2019

Marketing Plan Final Paper

Analysis of Matchamu Marketing Activities

MMBM 37A Universitas Prasetiya Mulya

Akbarilman Satinputra – 01512181015
Krisan Felicia Naomi – 01512181031
Lukas Ekaputra – 01512181017
Nala Achmad Kencana – 01512181002
Yosua Leonardo – 01512181010
 I. Company Profile

PT. Matcha Muda Manggala was established in 2018 engaged in FMCG

industry focus in providing fast food drinks. In its early establishment in 2013, the
company was an café located in Pogung area, Kaliurang street, Jogjakarta. It was
founded by 2 people named Lintang Wuriantari and Dhiksta Olya. The café itself,
named Matchamu, which was inaugurated in 2013, began their focus on selling matcha
products. They sold various of food and beverages with matcha as the basic
ingredients. For 3 years Matcha café showed good prospects in the sale of products
and become well-known café in Jogjakarta.

Matchamu began to grow and develop in 2016. Matchamu café developed the
company to become UD. Matcha Persada. In its development, they began selling
matcha products in powder form and packed alufoil sachets. The sale of matcha
products in powder form was based on requests from their customers. The high
demand for their products made them increasingly convinced to develop themselves
in the sale of matcha powder products. For 3 years Matchamu became a company that
has been known and trusted by many people, especially in Yogyakarta.

It didn’t stop there, Matchamu is committed to develop their products through

innovation for customer satisfaction. In 2016 Matchamu tried to enter the Modern
Trade market. In 2017 UD. Matcha Persada participated in the Indonesian Start Up
food competition which was held by Badan Ekonomi Kreatif (BEKRAF), the final round
of which was held by Yogyakarta in October 2017. Joining this competition wasn
believed as one way for Matchamu to develop and introduce their products to the
community. As the result, Matchamu became a finalist and successfully competed from
150 food start-up who had participated in the BEKRAF program. Matchamu was
chosen as the first winner in the 2017 Indonesian BEKRAF Food startup program.

Having champion title in their hand, in 2018 UD. Matcha Persada decided to
develop the company in which they transformed their company into PT. Matcha Muda
Manggala and built their first factory called House of Matchamu located in Bangunjiwo,
Kasihan, Yogyakarta. Not only in terms of company form, the company size also
getting bigger from only having 8 people up until 94 who work under PT. Matcha Muda
Manggala.

The vision and mission of Matchamu is to become a pioneer of fast-food drinks

based on natural ingredients in Indonesia and to promote the cultural mission of
drinking green tea in Indonesia. Recently, Matchamu become the largest importer and
supplier of Japanese matcha and hojicha products in Indonesia. To be consistent with
their vision and mission, Matchamu only choose the best tea producer in the world
which is The Kyoto Test-Area. This then become one of the strategic differentiations
introduced by Matchamu to the market.

In 2018 Matchamu become the largest importer of matcha and hojicha products
in Indonesia. Matchamu is also become supplier for several cafes from CRP Group
Indonesia and several large cafes in Indonesia. Matchamu successfully work with PT.
Indomarco Adi Prima as their distributor in selling their Matcha products. Other than
that, Matchamu products can be obtained in several modern trades throughout
Indonesia and several suppliers that have spread throughout Indonesia.

Matchamu sell 2 types of product which are Matcha Latte and Hojicha Latte in
sachet form. They sell it in boxes contains of 3 sachet and other form pf boxes contains
of 5 sachet.

Matcha Latte Hojicha Latte

Product Form
 II. Company Current Marketing Activities

As has been mentioned earlier before, Matchamu changed from a café in

Jogjakarta who sells different kind of food and beverages made from matcha / green
tea into matcha latte in sachet form. It was derived from the customer needs who really
like its taste in willing to buy and consume it at home. The drastic changes in Matchamu
form will resulted transformation in their marketing activities.

