Key indicators

  • Population 273.5m

  • Population 15+ 202.8m

  • Online Population 201.6m

  • Currency IDR

  • GDP 1,059.6bn USD

  • GDP per Capita 3,922 USD

Payment methods share in Indonesia

Bank transfer29%
Cash based16%
Digital wallet16%

Which payment method do Indonesian consumers prefer to use when shopping online?

Cards are the most popular payment method in Indonesia. Despite the low card penetration rate, there are only 0.59 debit cards per capita and 0.07 credit cards per capita. Both Visa® and Mastercard® are well-known and trusted brands, and credit cards will continue to dominate the market. 

Bank transfers are the second-most popular method, at 29 percent. Both card and bank transfer growth will be supported by improving digital infrastructure.

Currently the third most-used e-commerce payment method, digital wallets are rapidly increasing in popularity. Popular brands include PayPal® and domestic brand Go-Pay, the digital wallet arm of a major Indonesian e-commerce success story, the e-commerce app Go-Jek.

Indonesian Payment Market Overview

The Indonesian e-commerce market currently accounts for only a small fraction of total retail trade. However, the country presents an excellent opportunity for retailers to tap into a growth market as young people increasingly use smartphones.

Indonesia's business-to-consumer e-commerce market is worth $13.6 billion. While Indonesia's online shopping industry only accounts for 0.6% of the overall retail market, it has been growing at an alarming rate, growing by more than a third in the past two years. As this growth continues, the world's largest archipelago also has the highest e-commerce growth forecast in the world. 

The online shopping industry in Indonesia is expected to grow at an impressive CAGR of 34.6%, driven by increasing internet penetration (currently at a low 32.3%) and the continuing trend of steady GDP growth. The extent of this development is of course also due to the immaturity of the industry.

Kindly contact your Account Manager if you would like to enter the Indonesian market.