The dimming prestige of the "Daily Deals" service did not dampen the spirits of the remaining players

In mid 2011-2012, service concept daily deal or those that offer very popular promos and discounts. Now services like this have diminished, even begun to disappear. In its heyday, we heard names like Groupon or LivingSocial. Now both of them are no longer in Indonesia, changed their names because their ownership was taken over or even stopped operating.

An article on Knowledge @ Wharton which aired last March said now is a dark era for the industry daily deal. In addition to business models that are no longer relevant, hawker sites daily deal considered selling goods at a price below the market. The article also mentions that Groupon, which once had its heyday, is now in the shadows of its past.

This slowdown in growth is thought to be due to several things. The first is that although the adoption of the Indonesian people towards mobile applications and technology continues to rise, the strategy brand or the product owner begins to change. They tend to use other marketing methods than partnering with discount service providers.

The second guess is because they want to get more profit margins. Displaying their products on promo or discount sites can affect their revenue margins. Service popularity daily deal began to erode as many services began exploring user loyalty programs that offered discounts to their loyal customers. Another way of getting users.

Industry players are still optimistic

Service industry deals still considered to have potential by the players. Co-Founder SopSip Raymond Salim to DailySocial tell that their service, a sharing community deals, is currently in the developing stage and is even projected to reach 200% growth.

“I think SopSip's potential is huge and you could say it's still there stage warm-up. We are very excited for what SopSip can offer to user we are in Indonesia,” said Raymond.

SopSip is a service that helps users share discount information they know or even have (if they own a business). SopSip relies on users as the spearhead for the availability of promos and discounts. SopSip believes that by maintaining the quality of the content, people will trust and turn into users.

There are also PartyDiscount, a service established to help merchants, brands and malls promote. With 17 thousand visits and 357 downloads for its Android application, PestaDiskon CEO Aditya Rahardi still believes their business will grow.

Another positive signal is also shown Picodi. The service, which is available in several other Southeast Asian countries, believes that their business is in a growing stage in Indonesia. They even claim to experience very significant growth and are optimistic to dominate the Indonesian market in 2018.

"The best and shortest way to describe it is: growing. We are continuously growing in Asia and Indonesia is definitely one of the leading players in terms of growth rate at Picodi. I won't tell you the exact number, but I can tell you that since the last time we talk to you guys, we have grown 6 times bigger and are looking to dominate the market in 2018," said Picodi Market Manager Alan Steczko.

Problem

According to the three sources, there are two problems that are considered to be hampering the industry deals growing in Indonesia. They are discount information communication and education to the community.

"So far mindset people about discounts are goods that aremarkup then just a discount. This we want to change mindset that, because many [services] E-commerce who created the concept of such a discount. We want intercept them so that people who want to shop can become smart shopper, said Aditya.

Alan explained that without good education in the community about using voucher codes for promos or discounts, services like this will be very difficult to develop. According to him, Picodi has done his best, it's just a matter of time before he can be well known by the public.