Tag: E-commerce Market Size
The growth of electronic commerce or e-commerce sector is quite good in 2017, making this sector is still a prima donna of investors in 2018.
Investment Coordinating Board (BKPM) revealed, the value of investment in the e-commerce sector in 2017 reached more than USD 5 billion . This makes e-commerce the most strategic economic sector today.
Given this positive growth, ShopBack, a lifestyle platform that supports people to make purchase transactions more thoroughly and frugally, tries to analyze some of the things that will be the talk of e-commerce in 2018.
Indra Yonathan, Country General Manager, Shopback Indonesia said that e-commerce growth in Indonesia can not be separated from the enthusiasm of people to shop and sell online. Infrastructure that supports e-commerce movement is more stable and facilitate the community.
“People today do not just buy gadgets and fashion items online, but have started buying food, credit, paying BPJS, as well as online tickets, including sports tickets, concerts and cinemas,” Yonathan said.
Here are 5 things that will be a byword in the e-commerce sector in 2018:
1. Shopping Behavior Pattern Shift Online
No doubt the positive growth of e-commerce in Indonesia, making changes in the pattern of public spending is increasingly shifted toward electronic or online shopping. No doubt, throughout 2017, some retail outlets in Indonesia stop operating. Even the Indonesian Retail Entrepreneurs Association (APRINDO) predicts there will be more than 50 retail outlets will stop operating and try to change their business format to fit the needs of today’s society.
This change in shopping behavior patterns is also shown by the increased volume of e-commerce transactions. We Are Social annual report shows, the percentage of Indonesian people who buy goods and services online in a month in 2017 reached 41% of the total population, an increase of 15% compared to the year 2016 is only 26%.
ShopBack conducted a survey of more than 1,000 respondents in Indonesia, to see the online berberlanja pattern of Indonesian society. Of the survey, 70.2% of respondents admitted that the online store presence affected their shopping behavior, where they were more often online than shopping at offline stores.
“What’s interesting, 83.1% of respondents claim to have been to an offline store to see the goods and then buy them online. This is due to many promo discounts offered platfrom e-commerce, plus they will get cashback if doing shopping transactions at ShopBack, “said Indra Yonathan.
2. Mobile Wallet Increasingly Rampant
This year, the number of smartphone users in Indonesia is predicted to reach more than 100 million users (eMarketer digital research institutions). This amount will make Indonesia as a country with the fourth largest smartphone active users in the world after China, India and America. This is certainly a huge potential to develop mobile wallet in Indonesia.
Throughout 2017, ShopBack sees there are some mobile wallets that are often discussed by the people of Indonesia, namely GoPay, Genius, TCash, Pay Pro and OVO. Viewed from Google Trends, the search volume for these five mobile wallets has increased. The most amazing thing happened to OVO. Applications introduced early 2017 has been ranked top, Top Free App financial category in App Store and third position in the Google Store with the number of downloads more than 1 million (Appanie.com)
2018 will witness the growth of mobile wallet in Indonesia. Recently OVO from Lippo partnered with Grab to provide electronic money services. With such cooperation, Grab application users, can already use GrabPay to pay for their travel expenses. In addition, GoPay from Go-Jek, which also acquired three Tekfin companies in December.
Yonathan confirms, there will be many more emerging some cooperation between other companies to create a mobile wallet to meet the needs of the community. In this case, according to Yonathan, people’s readiness to utilize mobile wallet is the main determinant of this industry growth.
3. Delivery Service on the Same Day becomes the Main Choice
The old constraints of goods delivery became one of the e-commerce issues in the past two years. The emergence of online transportation services with features of the delivery of goods was the solution of this problem.
Speed and price is quite affordable compared to conventional logistics delivery services, the reason consumers prefer the same day service delivery and one-day service delivery. However, this only applies to inner city deliveries, conventional logistics delivery services are still an option for inter-city delivery.
4. InstaSeller Moves Lapis
Google noted the interest of Indonesian people involved in the world of e-commerce is increasing. This is evidenced by Top10 trending search data on Google throughout 2017 in terms of “How to Become”. From the data, the Indonesian people are curious about how to become Agent Bukalapak, Reseller Online Shopping and Lazada Seller, each of which is ranked 6, 7 and 9. Not only that, in 2017 online sellers in social media, such as Instagram and Facebook also more and more emerging.
In 2018, a new phenomenon will occur, where online sellers, especially those in Instagram start moving laps to e-commerce platforms, such as Shopee. This up-and-coming e-commerce platform features the Instashop X Shopee, which allows Instagram sellers to include products they sell on Instagram to Shopee accounts and sell them to millions of Shopee users.
5. Online Ticket Sales Increase
Start shifting the pattern of public spending behavior of Indonesia, of course, impact on ticket sales. In addition to ticket sales in the transportation sector, ticket sales for show events, music and sports also began to bloom on sale online. Recently, the sale of match tickets Indonesia contra Iceland game also scored online ticket sales record.
Based on data PPSI, as many as 20 pieces of this game tickets are sold out online. Even on January 10, 2018, as many as 7,542 tickets have been sold in one day and scored the highest online ticket sales record in one day in Indonesia.