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Country Report
Luxury Goods in
Indonesia
Luxury Goods in Indonesia
Jan 2021
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Executive Summary
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COVID-19 impact on luxury goods
Luxury goods was one of the consumer goods industries hardest hit by the COVID-19 pandemic during 2020. The fact that sales of luxury goods are intrinsically tied to the premium retail experience became a major Achilles’ heel for the entire industry during the year as the government-mandated closure of all non-essential retail outlets during the quarantine a lockdown that was implanted throughout the country at the peak of the COVID-19 pandemic created an impenetrable barrier between luxury goods brands and their consumer base.
COVID-19 country impact
Due to the emergence of COVID-19 in China, Indonesia banned all flights from and to mainland China starting from 5 February. It was subsequently confirmed that the COVID-19 crisis had spread to Indonesia on 2 March 2020, when two locals tested positive for the virus, having been infected by a Japanese national.
Company response
It is an unavoidable fact that the COVID-19 pandemic hit sales of luxury goods very hard over the course of 2020. In response, many of the industry’s leading manufacturers and brand owners laid off employees as their revenues dried up, resulting in a lower supply of products in many categories.
Retailing shift
One of the most notable trends to emerge in Indonesia’s luxury goods industry over the course of 2020 due to the COVID-19 pandemic was the massive shift in sales away from store-based retailing towards e-commerce. Traditionally, affluent Indonesians have been very reluctant to engage with e-commerce when purchasing luxury goods.
What next for luxury goods?
The adverse impact of COVID-19 pandemic on sales of luxury goods is expected to remain in effect until at least the end of 2021, with some categories not expected to recover fully until the end of 2022. Leading brands in most categories are expected to have coped well despite the dramatic decline seen an overall demand, with the most successful players those which have been able to rely on innovation to adapt to the new normal and comply with the new requirements created by the COVID-19 situation.
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Overview
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Overview
Discover the latest market trends and uncover sources of future market growth for the Luxury Goods industry in Indonesia with research from Euromonitor's team of in-country analysts.
Find hidden opportunities in the most current research data available, understand competitive threats with our detailed market analysis, and plan your corporate strategy with our expert qualitative analysis and growth projections.
If you're in the Luxury Goods industry in Indonesia, our research will save you time and money while empowering you to make informed, profitable decisions.
The Luxury Goods in Indonesia market research report includes:
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volumes and values, company and brand market shares
- Five year forecasts of market trends and market growth
- Robust and transparent market research methodology, conducted in-country
Our market research reports answer questions such as:
- What is the market size of Luxury Goods in Indonesia?
- What are the major brands in Indonesia?
- How dynamic is the growth of Luxury Goods internet sales?
- What is driving growth?
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Request more informationTable of Contents
Luxury Goods in Indonesia
EXECUTIVE SUMMARY
COVID-19 impact on luxury goods
COVID-19 country impact
Company response
Retailing shift
What next for luxury goods?