Discussing about marketing activities is closely related to value creating and

delivery sequence. There are steps to communicate product’s value to the targeting
market. In this case we are going to discuss the steps as follow:

The very first thing to be elaborate here is the customer segmentation of

Matchamu. Currently, people are being more concerned on health. People pays
attention to all aspects of health conditions. Starting from food, drinks, nutrients
consumed and our daily behaviour. But still, people want to enjoy the healthy lifestyle
in a fun and simple way. Millennials, especially, which was born from 1980-2000, are
the ones who are being closely impacted by the era and information technology which
makes them familiar with simple and concise life, including in consuming products.
Whether just following the trend or really concerned on healthy lifestyle, Millennials
also tend to be interested in anything called as healthy but taste good.

This was captured by the owner of Matchamu, to be targeted as the segment

for their products. Looking back to the attribute of the Matchamu, in which the product
was claimed made using the best tea without essences, artificial flavors or additional
artificial colouring, this clearly explained how Matchamu focused on delivering healthy
drinks to their market, in this case, Middle-class Millenials who has shifted their lifestyle
into healthier.

Precisely speaking about the market segmentation, the market size of

Matchamu’s market can be seen as follows:
 By looking at the size, Matchamu optimist to develop its product widely to the
market.

However, Matchamu is not the only brand who sell matcha drink in sachet. It
can not be denied that there are some competitors playing on the market, offering the
similar product. It is the differentiation that allows the Matchamu to contrast its own
product with competing products in the market and emphasize the unique aspects that
make its product superior. The differentiation proposed by the company here in again,
healthy matcha latte without essences, artificial flavors or additional artificial colouring,
which make Matchamu different from the other products.

Communicating products' attributes to the target customers based on customer

needs is no less important than indentifying the differentiation. Positioning is how, in
this case, Matchamu can communicate its differentiation to be attached in consumer’s
mind. It refers to the place that a brand occupies in the minds of the customers and
how it is distinguished from the products of the competitors. The position of Matchamu
as green-tea sachet product among it competitor can be seen as follows:
 The company saw the whole in the market which demanded high level of natural
taste with quite affordable price. Matchamu positioned the product as natural taste
matcha latte with medium price. Matchamu value positioning strategy can be
categorized as “benefit positioning” which emphasizes the unique benefits that the
organization or product offering offers to its customers, in this case, healthy beverages
with no chemical essences.

“Consumer don’t buy the products, they buy the brands”. It well-described the
importance of brand for a product. A brand represents the sum of people’s perception
of a company’s customer service, reputation, advertising and logo. And when all of
these parts of the business are working well together, the overall brand tends to be
healthy. It can not be denied that building a brand will cost company’s time, money and
energy.

Back to the history of Matchamu, the brand was coming from the Matchamu
cafe which sell various food and beverages made from matcha. The coffee shop was
very famous among people especially millennials in the City of Jogjakarta. Derived
from the fact that the brand was not firstly created as what it is now, it can be
categorized as brand expansion. However, during its journey, as the winner of
competition conducted by Badan Ekonomi Kreatif (Bekraf), Matchamu products was
choosen by Salim Group to be distributed under their company. As results, Matchamu
was massively used at cafés and restaurant in big cities under Salim Group.

Other than that, they also put their product on middle-up distribution channel
such as, Jabodetabek: All Fresh, Hari-Hari, Jakfruit, Gelael, K-mart, Market City, Santa
Swalayan, Rezeki, Total Buah, Duta Buah Green Garden, Lulu Supermarket, Ranch
Market, Farmers Market dan Aeon in Jabodetabek Area and Indomaret, Alfamidi,
Transmart, Pamela, Mirota Kampus, Progo, The Halal Mart, RnB in Jogjakarta City
and Central Java. The other way of Matchamu to sell its product is by providing contact
person per-region as it can be seen in its official website www.matchamu.com. This is
also a quite unique way to distribute their product to the customers.

However. Eventhough it is not grabbing huge retail market since it only

distributed on selected channel, the sales were drilled up because its product is used
by numerous Salim Group restaurant all over Indonesia.

