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Indonesia is projected to capture 52% of Southeast Asia’s total ecommerce value by 2025.

Total revenue from ecommerce in Indonesia only this year is predicted to reach $6.96 billion, and projected to rise to $14.47 billion by 2021, meaning that total revenue will double in four years.

Statista data shows us what businesses looking at the Indonesian market should keep in mind for the next few years.

Fashion is a leading vertical in ecommerce

Fashion consistently dominates as the country’s top selling vertical in online retail and is predicted to increase in revenue every year until 2021.

Fashion 2016: $1.99 billion total revenue

Fashion 2017: $2.47 billion total revenue

Fashion 2021: $5.32 billion total revenue

Current key players in fashion ecommerce:

Matahari Department Store, Salestock, Zalora, Lyke, Berrybenka, muslim fashion store Hijup, and Kuki

Source: eIQ ECOMScape Indonesia

Food and personal care to experience slow growth

The total revenue for online food and personal care in 2016 was $0.49 billion, and predicted to reach $0.71 billion by 2018. By 2021, food and personal care online revenues are projected to reach $1.07 billion, trailing behind verticals such as electronics, fashion and furniture but still expected to double.

Furniture and appliances to experience steady rise

The graph suggests that more Indonesians will be jumping online to buy couches and chairs. A few first movers in the furniture industry such as Fabelio will be a part of the market that is expected to bring in a total revenue of $1.18 billion and  predicted to rise to $2.39 billion by 2021.

Looking ahead

Indonesia’s ecommerce market as a whole is  set to grow.All verticals ranging from fashion to toys are all poised to experience 2X growth by 2021 as internet penetration is going to jump from 13% to 21% by 2021.

1. Alibaba Group is now Asia’s richest company

Alibaba’s market value rose to US$261 billion in New York last week, overtaking Tencent’s US$255.98 billion capitalisation in Hong Kong on Thursday. Read the rest of the story here.

 

2. In Japan, You can buy a priest on-demand from Amazon

Proponents of obosan-bin argue that conventional temples already operate like businesses — just the kind that put a lot of blind pricing pressure on the customers they ask donations of. Read the rest of the story here.

 

3. Indonesia’s fast growing fashion startup Sale Stock is laying off over 200 employees

Most of the employees were from the customer service department. However, the company is still hiring for technical positions. Read the rest of the story here.

 

4. ShopBack Joins MDEC’s #MYCYBERSALE as official cashback partner

#MYCYBERSALE is Malaysia’s largest annual online sale event. The 5-day national event will see e-retailers like Groupon, Lazada, Zalora, Qoo10, Photobook Malaysia, and more to collectively customize their products as well as services to surprise shoppers with best value deals and up to 90% discounts. Read the rest of the story here.

 

5. Ralph Lauren, Michael Kors dominate luxury’s online market share

Consumers visited luxury brand Web sites a total of 185.2 million times in the last 12 months, a decrease of 11.2 percent year-over-year, according to a new report from PMX Agency. Read the rest of the story here.