3. The impact of gifting for lower class consumers
Gifting increased during this year’s festive period, especially among consumers from lower socio-economic levels. Penetration within this group also increased more than in any other. This is likely to be linked to the government relief programme (Bantuan Pangan Non Tunai) which 18.8 million households benefited from.
For these consumers, pack size and low price points are particularly relevant. Certain variants are more likely to be included in relief bundles due to their affordability and practicality. Smaller pack sizes and budget-friendly options cater to the needs of these households, ensuring they can participate in celebrations without financial strain. This trend underscores the importance of value offerings in driving FMCG growth within this segment.
