
Indonesia’s beauty market expands as Chinese, Korean brands gain traction
Sensitive skin segment sees rising consumer interest.
Indonesia is emerging as a major player in the global beauty industry, driven by a youthful population and increasing demand for innovation, Mintel reported.
The report noted that Indonesia, with over 270 million people—more than half under 30—offers significant opportunities for beauty brands looking to expand in a fast-growing market.
Indonesian consumers are highly value-driven, with 91% of women comparing products for the best deal and 84% frequently purchasing discounted beauty items, according to Mintel Global Consumer research. Digital engagement is also a key factor, with 21% of women aged 18-34 interacting with beauty content online in the three months leading to September 2024.
Chinese beauty brands are making inroads in Indonesia’s e-commerce space, offering around 100 SKUs on platforms like Sociolla and Watsons.
The report said these brands resonate with local consumers by emphasising hero ingredients, ingredient-led messaging, and competitive pricing.
New product development in Indonesia’s beauty sector is also increasingly focused on functionality. Mintel’s Global New Products Database (GNPD) revealed that beauty-enhancing and functional claims accounted for 77% and 76% of 2024 product launches, respectively. This trend highlights consumer demand for transparency, efficacy, and safety in cosmetics.
Additionally, Korean-inspired skincare continues to gain traction, fuelled by the Hallyu wave. Products emphasising skin-gut harmony and aesthetic treatment integration, such as microneedling and regenerative ingredients like PDRN, are attracting consumers seeking advanced skincare solutions.
The sensitive skin segment is also emerging as a key growth area, with “suitable-for” claims rising from 34% in 2022 to 43% in 2024. Meanwhile, beauty products mentioning "sensitive" in their descriptions increased from 30% to 38% over the same period.
Brands are responding by developing skincare solutions that focus on barrier protection and microbiome balance. The demand is particularly strong among younger consumers, with 89% of Indonesian women aged 18-24 expressing interest in beauty products designed for their age group.