OPTIMISTIC INDONESIA. RECENT WORLDWIDE ACCLAIM. “ Prudent fiscal policies ” World Bank 2014. “ Remains an excellent opportunity for investment” McKinsey. “ An economy driven b y domestic consumption” Standard Chartered Bank Economic Analyst. “Most opti mistic middle class in the world ”
Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.
“Prudent fiscal policies”
World Bank 2014
“Remains an excellent opportunity for investment”
“ An economy driven bydomestic consumption”
Standard Chartered Bank Economic Analyst
“Most optimistic middle class in the world”
“Steady economic growth in climate of political stability”
Bain & Company
(estimated June 2014)
92.8 % Literacy
US$3,234 Per Capita Income
74,000,000 Middle Class
10 Largest Economy
3 In Asia
Moody’s Indonesia’s sovereign rating :stable, external pressures manageable
from 74th in 2005 to 38th in 2013
US$2,058 Billion GDP
74% of GDP
25 Cities home to at least 500,000 Middle Class
55Million Skilled Workers
0.5 Trillion market opportunity
In consumer serviced, agriculture & fisheries,
resources and education
67 MILLION Motorcycles
Jakarta vehicle numbers: 14 million
Cars: 5.5 MILLION
Motorcycles: 8.5 MILLION
Jakarta Total Road 7650 Km
2 Meters per Car, if all came out same time
it’s 11,000 Km
250 Million (Sept 2013)
Nobody is Working!
Indonesian spent 181 minutes per day on smartphones
Highest in the World
Over the next 15 years, Indonesia will gain 80 million new consumers, accounting for 40% of the new consumers in the Association of Southeast Asian Nations (Asean) over that period.1
Estimates by the Brookings Institution indicate that Indonesia will become the fourth-largest middle-class country by 2030, behind India, China and the US.
Indonesia’s high consumer confidence scores consistently top and Indonesians typically report household budget flexibility that far exceeds the global average.
Nielsen Global Rankings)
Modern retail sales in urban areas across Indonesia are expected to grow an average of 7.3 percent/year during 2012 to 2017 (Euromonitor).
46%of the products were categorized as premium, 32 percent were mainstream, and 22 percent were value-oriented.
(Nielsen study on 13 fmcgs)
About 60 percent of the products that make up the super-premium basket are discretionary items in categories such as chocolates, biscuits and moisturizing creams.
(Nielsen Global Rankings)
Companies will look to launch more high-end brand variants to cater to demand among upper-income consumers (whose purchasing power is likely to remain strong even in the midst of a weak economic environment) and ensure healthy profits.
Many companies will offer products in smaller packaging sizes in order to be able to offer more affordable prices aiming to expand their consumer bases to reach more price-sensitive consumers from lower to middle income groups.
Regional Economic Growth
1,904,569 sq km
5,271 km Length (N-S)
2,210Km Breadth (E-W)
Maluku dan Papua
Bali dan Nusa
Sumber: SP 2010
Indonesia’s retail landscape is still dominated by traditional trade and small-format outlets
Dollar flies high
Whatever the outcome, it looks good .
“ Strong! Are you?