Marketing strategy for ornamental plant products using Kokedama arts with rice straw as moss substitution: Case study of KONARA business, Indonesia

This article analyzes ornamental plant innovation MSMEs with Kokedama art using rice straw (KONARA) in Gampengrejo District, Kediri Regency, East Java Province, Indonesia. By using SWOT analysis, this study examines the internal and external factors that influence the MSME marketing plan and then proposes an appropriate marketing strategy for the business. Đề tài Hoàn thiện công tác quản trị nhân sự tại Công ty TNHH Mộc Khải Tuyên được nghiên cứu nhằm giúp công ty TNHH Mộc Khải Tuyên làm rõ được thực trạng công tác quản trị nhân sự trong công ty như thế nào từ đó đề ra các giải pháp giúp công ty hoàn thiện công tác quản trị nhân sự tốt hơn trong thời gian tới.

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MARKETING STRATEGY FOR ORNAMENTAL PLANT PRODUCTS USING KOKEDAMA ARTS WITH RICE STRAW

AS MOSS SUBSTITUTION: CASE STUDY OF KONARA

BUSINESS, INDONESIA

Anik Kurnia Ningsih; Jaka Nugraha

Universitas Negeri Surabaya Email: jakanugraha@unesa.ac.id

Abstract: This article analyzes ornamental plant innovation MSMEs with

kokedama art using rice straw (KONARA) in Gampengrejo District, Kediri

Regency, East Java Province, Indonesia By using SWOT analysis, this study

examines the internal and external factors that influence the MSME marketing

plan and then proposes an appropriate marketing strategy for the business The

results showed that while KONARA excelled in production, its promotions were

problematic Based on four strategies namely opportunities,

strengths-threats, opportunities, and weaknesses-threats strategy, we formulate a marketing

mix strategy that can help KONARA to increase their promotion

Keywords: Marketing Strategy, SWOT Analysis, Ornamental plants,

Kokedama

CHIẾN LƯỢC MARKETING CHO CÁC SẢN PHẨM CÂY CẢNH SỬ

DỤNG NGHỆ THUẬT KOKEDAMA BẰNG RƠM THAY THẾ CHO RÊU: NGHIÊN CỨU TÌNH HUỐNG CỦA DOANH NGHIỆP KONARA,

INDONESIA

Tóm tắt: Bài viết phân tích các doanh nghiệp siêu nhỏ, nhỏ và vừa trong

lĩnh vực trồng cây cảnh sử dụng nghệ thuật kokedama bằng rơm (KONARA) tại

Quận Gamengrejo, Kediri, Đông Java, Indonesia Bài viết sử dụng phân tích

SWOT nhằm đánh giá các yếu tố bên trong và bên ngoài tác động đến kế hoạch

marketing của các doanh nghiệp siêu nhỏ, nhỏ và vừa trong lĩnh vực này và đề

xuất các chiến lược marketing phù hợp Kết quả nghiên cứu cho thấy, trong khi

KONARA đang làm tốt trong lĩnh vực sản xuất thì chiến lược quảng bá lại đang

gặp nhiều vấn đề Thông qua phân tích các chiến lược SO, ST, WO và WT trong

phân tích SWOT, bài viết đề xuất các chiến lược marketing mix giúp KONARA

tăng cường hoạt động xúc tiến

Từ khóa: Chiến lược Marketing, phân tích SWOT, cây cảnh, kokedama

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INTRODUCTION

Indonesia has a rich source of natural power and human resources The growth of

Indonesian MSMEs is one of the government’s strategies to catch up with other countries

(Salim et al., 2020) MSMEs are expected to create more job opportunities and effectively

use natural power sources (Sinarwati & Setiawina, 2018) However, MSMEs face many

challenges, especially in sub-optimal marketing (Board & Satish, 2020) Differentiation and

skills are key for competing in the national market level and international levels (Kerdpitak,

2022) Therefore, MSMEs need innovation to be successful (Foucart & Li, 2021).

Plant ornamental products have high opportunities because of their interesting features

as well as having big market (Tambarta et al., 2022) To related BPS data (2022), production

of the ornamental plant until the second quarter of 2020 reached more than 342 million pcs,

and export volume reached US$ 12,176,244 or equivalent to 4,176 thousand kilograms

KONARA is an ornamental plant innovation business with the art of kokedama using a

straw, which locates on Jalan Raya Plosorejo 45, Village Kalibelo, District Gampengrejo,

Kediri Regency, Province Java East.

Art planting kokedama is not familiar to Indonesian society, however, in some areas,

there are efforts to sell this product Apart from being a decoration, kokedama art is also

a business opportunity (Herawati et al., 2022) Kokedama has received high attention in

others countries because of its beauty (Mitarai, 2020) Until now, there are only innovations

in kokedama planting techniques with coconut coir as a substitute for moss KONARA is an

innovative ornamental plant cultivation product using the first and only kokedama art that

utilizes rice straw as a moss substitute Plant care using kokedama is easy (Durber, 2021),

making it increasingly popular and easy to adapt to various types of plants.

