A leading Indonesian bicycle manufacturer is seeking to design a superior, sustainable business model to drive long-term growth. With plans to expand nationally through exclusive e-mobility branches, the company requires a detailed market potential analysis across cities to guide strategic decisions and optimize market share.
The company was faceing a critical challenge in establishing a clear roadmap and actionable guidelines for effective, efficient, and sustainable sales channel governance. The objective is to align these frameworks with the company’s long-term vision, target markets, and strategic partnerships. Developing such a model is complex — it requires balancing growth aspirations with operational feasibility while ensuring consistency across diverse markets. The project required addressing pressing business questions: How can the company structure its sales channels to drive profitability and brand equity? Which markets hold the highest potential for expansion, and what parameters should define their prioritization? To overcome these challenges, our study initiative focused on: (1)Identifying and classifying potential cities based on sales potential (high, medium, and low).(2)Evaluating viable business models and defining the key attributes that make them sustainable and partner-friendly.(3) Developing a comprehensive sales strategy guideline to ensure operational excellence and consistent performance across all company-owned showrooms.
To address the defined business objectives, the study employed a comprehensive and multi-dimensional research approach, integrating qualitative insights, internal data analytics, and secondary market intelligence. This combination ensured a holistic understanding of the business landscape, competitive dynamics, and city-level growth opportunities.
The first phase involved qualitative research and stakeholder analysis, wherein in-depth interviews were conducted with internal stakeholders, channel partners, and competitors at multiple levels of the value chain.
The second phase focused on internal sales data analysis, examining the company’s historical performance across existing business models and marketing channels. Through this analytical lens, the study identified prevailing sales patterns, channel effectiveness, market dependencies, and evolving customer trends.
The final phase comprised desk research and market modeling using secondary data sources. Market potential across various cities was projected and modeled to support data-driven decision-making for national expansion. This analysis helped justify business priorities by categorizing cities based on sales potential and aligning expansion efforts with realistic growth opportunities.
The study revealed that while conventional bicycles continue to drive sales volume, the future growth potential lies predominantly in electric motorcycles, e-batteries, and e-bikes. However, several structural and operational challenges are currently limiting scalability and partner satisfaction across the sales ecosystem.
Among B2B customers, key concerns were identified in three main areas: (1) Incentive and Distribution Challenges, (2)Product Pricing and Relationship Dynamics, (3)After-Sales and Service Gaps.
In summary, while the company possessed a strong foundation in product and brand, its growth trajectory in the e-mobility segment depended more on addressing structural gaps in incentives, pricing competitiveness, partner management, and after-sales responsiveness. By refining these areas, the company could enhance its channel relationships, improve market coverage, and sustain long-term growth in the evolving electric two-wheeler market.
Based on the findings and analysis, the study proposes a dual-channel approach centered around dealerships and flagship stores as the most effective business model framework for the company’s e-mobility expansion. Both models are strategically aligned with the organization’s long-term objectives of achieving sustainable growth, market leadership, and brand distinction within the evolving electric two-wheeler industry.
To expand by opening new branches, the company can consider several important factors, such as: Population, Regional GDP, Number of Motorbikes, Air Quality Index, Number of SPKLU (Public Electric Vehicle Charging Stations), Human Development Index. The high priority areas to be developed are:
- Priority 1: North Sumatera: Medan, DKI JakartaL East, West, and South areas; West Java: Bandung City, Bogor City, Bekasi Regency; East Java: Surabaya and Sidoarjo;
- Priority 2: West Java: Bandung City and Bekasi City;
- Priority 3: DKI Jakarta: North Jakarta; Central Java: Semarang;
- Priority 4: South Sumatera: Palembang; Central Java: Brebes.
The study produced a set of data-backed recommendations that serve as a foundation for the company’s e-mobility growth strategy.
Key outcomes included: (1)Identification and classification of high-, medium-, and low-potential cities for expansion.(2)A defined governance model for dealership and flagship operations to ensure consistency and accountability.(3)Clear performance metrics for sales, service, and partner engagement. (4)A framework for refining incentive structures and pricing mechanisms to improve competitiveness.
Further, the study provided a comprehensive strategic direction for the company’s transition into the e-mobility segment. It validated the need for a dual-channel approach and offered a structured methodology for expansion, supported by city-level potential mapping and business model evaluation. The recommendations also highlighted the importance of improving partner incentives, after-sales responsiveness, and customer engagement to enhance the brand’s competitive position and ensure operational excellence across markets.
