The largest economy in Southeast Asia, Indonesia is a promising country that has gained the attention of many investors. At the moment, Indonesia has nearly 147 million internet users, which accounts for 55% of their total population. The booming digital growth lays the foundation for Indonesia to reap significant economic benefits. As Indonesia’s population becomes more affluent and tech-savvy, Ecommerce will be one of the most important emerging sectors.
Ecommerce has only started to take flight in recent years
The regulatory framework will lay the grounds for further growth and development, attracting more foreign investments. According to McKinsey, Ecommerce sales only account for 5% of Indonesia’s total retail sales. The figures are expected to rise to between 17% and 30% in the next five years.
However, uncertainty prevails
Amidst weak Rupiah and upcoming 2019 presidential elections, accelerated growth in the near future may also lead to policy change if the authorities decide to tighten their regulations. After all, nothing has been set in stone.
With all that uncertainty, it is challenging for outsiders to keep up with Indonesia’s pace, especially without local connections. Current competitive landscapes, local payment ecosystem and unique consumer behaviour are just some of the things that lack accurate and reliable information online.
What is Emerging Markets Tech Investment Index (EMTII)
Fortunately, Momentum Works has a solid network of practitioners on the ground, giving us access to first-hand information about emerging markets, such as Indonesia. With these in-house experts, we have come up with our very own 2018 Ecommerce in Indonesia Index, as part of our Emerging Markets Tech Investment Index (EMTII) series. The major areas analysed including infrastructure readiness, timing (macro and micro), availability of funding, performance of major companies in the sector, as well as key relevant risk factors.
Knowing the Risk & Opportunities
We have consolidated everything you need to know about Indonesia’s geography, culture and economy, including a comprehensive timeline of Indonesia’s Ecommerce industry. Not only do we outline the current competitive landscape of Ecommerce laid out, we also covered the different types of Ecommerce and the current leaders of those sectors. A large part of the report analyses infrastructure readiness, availability of funding, performance of major companies in the sector, as well as key relevant risk factors. After reading, you will understand Indonesia’s Ecommerce market and be able to evaluate the opportunities and risk better.
How to get them
You can visit the MW Insights website to find the currently available EMTII Opportunities and Risks bars.
You can also purchase the EMTII Reports for Ecommerce in Indonesia by clicking the images below. More reports will be made available progressively.
For any further queries, you are welcome to email us [email protected]
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Thanks for reading The Low Down (TLD), the blog by the team at Momentum Works. Got a different perspective or have a burning opinion to share? Let us know at [email protected].