Retail in Indonesia - Research and Markets

Following the easing of various national COVID-19 related measures, retail in Indonesia saw healthy growth for the second consecutive year in current value terms in 2022. The return of consumers to their physical offices, combined with the reopening of shopping centres, provided a boost to the country’s economy.

The analyst's Retail in Indonesia report offers insight into key trends and developments driving the industry. The report examines all retail channels to provide sector insight. Channels include hypermarkets, supermarkets, discounters, convenience stores, mixed retailers, health and beauty retailers, clothing and footwear retailers, furniture and furnishing stores, DIY and hardware stores, durable goods retailers, leisure and personal goods retailers. There are profiles of leading retailers, with analysis of their performance and the challenges they face. There is also analysis of non-store retailing: vending; homeshopping; internet retailing; direct selling, as available.

Product coverage:

Retail E-Commerce, Retail Offline.

Data coverage:

Market sizes (historic and forecasts), company shares, brand shares and distribution data.

Why buy this report?

Get a detailed picture of the Retail market;
Pinpoint growth sectors and identify factors driving change;
Understand the competitive environment, the market’s major players and leading brands;
Use five-year forecasts to assess how the market is predicted to develop.

RETAIL IN INDONESIA

EXECUTIVE SUMMARY

Retail in 2022: The big picture
2022 key trends: number of retail outlets slows in 2022
Price promotions serve to boost store traffic
Continued shift to online platforms
Fintech accelerates financial inclusion
What next for retail?

OPERATING ENVIRONMENT

Informal retailing
Opening hours for physical retailers
Summary 1 Standard Opening Hours by Channel Type 2022
Seasonality
Eid al-Fitr/Lebaran
School holidays
Harbolnas (national online shopping day)
Christmas

MARKET DATA

Table 1 Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2017-2022
Table 2 Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2017-2022
Table 3 Sales in Retail Offline by Channel: Value 2017-2022
Table 4 Sales in Retail Offline by Channel: % Value Growth 2017-2022
Table 5 Retail Offline Outlets by Channel: Units 2017-2022
Table 6 Retail Offline Outlets by Channel: % Unit Growth 2017-2022
Table 7 Sales in Retail E-Commerce by Product: Value 2017-2022
Table 8 Sales in Retail E-Commerce by Product: % Value Growth 2017-2022
Table 9 Grocery Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 10 Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 11 Sales in Grocery Retailers by Channel: Value 2017-2022
Table 12 Sales in Grocery Retailers by Channel: % Value Growth 2017-2022
Table 13 Grocery Retailers Outlets by Channel: Units 2017-2022
Table 14 Grocery Retailers Outlets by Channel: % Unit Growth 2017-2022
Table 15 Non-Grocery Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 16 Non-Grocery Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 17 Sales in Non-Grocery Retailers by Channel: Value 2017-2022
Table 18 Sales in Non-Grocery Retailers by Channel: % Value Growth 2017-2022
Table 19 Non-Grocery Retailers Outlets by Channel: Units 2017-2022
Table 20 Non-Grocery Retailers Outlets by Channel: % Unit Growth 2017-2022
Table 21 Retail GBO Company Shares: % Value 2018-2022
Table 22 Retail GBN Brand Shares: % Value 2019-2022
Table 23 Retail Offline GBO Company Shares: % Value 2018-2022
Table 24 Retail Offline GBN Brand Shares: % Value 2019-2022
Table 25 Retail Offline LBN Brand Shares: Outlets 2019-2022
Table 26 Retail E-Commerce GBO Company Shares: % Value 2018-2022
Table 27 Retail E-Commerce GBN Brand Shares: % Value 2019-2022
Table 28 Grocery Retailers GBO Company Shares: % Value 2018-2022
Table 29 Grocery Retailers GBN Brand Shares: % Value 2019-2022
Table 30 Grocery Retailers LBN Brand Shares: Outlets 2019-2022
Table 31 Non-Grocery Retailers GBO Company Shares: % Value 2018-2022
Table 32 Non-Grocery Retailers GBN Brand Shares: % Value 2019-2022
Table 33 Non-Grocery Retailers LBN Brand Shares: Outlets 2019-2022
Table 34 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: Value 2022-2027
Table 35 Forecast Sales in Retail by Retail Offline vs Retail E-Commerce: % Value Growth 2022-2027
Table 36 Forecast Sales in Retail Offline by Channel: Value 2022-2027
Table 37 Forecast Sales in Retail Offline by Channel: % Value Growth 2022-2027
Table 38 Forecast Retail Offline Outlets by Channel: Units 2022-2027
Table 39 Forecast Retail Offline Outlets by Channel: % Unit Growth 2022-2027
Table 40 Forecast Sales in Retail E-Commerce by Product: Value 2022-2027
Table 41 Forecast Sales in Retail E-Commerce by Product: % Value Growth 2022-2027
Table 42 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 43 Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 44 Forecast Sales in Grocery Retailers by Channel: Value 2022-2027
Table 45 Forecast Sales in Grocery Retailers by Channel: % Value Growth 2022-2027
Table 46 Forecast Grocery Retailers Outlets by Channel: Units 2022-2027
Table 47 Forecast Grocery Retailers Outlets by Channel: % Unit Growth 2022-2027
Table 48 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 49 Non-Grocery Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 50 Forecast Sales in Non-Grocery Retailers by Channel: Value 2022-2027
Table 51 Forecast Sales in Non-Grocery Retailers by Channel: % Value Growth 2022-2027
Table 52 Forecast Non-Grocery Retailers Outlets by Channel: Units 2022-2027
Table 53 Forecast Non-Grocery Retailers Outlets by Channel: % Unit Growth 2022-2027

