Indonesian microretail firm Warung Pintar partners with FMCG major Reckitt

Indonesia-based microretail firm Warung Pintar said it has partnered with fast-moving consumer goods company Reckitt, allowing the latter to expand its presence among 500,000 warungs in the country.

Agung Bezharie, CEO of Warung Pintar Group; Rudy Adrian, ecommerce sales director of Reckitt; and Andrew Mawikerel, president of Warung Pintar Group / Photo credit: Warung Pintar

The move is a continuation of an initial partnership between Reckitt and Bizzy, a B2B marketplace and e-procurement platform that Warung Pintar acquired earlier this year in a US$45 million deal.

According to the statement, the earlier collaboration increased the sales growth of Reckitt’s existing products as they reached nearly 50,000 small retail businesses across Indonesia.

Through Reckitt’s partnership with Warung Pintar, the FMCG company aims to have direct connection to small retail business owners and access data related to supply chain flows and product demand insights for its business development.

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Citing internal data, the partnership will also cater to the demands of Indonesia’s small retail business owners, with sales figures for FMCG in the health and hygiene category increasing by 24% every month on average amid the Covid-19 pandemic.

“Seeing the warungs’ role and potential as a channel that distributes 74% of goods in Indonesia, we strongly support the digital transformation that Warung Pintar has built for the small business ecosystem, including warungs,” said Reckitt’s ecommerce sales director Rudy Adrian.