Tanah Abang Market Vendors Threatened by Lack of Buyers: IPB Professor Reveals Why and How to Overcome It

As Eid al-Fitr approaches this year, vendors at Tanah Abang Market in Central Jakarta are reporting a significant drop in customer numbers compared to previous years. Many traders express disappointment as the market is not as crowded as it used to be.

Professor of the Faculty of Economics and Management IPB University, Prof Dedi Budiman Hakim, explains that this phenomenon is a result of changes in business processes, with digital platforms and e-commerce increasingly dominating the market.

“Consumers now prefer shopping online because it allows them to find the products they want more easily without having to visit physical markets,” he stated.

Prof Dedi further elaborated that online shopping offers greater convenience, a wider selection of products, lower prices, and less time consumption. Moreover, with various discount programs and national online shopping events, consumers are even more inclined to turn to e-commerce.

The phenomenon of declining buyers at traditional markets is not only affecting clothing sales but also impacting the electronics and mobile phone sectors in shopping centers.

“This is concrete evidence that technological disruption has transformed transaction patterns and marketing processes. The shift in shopping habits is a result of the efficiency brought about by technological advancements in production and marketing,” Prof Dedi emphasized.

To address this challenge, Prof Dedi stressed the importance of adaptation for vendors. One key strategy is leveraging online marketing through social media and e-commerce platforms. 

“By utilizing e-commerce platforms, traders can analyze market competition and monitor transaction volumes of their competitors,” said Prof Dedi. (IAAS/HPH)