The Samsung smartphone is not only the most popular smartphone in Indonesia but also the global leader, outperforming Apple's iPhone. Especially in the ASEAN region, which includes Indonesia, the South Korean company managed to boost sales with its Samsung Galaxy J Series Smartphones.

Meanwhile, OPPO also managed to boost sales in Indonesia. Growth of OPPO is attributed to its decision to appoint several brand ambassadors earlier this year. These ambassadors are Rio Haryanto (the first Indonesian Formula 1 driver), Isyana Sarasvati (Indonesian singer songwriter), Chelsea Islan (Indonesian actress), and Reza Rahardian (Indonesian actor). All are popular - and considered trendsetters - among the young generations of the Indonesian population.

The other three smartphones brands - Asus, Advan and Lenovo - are popular brands in Indonesia because they offer the most affordable smartphones to the Indonesian consumer. In Indonesia smartphone penetration is rising rapidly, and those who purchase a smartphone for the first time (often coming from the lower income segments of society) are more likely to pick these three brands due to their affordability. According to Reza Haryo, Senior Market Analyst at IDC, Indonesians generally prefer to buy a smartphone that is in the price range of USD $100-$150 a piece.

Most Popular Smartphones in Indonesia:

Brand Country of Origin Market Share
Samsung South Korea         26%
OPPO China         19%
Taiwan          9%
Advan Indonesia          8%
Lenovo China          6%

Source: International Data Corporation (IDC)

In Q2-2016 sales of smartphones that are equipped with 4G technology surged by 37.2 percent (m/m) in Indonesia. Contrary to advanced economies, 4G technology is still rather new in Indonesia and therefore the market is not saturated yet. Indonesia is still in the middle of developing and expanding the 4G network across the country.

Meanwhile, smartphone penetration in Indonesia remains low at around 38 percent currently. Over the next five years, this figure is estimated to grow to 50 percent, supported by rising per capita GDP and the government's Palapa Ring project. By 2020 there will be around 150 million Internet users in Indonesia and one characteristic of the country is that the majority of Internet users surf the web using a mobile device.

Indonesia's huge small and medium-sized businesses are also expected to increasingly use mobile devices (including smartphones) to enlarge their markets. It is estimated that Indonesia's micro, small and medium-sized companies contribute 60.6 percent to Indonesia's gross domestic product (GDP).

Smartphone Growth in the Asia Pacific:

Number of Smartphone Users
(in million)
 2015 2016F 2017F 2018F 2019F
China  525.8  563.3  599.3  640.5  687.7
India  167.9  204.1  243.8  279.2  317.1
  55.4   65.2   74.9   83.5   92.0
Japan   51.8   55.8   58.9   60.9   62.6
South Korea   33.6   34.6   35.6   36.5   37.0
Philippines   26.2   29.9   33.3   36.5   39.2
Vietnam   20.7   24.6   28.6   32.0   35.2

Source: eMarketer