We live in a world of bits and bytes where the Internet of Things (IoT) is fast becoming a reality, something that Gde Sumarjaya Linggih, General Chairman of Bali's Senior Association of Indonesian Young Entrepreneurs focused on at a recent meeting in Denpasar, where the subject of discussion was related to breakthroughs in the island's leisure economy, according to Antaranews Bali.

Linggih argued that change was happening at a rapid rate. "Consumption is being replaced by entertainment and experience," he said.

Businesses need to be encouraged to collaborate and utilize digital systems with those who have assets and products citing the meteoric success of Gojek, a local digital initiative to solve transportation problems using motorcycle taxis. As a company, Gojek don't own any assets but they have developed a digital solution to making the experience of getting around easier for consumers. They have now expanded into four more countries in the region.

This concept of a collaborative 'sharing economy' is one the Association believes will be where future businesses will succeed. Andrzej Barski from Harcourts Seven Stones in Bali agrees. "The opportunities for investments into businesses that understand where Bali is heading are exciting," he said to WILLIAMS MEDIA.

Also taking part in the discussion were members of Commission VI of Bali's House of Representatives and Yuswohady, author of some 40 books on marketing and one of Indonesia's leading thinkers on the digital economy and it's impact on societies.

He said shifting consumption patterns from the conventional to 'leisure' is one of the leading causes why modern stores and shopping centers have noticed a recent decline in business. And this will continue unless there is change and collaboration.

"A lot of people are starting to shift from buying goods to buying experiences, people are not buying motorcycles but they are buying vacations," he said. 

Gapura Bali recently reported on the growth of Indonesia's digital networks and smart city initiatives saying that the digital economy was still in its infancy. The percentage of online transactions currently sits at less than 1% of all retail transactions, but as the networks develop this number will grow, offering enormous opportunities for those businesses that embrace it.

Yuswohady went on to say this has prompted a number of mall managers, for example, to begin applying lifestyle and culinary concepts such as cafes and restaurants to fit a current consumer pattern that is leaning more and more towards 'leisure'. 

Society, he said is looking for experiences in vacations, hotel stays, eating in cafes and restaurants, watching movies, going to concerts, spas and wellness and more.

The customer experience aspects are things Barski is passionate about. "CX is a growing global trend, and it doesn't really matter what business you're in," he says. "It's not so much about what you sell it's more about how you sell, and how you sell is determined by why you're doing it in the first place. If you're selling a business or a product because you want to make people's lives better, this will naturally attract more people to engage. This is exactly what digital economies are doing, they're making life easier. We've passed the tipping point and the best thing any business can do is embrace it and create innovative digital solutions to their existing business models."

Source: Antaranews Bali

Similar to this:

Indonesian Gov't looking for investors in the country's growing tourism industry

Bali needs holistic approaches to continue positive economic growth

Smart building solutions in Indonesia on the rise