Alternative payments landscape in Indonesia
Indonesia is one of the fastest-growing mobile commerce markets in the world. But it also presents its specific challenges when it comes to the wider adoption of digital payments. In this case study, we’re taking a closer look at both the challenges and opportunities the Indonesian market brings to merchants and payment service providers.
The adoption of digital wallets is clearly growing in Indonesia. It’s fuelled by the growth of the country’s e-commerce and the large unbanked, cardless population, with digital wallets a way to create financial inclusion.
As of January 2020, e-money retail transactions rose by 173%, reaching $1.13 billion – and digital wallets were leading that growth. Between June 2019 and June 2020, the total number of digital wallet payment sessions surged from 1.67 billion to 2.83 billion.
But unlike many other countries, Indonesia’s mobile commerce space is driven mainly by local players on a very competitive market of over 50 available wallets. This means extra challenges for foreign companies targeting the Indonesian market, as big international players like Apple Pay or Google Pay are simply unavailable.
Download this case study to learn more about the intricacies of the Indonesian digital payment markets, including:
- The biggest and most popular digital wallets
- The role of telcos on the digital payments market
- Local regulations that you need to know about if you’re targeting the Indonesian market as a merchant or PSP