According to the product, Matchamu can be described through it product levels

which are: beverages as its core benefit; sachet tea as its basic product; Can be
brewed process, sealed neatly, constant quality of taste as its expected product,
healthy drinks without chemical essence and preservatives as its agmented product
and Matchamu might produce also as bottled water as its potential development. This
might be considered as option seeing the behaviour of millennials market who prefer
do things in simple and fast ways.

Another important aspect in marketing strategy is the product pricing strategy.

Sometimes, price and pricing are taken as the tool to increase its market share. When
company assumes that its market share is below than expected, it can raise it by
appropriate pricing. According to Pricing Management Setting, we believe that
Matchamu aimed to gain more market share through its pricing strategy. From the
analysis, we believe that Matchamu categorized as inelastic and insensitive price
product. As it is targeting middle-up market, its not the price which is really take into
consideration, instead the value of the product itself which come along with reasonable
price.

where a higher quality product is provided and more expensive components are
used, this might be happened everywhere. Matchamu product is categorized as high
value strategy as in value-based pricing strategy because it provides medium price
with high quality products.
 III. Evaluation of Company Current Marketing Activities

As has been explain above about its marketing strategy, actually Matchamu has
done several marketing activities which devided into 3 categories: Above The Line
Marketing, Below The Line Marketing and Through The Line Marketing. The activities
can be seen as below’s table

Table I. Matchamu Marketing Activities

Above The Line Below The Line Marketing Through The Line
Marketing Marketing

Advertisement in the Matchamu goes to Konser Youtube Video Ads

Commuter Musik Attack!

Billboard in Several Food car outlets Foodgrammer in

Places Instagram

Hiring You tuber to

advertise their product

Ads in Receh! Android

game

Most of Matchamu’s marketing activities are Above The Line and Below The
Line advertising. Another one of their marketing activities is from digital advertisement.
But, what is Above The Line and Below The Line? These two advertising is commonly
used in marketing activity, although there is another term called Through The Line.

Above The Line is the marketing activity that is usually done by central
management as an effort to build a brand image of their brand. Above The Line uses
mass media to promote their brand and reach out their target consumers. Media used
in Above The Line is conventional media such as television, radio, and any media that
can reach out big people.

Below The Line is the marketing activity that is done at retailer level, which their
intention is to attract consumers so they buy the product. Below The Line media is
more one-to-one communication. It involves the distribution of pamphlets, handbills,
stickers, promotions, brochures placed at point of sale, product demos and samplings
at busy places like malls and market places or residential complexes.

Nowadays, these terms (Above The Line and Below The Line) is becoming
more vague due to digital disruption, where digital marketing is a powerful tool to reach
out consumers. The examples are Google Ads, Youtube Ads, and any other digital ads
that is provided by the application. This activity called Through The Line marketing
activity, which combines Above The Line and Below The Line.

Above The Line Advertising

There are two main Above the Line advertising used by Matchamu, which is
Advertisement in the Commuter and placing advertisement in Billboard in several
places. From our analysis, we see that this advertisement strategy doesn’t place the
brand image in the consumer’s mind, as there are many people doesn’t know about
this product. For this advertisement strategy, we think that direct advertisement such
as television advertisement or radio advertisement are better than this advertisement
in the commuter and billboard, because the target for this product are people in the
middle and higher class, whereas these people usually travelling with their own car or
motorcycle.

For the billboard advertisement, we think that this billboard is actually a good
advertisement for people in the middle and higher class, but still didn’t have a great
range of advertisement rather than using television advertisement or radio
advertisement. Even though financial may be one of the problem why Matchamu still
haven’t used television and radio as their Above the Line Advertising strategy, as we
know that this product is already three months old and have a good position in the
investors (as they win BEKRAF with this idea), we think that Matchamu should try to
use television or radio advertisement, to broaden their advertising range. It’s a shame
to see that their product is being sold at Ranch Market and Food Hall in around
Indonesia, but their advertising range doesn’t reach there.
Below The Line Advertising

For the Below the Line Advertising, they are using events to open outlet in the
event and using Food Car as their Outlets. These advertising strategy is actually good,
because they can grab the market in the community, such as indie music community,
and other community that like to drink tea and have a good knowledge in living a health
life.

