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LOCAL MARKET STRATEGY 

SYNDICATE 4: RACHMI, RAFAEL, RIEKE,

PRAMADONA, YUNUS, JOSEPH

PT Pertamina Lubricant Oil

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 The Issues

Sales of Pertamina’s lubricant products weredeclined, caused by the competitor’s increaseof share

 There were competitions between other

competitor’s products

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Lubricants Industry in Indonesia

2004 : Indonesia had a market olume ofabout 4!" million of lubricants

#otorcycles or 2 wheelers hae a lar$erpopulation

%iberali&ed market turnin$ Indonesia into anattractie center for lubricant sales

Pertamina commands '2,"( of market sharein 200)

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 The Competitors

 Trailin$ in the second spot was Top * +**(market share

 The other "4( split amon$ arious lubricantbrands: Penn&oil, Shell, -P, .astrol, /alube,

$ip, #otul, etc1

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Pertamina Lubricant

Pertamina still leads domestic lubricantmarket

In 200: Pertamina launched new %ubricantfor automotie and industrial usa$e

Pertamina lubricant 3uality has been proenand reco$ni&ed internationally

Pertamina’s products : /nduro, fastron,#esran, etc1

#ore than *) brands are now aailable fordomestic retail market, while * others areaailable for industrial market

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Distribution

 There are 4 kinds of distribution patternsconducted by Pertamina: as station

Pertamina olimart

%ubricatin$ $ent .onsumer 5irect

Pertamina operatin$ ) marketin$ re$ions, *0distributors, 4' olimarts, widely spread all

oer Indonesia

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Sales and Promotion

5irectly throu$h dealers and $as station Personal selllin$ : face6to6face with

prospectie buyers

Sales promotion

Participate in e7hibition Sponsors rally and sport actiities

boe the line and below the line actiities

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Lubricant consumption

#otorcycle oil’sconsumption haerapid $rowth1.ontributin$ '0(of oil consumptionfor automotiesector

8il consumption sforautomotie sectorhae positie $rowthtendency,contributin$ oer'0( towards oilconsumption in

automotie andindustry

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8il used forpassen$ercar, bus,truck,motorcycle

and industrywith proen3uality andreco$ni&edinternatinally

 The productsare such as :9astron,Prima P,mesran,

/nduro, etc1

  price promotionproduct

.ompetitie pricecompred toothersimilar oils

  place

Pertaminaoperates )marketin$re$ions, *0distributors,4' olimart,spread alloerIndonesia

5istribute itthrou$h as

station,Pertamina8limart,%ubricatin$a$ent and.onsumer

direct

5irectlythrou$hdealers and$as station

Personalsellin$ : faceto face with

potentialbuyer

Salespromotion

.reate$atherin$ daneents withcustomers

/7hibitionsand sponsormanyactiities

boe the lineand below theline actiities

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;ow to increase marketshare

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The first focus is on the motorcycle segment. Share of

consumption of oil for motorcycle was >50%

▫ Doing partnership with motorcycle dealers, that allnew motorcycles should use pertamina’s lubricant

▫  Doing pertnership with motorcycle garage, and havethem advice the customer, the best product ispertamina’s products

▫ Create gathering involved authorized motorcycledealers and motorcycle garage to strengthen

positioning o pertamina’s products

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The second focus was in passenger car segment.

Usually owned by a company (!"# so it will beeasy for ertamina to promote their products

▫ Doing partnership with PO, create their loyality to use

national product with special price▫ Doing partnership with passenger car garage, advise

them that the best product is pertamina’s products

▫ Create gathering that involved PO and passenger car

garage to strengthen positioning o pertamina’s

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The third focus was in industrial segment

▫ Doing partnership with companies, create theirloyality to use national product with special price

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THANK YOU