KONTAN.CO.ID - JAKARTA. The economic growth this year gives hope for a better year ahead, including in the motorcycle industry. The Indonesian Motorcycle Industry Association (AISI) predicts the growth in demand for new motorcycles in the domestic market will increase to 5.1 million-5.4 million units. Based on data from the Indonesian Motorcycle Industry Association (AISI), national motorcycle sales in the January – September 2021 period reached 3.76 million units. This figure increased by 56.8% compared to the same period in 2020 of 2.18 million units. Of course, this is a breath of fresh air for the financing industry. Based on data released by APPI, the distribution of financing for new and used motorcycles until September 2021 increased by 19.8% to Rp. 55.6 trillion compared to September 2020 of Rp. 46.45 trillion. For example, PT Wahana Ottomitra Multiartha Tbk (WOMF) is one of the companies that has benefited from the growth of motorcycles. WOMF recorded that motorcycle financing as of September 2021 reached more than IDR 1 trillion, an increase of 64% yoy. President Director of Wom Finance, Djaja Suryanto Sutandar, said the trend in the future will improve according to AISI's projections, and his party targets new motorcycle financing to increase by 70% yoy or jump to Rp 4 trillion to Rp 4.3 trillion. Next year, the company also targets the growth of motorcycle financing to increase to 15 percent, this is in line with WOMF's new motorcycle loan market share of around 4 percent. "In increasing the distribution of financing, we prioritize process improvement and convenience for consumers/dealers to obtain financing facilities from WOMF," said Djaja to kontan.co.id, Tuesday (9/11). WOMF also seeks to increase the distribution of financing and the acquisition of new consumers through various periods of promotion and marketing through digital channels, as well as optimizing business processes on an ongoing basis using e-services, digital signs, and e-assets. PT Federal International Finance Group (FIFGROUP) also stated that the pandemic that occurred in early 2020 had a major impact on the entire industry, one of which was financing. This is also in line with the decline in FIFGROUP's performance in 2020, which is still better than the industry, which is only 22%. And in total, the projected amount of finance in 2021 will increase by 5%, the same as the projection for the increase in the industry. With the growth of motorcycles based on AISI data, as of September 2021 FIF Group managed to distribute motorcycle financing of Rp 24.4 trillion or an increase of 2.5% yoy. The President Director of FIFGROUP, Margono Tanuwijaya explained, until now the financing of two-wheeled vehicles under the FIFASTRA brand still has the largest portion, which is 63.0% of the total FIF financing, followed by DANASTRA 33.0%, SPEKTRA 5.5%, and AMITRA 0.5%. In this regard, below we will provide an explanation of the 2W market as the largest contribution in the portfolio.

"As of 2020, the two-wheeled financing market did experience a decline of -43.6% from the previous year (AISI), but it is predicted that it will increase by 38.4% by the end of 2021, which is 5.1 million, although this figure is indeed not like before the pandemic, which was 6.5 million in 2019," said Margono. However, to overcome this, the company has carried out several initiatives, such as strengthening collaboration, both within the company and with the Astra ecosystem and strategic partners through online and offline integration, virtual exhibitions involving partner motorcycle dealers, joining programs and many others. "So even though the two-wheeled vehicle market is still experiencing slow growth, FIFGROUP is still the market leader in two-wheeled financing, which is 42% based on data from January to August 2021," said Margono. PT Adira Dinamika Multi Finance Tbk. (Adira Finance) also recorded growth in new financing distributions as of September 2021 of Rp 18.1 trillion, up 36% yoy compared to the same period last year. According to Adira Finance President Director Hafid Hadeli, new motorcycle financing products account for about 55% of the company's total financing distribution each year, growing to 34% (yoy) compared to the previous year. "The company also targets new financing in 2021 to grow by 20%-30% from last year's achievement in line with AISI and Gaikindo projections where automotive sales can grow double digits in 2021," said Hafid. Hafid explained that the company will continue to increase market share in the automotive business, both cars and motorcycles, by providing various attractive sales programs for new and existing customers and strengthening good relations with dealers in increasing new financing. In addition, expanding the network to non-automotive businesses by continuing to diversify the products offered to support business growth, and continuing investment and accelerating digitization to reach new customers with various Adira Finance online platforms such as momobil.id, momotor.id, dicicilaja.com, and the Adiraku app. In the near future, Adira Finance will also launch the Adiraku mobile application version 2.0 as an effort to offer better products and services to consumers.