MARKET INDICATORS
Table 1 Number of High Net Worth Individuals (HNWI): 2015-2020MARKET DATA
Table 2 Sales of Luxury Goods by Category: Value 2015-2020Table 3 Sales of Luxury Goods by Category: % Value Growth 2015-2020
Table 4 Inbound Receipts for Luxury Goods by Country of Origin: Value 2015-2020
Table 5 NBO Company Shares of Luxury Goods: % Value 2015-2019
Table 6 LBN Brand Shares of Luxury Goods: % Value 2016-2019
Table 7 Distribution of Luxury Goods by Format and Category: % Value 2020
Table 8 Forecast Sales of Luxury Goods by Category: Value 2020-2025
Table 9 Forecast Sales of Luxury Goods by Category: % Value Growth 2020-2025
DISCLAIMER
GLOBAL MACROECONOMIC ENVIRONMENT
GLOBAL INDUSTRY ENVIRONMENT
SOURCES
Summary 1 Research SourcesExperiential Luxury in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Experiential luxury hit particularly hard by the COVID-19 pandemic
Luxury travel faces a bleak year as the COVID-19 pandemic devastates the industry
Substantial decline in business travel a major factor in experiential luxury’s woes
RECOVERY AND OPPORTUNITIES
Conservative spending and sombre social mood to delay recovery of experiential luxury
Shift to online channels shows a way out of the darkness for experiential luxury players
Anticipated shifts in travel and tourism trends likely to influence experiential luxury
CATEGORY DATA
Table 10 Sales of Experiential Luxury by Category: Value 2015-2020Table 11 Sales of Experiential Luxury by Category: % Value Growth 2015-2020
Table 12 NBO Company Shares of Experiential Luxury: % Value 2015-2019
Table 13 LBN Brand Shares of Experiential Luxury: % Value 2016-2019
Table 14 Forecast Sales of Experiential Luxury by Category: Value 2020-2025
Table 15 Forecast Sales of Experiential Luxury by Category: % Value Growth 2020-2025
Luxury Hotels in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Control measures designed to curb the spread of COVID-19 hit luxury hotels hard
Luxury hoteliers respond to COVID-19 situation with generous discounts on room rates
Promotional campaigns seek to diversify guest profiles amidst plummeting demand
RECOVERY AND OPPORTUNITIES
The development of MICE tourism set to be crucial to the recovery of luxury hotels
Greater focus on hygiene and cleanliness to emerge from the COVID-19 pandemic
The return of international visitors to be crucial factor supporting growth in luxury hotels
CATEGORY DATA
Table 16 Sales in Luxury Hotels: Value 2015-2020Table 17 Sales in Luxury Hotels: % Value Growth 2015-2020
Table 18 Sales in Luxury Hotels by Country of Origin: % Value 2015-2020
Table 19 NBO Company Shares in Luxury Hotels: % Value 2015-2019
Table 20 LBN Brand Shares in Luxury Hotels: % Value 2016-2019
Table 21 Forecast Sales in Luxury Hotels: Value 2020-2025
Table 22 Forecast Sales in Luxury Hotels: % Value Growth 2020-2025
Fine Wines/Champagne and Spirits in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Social distancing places pressure on sales of fine wines/champagne and spirits
The postponement of celebrations and social gatherings further undermines demand
The strong shift in category sales to e-commerce motivates regulatory action
RECOVERY AND OPPORTUNITIES
Economic recovery and the rising popularity of alcoholic drinks to spur demand
New World wines and local wine from Bali slated to emerge strongly
Japanese whisky poised to emerge strongly
CATEGORY DATA
Table 23 Sales of Fine Wines/Champagne and Spirits by Category: Value 2015-2020Table 24 Sales of Fine Wines/Champagne and Spirits by Category: % Value Growth 2015-2020
Table 25 NBO Company Shares of Fine Wines/Champagne and Spirits: % Value 2015-2019
Table 26 LBN Brand Shares of Fine Wines/Champagne and Spirits: % Value 2016-2019
Table 27 Distribution of Fine Wines/Champagne and Spirits by Format: % Value 2015-2020
