Business news platform Indonesia Investments reports that last year, in line with the slowing of Indonesia’s GDP growth to a six-year low of 4.79%, Unilever Indonesia’s net profit fell 1.2%; however, the media outlet predicts that as the economy now picks up, so too will the multinational’s performance in the country.
Unilever is the “undisputed leader in bath and shower” in Indonesia, according to market research firm Euromonitor International, and it looks set to maintain and strengthen this position.
“In addition to heavy investment in new variant launches and promotions, Unilever benefits from its brands also having a good reputation in the marketplace, and the company has an extensive distribution network to also reach consumers in rural areas,” Euromonitor observed in its most recent report on the country.
According to Euromonitor, the bath and shower category in Indonesia is currently saturated, so innovation will be key to driving future growth for Unilever.
"New and creative approaches by manufacturers are crucial to retain customers and develop the consumer base, especially in products with more potential to grow such as body wash/shower gel,” the firm asserts.
It singles out additional formulation benefits and novel packaging formats as key areas for development in the category up ahead.
Indonesia is also one of Unilever’s key regions for its focus on reducing its environmental footprint, which forms a central part of its ongoing Sustainable Living Plan.
Last year, the company announced that along with Brazil, Indonesia would form the key focus of an ongoing, year-long partnership with WWF International to tackle deforestation.
These two countries have historically had the highest rates of deforestation in the world and have some of the largest areas of intact forest globally.
“Stopping deforestation is an urgent priority in tackling climate change. Forests are second only to the oceans as the largest global store of carbon and support 80 percent of terrestrial biodiversity across the globe,” says Paul Polman, CEO of Unilever.