Food companies doing business in Indonesia are intensifying efforts to attract Gen Z consumers, who are demanding products that not only taste good but align with their identity, health goals and social values.

What Gen Z wants matters: the cohort born between 1997 and 2012 is the biggest generation group in Indonesia, accounting for just under 28% of the country’s 281 million people.

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According to GlobalData senior consumer analyst Hannah Cleland, Gen Z consumers in Indonesia are not only looking for minimally processed food with recognisable ingredients and low calorie counts but also have other demands.

“Gen Z are all about high impact and functionality when it comes to things like flavours and health,” she says. 

Research by GlobalData, Just Food‘s parent, from the first quarter of this year shows 51% of Gen Z consumers in Indonesia eat high-protein foods four to seven times a week – a proportion greater than Millennials (37%) and Gen X (26%) consumers.

In May, European dairy giant Arla Foods gave a signal of how it sees consumer behaviour in Indonesia with news of a deal with Brenntag, the ingredients distribution business. As well as selling a range of consumer-facing products under the Arla brand (and Lurpak butter) in Indonesia, Arla is also looking to build its B2B ingredients business in the country. Its tie-up with Brenntag covers three markets in the region – Vietnam, Thailand and Indonesia – and will see the companies push the Danish co-op’s dairy ingredients in the region.

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Alexander Leufgen, head of Asia-Pacific markets at Arla’s ingredients business, said: “Demand for high-quality whey and dairy ingredients is growing across South East Asia, especially in key segments like active nutrition and food functionality. Our goal is to improve and extend our offering to manufacturers across the region. By building on our existing arrangement with Brenntag we’ll be able to better tailor our products and services to meet their needs.”

It’s important for food companies operating in Indonesia to understand how Gen Z consumers define health. For example, 72% of say they try to improve their mood and mental wellbeing through the products they consume.

PT Talasi Tru Origin, a Bali-based brand that sells honey, cashews and cocoa, has embraced Gen Z’s values by sourcing directly from smallholder farmers and promoting “truthful labelling” – avoiding additives and emphasising product origin and impact. 

“Today’s young consumers don’t just buy for taste or nutrition,” says Talasi marketing manager Cindy Marcella. “They look for meaning – where the product comes from, whether it’s sustainable, and if the brand shares their values.” 

Talasi has redesigned its packaging with clean visuals and hand-drawn motifs, targeting Gen Z’s aesthetic preferences and desire for traceability. “Young consumers are not only looking for what food is free from – such as preservatives – but also what it adds to their lives,” Cindy says. “Increasingly, they seek foods that support holistic wellbeing.” 

However, Indonesia’s Gen Z isn’t simply focused on health and wellness. “Gen Z eating habits also tend to be more unstructured than older generations, with a particular proclivity to snack throughout the day,” Cleland adds. Only 3% of Indonesia’s Gen Z skip late-night snacks – far less than Millennials (9%) or Gen X (17%).

In February, PepsiCo relaunched Cheetos in Indonesia with a $200m investment in production first announced two years ago, banking on nostalgia and emotional eating.

Flavour experimentation is also important. GlobalData research from 2024 showed 56% of Gen Z respondents in Indonesia said they opted for trendy or unusual flavours in savoury snacks – more than Millennials (54%) and Gen X (41%).

Research published this year by Kantar shows impulse preferences differ across age groups in Indonesia. Younger consumers, particularly teens and young adults, devote around two-thirds of their impulse spending to products such as snacks and baked goods. As consumers age, that preference shifts toward RTD beverages.

From storytelling to TikTok virality

Social media plays a crucial role in shaping the choices of Gen Z. In February, Indofood, one of Indonesia’s largest food companies, partnered with Japan-based digital commerce firm AnyMind Group to drive sales via TikTok Shop during Ramadan in mainly Muslim Indonesia.

The campaign, featuring national football players, led to a 426% spike in sales and drew thousands of live viewers. Its top-selling item was the Indofood 100k Ramadan Parcel, typically a curated bundle of instant noodles, snacks, syrups, and condiments.

It’s important to remember Gen Z is not a uniform group. “Their income levels vary just like the general population,” Tutum Rahanta, chairman of the advisory board at the Indonesian Retailers and Shopping Centre Tenants Association (HIPPINDO), says. “So, the key for food entrepreneurs is deciding which income class they want to target. Each segment has its own purchasing power.” 

What makes this new generation especially influential is not just how they consume food but how they discover it. “They follow fashion food – new, trendy items they see on social media. If something goes viral, they’ll try it. Social media plays a major role in their food choices,” Tutum says. 

Indeed, traditional advertising is losing traction among younger audiences, who are more likely to be influenced by peer reviews, viral content and influencer collaborations “Many Gen Z consumers are concerned about their health. You can see a rise in food products tailored to their needs – things like less-sugar beverages, plant-based snacks and even meals designed specifically for fitness routines,” he adds.

Indofood is one of Indonesia’s largest, domestic food groups. Communication general manager Stefanus Indrayana says the company is leveraging South East Asia’s largest annual trade and cultural exhibition to deepen its connection with consumers and showcase product innovation – the 2025 Jakarta Fair, which is ongoing until 13 July.

