Indonesia e-commerce landscape: key players and trends

Let’s start with the scale of the retail market, in comparison to other selected Asia Pacific countries

Since this post was written in Jun 2019, I wrote another post with the latest information about Indonesia e-commerce landscape Jun 2020 here.

1. Indonesia retail e-commerce is still less than 5% of the country total retail sales

Below is the actual size of retail e-commerce in Indonesia and selected Asia Pacific countries in 2018. China retail e-commerce sales ($1526 billions) is too big that I have to exclude it from the graph so that we can see other countries.

2. Given the much smaller base, Indonesia retail e-commerce is expected to grow at double digit in the next few years

Indonesia is amongst the fastest growing e-commerce market in APAC region.

3. More than 2/3 of the Indonesian retail e-commerce happens on mobile devices

4. Digital buyer penetration in Indonesia is significantly lower than China, Australia, Japan and Korea

5. Similar to retail e-commerce, digital travel sales in Indonesia is expected to grow at double digit in the next 3 years

6. Tokopedia, Bukalapak, Shopee and Lazada are the top 4 e-commerce sites/apps in Indonesia from traffic point of view

Data is from iprice

7. Similar to other Asian countries, social commerce is big in Indonesia

Data from Asia social commerce report from PayPal is below:

More than 80% of merchants surveyed in Indonesia stated that they are selling through social platforms, mainly through Facebook/Instagram.

Many more merchants (83%) are hoping to use social platforms to sell and hope that more consumers will see social commerce as legitimate businesses.

8. Digital purchases from consumers in Indonesia are more influenced by digital ads than in many other countries

Thanks,

Chandler