GoTo noted a net income of Rp6.8 trillion in H1 2023, elevating 102%, compared to the former, which was only around Rp3.39 trillion.
Heaptalk, Jakarta — PT GoTo Gojek Tokopedia continues to focus on expediting the company’s endeavor toward profitability this year. In the further business strategy, GoTo company currently sets up several business strategies such as improving its competitiveness, divesting non-core assets, and managing its expenses to be more selective.
Previously, the company had announced its Q2 2023 business performance exposure by recording a 72% adjusted EBITDA improvement, bolstered by an increased monetization and optimization of sustainable incentives. Meanwhile, the company also noted a net income of Rp6.8 trillion in H1 2023, elevating 102%, compared to the former, which was only around Rp3.39 trillion.
For revenue optimization measures, the company will continue to optimize the commission structure in the On-demand Service, e-commerce, and logistics business units by developing operations to achieve higher revenue margins.
According to the internal analysis, GoTo can double the market potential in the on-demand business (Gojek) if it reaches more consumer groups prioritizing price. For this reason, the company continues to boost this strategy by strengthening GoFood Hemat, GoCar Hemat, and Go Transit Multimoda services.
In terms of its e-commerce business line, GoTo is also enhancing the product assortment on its platform to attract more users, specifically in the budget customer segment. By implementing this strategy, GoTo Gojek Tokopedia looks forward to increasing service offerings, such as lending, and encouraging the Total Addressable Market (TAM) to grow its customer base. Meanwhile, regarding the logistics unit, GoTo has also reduced the subsidized cost of delivering goods within the ecosystem by 15%.
The President Director of GoTo Group, Patrick Walujo, delivered, “After building a solid consumer base in the consumer category that prioritizes convenience, the company will continue to broaden its customer base, without using incentives that cannot be sustained for the long term, among consumers who prioritize price and prioritize value for money. We are currently preparing a long-term strategy to achieve our intentions and maintain our discipline in managing operating expenses as we shift our service options to serve a wider market,”
As part of GoTo’s strategy to reach business profitability in 2023, the company plans to unleash its entertainment business line because it is no longer part of its core strategy. Based on the previous information, GoTo Gojek Tokopedia owns several entertainment services, including a movie streaming platform GoPlay and a concert ticket booking GoTix.
“We will focus on being tech independent by reducing dependence on third-party solution providers. We did a deep dive, and the spending was huge. We will deploy an internal technology team and discover solutions to become a lean organization..” said the Vice Director of GoTo, Thomas Husted, cited in daily social.
