1. Startups

Seven Years of Social Bella, Reveals Ambition of Working on the Potential of "SHEconomy"

SHEconomy refers to economic growth that is increasingly focused on the needs of women

Social Bella, company beauty-tech owner brand Sociolla, revealed his ambition and new business model to expand his reach beyond the beauty and personal care market and focus on working on the potential of "SHEconomy" in Indonesia to the fullest. One of the initiatives that will be intensively carried out is the development of Lilla, a brand for mothers and children.

SHEconomy in question is a term created by SocialBella, refers to economic growth that is increasingly focused on the needs of women. The company estimates that this segment has a business potential of $59 billion with a projected CAGR of 9,4%.

“We are openly introducing our new business model, namely SHEcosystem which will help us build and connect multiple ecosystems from different industries into one integrated ecosystem. SHEcosystem will create opportunities for companies to carry out multi-dimensional expansion," said Social Bella Co-founder & President Christopher Madiam in a virtual press conference, Tuesday (29/3).

To realize the SHEcosystem, the company will unify all business lines, both from platform and logistics, then integrate them into one system. The move marks the company's ambition to work on markets outside of beauty and personal care at the age of entering its 7th year. The tangible form that will be felt by the end consumers from the unification of this ecosystem is the connected loyalty program in Sociolla and Lilla.

In further detail, one of the initiatives that the company will run aggressively this year is to develop the Lilla platform, brand mother and daughter, which also marks the company's first step in expanding beyond the beauty and personal care market. This platform was officially introduced in mid-2020, has now transformed into an ecosystem that answers all the needs of mothers and children in the digital era.

Lilla App powered by four features, including Easy Shopping which presents products and categories that are adapted to the stage of child development; Motherhood Tracker to monitor the course of pregnancy, observing every phase of child development; Personalized Experience; and Learn from the Expert contains various information about mothers and children that have been validated by experts in their fields.

Chris said, to improve the experience of mothers who are Lilla users, there will be an offline store that can be visited. This strategy has previously been successfully proven through Sociolla, which now has 35 outlets spread across Indonesia, since it first launched with two outlets in 2019. Over the next two years, the number of outlets will be increased by three times. “One of our focuses is to become the most complete ecosystem for mothers and children. There is an omnichannel plan so we can provide the best.”

Besides Lilla, Social Bella has transformed from its original platform E-commerce become the most complete ecosystem supported by other business pillars. Namely, Super SoCo app, beauty and lifestyle media with services end-to-end O2O marketing Beauty Journal, and Brand Development, a distributor of beauty and personal care products from upstream to downstream.

Seven year journey

Social Bella Co-founder & CEO John Rasyid said, over the past seven years, the team has learned a lot, from just a platform E-commerce become an ecosystem. According to him, one by one the innovations taken by this company formed the belief that Social Bella wanted to become a company tech-beauty with the most complete ecosystem because no one has done that in Indonesia.

“Store omnichannel and all these decisions and mistakes are the moments that most celebrate our success,” said John.

Chris continued, the biggest challenge that came to the company, actually occurred during the pandemic. Under these conditions, the company was able to prove that it could provide the best experience for its consumers through massive expansion of omnichannel outlets in various cities, to expansion to Vietnam. Now in the country, the company has nine outlets.

In Vietnam, the company first appeared in October 2020 via the platform E-commerce. A month later followed by the presence of one outlet omnichannel in Hanoi. Chris admitted that at the beginning his presence was greeted with enthusiasm by the community, but he had to fight extra because it was there lockdown full. “But when lockdown loosened up our shop started to get crowded. We're trying to bring local brands there that organically are getting a good response."

In adjusting the strategy there, the company does not necessarily assume that the tastes of its consumers are exactly the same as those of Indonesians. Social co-founder and CMO Bella Chrisanti Indiana said the company still adheres to guidelines on consumer-centric as an initial filter in order to understand what the consumer profile is like.

“We are trying to understand the market like what because it turns out that in northern Vietnam the conditions are cold, different from Indonesia, which is mostly tropical. More or less consumer profileThey are somewhat similar but have different tastes, so the product trends are also different,” he said. So far, Social Bella has only brought one brand local to Vietnam, namely Esqa.

In the discussion, Social Bella's management also exhibited the newest and largest warehouse with an area of ​​12 thousand square meters. The warehouse is located in Cikupa, Tangerang, which functions to accommodate all online and offline needs in the Social Bella ecosystem and is able to process orders between 40 thousand-45 thousand orders a day. The warehouse is also to support 24 other multifunctional warehouses spread throughout Indonesia, capable of serving more than 55 thousand points of sale for the Brand Development business.

Currently, Sociolla has more than 150 beauty and personal care brands marketed. The number of users has more than doubled compared to before the pandemic, significantly higher than the average 15% increase in e-commerce users in Indonesia last year.

In terms of retention, it is also claimed to be much better with a figure of more than 40% retention in one year, a jump of more than 23% from AOV, and more than 109% for the number of daily purchases when compared to pre-pandemic. For the number of employees, it almost touched the figure of 2 thousand people spread across Indonesia, Vietnam, and India.

Application Information Will Show Up Here
Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again

Sign up for our
newsletter

Subscribe Newsletter
Are you sure to continue this transaction?
Yes
No
processing your transactions....
Transaction Failed
try Again