Get to Know Scan and Go, Retailers Who Want to Popularize the Omnichannel Concept

According to the e-Conomy 2022 report, Indonesia has a sector E-commerce with the second fastest growth after Vietnam with an estimated GMV of $59 billion and a CAGR growth of 17% until 2025. The report also stated that although spending activity offline now starting to get excited again, the trade sector online still accounts for 77% of the entire digital economy.

Behind the predictions of green growth in this sector, people still need physical touch when shopping. Hence the concept appeared omnichannel and now more and more intensively carried out by retail players e-commerce. Quoting from two reports from The Trade Desk and McKinsey, it can be summarized that omnichannel will remain for now and in the future for the retail business.

This spirit is echoed by "Scan and Go" (PT Global Retail Digital), a retailer that focuses on concepts omnichannel, or as they call it O+O (on line and offline). This startup, which was established in January 2022, provides an online shopping experience for home needs online and offline by directly visiting the consumer's nearest physical outlet, as well as various non-cash payment options.

Accept Scan and Go provides products for home needs, ranging from fresh food, household appliances, linen & textiles, electronics, and health and beauty products.

In a joint interview DailySocial.id, CEO of Scan and Go Agung Tianara explained, before it fully became a supermarket outlet, it was originally one of its business units store enabler open official store on the platform e-commerce.

"Then as time goes by, the number of SKUs and... inventory Warehouses continued to grow, eventually shifting the warehouse's function as a service store online order fulfillment, as well as direct sales to consumers," said Alla, Agung Tianara's nickname.

Alla herself is not new to the world of retail. In his track record, he has held several positions in retail companies and e-commerce, including Watsons Indonesia, Monotaro Indonesia, and Hero Supermarket.

Scan and Go provides four different shopping methods, apart from paying through the supermarket cashier, namely:

1. Smart Shopping: shopping using the Scan and Go application, scan barcodes product directly in the store or select the product on the application product page. You can bring the goods yourself, pick them up or deliver them to the delivery address.
2. Smart Cashier: shop with an independent cashier, scan the product, pay online, packing, and take it home.
3. Smart Trolley: shopping with trolley which is equipped with facilities scanner and shopping tablets. Enough consumers scan The product is on the trolley, paid for and packed at the table packing.
4. Smart Shop: shopping without trolley, consumers can use the application to scan barcodes, pay via the application, and then the Scan and Go team will prepare the products that have been purchased.

Even so, the company still provides shopping options in the traditional way, by coming to the store, taking the desired product, and making payment at the cashier. "We still provide the last option, considering shopping education online "to the community is still ongoing, and traditional methods are still needed to bridge it," he explained.

The payment options are also varied and adjusted to the shopping method chosen by consumers. For example, for regular shopping trolley, consumers can use cash or debit payments; Smart Trolley and Smart Cashier utilize QRIS; and Smart Shop utilizes online payments, such as virtual accounts and credit cards.

Scan and Go's physical outlets not only function as shopping places, but also as dark stores to serve consumers who order online or partner with business people. quick commerce/e-grocery others in providing services online orders nor click & collect. The five outlets are now spread across four cities, namely Padang, Bali, Bekasi and Tangerang.

Optimism omnichannel

In fact, the concept promoted by Scan and Go can already be felt in various other supermarket retailers. Indomaret and Alfa Group, for example, have provided their own applications and official store on the platform E-commerce to reach various types of consumers. A similar experience is also offered by Ranch Market, especially since joining Blibli ecosystem.

So what differentiation does Scan and Go offer? Alla is optimistic, with the O+O concept wrapped in digital technology, and the best quality product range, it can attract all levels of consumers. Moreover, they claim that the prices they sell are also competitive with other local retailers.

It is no secret that margin competition in the retail world is very complicated, not to mention having to compete with traders who take advantage of the presence of platforms e-commerce. If you make a wrong move, you have to be prepared to go bankrupt, as has happened recently since the pandemic hit.

"We will continue to provide the best for consumers, both in terms of product quality and competitive prices. There are many other benefits that consumers can experience: the program membership, free delivery, installments for electronic goods, complete variants in categories and products fresh whose quality and hygiene are maintained."

The company targets its consumers to be housewives in the young age group up to 50 years and tech savvy, who shop for weekly and monthly necessities.

Because it makes technology a backbone company, Alla sees that in the next 5-10 years, supermarket customers will be dominated by the younger generation. This group is already familiar with digital technology and concepts omnichannel has an important role in improving the shopping experience.

"One of our continuous innovations is O+O. So our shopping concept can be implemented anywhere, including shops online nor offline, and can use shop facilities offline for shopping on line."

He continued, "This concept can increase total retail sales, despite the sales contribution online —according to various data—only 1% of the total retail sales. Jadi footeverything will be obtained from offline and online. Expect sales online rising because internet penetration is getting higher. So concept dark store the potential will be greater."

Throughout this year the company will expand its physical outlet presence to 16 stores, with the concepts of hypermarket, supermarket and HABA (health aid beauty aid). Meanwhile, from the online side, Alla admitted that his party is developing a shopping method which is expected to strengthen Scan and Go's vision of "Better Shopping Experiences".

In realizing the plan above, Alla admitted that currently the company is raising fresh funding at the initial stage, which is said to be still ongoing.