Supporting the Independence of MSME Players, Phapros (PEHA) Distributes MSME Funding Program Phase I/2024 Amounting to Rp 1.045 Billion.

Semarang, March 27, 2024 - PT Phapros Tbk (PEHA), a subsidiary of PT Kimia Farma Tbk (KAEF), disbursed the Micro and Small Business Funding Program Phase I/2024 to 16 micro and small entrepreneurs (UMK) on Wednesday (27/3) at the Simongan office, Semarang, Central Java.

The UMK funding program is Phapros' commitment to develop the capabilities of small businesses to become more independent, capable of driving economic growth, thus creating an atmosphere of development equality and increasing/expanding job opportunities in the region. Corporate Secretary, Mrs. Zahmilia Akbar, who was present in person, stated that MSMEs play a very important role in the economy of Indonesia. Based on the latest data from the Ministry of Cooperatives and SMEs, micro-enterprises account for more than 97% of employment in Indonesia. The role of MSMEs is also very important for the Indonesian economy, contributing more than 60% to Indonesia's Gross Domestic Product (GDP) every year. Even the percentage of MSME exports to total exports reaches 15%.

"The disbursement of this UMK Funding Program is the first phase in 2024, which will be distributed to 16 partners, namely 9 new partners and 7 existing partners, with a total fund of Rp 1,045,000,000. The 16 partners have various types of businesses, including trade, agriculture, services, and industry. Our hope is that Phapros can continue to be consistent in disbursing UMK funding programs, so that more MSMEs can be nurtured," she continued.

In addition to disbursing the UMK funding program, Phapros' TJSL also conducts training for its foster partners to foster innovation spirit and increase knowledge about marketing and selling products. This training was attended in a hybrid manner by foster partners with Mrs. Paloma Paramita (MSME Practitioner and Practitioner) as the speaker with the title of training Social Proof & Consumer Buying Motives in Ramadan.

In her material, Mrs. Paloma explained how consumers can be convinced that the quality of your products is good. She explained that social proof refers to our tendency to follow the behavior of others, especially those we know. Meanwhile, buying interest is the tendency of consumers who are interested and then take action related to purchasing through various stages and levels of possibility until the ability to buy products and services. To determine the target market, product development according to consumer needs and increasing competitiveness against competitors are required.

In 2024, there has been a change in consumer behavior, including 88% of millennials and Generation Z using social media to seek product/service references. As for purchasing conversion, 71% of them decide to buy based on social media references and 91% of buyers read at least one review before deciding to buy. Various forms of social proof include testimonials, customer interactions, milestones on business profiles, event collaborations, product ratings, and using influencer services. In the final session, Paloma advised all foster partners that social proof is an activity to influence the psychological of prospective buyers to take purchasing action so that MSMEs can level up.