These strategy should be used more, as their target is millenials, who likes to
make community. They could also try to use their Matchamu Cafe to create an event
about tea, healthy life, etc. We also think that Matchamu Cafe is actually a good brand
ambassador, as their place is popular, Matchamu Cafe can become a place for people
to know more about Matchamu Latte.

Through The Line Advertising

Matchamu’s Digital Marketing includes Youtube Ads, Foodgrammer on

Instagram, Hiring Youtuber to advertise their product, and Ads in “Receh!” game.

Currently, Youtube Ads is a good tool to promote their brand. But the main
problem is the duration. Most people will skip the advertisement if the duration is more
than 6 or 10 seconds, except that advertisement is interesting to be watched. So, it will
be good if Matchamu make an advertisement with a short duration so people will watch
it until the end because there is no button “skip ads” if the duration is short.

Most of Instagram photos using hashtag instafood (#instafood) on their post.

This is what the Foodgrammer do in their Instagram account. Foodgrammer is a person
who likes to post their photo of interesting or delicious food on Instagram. The main
problem on this digital marketing is few people. Since Matchamu still a new brand for
3 months, Matchamu cannot count on this digital marketing. Maybe the best strategy
is build its own Instagram account, but still it is not dependable due to lack of brand
existence (It is still new!). Instagram will be a good strategy if the brand is already
known by huge amount of people.
 In Indonesia, the term of influencer is very well-known for Youtuber. Hiring
Youtuber to advertise Matchamu is also a good strategy, but it also has a drawback. If
that Youtuber do something wrong, for example the act of crime, using drugs, of course
the name of that Youtuber will be bad and it will impact the brand of Matchamu. Hiring
a Youtuber has a positive side, but is too risky, so we need to be careful of choosing
the Youtuber that we want to work with.

For gamers, advertisement in games will be very annoying because it disturbs

your progress in game, especially if the duration of that advertisement is 15 or 30
seconds. So, adding advertisement in games is a bad choice because most of gamers
will try to skip the advertisement. Receh! Is a mini-game that use credits-in-game to
play a game such as roullete, find the frog in which glass, and any other else. Because
the segmentation of Matchamu is for middle-to-high economy class, it does not suit to
Receh! that seems for middle-to-low economy class. The advertisement in Receh!
game needs more concerns.
IV. Recommendation

After analysing the products, the marketing activities and the problems occurred
in the Matchamu products, our group come up with some recommendation as
follows:

1. Hiring Brand Ambassador for Matchamu

According to article writen by Ric Sweenney in bizjourlnal.com brand
ambassador (sometimes also called a corporate ambassador) is a person
who is hired by an organization or company to represent a brand in a positive
light and by doing so help to increase brand awareness and sales. The brand
ambassador is meant to embody the corporate identity in appearance,
demeanor, values and ethics

Why Brand Ambassador Important

Brand Ambassador Humanize your brand. Despite wiith the current

advancement of technologies where everything can be automated and be
digitalized, people still prefer human interaction. Brand ambassador can help
the Image of your companies rather than a big corporate machine become
something a reachable

Brand Ambassador Help Increase Your Social Reach. Usually a good brand
ambassador has huge social media follower. Rather than using traditional
marketing process with some degree of uncertainty of market reach using
brand ambassador can give some of assurance how many people will reach
your message,

Brand Ambassador Provide Positive Word-of-Mouth. According to reseach

from Keller Ray Group, 66% of brand conversations are truly positive.
Meaning that if you have brand ambassadors out there endorsing your
company, they are slowly turning people into potential customers.
 Brand Ambassador help increase awareness of your brand in regions you’re
not present in. People usually listen to their friends’ advice over an
advertisement. Using right Brand ambassador companies can reach a new
market with ease because people easier to be influenced if it from someone
them know.

