Indonesia digital landscape

brief overview

million
250 people
largest population
4th in the world
million online population
73 by the end of 2013
Source: eMarketer Indonesia Online, March 2013
 Slowest desktop internet
#1 speed in the world*
slowest mobile internet
#9 speed in the world*
cheapest for mobile
but data plan
internet penetration is
and still Growing rapidly

*Google measured speeds on desktop and mobile devices in 50 countries

Source: Google 2012, Bloomberg , April 2012, in On Device Research 2013
online growth
93.4 Indonesia online population
is growing rapidly
83.6
72.7
59.6
2012 2013 2014 2015
internet users (in million)
Source: eMarketer Indonesia Online, March 2013
 48.4%
female internet users
started to catch up with
the proportion of male
internet users

51.6%
MALE Female

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012, comScore Media Metrix, March 2013
 (highest) (lowest)
f-to-m f-to-m
reach index reach index
fragrances/cosmestics 168 politics 78
flowers/gift/greetings 152 technology - news 78
lifestyles - food 140 automotive 77
department stores 137 gaming information 76
jewellery/accessories 137 online gambling 75
teens 133 sports 74
family/parenting 130 online trading 69

in general, women are more likely to visit family, home, and retail
sites, while men gravitate towards sports, auto, and technology

Source: comScore, Media Metrix, March 2013

60-65 2.5%
55-59 3.1% DIGITAL IMMIGRANT
Older generation, knew
50-54 6% internet when they were
45-49 9.1% adults, often feel the need
40-44 10.1% to always learn to adapt
35-39 10.9% with new technologies
!
30-34 11.8% DIGITAL Native
25-29 14.2% Younger generation, born
20-24 11.6% and living in the internet
15-19 10.9% era. Tend to make trends in
cyberspace
12-14 9.9%
years old

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012
 41.6%
internet users are dominated
by younger Generation.

Digital Native
58.4%
Digital immigrant

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012
 Elementary school 7.5%
Middle school 11.3%
High School 47.9%
diploma 11.1%
graduate 20.8%
post-graduate 1.3%

Internet users are predominated by people

with higher education

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012
Housewives group is rapidly 58.4% 16.6%
growing because of the needs
to socialise, seek information
or conduct a business
15.3%
Workers
Students 9%
Housewives
college Students
5.8%
unemployments

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012
blue collar
using internet to socialise 15.1% 63.4%
rather than directly to work
!
white collar
intensely accessing the
internet anytime anywhere to 21.5%
obtain information, both work
and personal purposes

White collar
blue collar
entrepreneur

demographic profile
Source: APJII, Indonesian Internet Profile, December 2012
66%
52% Device used
45% Mobile internet is making
gains, aided by affordable
smartphones along with
more affordable data
packages

2%
mobile desktop notebook tablet
Source: APJII, Indonesian Internet Profile, December 2012
 shares of device page traffic on a typical workday

Device usage varies significantly by time of day.

Mobiles brighten the commutes, Desktops take
up work hours, while tablets rule evenings.
Device used
Source: comScore Device Essentials, July 2013
Social media 87.8%
Browsing 68.9%
news 68.3%
dl/uL video 62.1%
email 57.9%
chatting 22.4%
online game 18.5%
video call 5.9% reasons to go online
blog 5.3%
internet users has not been seriously harness the
voip 3.6% power of technology for productive activities. It is
file sharing 2.6% still largely used only for social media, browsing, or
to find the latest news updates

