As a country with the world's largest Muslim population, the Ramadan moment is the most anticipated moment both in terms of spirituality and economics. This is because during Ramadan there is an increase in shopping as a moment of sharing and strengthening relationships, so the needs for shopping will be high especially before Eid.
This is indeed a blessing for e-commerce players who can seize the momentum ofRamadan to increase sales. According to data from The Trade Desk, 88% of Indonesians plan toshop in Ramadan 2024[1]. The data also shows that more than half (53 percent) of Indonesians plan to spend their Eid bonuses (THR) this Ramadan rather than saving them. In the decision-making stage of purchasing, consumers will start their online shopping research a month before Ramadan and peak 7-10 days before Eid, when Indonesians usually receive their THR.
According to internal data from Transcosmos Commerce, the sales growth increased about 20% month on month (MoM) during Ramadan 2023. This confirms that the Ramadan moment is important for e-commerce players to tap in this moment where demand is high.
Naoto Osada, CEO of Transcosmos Commerce, said, "Sales trends during Ramadan from year to year continue to show positive numbers. We are committed to helping our clients achieve sales targets during Ramadan with the right strategies to leverage this moment."
Therefore, Transcosmos Commerce is sharing several useful tips for businesses to leverage the Ramadan moment.
Only during Ramadan, Indonesian Muslims have a change in habits with suhoor around 03:00-05:00 and iftar around 18:00-20:00. Gadget and internet usage activities increase during this time, so you can provide the best offers such as giving flash sale for example.
Dynamic pricing tactics, essentially, are strategies to boost sales by implementing variable pricing depending on the existing demand. For example, when demand is high approaching Eid, you can apply higher prices compared to the beginning of Ramadan when demand hasn't surged yet. By employing varied pricing tactics, you can further increase revenue.
It is undeniable that Indonesian customers love discounts and promotions. This moment is crucial for you to provide various types of promotions such as bundle purchases, cash back promos, buy 1 get 1 offers, flash sales, and many more. The more diverse and attractive promotions you offer, the more appealing it will be to potential customers.
Women play a significant role in purchasing decisions, especially in households. According to The Trade Desk, millennial women are expected to spend more during Ramadan, especially on Makeup and Fragrances (49%), Health and Personal Care(52%), and Apparel and Accessories (61%). If you have products in these categories, pay attention to this demographic segment to increase sales.
Those are some tips you can try during Ramadan. "The effectiveness of sales during Ramadan depends greatly on understanding consumer habits and implementing the right strategies and tactics to provide a quality online shopping experience. Therefore, it is important for business players to consult with proven experts in e-commerce like us to achieve long-term success," Osada concluded.
[1] https://www.thetradedesk.com/us/news/press-room/new-research-shows-9-in-10-indonesians-plan-to-make-a-purchase-during-the-upcoming-ramadan
