2. Revived celebrations across regions

This year's festive excitement spurred significant value growth in the FMCG sector across Indonesia, particularly in rural cities, where it increased by a remarkable 14%. The collective growth across regions can in part be attributed to the general election and improved travel conditions for homecoming. The positive trend at a national level underscores the sector's potential during Ramadan, and indicates untapped opportunities that can further expand the FMCG sector. However, a question remains: is the catalyst for growth consistent across regions?

Java, one of the regions that led growth, saw an increase in value that was driven by affordability and convenience. Food brands launching new pack sizes to cater to large groups of people, along with pantry essentials, became highly sought after during Ramadan.On the other hand Sumatra, the region with the largest uplift compared with last year, presents a different kind of potential, with nostalgia driving a surge in spend on beverages with a local flavour. Sales of makeup and hair treatments from local brands also experienced a rise with faster growth than the total beauty category.Nonetheless, Indonesia’s outer islands remain significant, with growth primarily driven by the dairy and beverage categories. These islands hold opportunities, especially with ongoing progress in the development of the new capital city in Kalimantan.In short, each region abounds in different ‘hidden gems’ that FMCG brands can benefit from.