Source: APJII, Indonesian Internet Profile, December 2012

87% 86%
top 10 most visited
80%
72%
categories
63% 63% 59%
53% 52%
29%

sns search ent. blog news multimedia lifestyle email games photos

Source: comScore Media Metrix, March 2013

Category: Retail
AVG.com 1,435
Amazon Sites 1,347
Lazada Sites
Indonetwork.co.id
1.260
778
top 5 most visited
apple.com worldwide sites 703 sites by category
Category: entertainment Category: travel
youtube.com 7.171 priceline.com INCORPorated 970
OMG! from Yahoo! 2.172 LIONAIR.CO.ID 561
kapanlagi.com 2.133 airasia 513
cbs interactive 1.808 tripadvisor inc 396
VEVO 1.636 garuda-indonesia.com 381
Source: comScore Media Metrix, March 2013
mobile internet users
under 18 21% 19%*
18-24 32% 28%* indonesia has the
youngest mobile
25-35 33% 32%* internet user base
in southeast asia
above 35 14% 21%*
* SEA AVERAGE

demographic profile: Age

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
indonesia has one of
the highest male to 29%
female ratio among 37%*
mobile internet users
in southeast asia

71%
63%*
MALE Female
* SEA AVERAGE

demographic profile: gender

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
graduate/post graduate 30% 36%*
diploma/undergraduate 29% 27%*
schooling up to 12 years 31% 27%*
uneducated 9% 10%*
30% of mobile internet users in Indonesia
are graduates or post graduates

* SEA AVERAGE

demographic profile: education

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
39% full time job 16% student
16% business 4% housewives

9% self-employed 4% not working/retired

12% part time job 1/4th of mobile internet users in indonesia are
businessmen or self employed professionals

demographic profile: occupation

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
 product
33% 27% ownership
computers tablet

only 1/4th of mobile

internet users in indonesia
33% 22% 18% own an automobile
Consumer Durables automobiles payment cards

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
affluent lifestyle
restaurant 32% 41%*
movie theatre 46% 47%*
shopping mall/market 58% 58%*
* SEA AVERAGE
only 1/3rd of mobile internet users in indonesia
went into a restaurant in the last month

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
phone types
179
169.7 users (in million)
160.5
148.9

57. 7 71.6 mobile phone users

23.8 38.5 smartphone users

2012 2013 2014 2015

Source: eMarketer, April 2012
 53%
35%
operating system
9% 4% although android has
quickly become
majority, blackberry
android blackberry windows apple iOS (Until now) remains a
significant player

Source: IDC Indonesia via Jakarta Post, 5 January 2013

69% lying in bed

35% while waiting

29% watching TV
device usage
indonesian people are more likely to
use their mobile phones when they
17% spending time with family were alone and it is cannibalising
print media

14% while commuting

Source: InMobi, Mobile Consumption Indonesia 2013

social media 24%
entertainment 20%
general info 16% online
email 14% activity
games 12% growth in indonesian mobile
usage in the coming years is
shopping 8% likely to come from social
local search 6% media & entertainment

Source: InMobi, Mobile Consumption Indonesia 2013

 Mobile ADS
Mobile ads grew
by 99% in 2012
200 billion ad impressions in 2012
2nd largest market in mobile ads
after the us

Source: Redwing Asia (2012), InMobi (2012)

users love mobile ads
that help them..
download mobile content 67% 55%*
find a good deal on something 36% 42%*
learn about the brand 33% 36%*
locate something nearby 22% 27%*
* SEA AVERAGE
Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
 70%
49% 44% downloaded
33% content
1/4th of mobile internet
users in indonesia download
all types of mobile content
in a month, highest in sea

game/app video music theme

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
social network activities
 INDONESIANS and
social media
Social media creates a sense of
community & IT’s Growing strong
People are using social media to
make their voice heard
It has a higher user-to-usage
ratio than most other countries
politicians are now taking social
media seriously
it got worldwide attention for
politics-related discussion
Source: Multiple Resources in On Device Research, 2013
social network 79.2
67.1
52.1 94.8%
92.3%
34.4
users (in million)
% of internet users
87.5%
80%
2011 2012 2013 2014
Source: eMarketer, August 2012
TOP Social Networks
80.2%
26.4% although Facebook is
still very popular, its
10.5% popularity may be
declining among the
facebook
digital savvy users in
5.9% twitter
larger cities who are
LinkedIn
now turning to path
yahoo! Profile
4.9% tumblR