DISCLAIMER

SOURCES

Summary 2 Research Sources

CONVENIENCE RETAILERS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Continued growth, but outlet expansion rate begins to decline
Alfamart usurps Indomaret to become leading player
Increased focus on digital payments

PROSPECTS AND OPPORTUNITIES

Further growth expected, as leading players exploit untapped cities
Price discounts and digital financial solutions will ensure customer loyalty
Focus on younger consumers

CHANNEL DATA

Table 54 Convenience Retailers: Value Sales, Outlets and Selling Space 2017-2022
Table 55 Convenience Retailers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 56 Sales in Convenience Retailers by Channel: Value 2017-2022
Table 57 Sales in Convenience Retailers by Channel: % Value Growth 2017-2022
Table 58 Convenience Retailers GBO Company Shares: % Value 2018-2022
Table 59 Convenience Retailers GBN Brand Shares: % Value 2019-2022
Table 60 Convenience Retailers LBN Brand Shares: Outlets 2019-2022
Table 61 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 62 Convenience Retailers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 63 Forecast Sales in Convenience Retailers by Channel: Value 2022-2027
Table 64 Forecast Sales in Convenience Retailers by Channel: % Value Growth 2022-2027

HYPERMARKETS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Positive growth in 2022, following end of pandemic-related restrictions
Number of outlets increases, thanks to expansion plans of existing and new players
Growing focus on omnichannel strategies

PROSPECTS AND OPPORTUNITIES

Continued competition from smaller format retail outlets, as well as e-commerce
Hypermarkets to scale back their selling space and review their product portfolios in a bid to increase profitability
Focus on high turnover products

CHANNEL DATA

Table 65 Hypermarkets: Value Sales, Outlets and Selling Space 2017-2022
Table 66 Hypermarkets: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 67 Hypermarkets GBO Company Shares: % Value 2018-2022
Table 68 Hypermarkets GBN Brand Shares: % Value 2019-2022
Table 69 Hypermarkets LBN Brand Shares: Outlets 2019-2022
Table 70 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 71 Hypermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

SUPERMARKETS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Sales see an upturn in 2022, with standalone outlets leading the way
Competition from convenience stores and e-commerce
Price promotions remain a key feature

PROSPECTS AND OPPORTUNITIES

Wider variety of fresh produce will give supermarkets competitive advantage over convenience stores
Focus on smaller formats in residential locations
Promotions will continue to draw in customers

