A glimpse about Indonesia e-commerce picture and challenges till today.

1. Engaging with the potential
e-commerce market

2. About Writer
Reach me at djimie@gmail.com

3. Population
in 50 million
About Indonesia 2012
244 million
2011
241 million
2010
237 million
21.3% 5.8%
50.63 13.79
8.39%
19.94
57.5%
136.61 1.5%
3.59
Number of people
In million
5.5%
13.07
GDP per capita
$3.469 $3.848
$2.974
2010 2011 2012
Source: BPS-statistics Indonesia, Ideasource

4. Internet Demographic Internet Place of Access
64% cafe
48% Mobile
phone
Mobile vs Internet users
25% At home
2011 78%
22.8% 18% At office 19%
2010 65% others
18%
2009 13%
58%
“Internet café going to lose their customers as opposed to
mobile internet becoming a trend”
2008 54%
11%
Top Cities Internet Penetration
2007 35%
Jakarta
9%
44%
Mobile subsc. Internet users
Medan 40%
90%
80%
15-30yrs
48%
Palembang 36%
57%
prepaid
Internet users
Users
Mobile internet
growth Botabek 33%
Mobile subscribers
Mobile internet
vs Internet users Bandung 33%
Source: Ideasource, Yahoo TNS Index 2011, The Jakarta Post, JANA

5. Online Transaction
TheJakartaPost:
Growth of online transaction and trend analysis
“The research also found a 100
10.743 percent increase of online trade
300 11
in 2011 compared to last year”
8.19
N of transaction (in million)
6.051 MasterCard Online Shopping
$290
In million USD
survey reported during Dec
$205
3.588 2011 until Feb 2012, there is
57% users doing e-commerce in
1.873
$133
Indonesia
$72
$34
2010 2011 2012 2013 2014
Transaction value No. of transaction
Source: Ideasource, Mastercard, TheJakartaPost

6. E-commerce Demographic
Surfing products and pruchasing
Price comparison and buying offline 38%
Producs searched and buying offline 26%
25%
10%
1%
How they use less more
e-commerce
What they bought on
shoes personal care & acc bags
There are
Survey conducted over 500 respondents
with result 45% is willing to use internet
for e-commerce.
>50%
online buyers
willing to pay
for CLOTHES dvds
gadget books
Source: E-commercefacts

7. Payment Method
THE WAY THEY PAY
Bank Transfer
“Ideasource study reported as much as 70% of online
transactions in Indonesia are still paid with money
transfer” (techinasia)
Cash on Delivery (COD)
Most online buyers Credit card
prefer to pay using
wire transfer and Paypal
cash instead of E-payment*
other platforms. *Doku, Unik, Indomog, Kaspay, iPaymu,
Inapay, Klikpay
Source: TechinAsia, Indotelko, Ideasource

8. E-commerce Places

9. IDEA: Indonesia E-commerce Association
Indonesia e-commerce is entering a new phase with some e-
commerce initiatives form Indonesia E-commerce Association
(IDEA) on May 3rd, 2012.
Active members: Berniaga.com, Bhinneka.com, Blibli.com, Dealgoing.com, Gramedia.com, Kaskus.com,
Multiply.com, Plasa.com, Tokobagus.com, Tokopedia.com
Source: Idea

10. E-commerce Regulation
Indonesia government administers any
e-commerce activities under “Electronic
Information and Transactions Law”
Number 11 of 2008.
Indonesia version can be downloaded here:
http://www.lipi.go.id/intra/informasi/1250035982.pdf
Source: Kompas.com, Kontan

11. Rebright Partner and Corfina Group launched
Batavia Incubator, as platform for internet
Global and mobile based start up (Jul 2011)
e-commerce GREE To Invest 2 Billion Yen in SEA Start-ups,
players target 1 Billion Yen in Indonesia (Nov 2011)
CyberAgent ventures oversees investment in
Indonesia Indonesia and the region (Dec 2011)
market Chinese Internet Giant Tencent Eyes
Indonesia Market (Mar 2012)
Telkom agree to form joint venture with eBay
to save Plasa.com (Apr 2012)
PT. Midtrans a join venture company formed
by Veritrans, Netprice.com and PT. Mitratama
Grahaguna (Jun 2012)
Source: Techinasia, Infobanknews, Detik.com