Competition in Online Transportation Business in Indonesia
Thursday, 26/09/2019
On Thursday (17/09/2019), the Director of CSID, Mohammed Ali Berawi, explained to the public through an interview with Bisnis.com that there is an atmosphere of competition in the world of online transportation in Indonesia which is very tight. Ali Berawi explained that the ability to survive natural selection of each online transportation business actor can be seen from the resilience of capital, competitiveness, and innovation in the products offered.
This competition can be seen from the strategies and tactical steps of each competitor, namely in the form of promotions, bonuses, and various services offered. In addition, the partner recruitment strategy can also be seen from the provision of different facilities, incentives and profit sharing schemes.
Furthermore, according to Ali, another factor that affects resilience in the competition for online transportation applications is the search for each competitor in building a reliable and user-friendly website and application system. Thus, market share will depend heavily on innovative business patterns of each online transportation service provider.
According to him, transportation service providers will provide services that are cost efficient, comfortable, safe and on time. “This is the key to the success of the transportation service business. Service innovation is made to achieve these things,” he said.
In addition, the government as the regulator needs to continue to ensure that public transportation services meet the requirements as well as create conditions for business competition to run fairly and conducive, where the interests of the community must be maintained.
Finally, Ali said that the estimated online transportation business has generated more than 50 trillion rupiah per year and along with research in the world of statistics which states that online transportation revenue in Indonesia has reached 3.63 billion dollars per year or around 50.4 trillion rupiah per year.