Rethinking Marketing in ASEAN

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Seminar on “Business Opportunities in An Integrated ASEAN”

August 13, 2009

HERMAWAN KARTAJAYAPresident of World Marketing Association

Tri-Founder of Philip Kotler Center for ASEAN MarketingCouncil of Advisors of ASEAN Foundation

One of 50 Gurus Who Shaped the Future of Marketing - CIM, United Kingdom (2003) Recipient of The Distinguished Global Leadership Award - Pan Pacific Business Association (2009) 

RETHINKING MARKETING IN ASEAN!

New Approach, “New” Market

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Why?

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ASEAN Air Caravan ASEAN Day 2009

Breakfast in JakartaBreakfast in Jakarta

Dinner in Bangkok

Dinner in Bangkok

Lunch in Kuala Lumpur

Lunch in Kuala Lumpur

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ASEAN Air Caravan ASEAN Day 2009

Breakfast in JakartaBreakfast in Jakarta

Dinner in Bangkok

Dinner in Bangkok

Lunch in Kuala Lumpur

Lunch in Kuala Lumpur

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The three pillars of ASEAN Community

Economic Integration and

Cooperation

Human and Social Development

Regional Peace and Stability

PEACE PROSPERITY PEOPLE

ASEAN Community 2015One Vision, One Identity, One Community

ASEAN Community 2015One Vision, One Identity, One Community

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ASEAN from the Top

Politics Economics Culture

Economy

Market

SocialCulture

PoliticalLegal

Technology

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ASEAN: Politically and Economically Dissimilar, Culturally Similar?

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ASEAN: Politically and Economically Dissimilar, Culturally Similar?

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Economy

Technology

Market

PoliticalLegal

SocialCulture

One to ManyOne to Many Many to ManyMany to Many

GovernmentGovernment

GovernanceGovernance

BeliefBelief

HumanityHumanity

CloseClose OpenOpen

G7G7 G20G20

The landscape is changing, we’re increasingly living in the new horizontalized world…

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CHANGE AGENTS

COMPETITION CONNECTOR CUSTOMER

COMPANY

4C LANDSCAPE 5C GLOBOSPHERE

…in a connected landscape

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SOCIAL SOCIAL

EXPERIENTIAL EXPERIENTIAL

MOBILE MOBILE

The Three Connectors in New Wave LandscapeBeware Of Their Emergence

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Several examples of connectors

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What?

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The imperative for ASEAN MarketersThe Shifts in Approach: From Nine Core Elements to 12Cs

LEGACY MARKETINGLEGACY MARKETING

Segmentation

Targeting

Positioning

MARKETING MIX

Price

Promotion

Branding

Process

Differentiation

Product

Place

Selling

Service

NEW WAVE MARKETINGNEW WAVE MARKETING

Communitization

Confirmation

Clarification

CROWD COMBO

Currency

Conversation

Character

Collaboration

Codification

Co-creation

Communal Activation

Commercialization

Caring

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Think of the emerging community out there!

Hint: New Active Youth

http://www.14thaseansummit.org/thailand_activities_08.php

ASEAN Discovery:ASEAN Cartoon and Comic Book for ASEAN people and its

culture, launched in the 42nd ASEAN Ministerial Meeting in Thailand 2009

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Think of the community: New Active Youth

The Baby Boomer gen is the legacy community

…and the children of the web are in the new wave communities

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How?

Hint: Ride the Growth Momentum of Indonesia

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Indonesia: 101 years after its National Awakening

Political – Legal FrontPolitical – Legal Front Economic FrontEconomic Front Social – Culture Front Social – Culture Front

“Indonesia's success in building democratic institutions in just 10 years is equally remarkable.”- “Indonesia Is a Model Muslim Democracy” by Paul Wolfowitz, The Wall Street Journal, July 17, 2009

“Indonesia’s economy is set to emerge a “winner” after avoiding the worst of the global financial crisis, the World Bank’s country director said. ” - Bloomberg, July 10, 2009

“The online generation in Indonesia is saying that “we're not afraid” - ABC News, July 28, 2009, from the article “Bombs are so 2001: terrorism fight goes online”

“Indonesia Unite is a way for us to say to the outside world that, 'hey, look, this is Indonesia and we're OK, and we're united” Enda Nasution

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High expectation towards the next five-year term of SBY

Indonesia is the third fastest growing major economy in Asia after China and India.

World Bank: “Indonesia is a positive outlier in the world right now.”

Asia’s third-most populated country has also skirted recession, unlike many of its neighbors that rely more on exports.

Declining interest rates helped boost consumption, which accounts for more than 60 percent of Indonesia’s GDP.

Indonesia is the third fastest growing major economy in Asia after China and India.

World Bank: “Indonesia is a positive outlier in the world right now.”

Asia’s third-most populated country has also skirted recession, unlike many of its neighbors that rely more on exports.

Declining interest rates helped boost consumption, which accounts for more than 60 percent of Indonesia’s GDP.

Bloomberg.com article, “World Bank Says Indonesian Economy a ‘Winner’ Amid Global Slump”, July 10, 2009

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The economy is considered as the Southeast Asia unlikely star

China

India

Indonesia

ASEAN-5

World

USA, Europe, Japan

Jan-08 Oct-08 Jan-09 Apr-09 2010P

• Indonesia’s economy was “saved” from the worst of the global recession by robust domestic demand, Vice President designate Boediono said in Singapore on July 28. Growth this year will be about 4 percent, he added.

• “We have gone through the worst of the crisis,” Boediono said. “Now we’re seeing some light at the end of the tunnel.”

• Indonesia’s economy was “saved” from the worst of the global recession by robust domestic demand, Vice President designate Boediono said in Singapore on July 28. Growth this year will be about 4 percent, he added.

• “We have gone through the worst of the crisis,” Boediono said. “Now we’re seeing some light at the end of the tunnel.”

GDP Growth 2009 and 2010

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The social culture is traditionally very nationalistic and creative

Indonesia:

has the most users of Friendster (30.3%) and Multiply (22.5%) – www.alexa.com

Has the 7th most users of Facebook

Has recently created the number one trending topic “#Indonesiaunite” in twitter

Has 179 million mobile phone users

Indonesia:

has the most users of Friendster (30.3%) and Multiply (22.5%) – www.alexa.com

Has the 7th most users of Facebook

Has recently created the number one trending topic “#Indonesiaunite” in twitter

Has 179 million mobile phone users

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…and the younger generation are ASEANist too, who live by the spirit and transformation of ASEAN

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Thank You