The latest hit in the market has sent an alarming sign that the organic growth for most FMCGs is declining. Industry players should not 100% rely on current revenue growth and channels.

Current studies brought out crystal clear insight that consumers has redefined their life purposes: more inward looking, family oriented, and enjoy online gathering. Most consumers will continue to focusing on home occasion essentials and hygiene products in the new normal era.

In the past, recession led consumers to be more price conscious. Accordingly smaller packaged products are and will be most suitable for the majority. In this context, brand loyalty is in great challenge.

The other notable facts and insight are that the crisis has fired up the rise of digital commerce and new business models. This transformation has been observed in the past with slower pace for the consumer goods industry. Today, the speed of groceries online penetration goes beyond its conventional consumer base and geographic areas.

Although we believe that off-line sources are still important, majority of urban consumers has been forced to make selective purchase from safer channels. Groceries e-commerce clearly provides perfect solution for many urban Indonesians. This is not limited to the established unicorns, but also for relatively new groceries specialist startups.

The FMCGs players should refocus its strategy to create more value and growth to adopt with the new normal.

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