Facebook marketing aiding growth within the Indonesian packaged foods industry

Press Release   •   Mar 14, 2013 12:31 GMT

In 2012, value sales within the Indonesian packaged foods market continued to grow strongly, thanks to rising volume demand and increasing product prices. The favourable volume growth was supported by a flurry of new product launches, aggressive promotional activities by manufacturers, and the rapid expansion of retailers.

As private label packaged food products became increasingly visible towards 2012, consumers were provided with a wider range of products at affordable prices. Towards the end of the year private label products became increasingly successful in obtaining Indonesians' attention.

More and more Indonesians are buying private label products, especially those perceived as commoditised items, such as packaged rice and bakery products. In addition, private label frozen processed food and chilled processed food are also receiving a warm response from consumers.

A number of prominent packaged food manufacturers started to provide home delivery services in 2012. This trend, which has been evolving rapidly in the consumer foodservice industry, started to be seen within packaged food in 2012.

The busy and hectic lifestyles of urban customers who pay more attention to work are forcing them to spend less time on other activities, including shopping for groceries - including packaged food products. This has resulted in the growing demand for home delivery services, which serve as ideal solutions for these urban dwellers.

The growing use of social networks such as Facebook and Twitter has provided packaged food players with new opportunities to advertise their brands, gather consumer data and gain valuable feedback. Companies creating a Facebook account as part of their marketing tools were found across packaged food industry.

Consumers responded favourably to the trend, with many of them becoming fans or members of the brand and actively posting comments or talking about a particular brand.

Amongst packaged food players in Indonesia, multinationals such as Heinz ABC Indonesia, Kraft Foods Indonesia and So Good Food have a strong foothold due to their early entry, high brand awareness, and huge budgets allocated for promotions and research and development. In 2012, these multinationals continued to invest heavily in new launches and promotions.

For more information on the Indonesian packaged foods market, see the latest research: Indonesian Packaged Foods Market

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