Startup Advice

Business Profile: Adin Power Producer

The Concept of Development and Economic Development in Indonesia is known by various terms such as The Masterplan for Acceleration and Expansion of Indonesia’s Economic Development (“MP3EI”), developed during the era of President SBY and currently by President Jokowi known as the development plan of Special Economic Zone (“KEK”).

The two development concepts complement the previous concept of Free Trade Zone (“FTZ”), Integrated Economic Development Zone (“KAPET”) from the previous government era, but basically “Concept and Development” and “Development Plan” are the same. That is to say, the government is trying to develop the economic center in various regions and provinces in Indonesia, even in the New Order known as the concept of REPELITA (five years development plan) which is made in the long run for 6 Repelita which means that the concept of development is applied for the next 30 years since the New Order government came to power at that time.

Any form and plan of the development of economic center areas still require mapping and energy fulfillment, including electrical power. In terms of the development of the area, one of them is the development through the industrial area, where the area has proven to be one of the key drivers of the Economy in Indonesia as the real proof is the development of the Cikampek Corridor with the construction of a highway by the Government in early 90’s has triggered the growth of property business, including the industrial area and a pioneer of industrial development area in Indonesia is PT Jababeka Tbk.

PT Jababeka Tbk., in which is specifically engaged in the development of the industrial park to derivatives other products that are built in an integrated manner requires the support of the Government, in terms of the fulfillment of electricity needs. Appropriate empirical rule of electric power requirement in industry is equal to 250 Kva to 300 Kva per hectare of land that is developed.

Based on the consideration of the electricity permit holder in Jababeka industrial area at that time, PT Jababeka Tbk with its various business considerations was to ensure that its industrial area development plan was secured with electricity supply. The reality in 2008, power supplies from the parties including PLN is not sufficient, Jababeka Tbk through its subsidiary PT Adin Power Producer filed a permit to the government through the Ministry of Energy and Mineral Resources to obtain permits for the electricity business area, where Jababeka develop its territory in order to have electricity supply which is a major consideration for prospective investor in choosing investment locations. PT Adin Power Producer is a subsidiary of PT Jababeka Infrastruktur legally established since 2008 and has been equipped with various necessary permits

There are some factors affecting consumer-buying behavior in choosing Power Producer Services. With the key success factors, the company thrive in the market since it’s considering all the components to be able to compete in the market successfully and achieving benefits. 

In this era of globalization, the lifestyle is the most important thing for people who are short-lived in the urban area. From the middle and upper class, usually always looking for the brand and the quality of the product. For people that already have industry, the company not only cared about their lifestyle. They also think about the factory needs. In the life guarantees, they need the support equipment to follow the factory growth. Every company who is concerned about their lifestyle, they do not want randomly to give the factory gear. They are looking for the quality and not a few people who are thinking to maintain their lifestyle they are using the branded product for their factory.

Most people who already have their families think more about their learning outcomes. Every company, the price is one thing that must be considered. Look at the lifetime warranty period. More parents choose to use SPP rather than using electricity by PLN. This can help companies to reduce them and also the results the company can provide a lot of equipment based on their factory needs. Prices for electrical equipment are based on the quality and brand of the product itself. Usually, customers with middle to upper income pay more attention to the quality of the goods offered. as long as they get the right quality, they dare to rent equipment. That is why SPP offers equipment and provides high-quality products at suitable prices.

SPP provide the best service and customer satisfaction be a priority and goal for SPP services. With trained and professional workers, SPP provide the best service to customers. SPP can also give suggestions about the products that are needed. Customers can consult with our employees. We tell customers what advice they needed. Professional workers with customers can feel satisfied with SPP.

SPP try to give the best treatment. By providing the facility that can make the customer feel comfortable and make it easier for the customer to order. To be able to help customers, SPP has an easy order via online and the transaction thru transmission and for the product be delivered to the address that has been paid by the customer. So the customers no need to come to the store and the complete agreements be processed after the product arrived. SPP provides free chat application via online on the website so the customer can easy to communicate.

Consumers need clear and accessible information related to SPP. SPP update the product for up to 2 weeks so that customers easily get information about products that are still available. To spread the information, SPP creates advertisements through websites and through social media.

SPP’s market segment of power generation facilities includes electricity quality distribution premiums for users in the industrial field that are appropriate from the business that has been determined by the Government and other Regions that work together through applicable laws and regulations, namely those in accordance with ESDM Ministerial Regulation 1 Year 2015 concerning cooperation between electricity permit holders.

In terms of market segments, the SPP segment is very clear, which is the customer industry in the industry developed by Jababeka business area developers and regions that are in line with other businesses that work with permit holders. In the segmentation process, the second stage in marketing is targeting. Once the marketer has identified the segments he/she Decide how many customer groups/segments and hold to be targeted. With choosing the right segmentation market, the company may choose one or a combination of the following marketing strategies; mass marketing strategy (undifferentiated marketing), single segment strategy (differentiated marketing) or multi-segment strategy (concentrated marketing). In accordance with its business plan, the target market is the customer’s industry starting at 16.5 kVA according to the needs of each customer and the industry needs. The type of industry that is done and developed and run by customers.

SPP has a clear positioning that is making the SPP as a provider of electric power supply in the industrial estates and regional cooperation efforts with reliable quality in accordance with customer requirements including power quality and reliability that focus on the industrial area which the government specifies. SPP has an aim in positioning to be business of electricity that gives affordable price with high quality of the product.

Companies that build the same business as Power Producer SPP are not small, it has two competitors that are already known by Adin Power Producer. From the survey results, Adin Power Producer has a strategy to find other competitors, some find the Adin Power Producer as follows:

  1. Reliability cause using double feeder including a back up with grid back bone and direct from the power station if any outage
  2. Reliability cause no interrupt feeder direct access with other customer along the feeder, its mean dedicated lines
  3. Handling customers by account executive to make sure open-channel communication as well as handling of complaint
  4. Commercial matters completion by e-billing, automated meter reading (AMR) and monitor by CCTV to ensure security surrounding as well

SPP PT Adin Power Production has a connection and electricity that is specifically dedicated to customers in its business area because it has been licensed by the Minister of Energy and Mineral Resources of the Republic of Indonesia in 2010 with a volume of 420 hectares of business area. In the business sector which is dominated by the allocation of industrial zones. Empirically and Regional Regulations of Bekasi Regency KDB, the building base is a coefficient of 70% of the total volume, so / 420 Ha gross be a net 294 salaries (effective land that can be sold and built on land) and in the use of electricity consumption of 300 hectares acre empirically, the regional market potential is 88,200 kVA, equivalent to 70.56 MW.

As it known that appropriate regulation of the Minister of Energy and Mineral Resources No. 1 Year 2015 about cooperation between interns permission/region business, then PT Adin Power Production do cooperation with PT PLN in addition in terms of selling electricity from power plants to the grid system of BP PLN, also do work the same marketing power 20 kV distribution, on the side of the distribution is this there is the addition of the volume market because both are doing the same work on another area of industry, i.e. electricity of power distribution system a PLN derived from plants (including power generation from PT Bekasi Power) to the industry developed by PT Jababeka. One of the advantages the region Jababeka is available and the level of availability of electricity sufficient in quality and quantity, thus becoming an attraction for potential investors.

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