{"id":16112,"date":"2024-10-21T10:15:43","date_gmt":"2024-10-21T03:15:43","guid":{"rendered":"https:\/\/ideoworks.id\/en\/?p=16112"},"modified":"2025-10-01T08:22:16","modified_gmt":"2025-10-01T01:22:16","slug":"unpacking-scgs-strategy-how-thailands-leading-cement-brand-expanded-into-indonesias-competitive-market-an-in-depth-case-study","status":"publish","type":"post","link":"https:\/\/ideoworks.id\/en\/unpacking-scgs-strategy-how-thailands-leading-cement-brand-expanded-into-indonesias-competitive-market-an-in-depth-case-study\/","title":{"rendered":"Unpacking SCG\u00e2\u20ac\u2122s Strategy: How Thailand\u00e2\u20ac\u2122s Leading Cement Brand Expanded into Indonesia\u00e2\u20ac\u2122s Competitive Market \u00e2\u20ac\u201c An In-Depth Case Study"},"content":{"rendered":"

The rapid growth of businesses often leads to international expansion. SCG (Siam Cement Group), Thailand’s largest and most prominent cement producer, has aggressively expanded its business across Southeast Asia, focusing particularly on Indonesia.<\/span><\/p>\n

This cement producer has successfully strengthened its position in the Indonesian market despite the competitive nature of the construction and building materials industry.<\/span><\/p>\n

This article explores SCG\u00e2\u20ac\u2122s strategy to overcome business challenges in Indonesia and how the company has enhanced its presence in the local market. For those planning to expand their business into Indonesia, this case study offers valuable insights for successful business planning.<\/span><\/p>\n

A Brief Overview of SCG<\/b><\/h2>\n

Founded in 1913, SCG has grown into one of Southeast Asia\u00e2\u20ac\u2122s largest conglomerates. The company boasts a wide range of businesses, including building materials, chemicals, and packaging. Despite its international reach, SCG\u00e2\u20ac\u2122s expansion into Indonesia represents a significant move to strengthen its brand position in Asia.<\/span><\/p>\n

With over 100 years of experience, SCG is committed to providing high-quality products that support sustainable development in Indonesia. The company focuses on long-term investments that contribute to Indonesia\u00e2\u20ac\u2122s growth.<\/span><\/p>\n

Business Challenges<\/b><\/h2>\n

Despite its success as Thailand\u00e2\u20ac\u2122s leading cement brand, SCG faced challenges during its expansion into Indonesia. The Indonesian construction and building materials industry is highly competitive, with numerous local and global players competing for market share. To thrive in this environment, SCG needed to deliver unique value tailored to the Indonesian market.<\/span><\/p>\n

SCG aimed to position itself as a reliable producer of high-quality cement and building materials suitable for all types of construction. By delivering this value, SCG sought to become a top-of-mind cement brand in Indonesia, particularly among its target audience. This meant becoming the go-to choice for customers when considering building materials, especially cement.<\/span><\/p>\n

Additionally, SCG aimed to expand its reach beyond contractors and foremen to a wider audience, including everyone involved in construction material purchasing.<\/span><\/p>\n

To achieve this, SCG partnered with <\/span>IDEOWORKS<\/b>, a company with extensive experience helping both national and multinational businesses grow in Indonesia. Here\u00e2\u20ac\u2122s how IDEOWORKS supported SCG\u00e2\u20ac\u2122s success:<\/span><\/p>\n

Our Approach<\/b><\/h2>\n

After analyzing the business challenges SCG faced, IDEOWORKS conducted in-depth research to gather the necessary data for developing a tailored strategy.<\/span><\/p>\n

1. Target Audience Research<\/b><\/h3>\n

Identifying the right target audience is crucial in formulating an effective strategy. As a cement brand looking to expand its reach, who should SCG\u00e2\u20ac\u2122s next audience be? Who or what organizations need its products?<\/span><\/p>\n

To answer these questions, IDEOWORKS conducted thorough research and analysis to collect valuable data. This research covered various aspects, including audience behavior, preferences, and decision-making processes when purchasing products. Based on this analysis, SCG was able to target a broad audience, including architects, workers, hardware stores, and homeowners.<\/span><\/p>\n

2. Channel Analysis<\/b><\/h3>\n

After identifying the new target audience, the next step was determining how to reach and engage with them.<\/span><\/p>\n

