Blibli Acquires Majority of Ranch Market Shares, Efforts to Strengthen Online Grocery Line

PT Global Digital Niaga or known as brand Blibli will soon acquire a majority stake in PT Supra Boga Lestari, the company that operates Ranch Market. Based on the disclosure submitted on the IDX, both parties have signed a Share Purchase Binding Agreement (PPPS) with a plan to take over 797.888.628 shares or equivalent to 51% of the total issued and fully paid capital.

This strategic action is interpreted as Blibli's effort to strengthen the service value proposition Grocery they are BlibliMart. On the occasion of the media meeting at the end of 2020, company says the daily staples category is among the best-selling throughout the year. Although not detailed in numbers, it is described that the number of purchases at BlibliMart increased by 3 times during the pandemic.

Just like a supermarket, the main products at BlibliMart are basic necessities such as rice, sugar, cooking oil, etc. For business process efficiency, in particular they have branch offices (including warehouse) in several cities including Greater Jakarta and several areas in East Java. Expansion efforts continue to be made, considering the need for groceries Generally the shipping options selected are same-day delivery; In addition, there are several types of products that cannot last long in shipping, such as meat or fresh ingredients.

As of 2020, Blibli has operated 20 warehouses and 32 points hub in 15 major cities. According to him, the presence of this logistics infrastructure allows the company to serve consumers at the national level.

Strengthening of features is also constantly being done, their latest brings subscription options so that consumers can save on every shopping for daily necessities in the BlibliMart category. This option provides two advantages. The first is a fixed price, customers will be charged the same price even if there is a price change during the subscription period.

The second is a fixed discount, customers will be charged the same percent or nominal discount even if there is a price change during the subscription period. Both can be selected with a subscription period of up to 54 weeks for a weekly frequency subscription and 12 months if a monthly frequency is selected.

Blibli VP Trade Partnership Stephanie Santoso conveyed, the current market trend in Indonesia is the background for the company to release the Subscription feature.

Ranch Market Property

Since its establishment in 1997, the company currently operates 48 stores, consisting of 16 Ranch Markets, 29 Farmers Markets, 1 The Gourmet by Ranch Market and 2 Day2Day by Farmers Market. The modern retail stores are spread across several cities in Greater Jakarta, Surabaya, Malang, Balikpapan, Samarinda, Pekanbaru, Ambon, Dumai, and Palembang.

Initially Ranch Market was a franchise format from Ranch Market USA. However, along with its development, there have been many improvements made regarding adjustments to the local market and consumer characteristics here. Until 2010, the company terminated the license agreement with Ranch Market USA, and since then the company has obtained permission to use the Ranch Market brand in Indonesia.

Of course, there are several advantages that BlibliMart can get from the synergies that will be built later. In addition to retail store properties Grocery owned by its reach, practice supply chain Fresh products for daily needs that are sold can also be applied to provide better service. Scenario online to offline can also be applied to bring new experiences to customers.

Sales value online groceries

Menurut Minister of Trade Muhammad Lutfi, sales of fresh food products in online marketplace will generate a value of more than 21 trillion Rupiah in 2021, an increase of 18 trillion Rupiah compared to the previous year period. If this achievement is successfully inscribed by the ecosystem, he is also steady with a projected achievement of 108 trillion Rupiah in the next five years. Obviously this is no small number for a relatively new line of industry.

This potential is certainly not missed by local innovators. Various startups are competing to become market leaders in the sector, including in an effort to get an injection of funds from investors. From note DailySocial.id, since Q2 2020 [the early period of the pandemic] until now, there have been 10 investments recorded, including:

In addition to a specific digital platform that provides fresh product ordering services, customers unicorn locals are also flocking to strengthen the division online grocery-his.