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Report on How AI is Driving Market TransformationThe retail market in Indonesia is poised to grow by USD 49.56 billion accelerating at a CAGR of 4.73% between 2024 and 2028. Additionally, the market is fragmented in nature and shows a YOY growth of 4.38%. The report covers diverse dimensions such as the market size of forecast and historic data, influential drivers, analysis of prominent vendors, and evolving trends, presenting a comprehensive outlook on the global market scenario.
The growth of the market depends on several factors such as the expansion of the retail landscape, the growing popularity of private-label brands, and the rising prominence of in-store bakeries. The comprehensive report on the retail market in Indonesia offers crucial insights into the industry's changing dynamics, helping businesses to identify growth opportunities in the constantly evolving digital retail landscape.
The market is Segmented as
1. Distribution Channel- The distribution channel includes offline, and online segments.
2. Product- The Product segment includes food and beverages, electrical and electronics, apparel and footwear, home improvement and household products, and others.
Retail Market in Indonesia market size, Request for Free Report Sample
The significant growth driver for the market is the increasing prominence of in-store bakeries, notably present in various large supermarkets and hypermarkets across Indonesia. Despite their relatively smaller size, these bakeries offer an extensive array of baked goods, including doughnuts, cakes, and pastries. Their popularity is on the rise, primarily due to the convenience of one-stop shopping. The demand for parbaked, pre-baked, and bake-off product ranges is gaining traction nationwide. Retailers like PT. Circleka Indonesia Utama utilize freezers and ovens to maintain the freshness and warmth of baked products, thereby extending shelf life and preserving texture and taste. Consequently, the growing prevalence of in-store bakeries in supermarkets is expected to drive customer footfall in retail stores, contributing to market growth in Indonesia throughout the forecast period.
The primary trend driving market growth is the increasing involvement of retailers in various market activities. Investments in social media enhance brand efficiency, providing consumers with insights into new market products. In Indonesia, retail market players utilize social media to establish brand awareness, market products, and communicate information about offers, discounts, and seasonal sales to customers. Given the high social media activity among Indonesians, particularly on platforms like Instagram and Facebook, retailers leverage these channels for customer engagement and fostering brand loyalty. This underscores the growing significance of social media as a retail marketing tool, contributing to market growth in the forecast period.
The offline segment is estimated to witness significant growth during the forecast period. The offline segment includes convenience stores, department stores, drug stores, supermarkets, and hypermarkets. Furthermore, the availability of products from unorganized market players poses a serious threat to the organized Indonesia - retail market.
The offline segment was the largest segment and was valued at USD 123.85 billion in 2018. Besides, retailers adopted strict preventive measures at their stores to provide a safe and steady shopping experience to consumers and ensure that all people have access to products required for daily consumption. The number of visitors at offline stores in Indonesia has reduced due to shifting customers' online shopping habits and minimizing physical interaction. Therefore, the offline distribution channels segment will lead to moderate growth in the Indonesia - retail market during the forecast period.
Adidas AG: The company offers retail products such as shoes, clothes and bottles.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:
Market growth faces challenges due to underdeveloped infrastructure, impacting exporters and investors' operational efficiency. Traditional markets like warungs and minimarts remain popular, necessitating consumer businesses to establish an extensive distribution network. Innovations in packaging become crucial due to limited and competitive shelf space in these outlets. With Indonesia's dispersed population across islands and inadequate road connectivity hindering access to goods and services, comprehensive distribution channels are crucial. Investing in innovative packaging and retail display strategies requires proper infrastructure to attract consumer attention, but the existing underdeveloped state may impede market growth throughout the forecast period.
The data presented is comprehensive, reliable, and a result of extensive research - both primary and secondary. The market research reports provide a complete competitive landscape and an in-depth vendor selection methodology and analysis using qualitative and quantitative research to forecast accurate market growth. For details analysis BUY FULL REPORT.
Retail Market In Indonesia Scope |
|
Report Coverage |
Details |
Page number |
142 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 4.73% |
Market growth 2024-2028 |
USD 49.56 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
4.38 |
Regional analysis |
Indonesia |
Performing market contribution |
APAC at 100% |
Key countries |
Indonesia |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Adidas AG, Apple Inc., Authentic Brands Group LLC, Decathlon SA, Inter IKEA Holding BV, Levi Strauss and Co., LG Electronics Inc., Marks and Spencer Group plc, Nike Inc., Panasonic Holdings Corp., PT FUJITA Indonesia, PT Hino Motors Manufacturing Indonesia, PT Siantar Top Tbk, PT Sumber Alfaria Trijaya Tbk, PT. Indomarco Prismatama, PT Mitra Adiperkasa Tbk, PT Ramayana Lestari Sentosa Tbk, PT. SGMW Motor Indonesia, Samsung Electronics Co. Ltd., and Sony Group Corp. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Distribution Channel
7 Market Segmentation by Product
8 Customer Landscape
9 Drivers, Challenges, and Trends
10 Vendor Landscape
11 Vendor Analysis
12 Appendix
With the growing adoption of AI across industries, Technavio has analyzed its impact on Indonesia Retail market driven by the integration of Artificial Intelligence (AI) which includes traditional stores, e-commerce platforms, and omnichannel retail strategies, is undergoing a significant transformation driven by the integration of Artificial Intelligence (AI). AI is revolutionizing this sector by enhancing customer experiences, optimizing supply chain management, improving inventory control, and enabling data-driven marketing This analysis delves into AI's impact on the Indonesia retail market, backed by data and real-world examples.
These insights, available exclusively through Technavio, provide an unparalleled significant impact of AI on the Indonesian retail market, backed by real-world examples and data.
The report provides details of AI's impact on various segment
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