Heaptalk, Jakarta — Viessmann, a manufacturer of heating and refrigeration systems headquartered in Allendorf, Germany, expands to Southeast Asia, including Indonesia, in April 2021 by offering technology for household and drinking water treatment Vitopure and water heater Vitowell.
Viessmann’s expansion also involves local development facilities for research and development, production and quality assurance, portfolio expansion by adding other products, and expansion of the distribution partner network ensuring significant growth.
Seeing a huge opportunity and a prospective market, Viessmann is committed to strengthening its presence by continuously nurturing education around water treatment technology. According to the Managing Director of Southeast Asia and Oceania at Viessman Alexander Ziehe, the prospective market of Indonesia can be easily seen from its population.
“I believe Indonesia can be one of the most important markets we look at, especially when it comes to growth. Our big market is still Europe, but Indonesia can be the top five of our new markets,” said Alexander during the Viessmann Experience Day in Jakarta (10/27). Further, Alexander delivered that Viessmann targets to seize a minimum of 10% market share in the region. In general, the company aims to increase its total turnover from €2.8 billion to €3.4 billion.
In addition to great opportunities for growth, Indonesia itself is still facing difficulties in accessing clean and safe water. A study from UNICEF earlier in 2022 reported that nearly 70% of drinking water sources in Indonesian housing are contaminated with fecal waste. The findings also revealed contamination of E. coli bacteria and other harmful substances, including coliform, chlorine, and heavy metals as stated by the Central Statistics Agency (BPS).
Alexander added, “This urgency also prompted us to enter this market to help improve the living conditions of families in Indonesia. Education plays an important role in our strategy to build market understanding and we look forward to contributing more. All of this is in line with our company’s goal of creating living spaces for future generations.”
Besides the safety and cleanliness of the water, convenience is also an essential factor for middle-upper families who are growing rapidly in Indonesia. It is common knowledge that Indonesians prefer to bathe in warm water. Therefore, today’s upper-middle families usually equip their homes with water heaters to enjoy the comfort of a warm bath.
For Viessmann, this is a huge potential for the water heater market share in Indonesia, while still prioritizing safety, durability, and efficiency. Viessmann collaborates with PT Aditya Sarana Graha as the official distributor for Vitopure water treatment and PT Satya Dinamika Mandiri as the official distributor for Vitowell water heater.