In today\u00e2\u20ac\u2122s digital age, digital marketing strategies are a top priority. But which channels are most effective?<\/span><\/p>\n

Based on the analysis of audience behavior, social media platforms like Instagram, TikTok, Facebook, and YouTube emerged as the most commonly used channels. IDEOWORKS designed engaging and relevant content tailored to each platform, focusing on visual content such as videos, infographics, and project photos using SCG products to capture the audience\u00e2\u20ac\u2122s attention.<\/span><\/p>\n

3. Competitor Research<\/b><\/h3>\n

To gain a competitive edge, IDEOWORKS employed a SWOT analysis to understand the strengths, weaknesses, opportunities, and threats posed by competitors.<\/span><\/p>\n

This data helped refine SCG\u00e2\u20ac\u2122s strategy and communicate its unique value, ensuring SCG stood out from the competition.<\/span><\/p>\n

Strategy Execution<\/b><\/h2>\n

Based on the data analysis, SCG needed a <\/span>360\u00c2\u00b0 marketing campaign<\/b> to reach a broad audience and establish itself as the top-of-mind brand.<\/span><\/p>\n

A 360\u00c2\u00b0 campaign integrates multiple platforms to ensure a consistent and powerful message is delivered across all touchpoints. The following steps were taken:<\/span><\/p>\n

Building the BangUnan Symbol<\/b><\/h2>\n

Since the majority of decision-makers for purchasing building materials in a project are foremen or workers, IDEOWORKS created <\/span>BangUnan<\/b>, a character representing construction workers. <\/span>BangUnan<\/b> is a friendly, humorous, and caring foreman, known for sharing insightful tips about construction projects and carpentry skills.<\/span><\/p>\n

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BangUnan<\/b> also serves as an interactive feature on SCG\u00e2\u20ac\u2122s website, providing answers to common questions about building materials. This character helps users gain a deeper understanding of construction work and materials.<\/span><\/p>\n

Social Media Optimization<\/b><\/h3>\n

Social media plays a crucial role in communicating a brand\u00e2\u20ac\u2122s value to the audience. SCG\u00e2\u20ac\u2122s social media strategy, managed by IDEOWORKS, focuses on delivering entertaining, educational, and interactive content that resonates with the audience.<\/span><\/p>\n

Content includes videos, infographics, and images of projects using SCG cement, designed to engage and inform the audience. Hashtags such as <\/span>#SerbaSerbiSCG<\/b>, <\/span>#RumahIdamanSCG<\/b>, <\/span>#BedahBangunan<\/b>, and <\/span>#KuisCuanSCG<\/b> make SCG content easy to find and follow.<\/span><\/p>\n

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In addition, SCG launched digital activations, including community-building activities on social media, such as a “mancing bareng tukang” (fishing event with workers).<\/span><\/p>\n

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Engaging and Relatable Web Series<\/b><\/h3>\n

Web series are another tool to communicate brand value, increase exposure, and boost brand awareness.<\/span><\/p>\n

SCG\u00e2\u20ac\u2122s first web series, <\/span>\u00e2\u20ac\u0153Siap Jadi Mandor, Teu?\u00e2\u20ac\u009d<\/b> (Ready to be a Foreman?), followed by <\/span>\u00e2\u20ac\u0153Bukan Mandor Biasa\u00e2\u20ac\u009d<\/b> (Not an Ordinary Foreman), showcases the daily lives of foremen and workers. These entertaining series, infused with humor, reflect the real-world challenges faced on construction sites.<\/span><\/p>\n

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Both web series consist of five episodes, with each episode featuring engaging scenes that leave viewers curious for more. The series subtly promotes SCG products by incorporating brand logos and occasionally showcasing products without overtly advertising them.<\/span><\/p>\n

The web series is available on SCG Indonesia\u00e2\u20ac\u2122s official YouTube channel, with additional promotions running on SCG\u00e2\u20ac\u2122s social media platforms.<\/span><\/p>\n

Paid Media Advertising<\/b><\/h3>\n

To reach new audiences and maintain engagement with existing ones, SCG leveraged digital advertising, including SEM, Meta Ads, TikTok Ads, and YouTube Ads. The content varied but remained relevant to the target audience.<\/span><\/p>\n

Results<\/b><\/h2>\n

The strategies implemented delivered impressive results. Based on data available at the time of this article:<\/span><\/p>\n