CHANNEL DATA

Table 72 Supermarkets: Value Sales, Outlets and Selling Space 2017-2022
Table 73 Supermarkets: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 74 Supermarkets GBO Company Shares: % Value 2018-2022
Table 75 Supermarkets GBN Brand Shares: % Value 2019-2022
Table 76 Supermarkets LBN Brand Shares: Outlets 2019-2022
Table 77 Supermarkets Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 78 Supermarkets Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

SMALL LOCAL GROCERS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Improved performance in 2022, but sales remain below pre-COVID-19 levels
Continued decline in number of outlets, with small pack sizes growing in importance
Small local grocers go digital

PROSPECTS AND OPPORTUNITIES

Full recovery remains some years away, thanks to enduring impact of COVID-19 on lower-income segment
Number of outlets will not recover to pre-pandemic levels
Government support for small grocery outlets is expected to ensure their long-term survival

CHANNEL DATA

Table 79 Small Local Grocers: Value Sales, Outlets and Selling Space 2017-2022
Table 80 Small Local Grocers: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 81 Small Local Grocers GBO Company Shares: % Value 2018-2022
Table 82 Small Local Grocers GBN Brand Shares: % Value 2019-2022
Table 83 Small Local Grocers LBN Brand Shares: Outlets 2019-2022
Table 84 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 85 Small Local Grocers Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

APPAREL AND FOOTWEAR SPECIALISTS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Buoyant sales in 2022, following return to pre-pandemic lifestyles
Stagnant outlet growth in 2022
Mitra Adi Perkasa retains its leading position

PROSPECTS AND OPPORTUNITIES

Strong recovery expected
Shift away from formalwear towards more casual clothing
Players will continue to pursue omnichannel strategies, in the face of outlet stagnation

CHANNEL DATA

Table 86 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 87 Apparel and Footwear Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 88 Apparel and Footwear Specialists GBO Company Shares: % Value 2018-2022
Table 89 Apparel and Footwear Specialists GBN Brand Shares: % Value 2019-2022
Table 90 Apparel and Footwear Specialists LBN Brand Shares: Outlets 2019-2022
Table 91 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 92 Apparel and Footwear Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

APPLIANCES AND ELECTRONICS SPECIALISTS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Mobile phone promotions and trends towards remote working boost sales in 2022
Number of outlets continues to decline
Erajaya Swasembada Tbk PT retains its leading position

PROSPECTS AND OPPORTUNITIES

Slow recovery for large, expensive appliances
Mobile phones will lead growth
Enhanced in-store experience will help to encourage footfall

CHANNEL DATA

Table 93 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 94 Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 95 Appliances and Electronics Specialists GBO Company Shares: % Value 2018-2022
Table 96 Appliances and Electronics Specialists GBN Brand Shares: % Value 2019-2022
Table 97 Appliances and Electronics Specialists LBN Brand Shares: Outlets 2019-2022
Table 98 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 99 Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027

HEALTH AND BEAUTY SPECIALISTS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Improved performance in 2022, thanks to return to pre-pandemic lifestyles
Leader Kimia Farma Apotek loses share, in face of competitor expansion
Local and halal products gain prominence

PROSPECTS AND OPPORTUNITIES

Pharmacies to lead value growth, thanks to health and wellness focus
Expansion in terms of number of outlets and selling space as players pursue O+O strategies
Younger consumers to play key role in driving growth

CHANNEL DATA

Table 100 Health and Beauty Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 101 Health and Beauty Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 102 Sales in Health and Beauty Specialists by Channel: Value 2017-2022
Table 103 Sales in Health and Beauty Specialists by Channel: % Value Growth 2017-2022
Table 104 Health and Beauty Specialists GBO Company Shares: % Value 2018-2022
Table 105 Health and Beauty Specialists GBN Brand Shares: % Value 2019-2022
Table 106 Health and Beauty Specialists LBN Brand Shares: Outlets 2019-2022
Table 107 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 108 Health and Beauty Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 109 Forecast Sales in Health and Beauty Specialists by Channel: Value 2022-2027
Table 110 Forecast Sales in Health and Beauty Specialists by Channel: % Value Growth 2022-2027

HOME PRODUCTS SPECIALISTS IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Positive growth in 2022, thanks to economic resilience of middle to high income segment
Positive outlet growth in 2022, led by pet shops and superstores
Ace Hardware Indonesia retains its lead amid intense competition from Catur Mitra Sejati Sentosa