Source: comScore Media Metrix, March 2013

 photo Sharing sites

hand in hand with other

28.8% 7.1 min social networking sites,
photo sharing are
becoming popular in the
Reach of the category time spent per visitor country

Source: MMA & VSERV.mobi, The Mobile Internet Consumer Indonesia 2013
social messaging
instant messaging has become a multi-faceted platform —where
people can chat, play games and buy things- all in one place

43% 37% 36% 23% 23% 20% 16% 16% 15%

whatsapp blackberry line facebook twitter Wechat kakaotalk Skype yahoo
chat messenger messenger

average instant messaging installed per person: 4.2. “indicate friends using
different apps” and “having different features” are two biggest reasons for having
multiple instant messaging apps.

Source: On Device Research, 2013

 Indonesians have caught
Into the sticker culture

and 19% of sticker users have 46% 84% 13%

paid for them at least once
use daily have used at do not use
least once

Source: On Device Research, 2013

e-Commerce in Indonesia
 29. 8 % 4.6million
have shopped
1.spent8billion $
in 2013
penetration
in 2013

E-commerce stats
Source: TechinAsia, November 2013
 Market Growth 93. 4 102. 8
74.6 83. 6
59.6
43 36.5 % 39. 8 %
users (in million)
29.8% 33%
% of internet users
17.5% 24%

2011 2012 2013 2014 2015 2016

Source: eMarketer, March 2013
 shopping
behaviour
77.1% clothing 39.1%
2.1% handphone 17.8%
8.7% plane/show ticketS 16.9%
3.8% laptop & Acc 16.1%
11.1% bags 1.4% fashion and female
5.2% books 11% are the top
category & buyer
2.2% electronics 9% respectively
5% shoes 8.8%
Source: APJII, Indonesian Internet Profile, Dec 2012
 fear of fraud 34.6%
items cannot be touched/seen 21.5%
high prices 13.8%
12.7% not interested/not needed
9.3% quality of products is not guaranteed
6% do not know how
5.2% not practical
4.7% items do not match offer
Market reluctance
4.1% items are not in accordance with anyone’s liking
4% items do not match picture
2.4% long process
Source: APJII, Indonesian Internet Profile, December 2012
 57% 28% payment method
bank transfer cash on delivery
bank transfer is still the most
preferred method of payment

7% 8% because many users are still

unfamiliar with online payment and
worry about online security
credit card others

Source: Indonesia Credit Card Association, 2013

top 10 sites
for online purchase in 2012
1 Facebook 50%
Majority of digital
2 Kaskus 49.2%
buyers prefer C2c
3 Disdus 19.5% model. Seller & Buyer
4 Toko Bagus 13.6% Growing negotiation made
5 Deal Keren 11.9% player in 2013 through any
6 Amazon 8.9% platforms, including
7 E-Bay 8.5% phone calLs, SMS,
with 84% Facebook, BBM,
8 Bhinneka 5.5%
growth from Sep Whatsapp & Twitter
9 Multiply 5.5% 2012 to Mar 2013
10 Blibli 4.7%
Source: Veritrans & Daily Social, eCommerce in Indonesia, August 2012, eComScore Metrix, March 2013
 key Players
2013
B2c category c2c category

Source: PriceArea.Com, 2013

 internet user number in indonesia still grows at a high
indonesia pace in the past years, and is still dominated by younger
in spotlights generation. although indonesians have already adopted
multiple platforms and devices, mobile phone is still
the key of internet penetration in the country. Social
networking and entertainment still capture majority
of online activities across platforms in which Facebook and
Youtube continue to be the number one in the category
respectively. SOCIAL Messaging receives positive
acceptance and provides opportunities to be monetised.

e-commerce is beginning to capture indonesian market and

provides a lots of headroom for growth. both B2C and c2c
model shows positive growth although securitY remains
an issue that prevented the audience to shop online.
thank you