Augmenting Disposable Income Harness Fruitful Returns for Beauty and Personal Care Market Indonesia: Ken Research


The economic conditions in Indonesia have been improving and have led to a rise in disposable income of the consumers because of the increase in employment rate. This rise in disposable incomes and increased consumer confidence in the economy has increased the demand for beauty and personal cares products. The consumers are now inclined towards buying better quality beauty and personal care products as they are increasingly exposed to international beauty trends through the internet and other sources.

According to the market research “Beauty and Personal Care in Indonesia“, in 2016, the industry recorded a brawny growth. The awareness for wellbeing has been on a rise in Indonesian consumers and this has helped the beauty and personal care market to grow. Colour cosmetics and other similar beauty products have a high demand in the country because of daily use by the people. Dermocosmetic brands combine natural essence and medical knowledge to produce their products. They are now becoming popular choice in the market and have improved the demand of skin care segment. There were limited product innovations in 2016 in the baby and childcare segment, which recorded an unwavering growth.

Cosmetics are a primary focus of the National Development Plan for Industry of the Indonesian Government until 2019. The huge contribution towards the GDP of the country by the industry is the reason the segment has been prioritised by the government and is considered an economically important segment. The objective of the government behind this is to promote the export of beauty products with a special focus on neighbouring countries like Australia, Malaysia and Brunei Darussalam. The government also wants to reduce the cost of production of the domestic producers and is therefore encouraging the production of raw materials locally rather than importing.

Many new domestic companies are now entering the beauty and personal care market. This has resulted in increased competition. Companies like Paragon Technology and Innovation PT are growing rapidly in the market whereas the big companies like Unilever Indonesia Tbk PT have recorded a stagnant market share. The licenses of producing halal products are now being given to domestic companies like Martina BertoTbk PT, which is helping them to beat the competition with Wardah brand. There are many modernisms in the market and the companies are reinventing their existing product portfolio as well as introduced new products.

New innovations are a key strategy to survive in the market and build a strong consumer base.  Halal products are the new rage in the beauty and personal care market. These are products that are not produced using ingredients derived from animals, are not tested on animals and do not contain alcohol. The majority of the population in Indonesia is Muslim, which is now rapidly shifting to halal products. This trend is expected to continue and be a major driving force of the market in the future. The demand for herbal products is also experiencing a strong growth with the rising concerns for side effects of products that may contain harmful chemicals. Natural products are gaining popularity and are increasingly expanding their market size.

Key Topics Covered in the Report:

Indonesia Beauty and Personal Care Market Research Report

Indonesia Beauty and Personal Care Market Size

Indonesia Beauty and Personal Care Industry Analysis

Indonesia Beauty and Personal Care Trade Market

Indonesia Beauty and Personal Care Retail Market

Indonesia Beauty and Personal Care Production Output

Indonesia Beauty and Personal Care Import Volume

Indonesia Beauty and Personal Care Export Volume

Indonesia Beauty and Personal Care Market Future Outlook

Indonesia Beauty and Personal Care Market Competition

Indonesia Male Grooming Market

Indonesia Hair Oil Market

Body Lotion Market Indonesia

Sun Screen Lotion Market Indonesia

Female Fragrances Market Indonesia

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Ken Research

Ankur Gupta, Head Marketing & Communications



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