PROSPECTS AND OPPORTUNITIES

Healthy growth expected, although price sensitivity within the middle to lower income segments will continue to impact the category
Slowdown in outlet expansion, as IKEA brings its products closer to consumers
Intensified challenges coming from e-commerce

CHANNEL DATA

Table 111 Home Products Specialists: Value Sales, Outlets and Selling Space 2017-2022
Table 112 Home Products Specialists: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 113 Sales in Home Products Specialists by Channel: Value 2017-2022
Table 114 Sales in Home Products Specialists by Channel: % Value Growth 2017-2022
Table 115 Home Products Specialists GBO Company Shares: % Value 2018-2022
Table 116 Home Products Specialists GBN Brand Shares: % Value 2019-2022
Table 117 Home Products Specialists LBN Brand Shares: Outlets 2019-2022
Table 118 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 119 Home Products Specialists Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 120 Forecast Sales in Home Products Specialists by Channel: Value 2022-2027
Table 121 Forecast Sales in Home Products Specialists by Channel: % Value Growth 2022-2027

GENERAL MERCHANDISE STORES IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Sales remain well below pre-pandemic levels in 2022, as department stores continue to suffer from challenging trading conditions
Matahari Department Store retains its leadership amid rapid growth of Sogo chain
Matahari Department Store retains its leadership in 2022 amid the rapid growth of Sogo chain

PROSPECTS AND OPPORTUNITIES

Value sales will not recover during forecast period, due to sluggish performance of department stores channel
Variety stores will continue to find favour with consumers, due to their ability to offer unique products at attractive prices
Increased collaboration expected with third party e-commerce players

CHANNEL DATA

Table 122 General Merchandise Stores: Value Sales, Outlets and Selling Space 2017-2022
Table 123 General Merchandise Stores: Value Sales, Outlets and Selling Space: % Growth 2017-2022
Table 124 Sales in General Merchandise Stores by Channel: Value 2017-2022
Table 125 Sales in General Merchandise Stores by Channel: % Value Growth 2017-2022
Table 126 General Merchandise Stores GBO Company Shares: % Value 2018-2022
Table 127 General Merchandise Stores GBN Brand Shares: % Value 2019-2022
Table 128 General Merchandise Stores LBN Brand Shares: Outlets 2019-2022
Table 129 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space 2022-2027
Table 130 General Merchandise Stores Forecasts: Value Sales, Outlets and Selling Space: % Growth 2022-2027
Table 131 Forecast Sales in General Merchandise Stores by Channel: Value 2022-2027
Table 132 Forecast Sales in General Merchandise Stores by Channel: % Value Growth 2022-2027

DIRECT SELLING IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Improved performance in 2022
Channel is compatible with lifestyle patterns
Herbalife Indonesia PT retains its leading position, as some players switch to e-commerce

PROSPECTS AND OPPORTUNITIES

Flexibility and freedom of direct selling model will attract Millennials
Challenge from e-commerce will prompt changes in selling patterns
Beauty and personal care and consumer health will remain biggest contributors to sales, but food will show most dynamic performance

CHANNEL DATA

Table 133 Direct Selling by Product: Value 2017-2022
Table 134 Direct Selling by Product: % Value Growth 2017-2022
Table 135 Direct Selling GBO Company Shares: % Value 2018-2022
Table 136 Direct Selling GBN Brand Shares: % Value 2019-2022
Table 137 Direct Selling Forecasts by Product: Value 2022-2027
Table 138 Direct Selling Forecasts by Product: % Value Growth 2022-2027

RETAIL E-COMMERCE IN INDONESIAKEY DATA FINDINGS

2022 DEVELOPMENTS

Continued strong value growth in 2022
Appliances and electronics remain biggest contributor to the category
Sea Ltd and GoTo Gojek Tokopedia Tbk PT maintain their leading positions

PROSPECTS AND OPPORTUNITIES

Positive growth predicted, but at a slower rate than during the review period
E-commerce players will need to focus on improving shipping to rural areas, as well as upgrading the entire customer experience
Government initiatives, combined with foreign investment, will have a positive impact on the category

CHANNEL DATA