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Berita Hari Ini E-commerce
While the digital economy of the Southeast Asian region was already developing at a very fast rate prior to the arrival of the COVID-19 crisis, it was this crisis that would act as a catalyst for even more rapid development of the region’s digital economy.
Possibly the biggest story in local Indonesian media over the past couple of days (if we exclude coverage of any COVID-19-related matters) is the news that Gojek is in talks (in fact in the final stages, reportedly) to merge with Tokopedia. Based on the input of people familiar with the matter, the two companies have agreed to conduct due diligence on their respective businesses.
On Friday (03/07/2020) Indonesia Investments released the June 2020 edition of its monthly report. In this edition, titled 'Indonesia's New Normal', several topics are discussed including the new normal for Indonesia (as the COVID-19 pandemic changes people's behavior and changes local regulations), Indonesia's micro, small, and medium-sized enterprises (which have come under great stress), and Indonesia's energy sector.
On Friday (7/02) Indonesia Investments released the January 2020 edition of its monthly report. In this first edition of 2020 we zoom in on the digital economy of Indonesia.
Going digital through mobile devices is a big game in Indonesia, especially in the e-commerce industry. Among the developing countries, Indonesia is a growing digital market with a +100 million internet population and an average of 87 percent of mobile traffic, proving that Indonesia is a mobile-first country.
The value of the e-commerce market in Indonesia is estimated to have grown to the range of USD $55 - $65 billion by 2022. This estimate stems from a new report, titled The Digital Archipelago: How Online Commerce is Driving Indonesia's Economic Development, that was released by management consulting firm McKinsey earlier this month.
Last year Lazada and Tokopedia were the two most successful e-commerce platforms in Indonesia in terms of visitor numbers. These two giants are followed by Bukalapak and Blibli. Meanwhile, Elevenia (owned by the Salim Group) fell outside Indonesia's top 5 e-commerce platforms. While it ranked third at the start of 2017, Elevenia ended 2017 at 7th position.
Based on a new survey, conducted by ShopBack Indonesia, two out of every five Indonesians buy a product online after having seen the product in an offline store. The survey mentions that 42.2 percent of women and 40.7 percent of men indicate that they have seen the goods directly in the physical store (offline) first and then decide to buy the goods online.
Indonesian government officials said all e-commerce products that are imported into Indonesia will become subject to an import tariff in the near future. The Indonesian government is currently studying the issue.
Traditional retail companies in Indonesia need to change their business-as-usual mindset to overcome fierce competition from online shops or e-commerce. In line with rising Internet and smartphone penetration as well as improving infrastructure, more and more goods and services can now be purchased online - often at more competitive rates -, implying the role of Indonesia's "old fashioned" traditional retail companies is on the decline.
Artikel Terbaru E-commerce
The COVID-19 outbreak has continued to impact digital media consumption worldwide. Internet platforms, such as e-commerce, now play a pivotal role in our daily lives. On the bright side of current situations, e-commerce is growing all over the world, including in Indonesia. This is because behavioral shifts amongst Indonesians to choose online platforms as their safest place to conduct their daily activities, such as shopping, working or just meeting with some friends.
It is something the central government of Indonesia has been planning and weighing for several years now, but the coronavirus (COVID-19) crisis seems to have sped up the efforts. Per 1 July 2020, the Indonesian government imposes a 10 percent value-added tax (VAT) on sales of imported digital products and services.
E-commerce – which refers to the activity of electronically buying (or selling) products through online services or over the Internet – has been developing rapidly in Indonesia over the past decade. More and more Indonesians have started to shop online, forcing many offline retail players to adapt and innovate their business models in order to survive in this new and challenging environment where two newcomers, both tech startups and both e-commerce platforms, have developed into a unicorn (Tokopedia and Bukalapak) which is a startup that is valued above USD $1 billion.
Are you looking for the latest products and services to improve your e-Commerce business? Or do you plan to promote brand awareness for your latest technology and solution in the field? Join us at the 4th e2eCommerce Indonesia Conference & Exhibition on 25-26 September at Balai Kartini, Jakarta, this year.
Indonesia, the world’s 16th-biggest economy, recently joined the “trillion-US dollar club” having a nominal gross domestic product (GDP) of USD $1.01 trillion. Meanwhile, the country’s annual economic growth has been going at a pace of around 5.0 percent over the past couple of years.
It came as a big surprise to us. Only three days before the new and somewhat controversial e-commerce tax regulation would come into effect, Indonesia’s Finance Ministry decided to delay its execution.
While reforms related to Indonesia’s corporate income tax rates remain in the planning stage, there is a new important regulation that will come into effect per 1 April 2019. Through Finance Ministry Regulation No. 210/PMK.010/2018 on the Taxation of Trade Transactions through Electronic System or E-commerce, which was signed on 31 December 2018, Indonesia will require e-commerce merchants (sellers) to share data with tax authorities and pay VAT and income taxes.
Indonesia has four unicorns – a term that refers to startup companies that are valued over USD $1 billion – namely: (1) ride-hailing and logistics company Go-Jek, (2) e-commerce operator Tokopedia, (3) e-commerce operator Bukalapak, and (4) airline ticketing and hotel booking services Traveloka.
Health awareness in Indonesia is at a very low level, especially in the cities, as Indonesians tend to eat too much unhealthy food and exercise too little. Therefore, health awareness is something that needs to be encouraged in Indonesia. However, government programs - such as the "Healthy Four, Perfect Five" principles - seem to have limited effect and therefore there is plenty of room for the private sector to encourage consumers to lead a healthier lifestyle. In fact, encouraging a healthier lifestyle can become part of a business model.
After the closing of several Ramayana Department Stores and Matahari Department Stores, as well as the (planned) closing of all remaining Lotus Department Stores (per 26 October 2017) in Indonesia, Indonesia's conventional department store industry needs to come up with a new strategy or shopping concept to survive amid increasingly fierce competition from domestic and global e-commerce platforms.
Bisnis Terkait E-commerce
