Five rules for reaching Indonesian shoppers
If Indonesia can address economic challenges such as the threat of inflation, it will be on track to become the 11th-largest economy in the world—and potentially the next Brazil.
Until recently, most consumer product companies paid relatively little attention to Indonesia. Today, many consider it a must-win market. Why? As many emerging markets enter a period of slower growth, Indonesia may be reaching an inflection point. It’s not only attractive in its own right, but also may be critical to the global ambitions of many companies in search of the next wave of international growth.
To help companies position themselves for success in Indonesia, Kantar Worldpanel and Bain & Company provide an in-depth look at market conditions as well as consumer attitudes and behavior in the country. The report “Five Rules For reaching Indonesian Shoppers” identifies critical shopper insights in five areas related to Indonesians’ willingness to pay for premium products, degree of loyalty, behavior across regions, shopping preferences, and attitudes toward social media.
Based on these market and consumer analyses, there are five golden rules for success in Indonesia:
1. Be clear on where and how to win
2. Truly understand the Indonesian consumer
3. Attain the right distribution coverage to reach target consumers
4. Win the battle for new consumers at each point of sale
5. Ensure that human resources (HR) is an accelerator and not a bottleneck
No consumer product company with global ambitions can afford to ignore the Indonesian opportunity, and Indonesian brands won’t survive unless they secure a sustainable leadership position in the market. While there are many paths to the winner’s circle, brands of all types—from new entrants to established leaders—have shown that the golden rules are critical to achieving and sustaining success in Indonesia.
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