Traders’ Adapt to Hold on to Customers

In Palembang, traders are beginning to use digital technology for noncash transactions. They are adapting to current developments for the sake of maintaining their customers.

KOMPAS/RHAMA PURNA JATI

A customer is trying the Indonesian Standard Quick Response Code (QRIS) facility at Gubah Market, Palembang, South Sumatra, Thursday (12/23/2021). QRIS facilities have begun to be promoted, but more massive socialization is needed to familiarize residents with using them.

The traditional markets in Palembang city, South Sumatra, carry on their business through reorganization. Traders are beginning to use digital technology for noncash transactions. They are adapting to current developments for the sake of maintaining their customers.

Alan, 68, quickly served customers at her staple food shop in Gubah Market, Palembang, on Tuesday (14/12/2021). Her hands moved agilely picking the items chosen by customers and then her fingers nimbly tapped the calculator keys for the prices to be charged.

“What do you need?” asked Alan every time a customer entered her shop. “Is there any fine rice? I want to buy 2 kilograms,” replied a customer.

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The dialogue ended with a transaction between them. Within 12 minutes that morning, she had served 20 customers. Since last month, the Quick Response Code Indonesian Standard (QRIS) for noncash payments has been displayed in front of her shop. To pay for their purchases, customers need only scan the QRIS code with their gadgets and their money is promptly transferred to Alan’s account.

The technology helps shoppers, for whom cash is being used less and less, particularly to avoid touching during the Covid-19 pandemic. Alan’s customers are also beginning to benefit from digital facilities for transactions.

Muis Tjokro, 70, a trader in household appliances in Gubah Market, is also adapting to the QRIS. He said it was not difficult to get the QRIS. Traders can register their accounts with banks to obtain the QRIS code. For Muis, who has been a trader in Gubah Market for 50 years, the QRIS facilitates his customers’ shopping expeditions without them worrying about a shortage of cash. “Customers can also draw cash from me. It’s just like being a bank teller,” he said, smiling.

KOMPAS/RHAMA PURNA JATI

Traders at Pasar Gubah Palembang, South Sumatra, arrange their wares, Thursday (12/23/2021) with the background displaying the Quick Response Code Indonesian Standard (QRIS). Non-cash payments have begun to be encouraged, but not all residents and traders are familiar with this facility.

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Although only around 10 percent of customers use the code daily, Alan finds it easier to do business. Her proposal for a capital loan from the bank is more readily approved because the transactions are recorded. “Our businesses have even better credit with the banks,” said Muis.

Aji Putra, 31, a customer in Gubah Market, said he found the QRIS facilities useful, especially when he brought no cash with him. “Just aim the screen at the QRIS code, the payment process is completed,” said Aji.

Such payments are also meant to prevent any short changing or the risk of being pickpocketed in the market. “But it indeed still needs to be publicized as a lot of traders remain confused when their consumers use the QRIS,” added Aji.

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The enthusiasm of traditional market traders for using the QRIS code in their shops is solely intended to make it easier for customers. Unsurprisingly, there are now 332,886 QRIS users in South Sumatra, constituting 96.98 percent of the 2021 target of 344,000 users.

The wave of digitalization has also spread to Soak Batok Market, Palembang, through the Pasar.id application. If they are so busy that there is no time to go to the market, customers just need to choose the items they want by using the Pasar.id application along with the transfer of payment. The articles ordered are delivered to the customer’s home.

KOMPAS/RHAMA PURNA JATI

Activities at Soak Batok Market, Palembang, South Sumatra, Tuesday (12/22/2021). Several markets in South Sumatra are starting to adapt to technology, especially in terms of payments.

Imron, 42, a fish seller, has used the Pasar.id facilities to offer his fresh fish over the last year. The application was in fact created to facilitate virtual transactions between traders and customers due to the large-scale social restrictions (PSBB) in the early Covid-19 pandemic period. At that time sales in Soak Batok Market dropped by 70 percent. Pasar.id thus assisted in boosting their sales when customers chose to stay at home to prevent Covid-19 infection.

Today, with the increasing number of people already vaccinated against Covid-19 and the declining rate of confirmed Covid-19 cases, the market has been reopened. Customers have begun shopping at the market again. However, Imron is optimistic that gradually the number of Pasar.id application users will continue to rise.

“The times have shifted to more practical means, everything can be done through mobile phones,” he pointed out.

The traditional market operator of Palembang city, Palembang Jaya Market Regional Company, has noticed this trend. Along with Bank Indonesia (BI) and other parties, it has revitalized a number of traditional markets in Palembang. Among other changes, noncash transaction facilities are being increased for the greater convenience of business transactions.

Reordering

Market digitalization has certainly become the main priority.

Palembang Jaya Market Regional Company Operational director Saiful said the changing times posed no impediment to traditional markets, but rather served as an opportunity to continue their reorganization. Sekanak Market, for instance, will be a center for traditional Palembang souvenirs as part of the development of the new tourist attraction of cruising along the Sekanak and Lambidaro rivers. “The rivers will be an aquatic tourist attraction leading up to Sekanak Market. There, tourists are expected buy souvenirs as gifts. Market digitalization has certainly become the main priority,” added Saiful.

Head of the BI Representative Office in South Sumatra, Hari Widodo, revealed that 13 markets in Palembang had now implemented digital-financing facilities. Not many traders are yet involved, but BI will keep expanding the application of the facilities while promoting the public’s digital financing literacy.

“I’m optimistic that by the end of the year, the target of QRIS users can be achieved,” said Hari.

This article was translated by Aris Prawira.