Indonesia E-Commerce Market Outlook to 2019 – Driven by Innovative Payment Solutions and Opportunities in the Secondary Cities” provides a comprehensive analysis of the various aspects such as market size of the Indonesia e-commerce Industry, online retail market, online travel market, online advertising market and online entertainment market. The report also covers the market shares of major players in the Indonesia as well as the revenues of major players and portals in the e-commerce space.

2. Indonesia has a lot of up-side potential in the e-
commerce market since Indonesians are frequent
social media users. In2014, around ~% users
visited social media through cell phones and ~%
used social media through smartphones.

3. The Indonesia e-commerce market has showcased
remarkable growth during the span of last five
years on the grounds of expansion in product
range as well as surge in online market places.
In 2014, B2C retail distribution model was one of
the most utilized and has garnered the highest
share of ~% in the overall sales revenues.

4. Rise in internet access along with secured online
payment gateways have been the foremost
drivers in Indonesia e-commerce market.
Moreover, scarcity of products in tier-2 and tier-3
cities has enhanced the demand of various
products in the e-commerce industry.

5. Indonesia’s internet user base has grown at a
CAGR of ~% during the review period. Colossal
competition between mobile phone companies in
Indonesia has led to the decline in mobile phone
prices and subscription plans.
Various e-commerce retailers in Indonesia are
expected to introduce this scheme for online
purchases in Indonesia. This scheme provides
flexibility to customers to try the products before
making the actual purchase. Such services are
expected to enhance the buying experience of
the customer.

6. Indonesia registered 42 million internet users in
2014 and social networking was observed as the
most prevalent activity, with ~ percent of online
users actively engaged on sites such as Facebook
and Twitter. Search and Chat applications
account for about ~% and 30% of the overall
internet usage.
The total revenue generated by the online
commerce market in Indonesia was USD ~ billion
in 2014 which has increased from USD ~ billion
in 2009 at a CAGR of ~% during the period
2009-2014.

7. During 2014, the e-commerce industry has
garnered the attention of large population in
Indonesia, which has signified the facts that
people are anticipated to shop online more often.
This change in trend has certainly helped the e-
commerce companies to set a benchmark for
themselves and gain popularity among the
customers, thereby bolstered the revenues.
In 2014, B2C retail distribution model was one of
the largest and has garnered the highest share
of ~% in the overall sales revenues.

8. Owing to these opportunities in the years to come,
the revenues originated by the market are likely
to enhance at a promising CAGR of ~% during
the period 2014-2019. Introduction of giants
such as Ardent Capital along with Bizzy.co.id in
Indonesia E-commerce market in 2015 has led to
the rise in revenues in online B2B commerce
segment. These will post the online commerce
market revenues at USD ~ Billion by 2019. The
challenge in this sector is to enhance internet
penetration at a lower cost in homes along with
the enhancement of Indonesian conviction in
online payment gateways.

9. The major segments in Indonesia e-commerce
market include retail, travel, entertainment and
advertising.
Online retail market in terms of revenues has
mounted at a substantial CAGR of ~% during the
period 2009-2014, which has reported the
revenues at USD ~ Billion during 2014.

10. Wego and Nusa Trips are one of the largest online
travel sites in Indonesia. The firm has a database
of 100,000 hotels and more than ~ domestic and
international airlines. In 2014, around 70% of
the people in Indonesia had travelled for
corporate/ business purposes whereas the rest of
inhabitants travel for the purpose of leisure and
holidays.
In 2014, the digital advertising spends per internet
user in Indonesia was USD ~. The digital media
advertising spent of Indonesia was USD ~ per
internet user in 2014 and is expected to increase
by around ~% in 2015.

11. Search ads are one of the most sorts after
advertising techniques in the country with a
revenue share of ~% in 2014. People in
Indonesia rarely use an ad blocker therefore;
display ads are one of the most common forms
of advertising in the country and accounted for a
share of ~% in the year 2014.
Music and file sharing accounted for around ~%
whereas celebrity and entertainment news
accounted for ~% of the total online
entertainment market by revenue in 2014.

12. Indonesia has numerous retail websites such as
Rakutan, Zalora, Lazada, Lotte Group, PT Trans
retail, PT superhero and others with innovative
product offerings, attractive pricings, seasonal
offers and discounts. The apparels and footwear
segment in lieu to the aforementioned factors
have contributed ~% of the overall gross
merchandise value in the online retail market in
2014.

13. The online retail market of Indonesia had
generated revenue of USD ~ Billion in 2014. Rise
of cheap smartphone and tablets with a price of
less than USD 100 has broadened the access to
e-commerce portals.
Cash on delivery is the major payment mode used
in the country for the purpose of online retail and
the segment had generated revenue of USD ~
Billion in the overall online retail market of
Indonesia.

14. Source:
https://www.kenresearch.com/technology-
and-telecom/it-and-ites/indonesia-
ecommerce-market-research-report/2114-
105.html
Contact:
Ken Research
Ankur Gupta, Head Marketing &
Communications
Ankur@kenresearch.com
+91-9015378249

15. Thank You