The complex roots beneath Indonesia’s beauty growth

Brands must meet consumers where their beauty journeys begin

Indonesia’s beauty and personal care sector continues to flourish – but its growth is no longer uniform. Consumer spending, purchase volumes and shopping frequency are all climbing. Beauty is becoming a way for people to express themselves, and they’re exploring new formats, expanding their regimens, and upgrading in certain segments.

However, needs and aspirations are evolving differently across sectors, generations and socioeconomic groups, and this has led to fragmented growth patterns. To fully grasp the opportunities within this vibrant market, beauty brands must understand what and how shoppers are buying, and what they’re looking to achieve.

Four categories, four distinct roles

Skincare remains at the heart of Indonesia’s beauty landscape, contributing almost half (49%) of the total market value. Makeup is delivering the biggest boost to shopper recruitment, with lip cream and lip care the key entry points into the category.

In hair care, consumers are moving beyond basic cleansing towards more specialised and personalised routines. Deodorants and body lotions provide everyday consistency in the body care category, even as consumers experiment elsewhere.

Beauty evolves through each stage of life

The age of the shopper provides another useful lens through which to understand the Indonesian beauty sector.

For younger shoppers, beauty begins with exploration: early teens start with functional personal care, before quickly broadening their repertoires. Consumers in their twenties and early thirties have the most complex regimens, purchasing on average 2.6 segments, and they’re also driving premiumisation. The routines of older shoppers, meanwhile, have become more functionally driven, with spending that demonstrates careful budgeting.

Aspiration takes different forms

Diversity between socioeconomic groups adds another layer of complexity. SES A shoppers contribute 39% of sector spend, with broad repertoires that they’re elevating into holistic skin health regimes. SES B shoppers are steadily expanding their established routines, while SES C shoppers are closing the spending gap, with sunscreens, lip creams and cushions unlocking the next wave of participation.

Indonesia’s beauty opportunity is also being shaped by regional retail channel dynamics. Social commerce and online marketplaces are leading penetration growth in both Key Cities and Secondary Cities. Offline, however, pathways into the beauty market differ – with consumers in Key Cities prioritising discovery, and those in Secondary Cities valuing proximity.

A new frontier: men’s grooming

Indonesian men are increasingly engaging with beauty as a self-care proposition, rather than a functional process that meets the need for hygiene. Facial cleansers are seeing rapid volume growth, while demand is expanding into specialised hair treatments, fragrances and facial moisturisers.

Cultivating the next chapter

Indonesia’s beauty sector is a series of interwoven growth stories. To create a thriving portfolio, brands must align their propositions and channel strategies precisely with the unique realities of consumers’ lives. By responding to the nuanced needs, aspirations and purchase behaviours of different consumer segments, they will connect with them more effectively, and build long-lasting momentum in the market.

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