Industry Report

E-Commerce in Indonesia

A practical guide for Swiss companies wishing to launch their online channel 

The growth of e-commerce in Indonesia is remarkable. The country's gross merchandise value (GMV) through the B2C e-commerce platform has been growing substantially by 47.3% annually and recorded USD 82 Billion in 2019. With various promotions offered by the merchants and e-commerce platforms, online shopping becomes more attractive for Indonesians. This practical guide details Indonesia's extensive e-commerce landscape and helps Swiss SMEs navigate and enter this promising sector. 

woman placing online shippment

A tech-savvy nation

Like the rest of the world, Indonesia is becoming increasingly tech-savvy and is adopting a 'digital lifestyle' at high speed, especially the younger generation. The number of mobile phones in Indonesia is around 340 million, which means the ownership rate is 1.3 (1.3 mobile phones per 1 person). Apps currently, especially in urban areas, play an important role in people's daily activities, mainly in transportation, financial service, food delivery, and online shopping sectors. Furthermore, online shopping habits are getting more popular in Indonesia, making the country have the highest e-commerce adoption rate in the world in 2019. As many as 90% of internet users aged 16 – 64 have purchased products and services online.

A vast and growing e-commerce landscape 

Indonesia was the country with the highest e-commerce adoption rate in the world in 2019. As many as 90% of internet users aged 16 – 64 have purchased product and services online. Consumers, both Business to Consumer (B2C) and Business to Business (B2B), have been experiencing more online purchasing during the pandemic. Plus, it is estimated that within a few years ahead, the number of e-commerce players will reduce and the big players will dominate the market even more.

How to navigate this promising sector

Our practical guide will provide you with detailed information on the following topics, so you can learn how to enter and navigate the Indonesian e-commerce sector successfully: 

  • Overview of Indonesia's e-commerce landscape 
  • Relevant business models and platforms
  • The regulatory situation 
  • Finance and insurance 
  • The role of social media
  • Market entry pathways 

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