How to Market Research (SME Edition)

“Products are made in factory, but brand are created in the mind.”
— Walter Landor

Hi guys, we meet again on our digital marketing journey. Anyway, I will tell you something about digital marketing activation campaign plan for SME that I was doing some research on 2020.

disclaimer: this idea is only for my learning purpose only, but feel free to give some feedback 😆

Digital Marketing in Indonesia

Indonesia, nowadays has a lot of internet users, on 2022 our internet user is already reach 212 Million Users with year-on-year growth 5.5%. And so many using retail app such as marketplace with 62% of total digital user’s population shop at any marketplace. If we talk about marketplace, In Indonesia there are several marketplace that often used by Indonesia citizen. Based on 2020 data:

• 77% of women tend to choose shopee for online shopping compared to Tokopedia marketplace.
• For Male gender, they prefer using Tokopedia for online shopping 22% more compare to shopee.

Based on Age:

• 19–35 y.o with total percentage 77% of all users tend to shopping at shopee.
• 35+ y.o with total percentage 24% of all users using Tokopedia service for online shopping.

Based on Location:

• 58% of user in Jabodetabek prefer to online shopping at shopee rather than Tokopedia thant only have 16% of users in jabodetabek.

And people know using social media, search engine and other digital apps every single day. A study also says that digital marketing have a funnel flow as described below:

Figure 1. AISAS Method

AISAS method is a digital funnel method that used by marketers to promote their products, for more details about AISAS method you can see my other article here.

Small medium enterprise (SME)

In Indonesia, SME’s is growing fast for the past 5 years because of the digital activation. they’re often create content as on TikTok, Instagram, Facebook ,Search engine and other platform to promote their product.

Figure 2. Growth of SME in Indonesia from 2015–2019.

As you can see on the figure 2. that over 5 years recently, SME is already growth over 10% from 2015. And also we need to educate them about how to creatively use their social media as their tools to do digital marketing.

Market Research

*disclaimer: this research has been done on 2020, those data won’t be accurate anymore now :)

In this article, I would like to discuss about SME brand called Otello. what is Otello?

Figure 3. Otello Marketplace.

Otello is a creative product manufacturer specializing in Laser Cut, Engraving and UV Printing since 2015. you can access their website here. The objective of this research is because of my curiosity about the retail market and especially unique product such as otello, they have lots of custom product acrylic that can be printed as per customer request.

Qualitative Research

So I’ve done some several research by doing some interview with recent customer that related to this business. here are the question list that have objective to know the customer intention on using their services/buying products:

Survey Criteria:

5 respondent from inner-circle interviewer with several persona:

1. ender: Male/Female.
2. Age: 16–40 y.o.
3. Interest: Kpop / kdrama, Indie, Souvenirs, online shopping, Acrylic
4. Social Media: Facebook, Instagram, Pinterest, tiktok, Spotify
5. status Social Economy: Low-Med
6. Work status: College Students, High school Students, Tech Company, Corporate Company
7. Location: Java Only

And here are the result of the qualitative survey

Figure 4. Qualitative Research Result.

Quantitative Survey

In this project, I also conduct some quick survey from my inner circle (aim about 40–50 respondent) and here are some questionnaire that I already conduct on this project:

1. Do you ever buying any products/souvenir related to acrylic?
2. If yes, where do you bought it?
3. Do you know Otello?
4. What age are you?

And as the result you can see on the figure below:

Figure 5. Quantitative Research Result.

based on data above, that only 9% of the survey result that know about otello lasercut between marketplace or their website.

Quantitative Market Research

Google Keyword Trends

Based on my research on search engine, there are some trending topic about acrylc product as defined below

Monthly Search Volume

1. Face Shield Acrylic: 590 Search volume Last 30 days
2. Botol Tumbler: 2.400 Search volume Last 30 days
3. No Rumah Akrilik: 1.900 Search volume Last 30 days
4. Akrilik Spotify: 480 Search volume Last 30 days
5. Custom Akrilik : 320 Search volume Last 30 days

**All above keywords have been searched by the user using the google search engine

Notes: Surpsringly, Faceshield Acrylic search queries breakout during Dec 2020 — Jan 2021 (this trend is caused by covid outbreak on 2020)

Digital Marketing Plan for Otello

Figure 6. Digital Marketing Campaign Plan For Otello

based on figure 6. those are my current plan to execute campaign for brand awareness campaign, chinese new year campaign & valentine campaigns. This campaign will tell about targeted leads to let them open Otello’s marketplace store or their website. Else, we will execute A/B testing method to analyze otello’s content creative.

based on figure 7. there will be some cost to maintain otello’s facebook ads as defined below:

Digital Advertisement Brand Awareness Objectives

• Create 1 Facebook/Instagram Ads Campaign with call to action “shop now” that redirect to your marketplace to increase your brand awareness
• Searching the best marketplace call to action to execute single campaign with a powerful results

Strategy

A/B Testing Based on Ads Call to Action that will be redirect either Tokopedia or Shopee.

Figure 7. Estimated Budget & Reach

Let’s Count

• Avg. B2C Facebook/Instagram Ads CTR are 1,59% for otello’s type of business and conversion rates (CVR) around 3,26% (Mark,2020).
• Based on Data, Otello Potential Reach data that I’ve research, Otello Reach Estimation are around 7,6k to 22k so it will drive an engagement for about 120–350 clicks to visit your Tokopedia/shopee page daily with conversion rate 4 to 11 conversion/day to engage with your platform or bought otello products.

Key Performance Indicator (KPI)

Based on Facebook Ads Manager Potential Results:

• Monthly Reach Users: 228k — 660k users
• Monthly Store Traffic: 4.200–12.150 Users

Figure 8. Estimated KPI from Facebook Ads

Closing

So there are my research about the digital marketing method for SMEs. So if you have any questions or thoughts about it, you can comment this article 😃 Cheers 🍻