Table 28 Forecast Sales of Fine Wines/Champagne and Spirits by Category: Value 2020-2025
Table 29 Forecast Sales of Fine Wines/Champagne and Spirits by Category: % Value Growth 2020-2025
Premium and Luxury Cars in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Slowdown in production and sales as the COVID-19 pandemic hits demand
Adoption of online channel strategies by key players
Driven by new product launches, BMW Group led sales during the first half of 2020
RECOVERY AND OPPORTUNITIES
Supply and demand constraints expected to recover post-COVID-19
Reformation in tax structure for vehicles to drive the growth of electric/hybrid cars
Opportunities in growing cities outside of capital
CATEGORY DATA
Table 30 Sales of Premium and Luxury Cars: Value 2015-2020Table 31 Sales of Premium and Luxury Cars: % Value Growth 2015-2020
Table 32 NBO Company Shares of Premium and Luxury Cars: % Value 2015-2019
Table 33 LBN Brand Shares of Premium and Luxury Cars: % Value 2016-2019
Table 34 Forecast Sales of Premium and Luxury Cars: Value 2020-2025
Table 35 Forecast Sales of Premium and Luxury Cars: % Value Growth 2020-2025
Personal Luxury in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Sales under pressure due to the adverse and uncertain economic environment
Quarantine lockdown and social distancing place pressure on store-based sales
Major shift to online marketing as e-commerce finally emerges in some categories
RECOVERY AND OPPORTUNITIES
Recovery of international travel set to support a return to positive sales growth
Pace of economic recovery likely to determine the intensity of sales recovery
The pandora’s box of online sales of personal luxury is now well and truly open
CATEGORY DATA
Table 36 Sales of Personal Luxury by Category: Value 2015-2020Table 37 Sales of Personal Luxury by Category: % Value Growth 2015-2020
Table 38 NBO Company Shares of Personal Luxury: % Value 2015-2019
Table 39 LBN Brand Shares of Personal Luxury: % Value 2016-2019
Table 40 Distribution of Personal Luxury by Format: % Value 2015-2020
Table 41 Forecast Sales of Personal Luxury by Category: Value 2020-2025
Table 42 Forecast Sales of Personal Luxury by Category: % Value Growth 2020-2025
Designer Apparel and Footwear (Ready-To-Wear) in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Unavailability of store-based retailing during quarantine lockdown hits sales
Social distancing has a negative impact on demand for designer apparel and footwear
Major shift towards online channels seen over the course of the year
RECOVERY AND OPPORTUNITIES
Designer apparel and footwear brands likely to adjust their offer to the new reality
Shift towards online channels to be supported by the emergence of new technologies
Fashion shows expected to become available once again, with social distancing applied
CATEGORY DATA
Table 43 Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: Value 2015-2020Table 44 Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: % Value Growth 2015-2020
Table 45 NBO Company Shares of Designer Apparel and Footwear (Ready-to-Wear): % Value 2015-2019
Table 46 LBN Brand Shares of Designer Apparel and Footwear (Ready-to-Wear): % Value 2016-2019
Table 47 Distribution of Designer Apparel and Footwear (Ready-to-Wear) by Format: % Value 2015-2020
Table 48 Forecast Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: Value 2020-2025
Table 49 Forecast Sales of Designer Apparel and Footwear (Ready-to-Wear) by Category: % Value Growth 2020-2025
Luxury Eyewear in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Closure of retail stores a major factor influencing negative sales growth
Luxury sun glasses faces a bleak year as border closures inhibit overseas travel
Antifog lenses become a particular popular feature due to mandatory facemask wearing
