CELIOS: Stories and brand values attract young consumers

Jakarta (ANTARA) - Researcher from the Center of Economic and Law Studies (CELIOS) Rani Septyarini assesses that the younger generation now considers the value carried by a brand in addition to a product’s function and price.

According to Rani, the growing interest in reusable and environmentally friendly products signals a shift in consumption behaviour among Generation Z and millennials, who are increasingly attentive to sustainability aspects.

“From an economic perspective, this trend opens opportunities for creating new markets with relatively high added value because consumers are not only buying a product’s function, but also the value attached to that product,” Rani said when contacted by ANTARA on Wednesday.

She explained that consumers now consider product quality, environmental concern, health aspects, and even the identity they wish to project through the products they use.

According to her, today’s younger generation tends to value brand value more highly than previous generations.

“They do not only consider price, but also how a product is produced, its impact on the environment, and the social value brought by the company,” she stated.

The researcher, a graduate of Airlangga University, said this change in preferences presents a challenge as well as an opportunity for business actors, including MSMEs, in developing products that meet market needs.

She believes business actors can no longer compete solely on price, but also need to build a strong brand identity with values relevant to consumers.

According to Rani, young consumers today are also more critical of the business practices carried out by companies and tend to support products perceived as having a positive social or environmental impact.

Therefore, Rani encourages business actors to strengthen the story behind the products they market, including raw material usage, production processes, and contributions to the environment and society.

“MSMEs must start realising that consumers are not just buying goods and their functions, but also the story and value carried by that brand,” Rani said.

According to her, the ability to build a strong narrative and brand value can be a differentiating factor that helps business actors attract young consumers amid increasingly tight market competition.