Fresh Bargain

Forbes Indonesia|May 2020

Fresh Bargain
Super Indo supermarket is growing its business during the pandemic.
Robert Yota

The spread of the COVID-19 has negatively affected many industries. Bank Indonesia’s (BI) latest Retail Sales Survey reports that the Real Sales Index (RSI), which measures retail sales growth, has been declining in the first two months of 2020. On year on year basis, RSI contracted 0.3% and 0.8% in February. The survey also predicts sales in March to contract further, estimating an annual drop of 5.4%. Particularly since the first positive COVID-19 cases were confirmed in March, the declining trend is likely to continue, as the government imposes stricter measures on social distancing, forcing malls and restaurants to close down or limit services.

Although malls are closing, the supermarket is among few businesses allowed to open and have the opportunity to profit from the situation. Among the players who gain from the windfall is PT Lion Super Indo. The company, which operates Super Indo and Super Indo Express supermarkets, currently manages 179 stores in Java and Sumatra (Palembang and Lampung) and already reported a pick up in sales figures.

PERFORMANCE FIGURES 2017-2019

In million Euro

“There was a drastic increase in sales in the first week of March when the panic buying occurred, just after the government announcement of the first positive COVID-19 cases in the country. However, we still see an increase in sales although the peak was the first week of March,” says Super Indo chief executive officer Johan Boeijenga.

articleRead

You can read up to 3 premium stories before you subscribe to Magzter GOLD

Log in, if you are already a subscriber

GoldLogo

Get unlimited access to thousands of curated premium stories and 5,000+ magazines

READ THE ENTIRE ISSUE

May 2020