Wondering why we have chosen Indonesia to host the 2017 Edition of the retail technology conference Internet Retailing Expo? You wouldn’t be surprised to know the reasons:
Indonesia's large population is gradually adopting online technologies for internet retail, creating a very attractive market for mobile payments, mobile e-commerce and mobile commerce growth and strategy through mobile apps.
|Indonesia is Facebook’s fourth biggest market, with a young population (70% of which is under 25 years old) mostly accessing Facebook through mobile devices (75%).||The number of Internet users in Indonesia reached 73 million in 2015, equal to almost 29% of the population, with accessing social media being the highest.|
|E-commerce is expected to reach 140 million consumers by 2020. Only 60% of the population has bank accounts whereas 85% possess mobile phones. Thus, mobile commerce, mobile payments and mobile banking have a very strong growth potential, especially in non-urban areas.||Indonesia boasts of the highest Digital and Mobile Internet Ad Growth in World. By 2016, more than one in 10 ad dollars in Indonesia will be spent on digital channels—including mobile. In 2019, the share is expected to exceed one in four. Mobile internet ad spending will triple in 2015 and will account for 15.5% of digital ad spending in the country and 1.1% of total media ad dollars.||Credit card penetration rate in Indonesia is only around 3.5% and bank account penetration is only 20%. “Cash on delivery” for ecommerce payments typically accounts for around 30% of transactions in the country. And with more than 50 million people using bank accounts, it’s no surprise that bank transfers are a highly popular method of payment too.|
|The robust economic growth and political stability have made Indonesia the house of growing middle class in Asia. Indonesia’s GDP per capita on a nominal basis is now quickly approaching the critical threshold of US$4,000 per year, which economists have seen as a tipping point for the rise of the middle class and ensuing consumer business opportunities.||The most popular social networks in Indonesia are Facebook, Twitter, and Google Plus. Of the 72 million active social media accounts, 62 million are mobile users.||Indonesia’s retail market is currently worth $326 billion. In Indonesia, the trend is that under-penetrated markets of tier-2 cities have been driving growth in the modern retail sector. Local players have been leading the expansion, citing convenience store chains Indomaret and Alfamart planning to boost their footprints across the country.|
|For these various reasons, Indonesia is one of the fastest growing nations supporting retail technology and digital growth. It thus plays a perfect host for retail technology events, tech conferences and internet exhibitions alike.|