What Kind of Brand Ambassador That Machamu Should Choose?

They are already interested in what you offer.Your ambassadors should be

people who actually buy the type of product or service you're selling. An
Influencer who have an image of healthy lifestyle, smart and intelligence can
be a starting point

They fit the demographic of your target audience. Your ambassadors should
fall in the same age range and location as the people you're targeting with
your other marketing and advertising strategies. With Matchamu target who
focused on millenial and living in big cities choosing hip selebgram who love
food and go to cafe is more appealing compare with people who love outdoor
activities and adventuring

They are active online. Ofcourse this is the main purpose of brand
ambassador Matchamu should choose people who have high presence in
social media. If we chose a brand ambassador who fulfil criteria above but
low online presence that will be fool decision because they cannot help to
promote our product.

2. Selling Machamu by Sachet

Currently machamu product is only sell using small package consict of 5

sachets. Using this kind of package is can make some people being
intimidated, logically if people want to try something new they never want to
buy in big amount. Using small sachet will ease customer experience
because they are more willing to try it.
 Selling by a sachet also can open a new market channels. Rather than only
selling through big chain supermarket they can expand it to small kiosk or
convenience store where customer can taste the product directly on site
rather waiting until they reach home or office. Machamu event can event
expand their channel to “starling” and reach new middle to low market where
they can easier to be deliver by using bycle.

3. Make Machamu Brand shown in Upnormal Group Menu

Currenty one of Machamu biggest revenue is come from selling their products
as a menu for Upnormal group Restaurant. Upnormal Group using machamu
product as the basis of their green tea latte product, the product itself is quite
hit but the problem is machamu brand was not shown in their menu or being
white labeling.

A white-labeled product is something produced by one company and then

sold under a brand name by somebody else. The primary reason to white
label your products or services is to capitalize on the branding and distribution
channels of other brands. But itself have a side effect, because it can make
it difficult to get the word out about what your product and what is their
capability.

Machamu as young product should push Upnormal group to at least put their
brand in Upnormal menu and allowed them to sell their sachet in all Upnormal
Restaurant because if this condition still persist people will associate their
taste as Upnormal product not Matchamu product and when machamu try to
increase their presence people will think it’s Upnormal knock off.

4. Re-Opening Matchamu Cafe as Flagship Store in strategic Location

flagship store is the lead store in a retail chain. It acts as a showcase for the
brand or retailer. Its job is to draw customers into the brand, over and above
making sales. The focus is on experience and creating a destination store
 that people want to visit. Some of the best-known flagship stores are tourist
attractions in their own right.

As we know from Company History, Matchamu was started from a cafe in

Jogjakarta who specialized in Tea Product. Currently as the business move
toward to packaged tea product, they decided to Close it. We think that the
decision was inaccurate. Moreover, based on the history, Matchamu Café
was a success story and well-known in the city back then. They should keep
the cafe open or just relocate it to more strategic location and make the cafe
as Machamu Flagship Store.

5. Put the Types of Products on Their Official Website

As Matchamu try to give easiness to their customer by giving direct contact

person in order to purchase their product, Matchamu should also put the
picture and the time of product they are selling, such as the form, the price
and the variant. By that, people will be easily known what are the product
available and directly can contact to the Contact Person available

On the other hand, Matchamu team should consider to put direct “purchase”
menu on their website with the option to deliver the product through gojek or
any other logistic medias in order to ease the customers to purchase their
products.
V. Bibliography

 Deluxe. (2018, November 08). 6 reasons why a strong brand is important for your
small business. Retrieved March 25, 2019, from
https://www.deluxe.com/sbrc/branding/six-reasons-why-strong-brand-important-
small-business
 The Pricing - Quality Model. (2013, November 25). Retrieved March 25, 2019, from
https://www.smartinsights.com/marketing-planning/marketing-models/pricing-
quality-model/