News
Meet The Markets: Introducing Indonesia
30/03/2023
At Coca-Cola Europacific Partners, we serve 1.75 million customers across 29 countries. Our CCEP Meet The Markets series shines a spotlight on our great teams across the regions in which we operate. This month sees the beginning of Ramadan, one of the holiest months in the Islamic calendar. So what better time to visit Indonesia, the country with the largest Muslim population in the world, for the next edition of our Meet the Markets series.
CCEP INDONESIA
Indonesia is the most populous country in Southeast Asia and the Pacific, and accounts for nearly 25% of the region’s GDP. The national language is Bahasa Indonesia, but there are over 700 local languages, and over 1,300 ethnicities.
The first bottle of Coca-Cola in Indonesia was imported by a Dutch engineer in 1927 and it was first produced locally in 1932 by the De Water Nederlands Indische Mineral Fabriek bottler, in Batavia (now Jakarta). Today we have over 5,200 employees at CCEP Indonesia, spread across 8 manufacturing facilities and sales offices.
The vast majority of our business there (nearly 80%) is focused on small provision stores, cafes and restaurants. Sparkling soft drinks, like Sprite which is the most popular drink in the country, make up over 60% of our volume in Indonesia, with remaining volume coming from tea, juice, value added dairy and water. We are confident we can grow our business even further in Indonesia, particularly when it comes to soft drinks as Indonesia has the lowest sparkling weekly consumption in the region1.
1 Compared to Austr, PH, TH, VT, in 12-69 years old population
Indonesia is unique because of the sheer number of customers we serve, over 450,000, spread across a wide range of outlet types including large and mid-sized independent shops and kiosks. With these smaller outlets, shelf space is limited so our sales teams have to work hard during key selling moments like Ramadan to get the right products in the right place, and make them look great on the shelf. This is in addition to traditional outlets like national and regional supermarket chains, convenience stores and cafes.
Customers
Employees
KEY FACTS AND FIGURES
RAMADAN
Ramadan is an important time of year for many of our colleagues, customers, friends and partners. Our great drinks, and sparkling soft drinks in particular, form a key part of family celebrations during Ramadan. This means the volume of drinks we sell during this time increases. In fact, we sell more than double compared to other months.
To help consumers celebrate, we work to ensure the availability of our products in the market and our presence at every gathering held throughout Indonesia. We want to use this moment to build the fanbase of sparkling soft drinks by focusing on our key brands like Coca-Cola, Sprite, Fanta and, local favourite, A&W Root Beer. Sprite is usually the most popular brand in Indonesia, but during Ramadan Fanta takes the top spot.
"Feel the magic of Ramadan"
Feasting together with loved ones is a core part of Ramadan. We use the tag line "Feel the magic of Ramadan" in all our Ramadan communication through our "Coke Meals" campaign, to maximise celebrating the festive season with our sparkling beverages. We want to give consumers a choice of different pack types to help share the magic of the festive season, such as multi-serve packs when having meals with their loved ones. This year's new offer is a multi-can box of sparkling beverages, allowing consumers to share the festive happiness with their relatives in gift hampers.
Charity
Charity is at the heart of Ramadan for Muslims across the world. At CCEP Indonesia, we use this moment to give back to our communities. We take part in many charity activities during Ramadan, including working with a network of orphanages and the waste pickers community to provide food and drink to help them break their fast. We also donate thousands of packages of staple foods to communities and those in need around our manufacturing facilities.
Offices & Sites
Celebrating Ramadan also continues in our offices and sites, where colleagues often break the fast together. We put on something called ‘Safari Ramadan’, an internal roadshow where the Leadership team visit employees at different sites to celebrate together. We also take part in charity activities such as NCC Gives Back, a programme led by our National Contact Center to support the communities in need with cash donations and staples collected by employees. To maximise selling in this festive period, we are also launching a new internal initiative, SUPERB FEST, where all CCEP Indonesia employees are invited to visit our customers' outlets to experience offering our products directly to consumers and customers.
OUR BRANDS
VOLUME MIX
25%
Coca-Cola TM
51%
Flavours & Mixers
6%
Hydration
18%
RTD, Tea, Juice & others
*Figures from 2022, including Papa New Guinea
SUSTAINABILITY
- Climate
- Packaging
- Water
- Supply Chain
- Waste Management
- Society
Climate
Climate
We take our responsibilities to reduce our greenhouse gas emissions seriously, through a range of initiatives. This includes engaging our suppliers to set carbon reduction targets and transition to renewable energy. We have also been installing solar panels (including the largest solar panel roof installation in a production facility in Southeast Asia in our Bekasi-1 Plant located in West Java) and using coolers with lower electricity consumption. We have also planted over 60,000 trees through our Coca-Cola Forest programme - a programme to support water conservation and community development programmes around manufacturing facilities.
