Mobile Use Spurs Growth of Online Shopping in Indonesia, Says New Report

A new publication from Hamburg-based, “Indonesia B2C E-Commerce Market 2019,” provides details on the rapid expansion in the largest online retail economy in Southeast Asia. The large, young population of Indonesia attracts the interest of global E-Commerce merchants as domestic retailers also expand their digital offerings.

Hamburg, Germany, August 04, 2019 --( Online commerce growth attributed to mobile use.

The high penetration of smartphones in Indonesia and their use for shopping is one of the main drivers of B2C E-Commerce growth. The report includes the finding that most Internet access in the country is through mobile phone and the device is increasingly used for shopping online. The expansion of online shopping has led to draft legislation, not yet implemented by the government, to regulate the practice.

Trends in products, payment and delivery

Indonesia’s online shoppers have made footwear and apparel the leading product category purchased digitally. In paying for those fashion items and other goods, bank transfer is the leading payment method, though digital wallets are beginning to make inroads on the payment scene, according to data cited in the report. Surveys of online shoppers consistently reflect the importance of low cost or free and quick delivery in the final decision to make a purchase.

Domestic merchants compete with global online sellers.

International E-Commerce giants such as China’s and Go-Jek, along with Singapore’s have taken note of Indonesia’s expansion in online shopping and have established their presence in the country. Local merchants as Bukalapak have moved to counter the competition from abroad in the online marketplace, according to sources cited in the new publication.

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