Soft Drinks - Indonesia

Indonesia

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Soft Drinks market amounts to US$11.85bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$5.61bn in 2024.
Revenue, combined amounts to US$17.46bn in 2024.
The revenue, at home is expected to grow annually by 2.37% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated United States (US$114bn in 2024).
In relation to total population figures, the average revenue per capita, at home of US$42.35 are generated in 2024.
In the Soft Drinks market, volume, at home is expected to amount to 9.18bn L by 2024.
Volume, out-of-home is expected to amount to 1.48bn L in 2024.
Volume, combined is expected to amount to 10.66bn L in 2024.
The Soft Drinks market is expected to show a volume growth, at home of 1.3% in 2025.0.
The average volume per person, at home in the Soft Drinks market is expected to amount to 32.81L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Soft Drinks market in Indonesia has been experiencing significant growth in recent years.

Customer preferences: Indonesian consumers have shown a growing preference for soft drinks, particularly carbonated beverages and ready-to-drink teas. These beverages are seen as refreshing and convenient options for quenching thirst and providing a quick energy boost. Additionally, there is a rising demand for healthier and more natural soft drink options, such as fruit juices and herbal infusions, as consumers become more health-conscious.

Trends in the market: One of the key trends in the Soft Drinks market in Indonesia is the increasing popularity of local and traditional beverages. Indonesians take pride in their local culture and heritage, and this is reflected in their beverage choices. Traditional drinks like jamu, a herbal concoction made from various spices and herbs, are gaining popularity as consumers seek out unique and traditional flavors. This trend is also driven by a growing interest in natural and organic products. Another trend in the market is the rise of functional beverages. Consumers are looking for soft drinks that offer additional health benefits, such as improved digestion, boosted immunity, or increased energy. This has led to the introduction of functional beverages with added vitamins, minerals, and botanical extracts. These products are marketed as a healthier alternative to traditional soft drinks and are particularly appealing to health-conscious consumers.

Local special circumstances: Indonesia is a diverse country with a large population and a wide range of cultural and religious practices. This diversity is reflected in the Soft Drinks market, with different regions having their own unique preferences and tastes. For example, in predominantly Muslim areas, there is a higher demand for non-alcoholic beverages, while in urban areas, there is a growing trend towards premium and imported soft drinks.

Underlying macroeconomic factors: Indonesia has experienced steady economic growth in recent years, leading to an increase in disposable income and consumer spending. This has contributed to the growth of the Soft Drinks market, as consumers have more purchasing power to spend on non-essential items like soft drinks. Additionally, the country's young and growing population, coupled with urbanization and changing lifestyles, has created a favorable environment for the soft drink industry to thrive. In conclusion, the Soft Drinks market in Indonesia is experiencing growth due to changing customer preferences, including a preference for carbonated beverages and healthier options. Local and traditional beverages are also gaining popularity, as well as functional beverages that offer additional health benefits. The country's diverse population and cultural practices contribute to the unique preferences in different regions. Overall, the growth of the Soft Drinks market in Indonesia is supported by underlying macroeconomic factors, such as steady economic growth and an increasing disposable income.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.