Indonesia presents much opportunity for e-commerce among other emerging Asian economies, with current projections putting the nation’s e-market at $130 billion by 2020 (coming third behind China and India).
With an estimated annual growth rate of 50 percent and strong mobile-first initiatives, retailers have a unique opportunity in Indonesia to focus on developing truly mobile platforms to help facilitate e-market growth, particularly in the consumer packaged goods (CPGs) sector.
SEE ALSO: Inamall: A home for Indonesian brands on Tmall
Mobile-first population
Indonesia has established itself as one of Asia’s foremost mobile-first nations, with a StatCounter report estimating that in 2015, more than 70 percent of Indonesia’s internet traffic originated from mobile devices.
Interest in startup fundraising
E-commerce startups founded in Indonesia or targeting it as an untapped market are growing exponentially. Local success stories include aCommerce, HappyFresh and Tokopedia.
Lack of infrastructure
Many Indonesian cities are currently woefully underdeveloped, and e-commerce specifically allows Indonesian consumers to source hard-to-find goods, as opposed to other nations, where rural areas would not have as high use of internet-capable mobile devices.
Additionally, a growing middle class with disposable income will only help spread e-commerce growth, alongside a rising influx of both individual sellers and corporations vying to compete in the e-market.
Indonesia’s e-commerce market is on track to be one of the largest in Asia, utilizing mobile-first platforms to provide all Indonesians with convenient access to consumer packaged goods.
(Source: TechCrunch)