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E-Commerce Grows Despite Economic Slow Down

25 May 2015 21:16 WIB

Belanja on line di internet. TEMPO/ Hariyanto

TEMPO.CO, Jakarta - The performance of e-commerce businesses in Indonesia is predicted to remain stable, or may even improve despite the low economic growth rate recorded in the first quarter of 2015.

The Central Statistics Agency said that the economic growth during January to March was recorded at 4.71 percent, relatively lower compared to the same period last year, which was recorded at 5.14 percent.

"It is true that economic growth in Indonesia is slowing down. However, e-commerce remained stable, even improving," said Agus Tjandra, CEO of Lojai.com. Agus asserted that one of the reasons why e-commerce business managed to improve was that online businesses do not need to rent office building. Instead, Agus said that the funds can be allocated to promotion activities.

Previously in 2012, the Internet Service Provider Association predicted that e-commerce business market value in Indonesia will reach US$12 billion in 2014 and US$18 billion in 2015.

Agus further explained that other factors that support e-commerce businesses to grow include increasing customers' and vendors' awareness about the benefits of online transaction, improving internet connectivity, and increasing number of products and services being offered online.

BISNIS.COM



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