Google predicts explosive growth in Indonesia's e-commerce market

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Indonesia's e-commerce market is expected to triple from $27 billion in 2018 to $100 billion by 2025, becoming the largest market in Southeast Asia.
This prediction was released by a survey by Google, which predicts that the following four sectors will grow significantly in Indonesia:
e-commerce (53%), online travel (25%), ride-hailing services (14%), and online media (8%).


Indonesia has a population of 270 million, making it the fourth largest in the world. Its GDP growth rate is also high, and what's even more surprising is that four out of the six unicorn companies in Southeast Asia are Indonesian companies.
If the internet infrastructure is improved in the future, there is no doubt that Indonesia's EC market will grow beyond expectations.
In this article, we will look into the potential of Indonesia's EC market.


*A unicorn company is a private venture company that has been in business for less than 10 years and is valued at over $1 billion (approximately 125 billion yen).
Currently listed companies such as Facebook and Twitter were once unicorn companies.

Basic information about Indonesia
Indonesia is the world's largest archipelago nation kazakhstan whatsapp data consisting of over 17,000 islands.
It is home to the famous tourist destination of Bali, and is also rich in natural resources such as oil and coal.
Its population of 270 million is the fourth largest in the world. The number
of Internet users is also increasing rapidly, and according to a provider survey, the number was 143.26 million at the end of 2017, an increase of 7.9% from the previous year.
The Internet environment is gradually improving in urban areas, but infrastructure development in rural areas of the islands remains an issue.
Below is some basic information about Indonesia.

Country/region name: Republic of Indonesia
Area: 1,913,580 square kilometers (as of 2018, about five times the size of Japan)
Population: 261.89 million (2017, Source: Central Statistics Office, Estimates)
Capital: Jakarta Population: 10.37 million (2017, source: Central Statistics Agency)
Language: Indonesian (The official language of Indonesia is Indonesian, but over 300 languages ​​are spoken within the country)
Religion: Islam, Hinduism, Christianity, etc.
Real GDP growth rate: 5.2% (Japan is 0.5%)
Nominal GDP total: $1 billion (Japan's is $54.9 billion)
Nominal GDP per capita: $3,871 (118th in the world) (Japan is $39,305 (25th in the world))
Exchange rate against the US dollar: 1 dollar ≒ 14,267 (rupiah) 1 yen ≒ 131 (rupiah)
Internet usage rate: 56% (global average: 57% according to Digital 2019)
Internet population: 123 million
Social media usage rate: 56%
Mobile device ownership rate: 133%
Characteristics of the Internet in Indonesia
According to the overseas statistics website "Digital 2019," 56% of Indonesians use the Internet, and the same percentage also uses SNS. The ownership rate of mobile devices is also high at 133%.
This shows that the Internet is mainly used on mobile devices, not PCs, and it is expected that the smartphone-based Internet industry will expand as infrastructure is developed.
Currently, there are four unicorn companies in the digital field in Indonesia. The four companies are "GO-JEK," a ride-hailing service, "Tokapedia," an e-commerce company, "Bukalapak," an e-commerce company, and "Traveloka," a travel tech company.
In the Indonesian market, these unicorn companies provide various services and systems and demonstrate their presence as platforms that attract consumers.
In addition, Internet regulations are regulated in relation to pornography, and censorship is carried out to prevent access to overseas pornographic sites.
In addition, distribution, sale, downloading, etc. of pornographic materials via the Internet is subject to punishment. Violators face extremely severe penalties of up to 15 years in prison or 7.5 billion rupiah.