RECOVERY AND OPPORTUNITIES
A strong recovery expected for luxury eyewear as innovation comes to the fore
The return of international travel set to spur growth in luxury sun glasses
New technologies and services set to emerge to reduce reliance on store-based sales
CATEGORY DATA
Table 50 Sales of Luxury Eyewear by Category: Value 2015-2020Table 51 Sales of Luxury Eyewear by Category: % Value Growth 2015-2020
Table 52 NBO Company Shares of Luxury Eyewear: % Value 2015-2019
Table 53 LBN Brand Shares of Luxury Eyewear: % Value 2016-2019
Table 54 Distribution of Luxury Eyewear by Format: % Value 2015-2020
Table 55 Forecast Sales of Luxury Eyewear by Category: Value 2020-2025
Table 56 Forecast Sales of Luxury Eyewear by Category: % Value Growth 2020-2025
Luxury Jewellery in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Postponement of weddings and other gift-giving celebrations suppresses demand
Social distancing and travel restrictions take their toll on demand for luxury jewellery
Rising gold price and falling incomes combine to suppress demand for luxury jewellery
RECOVERY AND OPPORTUNITIES
The price of gold expected to rise further, placing pressure on the recovery of sales
The rising price of gold set to spur a shift towards luxury costume jewellery
Celebrity endorsements and social media influencers set to become crucial to marketing
CATEGORY DATA
Table 57 Sales of Luxury Jewellery by Category: Value 2015-2020Table 58 Sales of Luxury Jewellery by Category: % Value Growth 2015-2020
Table 59 NBO Company Shares of Luxury Jewellery: % Value 2015-2019
Table 60 LBN Brand Shares of Luxury Jewellery: % Value 2016-2019
Table 61 Distribution of Luxury Jewellery by Format: % Value 2015-2020
Table 62 Forecast Sales of Luxury Jewellery by Category: Value 2020-2025
Table 63 Forecast Sales of Luxury Jewellery by Category: % Value Growth 2020-2025
Luxury Leather Goods in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Social distancing and closure of retail stores contribute to poor sales performance
Adverse, uncertain economic environment suppresses demand for luxury leather goods
The closure of Indonesia’s borders hits demand for luxury travel goods
RECOVERY AND OPPORTUNITIES
A strong recovery expected for luxury leather goods as postponed demand is realised
The return of international travel set to spur growth in sales of luxury travel goods
Luxury bags and small leather goods set to face a slow recovery
CATEGORY DATA
Table 64 Sales of Luxury Leather Goods: Value 2015-2020Table 65 Sales of Luxury Leather Goods: % Value Growth 2015-2020
Table 66 NBO Company Shares of Luxury Leather Goods: % Value 2015-2019
Table 67 LBN Brand Shares of Luxury Leather Goods: % Value 2016-2019
Table 68 Distribution of Luxury Leather Goods by Format: % Value 2015-2020
Table 69 Forecast Sales of Luxury Leather Goods: Value 2020-2025
Table 70 Forecast Sales of Luxury Leather Goods: % Value Growth 2020-2025
Luxury Portable Consumer Electronics in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Few changes seen in sales of luxury portable consumer electronics
Very limited availability a major drag on sales
RECOVERY AND OPPORTUNITIES
Demand for luxury portable consumer electronics unlikely to rise above negligible levels
Luxury Timepieces in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Sales of luxury timepieces slump due to enforced closure of retail stores
Emergence of adverse, uncertain economic scenario puts the brakes on sales growth
The emergence of a substantial second-hand market puts pressure on sales growth
RECOVERY AND OPPORTUNITIES
A slow and muted recovery expected for luxury timepieces
Men’s luxury timepieces unlikely to lose its dominant status
Technology set to be employed to and the category’s reliance on store-based sales