Kediri Regency is an area that produces quite a large amount of rice production waste

According to data from the Badan Pusat Statistik (2022), rice production from 2018 to

2020 continues to increase In 2017 rice production reached 2.933 million tons, then in

2019, it rose to 2.935 million tons In 2020 rice production has increased by almost 25

thousand tons, bringing the total to more than 2.960 million tons (BPS, 2022) Large rice

production certainly produces large waste which is left unchecked and causes extraordinary

environmental problems (Zhang et al., 2022)

Therefore, using KONARA is not only supporting the 12th and 13th Sustainable

Development Goals on environmental pillars (especially through responsible production and

climate management) but also supporting 8th and 9th goals on economic pillars (especially

through increasing economic growth, job opportunities, sustainable industry and encouraging

innovation.

LITERATURE REVIEWS

Product Innovation Theory

Innovation is often only interpreted as a breakthrough in a product, even though

innovation is a company’s thoughts, processes, and ways to adapt to environmental dynamics

Therefore innovation is not just about differentiation, but also strategies to be able to compete

and excel in an era of increasingly fierce competition According to (Oscardo et al., 2021)

product innovation has a significant positive influence on consumer decision-making in

purchasing So that the innovation of a product is one of the important things to maximize

the marketing of the product.

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Marketing Strategy Theory

Marketing is a whole system in the business world that is used to carry out planning,

pricing, promotion and distribution of goods or services (Jatmiko et al., 2021) Sheth (2021)

explains that there are six fields of revitalization marketing strategy, with create value for the

customers, using brand value, disciplining sales, applying knowledge determination price,

using marketing reverse, and the last is maximizing role marketing in society In making a

strategy proper marketing, Chandler (2017) emphasize internal conditions external something

a company A company must capable of looking what just threats and existing opportunities,

both internally and externally external, so obtained optimally.

SWOT analysis

Draft SWOT analysis evaluates internal factors including strengths and weaknesses,

and external ones including opportunities and threats from the general environment, industry,

and competitors (Apriyanto et al., 2021) The following is a simple concept of a SWOT

analysis

Figure 1 SWOT Analysis Concept (Apriyanto et al., 2021)

The application of the concept of SWOT analysis is to maximize all the strengths and

opportunities to deal with existing threats and weaknesses, which is the basis for proposing

appropriate strategies for business The stages in conducting a SWOT analysis start from

setting goals, conducting research, making a SWOT list, and finally making a strategy to

overcome the problem

Ornamental Plant Cultivation Business Theory with Kokedama Cultivation Art

Ornamental plant cultivation is an activity that has a profitable principle where the

focus is on cultivating plants with high attractiveness because of their beautiful charm

(Wakhidaturrohmah et al., 2022) Ornamental plant cultivation is one of the businesses

that has mushroomed in Indonesia However, the art of planting kokedama is not very well

known in the community and is still lacking in development Kokedama planting is an art

that is very popular in Japan in the form of a ball of planting medium wrapped in moss as a

plant pot (Trahutami & Wiyatasari, 2019) But in the KONARA kokedama business, we use

rice straws to replace moss KONARA, therefore, became the pioneer of kokedama using

rice straw The use of rice straw itself has its advantages, not only being able to be a solution

for rice agricultural waste but also as a planting medium that has a higher porosity compared

to the use of moss.

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METHODS

This research uses the case study method The data collection technique used is

observation in which researchers participate and follow the daily activities of people who

are informants Researchers also conducted interviews with participants and extract useful

information from their answers

RESULTS AND DISCUSSION

SWOT analysis result

Strategy marketing used by KONARA’s efforts not yet notice the problems However,

observing their competitors, that is ornamental plant sellers and sellers of another kokedama

shows that KONARA can not compete with other competitors in the field of marketing,

though actually in the field of production, KONARA products are already superior.

The followings are the results from the SWOT analysis and strategy that has been

made.

STRENGTH (S)

Has more than 100 variants of ornamental plants

This is the first and only product in Indonesia

Using premium planting media

Has a high degree of porosity

Raw materials are easily available and abundant

Have own production house

WEAKNESS (W)

Does not have its own sales outlets

Brand trade is not yet familiar to the eye Public

Social media is less well-managed and less active

Don’t have workers yet

The website has not run optimally

Marketplaces are not optimal and not enough active

Lack of promotion done

OPPORTUNITIES (O)

Population growth

Technological development

Development of shipping services (expedition)

Increase social media users

Increasing interest in online shopping

THREATS (T)

Increase in the price of fuel and other commodities

Opportunities for the emergence of new competitors

Erratic weather so that the plants require extra attention

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The emergence of substitute products such as cocopot

