About the Consumer Pulse Indonesia E-Marketplace White Paper
The key challenge for brands looking to go online successfully in Indonesia is a lack of actionable data and insights into consumer behavior. Should they build their own platform or leverage existing sites?
Scraping together details of metrics like web sessions, device used, and peak shopping times give a generic and high level overview of the industry but what’s more difficult to ascertain is the mapping of consumer segmentation; consumer income levels, demographics, popular categories, and other key takeaways brands can utilize when determining their go-to market strategy.
Through an in-depth survey aimed at understanding the Indonesian online consumer, ecommerceIQ pieced together a holistic understanding of how to do ecommerce successfully in the market.
There was a total of 1,240 online survey respondents spread across the breadth of Indonesia to represented the largest captive audience: people with existing access to the internet. They, in theory, would be more amenable towards buying online.
Some of the questions we set about to answer were related to overall demographics of online shoppers in Indonesia; age, location, gender, income levels, and type of products bought online.
We explored further to their e-marketplace of choice: which website were they using and why? How did they initially find out about the site? How often did they transact on the site; what were they buying; and how much was their average basket size?
The final set of questions aimed to unearth the aspects of the overall user experience people were unsatisfied with. How were they paying for their purchases and how likely were they to recommend the site to others?
- The big six ecommerce companies in Indonesia aren’t as similar as they might seem at first glance. Our survey shows people shop at sites for specific reasons. Shopee, for example, appeals to people who are looking for affordable fashion, while JD.id and Blibli attract shoppers looking for Mom & Baby products or Groceries.
- Marketplaces tend to struggle with customer satisfaction but are valued by those who seek a broad selection of items, while sites with a retail model tend to have a good reputation but come at a higher price point.
- There’s no way around Facebook and Google in Indonesia, as these channels are the only way to effectively reach customers online. Brands ought to construct a strategy around who they wish to target: TV ads still play a role to reach audiences nationwide, while billboard ads appear only useful in Jakarta.
- Each platform’s unique value proposition(s) means they attract different audiences. Shopee, for instance, has many female customers due to its emphasis on fashion. Blibli and JD.id attract older shoppers with a higher income because they focus on brands and Mom & Baby products.
- Indonesian online shoppers are incredibly young. 86 percent of respondents are between the ages 16-34 and live distributed across Indonesia, with 14 percent in Jakarta and 86 percent elsewhere nationwide.
Table of Contents:
Chapter 1: Introduction to Indonesia’s Digital Landscape
Chapter 2: All Ecommerce Players in Indonesia Are The Same. Or Are They?
Chapter 3: How Does Each Ecommerce Player Acquire Customers? A Look Into Their Marketing Strategies
Chapter 4: Who Shops Where? A Look Into Customer Profiles for Each Ecommerce Website
Chapter 5: What Defines The Indonesian Online Shopper. Is There Such a Thing as a General Profile?