CATEGORY DATA
Table 71 Sales of Luxury Timepieces by Category: Value 2015-2020Table 72 Sales of Luxury Timepieces by Category: % Value Growth 2015-2020
Table 73 NBO Company Shares of Luxury Timepieces: % Value 2015-2019
Table 74 LBN Brand Shares of Luxury Timepieces: % Value 2016-2019
Table 75 Distribution of Luxury Timepieces by Format: % Value 2015-2020
Table 76 Forecast Sales of Luxury Timepieces by Category: Value 2020-2025
Table 77 Forecast Sales of Luxury Timepieces by Category: % Value Growth 2020-2025
Luxury Writing Instruments and Stationery in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Diminished gifting opportunities hits luxury writing instruments and stationery hard
Absence of foreign tourists another negative factor suppressing demand
Huge shift towards e-commerce as category products lend themselves to online sales
RECOVERY AND OPPORTUNITIES
A slow and difficult recovery expected for luxury writing instruments and stationery
The return of gifting opportunities likely to spur demand
The opening of international borders set to be positive for category sales
CATEGORY DATA
Table 78 Sales of Luxury Writing Instruments and Stationery: Value 2015-2020Table 79 Sales of Luxury Writing Instruments and Stationery: % Value Growth 2015-2020
Table 80 NBO Company Shares of Luxury Writing Instruments and Stationery: % Value 2015-2019
Table 81 LBN Brand Shares of Luxury Writing Instruments and Stationery: % Value 2016-2019
Table 82 Distribution of Luxury Writing Instruments and Stationery by Format: % Value 2015-2020
Table 83 Forecast Sales of Luxury Writing Instruments and Stationery: Value 2020-2025
Table 84 Forecast Sales of Luxury Writing Instruments and Stationery: % Value Growth 2020-2025
Super Premium Beauty and Personal Care in Indonesia
KEY DATA FINDINGS
2020 IMPACT
Category sales slump despite substantial shift to e-commerce
Pressure on category sales motivates more of a focus on key consumer groups
Demand comes under pressure due to the reduced need for personal grooming
RECOVERY AND OPPORTUNITIES
A positive performance expected over the forecast period
The greater focus on younger consumers set to spur growth
Skin care set to emerge as the key category of super premium beauty and personal care
CATEGORY DATA
Table 85 Sales of Super Premium Beauty and Personal Care by Category: Value 2015-2020Table 86 Sales of Super Premium Beauty and Personal Care by Category: % Value Growth 2015-2020
Table 87 NBO Company Shares of Super Premium Beauty and Personal Care: % Value 2015-2019
Table 88 LBN Brand Shares of Super Premium Beauty and Personal Care: % Value 2016-2019
Table 89 Distribution of Super Premium Beauty and Personal Care by Format: % Value 2015-2020
Table 90 Forecast Sales of Super Premium Beauty and Personal Care by Category: Value 2020-2025
Table 91 Forecast Sales of Super Premium Beauty and Personal Care by Category: % Value Growth 2020-2025
Why buy this report?
Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.
Want to find out more about this report?
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Country Reports
- Luxury Goods in Argentina | Jan 2021
- Luxury Goods in Australia | Jan 2021
- Luxury Goods in Brazil | Jan 2021
- Luxury Goods in Canada | Jan 2021
- Luxury Goods in China | Jan 2021
- Luxury Goods in France | Jan 2021
- Luxury Goods in Germany | Jan 2021
- Luxury Goods in Hong Kong, China | Jan 2021
- Luxury Goods in India | Feb 2021
- Luxury Goods in Italy | Jan 2021
- Luxury Goods in Japan | Jan 2021
- Luxury Goods in Malaysia | Feb 2021
- Luxury Goods in Mexico | Jan 2021
- Luxury Goods in Poland | Jan 2021
- Luxury Goods in Romania | Jan 2021
- Luxury Goods in Russia | Jan 2021
- Luxury Goods in Singapore | Jan 2021
- Luxury Goods in South Africa | Feb 2020
