Send Your Heroes Island Hopping

Let’s face it – a smattering of sun, sand and sea never did anyone any harm. And if it’s true for you, it’s true for your SKU. With a GDP of $1.2 trillion AUD (and growing steadily), the little Southeast Asian nation of Indonesia is also the 16th largest economy in the world – and the perfect playground for your product.

Buying behaviours in this market are increasingly influenced by new technologies, improved connectivity and therefore access to information, and a growing number of health-conscious consumers; making this an exciting opportunity for boutique Australian food and beverage products. Just be that sure you’re running on island time – import registration can be a lengthy process.

Are Your SKUs Natural, Healthy or Organic?

  • While still developing, there is a growing awareness and need for organic and health foods in Indonesia
    • Organic beverages, for example, recorded a total of 14% retail growth over the last year, and
    • Customers already interested in this industry are not very price-sensitive
  • 6.2% of Indonesians aged 20-79 years old have diabetes, and many more have not yet been clinically diagnosed
  • Government and advertising health campaigns are becoming more common, informing the Indonesian population of the benefits of making healthy food choices
  • This is a country small by landmass, but large in population; and with over 265+ million people, a rapid rate of urbanisation is changing the commercial landscape – as 54% of all Indonesians now live within urban areas
  • Advertising campaigns are also reaching a larger population, and faster, due to this increasing urbanisation, which is also correlated with a growth in affluence and the Indonesian middle class

Can You Be An Early Adopter of Modernisation?

  • The food and beverage sector continues to grow
    • Cafes and bars experienced 8% value growth in 2016
    • Juice and smoothie bars topped this with an 18% value growth in the same year
  • While e-commerce is in its early stages, time-pressured but tech-savvy young adults are also selecting platforms which offer smooth online transactions
  • Modern retailers are engaging with these large target markets in the digital space with innovations in business processes and the presentation of product, to create a refreshing in-situ shopping experience, winning popularity with high-end customers

You know how this works – get in early before the throngs of exporters catch word, and you’ll be out front – having fun in the sand and sun!