Hard Seltzer - Indonesia

The Hard Seltzer market in Indonesia is experiencing significant growth and development.

Customer preferences: Indonesian consumers are increasingly seeking out healthier and low-calorie beverage options. This shift in consumer preferences is driven by a growing awareness of health and wellness, as well as a desire to make more conscious choices when it comes to their diet. Hard Seltzers, with their low calorie and low sugar content, are aligning well with these changing preferences. Additionally, the younger demographic in Indonesia, who are more health-conscious and open to trying new products, are driving the demand for Hard Seltzers.

Trends in the market: The Hard Seltzer market in Indonesia is witnessing a surge in new product launches by both local and international brands. This is indicative of the growing popularity of the category and the increasing competition within the market. Brands are introducing a variety of flavors and innovative packaging to attract consumers. The availability of different flavors appeals to the Indonesian consumers' taste preferences and provides them with a wide range of options to choose from. Moreover, the convenience and portability of Hard Seltzers make them appealing to consumers who are constantly on the go.

Local special circumstances: Indonesia's tropical climate and diverse culinary culture provide a unique opportunity for the Hard Seltzer market. The refreshing and fruity flavors of Hard Seltzers make them a perfect choice for consumers looking for a refreshing beverage to beat the heat. Additionally, the versatility of Hard Seltzers allows for pairing with local cuisines, further enhancing their appeal among Indonesian consumers. The local market also offers opportunities for collaborations between Hard Seltzer brands and local ingredients or flavors, creating a sense of localization and exclusivity.

Underlying macroeconomic factors: The growing middle class in Indonesia and the increasing disposable income are contributing to the growth of the Hard Seltzer market. As more consumers have the financial means to explore new products and indulge in premium offerings, the demand for Hard Seltzers is expected to rise. Additionally, the urbanization and modernization of Indonesian cities have led to a shift in consumer lifestyles, with a greater emphasis on convenience and wellness. These factors are driving the demand for ready-to-drink beverages like Hard Seltzers. In conclusion, the Hard Seltzer market in Indonesia is witnessing significant growth and development due to changing consumer preferences, the introduction of new flavors and products, the unique local circumstances, and the underlying macroeconomic factors. As the market continues to evolve, it presents opportunities for both local and international brands to tap into the growing demand for healthier and more innovative beverage options.

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 alcoholic beverages, 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 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.