poultry farmers as the targeted consumers are considered ready and necessary to use the product. After formulating SWOT-TOWS based on the environment analysis, the author used QSPM analysis to determine the most suitable business and marketing strategy to be implemented. The author proposed several strategies and implementation plans that consisted of 1) Increase the smart poultry digital platform capabilities (especially in IoT to help solve the poultry farmers’ problem). Optimize digitalization for business development and marketing (SO2), 2) Optimize the service marketing (ST1), and 3) Maximize the use of integrated marketing strategy to maximize promotion (WT3).