From our latest research, 9 out of 10 young Indonesians are grappling with financial challenges. But rather than succumbing to economic pressures, this resilient generation is crafting innovative solutions to stay afloat. Our study, covering major Indonesian cities including Jabotabek, reveals how the youth are turning financial obstacles into opportunities for growth.
The Reality Check: A Crisis of Confidence
The data paints a sobering picture: only 33% of young Indonesians believe the economy is performing well. The rest feels that the economy is not well. This economic anxiety has triggered behavioral shifts, particularly in spending and income generation strategies. For marketers, understanding these shifts is crucial for connecting with this demographic.
Survival Strategies: A Deep Dive into Consumer Behavior
Smart Spending Takes Centre Stage
Young Indonesians are becoming increasingly strategic about their purchases, with value-for-money emerging as the dominant consideration. Our research shows clear segments based on spending behavior:
Value Hunters: The largest segment focuses on maximizing value while minimizing costs
Essential-First Spenders: A significant group prioritizing only necessary purchases
Digital Comparison Shoppers: Active users of price comparison platforms and review sites
This shift towards value-conscious consumption presents a clear opportunity for brands to realign their value propositions.
The Rise of Digital Side Gigs
For many young Indonesians, the gig economy has become a crucial financial lifeline. Our study found that digital-related side hustles are the preferred choice for the younger generation. However, there are key differences based on employment status:
University students lean toward digital-based gigs such as freelancing, content creation, and e-commerce.
First jobbers (workers) tend to choose more conventional side hustles, such as part-time retail jobs or food delivery services.
Opportunities for Brands in the Current Landscape
As young consumers become more budget-conscious and entrepreneurial, brands must rethink their strategies to stay relevant. Here are a few key takeaways:
Affordability as a Selling Point – Positioning products as high-value yet budget-friendly can attract price-sensitive consumers.
Support for Side Hustles – Brands can tap into the gig economy by offering services, tools, or platforms that help young Indonesians succeed in their side jobs.
Targeting Digital Consumers – With more young people engaging in online gigs, brands should enhance their digital presence and provide incentives tailored to this demographic.
The economic landscape is shifting, and young Indonesians are adapting in innovative ways. Businesses that understand these changes and offer solutions that align with young consumers’ needs will have the best chance of thriving in this new reality.
Looking Ahead: The Opportunity for Brands
While financial challenges persist, young Indonesians are demonstrating adaptability. For marketers, this presents a unique opportunity to position brands as enablers of success rather than just product providers.
The key to success lies in understanding that this generation isn't just cutting costs – they're redefining value and creating new paths to financial stability. Brands that align with these aspirations while providing tangible value will find a receptive and loyal audience among Indonesia's youth.
Research conducted by RB Consulting in collaboration with Infinity CxT between December 2024 and January 2025, surveying 418 respondents across major Indonesian cities.
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