The Indonesian security market is showing strong promise with robust investment in public infrastructure and supportive government policies helping to encourage customer confidence, according to King Hartono Hamidjaja, Country Sales General Manager at Robert Bosch. “Strong investment and public infrastructure drive
The Indonesian security market is showing strong promise with robust investment in public infrastructure and supportive government policies helping to encourage customer confidence, according to King Hartono Hamidjaja, Country Sales General Manager at Robert Bosch.
“Strong investment and public infrastructure drive become accommodative monetary policy and will also help to bolster investor and end user confidence and this situation also become the factors that driving market for security in Indonesia,” said Hamidjaja. “Also SMB market showed potential for retail sector growth. The main propeller of that growth was the growing middle class in Indonesia, whose members were becoming increasingly brand conscious. And for retail market itself, benefit from increased domestic purchasing become more promising for Indonesia and this also become demand for security market especially for CCTV and Public address product.”
The major verticals showing promise in the country include hotels and retail, according to him. Improving economic conditions have resulted in improved consumer purchasing power. This has helped several international chain stores to step into the market.
“Indonesia retail/chain store market showed potential for retail sector growth. Now, many new retail chain store come to Indonesia, for example IKEA, AEON , Lulu, etc.,” Hamidjaja said.
“Indonesia's retail sector is benefiting from increased domestic purchasing power, which has helped the country offset the slowdown in the global economy.”
Adding to this is a rapidly improving tourism industry. Indonesia is one of the major destinations for holiday today and this has helped the hospitality vertical to move forward. The demand once again reflects the economic progress the country is making and the rise in the economic levels of its citizens.
“For hotel / hospitality market, the effect of Indonesia's growing economy on its tourism industry has been profound,” Hamidjaja said. “Rising disposable income levels have given rise to a healthy demand for domestic travel. The marked increase in visitation from countries in the ASEAN, together with the expanding air transport network in the region have been strong catalysts for the growth of tourism in Indonesia.”
However, the market is not without challenges. One among them is the government sector as it largely depends on the political situation in the country.
“For Government sector because more driven by political situation and also because of some pending budget approval so this situation also become challenges for us especially for big project and multi years projects which is related to our product update and specifications,” Hamidjaja said. “So with this situation, we must make sure for the specification to use the update product and also considering for time line proposal and price. But for government project we quite confidence because not may company in Indonesia also can show the good administration like what we have such as local legal entity, local authorized service center, legal importation etc.”