The Knowledge to Decide

With a USD450 million loan from World Bank, the Indonesian government’s efforts to provide more affordable housing for low-income families has received a big boost. Spire Research and Consulting supported the feasibility study for this World Bank program, working with Indonesia’s Ministry of Public Works and Housing (MENPUPERA). Spire helped execute a product concept test for the program to build affordable housing, working with Deloitte Indonesia. This was done via Focus Group Discussions (FGDs) across 4 cities. The findings revealed that Indonesia faces substantial demand for one million new housing units annually. Moreover, 29 million people (out of 250 million) of Indonesia’s urban population still live in slums. A portion of the World Bank’s loan will go to support the government’s housing assistance program (BSPS) and community-based housing development program (P2BPK) to target low-income homeowners. At the same time, Indonesia also offers the FLPP scheme – a

China is set to open a government-sponsored ‘cloning park’ in early 2016, with a goal to produce 100,000 cloned cattle annually. This is because Chinese farmers are not able to meet market demand for beef cattle. Clones ensure a reliable and regular supply. Interestingly, a report highlights the average calorie intake of a person has increased from 1,863 to 3,074 calories – with a major chunk coming from animal calories. China’s meat demand coincides with a tax recommended by U.K. researchers on meat to deal with rising demand along with health and environmental issues that are synonymous with meat consumption and production. Will cloned meat be able to meet rising market demand? https://www.spireresearch.com/newsroom/spirethoughts/china-opts-for-cloned-cow-meat/

With Automotive Aftermarket demand expected to soar at 13% from 2010 to 2018, how can industry players cash in on this market opportunity? Japnit Singh, Senior Director, Singapore and India of Spire Research and Consulting shared his insights in the Lube Report Asia magazine. Original Equipment Manufacturers (OEMs) in the automotive industry are operating in highly competitive markets. In most countries, they are fighting for market share via promotions and heavy price discounts. OEMs are always on the look-out for new income streams. It is in this context that industry players and manufacturers in Indonesia and Malaysia have been zeroing in on the lubricant oil market. Singh highlighted that post-sales services – inclusive of oil change and regular maintenance check – generate higher profit margins than vehicle sales. The current low oil prices have encouraged motorists to use their cars more often – raising demand for aftermarket services and parts, including lubricant oil.

Micro and Small Enterprises (MSEs) in Indonesia make up much of the nation’s economic and employment activity. MSEs constitute 98% of all businesses and provide 94% of employment. To explore the market potential of this ‘unbanked’ segment, Spire Research and Consulting conducted a study to evaluate potential demand for Mobile Money and Branchless Banking services (MM & BB). The findings of the study were published in a report released by TNP2K, a public-private coalition of Indonesian and international agencies working towards poverty reduction. Spire’s study was conducted across four provinces, namely Bali, South Sulawesi, West Java and South Sumatra. 400 survey interviews with MSE owners and 16 Focus group discussions were conducted in August and September 2013. The findings revealed that MSEs can potentially make use of a number of MM & BB services wherein neither the gender nor the province of the MSE owner would be a hindrance. This is due to the fact that women fo