Indonesia has a number of companies that set records for the largest ad spend in Indonesia. The development of technology, including the digital economy and internet penetration, continues to increase rapidly. One of them is that ad spending is able to show a significant surge.
Companies with the Largest Ad Spending in RI According to Nielson
According to a report from Nielsen in the first semester of 2024, there are as many as 10 companies that have the largest advertising expenditures in Indonesia. The FMCG or Fast Moving Consumer Goods sector dominates with 3 industries leading the way.
This increase does not only include global brands, but also strong local players. A similar trend can be seen with growing ad spend. Especially in the Southeast Asia region, such as the Philippines, Thailand, and Malaysia.
Advertisers in the Period January – July 2024
In the period from January to July 2024, the top 10 companies were recorded. Unilever became the main player by occupying the first position, followed by the company names below, namely Mayora, Garena, and Nestle.
It was not revealed how much the largest advertising expenditure in RI that Unilever and others spent. Nielsen itself only reveals the existence of each category of spending, such as dairy. For example, the diary category spent around US $ 950 million or the equivalent of Rp. 15.1 trillion.
In its calculations, Nielsen stated that 10 companies had spent US$ 5.22 billion on advertising spending. This shows that FMCG dominates the advertising market.
The product categories include beverages and food to personal care products. The trillion total of the 10 companies is able to underline the competition in the industry, especially in the country.
FMCG Controls Advertising in Various Countries
Launching from the cnbcindonesia.com page, globally, FMCG companies, such as Unilever and Procter & Gamble (P&G), not only dominate the largest advertising expenditure in Indonesia, but also in various other Southeast Asian countries.
Unilever takes the top spot in the Philippines and Thailand. Meanwhile, in Singapore alone companies and banks have a much larger portion of digital advertising in size.
Indonesia itself is on the same path as the global trend. Nielsen also reported that 72% of global marketers expect their advertising budgets to increase by 2024.
List of 10 Companies
The 10 companies that hold the largest advertising spending category in RI were also uploaded by @wartaekonomi on the Instagram platform on November 12, 2024.
Unilever
PT Unilever Indonesia is a subsidiary of Unilever which has been established since 1933. This industry presents many well-known products. The production of PT Unilever Indonesia is divided into two categories.
The first is household needs, such as soap and detergent. The second is cosmetic products, namely deodorant to body care. Not only that, Unilever also creates kitchen ingredients, such as margarine, food flavors, soy sauce, and others.
Mayora
PT Mayora Indah Tbk is one of the manufacturing industries that creates famous food and beverage products. The company not only distributes its products in Indonesia, but in many countries as well.
Garena
PT Garena is a provider with the youngest platform for online personal computer (PC) and mobile digital content that has existed since 2009. The company is one of those listed in Neilsen’s data with the 3rd largest ad spend in RI. Garena itself has launched many popular online games.
Nestle
PT Nestle is a company that operates in the field of food products. Nestle Indonesia is a subsidiary of Nestle SA which is based in Vevey, Switzerland. For information, Nestle is the company with the largest food production in the world.
Wings
PT Wings is a company engaged in producing household needs, such as shampoo, soap, toothpaste, and others.
Wings Food
Wings Food itself is engaged in the production and marketing of various food and soft drink products, such as Eko Mie, Floridina, Isoplus, Kecap Sedaap, Ale-Ale, and many more.
Aqua
This company is an industry engaged in marketing bottled drinking water products. Not only in Indonesia, Aqua itself has served product sales in several countries, namely Singapore, Malaysia, and also Brunei Darussalam.
Procter & Gamble
Procter & Gamble is also listed as the company with the largest advertising expenditure in Indonesia. It is an international industry that produces goods from a number of brands, namely Head & Shoulders, Pantene, Rejoice, Pampers, and others.
Indofood
PT Indofood has been established since 1990 and evolved into a market leader in food product categories, such as instant noodles, food flavoring, beverages, and other processed ingredients.
Frisian Flag
This company created the existence of products with milk-based nutritional content in Indonesia under the Frisian Flag brand or what is known as Susu Bendera.
List of Advertising Product Categories
- Diary of US$ 953.3
- Cold drinks (non-alcoholic) at US$ 852.4
- Broadcast media by US$ 744.3
- Telecommunications at US$ 578.8
- Sauces & condiments by US$ 434.4
- Hair care by US$ 371.7
- Washing products US$ 371.2
- Over-the-counter & first aid medicines US$ 350.5
- Skincare US$ 303.6
- Politics & government US$ 262.1
Marketers seem to see that the right advertising spend can be a long-term investment to build awareness and loyalty among customers. Analysis of the data of the largest advertising expenditures in RI shows that traditional media, such as television, is still very superior as a channel to review the audience.
Both traditional information media and digital media are a balanced mix. Both have a big impact and are effective for companies that have the intention to optimize their advertising funds in the country. These are the companies with the biggest ad spend in Indonesia.