Its fluctuating interest and power buy Public

SO STRATEGY

Promote plant variants according to the interests of the population

educate and intensify promotion product limited edition

Highlighting advantages such as premium and good planting media

Learn branding and good design _

Planning social media and marketplace content

intertwine connection good with material suppliers raw

Dividing consumer segmentation

ST STRATEGY

Recalculating production costs to avoid losses

Continue to innovate products to be superior to competitors

Arranging the production house so that it is aesthetic and pays attention to the

characteristics of the plants

Make innovations that are difficult for competitors to imitate

Improving product quality and conducting evaluations

WO STRATEGY

Adding special employees in the marketing department

Making production houses as sales outlets

Take advantage of the easy editing platform like Canva

Check social media and the marketplace every day

Take advantage of existing expeditions

WT STRATEGY

Take advantage of the free shipping offered by the marketplace

Caring for plants while creating promotional content

Offer discounts, vouchers, cashback, and others

Make catalogue sales on websites, marketplaces, and social media

Analyze the weaknesses of competitors and highlight the advantages of the product.

KONARA Marketing Strategy Based on SWOT Analysis

From the results of the SWOT analysis, the researcher offers a marketing strategy that

refers to the 4P marketing mix that can be considered and implemented by the high artistic

value ornamental plant innovation business, KONARA Several things that can be used as

strategy penetration market in matter promotion and distribution (physical evidence) are the

following:

Making the production house an offline sales place

Maximizing technological developments by managing social media, websites and

marketplaces as a means of online sales

Collaborating with shipping services and registering marketplaces in the free shipping

program

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007831 f08 be8d9d7ff3 b76ae 1592ff8e 63eb f42 c19 6b4e 12415 4cc9ae7 9f3 34b 4ff81fc08e7 f157 c55 64f5d7e 0d0 b616 f418 78ddc6 c0a3 3da66 3243 588b128 c0 7e0e875 d038 1c6 12a3 c660 2b1e c6b1d05 b9 cc6 f02 11d9 93d8 2ab8 c510 c6e 2f3 3 7cf78f9aeb78 42a85 d478 d5e b2f44c4d87 5da7 c36a2 c1a9 f55 baf5 d9e0 2ce8 c5 4c13 fcf09d1ef3f6 867ac773 fc0 c859 d3 f430e 90b3 6fe3 2a401 d79a7a 3c2 6f8 6 c7a175 df1a3207 5f6a 3e081 53c84e7a0 533 c10 d158e 0d50fb4a 8d8 b94 f2f729 f 1355bea 1087 be4b57d7 b92 7eff6702 465a1 b9d2 3a389 409 c39a30 312b5fe0 6fe 62b8ff4 cfb7b2 b498 1e6 c5e54 de90e 94c0130 0f8e 5158 f5 b0044 471 f83d013 f7 ab27a6e2 e738a2 f0 c256 bd5 9b74 d78e 78c6c1 597b758e5 5e7 f9d6 025 c9f2685a Improve product branding with follow exhibitions and take part in national events

Intertwine work same with brand ambassadors and content creators

intertwine connection with the customer with stage photo challenge events, give away,

games on social media, discounts, vouchers, cashback, and others.

Temporary strategy penetration of the contained 4P market in element product and

price are:

Add capacity production for push cost production so that price tree production per

product is more affordable

Keeping bookkeeping records using accounting software such as Accurate

Carrying out various innovations such as pot variances, not just plant variances and

registering brand rights

Provide wholesale, agent, and reseller prices when selling both online and offline

Give gifts like a hanger key, pin, or price sticker.

CONCLUSIONS

Based on the results of the research, researchers can draw 2 points of conclusion as

follows

The internal conditions faced by KONARA are having many product variants, the first

product, premium quality, superior, abundant raw materials, has a production house, does

not yet have outlets, trademarks are not well known to many people, online media is not

maximized, there are no workers and lack of promotion While the external conditions faced

are population growth, technological developments, the existence of expedition services,

an increase in social media users, interest in online shopping, fuel hikes, opportunities for

competitors, weather, substitute products, and public interest.

Alternative strategies obtained from internal and external conditions using the 4P

marketing mix of KONARA’s business are turning production houses into outlets, managing

online media, collaborating with several parties, participating in exhibitions and national

events, maintaining relationships with customers, increasing production capacity, revitalizing

bookkeeping, adding product and price variations, giving gifts to customers.

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Tiêu đề	Marketing Strategy For Ornamental Plant Products Using Kokedama Arts With Rice Straw As Moss Substitution: Case Study Of KONARA Business, Indonesia
Tác giả	Anik Kurnia Ningsih, Jaka Nugraha
Trường học	Universitas Negeri Surabaya
Thể loại	thesis
Năm xuất bản	2023
Thành phố	Kediri

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