Meet The Local Winners
Despite already reaching the ‘new normal’ in which FMCG consumption is gradually increasing, the Indonesian market is becoming more challenging for players to compete in following the many newcomers that have entered the game. With buyers also remaining cautious in the way they allocate their spending, FMCG companies need to ensure that their brands are meaningfully different for consumers – not only to maintain loyalty but also to tempt new shoppers to try and then continue purchasing.
This dynamic has made the landscape more competitive than ever. Long-standing brands are expected to maintain excitement among their buyers to continue to have traction, just like Indomie has done with its Ramen Series or Kapal Api’s Gula Aren portfolio.
On the other hand, the newcomers also need to bring something fresh to the market. Accessible innovation is often required to ensure engagement with and retention of buyers, which Zen has achieved through its multi-benefit soap that is available in a variety of packs. Meanwhile Gentle Gen has successfully introduced offer a new plant-based and more environmentally friendly proposition for the detergent category, as well as providing sachet pack to enable easier access to that innovation.
Indeed, ease of access to products is becoming more crucial than ever. With Indonesians becoming omnichannel shoppers, ensuring availability of FMCG products everywhere is one of the keys to maintaining growth. Those brands who are strengthening their distribution in more channels, or expanding their market to new regions, are able to record faster growth than their rivals.
Predisposing people to buy through marketing activities and strengthening their proposition, becoming more present for existing and potential purchasers, while also figuring out new spaces to fill, have helped Indonesia’s most chosen brands to thrive within an extremely challenging environment.
