Indonesians quickly adopt digital payments, study shows

A new study has found that Indonesians are increasingly using digital channels for all sorts of payments, including online shopping, food order, bills payment, transportation and telephone credit, while offline transactions – aka cash payment – has been reduced to one or two merchants each week.

The findings are from a survey by Jakarta-based market research company Kadence International Indonesia called Digital Payments and Financial Services Usage and Behaviour in Indonesia and based on an online survey of around 1,000 respondents conducted during July 2021 in six major cities in Indonesia, namely Greater Jakarta, Bandung, Surabaya, Makassar, Medan and Palembang.

The report examined the behaviour patterns of active users on 14 digital payment platforms, which are in the country currently dominated by OVO as the solid leader, followed by GoPay, ShopeePay and DANA users.

It found that over the past three months, 44 per cent of the respondents used these platforms to make online digital payments at least four times a week.

Shift towards digital behaviour

The study notes that these results would reflect the changes in Indonesian consumers’ behaviour as a result of the Covid-19 pandemic as the public is shifting to adopt digital transactions and digital payments for more convenience and safety.

According to the Indonesian central bank, e-money transactions rose from 145 trillion rupiah ($10.2 billion) in 2019 to 205 trillion rupiah ($14.4 billion) in 2020, reflecting the fact that Indonesia is the world’s fourth most populous country and Southeast Asia’s largest economy.

“It is apparent that digital payment has accelerated in Indonesia in line with the growing digital economy, and that consumers in major urban cities are becoming increasingly digital-savvy,” Kadence said in a statement.

Brand awareness was highest for OVO with 96 per cent of the Kadence survey respondents mentioning that they are familiar with OVO, followed by 95 per cent for GoPay, 93 per cent for DANA and 81 per cent for ShopeePay.



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A new study has found that Indonesians are increasingly using digital channels for all sorts of payments, including online shopping, food order, bills payment, transportation and telephone credit, while offline transactions – aka cash payment – has been reduced to one or two merchants each week. The findings are from a survey by Jakarta-based market research company Kadence International Indonesia called Digital Payments and Financial Services Usage and Behaviour in Indonesia and based on an online survey of around 1,000 respondents conducted during July 2021 in six major cities in Indonesia, namely Greater Jakarta, Bandung, Surabaya, Makassar, Medan and Palembang....

A new study has found that Indonesians are increasingly using digital channels for all sorts of payments, including online shopping, food order, bills payment, transportation and telephone credit, while offline transactions – aka cash payment – has been reduced to one or two merchants each week.

The findings are from a survey by Jakarta-based market research company Kadence International Indonesia called Digital Payments and Financial Services Usage and Behaviour in Indonesia and based on an online survey of around 1,000 respondents conducted during July 2021 in six major cities in Indonesia, namely Greater Jakarta, Bandung, Surabaya, Makassar, Medan and Palembang.

The report examined the behaviour patterns of active users on 14 digital payment platforms, which are in the country currently dominated by OVO as the solid leader, followed by GoPay, ShopeePay and DANA users.

It found that over the past three months, 44 per cent of the respondents used these platforms to make online digital payments at least four times a week.

Shift towards digital behaviour

The study notes that these results would reflect the changes in Indonesian consumers’ behaviour as a result of the Covid-19 pandemic as the public is shifting to adopt digital transactions and digital payments for more convenience and safety.

According to the Indonesian central bank, e-money transactions rose from 145 trillion rupiah ($10.2 billion) in 2019 to 205 trillion rupiah ($14.4 billion) in 2020, reflecting the fact that Indonesia is the world’s fourth most populous country and Southeast Asia’s largest economy.

“It is apparent that digital payment has accelerated in Indonesia in line with the growing digital economy, and that consumers in major urban cities are becoming increasingly digital-savvy,” Kadence said in a statement.

Brand awareness was highest for OVO with 96 per cent of the Kadence survey respondents mentioning that they are familiar with OVO, followed by 95 per cent for GoPay, 93 per cent for DANA and 81 per cent for ShopeePay.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

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Donation Total: $10.00

 

 

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