Packaging
Packaging
We are committed to reducing our use of packaging and ensure that the equivalent of all the packaging we do use is collected, reused or recycled. This year, we launched our joint venture with Dynapack Asia, Amandina Bumi Nusantara – a 20,000 square meter PET recycling facility located in Bekasi, West Java. This enables us to create a closed-loop plastic packaging supply chain by producing food and beverage safe plastic pellets made from post-consumer plastic bottles collected by Mahija Parahita Nusantara, our non-profit foundation that supports the value creation of waste collection infrastructure and helps communities living in this environment. This investment meant CCEP Indonesia became the first FMCG company in Indonesia to invest in closed-loop packaging.
Water
Water
We treat water with the care it deserves, aiming to reduce our water consumption and protect local water sources. We do this in a range of ways including:
- Assessing our water resources through a Source Vulnerability Assessment to manage our water sustainably.
- Returning water to the environment through infiltration wells and bio-pores initiatives within our plants to maintain water neutrality.
- Managing 22 community-based water replenishment projects across Indonesia together with The Coca-Cola Company.
Supply Chain
Supply Chain
We are committed to sourcing all our agricultural ingredients and raw materials sustainably and responsibly. This includes making sure that 100% of our main agricultural ingredients and raw materials come from sustainable sources and continuing to embed sustainability, ethics and human rights into our supply chain by 2025.
Waste Management
Waste Management
Multi-stakeholder participation is critical in waste management implementation in Indonesia. Through working with a range of stakeholders and on a range of initiatives including a community-based waste bank, marketing activation during public events, universities and clean-up programmes, we have built 63 waste banks and have collected more than 123,000 kilograms of household waste since 2020.
Society
Society
We are determined to make a positive difference in our local communities. This includes:
- Supporting the creation of building of local Micro, Small & Medium Enterprises (MSMEs), which contribute more than 50% of Indonesia’s national GDP (gross domestic product).
- Developing educational programmes to increase the capability of the MSMEs, focusing on digital literacy and financial skills.
- We also aim to support the livelihoods of the surrounding communities and increase environmental awareness through providing a range of donations to the community from the provision of educational scholarships, product donations and staple food for disaster relief, to provision of equipment to support the building of infrastructure.
DIVERSITY AND INCLUSION
Building a Great Place to Work
Our vision is to be an organisation where everyone is welcome to be themselves, be valued and belong – covering all areas of diversity, including gender, culture and heritage, age, and disability. We are continuing make progress on gender diversity through a three-pronged approach: Extend – connecting our female employees through our Women Warrior Community’s engagement programmes, Engage – strengthen the engagement programme by driving various initiatives such as celebrating International Women’s Day and Kartini Day (National Women’s Day), and Lead – building leadership capabilities for women employees to encourage more women leaders within the company. We have onboarded 7 employees with disabilities since 2021 to be part of our National Contact Center team, while also continuing to improve our workplace to be more inclusive for people with disabilities.
We are committed to leveraging and embedding local culture and heritage in CCEP Indonesia’s ways of working by focusing on recruiting talent from the local area and celebrating diversity through local cultural activities. We build and nurture a respectful working environment by embedding a multi-generational approach to our activities. We are focussed on building a multi-generational workforce through the recruitment of 200 Graduate Trainees in Sales, while also increasing the demographic spread of the company.
At Coca-Cola Europacific Partners Indonesia, we are proud to be part of an incredible global business that makes, moves, and sells some of the world's most loved brands. We manufacture, distribute, and market a wide range of beverages across all major categories through our extensive distribution network to refresh millions of consumers across Indonesia.
Our success depends on the talented people in our organisation who work with great passion and commitment to help our company emerge stronger every day, and position ourselves as best in class in the market. We focus on fostering a culture where everyone is welcome to be themselves, be valued, be well, be developed, connected, and be inspired. We are committed to building a diverse workforce and encouraging an inclusive culture - this covers all areas of diversity, including gender, culture and heritage, multi-generations, and disability.
We're also committed to conducting business sustainably and responsibly. This includes taking significant steps to minimise our environmental impact - particularly in ensuring that every package we sell is collected and recycled by 2030 by adopting a circular economy approach through our PET recycling facility, Amandina Bumi Nusantara and Mahija Parahita Nusantara, our non-profit foundation that supports the value creation of waste collection infrastructure and helps communities living in this environment.
Our business takes pride in contributing to Indonesia's economy and having a positive impact on the communities where we operate. We strive to leave a legacy that supports the country's growth and development and creates lasting value for all our stakeholders.