November 13, 2024 – Indonesian consumers are becoming more interested in health and convenience, as demonstrated by their responses to consumer trend surveys. Several factors demonstrate their interest in health, including increased awareness of health and well-being. However, Indonesian consumers also are influenced by the cost-of-living crisis and their desire for time-saving solutions affects their purchasing.
Inflation’s Impact on Spending
Global forces affect consumer insights in Indonesia. The global cost-of-living crisis affects food and beverage spending by Indonesian consumers. Consumer insights reveal that they are concerned or extremely concerned about the cost-of-living crisis and its impact on their country and community. In fact, Indonesia has one of the highest levels of concern globally. Consumers in Indonesia also say that their financial situation is worse, although many now report that personal finances are improving. That means they may be willing to spend more on food and beverage products in the future.
Still, Indonesian consumers are adopting strategies to reduce their spending, including shopping in cheaper stores, opting for local products, and cutting back on convenience foods. They are shopping closer to home to reduce fuel costs and support energy efficiency. Consumer insights in Indonesia show that they are also making adjustments to their cooking habits. A significant number are reducing food delivery and local purchases to cut down on fuel costs.
Younger Consumers are Socializing
Although inflation and the cost of living impact spending patterns in Indonesian consumers, socializing is also important. Younger consumers, in particular, want to socialize to lift their mood. Consumer insights show that younger consumers say they are motivated to socialize more and more. One way to do this is to seek experiences and emotional connections with food.
Indonesian Consumers Make Healthy Food Choices
Consumer insights show that Indonesian consumers are looking for functional foods and beverages that support specific health needs. Particular benefits of interest are sleep, gut health, and immunity, as well as products that improve heart health, aging well, and brain health.
Another Indonesian consumer trend supports plant-based products. Indonesian consumers are becoming more interested in plant-based options, especially plant-based products that imitate well-known dishes and formats. Consumer insights suggest that Indonesian consumers are ready to embrace plant-based products but want plant-based products to be familiar and easy to understand.
Indonesian Consumers are Health-Conscious Eaters
Indonesian consumers are increasingly proactive about their health and well-being. Consumer insights show that they put emphasis on preventative measures. Over a third of consumers actively engage in preventative actions to avoid health issues. They also seek food and beverage products that offer specific functional benefits, such as weight management, heart health, and bone and joint health. This highlights the importance of functional nutrition and the potential for manufacturers to meet Indonesian consumer needs.
Indonesian Consumers are Avid Snackers
The Indonesian snack market holds great potential for manufacturers. Indonesian consumers are avid snackers. Consumer insights display that they snack frequently throughout the day and especially in the afternoon. In fact, Indonesian consumers stand out globally for their pattern of afternoon snacking. Children also snack at least once a day. Overall, Indonesian consumers are likely to increase their consumption of both healthy and indulgent snacks. This demonstrates a dynamic approach to snacking that prioritizes both wellness and occasional indulgences.
According to consumer insights, Indonesian consumers look for snacks that are tasty and healthy. Consumers in Indonesia expect snacks to provide physical benefits that include a balanced diet, better physical health, and help with weight control. They prefer healthy snack options over indulgent choices, especially among younger Indonesian consumers. Savory nuts and seeds are the top category where Indonesian consumers look for healthier alternatives, followed by dairy snacks and cereal and energy bars.
But they also look for indulgent snacking options, especially in sweet categories. Consumer insights show that top indulgent snack subcategories among Indonesian consumers are sweet biscuits and cookies; cakes, pastries, and sweet goods; and chocolate confectionery. Compared to consumer trends in other countries, Indonesian consumers are more likely to indulge in bread and bread snacks. In addition, Indonesian consumers are more likely to buy premium snacks than the global average.
Indonesian consumers are willing to invest in higher-quality snacks that meet their health and taste preferences. While rich and sweet flavors are important to Indonesian consumers, they also value natural ingredients and low sugar content.
Convenience and Time-Saving Solutions
Convenience plays a significant role in Indonesian consumers’ daily lives. They actively seeking time-saving solutions for preparing and consuming food and beverage products. Half of Indonesian consumers cook from scratch but many in consumer insights reveal that they use convenience foods daily. In the Indonesian food and beverage marketplace, convenient solutions include ready meals, main dishes, instant noodles, and sandwiches.
This article is based on Innova’s Now & Next in Indonesian Consumer Lifestyle Choices report. This report is available to purchase or with an Innova Reports subscription. Reach out to find out more
