In February 2024, Shopee dominated the Indonesian e-commerce market with approximately 228 million clicks, followed by Tokopedia and Lazada.
E-commerce in Indonesia is experiencing significant growth, driven by the country's vast geography and traffic issues in major cities. However, companies must adapt to the local market, addressing challenges such as limited internet penetration.
Bukalapak's strategy exemplifies this adaptation by partnering with small shops to reach customers lacking internet access, demonstrating a successful approach to market penetration.
In February 2024, the Indonesian e-commerce Shopee ranked first among the most clicked e-commerce sites in Indonesia, with around 228 million clicks. This was followed by Tokopedia and Lazada ID.
E-commerce has been on the rise in Indonesia for a while now and is not expected to stop anytime soon. The archipelago stretches from the western end on Sumatra to the easternmost point in New Guinea over 17 thousand islands and well over five thousand kilometers. As a result, it is difficult for ordinary businesses to reach customers in remote areas. In addition to the on-going traffic issues in key cities like Java, online shopping solutions are a great way to succeed.
However, this does not mean that every e-commerce company is successful. It is rather important to adapt the service to the local market. For example, Bukalapak noticed that not everybody in Indonesia is online yet and therefore established close partnerships with small shops across the country. These little shops can be approached by inhabitants without an internet connection. For the people it is a possibility to have access to a variety of products and Bukalapak can generate money with clients who don’t even have internet access.
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