A Comprehensive Look at Indonesia’s E-Commerce Market

Latest update: November 2024

Indonesia stands at the forefront of Southeast Asia’s e-commerce revolution, blending a tech-savvy population with a flourishing digital ecosystem. As mobile connectivity reshapes consumer habits and online shopping becomes a cultural phenomenon, the nation’s e-commerce market is soaring to unprecedented heights. This article explores the current state of e-commerce in Indonesia, highlighting best-selling products, popular payment methods, key trends, and challenges. The information is sourced from our Asia-Pacific E-Commerce Data Library, and is enriched with external references curated by the PCMI team.

You can explore this content as an infographic report, available for download below.

Current State of E-commerce in Indonesia

Indonesia is a powerhouse in the Asia-Pacific e-commerce market. Despite challenges such as limited financial inclusion, the market’s momentum remains unstoppable, showcasing its growth potential.

However, only 54% of the population is banked, limiting access to formal financial services.¹

Profile of the Indonesian Online Shopper

Indonesian online shoppers are shaping the digital marketplace with unique habits and preferences that reflect the country’s diverse consumer landscape. Here’s a closer look at their profile:

Indonesian E-Commerce Payment Methods and Devices

Indonesia’s e-commerce market reflects a blend of modern digital payment methods and a growing preference for mobile shopping. According to our PCMI’s E-commerce Data Library, the primary payment methods for e-commerce in Indonesia, by share of volume, are:

1. Digital wallet — 35%
2. Bank transfers — 26%
3. Credit card — 13%
4. Buy Now Pay Later — 9%
5. Debit card — 6%
6. Cash on delivery — 8%

As for devices used for purchasing online, PCMI has observed that:

• 67% of e-commerce volume in Indonesia comes from purchases on mobile devices
• 33% of e-commerce volume in Indonesia comes from desktop

Top-Selling Categories and Leading Online Stores in Indonesia

Based on transaction volume, the following product categories rank as the most popular among Indonesian online shoppers:⁸

1. Fashion and accessories (16.3%)
2. Health and beauty (14.3%)
3. Home and household appliances (10%)
4. Food (6.9%)
5. Gadgets and accessories (6.4%)

As for the top online stores in Indonesia, based on traffic (data from Similar Web⁹), the ranking is as follows:

1. Shopee (38%)
2. Tokopedia (23%)
3. Blibli (9%)
4. Lazada (8%)
5. Orami (3%)

Key Insights into the Indonesian E-commerce Market

Lastly, here are some key insights about e-commerce in Indonesia according to our report:

Next Step:

The PCMI E-Commerce Data Library

While the data shared here can be helpful, both payments companies and ecommerce companies may benefit from a deeper dive into Indonesian e-commerce data, which they can obtain by acquiring the PCMI E-commerce Data Library for Asia Pacific.

The Library covers not only Indonesia but also 12 other countries in Asia Pacific, featuring e-commerce market data such as:

• Historical volume of Indonesia’s e-commerce market

• Projections of Indonesia’s e-commerce market volume for 2024-2027

• Breakdowns by merchant vertical for e-commerce in Indonesia: retail, travel, ride-hailing, digital goods and services like streaming

• Data on both cross-border and domestic e-commerce purchases in Indonesia for 2024 and projections for 2025 and beyond

• Breakdowns and projections of payment methods used in Indonesia’s e-commerce (international/domestic credit cards, Buy Now Pay Later, digital wallets, and others)

And much more.

Other key advantages make the PCMI E-commerce Data Library for Asia Pacific a uniquely powerful tool for companies that seek a fuller understanding of e-commerce in the region:

• It’s customizable to client needs: you can obtain additional data you need for your company’s specific business concerns, beyond what the Library offers

• It’s budget-friendly: while detailed reports are available for 12+ countries, you can just buy data on just 1 or save money by purchasing a country bundle

• It includes personalized guidance: every purchase of the Library entitles you to a free 1-hour consultation about the data with one of PCMI’s industry experts

• It offers unlimited sharing: there is no single-user license with the PCMI E-commerce Data Library for Asia Pacific, so you can share it freely with your organization

Sources:

1. World Bank, 2021 ↩︎
2.  Indonesia E-Commerce Trends, 2024, Jakpat ↩︎
3.  Indonesia E-Commerce Trends, 2024, Jakpat ↩︎
4. “Charting Indonesia’s mobile commerce landscape,” Yougov ↩︎
5. “Charting Indonesia’s mobile commerce landscape,” Yougov ↩︎
6.  Indonesia E-Commerce Trends, 2024, Jakpat ↩︎
7.  Watch, Chat Read, Shop — Consumer Pulse Report, Rakuten Insight, November 2023 ↩︎
8.  Laporan Perilaku Konsumen e-Commerce Indonesia, Kredivo, June 2023 ↩︎
9. Similar Web ↩︎
10.  Laporan Perilaku Konsumen e-Commerce Indonesia, Kredivo, June 2023 ↩︎
11.  Laporan Perilaku Konsumen e-Commerce Indonesia, Kredivo, June 2023 ↩︎
12. PCMI E-Commerce Daya Library ↩︎
13.  Watch, Chat Read, Shop — Consumer Pulse Report, Rakuten Insight, November 2023 ↩︎