NEWS & EVENT
Understanding the Glow Economy: Indonesia’s New Economic Golden Opportunity
Jakarta (30/4) – In recent years, the lifestyle landscape of Indonesian
society has undergone a significant transformation. The pandemic has
become a turning point that has shifted public priorities from symbolic
consumption to more meaningful consumption: maintaining health,
improving quality of life, and appearing more confident. Awareness of
the importance of self-care, both physically and mentally, has
skyrocketed, especially among the younger generation. They not only want
to live longer, but also healthier, happier, and more “glowing.”
This
transformation has given birth to a new economic sector called the Glow
Economy, an ecosystem that reflects how the need for holistic health
and optimal appearance directly contributes to economic growth.
Glow
Economy is a term that refers to the growth of the economic sector
based on the beauty, body care, fitness, holistic health, and healthy
lifestyle industries. "Glow" here does not only reflect a fresh and
radiant physical appearance, but also a balanced mental and emotional
condition. This ecosystem includes various industry lines such as
skincare, cosmetics, aesthetic clinics, wellness centers, gyms, yoga
studios, healthy food & beverages, to mental health services such as
retreats and meditation. In essence, the Glow Economy includes all
industries that help people feel better and look better.
In
Indonesia, the Glow Economy is becoming increasingly relevant because it
is supported by a strong demographic foundation. The country is
enjoying a demographic bonus, with the majority of the population in the
productive age range (15–40 years). This young generation is very
conscious of their appearance, active on social media, and places
physical and mental health as the top priority in their lifestyle. Rapid
urbanization and improving living standards are strengthening this
trend, making the Glow Economy not just a response to needs, but also an
answer to the aspirations of Indonesia's new generation.
Moreover,
Glow Economy opens up a huge opportunity for local brands to move up a
class. Indonesian consumers are now increasingly open to domestic
products, no longer just focused on foreign brands. This phenomenon is
reflected in the success of brands such as Raine Beauty, Brighty, SMITH,
ESQA, BHUMI, SASC which are able to compete nationally and even
penetrate regional markets. Glow Economy creates a new space for local
innovation, from natural products to AI-based beauty-tech, while
strengthening the independent and sustainable national beauty industry
ecosystem.
This condition then underlies the birth of the book
Glow Economy: The Rise of Beautypreuner, The Birth of Ecosystem Brand.
This book was written by five cross-field figures, namely: Kilala
Tilaar, Bryan Tilaar, Bernard T. Widjaja, Yuswohady, and Bagus Zidni
Ilman Nafi, who combine the perspectives of business practitioners,
academics, and strategy experts in viewing the major transformation of
the beauty industry in the modern era.
Its economic potential is
also very promising. Currently, consumption of skincare and personal
care products in Indonesia is only around 2–3% of Gross Domestic Product
(GDP), much lower than in developed countries. However, awareness of
self-care and wellness continues to increase rapidly, even in tier 2 and
3 cities. This shows that the market is still very large and not yet
saturated, like a gold mine that has just begun to be developed.
Glow
Economy highlights how the cosmetics business, which has so far been
known only for its aesthetics, is now showing an extraordinary economic
impact. Starting from job creation, developing MSMEs, strengthening the
creative industry, to contributing to national exports, all are
discussed through narratives rich in data, insights, and actual case
studies.
More than just a trend, Glow Economy shows that the
beauty industry is an adaptive, resilient, and innovative sector amidst
global dynamics. This book also highlights shifts in consumer behavior,
the power of digital communities, the role of women in the economy, and
strategic opportunities for national and regional economic growth.
One
of the interesting things raised in this book is the transformation of
PT Cedefindo, one of the Martha Tilaar Group business units, which
developed its business model from a consumer brand to an ecosystem
brand. Through this approach, PT Cedefindo not only produces cosmetics
for consumers, but also builds an ecosystem that supports the growth and
development of micro, small, and medium enterprises (MSMEs) in the
cosmetics industry. This model has proven effective in accelerating the
birth of new local brands that are competitive, innovative, and able to
compete in both national and international markets.
In addition
to offering in-depth analysis, Glow Economy also enriches its content
with inspiring case studies from the founders of local cosmetic brands
that are currently shining in Indonesia, such as: Raisa and Ruskha from
Raine Beauty, M. Hadiyatullah and M. Raafi from Brighty, Kezia
Trihatmanto and Cindy Angelina from ESQA, Emyranza founder of SMITH,
Priscilia Pangemanan from SASC, and Rizkia and Ahmad Rashed from BHUMI.
Through
the true story of their journey to build a brand amidst global
competition, this book becomes a source of practical insight as well as
real inspiration for the new generation of Indonesian beauty industry
players. The presence of this book is important to read now, when the
Indonesian cosmetics industry is at a golden momentum to grow as a new
economic power in Asia.
"Through this book, we want to show that
the cosmetics industry is not just about beauty, but a real economic
power. Indonesia has great potential to become the center of Glow
Economy power in the region," said Dr. Kilala Tilaar.
Glow
Economy is intended for industry players, academics, policy makers, and
the general public who want to understand the transformation of the
beauty industry as an integral part of future economic growth.