The group launched an immersive exhibition space called Rumah Indofood – or ‘Indofood House’ – to resemble a modern supermarket with a bright, playful design intended to attract families and younger audiences to its Indonesian consumer brands such as instant noodle leader Indomie, dairy label Indomilk, cooking oil brand Bimoli, flour giant Bogasari, snack lines Chitato and Chiki, seasoning Racik, and others.

The promotions have included meet-and-greets with popular local entertainment figures, cooking demonstrations with celebrity chefs, children’s events involving global characters such as Baby Shark, and casual esports and music segments. The goal is to position Indofood not only as a household staple, but also as an entertainment-friendly brand embedded in everyday life, he said. “Every corner of the Indofood House is designed to be fun, safe and welcoming for visitors of all ages and backgrounds,” Stefanus told Just Food.

Affordability remains a hurdle 

Affordability remains a constraint. A 2024 study by Indonesia’s Bandung State Polytechnic found that even environmentally aware Gen Z shoppers often revert to conventional options due to price and accessibility.

Another study carried out last year, this time by Jakarta-based Mercu Buana University and ethical food enterprise PT Parara Bumi Nusantara, found that Indonesians aged 17 to 25 view healthy eating as a form of self-care, yet often struggle to balance affordability, flavour and convenience. The research, based on empathy mapping and student interviews, revealed a generation full of good intentions but limited by price sensitivity and restricted access.

The research suggests that many Gen Z Indonesians understand the health benefits of fresh, nutritious, and local foods. The findings indicate they are eager to support local and sustainable food practices. However, the study claims their actual eating habits are held back by three major barriers: limited access (such products are not widely available), affordability concerns and a widespread belief that healthy food is bland or boring.

The tension between intention and action is further complicated by Indonesia’s economic headwinds – it is still a comparatively low-income country – with the World Bank assessing per capita GDP in 2024 at US$14,470. According to PwC’s Voice of the Consumer 2025 report, half of all Indonesian respondents identified the cost of living and economic instability as their top concern. As a result, 63% said they are buying cheaper alternatives, and 56% are planning meals in advance to reduce impulsive spending.

Generational divides are stark, however, PwC says. Older Indonesian consumers tend to prioritise fresh ingredients and meal planning, while Gen Z gravitates toward budget-friendly options and influencer-driven trends. Many younger shoppers rely on digital platforms for discovery, favouring brands that meet them where they already are – on TikTok, Instagram, and increasingly, AI-driven platforms for meal planning and fitness.

Frequently asked questions

  • What are the key factors influencing Gen Z's food consumption in Indonesia?

    Gen Z's food consumption in Indonesia is shaped by a combination of flavour, health, ethics, and affordability. This generation, which represents a significant portion of the population, seeks products that not only taste good but also align with their personal values and health goals. They prefer minimally processed foods with recognisable ingredients and high protein content. Additionally, Gen Z consumers are increasingly concerned about the origins of their food, favouring brands that promote sustainability and ethical sourcing. The influence of social media cannot be overlooked, as platforms like TikTok play a crucial role in shaping their food choices, driving trends and impulse purchases.

  • How does Gen Z in Indonesia define health when it comes to food?

    For Gen Z in Indonesia, health is not solely about nutrition; it encompasses mental wellbeing and holistic health. A significant portion of this demographic actively seeks foods that improve their mood and mental state, with 72% indicating that they consider the psychological benefits of what they consume. They are also interested in foods that support their active lifestyles, leading to a preference for high-protein and functional foods. This generation is looking for products that contribute positively to their overall wellbeing, rather than just focusing on calorie counts or traditional definitions of healthy eating.

  • What role does social media play in Gen Z's food choices?

    Social media is a powerful influencer in Gen Z's food choices in Indonesia. Platforms like TikTok and Instagram are not just avenues for discovering new products; they are integral to how this generation engages with food culture. Viral trends, influencer endorsements, and peer reviews significantly impact their purchasing decisions. For instance, campaigns that leverage social media can lead to substantial spikes in sales, as seen with Indofood's collaboration during Ramadan. Traditional advertising methods are losing effectiveness among this demographic, making it essential for brands to adapt their marketing strategies to resonate with Gen Z's digital habits.

  • How do affordability and accessibility affect Gen Z's eating habits in Indonesia?

    Affordability and accessibility are major barriers for Gen Z consumers in Indonesia, even as they express a desire for healthier and more sustainable food options. Despite their awareness of the benefits of fresh and nutritious foods, many young Indonesians find themselves reverting to conventional, less healthy choices due to price constraints and limited availability of healthier options. Economic factors, such as the rising cost of living and economic instability, further complicate their ability to make health-conscious decisions. As a result, many Gen Z consumers are forced to prioritise budget-friendly options, often leading to a disconnect between their intentions and actual eating habits.

  • What innovations are food companies implementing to cater to Gen Z in Indonesia?

    Food companies are increasingly innovating to meet the unique demands of Gen Z in Indonesia. This includes developing products that feature trendy flavours and high nutritional value, as well as embracing ethical sourcing practices. Brands like PT Talasi Tru Origin are responding to Gen Z's desire for transparency by promoting direct sourcing from smallholder farmers and redesigning packaging to appeal to their aesthetic preferences. Additionally, companies are leveraging digital platforms for marketing and sales, recognising the importance of engaging with this generation where they spend their time online. Innovations also extend to product formulations, with a growing emphasis on plant-based options and functional foods that align with Gen Z's health and wellness goals.