Indonesia D2C Online Retail Market Outlook to 2026

The report titled “Indonesia D2C Online Retail Market Outlook to 2026– Driven by high smart phone and Internet Penetration, changing Consumer lifestyle along with the inclination towards exploring New brands and Products”provides a comprehensive analysis of the theD2C market in Indonesia. The report covers various aspects including the current E-commerce scenario and Retail sector scenario in Indonesia, the Share of D2C in the E-commerce market, the Ecosystem of D2C brands, Their business models, its segmentations viz, By Type of End users (Fashion includes glasses & Frames, Beauty & Personal Care, Food and Beverage/FMCG, Health, Jewelry, Others include Furniture, Insurance & more), By Type of Delivery Period By Number of Orders (Same Day Delivery, Next Day Delivery, Two Days Delivery, More Than Two Days Delivery), and By Region by GMV (Jakarta, Surabaya, Medan, Bandung, Makassar, Others), Consumer Preferences and Trends Analysis, Major trends and development, issues and challenges and competitive benchmarking. The report concludes with market projections for the future of the industry including forecasted industry size by revenue.

Indonesia D2C Market

Growing industrialization in Indonesia is helping to propel the D2C industry to unprecedented levels of development. After India and China, the third-largest G20 nation, Indonesia is projected to see an increase in competition in the D2C market in the future years as a result of the rise of industry 4.0. D2C is projected to find solid development possibilities in Indonesia and see a proliferation in the next time due to Indonesia having all the required features for it to become a spectacular market for expanded expansion of the digital age and digitally sophisticated economy. Indonesia’s D2C Market saw an upward trend in the historical period 2015-2020 owing to the global pandemic which led to a reduction in footfall to shopping malls and retailing stores along with leisure and business travels decreasing significantly as consumers had to stay at home. Due to this, Companies are now focusing on building an omnichannel strategy since the conventional brick and mortar retail business will follow a downward trend over the years with e-retailing to exponentially grow to post the corona pandemic.

Indonesia D2C Market Segmentation

Type of End-users: Fashion and Apparel remained the dominant category in the market in terms of revenues in the D2C Market in Indonesia. The growth of the majority of the brands in the Fashion Category is driven by high populated regions with their growing middle class and lagging offline shopping infrastructure followed by the Beauty & Personal Care and FMCG segment.

By Type of Delivery Period By Number of Orders: More than 57% of the deliveries take more than 2 days to deliver due to logistics Issues and Complex Infrastructure. These usually include segments like fashion, Jewellery, Furniture, and others while only 3% of the deliveries are done on the same day and these usually include health and FMCG products due to small shelf life.

By Region: Jakarta being the capital region witnessed very high GMV accompanied by strong retail growth and contributed the majority of the revenue share due to its high population followed by Surabaya, Medan, and Bandung.

Competitive Landscape in Indonesia’s D2C Market

The competition was observed to be moderatey fragmented in Indonesia’s D2C Market. More and more brands are increasingly adopting the omnichannel distribution strategy post-COVID to gain a foothold in the market since customers are skeptical about visiting offline stores. Demand for halal products has been internally influenced by Muslim Culture giving rise to brands such as Wardah Cosmetics. Companies such as Hypefast, a Southeast Asian D2C brand aggregator are launching offline stores for its D2C retail brands for maternity and children’s wear apparels to gain more traction. Companies are competing on various parameters such as SKUs, Price offered, After Sale Services, Retail TouchPoints, Partnerships with B2B/Online Platforms, Online marketing strategies, and more.

Indonesia’s D2C Market Future Outlook and Projections

Indonesia’s D2C Market is expected to experience double-digit growth owing to new product variants, investment in optimizing logistics, and Influencer marketing Promotional Strategies. The market is expected to gain momentum with rising in disposable income per capita and an increase in target population along with a majority of the demand from Tier 1 and Tier 2 cities. The growing customer inclination toward customization, k-pop culture, and eco-friendly products to gain traction in the near future.

Key Topics Covered in the Report

• Indonesia E commerce Market Introduction
• Indonesia Retail Market Introduction
• Indonesia D2C Online Retail Market Introduction
• Indonesia D2C Online Retail Market Size, 2016-2021
• Indonesia D2C Online Retail Market Segmentation, 2021
• Growth Drivers for Indonesia D2C Online Retail Market
• Landscape of E commerce, D2C Players, Vertical Players
• Logistics Companies in Indonesia D2C Online Retail Market
• Competition Scenario of Indonesia D2C Online Retail Market
• 4Ps and Pricing Analysis in Indonesia D2C Online Retail Market
• Global Practices and Global Case Scenarios that can be Adopted in Indonesia
• Issues and Challenges in Indonesia D2C Online Retail Market
• Customer Analysis in Indonesia D2C Online Retail Market
• Snapshot of All Vertical Sectors in D2C Online Retail Market
• Indonesia D2C Online Retail Market Future Outlook and Projections, 2021-2026F
• Case Study of the Global Players in D2C market