Indonesian ecommerce predicted to grow twofold in 2016
Indonesian ecommerce is forecast to grow twofold in 2016, with USD 1.46 million (IDR 20 trillion) as compared to USD 0.74 million (IDR 10 trillion) in 2015, according to a recent survey.
The prediction is based on the continuous rise in internet and smartphone penetration in Indonesia, according to the industry group idEA, jakartaglobe reports. Daniel Tumiwa, chief of the Indonesian E-commerce Association (idEA), noted that the country's ever-expanding pool of middle-class consumers has provided a significant boost to its ecommerce sector, estimating that the number of online shoppers could reach 10 million in 2016.
Indonesia is forecast to see some 34 million smartphones shipped into the country by the end of 2015, up 21% from an initial 2015 forecast of 28 million units, according to information technology research firm International Data Corporation (IDC), the source cites. MatahariMall.com CEO Hadi Wenas separately added that online retail has great potential in Indonesia, forecasting the industry to contribute up to 5% of the economy by 2020 from the current 0.7%.