- Luxury Goods in South Korea | Jan 2021
- Luxury Goods in Spain | Jan 2021
- Luxury Goods in Sweden | Jan 2021
- Luxury Goods in Switzerland | Jan 2021
- Luxury Goods in Taiwan | Jan 2021
- Luxury Goods in Thailand | Jan 2021
- Luxury Goods in the Netherlands | Jan 2021
- Luxury Goods in the Philippines | Jan 2021
- Luxury Goods in the United Arab Emirates | Jan 2021
- Luxury Goods in the United Kingdom | Jan 2021
- Luxury Goods in the US | Jan 2021
- Luxury Goods in Turkey | Jan 2021
- Luxury Goods in Ukraine | Jan 2021
Strategy Reports
Company Reports
- Bulgari SpA in Luxury Goods | Jan 2011
- Burberry Group Plc in Luxury Goods | Jul 2018
- Coach Inc in Luxury Goods | Mar 2015
- Compagnie Financière Richemont SA in Luxury Goods | May 2014
- Fifth & Pacific Companies Inc in Luxury Goods | Jul 2014
- Gucci Group NV in Luxury Goods | Nov 2010
- Hermès International SCA in Luxury Goods | Mar 2016
- Kering SA in Luxury Goods | Jan 2016
- LVMH Moët Hennessy Louis Vuitton SA in Luxury Goods | Mar 2018
- Moncler SpA in Luxury Goods | Jun 2014
- Polo Ralph Lauren Corp in Luxury Goods | May 2013
- PPR SA in Luxury Goods | Jun 2013
- Prada SpA in Luxury Goods | Mar 2016
- Ralph Lauren Corp in Luxury Goods | Jul 2019
- Richemont SA, Cie Financière in Luxury Goods | Mar 2015
- Salvatore Ferragamo SpA in Luxury Goods | Oct 2019
- Swatch Group Ltd, The in Luxury Goods | Jan 2011
- Tiffany & Co in Luxury Goods | Jun 2013
- Tory Burch Llc in Luxury Goods | Jun 2014
- Valentino Fashion Group SpA in Luxury Goods | Jan 2011
Complete Catalogue
Country Reports
- Luxury Goods in Argentina | Jan 2021
- Luxury Goods in Australia | Jan 2021
- Luxury Goods in Brazil | Jan 2021
- Luxury Goods in Canada | Jan 2021
- Luxury Goods in China | Jan 2021
- Luxury Goods in France | Jan 2021
- Luxury Goods in Germany | Jan 2021
- Luxury Goods in Hong Kong, China | Jan 2021
- Luxury Goods in India | Feb 2021
- Luxury Goods in Italy | Jan 2021
- Luxury Goods in Japan | Jan 2021
- Luxury Goods in Malaysia | Feb 2021
- Luxury Goods in Mexico | Jan 2021
- Luxury Goods in Poland | Jan 2021
- Luxury Goods in Romania | Jan 2021
- Luxury Goods in Russia | Jan 2021
- Luxury Goods in Singapore | Jan 2021
- Luxury Goods in South Africa | Feb 2020
- Luxury Goods in South Korea | Jan 2021
- Luxury Goods in Spain | Jan 2021
- Luxury Goods in Sweden | Jan 2021
- Luxury Goods in Switzerland | Jan 2021
- Luxury Goods in Taiwan | Jan 2021
- Luxury Goods in Thailand | Jan 2021
- Luxury Goods in the Netherlands | Jan 2021
- Luxury Goods in the Philippines | Jan 2021
- Luxury Goods in the United Arab Emirates | Jan 2021
- Luxury Goods in the United Kingdom | Jan 2021
- Luxury Goods in the US | Jan 2021
- Luxury Goods in Turkey | Jan 2021
- Luxury Goods in Ukraine | Jan 2021
Strategy Reports
Company Reports
- Bulgari SpA in Luxury Goods | Jan 2011
- Burberry Group Plc in Luxury Goods | Jul 2018
- Coach Inc in Luxury Goods | Mar 2015
- Compagnie Financière Richemont SA in Luxury Goods | May 2014
- Fifth & Pacific Companies Inc in Luxury Goods | Jul 2014
- Gucci Group NV in Luxury Goods | Nov 2010
- Hermès International SCA in Luxury Goods | Mar 2016
- Kering SA in Luxury Goods | Jan 2016
- LVMH Moët Hennessy Louis Vuitton SA in Luxury Goods | Mar 2018
- Moncler SpA in Luxury Goods | Jun 2014
- Polo Ralph Lauren Corp in Luxury Goods | May 2013
- PPR SA in Luxury Goods | Jun 2013
- Prada SpA in Luxury Goods | Mar 2016
- Ralph Lauren Corp in Luxury Goods | Jul 2019
- Richemont SA, Cie Financière in Luxury Goods | Mar 2015
- Salvatore Ferragamo SpA in Luxury Goods | Oct 2019
- Swatch Group Ltd, The in Luxury Goods | Jan 2011
- Tiffany & Co in Luxury Goods | Jun 2013
- Tory Burch Llc in Luxury Goods | Jun 2014
- Valentino Fashion Group SpA in Luxury Goods | Jan 2011