Market Research Report
Payments in Indonesia 2017: What Consumers Want?
|Published by||GlobalData||Product code||540356|
|Published||Content info||47 Pages
|Payments in Indonesia 2017: What Consumers Want?|
|Published: September 21, 2017||Content info: 47 Pages||
Cash remains the predominant payment instrument in Indonesia - especially among the rural population - accounting for 98.4% of the total volume of payments in 2017. This is primarily due to low awareness of electronic payments, a high unbanked population, and limited access to banking infrastructure. The modernization of the country's payments infrastructure with the introduction of the National Payments Plan, the transformation of cards to incorporate EMV technology, and the National Non-Cash Movement will support the transition to non-cash payments.
Debit cards remain the preferred payment cards among the Indonesian consumers. However, their usage is mostly restricted to ATM cash withdrawals, with its frequency of use 9 times that of POS transactions. This is primarily because both consumers and merchants prefer the use of cash. However, with ongoing efforts by the government to enhance the POS infrastructure and card acceptance, the number of POS transactions has increased.
Indonesian e-commerce market rose to IDR144.2tn ($10.7bn) in 2017, supported by a growing young population, and an increasing presence of online retailers. The market is forecast to register a CAGR of 23%, which is the third highest compared to its peers - Pakistan (33%), India (24%), Vietnam (22%), the Philippines (21%), Thailand (17%), Malaysia (15%), and China (11%). This suggests there is a significant growth potential in the Indonesian e-commerce market.
The report "Payments in Indonesia 2017: What Consumers Want?", examines the consumer payments market in Indonesia. The report analyses payment cards, online payments, P2P payments, as well as newer payment technologies such as mobile wallets and contactless cards.
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Companies mentioned in this report: Bank BRI, BNI, BCA, Bank Mandiri, CIMB Niaga, Bank Mega, Visa, Mastercard, American Express, JCB.