Kopi Kenangan: Cloud Migration Empowers O2O Retail

Retail

Asia Pacific

Enterprise/Public Sector

"Kopi Kenangan chose Alibaba Cloud due to our international reputation as an IaaS and PaaS cloud provider, coupled with our strong local presence in Indonesia, allowing us to support the company’s R&D teams across multiple locations."

About
Kopi Kenangan

Kopi Kenangan makes high-quality and affordable fresh coffee for its Indonesian customers. Founded in 2017, the company quickly established a strong local presence, selling its products in 345 stores by June 2020.

Kopi Kenangan also integrated its online and offline channels, making use of on-demand services including Go-Jek (GoFood) and Grab (GrabFood) to extend its reach. By the end of 2019, roughly one-third of its transactions were online, with this side of the business showing continued growth.

Challenge

The early use of an Offline to Online (O2O) operating model made Kopi Kenangan a pioneer in Southeast Asia’s retail sector, allowing the business to provide a personalized shopping experience for its customers.

However, the company started to struggle to match its existing applications with the requirements of its growing online business. These challenges included:

She was also concerned about whether the cloud products and solutions were easy to use. She hoped all products could be built on a framework that is often used in general systems, making the product and solution framework easier for engineers to use.

To address these network and database challenges, Kopi Kenangan required a seamless and swift migration of its online applications to the cloud with minimal disruption. The company also wanted to embrace real-time data analytics to further optimize its user experience, identify cost savings and make better data-driven business decisions.

Why Alibaba Cloud

Kopi Kenangan decided to work with Alibaba Cloud due to our international reputation as an IaaS and PaaS cloud provider, coupled with our strong local presence in Indonesia, allowing us to support the company’s R&D teams across multiple locations.

Alibaba Cloud also has a strong track record in the O2O operations space, and the right solutions to help Kopi Kenangan achieve the high availability and scalability to meet its business requirements. We migrated the company’s applications within one week, for example, and without disruption to its business operations.

The company now benefits from a purpose-built business intelligence solution, which is fueled by real-time analytics. This set-up has powered the integration and seamless customer experience between the offline and online worlds.

As a result, the company has achieved proven cost savings on its system operation and maintenance, even during periods of real-time data volume growth. This cloud-based solution has further reinforced Kopi Kenangan’s data-driven decision-making processes for its O2O operations.

Architecture

Data sits at the heart of Kopi Kenangan’s strategy, where the company focuses on optimizing its data analytics, modeling, visualization, transformation, and enrichment.

The company adopted our AnalyticDB for PostgreSQL and PolarDB database solutions, along with our DataWorks big data platform. It also integrated third party solutions such as Tableau's real-time data warehouse. Our Auto Scaling solution also allows Kopi Kenangan to elastically scale its ECS resources with customer demand and our Container Service for Kubernetes (ACK) helps it manage its container infrastructure.

Once deployed, the PolarDB OLTP database supports high concurrent transactions with data storage of up to 100TB. AnalyticDB for PostgreSQL is a massively parallel processing (MPP) data warehousing service, which supports high-performance interactive query and handles end-to-end analytics workflows without friction.

Our Data Transmission Service (DTS) helped enable a seamless migration for the company. Using this database operation tool, a single source of data stored in OLTP – PolarDB – could be synchronized into OLAP – AnalyticDB – within seconds.

A single source of data now feeds multiple analytics tools, and the company’s cloud-based data lake is well-established. Coupled with DataWorks – a data management and development tool, the company can reinforce its business intelligence capabilities and has massively streamlined its decision-making process.

Looking Forward

Kopi Kenangan is continuing to explore many pioneering retail solutions for its business, using Alibaba Cloud’s extensive suite of cloud-based and data-driven solutions to achieve this.

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