Children have a big influence on budget allocations and purchasing decisions in family. This forms a very potential market segment, including the market segment of pre-school (2-7 years). Parents and mothers in particular will meet the needs of their children by choosing Products with the best quality. This segment is more lucrative because it is accompanied by an enormous increase in numbers The middle class in Indonesia is known to be fond of shopping.
World Bank data show that Indonesia’s middle class continues to grow, from 6.5% in 2011 or Equivalent to over 130 million people. Then in 2030, the number of Indonesian middle class is predicted jump to 141 million people. Census projection for population of Statistics Indonesia (BPS) in 2016 is estimated the number of pre-school Indonesia children or in the age range 2-7 years as many as 30.26 million people with the growth rate the population of Indonesia is 1.49% per year.
A study of the behavior of mother’s spending with pre-school age children conducted by Sigma Research
Indonesia revealed the potential market of nine categories of products of children aged 2-7 years to Rp. 212.82 trillion. The largest market is Food and Snacks Products of Rp 100.92 trillion or 47.42%, followed by Milk Products (milk powder, UHT and fresh milk) of Rp 32.45 trillion (15.77%) and Clothing Apparel Products which reached Rp 33.57 trillion (15.25%). While the market of Kid’s School/Gear Products reached Rp. 3,47 trillion. For Product survey Kid’s School/Gear book conducted a survey of 3 products.
The study was conducted in September-November 2016 in five major cities of Indonesia, through descriptive research Quantitatively through structured questionnaires and face-to-face interviews in 600 mothers who have pre-school age children, ie 2 – 7 years of SES AB class expenditure group (intermediate to upper middle). The study is not just a product survey, but we also explore shopping behavior of mothers. In addition to the above findings, research by Sigma Research also revealed about the market size, market leader, and brand share of the products of pre-school age children of the year that is in market. The full results of this study have a MoE (margin of error) ± 4.00%.