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‘Proud’ brands of Indonesia make it big overseas

Slowly but surely, Indonesian firms are expanding their footprint in foreign markets, offering anything from instant noodles to motorcycle rides, and for a coffee-flavored candy from the archipelago, even the sky is not the limit.

Fadhil Haidar Sulaeman (The Jakarta Post)
Jakarta
Mon, August 15, 2022

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‘Proud’ brands of Indonesia make it big overseas

As an exchange student in Hungary last year, Ardy found the culinary change hard to digest.

The Gadjah Mada University undergraduate missed the diversity of flavors he had grown up with, the amalgamation of spices characterizing dishes from the archipelago – until he discovered a taste of home sold in local supermarkets: Indomie instant noodles.

The iconic brand from PT Indofood CBP Sukses Makmur (ICBP), a subsidiary of food manufacturing giant PT Indofood Sukses Makmur (INDF), has gone far beyond Indonesian shores.

ICBP spokesman Stefanus Indrayana told The Jakarta Post on Thursday that the company's instant noodles were sold in some hundred countries and produced in 31 factories across the world – with 30 billion packs rolling off the conveyor belt every year.

“I feel proud to be eating food that’s Indonesian in origin while also tasting good [...]. My fellow exchange students overwhelmingly favor Indomie,” Ardy told the Post on Thursday.

The brand has achieved such success in Nigeria that many take it for a domestic product, says local student George. “Sometimes in school, I eat Indomie three times in a week, because it is easily prepared and saves time and energy,” the 22-year-old told the Post on Friday.

Another Indonesian consumer brand making a splash overseas is Kopiko by food giant PT Mayora Indah.

Riding the wave of Korean pop culture, the coffee candy has been featured in three K-dramas.

Sharp eyes spotted Tesla CEO Elon Musk enjoying it while hosting an Indonesian delegation, and a photo from 2017 shows US astronauts keeping a stash of it in space.

“The most important thing is that we are proud as a part of Indonesia and proud of brands originating from Indonesia; this invigorates us to strive to be the best,” Mayora Indah global marketing director Ricky Afriyanto told the Post on Wednesday.

Indonesia’s ride-hailing and e-commerce giant GoTo is steadily gaining ground in Southeast Asia, reporting 72 percent annual growth in food delivery orders in the first half of 2022 in Vietnam.

GoTo corporate affairs chief Nila Marita told the Post on Wednesday that the company aimed to expand further: “We are proud to fly the flag high for Indonesia, representing our vibrant tech sector in some of the region’s leading economies.”

Yongky Susilo, a retail expert with the Indonesian Shopping Center Tenants Association (Hippindo), says both Kopiko and Indomie have adopted localized strategies to penetrate foreign markets, such as endorsement through TV productions.

Brands should not skimp on market research for customized campaigns overseas, he said.

"Tokopedia’s e-commerce and Gojek’s ride-hailing services have high brand penetration overseas, so GoTo as an integrated platform stands a better chance," Yongky told the Post on Thursday.

The overseas success of Indonesian brands is also a matter of national interest.

Indonesian Chamber of Commerce and Industry (Kadin) deputy chairwoman Shinta Widjaja Kamdani says expansion is about more than profit.

"Indonesian brands are at the forefront of forming foreign market perceptions and acceptance of Indonesia as a developing and culturally rich economy. We must support that [to] represent Indonesia positively in the destination markets," Shinta told the Post.

Foreign Minister Retno LP Marsudi says her diplomats have widened their focus beyond political and security issues to economic ties, reporting to the foreign policy chief every two weeks on their progress in promoting Indonesian brands.

“Our ambassadors must look for opportunities to obtain new contracts, plus investments,” Retno told the Post on Tuesday.

Trade Minister Zulkifli Hasan has noted the importance of exhibitions as a chance for Indonesian products to be recognized.

"Now is the time for Indonesia to evolve from just being a market for foreign brands to expanding our brands to foreign markets," he said during a keynote speech on Wednesday.

Trade Ministry Export Development Director General Didi Sumedi said Indonesian brands had “qualities to be proud of” as they were beginning to cater not just to niche markets but increasingly meeting the needs of the general public.

“In the past, only established brands like Indomie could penetrate the global market; now there are many [...]. This progress is very encouraging,” Didi told the Post.

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