5. Beauty grows faster among younger shoppers
Adult shoppers continue to hold the key to growth for FMCG brands during Indonesia’s festive season, with the largest contribution to total spend, as well as the highest growth of 2024 with an uplift of 15%. Food and beverages have become the priority categories for this group, as most of them host celebrations at home. This means that the ‘usual’ festive categories are the most relevant.
The 2024 festive season was also warmly welcomed by the younger generation. Growth from this group reached 11% this year, opening up new opportunities for several categories – not only those related to festive celebrations, but also beauty products. There was notable growth in the cosmetics and hair treatment categories, suggesting a desire to look good during the season. This trend was supported by month-long Ramadan campaigns from some beauty and skincare brands, with a lot of new offerings ranging from promotions to the launch of new variants.
This faster growth in the beauty sector illustrates that young shoppers are extending their spend beyond the ‘usual’ festive categories. Their diverse spending habits and willingness to explore new products make them a pivotal segment for FMCG companies. This is reflective of a broader trend of younger consumers having an increasing influence on market dynamics, highlighting the importance of targeting these future shoppers to maximise festive season growth.
For FMCG brands planning their channel strategies, adult consumers remain important, as they are the main shoppers within general/traditional trade, a prominent channel during the festive season. The younger generations, meanwhile, are driving the uplift in hypermarkets and supermarkets, as well as online channels.
